A 11463

                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
                                   11463
                           I N  A S S E M B L Y
                               May 20, 2026
                                ___________
 Introduced  by COMMITTEE ON RULES -- (at request of M. of A. Braunstein)
   -- read once and referred to the Committee on  Corporations,  Authori-
   ties and Commissions
 AN  ACT  to amend the public service law, in relation to allowing issues
   before the public service commission to be determined publicly  rather
   than through settlement discussions not open to the public
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
   Section 1. Section 66 of the public service law is amended by adding a
 new subdivision 33 to read as follows:
   33. (A) IN ANY RATE PROCEEDING, ANY  PARTY  MAY  SEEK  TO  SEVER  FROM
 CONSIDERATION  IN  THE  SETTLEMENT  PROCESS  OR  INCLUSION  IN ANY JOINT
 PROPOSAL ANY SUBSTANTIVE ISSUE THAT IT DISCUSSED IN ITS DIRECT TESTIMONY
 THROUGH A MOTION TO THE PRESIDING ADMINISTRATIVE LAW JUDGE THAT IS FILED
 NO LATER THAN TEN DAYS AFTER THE LAST PERMITTED DATE FOR THE  FILING  OF
 REPLY  TESTIMONY  BY PARTIES. SUCH MOTION SHALL INDICATE THE SUBSTANTIVE
 ISSUE OR ISSUES FOR WHICH THE  MOVING  PARTY  SEEKS  SEVERANCE  AND  THE
 RELATED  PAGE  NUMBERS IN THE MOVING PARTY'S TESTIMONY. PARTIES MAY FILE
 RESPONSIVE MOTIONS WITHIN TEN DAYS SUPPORTING OR CHALLENGING THE  MOVING
 PARTY'S  ASSERTION THAT IT DEVELOPED THE IDENTIFIED SUBSTANTIVE ISSUE OR
 ISSUES IN ITS DIRECT TESTIMONY. THE PRESIDING ADMINISTRATIVE  LAW  JUDGE
 SHALL  ISSUE  A  WRITTEN  RULING WITHIN FIFTEEN DAYS AFTER THE FILING OF
 RESPONSES THAT PROVIDES THE REASONS FOR CONCLUDING THAT THE MOVING PARTY
 DID OR DID NOT PROVIDE A SUBSTANTIVE ISSUE OR SUBSTANTIVE ISSUES IN  ITS
 TESTIMONY.  THE  MOVING  PARTY MAY APPEAL THE ADMINISTRATIVE LAW JUDGE'S
 DECISION TO THE COMMISSION THROUGH A REQUEST  FOR  INTERLOCUTORY  REVIEW
 PURSUANT TO THE DEPARTMENT'S RULES.
   (B)  UPON  THE GRANTING OF THE MOTION BY THE ADMINISTRATIVE LAW JUDGE,
 OR OF THE REQUEST FOR INTERLOCUTORY REVIEW BY THE COMMISSION, THE  IDEN-
 TIFIED  SUBSTANTIVE ISSUE OR ISSUES MAY BE DISCUSSED IN SETTLEMENT NEGO-
 TIATIONS DURING THE FIRST SIXTY DAYS AFTER THE  FORMAL  COMMENCEMENT  OF
 SETTLEMENT  NEGOTIATIONS.  AFTER SIXTY DAYS HAVE ELAPSED, DISPOSITION OF
 THE SUBSTANTIVE ISSUES OR ISSUES SHALL  BE  SUBJECT  TO  THE  LITIGATION
 PROCESS ONLY UNLESS THE MOVING PARTY ADVISES THE PARTIES, ADMINISTRATIVE
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD15291-01-6
 A. 11463                            2
 LAW  JUDGE,  AND COMMISSION IN WRITING THAT IT WAIVES ITS RIGHT TO SEVER
 THE IDENTIFIED SUBSTANTIVE ISSUE OR ISSUES FROM THE  SETTLEMENT  PROCESS
 AND AGREES TO ALLOW DISCUSSION OF SUCH ISSUES IN SETTLEMENT NEGOTIATIONS
 AND  POTENTIAL INCLUSION IN A JOINT PROPOSAL. WAIVING THE RIGHT TO SEVER
 DOES NOT PRECLUDE THE MOVING  PARTY  FROM  OBJECTING  TO  ANY  PROVISION
 INCLUDED IN A FILED JOINT PROPOSAL.
