Patterson Bill Makes Existing Wind And Solar Get Permits Too

The text as introduced · 2,531 words

89R580 JXC-F

By: Patterson
H.B. No. 553

A BILL TO BE ENTITLED

AN ACT

relating to the permitting of renewable energy generation

facilities by the Public Utility Commission of Texas; authorizing

fees.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 35, Utilities Code, is amended by adding

Subchapter F to read as follows:

SUBCHAPTER F. RENEWABLE ENERGY GENERATION FACILITY PERMIT

Sec. 35.201. DEFINITIONS; APPLICABILITY. (a) In this

subchapter:

(1) "Permit holder" means a person who holds a permit

issued under this subchapter.

(2) "Person" includes an electric cooperative and a

municipally owned utility.

(3) "Renewable energy generation facility" means:

(A) a wind power facility as defined by Section

301.0001; or

(B) a solar power facility as defined by Section

302.0001.

(b) This subchapter applies to a renewable energy

generation facility regardless of whether the facility is the

subject of a wind power facility agreement or solar power facility

agreement entered into under Chapter 301 or 302.

Sec. 35.202. LEGISLATIVE POLICY AND PURPOSE. The

conservation and development of all the natural resources of this

state are declared to be public rights and duties. It is also

declared that the protection of the wildlife, water, and land of

this state against the impacts of renewable energy generation

facilities is in the public interest. In the exercise of the police

power of this state, it is necessary and desirable to provide

additional means so that the installation and removal of renewable

energy generation facilities is placed under the authority and

direction of the commission.

Sec. 35.203. PERMIT REQUIRED; APPLICATION. (a) A person

may not operate a renewable energy generation facility in this

state unless the person holds a permit issued by the commission

under this subchapter. A person may not construct a renewable

energy generation facility in this state unless:

(1) the person holds a permit to operate a renewable

energy generation facility issued by the commission under this

subchapter; or

(2) the commission by order approves the construction.

(b) A person may apply for a permit to operate a renewable

energy generation facility by filing with the commission:

(1) a description of the location of the facility;

(2) a description of the type of facility;

(3) a copy of any information filed with the Federal

Energy Regulatory Commission in connection with registration with

that commission;

(4) any assumed business or professional name of the

applicant filed under Chapter 71, Business & Commerce Code;

(5) an environmental impact statement produced by the

Parks and Wildlife Department under Section 11.006, Parks and

Wildlife Code;

(6) any wind power facility agreement or solar power

facility agreement applicable to the facility entered into under

Chapter 301 or 302 by the applicant;

(7) the address of an Internet website that provides

information about the proposed facility;

(8) an affidavit that lists the names and addresses of

the persons who may be affected by the application and includes the

source of the list; and

(9) any other information required by commission rule,

provided the commission protects the competitive process in a

manner that ensures the confidentiality of competitively sensitive

information.

Sec. 35.204. NOTICE AND HEARING ON APPLICATION. (a) When

an application for a permit is filed under Section 35.203, or when

an application for a permit amendment is filed, the commission

shall:

(1) give notice of the application to affected

parties, including any owner of property located within 25 miles of

the boundary of the facility; and

(2) if requested:

(A) set a time and place for a hearing; and

(B) give notice of the hearing to affected

parties, including any owner of property located within 25 miles of

the boundary of the facility.

(b) For any application involving a generation capacity of

15 megawatts or more, the notice must be given to the county judge

of each county located within 25 miles of the boundary of the

facility who has requested in writing that the commission give that

notice.

(c) The commission may not act on an application before the

30th day after the date the commission gives notice of the

application under Subsections (a) and (b), as applicable,

regardless of whether a hearing is requested.

(d) Notwithstanding any other provision of this subchapter,

the commission may approve an application to amend a permit without

holding a hearing if:

(1) the applicant is not applying to:

(A) significantly increase the amount of

electricity generated under the permit; or

(B) materially change the placement of the

renewable energy generation facility;

(2) the commission determines that the applicant's

compliance history raises no issues regarding the applicant's

ability to comply with a material term of the permit; and

(3) the commission:

(A) gives notice of the application to the county

judge of each county and the governing body of each municipality in

which the facility is located at least 30 days before the date of

the commission's approval of the application; and

(B) allows the county judges and governing bodies

to present information to the commission on the application.

Sec. 35.205. APPROVAL OR DENIAL OF APPLICATION. (a) The

commission may approve an application only if the commission finds

that issuance or amendment of the permit would not violate state or

federal law or rule and would not interfere with the purpose of this

subchapter.

