N.Y. General City Law § 25-bb: Special rebates

§ 25-bb. Special rebates. (a) Amount of special rebates. Special

rebates shall be made to eligible redistributors of energy or qualified

eligible redistributors of energy, and discounts shall be made to a

public utility service, pursuant to paragraph one or two of this

subdivision, whichever is applicable:

(1) A private utility shall make a special rebate to an eligible

redistributor of energy equal to the following percentages of eligible

charges:

Months During Applicable % of Eligible

Benefit Period Charges or Eligible Public

Defined in Utility Service Charges

Subdivision (e)

first through ninety- 45%

sixth

ninety-seventh

through one hundred 36%

eighth

one hundred ninth

through one hundred

twentieth 27%

one hundred twenty-

first through one

hundred thirty-second 18%

one hundred thirty-

third through one

hundred forty-fourth 9%

; provided, however, that a private utility shall make a special rebate

to an eligible redistributor of energy that owns or leases an eligible

building that, in accordance with procedures set forth in local law, was

designated as a landmark before the issuance of a certificate of

eligibility pursuant to subdivision (f) of this section, equal to the

following percentages of eligible charges:

Months During Applicable % of Eligible

Benefit Period Charges or Eligible Public

Defined in Utility Service Charges

Subdivision (e)

first through one

hundred eighth 45%

one hundred ninth

through one hundred

twentieth 36%

one hundred twenty-

first through one

hundred thirty-second 27%

one hundred thirty-

third through one

hundred forty-fourth 18%

one hundred forty-

fifth through one

hundred fifty-sixth 9%

; or provided, however, that the department of business services of a

city having a population of one million or more may increase such

percentages at its discretion in order to maintain the special rebate at

levels comparable to those historically provided under the program,

pursuant to rules that are generally applicable to distinct classes of

energy users.

(2) Where, pursuant to a written agreement between such public utility

service and the power authority of the state of New York, such public

utility service sells energy services to a qualified eligible

redistributor of energy that has been individually approved by such

power authority and certified pursuant to subdivision (f) of this

section before November first, two thousand, or to an eligible

redistributor of energy that has been individually approved by such

power authority and certified pursuant to subdivision (f) of this

section after October thirty-first, two thousand, and such energy

services have been provided by a private utility, such private utility

shall make a discount to such public utility service and such public

utility service shall make a special rebate to such qualified eligible

redistributor of energy or such eligible redistributor of energy, which

discount and special rebate shall be the product of the eligible public

utility service charges to such qualified eligible redistributor of

energy and the applicable percentage for a special rebate for energy

services in the applicable schedule contained in paragraph one of this

subdivision.

(b) Implementation by private utility and public utility service. Each

private utility or public utility service that is required to make a

special rebate to an eligible redistributor of energy or qualified

eligible redistributor of energy by subdivision (a) of this section

shall reduce each energy services bill for such redistributor by the

full amount of the special rebate or rebates that shall have accrued for

the period covered by each such bill. Such utility or utility service

shall cease to make such reductions in such energy services bills upon

receipt of notification from the department of small business services

of a city having a population of one million or more that the

certification issued pursuant to subdivision (f) of this section has

been suspended or terminated, and such utility or utility service shall

change the amount of such reduction in accordance with such notification

from such department. Notwithstanding the provisions of this

subdivision, a private utility or public utility service shall not be

required to provide a special rebate in an amount that exceeds the

amount of such energy services bill.

(c) Implementation by redistributor. An eligible redistributor of

energy or a qualified eligible redistributor of energy shall implement

the following:

(1) An eligible redistributor of energy or a qualified eligible

redistributor of energy shall reduce the energy services bills rendered

by such redistributor to eligible revitalization area energy users

occupying, operating or managing premises in eligible buildings or

targeted eligible buildings owned or leased by such redistributor by an

amount equal, in the aggregate, to one hundred per centum of each

special rebate received by such redistributor.

(2) Each eligible redistributor of energy or qualified eligible

redistributor of energy shall allocate the reductions required by

paragraph one of this subdivision in accordance with each such eligible

revitalization area energy user's use of energy services as follows: (i)

if the premises of such user are submetered, such use shall be

determined by such submeter; (ii) if the premises of such user are not

submetered, such use shall be determined by rules of such department of

small business services; and (iii) if an eligible redistributor of

energy or qualified eligible redistributor of energy charges amounts to

eligible revitalization area energy users that vary annually or more

frequently with the costs incurred by such redistributor for the

operation of common areas, systems or facilities, such redistributor

shall reduce such charges by the portion of the special rebates

attributable thereto.