   (C)  AS  USED  IN THIS SUBDIVISION, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   (I) "JOINT PROPOSAL" SHALL  MEAN  A  NEGOTIATED  SETTLEMENT  AGREEMENT
 SIGNED BY TWO OR MORE PARTIES IN A RATE PROCEEDING.
   (II)  "INTERLOCUTORY  REVIEW"  SHALL  MEAN  A MOTION TO THE COMMISSION
 REQUESTING REVIEW OF A RULING BY AN ADMINISTRATIVE LAW JUDGE.
   (III) THE "MOVING PARTY" SHALL MEAN THE PARTY WHO SEEKS  SEVERANCE  OF
 AN ISSUE OR ISSUES UNDER THIS SUBDIVISION.
   (IV)  "PARTY"  SHALL  MEAN  ANY  PARTY TO A COMMISSION RATE PROCEEDING
 OTHER THAN THE DEPARTMENT OR THE UTILITY.
   (V) "SETTLEMENT PROCESS" SHALL MEAN A SET OF  FORMAL  NEGOTIATIONS  OF
 THE  PARTIES ORGANIZED BY THE DEPARTMENT THAT IS INTENDED TO RESOLVE ALL
 OR SOME OF THE ISSUES IN  ANY  RATE  PROCEEDING  AND  LEAD  TO  A  JOINT
 PROPOSAL.
   (VI)  "SUBSTANTIVE  ISSUE" SHALL MEAN AN ISSUE IN WHICH TESTIMONY BY A
 MOVING PARTY CONTAINS ALLEGATIONS OF FACTS OR LAW, WHICH, AFTER  FURTHER
 DEVELOPMENT  THROUGH THE LITIGATION PROCESS, INCLUDING EVIDENTIARY HEAR-
 INGS, INTERROGATORIES OR DISCOVERY, MAY BE MATERIAL TO THE RESOLUTION OF
 THE ISSUE IN THE RECOMMENDED DECISION OR FINAL ORDER. THE INTENT OF THIS
 DEFINITION IS TO PERMIT ANY ALLEGATION  OF  FACT  WITH  ANY  EVIDENTIARY
 SUPPORT  OR  LEGAL CLAIM TO MEET THIS STANDARD; WHERE THE ISSUE CONCERNS
 AT LEAST IN PART A FACTUAL ALLEGATION,  ONLY  CONCLUSORY  ASSERTIONS  OF
 FACT WITHOUT ANY EVIDENTIARY SUPPORT IN THE MOVING PARTY'S TESTIMONY ARE
 NOT SUBSTANTIVE.
   §  2.  Section 80 of the public service law is amended by adding a new
 subdivision 13 to read as follows:
   13. (A) IN ANY RATE PROCEEDING, ANY  PARTY  MAY  SEEK  TO  SEVER  FROM
 CONSIDERATION  IN  THE  SETTLEMENT  PROCESS  OR  INCLUSION  IN ANY JOINT
 PROPOSAL ANY SUBSTANTIVE ISSUE THAT IT DISCUSSED IN ITS DIRECT TESTIMONY
 THROUGH A MOTION TO THE PRESIDING ADMINISTRATIVE LAW JUDGE THAT IS FILED
 NO LATER THAN TEN DAYS AFTER THE LAST PERMITTED DATE FOR THE  FILING  OF
 REPLY  TESTIMONY  BY PARTIES. SUCH MOTION SHALL INDICATE THE SUBSTANTIVE
 ISSUE OR ISSUES FOR WHICH THE  MOVING  PARTY  SEEKS  SEVERANCE  AND  THE
 RELATED  PAGE  NUMBERS IN THE MOVING PARTY'S TESTIMONY. PARTIES MAY FILE
 RESPONSIVE MOTIONS WITHIN TEN DAYS SUPPORTING OR CHALLENGING THE  MOVING
 PARTY'S  ASSERTION THAT IT DEVELOPED THE IDENTIFIED SUBSTANTIVE ISSUE OR
 ISSUES IN ITS DIRECT TESTIMONY. THE PRESIDING ADMINISTRATIVE  LAW  JUDGE
 SHALL  ISSUE  A  WRITTEN  RULING WITHIN FIFTEEN DAYS AFTER THE FILING OF
 RESPONSES THAT PROVIDES THE REASONS FOR CONCLUDING THAT THE MOVING PARTY
 DID OR DID NOT PROVIDE A SUBSTANTIVE ISSUE OR SUBSTANTIVE ISSUES IN  ITS
 TESTIMONY.  THE  MOVING  PARTY MAY APPEAL THE ADMINISTRATIVE LAW JUDGE'S
 DECISION TO THE COMMISSION THROUGH A REQUEST  FOR  INTERLOCUTORY  REVIEW
 PURSUANT TO THE DEPARTMENT'S RULES.
