Directs public utility to reimburse municipality for police services required for safe completion of public utility project no later than 60 days after municipality submits bill to public utility.
Impact
This legislation directly impacts the relationship between public utilities and municipalities by instituting a clear timeline for reimbursement. It alleviates financial burdens on local governments, which often deploy police resources to manage safety and traffic during utility projects. Further, the bill stipulates that these reimbursement costs cannot be passed on to ratepayers, thereby protecting consumers from potential inflation of utility charges due to the additional costs incurred by municipalities. This provision is crucial for maintaining transparency and fairness in utility pricing.
Summary
A2914, introduced in the New Jersey 221st Legislature, mandates that public utilities reimburse municipalities for police services necessary for the safe completion of public utility projects. Specifically, the bill requires that such reimbursements be made within 60 days of the municipality submitting the bill to the public utility. The intention behind this legislation is to ensure that municipalities are compensated fairly for law enforcement efforts that facilitate public utility operations, particularly during construction activities.
Contention
Notably, if a public utility and a municipality engage in negotiations over the reimbursement, the 60-day timeline for payment pauses, which could lead to concerns about delays in compensation. Additionally, the bill allows for the awarding of reasonable attorney's fees in cases where municipalities take legal action to recover costs, although such fees also cannot be borne by the ratepayers. This aspect has potential implications for the legal landscape surrounding utility disputes and the financial liabilities of public utilities.
Overall_significance
While this bill addresses an important aspect of funding for municipal services during public utility projects, it could also become a point of contention among utility companies, municipalities, and consumers. Stakeholders will need to balance the need for public safety and resource allocation against efficient operational practices within the utility sector.
Carry Over
Directs public utility to reimburse municipality for police services required for safe completion of public utility project no later than 60 days after municipality submits bill to public utility.
Directs public utility to reimburse municipality for police services required for safe completion of public utility project no later than 60 days after municipality submits bill to public utility.
"Public Utility Fair Profit Act"; requires public utilities to take certain actions regarding excess profits and directs fines for violations to fund utility assistance programs.
"Electric Public Utility Fair Profit Act"; requires electric public utilities to take certain actions regarding excess profits and directs fines for violations to fund utility assistance programs.
Permits municipality to charge public utility fee to cover full cost of traffic control services that municipality deemed necessary due to emergency work performed by public utility.