District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill B25-0831 Compare Versions

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77 Statement of Introduction
88 Utility Disconnection Protection Act of 2024
99 May 24, 2024
1010
1111
1212 Today, along with Councilmember Trayon White, I am introducing the “Utility
1313 Disconnection Protection Act of 2024”. This bill prohibits an electric company or gas
1414 company from disconnecting service for protected District households during the summer
1515 and winter months. The bill establishes the program under the Department of Energy and
1616 the Environment. The bill also requires the establishment of guidelines for payment plans
1717 for eligible customers and sets limits on what providers can charge to turn utilities back
1818 on after they have been disconnected due to non-payment. Finally, the bill requires that
1919 an electric company or gas company report data on unpaid bills and disconnections to the
2020 Public Service Commission monthly. This act is a permanent and narrower version of the
2121 protections that were in place during the public health emergency, and will work in
2222 tandem with B25-0675, the “Water is Life Amendment Act of 2024” introduced by
2323 Councilmember Parker, which prohibits water companies from disconnecting water
2424 service.
2525
2626 Shutting off a home’s energy supply can have grave consequences on its residents’
2727 health and financial wellbeing. Energy insecurity can often lead to physical and mental
2828 health challenges, including difficulty sleeping, poor respiratory health, and food
2929 insecurity, and at times, can be fatal. Those who are behind on their utility bills also face
3030 economic repercussions, such as eviction or foreclosure. This can negatively impact their
3131 credit scores and bar them from establishing utility accounts in the future.
3232 1
3333 In 2022,
3434 District households had their gas and electricity cut off nearly 8,800 times for nonpayment
3535 - disproportionately impacting low-income and Black and brown communities.
3636 2
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3838
3939 1
4040 Which Americans Face the Greatest Risk of Utility Shut-Offs, and How Do they Cope? | Housing Matters
4141 (urban.org)
4242 2
4343 Pepco disconnected customers 4,217 times last year. See Potomac Electric Power Company’s December
4444 2022 Compliance with DC PSC Case Nos. 813-1043 Order Nos. 14293 and 15134, DC Public Service
4545 Commission, January 20, 2023,
4646 https://edocket.dcpsc.org/apis/api/Filing/download?attachId=185094&guidFileName=453b7d4ab7e9-43ab-
4747 8a09-963cdfca5b63.pdf.
4848 Washington Gas disconnected customers 4,568 times last year. See Washington Gas Light Company’s
4949 Monthly Report pursuant to Order No. 15134, Public Service Commission, January 20, 2023,
5050 https://edocket.dcpsc.org/apis/api/Filing/download?attachId=185081&guidFileName=67dafe64-8b13-4640-
5151 bcb0- 6efc522b48bb.pdf. 2
5252
5353 To ensure that District residents have safe and affordable access to life saving
5454 electricity and heat, the Utility Disconnection Protection Act of 2024 prohibits an electric
5555 company or gas company from disconnecting service for protected households during the
5656 hottest and coldest months. Based on current temperature data, the disconnection
5757 protection will apply from May 15 through September 15, and from November 1 through
5858 February 29.
5959 3
6060 Protected District households include those households with children under
6161 the age of 18, seniors aged 65 and older, individuals with disabilities, and recipients of
6262 certain public assistance programs. The program will be housed and administered under
6363 the Department of Energy and the Environment. This legislation also ensures that all
6464 eligible customers are offered a payment plan and are not charged a fee greater than $25
6565 to turn their electricity or gas back on after disconnection. Currently, utility providers are
6666 not required to offer a payment plan to customers and require that a bill is paid in full
6767 before turning services back on, which can amount to hundreds or thousands of dollars.
6868 This bill also updates the frequency of reporting that utility companies must provide to the
6969 Public Service Commission from a quarterly basis to a monthly basis.
7070 Forty-eight other states have regulations in place that restrict the ability of
7171 landlords and utility companies to shut off utilities, but these laws vary widely. For
7272 instance, Indiana prohibits natural gas and electricity disconnections between December 1
7373 and March 15 for tenants who receive public assistance. Idaho, on the other hand,
7474 prohibits disconnection from December 1 to February 28 for households with children
7575 under 18 or seniors aged 62 or older.
7676 4
7777 In the District of Columbia, however, it is only
7878 against the law to shut off electricity and natural gas when the temperature is forecasted
7979 to be 95 degrees Fahrenheit or above or 32 degrees Fahrenheit or below. The District’s
8080 temperature-based blanket ban applies to all utility customers. This bare-minimum
8181 protection is inadequate for many populations in the District, and lags far behind other
8282 states with comprehensive date-based protections.
