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House
Environmental Resources & Energy Committee Reports Reports
provided by PA Legislative Services The
House Environmental Resources and Energy met to consider three bills. HB 2097 Grell - (PN 2974) Amends the Mortgage
Satisfaction Act further defining "payoff statement" as a written statement
by the mortgagee which sets forth the amounts required as of the date of
preparation to satisfy fully all obligations secured by the mortgage, and
"residential mortgage" as one in which the mortgage is not
collateral for the exempted transaction as defined in the Truth in Lending
Act, and provides that a residential mortgage payoff statement may be
requested any time that a mortgagor reasonably expects that his residential
mortgage is going to be paid off. Further, an issuing title insurance company
may request a payoff statement from any such mortgagee when a claim has been
made under a residential title insurance policy insuring title to property
subject to a residential mortgage. A payoff statement must provide for a sum
certain which would not be subject to adjustment except by a written
corrective amendment received by the settlement officer before settlement. -
The bill was passed over. HR 627 George - (PN 3329)
Resolution memorializing the Congress of the HB 2266 Steil -
(PN 3278) The Integrated Water Resources Restoration, Protection and
Management Act updates and expands the storm water planning requirements to
be undertaken by counties. The bill also authorizes counties to regulate
storm water within a watershed-based planning area; authorizes the formation
of water resources management authorities; enables counties, municipalities
and water resources management authorities to develop integrated water resources
management plans; imposes duties and confers powers on the Department of
Environmental Protection, the Environmental Quality Board, counties,
municipalities and water resources management authorities; provides for
financing and for waiver of use for certain grant loan funds; and makes
related repeals. - The bill was unanimously reported as committed with a
request to re-refer to House Local Government. Mike
Howells, PA Legislative Services The House Environmental
Resources and Energy Committee met to consider two bills. HB 674 Reed - (PN 761) Amends the
Commonwealth Documents Law further defining "administrative
regulation" by adding that in relation to the Department of Environmental
Protection, the term includes any new or modification to a regulation,
manual, procedural manual, guideline, enforcement guideline, policy, strategy
document, administrative opinion or legal opinion regarding the
interpretation of a statute, court order or regulation used by the department
to implement a regulatory enforcement process. - The bill was unanimously reported
as committed. HB 1735 Yewcic - (PN 2313) Amends Title 27
(Environmental Resources) by adding a new chapter providing for coal. The
bill provides for surface-use agreements for coal bed methane wells by
providing for the procedures if a surface owner is not entitled to royalties
under the act entitled "An act regulating the terms and conditions of
certain leases regarding natural gas and oil," for the removal or
recovery of methane gas or any other gas found in any coal formation. - The
bill was reported as committed by a vote of 19-10. Those voting in the
negative were Minority Chairman Scott Hutchinson (R-Venango), Rep. Martin
Causer (R-McKean), Rep. Ron Miller (R-York), Rep. Jeff Pyle (R-Armstrong),
Rep. Kate Harper (R-Montgomery), Rep. Garth Everett (R-Lycoming), Rep. Kathy
Rapp (R-Warren), Rep. Chris Ross (R-Chester), Rep. Richard Stevenson
(R-Mercer) and Rep. Randy Vulakovich (R-Allegheny).
Rep. Tom Yewcic
(D-Cambria), sponsor of the bill explained that some mineral rights owners
have been coming onto properties with minerals under them and declaring they
have a right to put pipelines, access roads and/or wells on the properties,
based on a U.S. Supreme Court decision. In some cases where mineral rights
have been sold to save a family farm, the mineral rights under the property
are owned by someone other than the landowner. In response to constituent
inquiries and calls from property owners in western Rep. Ross expressed concern that
if a legal decision is made stating methane gas rights are part of the
mineral rights and they are taken away from the mineral rights owners, the
state might be liable in the future if it is sued. Rep. Yewcic
said the mineral rights owners would still have access to their minerals,
such as coal, and the surface owner should be able to protect their property.
Rep. Ross further expressed concern that the bill creates a system of taking
of mineral rights with a potential cause of action against the Commonwealth
which would have to be taken into account in future budgets. Rep. Stevenson asked if the
ownership of the rights and what that entitles them to do should have been discovered
as part of the title settlement for the property. Rep. Yewcic
replied that although most deeds don't say a property owner also owns the
coal rights under a property, property owners don't expect someone to place a
mine under their property. Additionally, the Supreme Court said if you own
the coal you also own the methane, but putting the coal and the methane under
the same coal regulations would kill the industry. He reiterated that he
didn't want to do that and is trying to develop a process for negotiation. Rep. Everett wanted to know why
there couldn't be a solution other than forcing the issue into Minority Chairman Hutchinson
commented that a professor of mineral rights once told him that "ownership
of a thing must include access to the thing." Therefore, mineral rights
owners should have access to the minerals and the methane. He added that the
state has a long history of oil and gas exploration, mining and also drilling
methane wells. He added that the Department of Environmental Protection
regulates that process, negotiates where those drills are placed and
negotiates disputes. He said mineral rights owners have to be allowed access
to the minerals under the land and there is compensation under current law
for property owners whose property is damaged by a mineral rights owner who,
while working on the property, damages the land, trees or structures. Chairman Bud George (D-Clearfield)
said the final decision should be made by the full House of Representatives
and urged passage of the bill. Rick Morrison, PA Legislative
Services The
House Environmental Resources and Energy Committee met to consider two
resolutions. HR
465 Hanna
- (PN 2690) Resolution urging the Federal Emergency Management Agency to
review and update state, county and municipal flood maps every ten years. -
The resolution was unanimously reported as committed. HR
546 George
- (PN 3041) Resolution urging the Congress of the United States to exercise
due diligence on behalf of the citizens of this Commonwealth and of this
nation by implementing oversight, inquiry and investigation into gas and
energy prices to ensure that these exceedingly high prices are both necessary
and ethically ascertained. - The resolution was unanimously reported as
committed. Jeff
Cox, PA Legislative Services The HOUSE ENVIRONMENTAL
RESOURCES AND ENERGY COMMITTEE met to consider HB 1705 Harkins
- (PN 2255) The Great Lakes-St.
