STATE OF NEW YORK ________________________________________________________________________ 5111 2025-2026 Regular Sessions IN SENATE February 19, 2025 ___________ Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommuni- cations AN ACT enacting the "just energy transition act" The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Short title. This act shall be known and may be cited as 2 the "just energy transition act". 3 § 2. Legislative findings and statement of purpose. The legislature 4 hereby finds, determines and declares: 5 (a) New York state, especially New York city, is reliant on fossil 6 fuels for energy production, making the transition to renewable sources 7 for the downstate electricity system key to achieving the requirements 8 of section 4 of the New York state climate leadership and community 9 protection act, including that seventy percent of the state's electric- 10 ity be from renewable energy sources by the year 2030 and that one 11 hundred percent of the state's electricity be from zero-emission sources 12 by the year 2040. 13 (b) New York state is committed to the responsible replacement and 14 redevelopment of its fossil fueled generation facilities that currently 15 ensure resource adequacy in the state, especially in locations where the 16 health benefits to historically disadvantaged communities can be maxi- 17 mized, and where the cost effective phasing-out of such facilities can 18 be done while helping to ensure a just transition for the existing work- 19 force. 20 (c) A public policy purpose would be served and the interests of the 21 people of the state would be advanced by directing the New York state 22 energy research and development authority, in consultation with the 23 department of public service and the department of environmental conser- 24 vation, to continue the development of the study commenced in 2022, as 25 referenced in the climate action council scoping plan of strategies to EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD01714-02-5
S. 5111 2 1 facilitate the replacement and redevelopment of New York's oldest and 2 most-polluting fossil fueled generation facilities and their sites by 3 2030, while ensuring resource adequacy, with renewable energy systems as 4 defined in paragraph (b) of subdivision 1 of section 66-p of the public 5 service law, energy storage systems, and electricity transmission and 6 distribution systems and equipment. 7 (d) It is the intent of the legislature in enacting this act to 8 empower the New York state energy research and development authority, 9 department of public service, and department of environmental conserva- 10 tion, to develop a study as described in the climate action council 11 scoping plan and paragraph (c) of section three of this act in the 12 manner authorized and directed herein, and for those entities and the 13 public service commission, and any other agencies or authorities of the 14 state as may be required, to commence any proceedings or other initi- 15 atives necessary to carry out the strategies described therein. 16 § 3. The New York state energy research and development authority is 17 authorized and directed to: 18 (a) develop a study of competitive options to facilitate the phase- 19 out, replacement and redevelopment of New York state's oldest and most- 20 polluting fossil fueled generation facilities and their sites by the 21 year 2030, with renewable generation options that include those 22 described in the scoping plan issued by the climate action council under 23 section 75-0103 of the environmental conservation law, renewable energy 24 systems as defined in paragraph (b) of subdivision 1 of section 66-p of 25 the public service law, energy storage systems, and electricity trans- 26 mission and distribution systems and equipment, while ensuring resource 27 adequacy and other reliability services are maintained, and to do so in 28 consultation with the department of public service, the department of 29 environmental conservation, Long Island power authority, and other rele- 30 vant state agencies and authorities with subject matter expertise, the 31 federally designated electric bulk system operator, the New York State 32 Reliability Council, and the owners of such facilities. The study should 33 prioritize the replacement and redevelopment of such fossil fueled 34 generation facilities with facilities that will directly assist in 35 achieving the energy, environmental justice and emissions reductions 36 requirements of section 66-p of the public service law. The study shall 37 address the phase-out of at least four gigawatts of fossil fueled gener- 38 ation statewide capacity in total and prioritize those facilities that 39 only operate when electricity usage is highest. The study shall include 40 recommendations of standards and requirements that: 41 (i) significantly reduce the state's electricity system reliance on 42 fossil fuels, taking into account the requirements and timing of the 43 state's emission reduction programs; 44 (ii) establish a competitive program to promote private sector invest- 45 ment in eligible technologies that the public service commission has 46 determined, after notice and provision for the opportunity to comment, 47 ensure resource adequacy, while achieving the requirements of section 48 66-p of the public service law; 49 (iii) provide significant environmental, health and other benefits to 50 disadvantaged communities as such communities will be defined under 51 section 75-0111 of the environmental conservation law; and 52 (iv) have significant potential for job creation and retention, 53 economic development, and just transition opportunities benefiting New 54 Yorkers and the state's workforce, as described in the scoping plan 55 issued by the climate action council under section 75-0103 of the envi- 56 ronmental conservation law; and
S. 5111 3 1 (v) ensure the availability of assistance under the electric gener- 2 ation facility cessation mitigation fund established in section 1 of 3 part BB of chapter 58 of the laws of 2016 to any local government entity 4 impacted by the replacement and redevelopment of fossil fueled gener- 5 ation facilities under this section; 6 (b) provide public notice of the study, and ensure the results of 7 the study are made easily accessible to members of disadvantaged commu- 8 nities, as defined in section 75-0101 of the environmental conservation 9 law, and provide an opportunity for public comment on the study of not 10 less than 60 days and conduct at least two public hearings on the 11 study, of which at least one shall be held in disadvantaged communities, 12 as defined in section 75-0101 of the environmental conservation law with 13 such public hearings offering video participation and accessibility; 14 (c) address public comments and update the study, as appropriate, 15 especially to ensure resource adequacy and reliability services are 16 maintained; and 17 (d) deliver the study to the governor, temporary president of the 18 senate and speaker of the assembly within 180 days of the effective date 19 of this section. 20 § 4. The department of public service, the department of environmental 21 conservation, and Long Island power authority shall commence proceedings 22 and stakeholder processes to establish programs and other initiatives 23 necessary to carry out the strategies, programs, standards, and require- 24 ments described in the study referred to in section three of this act 25 within 60 days of delivery of the study to the governor, temporary pres- 26 ident of the senate and speaker of the assembly. 