8383
8484
8585 3
8686 National Centers for Environmental Information (NCEI) (noaa.gov)
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8888 State Disconnect Policies | The LIHEAP Clearinghouse (hhs.gov) _____________________________
8989 Councilmember Trayon White, Sr.
9090 _____________________________
9191 Councilmember Brianne K. Nadeau
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9494
9595 A BILL
9696 __________
9797
9898
9999 IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
100100
101101 ________________
102102
103103
104104 To prohibit an electric company or gas company from disconnecting residential electric or gas 1
105105 service for protected households during the summer and winter months; to establish the 2
106106 program under the Department of Energy and the Environment; to require the 3
107107 establishment of guidelines for payment plans for all eligible customers and a maximum 4
108108 payment amount to turn utilities back on; and to require that an electric company or gas 5
109109 company report arrearage and disconnection data to the Public Service Commission on a 6
110110 monthly basis. 7
111111 8
112112 BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 9
113113 act may be cited as the “Utility Disconnection Protection Act of 2024”. 10
114114 Sec. 2. Definitions. 11
115115 For the purposes of this act, the term: 12
116116 (1) “Disability” shall have the same meaning as provided in section 404(4) of the 13
117117 Disability Rights Protection Act of 2006, effective March 8, 2007 (D.C. Law 16-239; D.C. 14
118118 Official Code § 2-1431.01(4)). 15
119119 (2) “Electric company” shall have the same meaning as provided in section 8 of 16
120120 An Act Making appropriations to provide for the expenses of the government of the District of 17
121121 Columbia for the fiscal year ending June thirtieth, nineteen hundred and fourteen, and for other 18
122122 purposes, approved March 4, 1913 (37 Stat. 976; D.C. Official Code § 34-207). 19
123123 (3) “Eligible customer” means a utility customer that: 20
124124 (A) Has notified the utility provider of an inability to pay all or a portion 21 2
125125 of the amount due; and, 22
126126 (B) Agrees in writing to make payments in accordance with the payment 23
127127 plan. 24
128128 (4) "Gas company" shall have the same meaning as provided in section 3(11) of 25
129129 the Retail Natural Gas Supplier Licensing and Consumer Protection Act of 2004, effective 26
130130 March 16, 2005 (D.C. Law 15-227; D.C. Official Code § 34-1671.02(11)). 27
131131 (5) “Protected household” means a household that includes a resident who is: 28
132132 (A) an elderly person 65 years of age or older; 29
133133 (B) a child under 18 years of age; 30
134134 (C) an individual with a disability; or, 31
135135 (D) a recipient of any of the following public assistance programs: 32
136136 (i) Temporary Assistance for Needy Families, established under 33
137137 part A of title IV of the Social Security Act (42 U.S.C. 601 et seq.); 34
138138 (ii) the Supplemental Nutrition Assistance Program, established 35
139139 under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.); 36
140140 (iii) the supplemental security income program established under 37
141141 Title XVI of the Social Security Act (42 U.S.C. 1381 et seq.); 38
142142 (iv) Low Income Home Energy Assistance Program; 39
143143 (v) Veteran’s Disability Pension; 40
144144 (vi) Veteran’s Surviving Spouse Pension; 41
145145 (vii) Lifeline; 42
146146 (viii) Medical Assistance; or, 43
147147 (ix) any other income-based assistance program identified by the 44 3
148148 Mayor. 45
149149 (6) “Utility provider” means an electric company or a gas company. 46
150150 Sec. 3. Shutoff prohibition. 47
151151 (a) A utility provider shall not disconnect residential service for any protected household 48
152152 from May 15 through September 15 and from November 1
153153
154154 through February 29. 49
155155 (b) The Department of Energy and Environment (“DOEE”) shall establish a process for 50
156156 verification of program eligibility and proof of residency and provide protected households with 51
157157 the necessary information and support. 52
158158 (c) A utility provider shall provide information on all monthly bills about the prohibitions 53
159159 established by this section, along with information about how to apply for assistance with DOEE. 54
160160 Sec. 4. Payment plan. 55
161161 (a) A utility provider shall offer a payment plan program ("program") for eligible 56
162162 customers. Under its program, a utility provider shall: 57
163163 (1) Make a payment plan available to an eligible customer for the payment of 58
164164 amounts that come due during the program period, with a minimum term length of one year, 59
165165 unless a shorter time period is requested by the eligible customer; 60
166166 (2) Waive any fee, interest, or penalty that arises out of the eligible customer 61
167167 entering into a payment plan; 62
168168 (3) Not report to a credit reporting agency as delinquent the amounts subject to 63
169169 the payment plan; 64
170170 (4) Notify all customers of the availability, terms, and application process for its 65
171171 Program; and, 66
172172 (5) Reconnect service to occupied residential property upon an eligible 67 4
173173 customer's request and not charge a fee greater than $25 for this reconnection. 68
174174 (b)(1) Customers entering into a payment plan shall be required to make payments in 69
