|
SB 257 (BR 2608) - E. Harris
AN ACT relating to electric generating facilities.
Create new sections of KRS 278.010 to 278.450 to establish definitions for "board," "merchant electric generating facility," "person," "commence to construct," and "nonregulated electric transmission line; establish the Kentucky State Board on Electric Generation and Transmission Siting and the Environment; prescribe the membership and terms of membership; provide that the board is attached to the Public Service Commission; prohibit any person from constructing a merchant plant absent approval from the board; provide that the board will render a decision on the application within 120 days of receipt of an application; prescribe criteria upon which the board will render its decision; permit the board to convene a public hearing on an application; require a public hearing in a county without planning and zoning; prescribe a process for the public hearing; provide for intervention by an interested person on an application before the board; prescribe a process for review of final action by the board; prohibit an electric utility from constructing an electric generating facility absent board approval; prohibit any person from constructing a nonregulated transmission line absent board approval; establish an application process and filing requirements for board approval of a nonregulated transmission line; require electric interconnection agreements to be filed with and approved by the Public Service Commission; require that any upgrade to the transmission grid as a result of additional load from the merchant electric generating facility be borne by the merchant electric generating facility and prohibit the retail electric customers from being assessed higher payments for upgrades to the transmission system; prescribe curtailment priorities for utilities when an emergency exists that requires curtailment; establish a siting fund in the State Treasury and require that application fees be deposited into the fund for use in implementing the siting provisions; create a new section of Subchapter 10 of KRS Chapter 224 to create an application for a certificate of environmental compatibility from the Natural Resources and Environmental Protection Cabinet; provide for the review and report from the cabinet within 60 days of receipt of a completed application; permit the cabinet to assess a fee for the application; amend KRS 278.010 to apply definitions to Sections 8 and 9; repeal KRS 278.025.
SB 257 - AMENDMENTS
SCS - Retain original provisions; create new sections of KRS chapter 278 to provide exemption from the definition of merchant electric generating facility for a plant that contracts 100% of its power to a utility, if the contract for the purchase power is approved by the Public Service Commission and the plant is located on an existing utility site; amend definition of nonregulated transmission line to specify that the line is capable of operating at or above 69,000 volts; provide a designee for the secretary of the Natural Resources and Environmental Protection Cabinet and for the secretary of the Cabinet for Economic Development; provide a selection mechanism for a local member of the board when the application is for siting a merchant electric generating facility and when the application is for a nonregulated electric transmission line; provide an expiration date for the construction certificate issued by the board; require that the exhaust stack of an electric generating facility be 1,000 feet from the property boundary of any adjacent property owner; permit a local planning and zoning commission to establish its own setback requirements; permit the board to grant a deviation from the setback requirements but prohibit the board from permitting a deviation if the local planning and zoning commission has established a setback requirement; provide specific application requirements for a construction certificate for a merchant electric generating facility; permit a merchant electric generating facility to repair, expand, modify, retrofit, enhance or reconfigure the plant without being deemed a new merchant electric generating facility; require an applicant seeking a construction certificate from the board to obtain a site assessment report and submit the report to the board as part of the filing requirements; specify the contents of the site assessment report; permit the applicant to hire a consultant to prepare the report; permit the board to hire a consultant to review the report and make another site assessment report; require that the fees for the site assessment report be borne by the applicant; require the board to render a final decision in 90 days or 120 days if a public hearing is conducted; establish the criteria by which the board renders a decision; require the board to hold a local public hearing if the board receives 3 requests from interested persons residing in the county; require that a local public hearing be held if a request is received from a planning and zoning commission, a mayor of a city or a county judge executive; permit evidentiary hearings of the board to be held in Franklin county; specify application filing requirements for a nonregulated electric transmission line; and amend KRS 278.010 to include "other person" in the definition of regulated activity.
