Texas 2023 - 88th Regular

Texas House Bill HB3707 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	88R2852 JXC-F
2	2	By: Patterson H.B. No. 3707
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the permitting of renewable energy generation
8	8	facilities by the Public Utility Commission of Texas; authorizing
9	9	fees.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Chapter 35, Utilities Code, is amended by adding
12	12	Subchapter F to read as follows:
13	13	SUBCHAPTER F. RENEWABLE ENERGY GENERATION FACILITY PERMIT
14	14	Sec. 35.201. DEFINITIONS; APPLICABILITY. (a) In this
15	15	subchapter:
16	16	(1) "Permit holder" means a person who holds a permit
17	17	issued under this subchapter.
18	18	(2) "Person" includes an electric cooperative and a
19	19	municipally owned utility.
20	20	(3) "Renewable energy generation facility" means:
21	21	(A) a wind power facility as defined by Section
22	22	301.0001; or
23	23	(B) a solar power facility as defined by Section
24	24	302.0001.
25	25	(b) This subchapter applies to a renewable energy
26	26	generation facility regardless of whether the facility is the
27	27	subject of a wind power facility agreement or solar power facility
28	28	agreement entered into under Chapter 301 or 302.
29	29	Sec. 35.202. LEGISLATIVE POLICY AND PURPOSE. The
30	30	conservation and development of all the natural resources of this
31	31	state are declared to be public rights and duties. It is also
32	32	declared that the protection of the wildlife, water, and land of
33	33	this state against the impacts of renewable energy generation
34	34	facilities is in the public interest. In the exercise of the police
35	35	power of this state, it is necessary and desirable to provide
36	36	additional means so that the installation and removal of renewable
37	37	energy generation facilities is placed under the authority and
38	38	direction of the commission.
39	39	Sec. 35.203. PERMIT REQUIRED; APPLICATION. (a) A person
40	40	may not operate a renewable energy generation facility in this
41	41	state unless the person holds a permit issued by the commission
42	42	under this subchapter. A person may not construct a renewable
43	43	energy generation facility in this state unless:
44	44	(1) the person holds a permit to operate a renewable
45	45	energy generation facility issued by the commission under this
46	46	subchapter; or
47	47	(2) the commission by order approves the construction.
48	48	(b) A person may apply for a permit to operate a renewable
49	49	energy generation facility by filing with the commission:
50	50	(1) a description of the location of the facility;
51	51	(2) a description of the type of facility;
52	52	(3) a copy of any information filed with the Federal
53	53	Energy Regulatory Commission in connection with registration with
54	54	that commission;
55	55	(4) any assumed business or professional name of the
56	56	applicant filed under Chapter 71, Business & Commerce Code;
57	57	(5) an environmental impact statement produced by the
58	58	Parks and Wildlife Department under Section 11.006, Parks and
59	59	Wildlife Code;
60	60	(6) any wind power facility agreement or solar power
61	61	facility agreement applicable to the facility entered into under
62	62	Chapter 301 or 302 by the applicant;
63	63	(7) the address of an Internet website that provides
64	64	information about the proposed facility;
65	65	(8) an affidavit that lists the names and addresses of
66	66	the persons who may be affected by the application and includes the
67	67	source of the list; and
68	68	(9) any other information required by commission rule,
69	69	provided that in requiring that information the commission shall
70	70	protect the competitive process in a manner that ensures the
71	71	confidentiality of competitively sensitive information.
72	72	Sec. 35.204. NOTICE AND HEARING ON APPLICATION. (a) When
73	73	an application for a permit is filed under Section 35.203, or when
74	74	an application for a permit amendment is filed, the commission
75	75	shall:
76	76	(1) give notice of the application to affected
77	77	parties, including any property owner within 25 miles of the
78	78	boundary of the facility; and
79	79	(2) if requested:
80	80	(A) set a time and place for a hearing; and
81	81	(B) give notice of the hearing to affected
82	82	parties, including any property owner within 25 miles of the
83	83	boundary of the facility.