27 § 5. The public service commission shall: 28 (a) commence a proceeding to implement the strategies, programs, stan- 29 dards, and requirements described in the study referred to in section 30 three of this act within 90 days of delivery of the study to the gover- 31 nor, temporary president of the senate and speaker of the assembly; and 32 (b) issue an order regarding implementation of the strategies, 33 programs, standards, and requirements described in the study referred to 34 in section three of this act no later than July 30, 2026. Such order 35 shall at a minimum: 36 (i) direct the New York state energy research and development authori- 37 ty to implement a competitive award process to facilitate the replace- 38 ment and redevelopment of at least four gigawatts of fossil fueled 39 generation facilities statewide while maintaining reliability consistent 40 with the recommendations of the study pursuant to section three of this 41 act, and that as part of such competitive award process, consideration 42 shall be given to security of offtake with respect to generation and 43 transmission; and 44 (ii) direct that with respect to the competitive award process 45 required, the only eligible electricity generation from hydroelectric 46 facilities shall be electricity that is generated from non-state-owned 47 low impact run-of-river facilities located in the state that provide a 48 year-round electricity capacity resource. 49 (c)(i) Any projects pursuant to this section, or the study provided 50 herein, shall be deemed public work and shall be subject to and 51 performed in accordance with articles 8 and 9 of the labor law. Each 52 contract for such project shall contain a provision that such project 53 shall only be undertaken pursuant to a project labor agreement. For 54 purposes of this section, "project labor agreement" shall mean a pre- 55 hire collective bargaining agreement between the New York state energy 56 research and development authority, a third party on behalf of the
S. 5111 4 1 authority, or a recipient of support under this section, and a bona fide 2 building and construction trade labor organization establishing the 3 labor organization as the collective bargaining representative for all 4 persons who will perform work on a public work project, and which 5 provides that only contractors and subcontractors who sign a pre-negoti- 6 ated agreement with the labor organization can perform project work. All 7 contractors and subcontractors associated with this work shall be 8 required to utilize apprenticeship agreements as defined by article 23 9 of the labor law. 10 (ii) The New York state energy research and development authority, or 11 public service commission, where appropriate, shall include requirements 12 in any procurement or development of a renewable energy generating 13 project, as defined in this subdivision, that the components and parts 14 shall be produced or made in whole or substantial part in the United 15 States, its territories or possessions. The New York state energy 16 research and development authority's president and chief executive offi- 17 cer, or their designee may waive the procurement and development 18 requirements set forth in this paragraph if such official determines 19 that: the requirements would not be in the public interest; the require- 20 ments would result in unreasonable costs; obtaining such infrastructure 21 components and parts in the United States would increase the cost of a 22 renewable energy generating project by an unreasonable amount; or such 23 components or parts cannot be produced, made, or assembled in the United 24 States in sufficient and reasonably available quantities or of satisfac- 25 tory quality. Such determination shall be made on an annual basis no 26 later than December thirty-first, after providing notice and an opportu- 27 nity for public comment, and such determination shall be made publicly 28 available, in writing, on the New York state energy research and devel- 29 opment authority's website with a detailed explanation of the findings 30 leading to such determination. If the New York state energy research and 31 development authority's president and chief executive officer, or their 32 designee, has issued determinations for three consecutive years finding 33 that no such waiver is warranted pursuant to this paragraph, then the 34 New York state energy research and development authority shall no longer 35 be required to provide the annual determination required by this para- 36 graph. 37 (d)(i) The commissioner of labor, in consultation with labor organiza- 38 tions, shall develop a comprehensive plan to transition, train, or 39 retrain employees that are impacted by projects undertaken pursuant to 40 this act, or the study provided in section three of this act. This plan 41 shall include a method of allowing displaced and transitioning workers, 42 including affected labor organizations, to notify the commissioner of 43 the loss of employment, their previous title, and previous wage rates 44 including whether they previously received medical and/or retirement 45 benefits. The plan shall require employers to notify the commissioner of 46 workers laid off or discharged due to this act. 47 (ii) The commissioner of labor shall create a program pursuant to 48 which, where applicable and feasible, newly created job opportunities 49 shall be offered to a pool of transitioning workers who have lost their 50 employment or will be losing their employment in the energy sector 51 through projects undertaken pursuant to this act, or the study provided 52 in section three of this act. Such program shall include a method for 53 the commissioner of labor to communicate names and contact information 54 for displaced or transitioning workers to public entities that may have 55 job opportunities for such workers every 90 days.
S. 5111 5 1 (e) Notwithstanding any provision of law to the contrary, all rights 2 or benefits, including terms and conditions of employment, and 3 protection of civil service and collective bargaining status of all 4 existing public employees and the work jurisdiction, covered job titles, 5 and work assignments, set forth in the civil service law and collective 6 bargaining agreements with labor organizations representing public 7 employees shall be preserved and protected. Nothing in this section 8 shall result in the: (i) displacement of any currently employed worker 9 or loss of position (including partial displacement as such a reduction 10 in the hours of non-overtime work, wages, or employment benefits) or 11 result in the impairment of existing collective bargaining agreements; 12 (ii) transfer of existing duties and functions related to maintenance 13 and operations currently performed by existing employees of authorized 14 entities to a contracting entity; or (iii) transfer of future duties and 15 functions ordinarily performed by employees of authorized entities to a 16 contracting entity. 17 § 6. The Long Island power authority shall establish a program or 18 programs in its service territory consistent with the recommendation of 19 the study conducted pursuant to section three of this act, the 20 provisions of section five of this act, and the objectives of this act. 21 § 7. This act shall take effect immediately.