NY Governor Hochul Signs Legislation Penalizing Public Utility Companies that illegally Hike Rates

by FrumNews.com

Borough Park, NY – Legislation sponsored by Assemblyman Simcha Eichenstein and Senator James Skoufis (S6710/A3746), which was signed into law earlier today by Governor Kathy Hochul, severely fines public utility companies that knowingly or deliberately provide false information to the NYS Public Service Commission in relation to rate increase proceedings.

In New York State, the Public Service Commission (PSC) regulates most utility companies that operate throughout the state and approves utility rate adjustments based on the cost of providing service. For too long, hard-working New Yorkers have been subjected to repeated unjust rate hikes with no recourse. There have been past instances where utility companies provided false and misleading data, or intentionally misrepresented key information to the PSC, which led to unfair and excessive rate increases. This new legislation will ensure that utility companies which deliberately misrepresent data and material as a means to obtain a rate increase approval from the PSC, will be subject to severe financial penalties of up to $250,000.

“Today, we are taking bold steps to ensure New Yorkers have greater transparency into the utility rate changes that impact their daily lives,” Governor Kathy Hochul said. “New Yorkers deserve to know why there is an increase in rates and how the revenue will be spent. These laws represent a new chapter of a fair, open and trustworthy utility system for New Yorkers.”

“In these challenging times, increases in utility rates place an extra burden on New Yorkers who are already struggling to pay their bills. When rates are unjustly inflated, it can be devastating to hard-working utility customers,” said Assemblyman Simcha Eichenstein. “I want to thank Governor Hochul for recognizing the importance of this legislation, which will serve to maintain fair and reasonable pricing, and will ensure that utility companies remain honest and accurate when providing information to the PSC. I am proud to have sponsored this legislation, along with Senator Skoufis in the Senate, to ensure that New Yorkers are not taken advantage of.”

State Senator James Skoufis said, “Simplifying and improving the transparency surrounding the process of major rate increases – and holding bad actors accountable – is an essential step toward increasing public understanding and ensuring utility companies are responsible to ratepayers. I am gratified to see the Governor enact S.6710 into law.”

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Editors note: As the Frum Klal is well aware, over the past year the monthly bills for Con Edison and National Grid have skyrocketed. Many local residents are currently paying over three-times the amount that they used to pay for utilities in 2022.

We have been made aware of numerous community residents, both renters and homeowners, that unfortunately had their utilities shut-off due to the fact that they couldn’t afford to pay the sky-high bills.

Several community members have voiced their concerns about the abnormal utility rate increases, including community activist and Shomrim leader Ari Weiss who raised the alarm and took to social media to bring awareness about this issue:

• “Where are all the legislators now?
• What is anyone doing about Con Edison’s new pricing? Where is the outcry from the government? Or does this not fit into their agenda? Why is anyone afraid to take them on? These bills are hitting NYC residents hard—people who probably live paycheck to paycheck. The middle class is shrinking; it’s like you’re either rich or poor now. How are people supposed to survive when there’s not a word from our leaders?
• It’s time the legislative body starts working for the average American citizen. This is not a left or right issue—this is about people who are forced to choose between paying a bill or buying bread for their kids.
• We need to stop Con Edison from price gouging and start controlling those outrageous fees. It’s time to stand up for the people!”

Weiss concluded.

FrumNews.com would like to commend Governor Hochul, Senator Skoufis, Assemblyman Eichenstein and all their staff, for their incredible work and dedication championing this important bill. Hopefully this new law will ease the financial burden on hard working New York residents across the state that are struggling to make ends meet.