Lawrence River Basin Water Resources Compact authorizes the
Pennsylvania to join the Great Lakes-St. Lawrence River Basin Water Resources
Compact; provides for the form of the compact; and imposes additional powers
and duties on the Governor, the Secretary of the Commonwealth and the
Compact. - The bill was unanimously reported as committed. Minority
Chairman Scott Hutchinson (R-Venango) noted there has been talk of an omnibus
amendment to make the language in the bill more specific to The
House Environmental Resources and Energy Committee met to consider House Bill 934. HB 934 Scavello - (PN 1100) Amends the Municipal
Waste Planning, Recycling and Waste Reduction Act further providing for
powers and duties of counties. The bill states a county can impose a fee not exceed
$4 per ton for a recycling and waste management fee for five years on
municipal solid waste generated within its borders and disposed. Provisions
provide for increases in the fee for subsequent years. Funds generated by the
fee imposed under this subsection shall be deposited in a dedicated account
or fund to be used exclusively for recycling and waste management activities,
services, staff or plan implementation. - The bill was reported as
committed by a vote of 23-5 with Minority Chairman Scott Hutchinson
(R-Venango) and Representatives Martin Causer (R-McKean), Jay Moyer
(R-Montgomery), Kathy Rapp (R-Warren) and Dave Reed (R-Indiana) voting in the
negative. Rep.
Mario Scavello (R-Monroe), the sponsor of the bill,
said county fees used to fund special recycling and waste programs, recycling
education and enforcement have been declared illegal by Rep.
Carol Rubley (R-Chester) commented that before the
court decision counties levied different fees, and she asked where the $4
amount came from. Rep. Scavello said it was
recommended by numerous authorities. He added that the fee does not have to
be $4, but it can be imposed up to that amount. Rep. Rubley
asked if any counties imposed a fee more than $4, to which Rep. Scavello said he believes a few did. Rep Rubley expressed concern that the fee will be passed on
to residents. Rep. Scavello responded that if
communities don't recycle the cost of dumping trash is higher. Rep.
Scott Conklin (D-Centre) said he served as a county commissioner. He
suggested that if user fees cannot be imposed it will be difficult to keep
property taxes down. Rep.
Mike Gerber (D- Montgomery) asked if this fee is similar to the tipping fees
proposed for Growing Greener and other environmental programs. Rep. Scavello replied that these fees have been in place and
without them recycling programs would be shut down. He added that this fee is
not similar to tipping fees because it would be used for recycling. Rep.
Dick Stevenson (R-Mercer) said since the court decision many counties have
turned to the private sector to run the recycling program. He stated this
gets government out of the process. Rep. Scavello
responded that maybe one or two counties are using a private company but most
are still running the programs. He reiterated that the bill would just allow
them to keep the fees in place. Rep.
Ron Miller (R-York) questioned why this program wouldn't be self-funded if recycling
saves money. He suggested that there should not be a need for an additional
fee. Rep. Scavello replied that in comparison to
dumping at the landfill, implementing recycling is a huge savings. Rep.
Miller argued that the savings should produce enough money to run the
recycling program. Rep. Scavello offered that
recycling keeps certain products out of the landfills and provides counties
with savings. Rep.
John Yudichak (D-Luzerne) noted that the bill has
an inflation escalator, which he said the Legislature does not include in
legislation very often. He asked how this bill will impact any attempts to
impose another tipping fee in the future. Rep. Scavello
replied that Chairman Bud George said he will introduce an amendment on the
House floor to take out the investment escalator. Rep. Yudichak
then expressed concern that although the bill dedicates the use of the funds
it does not include a percentage. He voiced concern that more money would go
into one program instead of all of them. Rep. Scavello
said he hopes that does not happen. Rep.
Jen Mann (D-Lehigh) asked how many counties the Rep.
Gerber commented that the bill states that the fee can be used on "waste
management", which he believes is a broad term and he questioned if the
language is tight enough. Rep. Scavello replied
that recycling is part of municipal waste. Nate Collins and Darren Sellers, PA Legislative Services
Intern The
House Environmental Resources and Energy Committee met to consider
House Bill 1380.
Rep.
Kathy Rapp (R-Warren) asked how this legislation will be monitored and
measured. Rep. Lisa Bennington (D-Allegheny), the sponsor of the bill, said
that is not included in the legislation. She said the bill requires farmers
who use chicken antibiotics to make sure that the waste is not polluted, but
she is not sure who checks on the farmers. Rep.
