N.Y. Public Service Law § 135-g: Financing

§ 135-g. Financing. 1. Where any home conservation plan is approved by

the commission and requires utility financing, any such plan shall

provide that upon entering into a financing contract and security

agreement with an eligible customer, the utility shall reimburse such

eligible customer, or pay directly to an authorized contractor and/or

supplier a sum of money to cover the costs of installing energy

conservation measures, subject to the maximum amount set forth in

subdivision four hereof. Such sum shall be referred to as "the amount

financed".

2. Any such home conservation plan shall contain several options for

period of repayment; provided, however, the maximum repayment period

shall be seven years and it shall be offered in each plan.

3. Each participant shall repay to the utility the total amount

financed plus allowable interest charges on such amounts, through

charges separately set forth and identified, on such participant's

periodic bill for gas or electric service from the financing utility, or

may be separately billed as provided in the plan.

4. The total amount financed by a participant shall not exceed two

thousand five hundred dollars in the case of a single family home, three

thousand five hundred dollars in the case of a two family home, four

thousand dollars in the case of a three family home, and four thousand

five hundred dollars in the case of a four family home.

The total amount financed by a participant for paragraph (j) of

subdivision four of section one hundred thirty-five-b of this chapter

shall not exceed four thousand dollars in the case of a single family

home, five thousand dollars in the case of a two family home, five

thousand five hundred dollars in the case of a three family home, and

six thousand dollars in the case of a four family home.

5. In the event an eligible customer takes both electric service and

gas service from different utilities, the customer may choose to

participate in one plan offered by either the gas company or the

electric company, but not both. The total amount financed shall become

an added portion of the bill from the one utility in whose plan the

customer participates and shall become a debt due such utility.

6. Any financing utility shall be entitled to receive interest from

each participating, eligible customer on the amount financed by that

customer at a maximum rate to be determined by the commission in

approving the utility's home conservation plan. In determining the

maximum rate of interest, the commission shall consider the cost of

borrowing to the utility from all available sources, the cost of

financing generally available to potential participating customers from

other sources, the maximum use of funds available to a utility, efforts

by the utility to minimize interest costs, and shall endeavor to set the

rate in a manner which will assist customers in installing energy

conservation measures at the lowest possible cost. In no event shall the

interest rate exceed the overall rate of return awarded to the utility

in its last general rate case. The commission and any financing utility

shall develop and adopt means for minimizing the cost to utilities for

providing financing under this article.

7. In adopting any such home conservation plan the commission shall

set maximum aggregate amounts to be available for financing by each

utility in the year of its plan.