Budget Amendment ID: FY2026-S3-373-R2

2nd Redraft ENV 373

Energy Cost Containment and Reduction Commission

Messrs. Tarr, Montigny, Durant, O'Connor and Fattman moved that the proposed new text be amended by inserting after section ___ the following new sections:--

“SECTION __. Chapter 25 of the General Laws, as appearing in the 2022 Official Edition, is hereby amended by adding the following section:—

Section 24. Public Hearing and Comment Period for Department of Public Utilities Rate Changes

(a) The Department of Public Utilities shall be required to hold at least one public hearing and a 30-day public comment period before approving any rate increase, including changes to delivery fees or other charges.

(b) The department shall provide notice of such hearings in a manner that ensures accessibility, including publication on the department’s website, written notifications to affected municipalities, and public service announcements.

SECTION __. Subsection (a) of section 142K of chapter 111 of the General Laws, as appearing in the 2022 Official Edition, is hereby amended by inserting at the end thereof the following paragraph:-

Notwithstanding any general or special law, rule, or regulation to the contrary, the commonwealth, either through the department of environmental protection or any other agency or political subdivision thereof, shall not implement or enforce the Advanced Clean Cars II regulations, as modified to apply to Massachusetts, earlier than July 1, 2027. As used in this section, “Advanced Clean Cars II regulations” shall mean the portion of the California Low Emission Vehicle Program that was adopted by the California Air Resources Board in Title 13 of the California Code of Regulations at section 1962.4 and as promulgated by the commonwealth at 310 CMR 7.40.”

SECTION __. Chapter 164 of the General Laws, as so appearing, is hereby amended by adding the following section:—

Section 149. Rate and Delivery Fee Increase Cap

(a) Notwithstanding any general or special law to the contrary, no investor-owned electric or gas distribution company shall increase delivery fees or rates by more than 3 percent per year, adjusted annually based on the Consumer Price Index for the Northeast region, as determined by the Bureau of Labor Statistics.

(b) The department shall adopt regulations necessary to implement this section, including provisions ensuring transparency in rate adjustments and consumer notifications.

SECTION __. Said chapter of the General Laws, as so appearing, is hereby amended by adding the following section:—

Section 150. Veteran Utility Rate Reduction Program

(a) The department shall establish a Veteran Utility Rate Reduction Program that expands upon the existing tiered rate structure, specifically targeting veterans, as defined by section 1 of chapter 115, and those receiving VA disability compensation.

(b) The department shall ensure that eligible veterans receive utility delivery fee discounts contingent upon and aligned with the existing tiered low-income discount structure as established by the department, with veterans qualifying for equivalent or greater benefits under the same income thresholds.

(c) The department shall promulgate regulations necessary for the implementation of this section, ensuring that verification of eligibility for the veteran discount aligns with existing procedures for income-based discounts, utilizing VA records and other appropriate documentation. The department shall also conduct outreach efforts to maximize veteran participation in the program.

SECTION __. Said chapter of the General Laws, as so appearing, is hereby amended by adding the following section:—

Section 151. Senior Utility Rate Reduction Program

The department shall establish a utility rate reduction program for residents of the commonwealth aged 65 and older to provide discounted utility delivery fees. The department shall promulgate regulations to determine eligibility criteria, discount rates, and ensure streamlined implementation.

SECTION X. Chapter 169 of the acts of 2008 is hereby amended by inserting after section 116, the following new sections:-

Section 116A. The executive office of energy and environmental affairs shall annually report the estimated or actual ratepayer cost and benefits of each program and policy required under chapter 169 of the acts of 2008 to the joint committee on telecommunications, utilities and energy. Said report shall be submitted to the committee no later than January 31 of each year. Whenever possible, the reported costs shall be presented on a volumetric percentage of electricity supplied from renewable resources to each end user customer class.

Section 116B. All information reported by the executive office of energy and environmental affairs as required under section 116A of this act shall be made available as a public record and posted to the department of energy resources website simultaneously with submittal to the joint committee on telecommunications, utilities and energy.

Section 116C. All actual ratepayer costs of each program and policy required under chapter 169 of the acts of 2008 shall be itemized on each end user’s electric utility bill.”

SECTION X. Chapter 179 of the acts of 2022 is hereby amended by inserting after section 91, the following new sections:-

Section 91A. The executive office of energy and environmental affairs shall annually report the estimated or actual ratepayer cost and benefits of each program and policy required under chapter 179 of the acts of 2022 to the joint committee on telecommunications, utilities and energy. Said report shall be submitted to the committee no later than January 31 of each year. Whenever possible, the reported costs shall be presented on a volumetric percentage of electricity supplied from renewable resources to each end user customer class.