Jeff Pyle (R-Armstrong) noted that the bill targets agriculture but he is
concerned about arsenic contamination from brownfield
sites. Rep. Bennington said this legislation is directly related to the
antibiotic roxarsone, which is banned in Rep.
Chris Ross (R-Chester) commented that the specific antibiotic is not
mentioned in the bill. He questioned if there are any other ways the amount
of arsenic listed in the bill could unknowingly be found in agricultural
waste. Rep. Bennington acknowledged that she can't definitely say there are
no other sources of arsenic. However, she cited studies about the effects of roxarsone, which is why it is being targeted in the bill.
She said she would be willing to amend the legislation to specifically
address roxarsone. Minority
Chairman Scott Hutchinson (R-Venango) asked if she has considered just banning
the use of roxarsone. Rep. Bennington said the bill
would then be referred to the Agriculture Committee, adding that there are no
regulations in place with regard to roxarsone. She
remarked that she doesn't believe that the agricultural community would agree
to ban the use of roxarsone. Rep.
Greg Vitali (D-Delaware) asked if releasing
untreated agricultural waste means using it as a fertilizer, to which Rep.
Bennington answered yes. Rep. Vitali replied if
that is the case then it doesn't matter where the arsenic is coming from. Rep.
Dick Stevenson (R-Mercer) asked if the sponsor is willing to amend the bill
to address roxarsone. Rep. Bennington said she is
willing to amend the bill. Rep. Stevenson then asked for an estimate of how
many poultry farmers are using this chemical. Rep. Bennington said she does
not have that information at this time. Rep.
Kate Harper (R-Montgomery) inquired how the standard for arsenic release in
the bill compares to the standard of arsenic in drinking water. Rep. Bennington
said she is unsure. Rep. Harper suggested holding a meeting on the bill to
get answers to the committee's questions. Rep. Bennington responded that she
is happy to hold a hearing but she is willing to complete the research on her
own and supply it to the committee. Rep. Harper commented that arsenic may
occur naturally so farmers may be in jeopardy of unknowingly breaking the
law. Chairman
Bud George (D-Clearfield) asked the sponsor if she is willing to accept an
amendment to exonerate a farmer who unknowingly releases arsenic. Rep.
Bennington said she would be willing to accept an amendment to target roxarsone. Rep.
Ross made a motion to table the bill to the next meeting so amendments can be
drafted. Rep. Bennington agreed to hold over the bill and said she will
collect information and report back to the committee. Nate Collins, PLS The
House Environmental Resources and Energy Committee met to consider
three bills. HB 1519 McGeehan - (PN 1849) Amends Title 18 (Crimes and Offenses)
prohibiting posting signs on State property by stating that whoever pastes,
paints, brands or stamps or places upon or attaches to State property any
sign commits a summary offense and would be sentenced to pay a fine of $25
for each sign posted or placed in violation of this section. This would not
be construed to prevent the posting or placing of any notice required by law
or order of court, or to prevent the posting or placing of any notice
particularly concerning or pertaining to premises upon which the same is so
posted or placed. The money from the fines would be deposited in the Tree
Vitalize Fund. - The bill was reported as amended with the following
members voting in the negative: Martin Causer (R-McKean), Garth Everett
(R-Lycoming), Kate Harper (R-Montgomery), Ron Miller (R-York), Jay Moyer
(R-Montgomery), Kathy Rapp (R-Warren), Dave Reed (R-Indiana) and Chris Ross
(R-Chester). A03267,
by McGeehan, limits the scope of the bill to cities of the first class ( Rep.
McGeehan (D-Philadelphia) explained that there has been an explosion in the
number of political and commercial signs in Rep.
Vitali asked if this bill is aimed at political
signs on medial strips and why the amendment seeks to limit the bill to Rep.
Harper said the bill should apply to state highways too and the legislation
should instead limit the amount of time political signs can be posted. Rep.
John Hornaman (D-Erie) asked if the measure would
affect business signage. Rep. McGeehan said enforcement of the restrictions
on placement of signs could be handled on a case-by-case basis and businesses
could still advertise on state-authorized blue advertising road signs. Rep.
Kathy Rapp (R-Warren) inquired about signs placed on state-owned land such as
state hospitals by community groups like soccer team booster clubs and other
local groups promoting car washes or other charity fundraising events. Rep. McGeehan
said he didn't think most people would object to signs advertising
fundraising events for community groups and the enforcement of the bill's
provisions would be complaint-driven. Rep.
Ron Miller (R-York) asked if the bill would prevent a historical marker from
being placed on state-owned land. Rep. McGeehan said that stop signs, traffic
lights, historical markers and other safety signs would not be prohibited.
Rep. Miller asked if a billboard could be placed on state land and then a
political candidate could rent space on the billboard. Rep. Jim Wansacz (D-Lackawanna) said the state doesn't allow
commercial signs to be posted by businesses on its property, and the
businesses could utilize the authorized blue signs advertising local
businesses at each exit of a state highway. This would prevent political
candidates from advertising on signs on state land. HB 690 Cohen - (PN 776) The Plug-in Hybrid Task Force Act establishes the Plug-in
Hybrid Task Force and provides for its membership. The task force would: (1)
review existing laws, regulations, tariffs and policies that relate to
plug-in hybrids; (2) meet with representatives from the automotive, battery,
utility and energy industry, transportation and fleet car managers,
environmentalists, first responders and other relevant parties; (3) seek and
accept public comment on its effort and recommendations; (4) examine and
report on how the use of plug-in hybrids would impact PA, the options for
maximizing the use of plug-in hybrids by State agencies for affordable
transportation and potential cost savings for State agencies as a result of
the use of plug-in hybrids, and measures to undertake to accelerate the
adoption of plug-in hybrid technology; and (5) transmit a copy of its
findings to the Governor, General Assembly and PUC. The findings would be
posted its findings on a publicly accessible Internet website. - The bill was
unanimously reported as committed. Rep.
