Published on Feb 24, 2023

Energy project siting legislation governs city participation

Contact: Brandy DeLange, Brianna Morin

Clean energy project siting is the subject of HB 1216, introduced earlier this session by Rep. Joe Fitzgibbon (D–Burien). A Governor request legislation, the bill intends to require and facilitate better coordinated, faster environmental review and permitting decisions on energy projects of statewide significance. AWC wrote about the bill as introduced here.

Moving through the House Chamber, HB 1216 has been significantly amended after receiving substantial input from a diverse group of stakeholders and concerned citizens. Of specific interest to cities, Sec. 207 (previously Sec. 209) pertains to local jurisdiction agreements. It was updated according to the following:

Cities and counties with clean energy projects that are determined to be eligible for the fully coordinated permit process must enter into an agreement with the Dept. of Ecology or with the project proponents for expediting the completion of projects.

"Expedite" means that a county or city will develop and implement a method to accelerate the process for permitting and environmental review. Expediting should not disrupt or otherwise delay the permitting and environmental review of other projects or require the county or city to incur additional costs that are not compensated.

A fully coordinated permit process also means that the city must:

  • Coordinate with Ecology.
  • Conduct an environmental review in alignment with the work plan.
  • Expedite permit processing for the design and construction of the project.
  • Expedite environmental review processing.
  • Expedite processing of requests for street, right-of-way, or easement vacations necessary for the construction of the project.
  • Develop and follow a plan for consultation with potentially affected federally recognized Indian tribes.
  • Carry out other actions identified by Ecology as needed for the permitting process.

Other changes addressing rural community impacts were made:

  • The Department of Commerce must consult with rural, agriculture, and forestry stakeholders to consider the benefits and impacts of changes in the state's energy system to rural Code communities.
  • Commerce must complete a report on rural clean energy and resilience that examines the impact of energy projects in rural areas. Specifically, the report must examine effects on local tax revenues and public services, including public safety, the 911 emergency communications system, mental health, criminal justice, and rural county roads.
  • The Joint Committee on Energy Supply and Energy Conservation and Energy Resilience must consider policy or budget recommendations to reduce impacts and increase benefits of the clean energy transition for rural communities, including mechanisms to support tax revenues and public.

Finally, the substitute bill includes a definition of “reasonable costs” to clarify the division of costs among public agency participants. Reasonable costs are “direct and indirect expenses incurred by the Department of Ecology, participating agencies, or local governments in carrying out the coordinated permit process… including the initial assessment, environmental review, and permitting.” The term “includes work done by agency or local government staff or consultants… to carry out the work plan.” These costs “may also include other costs agreed to between the applicant and the department of ecology, participating agencies, or local governments.”

HB 1216 was passed out of the House Appropriations Committee last week and heads next to the House Rules Committee.

  • Advocacy
  • Energy
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