Utah 2023 Regular Session

Utah House Bill HB0426 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	Enrolled Copy H.B. 426
	1	+	3rd Sub. H.B. 426
	2	+	LEGISLATIVE GENERAL COUNSEL
	3	+	6 Approved for Filing: S. Elder 6
	4	+	6 02-15-23 7:30 AM 6
	5	+	H.B. 426
	6	+	3rd Sub. (Cherry)
	7	+	Representative Jefferson Moss proposes the following substitute bill:
2	8		1 STATEWIDE ENERGY POLICY AMENDMENTS
3	9		2 2023 GENERAL SESSION
4	10		3 STATE OF UTAH
5	11		4 Chief Sponsor: Jefferson Moss
6	12		5 Senate Sponsor: Kirk A. Cullimore
7	13		6
8	14		7LONG TITLE
9	15		8General Description:
10	16		9 This bill makes changes to the Utah Energy Act.
11	17		10Highlighted Provisions:
12	18		11 This bill:
13	19		12 < requires the Office of Energy Development to prepare a strategic energy plan; and
14	20		13 <creates the Utah Energy Research Grant Program and gives the Office of Energy
15	21		14Development the authority to administer the grant program.
16	22		15Money Appropriated in this Bill:
17	23		16 This bill appropriates in fiscal year 2024:
18	24		17 <to Department of Natural Resources -- Utah Energy Research Grant Program, as an
19	25		18ongoing appropriation:
20	26		19 Cfrom the General Fund, $1,000,000.
21	27		20Other Special Clauses:
22	28		21 This bill provides a special effective date.
23	29		22Utah Code Sections Affected:
24	30		23AMENDS:
25	31		24 79-6-401, as last amended by Laws of Utah 2022, Chapter 322
26	32		25ENACTS:
	33	+	HB0426S03 3rd Sub. (Cherry) H.B. 426 02-15-23 7:30 AM
	34	+	- 2 -
27	35		26 79-6-403, Utah Code Annotated 1953
28	36		27
29	37		28Be it enacted by the Legislature of the state of Utah:
30		-	29 Section 1. Section 79-6-401 is amended to read: H.B. 426 Enrolled Copy
31		-	- 2 -
	38	+	29 Section 1. Section 79-6-401 is amended to read:
32	39		30 79-6-401. Office of Energy Development -- Creation -- Director -- Purpose --
33	40		31Rulemaking regarding confidential information -- Fees -- Transition for employees.
34	41		32 (1) There is created an Office of Energy Development in the Department of Natural
35	42		33Resources.
36	43		34 (2) (a) The energy advisor shall serve as the director of the office or, on or before June
37	44		3530, 2029, appoint a director of the office.
38	45		36 (b) The director:
39	46		37 (i) shall, if the energy advisor appoints a director under Subsection (2)(a), report to the
40	47		38energy advisor; and
41	48		39 (ii) may appoint staff as funding within existing budgets allows.
42	49		40 (c) The office may consolidate energy staff and functions existing in the state energy
43	50		41program.
44	51		42 (3) The purposes of the office are to:
45	52		43 (a) serve as the primary resource for advancing energy and mineral development in the
46	53		44state;
47	54		45 (b) implement:
48	55		46 (i) the state energy policy under Section 79-6-301; and
49	56		47 (ii) the governor's energy and mineral development goals and objectives;
50	57		48 (c) advance energy education, outreach, and research, including the creation of
51	58		49elementary, higher education, and technical college energy education programs;
52	59		50 (d) promote energy and mineral development workforce initiatives; and
53	60		51 (e) support collaborative research initiatives targeted at Utah-specific energy and
54	61		52mineral development.
55	62		53 (4) By following the procedures and requirements of Title 63J, Chapter 5, Federal
56	63		54Funds Procedures Act, the office may:
57	64		55 (a) seek federal grants or loans;
58		-	56 (b) seek to participate in federal programs; and
59		-	~~57 (c) in accordance with applicable federal program guidelines, administer federally Enrolled Copy H.B. 426~~
60		-	~~- 3 -~~
	65	+	56 (b) seek to participate in federal programs; and 02-15-23 7:30 AM 3rd Sub. (Cherry) H.B. 426
	66	+	- 3 -Senate 3rd Reading Amendments 2-28-2023 lp/se1
	67	+	57 (c) in accordance with applicable federal program guidelines, administer federally
61	68		58funded state energy programs.