Vitali questioned if the proposed members of the
task force are interested in participating, to which Rep. Cohen stated they
could appoint a substitute. Rep. Vitali then asked
about the position of DEP Secretary Katie McGinty.
Rep. Cohen noted he does not know her position,
however the Governor's office supports the bill. Rep.
John Hornaman (D-Erie) asked why only plug-in
vehicles were being focused on and why the bill did not require the Task
Force to include hybrids in its study. Rep. Mark Cohen (D-Philadelphia), the
bill's sponsor, replied that plug-ins reduce energy consumption more than hybrids.
He said these cars are going to be built whether there is a task force or
not, so the Legislature should look at them to ensure the electric grid is
not overburdened. Rep. Hornaman asked if
calculations of the energy usage for plug-in vehicles accounts for the
production of the electricity used to charge the vehicle, such as coal-fired
plants. Rep. Cohen stated his belief that it does, but noted the task force
could look into such an issue. Rep.
Jim Wansacz (D-Lackawanna) said more auto industry
representatives should be on the task force. Currently, the bill calls only
for state government officials to be on the panel.
Rep.
Stan Saylor (R-York) said the bill gives SEOs due
process so they may defend themselves. The bill requires any action taken by
the Department of Environmental Protection (DEP) against an SEO to be
initiated with the State Board for Certification of Sewage Enforcement
Officers and places the burden of proving a violation by a sewage enforcement
officer on DEP. Rep.
Vitali asked about DEP's
position on the bill. Rep. Saylor did not have a statement of DEP's position. Rick
Morrison, PA Legislative Services The
House Environmental Resources and Energy Committee met to consider
three bills. HB 1320 Siptroth - (PN 1625) The Home-Generated
Medical Sharps Disposal Act states that the Department of Environmental
Protection would develop and implement a Statewide program for the safe,
convenient and cost-effective disposal of home-generated medical sharps. The
program would include an educational component designed to inform the public
about safe disposal of home-generated medical sharps and to promote the public's
use of the program. - The bill was unanimously reported as committed. Rep.
Carole Rubley (R-Chester) inquired if there has
been an assessment on the cost the bill will incur on the state. Chairman Bud
George (D- Clearfield) stated there are no figures yet, and none are required
until the bill's third consideration. SB 815 Musto -
(PN 909) Amends the Storage Tank and Spill Prevention Act further providing
for underground storage tank environmental cleanup program and for
underground storage tank pollution prevention program. The bill eliminates
the expiration of the provision allowing up to $500,000 to be used for the
costs of corrective action (which would have expired on June 30, 2007) and
extends the sunset date for the Underground Storage Tank Environmental
Cleanup Program and The Underground Storage Tank Pollution Prevention Program
from June 30, 2007 to June 30, 2012. - The bill was unanimously reported
as committed. HB 1206 Surra
- (PN 1669) Amends the Administrative Code establishing in DEP a number fees
relating to dam safety, water obstructions and encroachments annual oversight
and review, explosives permits and licenses, hazardous waste, municipal waste
annual administration and application, residual waste annual administration
and application, municipal waste landfill disposal, water allocation
application, and oil and gas application. The Department would continue to
exercise the authority previously granted to establish or change fees by
regulation and would review the adequacy of the fees at least once every
three years and provide a written report to the Environmental Quality Board.
The bill provides for the allocation of the municipal waste disposal fee into
the Hazardous Sites Cleanup Fund and the Environmental Stewardship Fund; and
for the well permit fee into the General Fund and the DEP. - The bill was reported
as amended by a vote of 15-14, with Minority Chairman Hutchinson and
Representatives Jennifer Mann (D-Lehigh), Martin Causer (R-McKean), Garth
Everett (R-Lycoming), Kate Harper (R- Montgomery), Ronald Miller (R-York),
Jay Moyer (R-Montgomery), Jeffrey Pyle (R-Armstrong), Kathy Rapp (R-Warren),
Dave Reed (R-Indiana), Chris Ross (R- Chester), Rubley,
Richard Stevenson (R-Mercer) and Randy Vulakovich
(R- Allegheny) voting in the negative. A00971 by
Conklin, simplifies the bill by deleting all fees
except for the $2.75 municipal waste landfill disposal fee. The amendment was
adopted by a vote of 17 to 12, with Minority Chairman Hutchinson and
Representatives Causer, Rep.
Harper asked for confirmation that the amendment strips out all fees imposed
on the waste industry, and leaves intact the one fee that impacts consumers.
Rep. Conklin acknowledged the amendment does retain only the tipping fee, but
countered that from his experience as a county commissioner, he isn't
convinced tipping fees have a significant negative effect on consumers. Rep.