SCA (1, E. Scorsone) - Create new section of KRS 278.010 to 278.450 to prohibit a person from acquiring or transferring ownership or control of any asset owned by an electric utility without prior approval of the Public Service Commission if the assets have a book value of $1,000,000 or more; specify conditions under which assets may be transferred; make changes to conform.
SFA (2, E. Harris) - Require a person, including a utility, to file a cumulative assessment report with the cabinet when the person files an application for a permit required for either the construction or operation of a facility to be used for the generation of electricity; specify the contents of the cumulative assessment report; permit the Natural Resources and Environmental Protection Cabinet to condition permits required for the construction or operation of a facility and require that such conditions be in accordance with applicable standards; require the Natural Resources and Environmental Protection Cabinet to prepare a statement based on the cumulative assessment report and submit that statement to the Public Service Commission; permit the cabinet to promulgate administrative regulations implementing the provisions of the section; define the terms "utility" and "commission"; create a new section of KRS 278.010 to 278.450 to require an electric utility to submit a cumulative assessment report to the cabinet before beginning construction of any facility to generate electricity for retail sale; permit the Public Service Commission to conduct a public hearing after receipt of the cumulative assessment report from the cabinet or if the period for submission of the report has expired; define the term "interested person"; make conforming section changes.
SFA (3, E. Harris) - EMERGENCY.
SFA (4, E. Harris) - Define "qualifying cogeneration facility"; provide that a qualifying cogeneration facility is not a merchant electric generating facility; provide for the selection of a chair and vice chair of the board and specify their powers; require a quorum for the transaction of board business; provide specific setback requirements for a merchant electric generating facility located adjacent to a river; and conform subsection numbering.
SFA (5/Title, E. Harris) - Make title amendment.
SFA (6, E. Worley) - Delete original definition of commence to construct and provide new definition of commence to construct to mean physical on-site placement, assembly, or installation of materials or equipment which will make up part of the ultimate structure of the facility.
SFA (7, E. Worley) - Require in the application a statement that the exhaust stack of the facility rather than the site itself meets certain distance requirements; require the repair, expansion, modification, retrofitting, enhancement, or reconfiguration of a merchant electric generating facility to constitute construction of a merchant electric generating facility if those acts result in a net increase in emissions or environmental impacts.
SFA (8, E. Worley) - Delete the exclusion for facilities selling 100 % of power to a regulated utility from the definition of merchant electric generating facilities; allow submission of documentation of compliance with the National Environmental Policy Act in place of a site assessment report specified in Section 5 of the Act; allow submission of documentation of compliance with the National Environmental Policy Act in place of an environmental impact assessment and other applicable documents from the cabinet.
SFA (9, E. Worley) - Create new section of KRS 278.010 to 278.450 to require a utility to obtain a site compatibility report from the Public Service Commission; require a utility to submit a site assessment report and specify the contents of the site assessment report; permit the Public Service Commission to impose mitigation measures; specify criteria for the commission to make a determination on imposing mitigation measures; provide that the commission shall not deny an application for site compatibility and shall not order relocation of the facility; and renumber subsequent subsections to conform.
HCS - Retain original provisions and add language which permits action against the board to be in the Circuit Court of the county in which the facility is proposed to be constructed; require that a site assessment report include the impact of a facility on property owners "adjacent" to the facility; require merchant electric facilities that are proposed to be sited adjacent to a river and which use clean coal technology to comply with prescribed setback requirements; permit the board to promulgate administrative regulations for fees associated with application review, require fees to be placed in trust and agency account, permit the board to assess supplemental application fees as prescribed, and permit failure to pay the fee to be grounds for denial of an application; establish the trust and agency account for siting fees in the Public Service Commission; require an "expansion" of a merchant electric plant to be treated as a newly constructed plant; require environmental assessments to be submitted with applications for all proposed facilities except those that have received a certificate of public convenience or have begun construction prior to April 15, 2002, as prescribed, permit the cabinet to impose conditions regarding pollutants as prescribed, and permit the cabinet to promulgate administrative regulations for such; prohibit a utility from constructing a facility which generates in aggregate more than 10 MW's unless the facility has been granted a certificate of public convenience and has obtained a site compatibility certificate from the commission, require applications for site compatibility certificates to include site assessment reports as prescribed, prohibit the commission from denying an application filed pursuant to and in compliance with prescribed requirements, permit the commission to allow deviations from set-back requirements, clarify a utility's exemption under planning and zoning law, and clarify the meaning of "utility"; and delete language which would have exempted qualifying co-generation plants from the definition of "merchant electric generating facility."
