New York 2025-2026 Regular Session

New York Senate Bill S04989

Introduced
2/14/25  
Refer
2/14/25  
Report Pass
5/19/25  
Refer
1/7/26  

Caption

Requires utility service providers to disclose planned rate increases to consumers within thirty days before a planned price increase takes effect; requires utility providers to provide contact information and a mechanism to cancel service completely.

Impact

If enacted, this bill would amend existing public service law and general business law, providing a structured approach for utility corporations to communicate forthcoming rate changes to their consumers. This legislative change is projected to foster transparency and allow consumers to make informed decisions regarding their utility services, thus potentially reducing customer dissatisfaction and complaints regarding unexpected rate hikes.

Summary

Bill S04989, introduced in New York State, aims to enhance consumer protection by requiring utility service providers, including gas, electric, water, and telecommunications companies, to disclose any planned rate increases to consumers at least thirty days prior to their effective date. This legislation mandates that notifications about the rate increases must be clear and conspicuous, delivered through separate communications that specify the amount of the increase, its effective date, and contact information for further inquiries.

Contention

The discussions around S04989 indicate a recognition of the importance of transparent consumer communications; however, concerns were raised regarding compliance burdens on utility providers. Some stakeholders argued that while increased transparency is beneficial for consumers, it may lead to operational challenges for utility companies, necessitating adjustments in their customer notification processes. Moreover, the requirement for clear communication outside of billing statements has sparked debates about the effectiveness of various notification methods.

Voting_history

The bill was heard in the Senate Consumer Protection Committee, where it received a unanimous vote in favor, reflecting a strong bipartisan support towards consumer protection measures. The favorable committee vote indicates a broader recognition among legislators of the need to safeguard consumers from unforeseen financial impacts related to utility rate changes.

Companion Bills

NY A10376

Same As Requires utility service providers to disclose planned rate increases to consumers within thirty days before a planned price increase takes effect; requires utility providers to provide contact information and a mechanism to cancel service completely.

Previously Filed As

NY A10376

Requires utility service providers to disclose planned rate increases to consumers within thirty days before a planned price increase takes effect; requires utility providers to provide contact information and a mechanism to cancel service completely.

NY S08935

Requires detailed billing for utilities and requiring utility providers to attend local municipal meetings to present proposed rate or charge increases.

NY S08947

Increases utility rate increase transparency for consumers by requiring additional information be made accessible to the public regarding fuel cost increases and increases in rates or charges.

NY A11229

Increases utility rate increase transparency for consumers by requiring additional information be made accessible to the public regarding fuel cost increases and increases in rates or charges.

NY S07567

Provides a reimbursement to small businesses and residential consumers of certain utilities for failure to provide contracted services; requires the Long Island power authority to do the same.

NY S09211

Relates to the cancellation of contracts for health club services; provides that for a contract for service due for renewal on a monthly basis, the health club shall accept cancellation of renewal if such request is made up to the day before such renewal takes effect; relates to the mechanisms through which a health club shall accept notice of cancellation and offer cancellation.

NY A10642

Relates to the cancellation of contracts for health club services; provides that for a contract for service due for renewal on a monthly basis, the health club shall accept cancellation of renewal if such request is made up to the day before such renewal takes effect; relates to the mechanisms through which a health club shall accept notice of cancellation and offer cancellation.

NY S09835

Requires gas and electric corporations to provide thirty days' notice to customers whenever there is a service rate or charge increase.

NY A10928

Requires gas and electric corporations to provide thirty days' notice to customers whenever there is a service rate or charge increase.

NY S05313

Addresses non-covered dental services by requiring all policies providing coverage of and all contracts for dental services issued to include a disclosure stating that a participating provider may charge their normal fee for services that are not covered; requires a cost estimate to be provided.

Similar Bills

No similar bills found.