Harper, noting her own extensive experience with tipping fees derived from
her work passing the "Making Trash Pay" Act, argued the
Environmental Stewardship Fund is already solvent with the fees currently
charged, and asserted A00971 is not the way the legislature should deal with
funding the Hazardous Sites Cleanup Act (HSCA). Rep.
Ross observed there is a long list of fees proposed in the bill that would be
eliminated by the adoption of Rep. Conklin's amendment, some of which he
would be wary of deleting due to their importance. Rep.
Pyle asked how the $1,475 well permit fee enacted in the bill compares to any
current fees. Rep. Conklin could not speak to the question as it pertained to
the bill itself and not his amendment. Rep. Pyle modified his question,
inquiring if the fee would be eliminated with the adoption of the amendment.
Rep. Conklin confirmed that would be the case. Rep.
Stevenson commented the legislature needs to find a way to fund HSCA, but
argued this is not the way to do it. Rep.
Vitali remarked he doesn't think there exists an inter-relationship between the fees enumerated
in the bill other than their presence in it, and inquired if, by voting for
the amendment, the bill will effectively "step down" to only
dealing with the HSCA fee. Rep. Conklin confirmed that speculation. "Troubled
by the funding stream for HSCA" created by the passage of A00971, Rep.
Ross moved to suspend the rules to consider his amendment, A01742, which
would substitute the inclusion of the tipping fee for funds derived first
from the Capital Stock Franchise Tax and then from the Corporate Net Income
Tax. The vote to suspend the rules to consider the amendment failed by
a vote of 13-16. With
the prime sponsor of HB 1206 not in attendance, Rep. Ross offered to answer
questions on the bill. Rep. Reed inquired for what purposes the $.50 of the
tipping fee designated for the Environmental Stewardship Fund is designed.
Rep. Ross replied the exact purpose of the money is unspecified. Rep. Reed
remarked that during Appropriations hearings, it was suggested the money
could be used to fund Growing Greener II. Rep. Ross acknowledged, "that
could well be." Rep. Reed continued, stating that when the Growing
Greener II act was originally passed, the Governor issued a press release
stating no new taxes or fees would be levied to pay for it, and commented
that it seems like the Administration is proposing additional spending within
those programs. Executive
Director Thomas Kuhn read a letter addressed to the Speaker of the House from
Budget Secretary Michael Masch, dated Rep.
Yudichak voiced concern over the possibility of
municipalities already engaged in long-term contracts with waste haulers and
who may bear the costs of any fees. Rep. Conklin agreed and stated he hopes
to talk to the Governor's office about adding a delay before the legislation
would become effective. Rep.
Harper asserted there is still money available in various funding outlets for
debt service and other expenses, and emphasized there isn't a need to impose
an added fee on consumers to fund HSCA. Rep.
Eugene DePasquale noted there have been legitimate
questions made regarding Growing Greener II, and suggested it may be a good
idea for the Committee Chairmen to draft a letter outlining the history of
the Act and its solvency. Minority
Chairman Hutchinson warned committee members, "Make no mistake: this
vote is not for a fee but for a tax," and reiterated that HSCA can be
funded from other sources. Mike
Howells, PA Legislative Services The
House Environmental Resources and Energy Committee met to consider
three bills. HB 1203 Hornaman - (PN 1668) Amends the
Alternative Energy Portfolio Standards Act by phasing in gradually over 15
years the percentage of electric energy required to be sold from Tier I
sources that must be from solar photovoltaic technologies. The bill states
that the alternative compliance payment for the solar photovoltaic share
would be 200% of the average market value of solar renewable energy credits
sold during the reporting period within the service region of the regional
transmission organization, including, the levelized
up-front rebates received by sellers of solar renewable energy credits in
other jurisdictions in the PJM Interconnection. Also, energy derived from
alternative energy sources located outside the service territory of a
regional transmission organization that manages the transmission system in
any part of PA would not be eligible to meet the compliance requirements of
this act. Lastly, the bill states that excess generation from net-metered
customer-generators would be "trued-up" on an annual basis. - The
bill was reported as committed with Minority Chairman Scott Hutchinson
(R-Venango) and Representatives Martin Causer (R-McKean), Garth Everett
(R-Lycoming), Ronald Miller (R-York), Jeff Pyle (R-Armstrong), Kathy Rapp
(R-Warren), Dave Reed (R-Indiana), Richard Stevenson (R-Mercer) and Randy Vulakovich (R-Allegheny) voting in the negative. Rep.
John Hornaman (D-Erie) explained that this bill is
another piece of the Governor's energy package and that while the Alternative
Energy Portfolio Act was a major first step, this bill will tighten the
process further. Rep.
Kate Harper (R-Montgomery) stated that while she supports solar energy she
wondered about some of the specific numeric requirements in the bill. She
asked where these numbers came from. Rep. Hornaman
replied that these came from the Governor's research office and that they
will help energy companies by giving them a standard they can use to better
prepare for the future. Asked if energy companies are in support of these
requirements, Rep. Hornaman replied he has heard no
objections. Rep.
Stevenson stressed that given the complexity of the bill and the speed at
which it has come up before the Committee, he is concerned that not everyone
has been given a sufficient opportunity to voice their opinions. He declared
he will vote no on the bill. Rep.
Pyle likewise stated that hearings should occur on this bill. Rep.
Miller wondered why the bill requires the energy to be from PA. Rep. Hornaman explained that the same company could be
operating in other states and that they did not want the company's credits
being used against PA's compliance standards. Rep.
