New York Bans Utilities From Cutting Service During Outbreak

June 17, 2020, 10:33 PM UTC

Electric utilities, water providers and others in New York state won’t be allowed to terminate services for customers experiencing hardship as a result of the coronavirus or future declared emergencies, under legislation that Gov. Andrew Cuomo (D) signed Wednesday.

The bill (S.8113A/A.10521) effective immediately bars utility corporations or municipalities from shutting off the services of residential customers enduring financial hardship because of a state of emergency or pandemic. It would apply to utilities that provide amenities like water, sewage service, electricity, telephone service, and natural gas.

  • The state Legislature passed the bill in late May along with about 30 other bills related to the Covid-19 outbreak. It was signed without comment by Cuomo along with several other measures.
  • After the state of emergency is lifted or expires, utilities can’t disconnect service because of a defaulted deferred payment agreement if it stems from a change in financial circumstances that occurred during the pandemic, according to the bill. The customer must be given the chance to renegotiate a deferred payment agreement.

To contact the reporter on this story: Keshia Clukey in Albany, N.Y. at kclukey@bloomberglaw.com

To contact the editors responsible for this story: Gregory Henderson at ghenderson@bloombergindustry.com; Chuck McCutcheon at cmccutcheon@bloombergenvironment.com

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