Senate passes bill to limit utility fees, terminations during formal investigations; 39-21

Albany, April 9, 2025 — The New York State Senate on Wednesday approved an amendment to the Public Service Law that prevents residential customers of gas, electric and steam utilities from being charged late fees, penalties, interest or losing service while a formal Public Service Commission (PSC) investigation is underway and for 120 days after the PSC issues its findings. The measure (Senate print 904A) passed 39–21.

Supporters said the bill fills a gap in consumer protections when utilities are under formal investigation. “When utility companies… billed incorrectly, those customers were impacted and not intervened by the PSC to protect them,” sponsor Senator Gonzalez said during debate, citing a 2021 Central Hudson billing episode as an example. Gonzalez said the bill provides consistent protections for customers while investigations proceed.

Backers argued the proposal is narrowly aimed at formal, credible investigations — not routine PSC proceedings such as ordinary rate-setting — and cited statutory authority for investigations under section 71 of the Public Service Law. “This bill is an important step towards doing…