Miller asked if a company places a facility in NJ on the border of PA, could
they use their credits in both states. Rep. Hornaman
acknowledged this is a good question. This prompted Rep. Miller to reiterate
the comments of others that the process is moving too quickly. Rep.
Greg Vitali (D-Delaware) expressed his belief that
the reason the facility has to be in PA is because of generating more jobs. Rep.
Everett asked why the only alternative energy contemplated in the bill is
solar power. Chairman Camille George (D-Clearfield) explained that an
amendment will be offered on the floor to address this concern. Rep.
Reed wondered if producers will only get paid for excess generation on a
yearly basis. Rep. Hornaman stated this is correct.
Rep. Reed then expressed concern over this saying that it will place a
hardship on those that have to make monthly payments to banks that loaned
them the money to install this equipment. He asked how reimbursements are
handled now. Rep. Hornaman said there is no
stipulation in the bill in this regard and that he understands Rep. Reed's
concern. HB 1200 DePasquale - (PN 1661) Amends the
Administrative Code further providing for the powers of the PA Energy
Development Authority by stating the Authority has the power to (1) acquire
and sell alternative energy credits as defined in the Alternative Energy
Portfolio Standards Act, (2) establish rebate and incentive programs to help
to defray the costs to persons associated with the purchase, manufacture or
distribution of products which are used to generate alternative energy or
which employ energy-efficient technology, (3) acquire, hold, sell, transfer
and redistribute electric power, natural gas, liquid fuel, transportation
fuel and any other energy commodity, and (4) enter into agreements with State
departments, authorities, boards and commissions to provide for the transfer
of funds from the Energy Development Fund or other funds under the control of
the authority, to be used for energy-related activities. The bill deletes the
requirement that the aggregate principal amount of bonds and notes of the
authority would not exceed $300,000,000 outstanding at any one time. - The
bill was reported as committed with Minority Chairman Hutchinson and
Representatives Causer, Everett, Harper, Reed, Ross, Carole Rubley (R-Chester), Stevenson, Miller, Jay Moyer
(R-Montgomery), Pyle, Rapp and Vulakovich voting in
the negative. Rep.
Eugene DePasquale (D-York) explained that he has
held a hearing in his district on this issue and that the bill will, among
other things, enhance the authority of the PA Energy Redevelopment Authority.
He informed the Committee that at a recent meeting, several venture
capitalist firms stated this will help to grow high tech jobs in PA. This
will also help people with high utility bills who cannot afford more energy
efficient appliances to do so, added Rep. DePasquale.
He closed arguing that energy credits in the bill can be used as economic
development tools. Rep.
Chris Ross (R-Chester) commended the good intention of the bill but worried
that this would create a huge policy change yet is short on details and
rules. He stressed the government should not be involved in trading energy
credits and offered that the rebate program is not needed because appliance
manufacturers are already making more efficient products that people are
buying. He also said he needs more information on the loan and grant
provisions. Rep.
Pyle noted that the aggregate amount of bonds listed in the bill ($300 million)
is bracketed out and asked what the new amount would be. Rep. DePasquale replied that the Governor is seeking $850
million for his energy initiatives. He stressed that not all of these
proceeds are for this legislation but the Governor's overall energy strategy.
Rep. Pyle cautioned that the "devil is in the details" and worried
that things are being rushed. Rep.
Stevenson stated that while the bond limit is being increased to $850
million, he does not see a borrowing limit in the bill. Rep. DePasquale clarified that this would allow the Authority
to spend proceeds from the bond and that this bill is not the bond bill
itself. Rep. Stevenson then raised a concern over language concerning the
state being involved in acquiring energy commodities. Rep. DePasquale acknowledged this concern and stated that
other have raised it as well. He pledged to work to ensure the state does not
run into the same trouble that Rep.
Harper expressed concern over the same section and stressed that the
Committee needs to get more information on this before action can be taken.
Rep. DePasquale said that he believes this
provision was inserted in order to address a situation that had occurred in
the Southwestern part of the state where rising energy costs were forcing a
steel plant out of the state and an attempt was being made to keep the
company in PA. Rep.
Everett echoed the concerns on this section saying he is not sure why PA
needs to be in the energy business. He stressed more needs to be done in the
Committee to explore this concept. Minority
Chairman Hutchinson also expressed concerned over the fact the bill would
give the Authority unlimited borrowing power in addition to the state's
ability to purchase power. HB 1202 Gerber - (PN 1667) The Clean Fuels and Energy Independence Act
establishes mandates for renewable content in on-road transportation fuels
sold at retail in PA, and seeks improve air and water quality and reduce
production of greenhouse gases and other environmentally harmful emissions in
PA, promote energy independence, stimulate PA's economy by increasing demand
for homegrown alternative fuel, creating production facility construction
jobs and creating long-term manufacturing jobs, and provide alternative fuel
sources that can be used to protect consumers from the volatile and
ever-increasing costs of traditional fuel sources. - The bill was reported
as committed with Minority Chairman Hutchinson and Representatives
Causer, Rep.
Reed stated that while he believes biodiesel will
be a valuable energy source, he wonders what happens if production levels
drop. Specifically he asked if there are any de-escalation provisions in the
bill. Rep. Michael Gerber (D-Montgomery) acknowledged there are not but
speculated that if this were to occur, he believes the problem could be taken
care of through regulation. Rep. Reed instead insisted that such a
possibility should be planned for and addressed now through the legislation.