(3) Each eligible redistributor of energy or qualified eligible

redistributor of energy shall individually and accurately submeter the

energy services sold or otherwise redistributed by such redistributor to

each such eligible revitalization area energy user or other occupant of

eligible buildings or targeted eligible buildings owned or leased by

such redistributor so as to enable a determination of each such user's

or occupant's usage of energy services, provided such user or occupant

occupies, operates or manages premises that equal or exceed the lesser

of ten thousand contiguous square feet in area or the entire floor of a

building.

(4) Each eligible redistributor of energy or qualified eligible

redistributor of energy shall limit charges to those eligible

revitalization area energy users that are submetered in accordance with

this section to a price for the purchase of energy services that shall

be no higher than the price paid by such redistributor, provided that an

additional fee, not exceeding twelve per centum of such price, may be

charged by such redistributor for energy services sold to such eligible

revitalization area energy users.

(5) Each eligible redistributor of energy or qualified eligible

redistributor of energy shall separately state in all energy services

bills rendered by such redistributor to an eligible revitalization area

energy user for sales of energy services the amount of the reduction in

charges for energy services representing the share of the special rebate

allocated to such user, or that no reduction has been made. All such

bills for energy services shall state substantially the following: "You

may be entitled to share a rebate that your landlord has received for

charges for energy pursuant to the revitalization area energy rebate

program. The amount is separately stated and identified in this bill."

(6) Each eligible redistributor of energy or qualified eligible

redistributor of energy shall keep records verifying compliance with the

provisions of this article and ensure that such department of small

business services and other appropriate city agency or agencies, as

determined by rule of such department, have access to such records.

(7) Each eligible redistributor of energy or qualified eligible

redistributor of energy shall provide access to eligible buildings and

targeted eligible buildings by such department of small business

services and other appropriate city agency or agencies, as determined by

rule of such department, for the purpose of inspecting meters and other

equipment and verifying the accuracy of any application or supplement

thereto filed with such agency pursuant to this article.

(d) Additional obligations of qualified eligible redistributors of

energy. A qualified eligible redistributor of energy shall (i) submit to

such department of small business services on an annual basis proof that

the heating and cooling systems within the targeted eligible building

continue to meet the performance standards specified in former section

7813.21 of the New York state energy conservation construction code

promulgated pursuant to article eleven of the energy law, or if

applicable, a municipal code authorized pursuant to such article, or

such predecessor section to which such building, when constructed or

substantially renovated, was subject, and (ii) to the extent that the

cost of motors or lighting equipment described in former sections

7813.52 and 7813.53 of the energy conservation construction code is

included as part of the expenditures required in subdivision (q) of

section twenty-five-aa of this article, the qualified redistributor of

energy shall certify to such agency that all such compatible equipment

with a simple payback period of five years or less has been installed.

(e) Benefit period. An eligible redistributor of energy or a qualified

eligible redistributor of energy shall be eligible for special rebates

for a benefit period which begins on the first day of the first billing

cycle which commences after the certification is issued pursuant to

subdivision (f) of this section; such period, unless sooner ended due to

a termination of such certification, shall end one hundred forty-four

months after the beginning of such period, provided, however, that if

such redistributor owns or leases an eligible building that, in

accordance with procedures set forth in local law, was designated as a

landmark before the issuance of such certification, then such period

shall end one hundred fifty-six months after the beginning of such

period.

(f) Application and certification. An owner or lessee of a building or

structure located in an eligible revitalization area, or an agent of

such owner or lessee, may apply to such department of small business

services for certification that such building or structure is an

eligible building or targeted eligible building meeting the criteria of

subdivision (a) or (q) of section twenty-five-aa of this article.

Application for such certification must be filed after the thirtieth day

of June, nineteen hundred ninety-five and before a building permit is

issued for the construction or renovation required by such subdivisions

and before the first day of July, two thousand twenty-seven, provided

that no certification for a targeted eligible building shall be issued

after October thirty-first, two thousand. Such application shall

identify expenditures to be made that will affect eligibility under such

subdivision (a) or (q). Upon completion of such expenditures, an

applicant shall supplement such application to provide information (i)

