Bill Text: NH HB1664 | 2020 | Regular Session | Amended


Bill Title: Establishing greenhouse gas emission reduction goals for the state and establishing a climate action plan.

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Engrossed - Dead) 2020-06-16 - Introduced 06/16/2020, and Laid on Table, Motion Adopted, Voice Vote; 06/16/2020; Senate Journal 8 [HB1664 Detail]

Download: New_Hampshire-2020-HB1664-Amended.html

HB 1664-FN - AS AMENDED BY THE HOUSE

 

19Feb2020... 0130h

2020 SESSION

20-2260

08/04

 

HOUSE BILL 1664-FN

 

AN ACT establishing greenhouse gas emission reduction goals for the state and establishing a climate action plan.

 

SPONSORS: Rep. Thompson, Ches. 14; Rep. Weston, Graf. 8; Rep. Oxenham, Sull. 1; Rep. Von Plinsky, Ches. 7

 

COMMITTEE: Science, Technology and Energy

 

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AMENDED ANALYSIS

 

This bill establishes greenhouse gas emission reduction goals for the state and gives the department of environmental services the authority to develop and update regularly a climate action plan.

 

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

19Feb2020... 0130h

20-2260

08/04

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Twenty

 

AN ACT establishing greenhouse gas emission reduction goals for the state and establishing a climate action plan.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  Findings.  The general court finds:

I.  Climate change has a demonstrated and researched-backed impact in New Hampshire and around the globe on human health and safety, including increased natural disasters and increased, intensifying extreme weather, causing damage to ecosystems, agriculture, forestry, social systems, and infrastructure; increased risks of waterborne and foodborne diseases, increased risks of vector-borne diseases, and increased range and distribution of disease-carrying insects.

II.  The United States economy will decrease by 10 percent by the end of the 21st century according to the U.S. Global Change Research Program, if significant steps are not taken to address and reduce global warming.

III.  The solutions to climate change, in the form of energy conservation, energy efficiency, strategic electrification, renewable energy, and natural resource protection have already resulted in significant economic, social, and environmental benefits to the New Hampshire.

IV.  Greater opportunities to address the causes of climate change remain, and delaying action will result in substantial lost opportunities for the state to benefit from the economic development associated with additional deep investments in energy conservation, energy efficiency, strategic electrification, renewable energy, and natural resource protection.

2  New Subdivision; Climate Action Plan.  Amend RSA 125-O by inserting after section 29 the following new subdivision:

Climate Action Plan

125-O:30  Climate Action Plan.

I.  The department of environmental services shall establish an annual greenhouse gas inventory.  Beginning in calendar year 2021, the commissioner shall submit the annual greenhouse gas inventory report to be made available to the public on or before January 15 to governor, the senate president, the speaker of the house of representatives, the chair of the senate energy and natural resources committee, the chair of the house science, technology and energy committee, the house clerk, the senate clerk, the energy efficiency and sustainable energy board, and the state government energy committee.  The inventory shall:

(a)  Shall be established with calendar year 1990 as the baseline year, and using scientifically valid methodologies that are consistent with surrounding state and federal practices.

(b)  Be inclusive of each sector of the New Hampshire economy, as well as include a similar comprehensive greenhouse gas inventory for the State of New Hampshire.

(c)  Include an analysis of the greenhouse gas emissions that occur within the geographic boundaries of New Hampshire, as well as an analysis of the total life-cycle greenhouse gas emissions, which account for the emissions that occur in other states, regions, and nations, but are incurred as a result of New Hampshire actions.

II.  The public policy of the state of New Hampshire is to reduce statewide greenhouse gas emissions to:

(a)  At least 20 percent below 1990 levels by 2025;

(b)  At least 50 percent below 1990 levels by 2035; and

(c)  At least 80 percent below 1990 levels by 2050.

III.  Each state agency with jurisdiction over activities that impact greenhouse gas emissions shall incorporate these goals into project planning, rulemaking, and funding determinations going forward, inclusive of the department of environmental services, the public utilities commission, the department of transportation, the office of strategic initiative, the department of administrative services, the department of business and economic affairs, and the department of agriculture.

IV.(a)  By July 1, 2022, the department of environmental services shall, after a period of public comment, prepare and adopt a plan for achieving the limits and interim limits established pursuant to paragraph II.  This plan shall be reviewed and updated by the department every 5 years.