Rep. Gerber said he would be happy to work with him to address this issue. Rep.
Ross said he supports the idea but is not convinced that corn and soy based
alternative fuels are the way to go because of their impact on feed stocks.
He also expressed his concern over the enforcement mechanism in the bill
being based at the local service station level. Rep.
Tim Seip (D-Schuylkill) said that at the ethanol
plant in this district, they can remove the alcohol from the corn and still
use what is left to feed livestock. Rep.
Pyle worried that the price for corn has been going up and again stated that
the "devil is in the details" with a bill like this. He insisted
that further research is needed and that the Committee should meet with the
House Agriculture Committee to assess if there will be any impact on farmers.
Rep.
Gerber informed the Committee that there is a drafting error in the bill
where it states "agriculturally derived" and that this language
will be corrected so that agricultural products are not the only ones that
can be used. He stressed that while other methods of producing ethanol are
not yet cost efficient, more research is being conducted to make them so. Rep.
Everett asked if there are any corresponding timeframes associated with the
percentages in the bill. Rep. Gerber stated there are not because stake
holder groups suggested that everything should be based upon production
levels so as not to trigger any inflationary pressures. Rep.
Seip expressed that he has had frequent dialogs
with the Farm Bureau and said that they are supportive of corn based ethanol.
This prompted Rep. Pyle to state that he has spoken with them and they do not
support corn, but do support switch grass based
ethanol because of their concerns over the cost of corn. Rep.
Lisa Bennington (D-Allegheny) asked about a provision in the bill relating to
"coal to liquids" and asked if this will serve as a loophole around
the bill's intent of encouraging biodiesel. Rep.
Gerber stated that it will not and that it meets three out of four goals of
the bill; namely economic development, energy independence and lower costs
for consumers. Eric
A. Failing The
House Environmental Resources and Energy Committee met to consider one
bill. SB 356 White, M - (PN 568) Amends the Environmental Education Act to
provide for the establishment of the A00435
by Rep. Mike Carroll (D-Luzerne), reduces to five
the number of appointees to the board chosen by the PA State System of Higher
Education (PASSHE) and replaces the slot with a representative from the
Association of Conservation Districts to be appointed by the Secretary of
Agriculture. The amendment was adopted on a 15-12 party line vote with
all of the Republicans voting in the negative except Rep. Carole Rubley (R-Chester) who was on leave. Senator
Mary Jo White (R-Venango), the Chair of the Senate Environmental Resources
Committee and the bill's prime sponsor, explained her reasons for introducing
the bill and asked that no amendments be put on the legislation. She said she
understands there is some interest in amending the bill to allocate more
board seats to environmental or conservation groups, but it is her belief
that PASSHE has plenty of flexibility to choose from the many worthy groups
out there. She also added that there is agreement with all parties on the
existing language. Rep.
Carroll said he understands the Senator's feelings but he feels strongly that
the Conservation Districts need to be on the board and doesn't want to leave
it to chance. Report
prepared byPeter G. Trufahnestock,
PA Legislative Services for PFSC The
House Environmental Resources and Energy Committee held a meeting to
consider legislation. HB 543 Watson - (PN 613) Amends the Housing Finance Agency Law establishing an
energy-efficient home assistance pilot program for two years, which would
award grants of up to $5,000 to homebuyers to offset closing costs or down
payment assistance, including, but not limited to, the mortgage rate
buy-down, for homes that meet the following criteria for energy efficiency or
alternative energy systems, or both. $2,500 of a grant issued may be provided
to the purchaser of a home that exceeds the energy and water conservation
requirements set by the Statewide Uniform Construction Code and achieves an
Energy Star Label certified to by a Home Energy Rating System rater and an
additional $2,500 may be provided to the purchaser of a home that
incorporates an alternative energy generating system in its design. In the
event the grantee relinquishes the home in less than five years, the agency
would be entitled to recapture one-fifth of the grant for each succeeding
year up to the five-year minimum. The bill provides for eligibility and a
report to the General Assembly. - The bill was unanimously reported as
committed. Rep.
Katharine Watson (R-Bucks) explained that if the legislation were passed, it
would serve to educate builders on the benefits of utilizing energy-efficient
materials in residential areas and would encourage new generations of home
buyers to purchase the materials for themselves. Rep.
Jim Wansacz (D-Lackawanna) asked why the
legislation is specific to new construction. Rep. Watson replied that
installing energy-saving devices in existing homes is more expensive than in
new homes, adding that since the bill calls for a pilot program only it was
decided that new construction would be a good place to start. Rep. Wansacz expressed a concern that home buyers going
through the Housing Finance Agency may not be able to afford homes with
alternative energy sources. Rep. Watson agreed with his concern but stressed
that the Pennsylvania Housing Finance Agency (PHFA) is in favor of the
legislation, adding that builders can also benefit by becoming certified in
the construction of energy efficient homes. Bill Fogarty, who severs as the
Government Affairs Director of the PHFA, stood in support of the bill and
said that new construction is cheaper than adding alternative energy to
pre-existing homes. Rep. Watson stated that there while there is no fiscal
note on the legislation yet, the program should cost between $2 million and
$5 million. Rep.
