ALBANY — Last-minute legislation to head off a threatened 12-percent rate hike for New York City electricity customers was in danger last night as Senate Republicans unexpectedly passed a different measure that could cost the city nearly $2 billion.
Outraged lawmakers and city officials accused the Senate GOP of seeking a massive give-away for electric-generating companies that already are receiving city tax breaks on their property taxes.
“This is a pure attempt to give the generating industry a windfall to which they’re not entitled,” charged Sen. Michael Gianaris (D-Queens).
A prominent lobbyist involved in the issue called the Senate GOP action “a tactical maneuver aimed at asserting Republican power” and predicted that the originally agreed-to legislation would eventually be approved.
Micah Lasher, Mayor Bloomberg’s top lobbyist, said the Senate measure, “under the most conservative scenario,” would cost taxpayers $600 million — and, “under the most aggressive scenario, close to $1.8 billion” over several years.
Bloomberg is due at the Capitol today and is expected to raise the issue with Senate Majority Leader Dean Skelos (R-Nassau).
Last week, Bloomberg and Gov. Cuomo agreed on a measure guaranteeing permanent property-tax abatements at current levels to electricty-generating companies, thereby removing the basis for a little-noticed Federal Energy Regulatory Commission decision that could hike city electric rates by $500 million a year.
The Democratic-controlled Assembly quickly passed the measure and a Senate spokeswoman had insisted the Legislature’s upper house would do the same yesterday.
Instead, the GOP proposed a measure that would greatly expand the generating companies’ existing tax breaks.
Senate GOP aides didn’t return calls seeking an explanation.
