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Enron Mail |
Status Report
Much of the first half of May was dedicated to organizing stakeholders and lobbying for the passage of SB 28x (Sher), which was the Legislature first attempt at siting reform and included several IEP-sponsored proposals. SB 28x was the last bill to be signed by the Governor and chaptered into law before the close of the first extraordinary session. The final version included: ? Conforming the timing of offsets for power plants to Clean Air Act requirements. ? Substituting CEQA-style hearings for the trial-like proceedings of the CEC. ? Streamlining the permit process for the modernization of existing power plant sites. ? Giving consideration to the positive environmental impacts of a proposed project. ? Improving the timeliness and coordination of state and local agency review. ? Extending the current deadlines for the expedited review for "peaker" plants and expanding the application to consider re-certification or replacement. There was also a small number of instances where Edson + Modisette assisted on other issues at the request of IEP staff or IEP member companies. As always, Edson + Modisette is here if you need assistance on any other issues. Since SB 28x is only a first step in making changes to the siting process, IEP member should now be thinking about what is next. A list of IEP proposals still on the table include: ? Permitting local agencies to make zoning changes or other decisions for power plants contingent upon CEC CEQA Compliance ? Giving deference to other state and regional agencies ? Easing the threshold for override of local land use requirements. ? Making the ISO responsible for determining interconnection requirements Assembly Member Calderon's office is currently reviewing these proposals in conjunction with an effort to develop an environmental dispatch protocol. IEP has weighed-in on this issue and has strongly advocated that 1) reliability should always be the first priority; 2) protocol should be limited to RMR units and out-of-market calls only; and, 3) any follow-up to SB 28x should also consider IEP siting proposals left on the table. I circulated Asm. Calderon's proposed environmental dispatch language to IEP members last Friday which targets those generating units running beyond their air permits per the Governor's most recent executive order. In the short-term, I expect there will be additional stakeholders meetings on this and other siting issues as Asm. Calderon decides how to proceed and in what legislative vehicle. All this action on the Assembly side does not rule out Senator Sher's part on the siting issue. Since SB 28x moved to the Governor's desk, Sen. Sher has ensured us and others that that was only the first step and he would like to continue pursuing additional siting reforms during this legislative session. SB 28xx in the second extraordinary session is currently a spot bill ready to take up that cause. There are pros and cons for either author to move forward on siting reform, but I would recommend for the time being that IEP let Asm. Calderon and Sen. Sher work out their turf wars while IEP shares its proposals with both. There are also other siting bills with the potential to move forward. SB 86xx (Peace/Burton) was introduced last week which would require a developer to begin construction on a project within 6 months of receiving certification from CEC or lose its permit, and introduces the newly created California Consumer Power and Financing Authority into the siting process. Senator Morrow has called stakeholders together this week to provide input on SB 76xx which is currently in spot bill format. Asm. Wright still has his siting vehicle, AB 48xx, poised to move if needed; and Sen. Battin has several siting bills introduced also if needed. I have mentioned this before, but it is worth repeating. With the interest in siting issues in the Capitol having waned only slightly, IEP members may want to consider meeting again to develop a second list of proposed siting reforms (in addition to the above issues left over from the first list). Such a list should take into account the Governor's Executive Orders and possibly what generators would be willing to give up to the enviros in exchange for "big ticket" reforms. Please call if you have any questions about the above invoice or any of the siting issues pending before the Legislature. Sincerely, JULEE MALINOWSKI-BALL Senior Associate Julee Malinowski-Ball Senior Associate Edson + Modisette 916-552-7070 FAX-552-7075 jmball@ns.net
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