(b) In considering an application for the issuance or

amendment of a permit, the commission shall consider the compliance

history of the applicant.

(c) A permit holder does not have a vested right in a permit.

Sec. 35.206. CONDITIONS OF PERMIT. (a) For each permit,

the commission shall prescribe the conditions under which it is

issued, including:

(1) the boundary of the permitted facility location;

(2) the maximum number of renewable energy generation

facilities authorized by the permit; and

(3) any monitoring and reporting requirements

prescribed by the commission for the permit holder.

(b) The commission, on its own motion after reasonable

notice and hearing, may require a permit holder to conform to new or

additional conditions to comply with this subchapter or rules

adopted under this subchapter.

(c) A permit holder shall:

(1) ensure that the permitted facility is located at

least:

(A) 500 feet from any property line, unless the

permit holder has obtained a written waiver from each owner of

property located less than 500 feet from the permitted facility;

and

(B) 1,000 feet from any habitable structure,

unless the permit holder has obtained a written waiver from each

owner of the habitable structure;

(2) provide a publicly accessible Internet website

that displays:

(A) a map of the boundaries of the permitted

facility;

(B) any interconnection request numbers assigned

to the permitted facility;

(C) the name of the owner of the permitted

facility; and

(D) any other information the commission

requires; and

(3) post at each entrance to the permitted facility a

sign that:

(A) includes:

(i) the name of the facility;

(ii) the name of the owner of the facility;

(iii) the name, business address, and

telephone number of the operator of the facility;

(iv) a general description of the property

on which the facility is located, including the boundaries of the

property; and

(v) emergency contact information for the

facility;

(B) uses contrasting colors with block letters at

least one inch in height; and

(C) is displayed in a conspicuous manner clearly

visible to the public.

Sec. 35.207. MONITORING AND REPORTING. The commission by

rule may, in coordination with the Parks and Wildlife Department,

require a permit holder to:

(1) monitor, record, and report on environmental

impacts created by the permitted facility;

(2) conduct wildlife assessments around the permitted

facility; and

(3) provide to the commission other information about

the operation of the permitted facility.

Sec. 35.208. FACILITY REMOVAL BY COMMISSION. (a) The

commission may determine after reasonable notice and hearing that a

permit holder has not removed a renewable energy generation

facility according to the requirements of an applicable wind power

facility agreement or solar power facility agreement entered into

under Chapter 301 or 302 and that the permit holder has not

delivered financial assurance required under Chapter 301 or 302, as

applicable. After making the determination, the commission may:

(1) order the permit holder to comply with the wind

power facility agreement or solar power facility agreement; or

(2) fulfill the requirements of the wind power

facility agreement or solar power facility agreement if the permit

holder cannot be found or does not have assets with which to comply

with the wind power facility agreement or solar power facility

agreement.

(b) The commission or its employees or agents, on proper

identification, may enter the land of another for the purpose of

implementing Subsection (a)(2).

(c) The commission's removal of a renewable energy

generation facility under this section does not prevent the

commission from seeking penalties or other relief provided by law

from the permit holder.

(d) The commission and its employees and agents are not

liable for any damages arising from an act or omission if the act or

omission is part of a good-faith effort to carry out this section.

(e) If the commission removes a renewable energy generation

facility under this section, the commission may recover from the

permit holder all costs the commission incurs. The commission by

order may require the permit holder to reimburse the commission for

those costs or may request the attorney general to file suit against

the permit holder to recover those costs. At the request of the

commission, the attorney general may file suit to enforce an order

the commission issues under this subsection. A suit under this

subsection may be filed in Travis County. Costs recovered under

this subsection shall be deposited to the renewable energy

generation facility cleanup fund.

Sec. 35.209. RENEWABLE ENERGY GENERATION FACILITY CLEANUP

FUND. (a) The renewable energy generation facility cleanup fund is

a dedicated account in the general revenue fund.

(b) The fund consists of:

(1) environmental impact fees collected under Section

35.210;

(2) private contributions; and

(3) legislative appropriations.

(c) Money in the fund may be used only by the commission to

implement this subchapter.

Sec. 35.210. ENVIRONMENTAL IMPACT FEE. (a) An annual

environmental impact fee is imposed on each permit holder.

(b) Except as provided by Subsection (c), environmental

impact fees must be deposited in the renewable energy generation

facility cleanup fund.

