[HISTORY: Adopted by the Board of Trustees of the Village
of Highland Falls 4-19-2021 by L.L. No. 2-2021. Amendments noted where
applicable.]
A.
It is the policy of both the Village of Highland Falls ("municipality")
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, while maintaining transmission
and distribution service from the existing distribution utility. This
chapter establishes a program ("CCA Program") that will allow the
municipality 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 municipality is authorized to implement this CCA Program pursuant
to § 10(1)(ii)(a)(12) of the New York Municipal Home Rule
Law, and State of New York Public Service Commission Case No. 14-M-0224,
Proceeding on Motion of the Commission to Enable Community Choice
Aggregation Programs (issued April 21, 2016), as may be amended, including
subsequent orders of the Public Service Commission (PSC) issued in
connection with or related to Case No. 14-M-0224, to the extent that
orders related to Case No. 14-M-0224 enable actions by the municipality.
D.
This chapter shall be known and may be cited as the "Community Choice
Aggregation (Energy) Program Law" of the municipality.
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 third-party CCA Administrator duly authorized 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 the 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:
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;
The distribution utility's internal requirements and procedures
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; and
The PSC CCA Order and PSC rules, regulations and guidelines
relating to confidential data.
The 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 municipality that receive
default service, and have not opted out, will be enrolled in the program
as of the effective date.
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.
Eligible customers of electricity and/or natural gas who
receive default service 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 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 electric service agreement (ESA).
An entity duly authorized to conduct business in the State
of New York as an ESCO.
Consumers of electricity that become eligible consumers after
the effective date of the ESA, including those that opt in or move
into the municipality.
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 Village of Highland Falls, whereby the municipality may implement
a CCA Program to the full extent permitted by the PSC CCA Order, as
set forth more fully herein.
B.
The municipality 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 municipality may enter into agreements and contracts with other
municipalities, nonprofits, consultants, and/or other third parties
to:
(1)
Develop and implement the CCA Program;
(2)
Act as CCA Administrator; and/or
(3)
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 municipality's participation in
a CCA Program constitutes neither the purchase of a public utility
system, nor the furnishing of utility service. The municipality 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.
All consumers within the municipality, including residential and
nonresidential, regardless of size, shall be eligible to participate
in the CCA Program.
B.
All consumers that are members of i) SC 1 Residential Service, and
SC 2 General Secondary or Primary Service for electricity with Orange
and Rockland Utilities, Inc., and ii) SC 1 Residential and Space Heating,
and SC 2 General Service for gas with Orange and Rockland Utilities,
Inc., shall be enrolled on an opt-out basis except for consumers a)
that are already taking service from an ESCO, b) that have placed
a freeze or block on their account, or c) for whom inclusion in the
CCA Program will interfere with a choice the customer has already
made to take service pursuant to a special rate. Those consumers may
be enrolled on an opt-in basis.
C.
New consumers shall be enrolled on an opt-out basis.
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 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:
(1)
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;
(2)
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
(3)
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 may be 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 Village Board
for ratification.
B.
Membership to the CCA Advisory Group may include the Village Comptroller,
Village Street Superintendent, Village Board representative(s), and
interested citizens.
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.
Annual reports shall be filed with the Board of Trustees of the Village
of Highland Falls by March 31 of each year and cover the previous
calendar year.
B.
Annual reports shall include, at a minimum, the number of consumers
served; the number of consumers cancelling during the year; the 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.
This chapter shall be effective upon filing with the Secretary
of State.
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.