HFA (1, J. Draud) - Permit rather than require the board to hold a public hearing if the facility is proposed to be located in more than one county.
HFA (2, J. Draud) - Delete Section 13 which requires utilities to obtain a certificate of site compatibility from the Public Service Commission; and delete Section 16 which repeals 278.025.
HFA (3, J. Draud) - Delete requirement that the Public Service Commission shall always approve a certificate of site compatibility for a utility; require the Public Service Commission to render a decision on the application for site compatibility based on consideration of community needs, industrial development, customer requirements, and the economics of the facility; permit the commission to condition the certificate on implementation of any reasonable measures to mitigate adverse impacts caused by the facility; and provide that nothing in Section 13 shall be construed to limit the Public Service Commission's right and authority to grant or deny a certificate of public convenience and necessity.
HFA (4, S. Riggs) - Make technical correction.
HFA (5/P, S. Riggs) - Attach the provisions of HB 598 GA.
HFA (6, C. Geveden) - Restores exemption from the definition of merchant electric generation facility for a qualifying cogeneration facility; define qualifying cogeneration facility.
HFA (7, B. Smith) - Declare that the definition of "merchant electric generating facility" excepts qualifying cogeneration facilities; define qualifying cogeneration facility.
HFA (8, J. Gooch) - Permit the applicant to demonstrate ability to contract to obtain the financial, technical, and managerial capacity to construct and operate a merchant electric generating facility; and permit the applicant to demonstrate the ability to contract to obtain the financial, technical, and managerial capacity to meet the obligations imposed by the terms of approval when the applicant requests board approval to transfer the rights and obligations under a construction certificate.
HFA (9, J. Gooch) - Amend one of the board's approval criteria to base the decision to approve a certificate to construct on whether the applicant anticipates meeting all requirements for electricity transmission interconnection under Kentucky law and the open access transmission tariff of the host transmission owner or regional transmission operator.
HFA (10, J. Wayne) - Delete qualification that changes in property values resulting from the siting, construction, and operation of the proposed facility be demonstrated only for property owners adjacent to the facility.
HFA (11, J. Wayne) - Delete board's ability to grant a waiver from setback requirements based on good cause shown and require that a waiver be based on a finding that the proposed facility is compatible with adjoining land uses at distances closer than provided in the mandated setbacks or where adjoining landowners have provided the applicant with written waivers; delete the separate setback requirement for a facility locating next to river; establish a separate setback requirement for a facility locating on the site of a former coal processing plant where the facility will be able to use waste coal as a fuel source; require the applicant to provide evidence reflecting approval by a legislative body or local board of compliance with local planning and zoning; require that administrative regulations be related to public or workplace health, safety, or the environment; increase the civil or administrative fine from $1,000 to $5,000; include an environmental compliance history in the board's decision criteria; require good environmental compliance history before approving a transfer of the rights and obligations under a construction certificate to another; increase the time for the board to make a decision on the application from 90 to 120 days; increase the time for the boards to make a decision on the application if a hearing is held from 120 to 180 days; permit the board to evaluate the design and configuration of a nonregulated transmission line as well as the line's proposed route; and permit the board to order changes in the design or configuration of a nonregulated transmission line.
HFA (12, J. Wayne) - Require new merchant electric generating facility sources, filing a cumulative environmental assessment with the Natural Resources and Environmental Protection Cabinet, to meet BACT requirements for nitrogen oxide and submit dispersion modeling that demonstrates noninterference of those emissions with attainment and maintenance of air quality standards.
