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PSEG to manage Long Island's utility operations

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New York Gov. Andrew Cuomo signed into law a restricting of Long Island utility operations, sending LIPA packing in favor of PSEG.

"The legislation that was signed into law today ends the LIPA as we know it, and creates a new utility system that puts Long Island ratepayers first," Cuomo said. "LIPA has offered lackluster service for too long and after its failure to perform during Superstorm Sandy it was clear we needed a change."

The law puts PSEG in charge of daily operations starting January 1, 2014. The bill also freezes the current rate through 2016.

Suffolk County Executive Steve Bellone and Nassau County Executive Ed Mangano applauded the measure.

In the aftermath of Superstorm Sandy, tens of thousands of Long Island residents lost power. Many of them were left in the dark for weeks.

Cuomo admitted that while outages will still happen during future storms, response and maintenance will be finally be better.

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