Relates to periods suspending the operation of certain rate, charge or other changes by utilities, and provisions permitting utilities to retroactively recover revenues they would have earned during such periods

2025 Regular Session Introduced by Chris Burdick and 3 co-sponsors

Suspends certain utility rate changes for defined periods and lets utilities retroactively recover the revenues they would have earned during the suspension.

REFERRED TO ENERGY

Bill A 6951 — Summary

Overview

A 6951, introduced March 18, 2025, relates to establishing periods during which certain rate, charge, or other changes by utilities would be suspended, and to provisions permitting utilities to retroactively recover revenues they would have earned during those suspended periods. The bill has been referred to the Energy Committee.

Purpose and Intent

Create defined periods in which utility rate/charge changes are temporarily halted.

Allow utilities to retroactively recover the revenues they would have earned during those suspended periods.

Address potential financial considerations for utilities while impacting how and when rate changes are implemented and recovered.

Key Provisions (as described)

Suspension of certain utility rate, charge, or other changes for a defined period.

Authorization or framework for utilities to recover revenues retroactively for the period in which changes were suspended.

Regulatory or procedural mechanisms to implement and administer such suspensions and retroactive recoveries (details not provided in the summary).

Affected Parties

Utilities subject to the bill’s provisions (e.g., electric, gas, water, or other regulated utility providers).

Utility customers/ratepayers who would be subject to suspended rate changes and any subsequent retroactive charges.

State or municipal energy regulators responsible for overseeing utility rates and recovery mechanisms.

Legislative Status and Timeline

Introduced: March 18, 2025.

Status: Referred to the Energy Committee.

Legislative Actions: On March 18, 2025, the bill was referred to Energy (listed twice in the actions).

Sponsors and Related Legislation

Primary Sponsor: Zohran Mamdani

Cosponsors: Chris Burdick, Steven Otis

Related/B companion bills: S 5593 (companion bill in another chamber)

Potential Impacts and Considerations

Consumers: Possible delays in rate changes but later retroactive charges could affect bills, depending on how and when recovery is implemented.

Utilities: Could gain flexibility to manage revenue during suspension periods, potentially stabilizing cash flow; may face future adjustments to recover missed revenues.

Regulators: Would need to establish clear procedures for defining suspension periods and administering retroactive recoveries, including timelines, caps, and protections for ratepayers.

Economic/Policy Context: The bill’s approach could influence investment signals for utilities and affect affordability and predictability of utility bills.

Next Steps

Committee review, potential amendments, and consideration for floor votes in the sponsor chamber.

If advanced, examination and possible passage in the companion chamber (in relation to S 5593).