(c) The commission shall designate 20 percent of the revenue

collected from environmental impact fees to be deposited in the

renewable energy generation facility cleanup fund and used only for

the removal of renewable energy generation facilities under Section

35.208. If the commission determines that the renewable energy

generation facility cleanup fund has a sufficient amount of money

to fund removal of renewable energy generation facilities under

Section 35.208, the commission may instead deposit 20 percent of

the revenue from environmental impact fees in the county and road

district highway fund.

(d) The fee for each year is imposed on each permit in effect

during any part of the year. The commission may establish reduced

fees for inactive permits.

(e) The commission by rule shall adopt a fee schedule for

determining the amount of the fee to be charged. In determining the

fee amount under this section, the commission may consider:

(1) the efficiency of the renewable energy generation

facility;

(2) the area and size of the renewable energy

generation facility;

(3) the renewable energy generation facility's

environmental impact score provided under Section 11.006, Parks and

Wildlife Code; and

(4) expenses necessary to implement this subchapter.

Sec. 35.211. FEDERAL FUNDS. The commission may execute

agreements with the United States Environmental Protection Agency

or any other federal agency that administers programs providing

federal cooperation, assistance, grants, or loans for research,

development, investigation, training, planning, studies,

programming, or construction related to methods, procedures,

mitigation, and facilities for the removal of renewable energy

generation facilities. The commission may accept federal funds for

these purposes and for other purposes consistent with the

objectives of this subchapter and may use the funds as prescribed by

law or as provided by agreement.

Sec. 35.212. POWER TO REGULATE AND SUPERVISE. (a) For

purposes of this subchapter, a provision of Subchapter B or E,

Chapter 14, that authorizes the commission to regulate a public

utility also applies to a person required to obtain a permit under

this subchapter, including an electric cooperative and a

municipally owned utility.

(b) The commission may adopt and enforce rules reasonably

required in the exercise of its powers under this subchapter.

Sec. 35.213. ENFORCEMENT AND PENALTIES. For the purposes

of enforcing this subchapter, a reference in Chapter 15 to a person

includes any person required to obtain a permit under this

subchapter, including an electric cooperative and a municipally

owned utility.

SECTION 2. Subchapter A, Chapter 11, Parks and Wildlife

Code, is amended by adding Section 11.006 to read as follows:

Sec. 11.006. ENVIRONMENTAL IMPACT STATEMENTS FOR RENEWABLE

ENERGY GENERATION FACILITIES. The commission by rule shall adopt a

system for providing an environmental impact statement to an

applicant for a renewable energy generation facility permit under

Section 35.203, Utilities Code. The system must establish:

(1) a process for a person to apply for and receive

from the department an environmental impact statement;

(2) criteria for the department to evaluate the

environmental impact of a proposed renewable energy generation

facility, including:

(A) conservation of natural resources;

(B) continuous use of the land on which a

facility is located for agricultural and wildlife purposes; and

(C) in coordination with the Texas A&M AgriLife

Extension Service, agricultural best practices;

(3) a method for the department to provide an

environmental impact score for a renewable energy generation

facility, based on the criteria described by Subdivision (2);

(4) fees for providing the environmental impact

statements, in an amount sufficient to cover the department's costs

of implementing this section; and

(5) guidelines for the department's use of any map

applications necessary for the implementation of this section.

SECTION 3. (a) Except as otherwise provided by rules

adopted by the Public Utility Commission of Texas under Subsection

(b) of this section, Subchapter F, Chapter 35, Utilities Code, as

added by this Act, applies to all renewable energy generation

facilities in this state, including:

(1) renewable energy generation facilities that:

(A) generate renewable energy before the

effective date of this Act; or

(B) are interconnected to a transmission

facility before the effective date of this Act; and

(2) renewable energy generation facilities the

construction of which began before the effective date of this Act.

(b) The Public Utility Commission of Texas by rule shall

authorize a person who operates or constructs a facility described

by Subsection (a)(1) or (2) of this section to continue to operate

or construct the facility after the effective date of this Act while

the person applies for a permit for the facility as required under

Subchapter F, Chapter 35, Utilities Code, as added by this Act. The

rules may require a person who operates or constructs a facility

described by Subsection (a)(1) or (2) of this section to apply for a

permit for the facility as required under Subchapter F, Chapter 35,

Utilities Code, as added by this Act, by a certain date.

SECTION 4. This Act takes effect September 1, 2025.