A4677 1R

An Act concerning service resumption and payment of outstanding amounts after discontinuance of certain utility service, and supplementing Title 40A of the New Jersey Statutes and Title 48 of the Revised Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. a. Notwithstanding the provisions of any law, rule, regulation, or order to the contrary, ¹prior to a municipal public utility discontinuing service to a residential customer, or if¹ a municipal public utility that resumes service to a residential customer, after having discontinued service to that customer for utility service bill nonpayment, ¹the utility¹ shall allow the customer to ¹enter into a deferred payment agreement with the utility under terms and conditions established by the department as rules and regulations adopted upon consultation with the board pursuant to subsection b. of this section. The rules and regulations shall, at a minimum, allow the customer to¹ make monthly payments to the utility, over a period of at least 12 months, to reduce any outstanding balance the customer owed to the utility for utility service provided prior to the utility service discontinuance. The amount due to the utility for the first six months of monthly outstanding payments shall be less than the amount due to the utility for the balance of monthly outstanding payments. Time periods under this section shall begin no earlier than the date of service resumption.

b. ¹The department, in consultation with the board, shall establish terms and conditions for deferred payment agreements provided by a utility and shall adopt those terms and conditions as rules and regulations, which shall be consistent, as possible, with any rules and regulations adopted by the board concerning the provision of deferred payment agreements.

c.¹ Nothing in subsection a. of this section shall otherwise effect a residential customer’s liability to a municipal public utility for any other service rendered to the customer by the municipal public utility.

¹[c.] d.¹ As used in this section:

¹“board” means the Board of Public Utilities or any successor agency;

“department” means the Department of Community Affairs; and¹

“municipal public utility” or “utility” means a municipal public utility, as defined in N.J.S.40A:1-1, that provides electric, gas, sewer, or water service.

2. a. Notwithstanding the provisions of any law, rule, regulation, or order to the contrary, ¹prior to a local public authority discontinuing service to a residential customer, or if¹ a local public authority that resumes service to a residential customer, after having discontinued service to that customer for utility service bill nonpayment, ¹the authority¹ shall allow the customer to ¹enter into a deferred payment agreement with the authority under terms and conditions established by the department as rules and regulations adopted upon consultation with the board pursuant to subsection b. of this section. The rules and regulations adopted pursuant to subsection b. of this section, shall, at a minimum, allow the customer to¹ make monthly payments to the utility, over a period of at least 12 months, to reduce any outstanding balance the customer owed to the authority for utility service provided prior to the utility service discontinuance. The amount due to the authority for the first six months of monthly outstanding payments shall be less than the amount due to the authority for the balance of monthly outstanding payments. Time periods under this section shall begin no earlier than the date of service resumption.

c.¹ Nothing in subsection a. of this section shall otherwise effect a residential customer’s liability to a local public authority for any other service rendered by the authority.

¹[c.] d.¹ As used in this section:

¹“board” means the Board of Public Utilities or any successor agency;

“department” means the Department of Community Affairs; and¹

“local public authority” or “authority” means an authority, as defined in N.J.S.40A:5A-3, that provides electric, gas, sewer, or water service.

3. a. Notwithstanding the provisions of any law, rule, regulation, or order to the contrary, ¹prior to a public utility discontinuing service to a residential customer, or if¹ a public utility that resumes service to a residential customer, after having discontinued service to that customer for utility service bill nonpayment, ¹the utility¹ shall allow the customer to ¹enter into a deferred payment agreement with the utility under terms and conditions established by the board as rules and regulations adopted by the board pursuant to subsection b. of this section. The rules and regulations adopted pursuant to subsection b. of this section, shall, at a minimum, allow the customer to¹ make monthly payments to the utility, over a period of at least 12 months, to reduce any outstanding balance the customer owed to the utility for utility service provided prior to the utility service discontinuance. The amount due to the utility for the first six months of monthly outstanding payments shall be less than the amount due to the utility for the balance of monthly outstanding payments. Time periods under this section shall begin no earlier than the date of service resumption.

b. ¹The board shall establish terms and conditions for deferred payment agreements established by a utility which shall be consistent, as possible, with any rules and regulations adopted by the board concerning the provision of deferred payment agreements.

c.¹ Nothing in subsection a. of this section shall otherwise effect a residential customer’s liability to a public utility for any service rendered by the public utility in accordance with the utility's tariff.

¹[c.] d.¹ As used in this section:

¹“board” means the Board of Public Utilities or any successor agency;¹

“public utility” or “utility” means a public utility, as defined in R.S.48:2-13, that provides electric, gas, sewer, or water service; and

“residential customer” or “customer” means a residential public utility customer of record.

4. This act shall take effect immediately.