Chris Ross (R-Chester) inquired if there has been any feedback on the request
for $2,500 for alternative energy grants and said that he would imagine the
installation of the systems would be more costly. Rep. Watson replied that
they have received a small amount of feedback from one installer of solar
energy products who suggested the amount is enough to tip the balance. The
costs could go up as the bill moves along and more input is generated, Rep.
Watson added. Rep.
Carole Rubley (R-Chester) asked if the PHFA would
be able to absorb the costs of the program if there isn't a line item in the
budget to appropriate the needed funds. Fogarty said that the PHFA Board
makes the decisions on what funds can be subsidized. In order for the program
to continue without state funding, existing programs would need to be cut and
the bond market could be hit, he explained. Rep. Rubley
said she supports the proposed legislation and would be in favor of adapting
the bill to work with whatever funds are allocated. Rep.
Daylin Leach (D-Montgomery) asked why it is
necessary for home buyers to live for at least five years in the homes that
will be built through the program. Rep. Watson stated that the language was
added so that consumers don't attempt to buy homes with government funding
and then sell it for a profit. Rep.
Wansacz questioned what the dollar amount is of
150% of the median income as specified in the language of the legislation.
Rep. Watson said it would average approximately $90,000. HR 106 Cohen - (PN 729) Resolution urging auto manufacturers to develop and
produce plug- in hybrid vehicles for consumer use within this Commonwealth. -
The resolution was unanimously reported as committed. HR 136 Josephs - (PN 836) Concurrent Resolution urging the President and
Congress of the Rep.
Pyle and Rep. Stevenson both expressed their concern with some of the facts
and figures within the resolution, and Rep. Babette
Josephs (D- Philadelphia) said that she would work on obtaining more concise
information or work with them to eliminate the controversial statistics. Rep.
Miller asked whether any equipment within the Rep.
Miller expressed concern with the effect that such a ban would have upon
domestic businesses. Rep.
Rapp inquired if there is any existing data on whether products containing
mercury are being imported to the Minority
Chairman Hutchinson said that he is concerned that resolutions like this tie
the hands of the Lindsay
Meehan, PLS The House Environmental
Resources and Energy Committee met HB 110 Vitali - (PN 188) The Pennsylvania Greenhouse
Gas Reduction Act requires a report on potential global warming impact in and
economic opportunities for the Commonwealth to be prepared by the Department
of Environmental Protection. The legislation provides for the content of the
report. Additionally, the department would create an inventory of greenhouse
gases (GHG) emitted in PA by all sources. The inventory would establish GHG
emission trends and the relative contribution of major sectors. The
department would establish a baseline of GHG emissions that it would use to
project future GHG emissions in PA in the absence of government intervention.
The inventory and baseline would be presented to the Governor and
stakeholders every three years as part of the GHG plan of action. The bill
provides for the content of the action plan. The department would also create
a voluntary greenhouse gas registry through which interested businesses,
governments, institutions and other entities could record any reductions in
greenhouse gas emissions or any avoided emissions of greenhouse gas emissions
that are achieved in the absence of any government regulation. - The bill was
reported as committed by a vote of 18 to 8, with Minority Chairman
Scott Hutchinson (R-Venango) and Representatives Jeff Pyle (R-Armstrong),
Kathy Rapp (R-Warren), Dave Reed (R-Indiana), Garth Everett (R-Lycoming),
Randy Vulakovich (R-Allegheny), Richard Stevenson
(R- Mercer, proxy) and Ron Miller (R-York, proxy) voting in the negative. Rep. Pyle asked if surrounding
states, particularly states "upwind" to the west, have or are
planning to enact similar plans. Rep. Vitali stated
Rep. Rapp asked why there doesn't
appear to be any accommodation for legislators in the Governor's selection of
stakeholders to conduct the study on global warming. Directing her to Page 4,
Line 13 of the bill, Rep. Vitali explained the
Governor will be able to select a "broad range of experts" who will
add their recommendations to the final report, which the legislature will be
able to take up or ignore as it sees fit. Rep. Rapp inquired if there is any
proviso requiring stakeholders to be drawn from both sides of the issue. Rep.
Vitali acknowledged the bill "doesn't
specify," and assumes stakeholders will agree the issue is at least one
worth studying. He added there are no requirements regarding a particular stakeholder's belief on the issue other than expertise in
the general area of global warming. Rep. DePasquale
pointed out that of Rep. Reed asked how many
stakeholders will be appointed to the research panel. Rep. Vitali explained the total number will be left to the
discretion of the Governor. Rep. Reed asserted that to ensure a well- rounded
range of stakeholders, the type and size of the panel should be more
specifically defined. With regard to Rep. Vitali's
earlier dialogue with Rep. Pyle, Rep. Reed asked where in the legislation
there is mention of Rep. Everett noted he shares the
concerns of several other members regarding the stakeholder issue, as well as
giving the Governor complete control over the makeup of the panel.
Additionally, Rep. Everett pointed out the six month deadline to complete the
study may be too short, given the wide scope of the issue. HR 112 Mann - (PN 817) Resolution directing
the Department of Environmental Protection to identify and implement policies
which encourage the use of current electronic waste recycling programs and
expand existing programs. - The resolution was unanimously reported as
committed. Rep. Ross noted he is working as
part of a multi-state cooperative to present a bill that will go into detail
regarding electronics disposal. HB 786 |
