PRINTER'S NO. 387
No. 352 Session of 1989
INTRODUCED BY STAIRS, LETTERMAN, DEMPSEY, CAWLEY, DALEY, HERMAN, J. L. WRIGHT, ARGALL, BARLEY, TRELLO, MORRIS, J. TAYLOR, WOZNIAK, HALUSKA, SEMMEL, BELARDI AND BELFANTI, FEBRUARY 8, 1989
REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, FEBRUARY 8, 1989
AN ACT 1 Providing for the production, distribution, conservation and 2 consumption of energy in the Commonwealth of Pennsylvania; 3 establishing the State Energy Commission and providing for 4 its powers and duties; transferring powers and duties of the 5 Governor's Energy Council and certain powers, duties and 6 agencies of the Department of Environmental Resources to the 7 State Energy Commission; providing for an energy master plan; 8 establishing the Division of Administrative Hearings within 9 the Office of Attorney General; providing penalties; and 10 making an appropriation. 11 The General Assembly hereby finds and declares that a secure, 12 stable and adequate supply of energy at reasonable prices is 13 vital to the economy of this Commonwealth and to the public 14 health, safety and welfare; that this Commonwealth is threatened 15 by the prospect of both short-term and long-term energy 16 shortages; that the existing dispersion of responsibilities with 17 respect to energy and energy-related matters among various State 18 departments, divisions, agencies and commissions inhibits 19 comprehensive and effective planning for our future energy 20 needs; and that the State government does not now possess either 21 sufficient information or adequate authority to provide for and
1 insure the wise and efficient production, distribution, use and 2 conservation of energy. 3 The General Assembly further finds that only an agency with 4 comprehensive powers can collect, collate and analyze the 5 information necessary to determine the amount of energy that is 6 or may be available; develop mechanisms to insure a fair and 7 equitable distribution of existing supplies; conduct the long- 8 term planning and management necessary to eliminate or alleviate 9 the potential adverse effects of a supply of energy insufficient 10 to meet legitimate needs or, from practices of production, 11 distribution and consumption, detrimental to the quality of life 12 or the environment; coordinate Pennsylvania's energy policies 13 and actions with Federal energy policies; and secure for 14 Pennsylvania the maximum amount of Federal funding available for 15 energy-related research, development and demonstration projects. 16 The General Assembly further finds that shortages of energy 17 have the potential at certain times and in certain places to so 18 seriously affect the public interest that it is necessary for 19 State government to possess emergency powers sufficient to 20 prevent or minimize health disasters and grave economic 21 disruptions which could occur during these times. 22 The General Assembly therefore declares it to be in the best 23 interest of the citizens of this Commonwealth to establish a 24 principal agency to coordinate authority, regulation and 25 planning by the Commonwealth in energy-related matters. 26 TABLE OF CONTENTS 27 Chapter 1. Preliminary Provisions 28 Section 101. Short title. 29 Section 102. Definitions. 30 Chapter 3. State Energy Commission 19890H0352B0387 - 2 -
1 Section 301. Establishment and composition. 2 Section 302. Meetings, quorum, etc. 3 Section 303. Secretary of Environmental Resources and Chairman 4 of Pennsylvania Public Utility Commission. 5 Section 304. Organization. 6 Section 305. Divisions. 7 Section 306. Transfer of certain functions, powers and duties. 8 Section 307. Executive administrator. 9 Section 308. Powers and duties of executive administrator. 10 Section 309. Powers and duties of commission. 11 Section 310. Energy master plan. 12 Section 311. Emergency allocation plan. 13 Section 312. Contingency plans. 14 Chapter 5. Administrative Hearings 15 Section 501. Division of Administrative Hearings. 16 Section 502. Appeals. 17 Section 503. Rules and regulations. 18 Section 504. Hearing examiners. 19 Section 505. Subpoenas. 20 Chapter 7. Enforcement 21 Section 701. Conflict of interest. 22 Section 702. Violations and penalties. 23 Chapter 21. Miscellaneous Provisions 24 Section 2101. Transfer provision. 25 Section 2102. Civil service. 26 Section 2103. Construction of act. 27 Section 2104. Initial appointments. 28 Section 2105. Staff availability. 29 Section 2106. Annual report. 30 Section 2107. Appropriation. 19890H0352B0387 - 3 -
1 Section 2108. Repeals. 2 Section 2109. Sunset. 3 Section 2110. Effective date. 4 The General Assembly of the Commonwealth of Pennsylvania 5 hereby enacts as follows: 6 CHAPTER 1 7 PRELIMINARY PROVISIONS 8 Section 101. Short title. 9 This act shall be known and may be cited as the State Energy 10 Act. 11 Section 102. Definitions. 12 The following words and phrases when used in this act shall 13 have the meanings given to them in this section unless the 14 context clearly indicates otherwise: 15 "Chairman." The chairman of the State Energy Commission. 16 "Commission." The State Energy Commission. 17 "Electrical energy." The energy produced as the result of 18 the generation of electricity in any manner. 19 "Energy." The capacity to do work or to produce heat, this 20 potential being transferred from any fuel or source whatsoever. 21 "Energy emergency." A condition of imminent danger to the 22 economic well-being, health, safety or welfare of the people of 23 this Commonwealth. 24 "Energy resource." Any substance or process used primarily 25 for its energy content or capacity for producing energy, 26 including, but not limited to, coal, crude oil, geothermal 27 energy, natural gas, nuclear energy, petroleum, petroleum 28 derivative, solar energy, synthetic natural gas or wind energy. 29 "Executive administrator" or "administrator." The executive 30 administrator of the State Energy Commission. 19890H0352B0387 - 4 -
1 "Liquid fuel." Petroleum or any other liquid substance 2 capable of providing energy. 3 "Natural gas." A naturally occurring mixture of hydrocarbon 4 and hydrocarbon gases found in porous geological formations 5 beneath the earth's surface, often in association with 6 petroleum. 7 "Nonrenewable energy resource." Any substance the use of 8 which diminishes its availability or abundance, including, but 9 not limited to, coal, natural gas, petroleum or uranium. 10 "Person." Any individual, partnership, corporation, joint 11 venture, association, governmental subdivision, or public or 12 private organization of any character, including another entity, 13 other than a Federal agency. 14 "Renewable energy resource." Any method, process or 15 substance the use of which does not diminish its availability or 16 abundance, including, but not limited to, biomass conversion, 17 geothermal energy, solar energy, wind energy, wood or any type 18 of nuclear energy whereby more fuel is produced than is used. 19 "Utility." