[HISTORY:[1] Adopted by the Town Board of the Town of Brookhaven 10-3-2019 by L.L. No. 23-2019, effective 10-16-2019. Amendments noted where applicable.]
[1]
Editor's Note: Former Ch. 32, Fish Nets, adopted 6-16-1987
by L.L. No. 7-1987, as amended, was determined by the Supreme Court
of the State of New York, Suffolk County, to be invalid 9-24-1998.
A.
It is the policy of both the Town of Brookhaven (hereinafter the
"Town") and the State of New York to reduce costs and provide cost
certainty for the purpose of economic development, to promote deeper
penetration of energy efficiency and renewable energy resources such
as wind and solar, and wider deployment of distributed energy resources
as well as to examine the retail energy markets and increase participation
of and benefits for eligible consumers in those markets. Among the
policies and models that may offer benefits in New York is Community
Choice Aggregation ("CCA"), which allows local governments to determine
the default supplier of electricity and natural gas on behalf of eligible
consumers.
B.
The purpose of CCA is to allow participating local governments to
procure energy supply service for eligible consumers, who will have
the opportunity to opt out of the procurement of energy supply, while
maintaining transmission and distribution service from the existing
distribution utility. This chapter establishes a program ("CCA Program")
that will allow the Town of Brookhaven and other local governments
to work together through a shared purchasing model to put out for
bid the total amount of natural gas and/or electricity being purchased
by eligible consumers within the jurisdictional boundaries of participating
municipalities. Eligible consumers will have the opportunity to have
more control to lower their overall energy costs, to spur clean energy
innovation and investment, to improve customer choice and value, and
to protect the environment, thereby fulfilling the purposes of this
chapter and fulfilling an important public purpose.
C.
The Town is authorized to implement this CCA Program pursuant to
Section 10(1)(ii)a(12) of the New York Municipal Home Rule Law; and
as part of New York State's Reforming the Energy Vision (REV),
the New York State Public Service Commission (PSC), on April 21, 2016,
adopted an order in PSC Case No. 14-M-0224 authorizing cities, towns,
and villages within the state to create Community Choice Aggregation
Programs, by themselves or in concert with other municipalities, and/or
to retain a CCA Administrator to implement the program and negotiate
energy supply agreements (ESAs).
D.
This chapter shall be known and may be cited as the "Community Choice
Aggregation Energy Program Law of the Town of Brookhaven."
For purposes of this chapter, and unless otherwise expressly
stated or unless the context otherwise requires, the terms in this
chapter shall have the meanings employed in the State of New York
Public Service Commission's Uniform Business Practices or, if
not so defined there, as indicated below:
Aggregated and anonymized information, including the number
of consumers by service class, the aggregated peak demand (kW) (for
electricity) by month for the past 12 months, by service class to
the extent possible, and the aggregated energy (kWh) for electricity
or volumetric consumption for gas by month for the past 12 months
by service class.
The individual duly authorized by the Town Board to put out
for bid the total amount of electricity and/or natural gas being purchased
by participating consumers. The CCA Administrator is responsible for
program organization, administration, procurement, and communications,
unless otherwise specified.
Customer-specific information, personal data and utility
data for all consumers in the municipality eligible for opt-out treatment
based on the terms of PSC CCA Order and the CCA Program design, including
the customer of record's name, mailing address, telephone number,
account number, and primary language, if available, and any customer-specific
alternate billing name, address, and phone number.
An agreement between the distribution utility and the municipality
that obligates each party to meet, collectively, (i) all national,
state and local laws, regulations or other government standards relating
to the protection of information that identifies or can be used to
identify an individual eligible consumer with respect to the CCA Administrator
or its representative's processing of confidential utility information;
(ii) the distribution utility's internal requirements and procedures
relating to the protection of information that identifies or can be
used to identify individual eligible consumers with respect to the
CCA Administrator or its representative's processing of confidential
utility information; and (iii) the PSC CCA Order and PSC rules, regulations
and guidelines relating to confidential data.
Energy supply service provided by the distribution utility
to consumers who are not currently receiving service from an energy
service company (ESCO). Eligible consumers within the Town that receive
default service, and have not opted out, will be enrolled in the program
as of the effective date of the energy supply agreement (ESA).
Local renewable energy projects, shared renewables like community
solar, energy efficiency, demand response, energy management, energy
storage, microgrid projects and other innovative Reforming the Energy
Vision (REV) initiatives that optimize system benefits, target and
address load pockets/profile within the CCA's zone, and reduce
cost of service for participating consumers.
The owner or controller of the means of distribution of the
natural gas or electricity that is regulated by the Public Service
Commission. For the purposes of this chapter, the term "distribution
utility" will refer to Keyspan/National Grid and/or PSEG Long Island,
or their corporate successors.
Eligible customers of electricity and/or natural gas who
receive default service from the distribution utility as of the effective
date of the ESA, or new consumers that subsequently become eligible
to participate in the program, at one or more locations within the
geographic boundaries of the municipality, except those consumers
who receive default service and have requested not to have their account
information shared by the distribution utility. For the avoidance
of doubt, all eligible consumers must reside or be otherwise located
at one or more locations within the geographic boundaries of the municipality,
as such boundaries exist on the effective date of the ESA.
An entity duly authorized to conduct business in the State
of New York.
Consumers of electricity that become eligible consumers after
the effective date of the ESA, including those that opt in or move
into Town.
Eligible consumers enrolled in the program, either because
they are consumers who receive default service from the distribution
utility as of the effective date and have not opted out, or are new
consumers.
The group responsible for initiating and organizing the CCA.
