It is the intent of the City of Troy to establish a Community
Choice Aggregation (CCA) Program to aggregate the energy supply needs
of residents (and small commercial customers), and to negotiate and
enter into, or authorize its agent to negotiate and enter into, energy
supply agreements (ESAs) with energy service companies (ESCOs) on
behalf of eligible citizens to obtain stable, lower-cost energy prices,
as well as environmental benefits and/or a community-based solution
to meeting our collective energy needs. The purpose of this chapter
is two-fold: to establish a CCA Program in the City of Troy and to
adopt certain provisions relating to the creation and implementation
of the CCA Program.
The NYSPSC Order Authorizing CCAs expressly empowers cities,
towns and villages in this state to create CCA Programs. Further,
the New York Municipal Home Rule Law, Article 2, § 10, authorizes
a municipality to adopt general laws relating to its property, affairs
and government, the protection and enhancement of its physical and
visual environment, the protection and well-being of persons within
the municipality, and for other authorized purposes.
As used in this chapter, the following terms shall have the
meanings indicated:
AUTOMATICALLY ELIGIBLE CUSTOMERS
Customers' accounts in those utility service classes
eligible for inclusion in the CCA Program on an opt-out basis, as
set forth in the NYSPSC Order Authorizing CCAs, Appendix C, or as
otherwise specified by the Commission. Generally, these classes of
customers include those receiving residential electric or gas supply
service, including those in multifamily housing, certain types of
institutions, and some small commercial customers covered by "small
general service" class designations. Automatically eligible customers
shall not include customers' accounts that have already been
enrolled in service through an ESCO, enrolled in utility programs
which require them to take supply service from their current utility,
or that have a block on their utility account at the time of CCA formation
(NOTE: Except assistance program participants (APPs), customers enrolled
in utility low-income assistance programs who may have blocks on their
accounts with their existing utility, but who may still be eligible
to participate.); those customers' accounts shall be eligible
to participate on an opt-in basis, if they so desire.
CCA ADMINISTRATOR
An agent of the municipality charged with overseeing creation,
implementation and operation of a CCA Program, as well as competitively
procuring and negotiating energy supply agreements with ESCOs. The
CCA Administrator shall be retained by the municipality via a separate
CCA administration agreement, adopted by resolution of the municipality's
governing board.
COMMUNITY CHOICE AGGREGATION (CCA)/CCA PROGRAM
A program authorized by the New York State Public Service
Commission (NYSPSC) to aggregate residential and commercial electric
and/or natural gas supply and/or energy-related value-added products
and services within a given municipality, and/or among multiple municipalities,
in order to leverage that energy demand to negotiate favorable energy
supply agreements directly with ESCOs. Customers within a CCA Program
would no longer purchase their energy supply directly from their utility.
However, the utility would continue to deliver energy to these customers,
to charge for that delivery, and will retain its transmission and
distribution network. The energy supply portion of a customer's
energy service is provided by an ESCO or ESCOs, pursuant to an energy
supply agreement competitively procured and negotiated for the CCA
Program at large, then delivered to customers via the local utility.
ELIGIBLE CUSTOMERS
All automatically eligible customers plus those utility customers
eligible for inclusion in the CCA Program on an opt-in basis, as set
forth in the NYSPSC Order Authorizing CCAs or otherwise authorized
by the Commission. Those customers eligible to participate in the
CCA Program on an opt-in basis currently include: those customers
already enrolled in service through an ESCO at the time of CCA formation,
customers in large commercial, institutional, or industrial utility
service classes that cannot be automatically enrolled in the CCA on
an opt-out basis, and all other customers not considered "automatically
eligible customers." References to the broader class of "eligible
customers" shall signify the entire pool of customers participating
in the aggregation, either because they have been automatically enrolled
on an opt-out basis, or because they have affirmatively opted in.
ENERGY SERVICES COMPANY (ESCO)
A third-party energy supplier eligible to sell electricity,
natural gas and/or energy-related value-added services to customers
in New York State, utilizing the transmission and distribution systems
of existing utilities. ESCOs are regulated by the New York State Department
of Public Service and the New York State Public Service Commission,
and must comply with the New York State Public Service Law.
ENERGY SUPPLY AGREEMENT (ESA)
An agreement between an energy customer and an energy services
company (ESCO) to provide electricity or gas service to the customer
for a fixed or variable price. For purposes of this chapter, the CCA
Administrator would conduct a competitive procurement on behalf of
all eligible customers, and would enter into an energy service agreement(s)
with an ESCO to provide power to all such customers in the community.
