H.R. 10081 — No Utility Junk Fees Act

This section finds that regulated electric utilities have a public obligation to keep residential energy bills affordable and that payment convenience fees and other junk fees extract unjustified profits from consumers. It further finds that conditioning State energy program financial assistance on the elimination of such charges constitutes a valid exercise of congressional spending power.

This section defines terms for the Act, including cost of acceptance as the direct documented costs of payment processing by a regulated electric utility or its provider (excluding overhead or profit), payment channel as any mechanism for residential electric bill payments, regulated electric utility under the Public Utility Regulatory Policies Act of 1978, residential consumer, Secretary of Energy, spurious charge as any fee exceeding the greater of 150 percent of documented costs or $3.00, imposed on zero-cost channels, or lacking required prior disclosure, State under the Energy Policy and Conservation Act, and State energy program financial assistance under that Act.

This section withholds 10 percent of State energy program financial assistance beginning in the first full fiscal year after enactment unless a state prohibits spurious charges on residential consumers, requires electric utilities to disclose payment processing fees and offer at least one fee-free non-internet payment channel, bans fees on automatic recurring payments and electronic fund transfers, and enforces these rules through investigations and penalties. It requires states to submit annual compliance documentation, directs the Secretary to determine compliance within 60 days, maintain a public database, provide technical assistance, issue guidance, and report to Congress, with a 90-day cure period and restoration of withheld funds upon later compliance.