Vermont House Bill H0809

Vermont 2023-2024 Regular Session

• Introduced: 1/16/24
• Refer: 1/16/24

Caption

An act relating to climate change cost recovery

Impact

The implementation of H0809 is expected to create a significant financial mechanism for funding adaptation and resilience infrastructure projects in Vermont. This includes projects aimed at addressing the adverse effects of climate change, such as flooding and extreme weather events, and enhancing community preparedness. By establishing clear liability for companies engaged in fossil fuel activities during the specified period, the state hopes to incentivize better practices and reduce future emissions. However, there are concerns regarding the potential financial burden this may impose on businesses, particularly small companies that might struggle to meet these demands.

Summary

House Bill H0809, known as the Climate Superfund Act, aims to establish a program for recovering costs associated with greenhouse gas emissions tied to fossil fuel extraction and refining that occurred in Vermont from 2000 to 2019. The bill mandates that entities responsible for emitting more than one billion metric tons of greenhouse gases will be assessed a cost recovery demand. The funds collected from these entities will go into a dedicated Climate Superfund Cost Recovery Program Fund, which will support climate change adaptive infrastructure projects throughout the state. This bill seeks to mitigate the impact of climate change by financially holding companies accountable for their contributions to greenhouse gas emissions.

Contention

The bill has sparked discussions regarding the balance between environmental accountability and economic viability for fossil fuel businesses. Advocates for the bill argue that it takes necessary steps to address climate change and fund critical infrastructure, while opponents express concerns about the financial implications for responsible parties. Additionally, there are worries about how 'responsible parties' are defined and the administrative process for determining liability and assessing the cost recovery demands, which some argue could lead to legal disputes or burdensome regulatory compliance.