BILL NUMBER: S8417
SPONSOR: KRUEGER
 
TITLE OF BILL:
An act to amend the public service law, in relation to the provision of
gas service to new customers
 
PURPOSE:
The purpose of the bill is to remove the ratepayer-funded subsidies for
the connection of new customers to the gas distribution system.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section 1: Amends subdivision 4 and adds a new subdivision 4-a of
section 31 of the public service law. Removes the 100 ft rule subsidy
for residential gas, which provides ratepayer-funded utility incentives
for the expansion of utility gas system infrastructure.
Sections 2 & 3: Amends section 12 of the transportation corporations law
and adds a new section 13. Removes the 100 ft rule subsidy for new non-
residential gas customers.
Section 4. Severability
Section 5. Establishes that the act takes effect immediately.
 
JUSTIFICATION:
Under existing law, the "100-foot rule" provides new gas extensions to
new customers within 100 ft of the gas system and requires other custom-
ers to pay the cost. This costs gas ratepayers hundreds of millions of
dollars each year. Ending this rule does not prevent new customers from
hooking up to the gas system. It simply means existing gas customers
will not be forced to subsidize the costs of the hookup through
increases to their energy bills. Instead, new customers will be required
to cover the cost of a gas hookup themselves.
 
LEGISLATIVE HISTORY:
 
FISCAL IMPACT ON THE STATE:
None.
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S8417: 31 public service law, 31(4) public service law