Kansas Legislative News April 20th, 2015 Zack Pistora Legislative Director Sierra Club – Kansas Chapter Phone: 785-865-6503 email: [email protected] KS Legislature Finishes Regular Session; Environmental Issues Do Better Than Expected Earlier this month, the 2015 Legislative Session wrapped up its regular session after 53 days of business. 2015 was the first year of the new 2 year cycle of legislation, as well as the first year of elected service for many new state Representatives and the 2nd term for Governor Brownback. Certainly, this session marked a fair amount of new policy shake‐ups and political controversy (such as gun licensing, school finance formula, and more), but not many had expected the slight gains in environmental policy. In fact, our Kansas legislators and the Governor have signed 6 environmentally‐related bills into law, advancing management of pollution and waste, and conserving water (see summary below). Another 3 or so bills impacting water policy, creating an interim Carbon Emissions study committee, and allowing KS Dept. of Agriculture to hold conservation easements, are expected to be finalized in legislative wrap‐up, the “Veto Session”. Overall, I would say that thus far the 2015 KS Legislature has been surprisingly attentive to the difficult environmental challenges that our state faces, such as the state’s water crisis, the ongoing troubles of fossil fuel dependency, and the need to our remediate contaminated lands. However, with the Veto Session coming next week, there may be a sneak attack from the “Fossil Fool” crowd to tax clean energy and get rid of the state’s successful RPS policy. Bills passed by the Legislature and approved by Governor Brownback SB 124 –KDHE’s Management of Drilling Waste & Water Pollution Standards SB 124 packages three KS Dept. of Health & Environment (KDHE) sponsored bills, in part to manage drilling waste from oil and gas drilling / fracking operations, as well as to provide some flexibility to struggling communities in meeting water quality standards for ammonia. Part 1: originally, SB 124 – continues to allow KDHE and KCC to allow and monitor landspreading of drill cuttings in KS by industry, but annual reporting by these agencies to the State Legislative committees is required. The bill also requires property sellers to disclose any landspreading practices in the previous 3 years to potential buyers. FYI: You may recall that two years ago our Kansas Chapter of Sierra Club did oppose this policy on landspreading waste. Part 2 of the bill came out of SB 125, which allows low concentrated amounts of naturally occurring radioactive material (NORM) & technologically‐enhanced NORM (TENORM) to be eligible for disposal in Kansas landfills. KDHE will create rules and regs on allowable concentrations and sources of waste on or before July 1, 2016. Part 3: The final element of SB 124 came out of HB 2303, which establishes opportunity for variances to water quality standards. KDHE will need to get approval from the Environmental Protection Agency (EPA) to institute these temporary flexibility measures to allow for 400 some permitted small wastewater lagoon facilities to be in noncompliance as they make plans to upgrade their water treatment options. The Kansas Sierra Club will continue to keep a watchful eye on this legislation, as well as KDHE, to make sure our land and aquatic ecosystems, as well as human health, are being protected. HB 2192 – Kansas Storage Tank Act and Environmental Stewardship Fund This bill designates a funding stream to pay for remediation activities at contaminated “orphan” sites, where no responsible party is paying for cleanup. The bill also creates a reimbursement program to incentivize owners of underground petroleum storage tanks to replace single‐walled containment systems with secondary containment systems. We agree this is a good strategy for progress on underground storage containers. HB 2193 – KDHE and Voluntary Remediation Programs This bill combined HB 2193 – Solid and Hazardous Waste and the Risk Management Program Act, & HB 2177 – the Voluntary Cleanup and Property Redevelopment Act. This law allows KDHE to enter into agreement with a responsibility party to carry out a risk management plan with a responsible party and administer an upfront, one‐time fee to clean up the contamination to a point in which further future risks can be minimized. This new legislation amends the law to evaluate contamination in relation to its risk to human health and the environment, as oppose to simply excavating the land that exceeded the state’s toxicity standards. These voluntary cleanup plans will be available for public review upon request, and KDHE will upload such voluntary plans to their website. We applaud lawmakers and our state agency for effort to further remediate contaminated land in a voluntary and cooperative style. In our opinion, this is one additional tool to comprehensively reduce the