HFA (13, J. Wayne) - Require a merchant electric generating facility that has obtained a certificate to construct from the board to obtain board approval for any replacement, repair, modification, retrofit, enhancement or reconfiguration of the facility that results in measurable increases in environmental impacts.
HFA (14/Title, S. Riggs) - Make title amendment.
HFA (15, G. Stumbo) - Retain all provisions; amend KRS 224.43-010 to express that it is the policy of the Commonwealth to reduce the amount of waste generated and increase recycling; close open dumps and prevent new ones; close abandoned landfills; identify the amount of solid waste generated per capita and provide incentives for the cleanup of open dumps; Create new section of Chapter 224 to define "environmental impact fee", "tipping fee", and other necessary definitions such as "beverage," "beverage cup," "container," "fast food retailer," and related definitions; establish an environmental impact fee of one-half cent on containers, an environmental impact fee of one-half cent on disposable beverage cups used by fast food retailers and by other retailers, a $1.00 tipping fee per ton of municipal solid waste; provide that the impact and tipping fees be collected by the Revenue Cabinet for transfer to Kentucky pride fund; provide for the creation of the Kentucky Pride Fund; provide for $9,000,000 (less up to $50,000 to reimburse Revenue and an undetermined amount to cover the costs to the Natural Resources and Environmental Protection Cabinet for administration) for closing abandoned landfills; provide for $9,000,000 to counties to clean up open dumps, with incentives to keep county free of open dumps and to have universal solid waste collection; provide for $10.5 million to counties for anti-litter and litter abatement programs; provide that approved local solid waste plans reflect this use of funds; provide a formula for the distribution of the $10.5 million as follows: 1/3 based on county lane miles, 1/3 based on county rural population, 1/3 based on county population, and a set-aside for cities, based on ratio of city population to county population; provide $1.5 million to the Kentucky Environmental Education Council; provide that balance in Pride Fund over $30 million (up to $10,000,000) go to the Dept. of Parks Enhancement Fund (50%) and Fish and Wildlife Resources (50%); provide that any funds over $40,000,000 be divided between Fish and Wildlife Resources (20%), Parks (20%), and the Pride Fund (60%); Amend KRS 224.43-310 to assign responsibility to Cabinet for planning for open dump cleanup and landfill closure, waste reduction and recycling, and the status of actions regarding closure and cleanup, for maintenance of disposal capacity, for encouragement of regional alternatives for waste reduction and management, and for minimum standards for waste management plans; require local reports to the Cabinet relating to policies and goals of the Act and costs of projects of solid waste management plans; require by 2003 that commercial collection services register with counties; require that by 2004 commercial services must report to counties regarding who they serve and how much they collect, and also specific recycling information; provide that certain commercial or industrial entities are exempted from requirements if they dispose of their waste in accordance with law; provide that the Cabinet may promulgate regulations relating to the policies and goals of the Act; provide that counties and waste management areas may employ solid waste coordinators with enforcement powers for waste management statutes, local management plans, and the enforcement of cabinet regulations; provide that waste management plans will identify projections of how much is to be collected, and generally how the goals and requirements of the Act and universal collection are to be met; require counties to provide plans for cleanup of road litter three times per year on county, state, and federal roads (excluding Interstates) and twice per year for city streets; provide for the use of non-violent inmate labor for cleanups with approval of jailer, with payment for labor to go to the jail fund; provide that if there are not enough Pride Fund funds provided to a county to do the number of road cleanups required, the county will not be held to be out of compliance; provide plan requirements to be submitted in October 2002 and updated every five years thereafter; provide that the Cabinet has 120 days to approve new plans; provide that counties and Waste Management Districts (WMDs) shall employ a solid waste coordinator, and establish the duties of the coordinator, which may include reporting violations to the Cabinet; clarify language regarding use of taxes related to solid waste collection and provide that the costs of carrying delinquent payments may be part of calculation; provide that collection fee may be placed on property tax bill, provide for the conditions and procedures for determining the collection service bill and placing it on the property tax bill, and provide for a low-income waiver; provide for the conditions by which a county or WMD may require the use of a specific landfill, and exempt cities which meet specified requirements; require that counties use all authority granted by law to collect the collection service charges; provide (after January 1, 2004) for the means to collect delinquent service charges through the property tax bill, provide for a 20% penalty for delinquent service charges, provide that in counties with curbside collection the delinquent service charge penalties assessed by waste collection providers and also delinquent charges may be placed on the property tax bill, and provide that the tax bill clearly show that the charges are not related to property value; provide that the owner of property is responsible for the collection service fee; provide that 60% of litter fines go to the county in which violation occurred and 40% to agency issuing citation; provide for prepayment, under specified circumstances, of litter fines; provide for enforcement powers regarding litter laws for solid waste coordinators; provide conforming amendments and repealers.