62	69		59 (5) The office shall perform the duties required by Sections 11-42a-106, 59-5-102,
63	70		6059-7-614.7, 59-10-1029, 63C-26-202, Part 5, Alternative Energy Development Tax Credit Act,
64	71		61and Part 6, High Cost Infrastructure Development Tax Credit Act.
65	72		62 (6) (a) For purposes of administering this section, the office may make rules, by
66	73		63following Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to maintain as
67	74		64confidential, and not as a public record, information that the office receives from any source.
68	75		65 (b) The office shall maintain information the office receives from any source at the
69	76		66level of confidentiality assigned by the source.
70	77		67 (7) The office may charge application, filing, and processing fees in amounts
71	78		68determined by the office in accordance with Section 63J-1-504 as dedicated credits for
72	79		69performing office duties described in this part.
73	80		70 (8) (a) An employee of the office is an at-will employee.
74	81		71 (b) For an employee of the office on July 1, 2021, the employee shall have the same
75	82		72salary and benefit options the employee had when the office was part of the office of the
76	83		73governor.
77	84		74 (9) (a) The office shall prepare a strategic energy plan to achieve the state's energy
78	85		75policy, including:
79		-	76 (i) technological and infrastructure innovation needed to meet future energy demand
80		-	77including:
81		-	78 (A) energy production technologies;
82		-	79 (B) battery and storage technologies;
83		-	80 (C) smart grid technologies;
84		-	81 (D) energy efficiency technologies; and
85		-	82 (E) any other developing energy technology, energy infrastructure planning, or
86		-	83investments that will assist the state in meeting energy demand;
87		-	84 (ii) the state's efficient utilization and development of:
88		-	85 (A) nonrenewable energy resources, including natural gas, coal, clean coal, hydrogen, H.B. 426 Enrolled Copy
	86	+	76 (i) technological Öº and infrastructure »Ö innovation needed to meet future energy
	87	+	76ademand including:
	88	+	77 (A) energy production technologies;
	89	+	78 (B) battery and storage technologies;
	90	+	79 (C) smart grid technologies;
	91	+	80 (D) energy efficiency technologies; and
	92	+	81 (E) any other developing energy technology Öº , energy infrastructure planning, or
	93	+	81ainvestments »Ö that will assist the state in meeting energy
	94	+	82demand;
	95	+	83 (ii) the state's efficient utilization and development of:
	96	+	84 (A) nonrenewable energy resources, including natural gas, coal, clean coal,
	97	+	84aÖº hydrogen, »Ö oil, oil
	98	+	85shale, and oil sands;
	99	+	86 (B) renewable energy resources, including geothermal, solar, hydrogen, wind, biomass,
	100	+	87biofuel, and hydroelectric; 3rd Sub. (Cherry) H.B. 426 02-15-23 7:30 AM
89	101		- 4 -
90		-	86oil, oil shale, and oil sands;
91		-	87 (B) renewable energy resources, including geothermal, solar, hydrogen, wind, biomass,
92		-	88biofuel, and hydroelectric;
93		-	89 (C) nuclear power; and
94		-	90 (D) earth minerals;
95		-	91 (iii) areas of energy-related academic research;
96		-	92 (iv) specific areas of workforce development necessary for an evolving energy
97		-	93industry;
98		-	94 (v) the development of partnerships with national laboratories; and
99		-	95 (vi) a proposed state budget for economic development and investment.
100		-	96 (b) In preparing the strategic energy plan, the office shall consult with stakeholders,
101		-	97including representatives from:
102		-	98 (i) energy companies in the state;
103		-	99 (ii) private and public institutions of higher education within the state conducting
104		-	100energy-related research; and
105		-	101 (iii) other state agencies.
