A proposal aimed at easing soaring utility bills for New Yorkers failed on the state Senate floor after Democrats voted unanimously against it, according to Sen. Tom O’Mara.
O’Mara said Senate Democrats rejected his legislation, S.8461, which would have returned unspent energy funds directly to ratepayers struggling with rising electricity costs.
The bill would have allowed unused money from the New York State Energy Research and Development Authority’s Climate Investment Account to be sent back to customers. O’Mara said those funds come from a surcharge already paid by ratepayers on their utility bills and total at least $2 billion.
“At a time when many New Yorkers are facing a crisis trying to pay skyrocketing utility bills, these unspent NYSERDA funds… could be returned directly to ratepayers,” O’Mara said.
O’Mara, a member of the Senate Energy and Telecommunications Committee, questioned why the state should continue holding billions in ratepayer funds as electricity costs climb. He pointed to what he said was more than a 50% increase in electricity costs between January 2020 and October 2025.
“The bottom line on any surplus, in my view, is straightforward,” O’Mara said. “Wouldn’t it be more important to provide some relief to ratepayers rather than to have it sitting in NYSERDA’s bank account or in a utility’s coffers?”
The legislation was offered as an amendment on the Senate floor and was voted down by the Democratic majority. O’Mara said the proposal was intended to give New Yorkers immediate relief as they face higher living and energy costs.
He also said he raised the issue during a recent legislative budget hearing with top Hochul administration officials. O’Mara and other Republican members of the Senate Energy and Telecommunications Committee have sent a letter urging Governor Kathy Hochul to direct NYSERDA to return the unspent funds to ratepayers.
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