Section 91B. All information reported by the executive office of energy and environmental affairs as required under section 91A of this act shall be made available as a public record and posted to the department of energy resources website simultaneously with submittal to the joint committee on telecommunications, utilities and energy.

Section 91C. All actual ratepayer costs of each program and policy required under chapter 179 of the acts of 2022 shall be itemized on each end user’s electric utility bill.”

SECTION _. Chapter 239 of the acts of 2024 is hereby amended by inserting after section 136, the following new sections:-

Section 136A. The executive office of energy and environmental affairs shall annually report the estimated or actual ratepayer cost and benefits of each program and policy required under chapter 239 of the acts of 2024 to the joint committee on telecommunications, utilities and energy. Said report shall be submitted to the committee no later than January 31 of each year. Whenever possible, the reported costs shall be presented on a volumetric percentage of electricity supplied from renewable resources to each end user customer class.

Section 136B. All information reported by the executive office of energy and environmental affairs as required under section 136A of this act shall be made available as a public record and posted to the department of energy resources website simultaneously with submittal to the joint committee on telecommunications, utilities and energy.

Section 116C. All actual ratepayer costs of each program and policy required under chapter 239 of the acts of 2024 shall be itemized on each end user’s electric utility bill.”

SECTION _. The department of public utilities shall promulgate rules and regulations necessary to implement the provisions of this act.

SECTION _. The department of energy resources shall promulgate rules and regulations necessary to implement the provisions of this act.

SECTION __. There shall be a special commission to study and recommend reforms to utility delivery fee structures, industry best practices, and cost-reduction measures for consumers in the Commonwealth. The commission shall analyze the impact of delivery fees on ratepayers, identify the primary cost drivers, and evaluate regulatory or market-based strategies to mitigate excessive charges while ensuring reliable service. The commission shall assess the impact of delivery fees on consumer costs, market competition, and energy affordability through a review of historical rate structures, policy comparisons with other states, stakeholder input, and financial modeling to identify potential reforms that could reduce costs while maintaining reliable service. Additionally, the commission shall review the effectiveness of existing regulations governing delivery fees, identify potential legislative or administrative adjustments to enhance pricing transparency and efficiency, any and all options for reducing such costs in the short and long terms, together with the impacts of such options on efforts to reduce carbon emissions pursuant to current statutory and regulatory obligations, and the impacts of such options on employment levels and the economy of the commonwealth.

The commission shall consist of the House and Senate chairs of the Joint Committee on Telecommunications, Utilities, and Energy, who shall serve as co-chairs; the Speaker of the House of Representatives or a designee; the President of the Senate or a designee; the House Minority Leader or a designee; the Senate Minority Leader or a designee; the chair of the department of public utilities commission or their designee, the director of the Massachusetts Clean Energy Center, 10 members appointed by the governor, three of whom shall represent electric transmission and distribution companies of electricity in the commonwealth, of which one  shall represent municipal light plants in the commonwealth, two of whom shall have expertise in energy policy and  represent consumers in the commonwealth, one of whom shall represent large employers in the commonwealth,  one of whom shall represent small employers in the commonwealth, one member representing the New England Power Generators Association, and one member representing the Independent Systems Operator for New England, one member representing environmental organizations in the commonwealth,  and one member appointed by the attorney general of the commonwealth with expertise in energy policy. Administrative support for the operations of the commission shall be provided by the department of public utilities.

The commission shall submit a report detailing its findings and recommendations, including any proposed legislation, to the House and Senate Committees on Ways and Means, the Joint Committee on Telecommunications, Utilities, and Energy, and the Clerks of the House of Representatives and Senate no later than twelve months after the passage of this legislation.

Section ____ - The department of public utilities shall develop, implement, and maintain, a comprehensive, public- facing dashboard to display information relative to the cost and supply of energy for commercial and residential consumers in the commonwealth, provided that such information shall include but not be limited to:  i) investor owned transmission and distribution companies of electricity, organized by region, ii) current rates for natural gas and electricity for each such company, iii) a clear and easily digestible explanation of the components of gas and electricity bills in the commonwealth, including regional variations, iv) the sources of gas and electricity being delivered by such companies, v) the date of the most recently approved rates for gas and electricity for each company, and  vi) a summary of the proceedings by which those rates were approved, vii) the duration of the currently approved rates and any anticipated new rate case filings, viii) any available incentives or discounts to reduce the consumer cost of electricity and natural gas, ix) average daily, monthly, and yearly consumption of gas and electricity, and any other relevant information.