AGENCY TESTIMONY
DCWP Assistant Commissioner Carlos Ortiz Testifies on Consumer Protection and Proposed Legislation
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4 min
Carlos Ortiz, Assistant Commissioner for External Affairs at the NYC Department of Consumer and Worker Protection (DCWP), testifies before the City Council Committee on Consumer and Worker Protection. He provides an overview of DCWP's consumer protection efforts and addresses three proposed bills: Intro 374 on credit card minimum purchase requirements, Intro 1049 on pre-authorization hold disclosures, and Intro 1097 on flexible benefit card acceptance.
- DCWP has conducted over 40,000 inspections and issued nearly 50,000 summonses in recent years, resulting in about $25 million in financial restitution and debt relief for consumers.
- The agency supports prohibiting credit card minimum purchases over $10 but has concerns about additional signage requirements in Intro 374.
- DCWP is open to working with the council on Intro 1049 regarding pre-authorization hold disclosures and Intro 1097 on flexible benefit card acceptance, while considering potential impacts on businesses.
Carlos Ortiz
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Good afternoon, chairman and members of the committee, on consumer and worker protection.
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My name is Carlos Ortiz.
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I'm assistant commissioner for external affairs at the Department of Consumer Worker Protection, and I am joined by our associate general counsel, Andrew Schwenk.
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Thank you for the opportunity to testify before the committee's day on these bills and our consumer protection work.
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DCBP provides fundamental consumer and worker protections and financial empowerment programming to New Yorkers.
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We strive to ensure that consumers who have been deceived or exploited have recourse, that workers have a passion to fend off their rights, and that all New Yorkers have the support they need to improve their financial health.
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We are immensely proud of the work our agency accomplishes day in and day out for our city.
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And in the last three years alone, under commissioner Mayuga's leadership, we have helped deliver more than a billion dollars back to New Yorkers.
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Since our landmark consumer protection law was enacted in 1969, we have been the nation's leading municipal consumer protection agency.
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For nearly sixty years now, we have consistent consistently leveraged our authority to protect New Yorkers from deceptive business practices, securing financial restitution for consumers whose rights have been violated by by bad actors in the marketplace.
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In the last few years, our agency has conducted more than a 40,000 inspections inspections of businesses across the city and have issued nearly 50,000 summonses for violations of the law.
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These efforts have played a role in the recovery of about $25,000,000 in financial restitution and debt relief for consumers.
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We are dedicated to providing protections to New Yorkers while working to facilitate compliance amongst businesses with the laws that we enforce.
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Businesses across the five boroughs have access to our educational materials as well as direct outreach from our external affairs team.
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In the last several years, we have hosted nearly 400 business engagement and outreach events, reaching more than 30,000 business owners.
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Our visiting inspector program, or VIP, provides new licensees the opportunity to receive an educational visit from one of our inspectors.
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In the last three years, we have been able to provide nearly 7,001 on one VIP inspections to new businesses across the city.
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And last year, we opened up our visiting inspector program to all brick and mortar retail businesses that are required to be in compliance with our laws, regardless of whether they are, are licensed, are licensed business category.
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We look forward to working with the council to continue our mission of protecting consumers across the city while uplifting and educating our city's small businesses.
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Turning to today's legislation, introduction three seven four will prohibit businesses in New York City from setting a minimum dollar value greater than $10 for the acceptance of credit cards in selling, leasing, renting, or loaning consumer goods or services to the public.
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All businesses that accept credit cards would also be required to post a notice of such prohibition on or near any fixed point sale terminal, and DCWP would be authorized to enforce civil penalties for violations.
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DCWP currently requires businesses to post signage disclosing any limitations on a consumer's use of a credit card.
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We support prohibiting a minimum dollar value that is greater than $10.
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However, we have concerns that requiring businesses to post an additional sign describing that minimum value prohibition as well as the current penalties outlined in the bill could be overly burdensome.
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Additionally, it is important for our operations that complainants continue to use the three zero one system and DCVP's online portal, including with assistance from our staff in submitting complaints to the agency rather than a new webmail complaint form.
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We look forward to working with the council on this legislation.
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Instruction ten forty nine would require businesses to disclose a pre authorization hold in connection with the sale or offer for sale of of any petroleum product for use in motor vehicles or motor boats.
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We support the intent of this legislation and its efforts to ensure New Yorkers have access and can utilize their money.
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We are anxious to hear more from council and all impact stakeholders today.
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Instruction ten ninety seven will require retail stores that currently accept debit or or credit cards to accept flexible benefits cards distributed by health insurance providers.
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DCWP would also be required to conduct outreach and education on this requirement.
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This bill tackles a new issue for the agency, and we're looking forward to hearing from affected consumers, businesses, and the council on the impacts of this legislation, not only to ensure that consumers can continue to shop at their local stores, but also to make sure that we do not impose any undue costs on businesses.
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Thank you for the opportunity to testify before your committee on our essential work uplifting New Yorkers and today's legislation.
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We look forward to working with you all to further our efforts to protect New Yorkers in the marketplace, and I welcome any questions you may have for further discussion.
0:12:39
Thank you.