   (B)  UPON  THE GRANTING OF THE MOTION BY THE ADMINISTRATIVE LAW JUDGE,
 OR OF THE REQUEST FOR INTERLOCUTORY REVIEW BY THE COMMISSION, THE  IDEN-
 TIFIED  SUBSTANTIVE ISSUE OR ISSUES MAY BE DISCUSSED IN SETTLEMENT NEGO-
 TIATIONS DURING THE FIRST SIXTY DAYS AFTER THE  FORMAL  COMMENCEMENT  OF
 SETTLEMENT  NEGOTIATIONS.  AFTER SIXTY DAYS HAVE ELAPSED, DISPOSITION OF
 THE SUBSTANTIVE ISSUES OR ISSUES SHALL  BE  SUBJECT  TO  THE  LITIGATION
 PROCESS ONLY UNLESS THE MOVING PARTY ADVISES THE PARTIES, ADMINISTRATIVE
 A. 11463                            3
 LAW  JUDGE,  AND COMMISSION IN WRITING THAT IT WAIVES ITS RIGHT TO SEVER
 THE IDENTIFIED SUBSTANTIVE ISSUE OR ISSUES FROM THE  SETTLEMENT  PROCESS
 AND AGREES TO ALLOW DISCUSSION OF SUCH ISSUES IN SETTLEMENT NEGOTIATIONS
 AND  POTENTIAL INCLUSION IN A JOINT PROPOSAL. WAIVING THE RIGHT TO SEVER
 DOES NOT PRECLUDE THE MOVING  PARTY  FROM  OBJECTING  TO  ANY  PROVISION
 INCLUDED IN A FILED JOINT PROPOSAL.
   (C)  AS  USED  IN THIS SUBDIVISION, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   (I) "JOINT PROPOSAL" SHALL  MEAN  A  NEGOTIATED  SETTLEMENT  AGREEMENT
 SIGNED BY TWO OR MORE PARTIES IN A RATE PROCEEDING.
   (II)  "INTERLOCUTORY  REVIEW"  SHALL  MEAN  A MOTION TO THE COMMISSION
 REQUESTING REVIEW OF A RULING BY AN ADMINISTRATIVE LAW JUDGE.
   (III) THE "MOVING PARTY" SHALL MEAN THE PARTY WHO SEEKS  SEVERANCE  OF
 AN ISSUE OR ISSUES UNDER THIS SUBDIVISION.
   (IV)  "PARTY"  SHALL  MEAN  ANY  PARTY TO A COMMISSION RATE PROCEEDING
 OTHER THAN THE DEPARTMENT OR THE UTILITY.
   (V) "SETTLEMENT PROCESS" SHALL MEAN A SET OF  FORMAL  NEGOTIATIONS  OF
 THE  PARTIES ORGANIZED BY THE DEPARTMENT THAT IS INTENDED TO RESOLVE ALL
 OR SOME OF THE ISSUES IN  ANY  RATE  PROCEEDING  AND  LEAD  TO  A  JOINT
 PROPOSAL.