106		-	102 (c) On or before the October 2023 interim meeting, the office shall report to the Public
107		-	103Utilities, Energy, and Technology Interim Committee and the Executive Appropriations
108		-	104Interim Committee describing:
109		-	105 (i) progress towards creation of the strategic energy plan; and
110		-	106 (ii) a proposed budget for the office to continue development of the strategic energy
111		-	107plan.
112		-	108 Section 2. Section 79-6-403 is enacted to read:
113		-	109 79-6-403. Utah Energy Research Grant Program.
114		-	110 (1) (a) There is created within the office the Utah Energy Research Grant Program.
115		-	111 (b) The purpose of the program is to encourage energy-related research within the state
116		-	112by providing matching grants to applicants that have received federal or private grants for
117		-	113specific ongoing energy-related research projects. Enrolled Copy H.B. 426
	102	+	88 (C) nuclear power; and
	103	+	89 (D) earth minerals;
	104	+	90 (iii) areas of energy-related academic research;
	105	+	91 (iv) specific areas of workforce development necessary for an evolving energy
	106	+	92industry;
	107	+	93 (v) the development of partnerships with national laboratories; and
	108	+	94 (vi) a proposed state budget for economic development and investment.
	109	+	95 (b) In preparing the strategic energy plan, the office shall consult with stakeholders,
	110	+	96including representatives from:
	111	+	97 (i) energy companies in the state;
	112	+	98 (ii) private and public institutions of higher education within the state conducting
	113	+	99energy-related research; and
	114	+	100 (iii) other state agencies.
	115	+	101 (c) On or before the October 2023 interim meeting, the office shall report to the Public
	116	+	102Utilities Energy and Technology Interim Committee and the Executive Appropriations Interim
	117	+	103Committee describing:
	118	+	104 (i) progress towards creation of the strategic energy plan; and
	119	+	105 (ii) a proposed budget for the office to continue development of the strategic energy
	120	+	106plan.
	121	+	107 Section 2. Section 79-6-403 is enacted to read:
	122	+	108 79-6-403. Utah Energy Research Grant Program.
	123	+	109 (1) (a) There is created within the office the Utah Energy Research Grant Program.
	124	+	110 (b) The purpose of the program is to encourage energy-related research within the state
	125	+	111by providing matching grants to applicants that have received federal or private grants for
	126	+	112specific ongoing energy-related research projects.
	127	+	113 (2) (a) An applicant that submits a proposal for a grant to the office shall include
	128	+	114details in the proposal regarding:
	129	+	115 (i) the specific ongoing energy-related research project;
	130	+	116 (ii) information about previously awarded federal and private grants for the specific
	131	+	117ongoing energy-related research project, including:
	132	+	118 (A) the amount of the previously awarded federal or private grant; and 02-15-23 7:30 AM 3rd Sub. (Cherry) H.B. 426
118	133		- 5 -
119		-	114 (2) (a) An applicant that submits a proposal for a grant to the office shall include
120		-	115details in the proposal regarding:
121		-	116 (i) the specific ongoing energy-related research project;
122		-	117 (ii) information about previously awarded federal and private grants for the specific
123		-	118ongoing energy-related research project, including:
124		-	119 (A) the amount of the previously awarded federal or private grant; and
125		-	120 (B) the requirements to qualify for the previously awarded federal or private grant; and
126		-	121 (iii) other information the office determines necessary to evaluate the proposal.
127		-	122 (b) When evaluating a proposal for a grant, the office shall consider:
128		-	123 (i) the grant amount requested, which may not exceed the amount of federal or private
129		-	124grants the applicant has been awarded;
130		-	125 (ii) the extent to which the proposal advances the goals of the state energy policy and
131		-	126strategic energy plan;
132		-	127 (iii) the extent to which any additional funding sources or existing or planned
133		-	128partnerships may benefit the proposal; and
134		-	129 (iv) the viability of the proposal.
135		-	130 (3) Subject to this Subsection (3), the office may, in accordance with Title 63G,
136		-	131Chapter 3, Utah Administrative Rulemaking Act, make rules to establish:
137		-	132 (a) eligibility criteria for a grant;
138		-	133 (b) the form and process for submitting a proposal to the office for a grant;
139		-	134 (c) the process and criteria for determining the priority of applications received;
140		-	135 (d) the formula and method for determining a grant amount; and
141		-	136 (e) reporting requirements for a grant recipient.