establishing that the criteria of such subdivision (a) or (q) have been

met; (ii) establishing a basis for determining the amount of special

rebates, including a basis for an allocation of the special rebate among

eligible revitalization area energy users purchasing or otherwise

receiving energy services from an eligible redistributor of energy or a

qualified eligible redistributor of energy; and (iii) supporting an

allocation of charges for energy services between eligible charges and

other charges. Such department shall certify a building or structure as

an eligible building or targeted eligible building after receipt and

review of such information and upon a determination that such

information establishes that the building or structure qualifies as an

eligible building or targeted eligible building. Such department shall

mail such certification or notice thereof to the applicant upon

issuance. Such certification shall remain in effect provided the

eligible redistributor of energy or qualified eligible redistributor of

energy reports any changes that materially affect the amount of the

special rebates to which it is entitled or the amount of reduction

required by subdivision (c) of this section in an energy services bill

of an eligible revitalization area energy user and otherwise complies

with the requirements of this article. Such department shall notify the

private utility or public utility service required to make a special

rebate to such redistributor of the amount of such special rebate

established at the time of certification and any changes in such amount

and any suspension or termination by such department of certification

under this subdivision. Such department may require some or all of the

information required as part of an application or other report be

provided by a licensed engineer.

(g) Rules. Such department of business services may promulgate rules

to carry out the purposes of this article, including but not limited to

rules that:

(i) prescribe methods for determining the amount of special rebates

and the allocations of reductions in energy services bills among

eligible revitalization area energy users as required by this article,

including allocations of charges between eligible charges, eligible

public utility service charges and other charges and formulas and

methods for such allocations where usage of energy services for a

particular purpose or a particular occupant is not metered or submetered

or cannot be precisely ascertained for any other reason;

(ii) require that eligible revitalization area energy users and other

users that are not eligible revitalization area energy users purchase

energy services directly from a private utility or public utility

service if the direct purchase from such a utility or service would

facilitate the determination of the amount of special rebates and the

allocations of reductions in energy services bills among eligible

revitalization area energy users;

(iii) require eligible redistributors of energy and qualified eligible

redistributors of energy to include statements in new leases, contracts

and other agreements with eligible revitalization area energy users and

other occupants, and to disclose to such users and other occupants the

terms and conditions for the sale of energy services to such users and

other occupants and the availability of reductions in energy services

bills pursuant to this article, and rules that require such

redistributors to make written assurances or undertakings to eligible

revitalization area energy users that appropriate reductions in energy

services bills will be made pursuant to this article, and rules that

prescribe forms for such statements, disclosures, assurances, and

undertakings;

(iv) require any eligible redistributor of energy, qualified eligible

redistributor of energy, eligible revitalization area energy user,

private utility or other person selling energy services within such city

to keep records of all transactions subject to this article and to make

such records available to appropriate city agencies;

(v) require that statements in connection with the application and any

amendments thereof be made under oath;

(vi) prescribe requirements for reports to be made annually and at

other times to such department by an eligible redistributor of energy or

a qualified eligible redistributor of energy during the duration of the

benefit period defined in subdivision (e) of this section; and

(vii) provide for such administrative charges or fees as are necessary

to defray expenses in administering the special rebates provided

pursuant to this article, including, but not limited to the cost of a

survey conducted on behalf of such department to determine exclusions

from eligible charges and eligible public utility service charges or

allocations between eligible revitalization area energy users and other

persons.

(h) Enforcement. Such department of business services may deny an

application for a certificate of eligibility or suspend or terminate a

certificate of eligibility issued pursuant this article whenever: (i) an

eligible redistributor of energy or a qualified eligible redistributor

of energy fails to comply with the requirements of this article or the

rules promulgated hereunder; or (ii) an application, certificate,

amendment, supplement, annual report or other document submitted by an

applicant pursuant to this article or such rules contains a false or

misleading statement as to a material fact or omits to state any

material fact necessary in order to make the statements therein not

false or misleading; or (iii) any real property tax or water or sewer

charge due and payable with respect to an eligible building or targeted

eligible building shall remain unpaid for at least one year following

the date upon which such tax or charge became due and payable, unless

within thirty days from the mailing of a notice of termination by such

department satisfactory proof is presented to such department that any

and all delinquent taxes and charges owing with respect to such building

as of the date of such notice have been paid in full or are currently

being paid in timely installments pursuant to a written agreement with

the appropriate agency of such city; or (iv) any payment in lieu of

taxes payable with respect to such buildings shall remain unpaid for at

least one year following the date upon which such payment became due and

payable. Such department shall terminate a certificate of eligibility in

the event an eligible redistributor of energy or qualified eligible

redistributor of energy fails at any time within the first five years of

the benefit period to submeter any premises as required by paragraph

three of subdivision (c) of this section. Such city may maintain a civil

action or proceeding to recover an amount equal to any benefits

improperly obtained.