This group will typically secure buy-in from local governments and
engage in preliminary outreach and education around CCA. The program
organizer may be a nonprofit organization, local government, or other
third party. The program organizer and the CCA Administrator may be
the same.
The PSC's Order Authorizing Framework for Community
Choice Aggregation Opt-Out Program, issued on April 21, 2016, in Case
14-M-0224, "Proceeding on Motion of the Commission to Enable Community
Choice Aggregation Programs."
The New York State Public Service Commission.
ESCOs that procure electric power and natural gas for eligible
consumers in connection with this chapter or, alternatively, generators
of electricity and natural gas or other entities who procure and resell
electricity or natural gas.
A.
A Community Choice Aggregation (Energy) Program is hereby established
by the Town of Brookhaven, whereby the Town may implement a CCA Program
to the full extent permitted by the PSC CCA Order, as set forth more
fully herein.
B.
The Town may act as aggregator or broker for the sale of electric
supply, gas supply, or both to eligible consumers and may enter into
contracts with one or more suppliers for energy supply and other services
on behalf of eligible consumers.
C.
The Town may enter into agreements and contracts with other municipalities,
nonprofits, consultants, and/or other third parties to i) develop
and implement the CCA Program, ii) act as CCA Administrator, and/or
iii) develop offers of opt-in distributed energy resources (DER) products
and services to participating consumers, including opportunities to
participate in local renewable energy projects, shared solar, energy
efficiency, microgrids, storage, demand response, energy management,
and other innovative Reforming the Energy Vision (REV) initiatives
and objectives designed to optimize system benefits, target and address
load pockets/profile within the CCA zone, and reduce costs for CCA
customers.
D.
The operation and ownership of the utility service shall remain with
the distribution utility. The Town's participation in a CCA Program
constitutes neither the purchase of a public utility system, nor the
furnishing of utility service. The Town shall not take over any part
of the electric or gas transmission or distribution system and will
not furnish any type of utility service, but will instead negotiate
with suppliers on behalf of participating consumers.
A.
Eligible customers of electricity and/or natural gas who receive
default services from the distribution utility as of the effective
date, or new consumers that subsequently become eligible to participate
in the program, at one or more locations within the geographic boundaries
of the Town, except those consumers who receive default service and
have requested not to have their account information shared by the
distribution utility. For the avoidance of doubt, all eligible consumers
must reside or be otherwise located at one or more locations within
the geographic boundaries of the municipality, as such boundaries
exist on the effective date of the ESA.
A.
An opt-out letter, printed on municipal letterhead, shall be mailed
to eligible consumers at least 30 days prior to customer enrollment.
The opt-out letter shall include information on the CCA Program and
the contract signed with the selected ESCO, including specific details
on rates, services, contract term, cancellation fee, and methods for
opting out of the CCA Program. The letter shall explain that consumers
that do not opt out will be enrolled in ESCO service under the contract
terms and that information on those consumers, including energy usage
data and APP status, will be provided to the ESCO.
B.
All consumers shall have the option to opt out of the CCA Program
at any time without penalty.
C.
Termination fees shall not be charged to consumers that cancel their
CCA service as a result of moving out of the premises served.
Participating consumers shall be provided customer service,
including a toll-free telephone number available during normal business
hours (9:00 a.m. to 5:00 p.m., Eastern time, Monday through Friday)
to resolve concerns, answer questions, and transact business with
respect to the service received from the supplier.
A.
The municipality may request aggregated data and customer-specific
data from the distribution utility; provided, however, that the request
for customer-specific data is limited to only those eligible consumers
who did not opt out once the initial opt-out period has closed.
B.
Customer-specific data shall be protected in a manner compliant with,
collectively, (i) all national, state and local laws, regulations
or other government standards relating to the protection of information
that identifies or can be used to identify an individual that apply
with respect to the municipality or its representative's processing
of confidential utility information; (ii) the utility's internal
requirements and procedures relating to the protection of information
that identifies or can be used to identify an individual that apply
with respect to the municipality or its representative's processing
of confidential utility information; and (iii) the PSC CCA Order and
PSC rules, regulations and guidelines relating to confidential data.
C.
The municipality must enter into a data security agreement with the
distribution utility for the purpose of protecting customer data.
A.
A CCA Advisory Group is hereby established to develop and review
CCA-related proposals, act as the municipality's agent in awarding
said proposals, and forward information regarding such awards to the
Town Board for ratification.
B.
Membership to the CCA Advisory Group shall include the Supervisor,
Deputy Supervisor, Commissioner of Finance, Town Attorney, Director
of Information and Technology, or their respective designee(s).
The municipality may collect, or cause to be collected, funds
from customer payments to pay for administrative costs associated
with running the CCA Program.
A.
The Town of Brookhaven's Department of Finance will provide
annual reports which will be filed with the Town Clerk by March 31
of each year and cover the previous calendar year.
B.
Annual reports shall include, at a minimum: number of consumers served;
number of consumers cancelling during the year; number of complaints
received; commodity prices paid; value-added services provided during
the year (e.g., installation of DER or other clean energy services);
and administrative costs collected. The first report shall also include
the number of consumers who opted out in response to the initial opt-out
letter or letters.
C.
If a CCA supply contract will expire less than one year following
the filing of the annual report, the report must identify current
plans for soliciting a new contract, negotiating an extension, or
ending the CCA Program.
The invalidity or unenforceability of any section, subsection,
paragraph, sentence, clause, provision, or phrase of the aforementioned
sections, as declared by the valid judgment of any court of competent
jurisdiction to be unconstitutional, shall not affect the validity
or enforceability of any other section, subsection, paragraph, sentence,
clause, provision, or phrase, which shall remain in full force and
effect.