84	84	(b) For any application involving a capacity of 15 megawatts
85	85	or more, the notice must be given to the county judge of each county
86	86	located within 25 miles of the boundary of the facility who has
87	87	requested in writing that the commission give that notice.
88	88	(c) The commission may not act on an application before the
89	89	30th day after the date the commission gives notice of the
90	90	application under Subsections (a) and (b), as applicable,
91	91	regardless of whether a hearing is requested.
92	92	(d) Notwithstanding any other provision of this subchapter,
93	93	the commission may approve an application to amend a permit without
94	94	holding a hearing if:
95	95	(1) the applicant is not applying to:
96	96	(A) significantly increase the amount of
97	97	electricity generated under the permit; or
98	98	(B) materially change the placement of the
99	99	renewable energy generation facility;
100	100	(2) the commission determines that the applicant's
101	101	compliance history raises no issues regarding the applicant's
102	102	ability to comply with a material term of the permit; and
103	103	(3) the commission:
104	104	(A) gives notice of the application to the county
105	105	judge of each county and the governing body of each municipality in
106	106	which the facility is located at least 30 days before the date of
107	107	the commission's approval of the application; and
108	108	(B) allows the county judges and governing bodies
109	109	to present information to the commission on the application.
110	110	Sec. 35.205. APPROVAL OR DENIAL OF APPLICATION. (a) The
111	111	commission may approve an application only if the commission finds
112	112	that issuance or amendment of the permit would not violate state or
113	113	federal law or rule and would not interfere with the purpose of this
114	114	subchapter.
115	115	(b) In considering an application for the issuance or
116	116	amendment of a permit, the commission shall consider the compliance
117	117	history of the applicant.
118	118	(c) A permit holder does not have a vested right in a permit.
119	119	Sec. 35.206. CONDITIONS OF PERMIT. (a) For each permit,
120	120	the commission shall prescribe the conditions under which it is
121	121	issued, including:
122	122	(1) the boundary of the permitted facility location;
123	123	(2) the maximum number of renewable energy generation
124	124	facilities authorized by the permit; and
125	125	(3) any monitoring and reporting requirements
126	126	prescribed by the commission for the permit holder.
127	127	(b) The commission, on its own motion after reasonable
128	128	notice and hearing, may require a permit holder to conform to new or
129	129	additional conditions to comply with this subchapter or rules
130	130	adopted under this subchapter.
131	131	(c) A permit holder shall:
132	132	(1) ensure that the permitted facility is located at
133	133	least:
134	134	(A) 500 feet from any property line, unless the
135	135	permit holder has obtained a written waiver from each owner of
136	136	property located less than 500 feet from the permitted facility;
137	137	and
138	138	(B) 1,000 feet from any habitable structure,
139	139	unless the permit holder has obtained a written waiver from each
140	140	owner of the habitable structure;
141	141	(2) provide a publicly accessible Internet website
142	142	that displays:
143	143	(A) a map of the boundaries of the permitted
144	144	facility;
145	145	(B) any interconnection request numbers assigned
146	146	to the permitted facility;
147	147	(C) the name of the owner of the permitted
148	148	facility; and
149	149	(D) any other information required by the
150	150	commission; and
151	151	(3) post at each entrance to the permitted facility a
152	152	sign that:
153	153	(A) includes:
154	154	(i) the name of the facility;
155	155	(ii) the name of the owner of the facility;
156	156	(iii) the name, business address, and
157	157	telephone number of the operator of the facility;
158	158	(iv) a general description of the property
159	159	on which the facility is located, including the boundaries of the
160	160	property; and
161	161	(v) emergency contact information for the
162	162	facility; and
163	163	(B) uses contrasting colors with block letters at
164	164	least one inch in height; and
165	165	(C) is displayed in a conspicuous manner clearly
166	166	visible to the public.
167	167	Sec. 35.207. MONITORING AND REPORTING. The commission by
168	168	rule may, in coordination with the Parks and Wildlife Department,
169	169	require a permit holder to:
170	170	(1) monitor, record, and report on environmental
171	171	impacts created by the permitted facility;
172	172	(2) conduct wildlife assessments around the permitted
173	173	facility; and
174	174	(3) provide to the commission other information about
175	175	the operation of the permitted facility.