presence and harms of toxic contamination in Kansas. H Sub for SB 36 – Creating the Local Conservation Lending Program (LCLP) Mirroring a successful linked‐deposit program in Iowa, KDHE sponsored this legislation to create a lending program to reduce nonpoint source pollution, such as agricultural waste and fertilizer runoff. The LCLP would invest ‘recycled funds’ from the Kansas Water Pollution Control Revolving Fund into local banks and credit unions in exchange for low‐interest loans for conservation practices. These conservation practices aren’t limited to, but include riparian buffers and streambank stabilization options for reducing sedimentation of water bodies, fixes to onsite wastewater treatment, and alternative livestock watering. Loan applicants can receive anywhere from $2000 to $250,000 over 10 years with a maximum rate of $3% on the loan. We like this idea. It’s certainly time to reduce nonpoint source pollution, especially Ag runoff, as it is having a strong negative impact on downstream aquatic ecosystems. While this lending program is a step in the right direction, the state may have more of an impact by recommending transitioning away from shortsighted agricultural practices, specifically involving over‐application of fertilizer and permitting of huge Concentrated Animal Feeding Operations (CAFOs). SB 156 – Creating Water Conservation Areas SB 156 is another 3‐bill package that focuses on water conservation. The original SB 156 outlined an expansion of expenditures from the Arkansas River gaging fund to focus on operating and maintaining measurements of groundwater levels in the Arkansas River Basin. In addition, the bill incorporated SB 275, which creates Water Conservation Areas. Water Conservation Areas are defined management plans that water right holders can come into agreement to between themselves and the Chief Engineer. Such management plans utilize a community‐cooperation approach to reduce water consumption or water pollution over a certain timeframe. This new law allows for water conservation agreements to go beyond the scope or limitations of a Groundwater Management District (GMD) or other water agreements such as a Local Enhanced Management Areas (LEMA) in a, or an Intensive Groundwater Use Control Area (IGUCA). Water Conservation Areas will also factor in prior reductions in water use from proactive water conservationists. Finally, the bill eliminates the statutory reference to testing methods of Agricultural liming materials sold (referenced originally in HB 2278). The Kansas Chapter is happy to see our state leaders are moving forward in allowing Kansan water users to form conservation agreements on their own, but we’re skeptical that only voluntary approaches to water conservation will be reverse the extreme depletion of the Ogallala‐High Plains aquifer. SB 120 – Regarding Land Purchases for the Kansas Dept. of Wildlife, Parks, and Tourism (KDWPT) SB 120 amends current law regarding land purchases by the state by lowering the amount of acres the KS Dept. of Wildlife, Parks, and Tourism can purchase without legislative approval. The land purchase law was previously 320 acres, but is now at a 160 acre threshold. However, the new law makes exception for four Southeast Kansas counties to acquire land up to 640 acres purchased with Natural Resource Damage and Restoration funds. With Budget & More Left To Do in May; “Veto Session” May Be Final Test for Clean Energy On April 29th, lawmakers will return one final time this session to begin the Veto Session, the “overtime” period, in which the Legislature will decide on final matters through the second week of May. This Veto Session will be unusually intriguing as the two chambers will decide the budget and repair the estimated $650 million shortfall between revenue and expenses for FY 2016. At stake here for the “Eco‐friendly” crowd are further budget cuts to environmental agencies and programs, as well as tax policies that make renewable energy appealing to industry and investors, and affordable for folks adopting clean energy solutions for themselves. The Tax Committee Chairs have said they will be “keeping these bills in their back‐pocket”, like HB 2401 and SB 257, that would tax our growing renewable energy sectors to patch‐up the revenue gap. Of course, these bills would likely cause more economic trouble than good, as it will reduce business appeal and ultimately, long‐term revenue receipts. We will continue to emphasize the advantages of keeping clean energy incentives on the books because of its positive impact to local and state economies, and our environment. For more detail, read this article: http://www.nawindpower.com/e107_plugins/content/content.php?content.14064 Bills At‐large for the Veto Session: (Votes: H = House, S = Senate; + = bill is good for environment, * = bad / oppose, ^ = neutral or no position) LAND: HB 2061– Allowing Dept. of Agriculture to hold and maintain conservation