HOUSE BILL 538

48th legislature - STATE OF NEW MEXICO - first session, 2007

INTRODUCED BY

Ben Lujan

AN ACT

RELATING TO ENERGY ASSISTANCE; PROVIDING FOR HOME HEATING RELIEF; REVISING THE MORATORIUM ON DISCONNECTION OF UTILITY SERVICE FOR HEATING DURING CERTAIN WINTER MONTHS; PROVIDING PAYMENT OPTIONS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. A new Section 27-6-18.1 NMSA 1978 is enacted to read:

     "27-6-18.1. [NEW MATERIAL] PROHIBITION ON DISCONTINUANCE OR DISCONNECTION OF UTILITY SERVICE DURING THE WINTER HEATING SEASON--MINIMUM PAYMENTS--PAYMENT PLANS--EXCEPTIONS.--

          A. Except as provided in Subsections C, D and F of this section, unless requested by the customer, no utility shall discontinue or disconnect service to a residential customer during the heating season for nonpayment of the customer's utility bill, if:

                (1) the customer has been qualified to receive assistance pursuant to the low-income home energy assistance program by the administering authority during the program's current season;

                (2) the customer pays a minimum of twenty-five percent of the customer's current charges for each month during the heating season; provided that the payments are in addition to the assistance provided by the low-income home energy assistance program that has been applied to the customer's utility bill; and

                (3) the customer enters into one of the following payment options to pass the remaining balance of utility payments owed by the customer for the prior heating season, selected by the customer:

                     (a) a monthly payment plan with the utility during the nonheating season in which the customer agrees to pay past due charges in monthly installments in addition to the current monthly charges due and agrees to maintain the monthly payment plan; or

                     (b) a budget payment plan with the utility approved by the public regulation commission in which the customer agrees to pay an equal amount each month throughout the year.

          B. In regard to the option set forth in Subparagraph (a) of Paragraph (3) of Subsection A of this section, a monthly payment plan shall require that the customer:

                (1) pay the past due charges from the customer's utility bills in full before the beginning of the next heating season; and

                (2) pay for continued utility service during the nonheating season.

          C. In regard to the payment option set forth in Subparagraph (a) of Paragraph (3) of Subsection A of this section, if the customer does not pay the past due charges from the customer's utility bill from the prior heating season before the beginning of the next heating season, the customer shall not be eligible for protection from discontinued or disconnected utility service pursuant to this section during that next heating season until the past due charges are paid in full.

          D. A utility may discontinue or disconnect service during the heating season if the customer fails to honor the payment option selected by the customer from the two options set forth in Paragraph (3) of Subsection A of this section.

          E. A customer who has defaulted on the customer's chosen payment plan and whose utility service has been discontinued or disconnected can be reconnected and maintain the protection afforded by this section by paying reconnection charges, if any, and by paying the amount due pursuant to the payment plan by the date on which service is reconnected.

          F. The prohibition on the discontinuance or disconnection of service pursuant to Subsection A of this section shall not apply in a heating season for which the state does not provide money to the human services department for the low-income home energy assistance program in an amount at least equal to funds received from the federal low-income home energy assistance program in the prior fiscal year.

          G. If a customer notifies the utility that the customer needs payment assistance, the utility shall promptly report the customer's request for assistance to the administering authority. The administering authority shall take prompt action to evaluate the customer's eligibility for the low-income home energy assistance program.

          H. Utilities subject to this section shall make the following information available to the public regarding:

                (1) the low-income home energy assistance program's:

                     (a) application forms;

                     (b) requirements for qualifying for the program;

                     (c) procedures for making an application; and

                     (d) location to which an application may be submitted; and

                (2) the protection against discontinued and disconnected service set forth in this section for people seeking assistance paying utility bills during a heating season, including:

                     (a) eligibility requirements;

                     (b) repayment options; and

                     (c) circumstances under which disconnection or discontinuance of service may occur.

          I. As used in this section:

                (1) "administering authority" means the human services department or a tribal entity that administers its own low-income home energy assistance program;

                (2) "current season" means the period beginning in September and continuing through August of the subsequent year;

                (3) "heating season" means the period beginning November 15 and continuing through March 15 of the subsequent year;

                (4) "nonheating season" means the period beginning on March 16 and continuing through November 14 of the same year; and

                (5) "tribal entity" means the governing body or an agency of a federally recognized Indian nation, tribe or pueblo located in whole or in part in New Mexico."

     Section 2. REPEAL.--Section 27-6-18 NMSA 1978 (being Laws 2005 (1st S.S.), Chapter 2, Section 2) is repealed.

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