176	176	Sec. 35.208. FACILITY REMOVAL BY COMMISSION. (a) The
177	177	commission may determine after reasonable notice and hearing that a
178	178	permit holder has not removed a renewable energy generation
179	179	facility according to the requirements of an applicable wind power
180	180	facility agreement or solar power facility agreement entered into
181	181	under Chapter 301 or 302 and that the permit holder has not
182	182	delivered financial assurance required under Chapter 301 or 302, as
183	183	applicable. After making the determination, the commission may:
184	184	(1) order the permit holder to comply with the wind
185	185	power facility agreement or solar power facility agreement; or
186	186	(2) fulfill the requirements of the wind power
187	187	facility agreement or solar power facility agreement if the permit
188	188	holder cannot be found or does not have assets with which to comply
189	189	with the wind power facility agreement or solar power facility
190	190	agreement.
191	191	(b) The commission or its employees or agents, on proper
192	192	identification, may enter the land of another for the purpose of
193	193	implementing Subsection (a)(2).
194	194	(c) Removal of a renewable energy generation facility by the
195	195	commission under this section does not prevent the commission from
196	196	seeking penalties or other relief provided by law from the permit
197	197	holder.
198	198	(d) The commission and its employees and agents are not
199	199	liable for any damages arising from an act or omission if the act or
200	200	omission is part of a good-faith effort to carry out this section.
201	201	(e) If the commission removes a renewable energy generation
202	202	facility under this section, the commission may recover all costs
203	203	incurred by the commission from the permit holder. The commission
204	204	by order may require the permit holder to reimburse the commission
205	205	for those costs or may request the attorney general to file suit
206	206	against the permit holder to recover those costs. At the request of
207	207	the commission, the attorney general may file suit to enforce an
208	208	order issued by the commission under this subsection. A suit under
209	209	this subsection may be filed in Travis County. Costs recovered
210	210	under this subsection shall be deposited to the renewable energy
211	211	generation facility cleanup fund.
212	212	Sec. 35.209. RENEWABLE ENERGY GENERATION FACILITY CLEANUP
213	213	FUND. (a) The renewable energy generation facility cleanup fund is
214	214	a dedicated account in the general revenue fund.
215	215	(b) The fund consists of:
216	216	(1) environmental impact fees collected under Section
217	217	35.210;
218	218	(2) private contributions; and
219	219	(3) legislative appropriations.
220	220	(c) Money in the fund may be used only by the commission to
221	221	implement this subchapter.
222	222	Sec. 35.210. ENVIRONMENTAL IMPACT FEE. (a) An annual
223	223	environmental impact fee is imposed on each permit holder.
224	224	(b) Except as provided by Subsection (c), environmental
225	225	impact fees must be deposited in the renewable energy generation
226	226	facility cleanup fund.
227	227	(c) The commission shall designate 20 percent of the revenue
228	228	collected from environmental impact fees to be deposited in the
229	229	renewable energy generation facility cleanup fund and used only for
230	230	the removal of renewable energy generation facilities under Section
231	231	35.208. If the commission determines that the renewable energy
232	232	generation facility cleanup fund has a sufficient amount of money
233	233	to fund removal of renewable energy generation facilities under
234	234	Section 35.208, the commission may instead deposit 20 percent of
235	235	the revenue from environmental impact fees in the county and road
236	236	district highway fund.
237	237	(d) The fee for each year is imposed on each permit in effect
238	238	during any part of the year. The commission may establish reduced
239	239	fees for inactive permits.
240	240	(e) The commission by rule shall adopt a fee schedule for
241	241	determining the amount of the fee to be charged. In determining the
242	242	amount of a fee under this section, the commission may consider:
243	243	(1) the efficiency of the renewable energy generation
244	244	facility;
245	245	(2) the area and size of the renewable energy
246	246	generation facility;
247	247	(3) the renewable energy generation facility's
248	248	environmental impact score provided under Section 11.006, Parks and
249	249	Wildlife Code; and
250	250	(4) expenses necessary to implement this subchapter.
