LOC News
Hearings Held on Carbon Legislation – Amendments Proposed, City Input Requested
The Senate Environment & Natural Resources Committee began holding public hearings this week on carbon cap legislation. SB 1530, which would update greenhouse gas reduction goals for the state, would also establish a cap on certain emissions that would be reduced over time. Covered entities with certain regulated emissions would be required to obtain allowances for those emissions. These would either be distributed for free, or available for purchase.
Several amendments to SB 1530 have been proposed, including the -2 and -27 amendments which appear, at this time, to be the most likely to be adopted. Both sets of amendments include language that significantly alters the impact on certain cities. A January 17 LOC Bulletin article included a link to a list of cities that would be included under the transportation fuels provisions of the bill. That list included approximately 60 cities, including all within the metro urban growth boundary and those with more than 10 million gallons of fuel sold annually within city limits. The -2 and -27 amendments will result in approximately 160 cities being included under the transportation fuel cap, and the requirement for fuel importers and suppliers to purchase allowances to emit transportation emissions. This means that the cost of gas would likely increase by up to 22 cents per gallon for fuel sold within certain parts of the state. View the list of cities included in the proposed amendment language
The LOC is concerned with specific public contracting and labor provisions included in section 41 of SB 1530. It is unclear as to which provisions apply to local contracting agencies when they are using revenue generated through the carbon cap program to fund local projects as authorized in the bill. As a result of these concerns, the LOC is asking for feedback from member cities as to the costs associated with implementing project labor agreements (including staff time).
Cities interested in submitting testimony on SB 1530 and the proposed amendments should send written testimony to senr.exhibits@oregonlegislature.gov.
Contact: Tracy Rutten, Lobbyist – trutten@orcities.org
Last Updated 2/7/20
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- Senate Committee Holds Hearing on New Carbon Pricing Proposal - LOC Bulletin (Jan. 17, 2019)