142		-	137 (4) On or before October 31 of each year, the office shall provide a written report to the
143		-	138Public Utilities, Energy, and Technology Interim Committee regarding:
144		-	139 (a) the number of grants and grant amounts awarded under the program;
145		-	140 (b) data gathered under the program; and
146		-	141 (c) the impact of the program on encouraging energy-related research within the state. H.B. 426 Enrolled Copy
	134	+	119 (B) the requirements to qualify for the previously awarded federal or private grant; and
	135	+	120 (iii) other information the office determines necessary to evaluate the proposal.
	136	+	121 (b) When evaluating a proposal for a grant, the office shall consider:
	137	+	122 (i) the grant amount requested, which may not exceed the amount of federal or private
	138	+	123grants the applicant has been awarded;
	139	+	124 (ii) the extent to which the proposal advances the goals of the state energy policy and
	140	+	125strategic energy plan;
	141	+	126 (iii) the extent to which any additional funding sources or existing or planned
	142	+	127partnerships may benefit the proposal; and
	143	+	128 (iv) the viability of the proposal.
	144	+	129 (3) Subject to this Subsection (3), the office may, in accordance with Title 63G,
	145	+	130Chapter 3, Utah Administrative Rulemaking Act, make rules to establish:
	146	+	131 (a) eligibility criteria for a grant;
	147	+	132 (b) the form and process for submitting a proposal to the office for a grant;
	148	+	133 (c) the process and criteria for determining the priority of applications received;
	149	+	134 (d) the formula and method for determining a grant amount; and
	150	+	135 (e) reporting requirements for a grant recipient.
	151	+	136 (4) On or before October 31 of each year, the office shall provide a written report to the
	152	+	137Public Utilities, Energy, and Technology Interim Committee regarding:
	153	+	138 (a) the number of grants and grant amounts awarded under the program;
	154	+	139 (b) data gathered under the program; and
	155	+	140 (c) the impact of the program on encouraging energy-related research within the state.
	156	+	141 Section 3. Appropriation.
	157	+	142 The following sums of money are appropriated for the fiscal year beginning July 1,
	158	+	1432023, and ending June 30, 2024. These are additions to amounts previously appropriated for
	159	+	144fiscal year 2024. Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures
	160	+	145Act, the Legislature appropriates the following sums of money from the funds or accounts
	161	+	146indicated for the use and support of the government of the state of Utah.
	162	+	147ITEM 1
	163	+	148To Department of Natural Resources -- Utah Energy Research Grant Program
	164	+	149 From General Fund 1,000,000 3rd Sub. (Cherry) H.B. 426 02-15-23 7:30 AM
147	165		- 6 -
148		-	142 Section 3. Appropriation.
149		-	143 The following sums of money are appropriated for the fiscal year beginning July 1,
150		-	1442023, and ending June 30, 2024. These are additions to amounts previously appropriated for
151		-	145fiscal year 2024. Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures
152		-	146Act, the Legislature appropriates the following sums of money from the funds or accounts
153		-	147indicated for the use and support of the government of the state of Utah.
154		-	148ITEM 1
155		-	149To Department of Natural Resources -- Utah Energy Research Grant Program
156		-	150 From General Fund 1,000,000
157		-	151 Schedule of Programs:
158		-	152 Utah Energy Research Grant Program 1,000,000
159		-	153 Under 63J-1-603 the Legislature intends that the $1,000,000 General Fund
160		-	154appropriation for the Utah Energy Research Grant Program shall not lapse at the close of fiscal
161		-	155year 2024.
162		-	156 Section 4. Effective date.
163		-	157 This bill takes effect on July 1, 2023.
	166	+	150 Schedule of Programs:
	167	+	151 Utah Energy Research Grant Program 1,000,000
	168	+	152 Under 63J-1-603 the Legislature intends that the $1,000,000 General Fund
	169	+	153appropriation for the Utah Energy Research Grant Program shall not lapse at the close of fiscal
	170	+	154year 2024.
	171	+	155 Section 4. Effective date.
	172	+	156 This bill takes effect on July 1, 2023.