(b)  The plan shall include strategies, programs, and compliance mechanisms with measurable goals and targets, including, but not limited to: development of market-based programs; expanding financing and investment tools; modernizing the electrical grid, electric sector regulations and rates; supporting strategic electrification and fuel switching; promoting combined heat and power systems; modifying the renewable energy standard and procurement; expanding least-cost energy procurement (including to unregulated fuels); improving state energy efficiency codes and standards, and compliance therewith; addressing natural gas leaks; promoting alternative fuel and electric vehicles; increasing use and availability of efficient public transport; and changing land-use patterns to support transit-oriented development and mixed-use commercial and residential areas.

(c)  In developing this plan, the department shall:

(1)  Evaluate the best available scientific, technological, and economic information on greenhouse gas emissions.

(2)  Minimize reductions in greenhouse gas emissions in New Hampshire that are offset by increases in emissions of greenhouse gases outside of New Hampshire.

(3)  Consider opportunities to encourage public and private investment toward rural, low-income, low to moderate income, and minority communities in New Hampshire and provide an opportunity for small businesses, schools, affordable housing associations, and other community institutions to participate in and benefit from statewide efforts to reduce greenhouse gas emissions.

(4)  Ensure that activities undertaken to comply with the regulations do not disproportionately impact rural, low-income, low to moderate income, or minority communities.

(5)  Target broad distribution of economic opportunities geographically and demographically, maximizing opportunities for workers and communities that may lose employment opportunities.

(6)  Consult with the public utilities commission, the department of transportation, the department of agriculture, markets, and food, and the office of strategic initiatives throughout the plan development process to ensure the greenhouse gas emissions reduction activities to be adopted and implemented by the department are complementary, non-duplicative, and can be implemented in an efficient and cost-effective manner.

(7)  Consult with other states, the federal government, and other nations to identify the most effective strategies and methods to reduce greenhouse gases, manage greenhouse gas control programs, and to facilitate the development of integrated and cost-effective regional, national, and international greenhouse gas reduction programs.

(d) The department of environmental services, in conjunction with the public utilities commission, the department of transportation, the department of agriculture, markets, and food, and the office of strategic initiatives will develop a report regarding the plan, including areas of progress, barriers, and emerging opportunities in years 2 and 4 following the release of the plan and its updates.  The commissioner of environmental services shall submit the report to be made available to the public on or before January 15 of the required years to the governor, the senate president, the speaker of the house of representatives, the chair of the senate energy and natural resources committee, the chair of the house science, technology and energy committee, the house clerk, the senate clerk, the energy efficiency and sustainable energy board, and the state government energy committee.

3  New Hampshire Energy Policy.  Amend RSA 378:37 to read as follows:

378:37  New Hampshire Energy Policy.  The general court declares that it shall be the energy policy of this state to meet the energy needs of the citizens and businesses of the state at the lowest reasonable cost while providing for the reliability and diversity of energy sources; to maximize the use of all cost effective energy efficiency and other demand side resources; achieving the greenhouse gas emission goals identified in RSA 125-O:30, II and to protect the safety and health of the citizens, the physical environment of the state, and the future supplies of resources from climate change and its associated environmental impacts, with due consideration of both the financial stability of the state's utilities and the financial costs imposed by climate change on the state, its citizens, and businesses.

4  Effective Date.  This act shall take effect 60 days after its passage.

 

LBAO

20-2260

12/17/19

 

HB 1664-FN- FISCAL NOTE

AS INTRODUCED

 

AN ACT establishing a climate action plan, an office of the environmental advocate, and an oversight commission on environmental services.

 

FISCAL IMPACT:      [ X ] State              [ X ] County               [ X ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2020

FY 2021

FY 2022

FY 2023

   Appropriation

$0

$0

$0

$0

   Revenue

$0

$0

$0

$0

   Expenditures

$0

Indeterminable Increase

Indeterminable Increase

Indeterminable Increase

Funding Source:

  [ X ] General            [    ] Education            [    ] Highway           [ X ] Other - Various Government Funds

 

 

 

 

 

COUNTY:

 

 

 

 

   Revenue

$0

$0

$0

$0

   Expenditures

$0

Indeterminable

Indeterminable

Indeterminable

 

 

 

 

 

LOCAL:

 

 

 

 

   Revenue

$0

$0

$0

$0

   Expenditures

$0

Indeterminable

Indeterminable

Indeterminable

 

The Public Utilities Commission was contacted on November 4, 2019 for fiscal note worksheet, which they have not provided as of December 17, 2019.