   (VI)  "SUBSTANTIVE  ISSUE" SHALL MEAN AN ISSUE IN WHICH TESTIMONY BY A
 MOVING PARTY CONTAINS ALLEGATIONS OF FACTS OR LAW, WHICH, AFTER  FURTHER
 DEVELOPMENT  THROUGH THE LITIGATION PROCESS, INCLUDING EVIDENTIARY HEAR-
 INGS, INTERROGATORIES OR DISCOVERY, MAY BE MATERIAL TO THE RESOLUTION OF
 THE ISSUE IN THE RECOMMENDED DECISION OR FINAL ORDER. THE INTENT OF THIS
 DEFINITION IS TO PERMIT ANY ALLEGATION  OF  FACT  WITH  ANY  EVIDENTIARY
 SUPPORT  OR  LEGAL CLAIM TO MEET THIS STANDARD; WHERE THE ISSUE CONCERNS
 AT LEAST IN PART A FACTUAL ALLEGATION,  ONLY  CONCLUSORY  ASSERTIONS  OF
 FACT WITHOUT ANY EVIDENTIARY SUPPORT IN THE MOVING PARTY'S TESTIMONY ARE
 NOT SUBSTANTIVE.
   § 3. Section 89-c of the public service law is amended by adding a new
 subdivision 18 to read as follows:
   18.  (A)  IN  ANY  RATE  PROCEEDING,  ANY PARTY MAY SEEK TO SEVER FROM
 CONSIDERATION IN THE  SETTLEMENT  PROCESS  OR  INCLUSION  IN  ANY  JOINT
 PROPOSAL ANY SUBSTANTIVE ISSUE THAT IT DISCUSSED IN ITS DIRECT TESTIMONY
 THROUGH A MOTION TO THE PRESIDING ADMINISTRATIVE LAW JUDGE THAT IS FILED
 NO  LATER  THAN TEN DAYS AFTER THE LAST PERMITTED DATE FOR THE FILING OF
 REPLY TESTIMONY BY PARTIES. SUCH MOTION SHALL INDICATE  THE  SUBSTANTIVE
 ISSUE  OR  ISSUES  FOR  WHICH  THE  MOVING PARTY SEEKS SEVERANCE AND THE
 RELATED PAGE NUMBERS IN THE MOVING PARTY'S TESTIMONY. PARTIES  MAY  FILE
 RESPONSIVE  MOTIONS WITHIN TEN DAYS SUPPORTING OR CHALLENGING THE MOVING
 PARTY'S ASSERTION THAT IT DEVELOPED THE IDENTIFIED SUBSTANTIVE ISSUE  OR
 ISSUES  IN  ITS DIRECT TESTIMONY. THE PRESIDING ADMINISTRATIVE LAW JUDGE
 SHALL ISSUE A WRITTEN RULING WITHIN FIFTEEN DAYS  AFTER  THE  FILING  OF
 RESPONSES THAT PROVIDES THE REASONS FOR CONCLUDING THAT THE MOVING PARTY
 DID  OR DID NOT PROVIDE A SUBSTANTIVE ISSUE OR SUBSTANTIVE ISSUES IN ITS
 TESTIMONY. THE MOVING PARTY MAY APPEAL THE  ADMINISTRATIVE  LAW  JUDGE'S
 DECISION  TO  THE  COMMISSION THROUGH A REQUEST FOR INTERLOCUTORY REVIEW
 PURSUANT TO THE DEPARTMENT'S RULES.
