SENATE BILL 561

49th legislature - STATE OF NEW MEXICO - first session, 2009

INTRODUCED BY

Cisco McSorley

AN ACT

RELATING TO UTILITIES; PROHIBITING A MUNICIPALLY OWNED OR OPERATED UTILITY AND A RURAL ELECTRIC COOPERATIVE FROM DISCONNECTING UTILITIES DURING THE WINTER MONTHS FOR A LOW-INCOME CUSTOMER.

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

     Section 1. Section 27-6-17 NMSA 1978 (being Laws 1991, Chapter 81, Section 1, as amended) is amended to read:

     "27-6-17. UTILITY SERVICE--PROCEDURES TO FOLLOW PRIOR TO SERVICE BEING DISCONTINUED.--

          A. Unless requested by the customer, no gas or electric utility, including a municipally owned or operated utility and a rural electric cooperative, shall discontinue service to any residential customer for nonpayment during the period from November 15 through March 15 unless the following procedures are followed:

                (1) at least fifteen days prior to the date scheduled for utility service to be discontinued, unless the New Mexico public [utility] regulation commission provides for a shorter period for utilities it regulates, the utility shall mail or hand-deliver to the customer a notice printed in both English and Spanish and in simple language, which notice clearly explains that:

                     (a) utility service shall stop on a specific date;

                     (b) the customer may be eligible for financial assistance to pay for the utility service; and

                     (c) for assistance, the customer should contact the utility or the department;

                (2) any utility subject to this section shall attempt to advise customers who contact the utility seeking financial assistance of the program administered under the Low Income Utility Assistance Act and of assistance programs the utility may administer on its own or in conjunction with others;

                (3) the utilities subject to this section and the department shall provide application forms for utility service payment assistance at billing and agency offices; and

                (4) before the service is actually discontinued, the utility shall attempt to make contact in person or by telephone to remind the customer of the pending date of discontinuance of service and that financial assistance for utility payments may be available.

          B. Unless requested by the customer, no gas or electric utility, including a municipally owned or operated utility and a rural electric cooperative, shall discontinue service to any residential customer for nonpayment during the period from November 15 through March 15 until at least fifteen days after the date scheduled for discontinuance of service if the department has certified to the utility that a customer is eligible for utility payment assistance under the Low Income Utility Assistance Act and that payment for the utility service provided to the customer will be made within the fifteen-day period.

          C. The department and, where appropriate, the New Mexico public [utility] regulation commission shall coordinate and adopt, as they deem appropriate, either separate or joint rules and regulations necessary to implement the provisions of this section; provided that nothing in this section authorizes the department to revise tariffs or rate filings subject to the jurisdiction of the New Mexico public [utility] regulation commission.

          D. For purposes of this section, "utility" means a publicly, privately, municipally or cooperatively owned or operated utility for the rendition of electric power or gas."

     Section 2. Section 27-6-18.1 NMSA 1978 (being Laws 2007, Chapter 231, Section 1) is amended to read:

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

          A. Except as provided in Subsection C of this section, unless requested by the customer, no utility, including a municipally owned or operated utility and a rural electric cooperative, shall discontinue or disconnect service to a residential customer during the heating season for nonpayment of the customer's utility bill if the customer meets the qualifications to receive assistance pursuant to the low income home energy assistance program from the administering authority during the program's current heating season.

          B. The utility shall make payment plan options available to the customer pursuant to rules adopted by the public regulation commission.

          C. If the customer does not pay the past due charges from the customer's utility bill 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 customer who has defaulted on the customer's chosen payment plan and whose utility service has been discontinued or disconnected during the nonheating season 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.

          E. If a customer notifies the utility that the customer needs payment assistance and if the customer requests, the utility, including a municipally owned or operated utility and a rural electric cooperative, 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.

          F. 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 customers seeking assistance paying utility bills during a heating season, including:

                     (a) payment options; and

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

          G. 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; and

                (6) "utility" means a publicly, privately, municipally or cooperatively owned or operated utility for the rendition of electric power or gas."

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