easements+ (121‐2) ENERGY: HB 2233 – Kansas Electric Ratepayers Protection Act (KERPA)+ Bill would create a joint study committee to come with a state plan to reduce carbon pollution by 2030. SB 253 / HB 2373 – Repeal of the Renewable Energy Standards* SB 257 / HB 2396 – 10 year property tax exemption for renewable resource & technology^ Bill would eliminate the current tax exemption for renewable energy HB 2401 – 4.33% Excise Tax on Renewable Energy & Ethanol* HB 2264 – Valuation and taxation of certain oil and gas equipment and materials* SB 91 / HB 2131 – Continuing Abandoned Oil & Gas Fund for plugging abandoned wells+ (S 40‐0, H 105‐18) WATER: HB 2063 – Amending the definition of project in the water supply project loan program^ (123‐0) HB 2156 – Interest rate change to water supply storage projects^ (119‐0) SB 52 / HB 2059 – Authorizing chief engineer to allow augmentation to secure water^ (S 40‐0, H 120‐3) HB 2351 – Allowing Conservation Districts to sponsor Locally Enhanced Management Areas+ Major Stories: New Tax Proposals on Renewables Puts “20% by 2020” Clean Energy Standard in Serious Jeopardy Our State’s goal of achieving 20% renewable energy by 2020 by repealing the Renewable Portfolio Standards (RPS) may receive more attention in the Veto Session. The RPS has become a bargaining piece for compromise on the Americans for Prosperity and the KS Chamber of Commerce, with help from Koch Industries, have continually tried to eliminate the renewable energy goal over the past three years. The problem for the “Fossil Fools” (besides that clean, renewable energy is a direct competitor to the pollution‐causing fossil fuel market) is that our renewable energy goal is a government mandate, and interferes with the free‐market. Well, besides the fact that the RPS has been widely successful in stimulating our state economy by creating jobs and industry (especially for Western Kansas), the RPS has helped balance our energy mix and brought down our dependence on Wyoming coal that is very expensive to burn “cleanly”. With Kansas NOW at the finish line of meeting our 20% renewable goal, Kansas Sierra Club will push the legislature to consider bumping the goal to 25% to double‐down on the success of clean energy in KS. We recommend the KS Legislature consider the RPS and its future in this summer’s study committee on a state plan for lowering the state’s carbon pollution. KS Sierra Club helps stop “stinky” and “fishy” bills to reduce endangered wildlife protection The Kansas Sierra Club, along with the KS Dept. of Wildlife, Parks, and Tourism and a number of wildlife and conservation allies, helped stop SB 268 and SB 269 from escaping the Senate Natural Resources Committee. SB 268, would’ve allowed an exception to the Nongame & Endangered Species Conservation Act to perform stream maintenance and give the go‐ahead to remove stream obstructions and debris with heavy equipment. SB 269 would have circumvented the administrative process for delisting a state endangered species, in particular, the bill would have delisted the Eastern Spotted Skunk. Both pieces of legislation were pushed by the Sedgwick County Commission. We thank Chairman Larry Powell and the rest of the Senate Natural Resources Committee for making the right decision to leave the necessary habitat protection laws in place for these historic, vulnerable Kansas wildlife species. State Water Plan Fund Ideas Gain Traction The House Vision 2020 committee has released its policy recommendations on improving the State Water Plan Fund. Committee Chairman Tom Sloan presented the white paper to Governor Brownback and several state agencies. One of the ideas that was recommended was to establish a “Water Depletion Trust Fund”, in which highly‐excessive water users will compensate their county for the property value loss from their continued water withdrawal. The Kansas Sierra Club recommended this idea to fund water conservation practices and water‐efficient technology at both the county and state levels. You’ll be able to see the full document, as well as our own recommendations, on our Kansas Sierra Club website. We thank Chairman Tom Sloan and the Vision 2020 committee for their good work in addressing the state’s ongoing water problems as well as the lack of dedicated state funding to the water plan. KCC Orders Fracking‐Waste Injectors to Turn Down to Ease Earthquakes; Residents Want More to be done Kansas Sierra Club obtained a small victory in our campaign to help Kansans affected by the harms of fracking and horizontal drilling, as the Kansas Corporation Commission (KCC) announced a plan to reduce the volume and pressure of injecting fracking wastewater into disposal wells. On March 19th, the KCC issued a plan to reduce the volume and pressure of wastewater injection at certain disposal wells in Harper and Sumner counties over the next 100 days. Barrels injected per day in these wells will decrease from 16,000 to 8,000 