HFA (16/Title, G. Stumbo) - Make title amendment
HFA (17, G. Lindsay) - Specify that provisions of the act do not apply to a municipally-owned utility which is not a merchant plant or which is an electric generating plant proposed to be built out of the owning county after the effective date of the act.
HFA (18, J. Draud) - Retain original provisions of SB 257/HCS with the following exceptions: provide that definition of person does not include a utility owned by a municipality unless the utility is a merchant plant; define qualifying cogeneration facility and waste coal; exempt qualify cogeneration facility from the definition of merchant electric generating facility; delete setback requirement for a facility locating next to a river that uses clean coal technology; include separate setback for a facility that locates on the site of a former coal processing plant in the Commonwealth that will utilize on-site waste coal as a fuel source or that uses at least fifty percent coal subject to coal severance tax; provide that setback requirements established by a planning and zoning commission may be more stringent than those set forth in subsection (2) of Section 3 of the Act; provide for favorable consideration and expedited review by the board for a facility that uses clean coal technology, waste coal or at least fifty percent coal subject to coal severance tax; provide that an applicant that has already held three public hearings as of April 15, 2002 not be subject to requirement of the board to hold another public hearing; provide that an electric utility or an electric cooperative that has been granted a certificate of public convenience and necessity as of April 15, 2002 not be required to obtain siting approval from the Public Service Commission; require that the Public Service Commission make a determination of the application for site compatibility based on the commission's determination of community needs, industrial development, customer requirements, and the economics of the facility; delete Section 15 and make changes to conform.
HFA (19, G. Stumbo) - Retain original provisions of SB 257/HCS with the following exceptions: provide that definition of person does not include a utility owned by a municipality unless the utility is a merchant plant; define qualifying cogeneration facility and exempt qualifying cogeneration facility from the definition of merchant electric generating facility; delete setback requirement for a facility locating next to a river that uses clean coal technology; include separate setback for a facility that locates on the site of a former coal processing plant in the Commonwealth that will utilize on-site waste coal as the fuel source; and make changes to conform.
HFA (20, G. Stumbo) - Retain original provisions of SB 257/HCS with the following exceptions: provide that the definition of person does not include a utility owned by a municipality unless the utility is a merchant plant; define qualifying cogeneration facility and exempt qualifying cogeneration facility from the definition of merchant electric generating facility; define residential neighborhood; provide for the selection and term of ad hoc public members to the board; provide that the applicant disclose any violations that have resulted in criminal convictions or fines exceeding five thousand dollars; provide that the site assessment report be prepared by the applicant or its designee; establish criteria for making decision on application; permit but not require the board to hold a local public hearing; establish items to be included in the description of the proposed line and appurtenances in an application to construct a nonregulated electric transmission line; require all new merchant electric generating facility sources to meet best available control technology requirements for oxides of nitrogen; provide that the Public Service Commission may deny an application for a site compatibility certificate for a utility; and make changes to conform.