175175 monthly installments for the duration of the payment plan unless a shorter payment schedule is 70
176176 requested by the customer. 71
177177 (2) A utility provider shall permit a customer that has entered into a payment 72
178178 plan to pay an amount greater than the monthly amount established in the payment plan. 73
179179 (3) A utility provider shall not require or request a customer provide a lump-sum 74
180180 payment under a payment plan. 75
181181 (4) A utility provider shall provide confirmation in writing to the customer of the 76
182182 payment plan entered into, including the terms of a payment plan. 77
183183 (c) A utility provider shall utilize existing procedures or, if necessary, establish new 78
184184 procedures, subject to approval by the Public Service Commission (“Commission”), to provide a 79
185185 process by which a customer may apply for a payment plan, which may include requiring the 80
186186 customer to submit supporting documentation. A utility provider shall establish a payment plan 81
187187 application process either online or by telephone. 82
188188 (d)(1) A utility provider shall approve each application for a payment plan made by an 83
189189 eligible customer. 84
190190 (2) If the customer is not eligible and the customer's application for a payment 85
191191 plan is denied, the utility provider shall inform the customer, in writing, of the denial and of the 86
192192 option to file a written complaint pursuant to subsection (g) of this section. 87
193193 (e)(1) A utility provider shall not disconnect service for non-payment of a bill or fees 88
194194 when a customer has entered into a payment plan under this section and has made payments in 89
195195 accordance with the terms of the payment plan; 90 5
196196 (2) When a customer fails to pay in full the amounts due under a payment plan 91
197197 on three separate occasions during the term of such payment plan, and the customer and utility 92
198198 provider have not mutually agreed to a modification of the terms of the payment plan, nothing 93
199199 under this section shall prevent a utility provider from either offering the customer a new 94
200200 payment plan or disconnecting service. 95
201201 (3) Notwithstanding any provision in this section, a utility provider is not 96
202202 required to offer a customer a new payment plan within one year from when a customer has 97
203203 defaulted on a previous payment plan offered pursuant to this section. 98
204204 (f)(1) A utility provider that receives an application for a payment plan pursuant to this 99
205205 section shall retain the application, whether approved or denied, for at least 3 years. 100
206206 (2) Upon request by the customer, a utility provider shall make an application for 101
207207 a payment plan available to the Commission, and the Office of the People’s Counsel; 102
208208 (g) A customer whose application for a payment plan is denied may file a written 103
209209 complaint with the Commission, and the Office of the People's Counsel. 104
210210 Sec. 5. Reporting Requirements. 105
211211 (a) A utility provider shall collect and report the following arrearage and 106
212212 disconnection data to the Public Service Commission on a monthly basis, disaggregated by Ward 107
213213 and by nine-digit zip code: 108
214214 (1) the number of residential customers; 109
215215 (2) the number of low-income residential customers; 110
216216 (3) the number of residential customers in arrears and the total dollar amount of 111
217217 those arrearages; 112
218218 (4) the number of low-income customers in arrears and the total dollar amount of 113 6
219219 their arrearages; 114
220220 (5) the number of residential terminations for non-payment; 115
221221 (6) the number of low-income residential terminations for non-payment; 116
222222 (7) the number of low-income residential service arrearage-related restorations; 117
223223 (8) the number of residential service arrearage-related restorations; 118
224224 (9) the total dollar amount of low-income residential accounts determined 119
225225 uncollectible; 120
226226 (10) the total dollar amount of residential accounts determined uncollectible; 121
227227 (11) the number of disconnection notices issued to residential customers; 122
228228 (12) the number of disconnection notices issued to low-income residential 123
229229 customers: 124
230230 (13) total revenues from low-income residential customers; 125
231231 (14) total revenues from residential customers; 126
232232 (15) the number of low-income deferred payment agreements entered into each 127
233233 month and the total dollar amount associated with each low-income deferred payment 128
234234 agreement; and 129
235235 (16) the number of residential deferred payment agreements entered into each 130
236236 month and the total dollar amount associated with each residential deferred payment agreement. 131
237237 Sec. 6. Fiscal impact statement. 132
238238 The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact 133
239239 statement required by section 4a of the General Legislative Procedures Act of 1975, approved 134
240240 October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a). 135
241241 Sec. 7. Effective date. 136 7
242242 This act shall take effect following approval by the Mayor (or in the event of veto by the 137
243243 Mayor, action by the Council to override the veto) and a 30-day period of congressional review 138
244244 as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 139
245245 24, 1973 (87 Stat. 813; D.C. Official Code § 1). 140