barrels per day, and daily injection‐pressure averages will be kept at 250 PSI. The KCC will then monitor the effects of the wastewater reduction on resulting seismic activity. Certainly, KS Sierra Club and the counties’ residents are pleased to hear the news. It’s about time our state leaders recognize some of the real problems of fracking. We are glad that residents are getting some relief from earthquakes; we have been hearing reports that earthquake activity has already slowed down a bit, which means the new order may already be working! Certainly the South‐central Kansas residents, like those of Anthony and Harper KS, need a break from the quakes. In the last 2 years alone, there have been over 150 recorded earthquakes over a 2.5 magnitude. In contrast, only 3 earthquakes of the same size were felt the prior 30 years combined. But much more needs to be done to rectify the damage already done by the oil & gas industry. Preventing more earthquakes from happening is good, but residents are still stuck with the existing cracks in their ceilings and walls, broken possessions from falling off the walls and tables, and structural damages to community buildings. In our opinion, the “Frackers” still need to pay up for the damages they’ve contributed to already… the damages to homes and businesses, but also to the roads they’ve deteriorated from heavy‐hauling trucks and the cleanup of chemical spills from truck accidents. KS Sierra Club introduced HB 2349, “the Earthquake Damages Fund”, that would’ve charged the oil & gas industry for its wastewater injection and created financial relief for victims of property damage, but that bill wasn’t even granted a courtesy hearing this session. Additionally, while the earthquakes are one serious concern, the new KCC order doesn’t address ongoing worries of water contamination by the toxic chemicals injected in fracking, nor the air pollution from the methane released at these drilling sites. There are still no laws against the industry contaminating or depleting our state’s limited freshwater supplies from the hydrological cycle. The KCC, Governor Brownback, and the KS Legislature needs to take a more comprehensive approach to horizontal drilling and fracking that goes beyond the earthquakes. We must have a public hearing on HB 2348, the FRACK Act, and consider the best practices and state safeguards to prevent future harm to Kansans and our environment. FYI: The Kansas Sierra Club is still collecting stories and photos of earthquake damages; please email your information to [email protected]. Don’t Let State Government Close the Door on Renewable Energy Growth in Kansas When the legislators come back for Veto Session, they’ll be encouraged by fossil fuel loyalists to eliminate the RPS and look to patch up the budget hole by taxing renewable energy. These bills would not only jeopardize existing long‐term contracts with renewable energy companies, it is likely these bills would deter potential new business growth, as renewable energy companies may take their investments to neighboring states with better incentives and more stable policy. Most Kansans realize the positive advantages of renewable energy, especially the economic opportunity of making Kansas a leader of clean energy. After all, we are the 2nd best state for wind potential, and in the top 10 for solar. We have opportunity to expand advanced, clean biofuels and methane gas capture technology. Kansas could be a player in energy storage options and energy efficiency programs too. But instead, our state leadership is looking at putting a wet blanket on a homegrown industry that is literally brightening things up! In the next couple weeks, please share your opinion about keeping our renewable energy sector alive and prosperous for our state. Share your opinion with me, and I’d be happy to spread your thoughts with your elected state officials, with Governor Brownback’s office, and our area newspapers. Take a few minutes to write a paragraph or two on your thoughts… and send me an email at my email address listed below. Also, take a few minutes this week to talk with your friends, family, or coworkers on the importance of clean energy, clean water and air, and a healthy environment for people and wildlife. Also, please make a financial donation to the “KANSAS SIERRA CLUB”! Remember, this week, April 22nd, marks the annual Earth Day celebration. But for us at the Sierra Club, we know that “every day is Earth day.” As always, thank you for being part of our Kansas Chapter of Sierra Club, for caring about our environment, and for reading my update. If you’re a member of Sierra Club, we already know you’re pretty cool, but if you have read this far… you’re extra awesome! Thank you! Expect another update after Veto Session. Your proud Kansas Lobbyist, Zack Pistora Legislative Director Sierra Club – KS Chapter [email protected] 785‐865‐6503
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