MUNICIPALITY
Reference to these terms throughout this chapter indicate
the City of Troy, unless otherwise noted.
UTILITY
This term refers to traditional electric and/or natural gas
utilities regulated by the New York State Department of Public Service
and the New York State Public Service Commission and permitted to
provide electric and/or gas supply, transmission and distribution
services to all customers within their designated service territory.
For purposes of this chapter, the term "utility" will refer to "Niagara
Mohawk Power Corporation d/b/a National Grid."
City of Troy hereby establishes a CCA Program for aggregation
of electric and/or natural gas supply to serve all eligible customers
in its jurisdiction. All automatically eligible customers shall be
included in the CCA Program on an opt-out basis, and shall be afforded
the opportunity to opt-out of the CCA Program, within a specified
period, at no cost. All customers who are not automatically eligible
to be included in the CCA Program on an opt-out basis shall be permitted
to affirmatively opt into the program in accordance with the terms
of the ESA and/or the NYSPSC Order Authorizing CCAs.
There is hereby created a City of Troy Community Choice Aggregation
Oversight Board (hereinafter referred to as the "CCA Oversight Board")
for the purposes of overseeing the CCA Program and general implementation.
A. Part A. Scope of authority and duties of CCA Oversight Board. The
CCA Oversight Board shall:
(1) Review and approve the selection of the CCA Administrator, the implementation
plan, the education and outreach plan, selection of the ESCO, any
and all contracts and supplemental changes to any contracts and plans
as provided in this chapter.
(2) Receive timely notices of all proposed actions, plans, changes, and
updates relating to the CCA Program.
(3) Together with the CCA Administrator, create and follow a customer
data protection plan.
(4) Meet at a minimum of quarterly to receive an update on the CCA from
the CCA Administrator and report back to the City Council and the
Mayor.
(5) Perform general oversight of the CCA Program and public outreach
of the CCA Program and the CCA Administrator.
(6) The Board must submit a report six months after the initial implementation
of the Program and thereafter annually to the City Council and Mayor.
B. Part B. Membership of the CCA Oversight Board.
(1) The membership of the CCA Oversight Board shall consist of five members
comprised of: two members of the City Council selected by the President
and President Pro Tem, the Chair of the Joint Task Force on Sustainability
and Climate Smart Practices in Community Planning or his or her designee,
the Commissioner of Planning and Economic Development or his or her
designee, and a mayoral appointee who is a resident of the City of
Troy.
(2) The Chairperson of this committee shall be chosen amongst the membership
by a majority vote.
In accordance with the NYSPSC Order Authorizing CCAs, it shall
be the responsibility of the City of Troy, supported by any CCA Administrator
that may be under contract, to ensure the CCA Program is operated
in compliance with all applicable provisions of the New York State
Public Service Law, regulations of the New York State Public Service
Commission and/or the New York State Department of Public Service,
the Uniform Business Practices (to the extent applicable), the NYSPSC
Order Authorizing CCAs and any other relevant laws or regulations.
This provision applies regardless of whether a CCA Administrator is
retained to organize and implement the City of Troy's CCA Program.
This shall include, but not be limited to, compliance with any reporting
requirements related to the CCA Program.
In the event the New York State Public Service Commission, the
State Legislature, or other state agency enacts laws or regulations
regarding the operation of CCAs which are in conflict with this chapter,
the state provisions shall govern.
Nothing in this chapter shall be read to create liability on
the part of the City related to the provision of electric and/or natural
gas service to customers. The ESCO selected to provide such service
will be ultimately responsible for compliance with all applicable
laws, rules and regulations governing retail energy services, and
will assume any liability stemming from the provision of such service
to retail customers, including any potential liability associated
with the service itself, customer data and information, and any other
matters which would traditionally fall under the purview of a merchant
utility providing the same service to customers prior to the formation
of the CCA. This chapter is meant merely to facilitate the creation
of an aggregation program in this community. The City will not assume
the role of ESCO or utility in the sale or delivery of energy services.
Each provision of this chapter is severable from the others,
so that if any provision is held to be illegal or invalid for any
reason whatsoever, such illegal or invalid provision shall be severed
from this chapter, which shall nonetheless remain in full force and
effect.
This chapter shall take effect upon the filing with the Secretary
of State.