 

METHODOLOGY:

This bill would require the Department of Environmental Services establish and implement a state Climate Action Plan.  The Department will be required to:

  • Adopt and implement rules relative to the reporting and verification of greenhouse gases (GHG) emissions by source sector;
  • Conduct a public process to establish GHG emissions limits for the state;
  • Develop a climate action plan (the Plan), through a transparent stakeholder process to achieve the identified GHG emissions reduction goals; and
  • Issue and implement rules and regulations to achieve those limits.

The Department indicates it already requires stationary sources to report emissions of other pollutants, and the Department already calculates an annual sector-based GHG emissions inventory on widely used sectors based on data and guidelines obtained from the United States Department of Energy's Energy Information Administration.  Only carbon dioxide emissions from a limited number of electric generating facilities are reported as part of the Regional Greenhouse Gas Initiative.  The Department notes, the State developed a Climate Action Plan through a transparent stakeholder-driven process.

 

The Department states three full-time positions would be necessary to meet the additional requirements in the bill; an Environmental Program Manager, a Program Specialist IV, and an Environmentalist III.  The new staff would:

  • Identify the sectors and their segments required to report emissions and the manner emissions will be verified and inventoried each year.  A database would need to be developed and maintained to manage the emissions data submitted to the Department.
  • Develop and implement the administrative rules.
  • Conduct a technical process to develop a set of GHG emission limits that build on the work from 2009.
  • Manage the development of the plan to achieve those limits, including managing stakeholder engagement and technical analysis.
  • Following the Plan's completion, the staff would maintain the GHG inventory and update the Plan every five years.

 

These additional responsibilities exceed the current staff capacity at the Department.  As no funding is provided, the Department assumes the additional costs would come from the state General Fund.  The Department provided the following cost estimate for the additional positions:

 

Position Costs

FY 2021

FY 2022

FY 2023

Environmental Program Manager

$105,000

$107,000

$111,000

Program Specialist IV

$99,000

$100,000

$105,000

Environmentalist III

$93,000

$95,000

$99,000

TOTAL

$297,000

$302,000

$315,000

 

The bill also creates an Office of the Environmental Advocate administratively attached to the Department of Administrative Services.  The Office would be under the supervision of an unclassified Director.  The Director is overseen by an Oversight Commission on Environmental Services (Commission), composed of members of the General Court, the executive branch, local energy committees, and the environmental community.  Information requests from the Office of the Environmental Advocate would be handled by the existing staff at the Department and the costs with such request is indeterminable.  The Department of Environmental Services indicates the emissions reductions required under this legislation may have an overall economic impact on state, county and local energy expenditures.  The potential fiscal impacts are indeterminable.  The 2009 Climate Plan found it likely that there would be an overall economic benefit from completion of projects that reduce GHG emissions, but the impacts of such projects are indeterminable at this time.

 

The Office of the Environmental Advocate would be administratively attached to the Department of Administrative Services.  The Department of Administrative Services assumes the unclassified Director of the Office would be established at the salary grade of FF, step 1 based on similar positions.  Based on the responsibilities of the Office, two additional staff would be needed: an Administrative Assistant or similar position, and a Program Specialist II or similar position.  The Department provided the following cost estimates for the first two years based on current salary schedules a start date of July 1, 2020.  

 

Salaries & Benefits

FY 2021

FY 2022

Director - Unclassified, Grade FF

 $    71,900

 $    76,600

Benefits

 $    31,800

 $    32,800

Administrative Assistant, Grade 16

 $    35,300

 $    36,700

Benefits

 $    24,600

 $    24,900

Program Specialist II

 $    43,100

 $    44,800

Benefits

 $    26,100

 $    26,500

Total Salaries and Benefits

 $   232,800

 $   242,300

 

 

 

Other Expenses & Office Equipment

 $    28,900

 $    16,600

 

 

 

Total Estimated Cost

 $   261,700

 $   258,900

Based on the these costs, the Department assumes a reasonable estimate for the third year is $270,000.

 

It is assumed any fiscal impact from this bill will not occur until FY 2021.

 

AGENCIES CONTACTED:

Public Utilities Commission and Departments of Environmental Services and Administrative Services

 

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