   (B) UPON THE GRANTING OF THE MOTION BY THE ADMINISTRATIVE  LAW  JUDGE,
 OR  OF THE REQUEST FOR INTERLOCUTORY REVIEW BY THE COMMISSION, THE IDEN-
 TIFIED SUBSTANTIVE ISSUE OR ISSUES MAY BE DISCUSSED IN SETTLEMENT  NEGO-
 TIATIONS  DURING  THE  FIRST SIXTY DAYS AFTER THE FORMAL COMMENCEMENT OF
 SETTLEMENT NEGOTIATIONS. AFTER SIXTY DAYS HAVE ELAPSED,  DISPOSITION  OF
 THE  SUBSTANTIVE  ISSUES  OR  ISSUES  SHALL BE SUBJECT TO THE LITIGATION
 PROCESS ONLY UNLESS THE MOVING PARTY ADVISES THE PARTIES, ADMINISTRATIVE
 A. 11463                            4
 LAW JUDGE, AND COMMISSION IN WRITING THAT IT WAIVES ITS RIGHT  TO  SEVER
 THE  IDENTIFIED  SUBSTANTIVE ISSUE OR ISSUES FROM THE SETTLEMENT PROCESS
 AND AGREES TO ALLOW DISCUSSION OF SUCH ISSUES IN SETTLEMENT NEGOTIATIONS
 AND  POTENTIAL INCLUSION IN A JOINT PROPOSAL. WAIVING THE RIGHT TO SEVER
 DOES NOT PRECLUDE THE MOVING  PARTY  FROM  OBJECTING  TO  ANY  PROVISION
 INCLUDED IN A FILED JOINT PROPOSAL.
   (C)  AS  USED  IN THIS SUBDIVISION, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   (I) "JOINT PROPOSAL" SHALL  MEAN  A  NEGOTIATED  SETTLEMENT  AGREEMENT
 SIGNED BY TWO OR MORE PARTIES IN A RATE PROCEEDING.
   (II)  "INTERLOCUTORY  REVIEW"  SHALL  MEAN  A MOTION TO THE COMMISSION
 REQUESTING REVIEW OF A RULING BY AN ADMINISTRATIVE LAW JUDGE.
   (III) THE "MOVING PARTY" SHALL MEAN THE PARTY WHO SEEKS  SEVERANCE  OF
 AN ISSUE OR ISSUES UNDER THIS SUBDIVISION.
   (IV)  "PARTY"  SHALL  MEAN  ANY  PARTY TO A COMMISSION RATE PROCEEDING
 OTHER THAN THE DEPARTMENT OR THE UTILITY.
   (V) "SETTLEMENT PROCESS" SHALL MEAN A SET OF  FORMAL  NEGOTIATIONS  OF
 THE  PARTIES ORGANIZED BY THE DEPARTMENT THAT IS INTENDED TO RESOLVE ALL
 OR SOME OF THE ISSUES IN  ANY  RATE  PROCEEDING  AND  LEAD  TO  A  JOINT
 PROPOSAL.
   (VI)  "SUBSTANTIVE  ISSUE" SHALL MEAN AN ISSUE IN WHICH TESTIMONY BY A
 MOVING PARTY CONTAINS ALLEGATIONS OF FACTS OR LAW, WHICH, AFTER  FURTHER
 DEVELOPMENT  THROUGH THE LITIGATION PROCESS, INCLUDING EVIDENTIARY HEAR-
 INGS, INTERROGATORIES OR DISCOVERY, MAY BE MATERIAL TO THE RESOLUTION OF
 THE ISSUE IN THE RECOMMENDED DECISION OR FINAL ORDER. THE INTENT OF THIS
 DEFINITION IS TO PERMIT ANY ALLEGATION  OF  FACT  WITH  ANY  EVIDENTIARY
 SUPPORT  OR  LEGAL CLAIM TO MEET THIS STANDARD; WHERE THE ISSUE CONCERNS
 AT LEAST IN PART A FACTUAL ALLEGATION,  ONLY  CONCLUSORY  ASSERTIONS  OF
 FACT WITHOUT ANY EVIDENTIARY SUPPORT IN THE MOVING PARTY'S TESTIMONY ARE
 NOT SUBSTANTIVE.
   § 4. This act shall take effect on the one hundred twentieth day after
 it shall have become a law, and shall apply to public service commission
 proceedings  initiated on or after such date. Effective immediately, the
 addition, amendment and/or repeal of any rule  or  regulation  necessary
 for  the implementation of this act on its effective date are authorized
 to be made and completed on or before such effective date.