251	251	Sec. 35.211. FEDERAL FUNDS. The commission may execute
252	252	agreements with the United States Environmental Protection Agency
253	253	or any other federal agency that administers programs providing
254	254	federal cooperation, assistance, grants, or loans for research,
255	255	development, investigation, training, planning, studies,
256	256	programming, or construction related to methods, procedures,
257	257	mitigation, and facilities for the removal of renewable energy
258	258	generation facilities. The commission may accept federal funds for
259	259	these purposes and for other purposes consistent with the
260	260	objectives of this subchapter and may use the funds as prescribed by
261	261	law or as provided by agreement.
262	262	Sec. 35.212. POWER TO REGULATE AND SUPERVISE. (a) For
263	263	purposes of this subchapter, a provision of Subchapter B or E,
264	264	Chapter 14, that authorizes the commission to regulate a public
265	265	utility also applies to a person required to obtain a permit under
266	266	this subchapter, including an electric cooperative and a
267	267	municipally owned utility.
268	268	(b) The commission may adopt and enforce rules reasonably
269	269	required in the exercise of its powers under this subchapter.
270	270	Sec. 35.213. ENFORCEMENT AND PENALTIES. For the purposes
271	271	of enforcing this subchapter, a reference in Chapter 15 to a person
272	272	includes any person required to obtain a permit under this
273	273	subchapter, including an electric cooperative and a municipally
274	274	owned utility.
275	275	SECTION 2. Subchapter A, Chapter 11, Parks and Wildlife
276	276	Code, is amended by adding Section 11.006 to read as follows:
277	277	Sec. 11.006. ENVIRONMENTAL IMPACT STATEMENTS FOR RENEWABLE
278	278	ENERGY GENERATION FACILITIES. The commission by rule shall adopt a
279	279	system for providing an environmental impact statement to an
280	280	applicant for a renewable energy generation facility permit under
281	281	Section 35.203, Utilities Code. The system must establish:
282	282	(1) a process for a person to apply for and receive
283	283	from the department an environmental impact statement;
284	284	(2) criteria for the department to evaluate the
285	285	environmental impact of a proposed renewable energy generation
286	286	facility, including:
287	287	(A) conservation of natural resources;
288	288	(B) continuous use of the land on which a
289	289	facility is located for agricultural and wildlife purposes; and
290	290	(C) in coordination with the Texas A&M AgriLife
291	291	Extension Service, agricultural best practices;
292	292	(3) a method for the department to provide an
293	293	environmental impact score for a renewable energy generation
294	294	facility, based on the criteria described by Subdivision (2);
295	295	(4) fees for providing the environmental impact
296	296	statements, in an amount sufficient to cover the department's costs
297	297	of implementing this section; and
298	298	(5) guidelines for the department's use of any map
299	299	applications necessary for the implementation of this section.
300	300	SECTION 3. (a) Except as otherwise provided by rules
301	301	adopted by the Public Utility Commission of Texas under Subsection
302	302	(b) of this section, Subchapter F, Chapter 35, Utilities Code, as
303	303	added by this Act, applies to all renewable energy generation
304	304	facilities in this state, including:
305	305	(1) renewable energy generation facilities that:
306	306	(A) generate renewable energy before the
307	307	effective date of this Act; or
308	308	(B) are interconnected to a transmission
309	309	facility before the effective date of this Act; and
310	310	(2) renewable energy generation facilities the
311	311	construction of which began before the effective date of this Act.
312	312	(b) The Public Utility Commission of Texas by rule shall
313	313	authorize a person who operates or constructs a facility described
314	314	by Subsection (a)(1) or (2) of this section to continue to operate
315	315	or construct the facility after the effective date of this Act while
316	316	the person applies for a permit for the facility as required under
317	317	Subchapter F, Chapter 35, Utilities Code, as added by this Act. The
318	318	rules may require a person who operates or constructs a facility
319	319	described by Subsection (a)(1) or (2) of this section to apply for a
320	320	permit for the facility as required under Subchapter F, Chapter 35,
321	321	Utilities Code, as added by this Act, by a certain date.
322	322	SECTION 4. This Act takes effect September 1, 2023.