HFA (21, J. Barrows) - Retain original provisions of SB 257/HCS with the following exceptions: provide that the definition of person does not include a utility owned by a municipality unless the utility is a merchant plant; define qualifying cogeneration facility and exempt qualifying cogeneration facility from the definition of merchant electric generating facility; define residential neighborhood; provide for the selection and term of ad hoc public members to the board; require that a deviation from setback requirements established in statute be based on a finding that the proposed facility can be designed and located at a closer distance; require that the applicant show compliance with all planning and zoning requirements rather than applicable planning and zoning requirements; provide that the applicant disclose any violations that have resulted in criminal convictions or fines exceeding five thousand dollars; provide that the site assessment report be prepared the applicant or its designee; establish criteria for making decision on application and include good environmental compliance history in such criteria; permit but not require the board to hold a local public hearing; establish items to be included in the description of the proposed line and appurtenances in an application to construct a nonregulated electric transmission line; permit the board to require an applicant to alter the design or configuration of the non regulated transmission line; require all new merchant electric generating facility sources to meet best available control technology requirements for oxides of nitrogen; provide that the Public Service Commission may deny an application for a site compatibility certificate for a utility; and make changes to conform.
HFA (22, J. Barrows) - Retain original provisions of SB 257/HCS with the following exceptions: provide that the definition of person does not include a utility owned by a municipality unless the utility is a merchant plant; define qualifying cogeneration facility and exempt qualifying cogeneration facility from the definition of merchant electric generating facility; define residential neighborhood; provide for the selection and term of ad hoc public members to the board; require that a deviation from setback requirements established in statute be based on a finding that the proposed facility can be designed and located at a closer distance; require that the applicant show compliance with all planning and zoning requirements rather than applicable planning and zoning requirements; provide that the applicant disclose any violations that have resulted in criminal convictions or fines exceeding five thousand dollars; provide that the site assessment report be prepared the applicant or its designee; establish criteria for making decision on application and include good environmental compliance history in such criteria; permit but not require the board to hold a local public hearing; establish items to be included in the description of the proposed line and appurtenances in an application to construct a nonregulated electric transmission line; permit the board to require an applicant to alter the design or configuration of the non regulated transmission line; provide that the Public Service Commission may deny an application for a site compatibility certificate for a utility; and make changes to conform.
Mar 1-introduced in Senate
Mar 5-to Agriculture and Natural Resources (S)
Mar 14-reported favorably, 1st reading, to Calendar with Committee Substitute, committee amendment (1)
Mar 15-2nd reading, to Rules; posted for passage in the Regular Orders of the Day for Monday, March 18, 2002; floor amendments (2) (3) (4) (6) (7) (8) and (9) filed to Committee Substitute, floor amendment (5-title) filed to bill
Mar 18-3rd reading; floor amendments (7) and (9) withdrawn ; passed 36-0 with Committee Substitute, committee amendment (1), floor amendments (2) (3) (4) (5-title) (6) and (8)
Mar 19-received in House
Mar 20-to Local Government (H)
Mar 26-posting waived retroactively; reported favorably, 1st reading, to Calendar with Committee Substitute
Mar 27-2nd reading, to Rules; floor amendments (1) (2) (3) (4) (6) (7) (8) (9) (10) (11) (12) and (13) filed to Committee Substitute, floor amendment (5) filed
Mar 28-floor amendment (15) filed to Committee Substitute, floor amendments (14-title) and (16-title) filed
Mar 29-floor amendment (17) filed
Apr 2-placed in the Orders of the Day for Tuesday, April 2, 2002
Apr 15-floor amendments (18) (19) (20) (21) and (22) filed to Committee Substitute ; 3rd reading, passed 93-0 with Committee Substitute, floor amendment (22) ; received in Senate; posted for passage for concurrence in House Committee Substitute, floor amendment (22) ; Senate concurred in House Committee Substitute, floor amendment (22) ; passed 35-0; enrolled, signed by each presiding officer; delivered to Governor
Apr 24-signed by Governor (Acts ch. 365)
|
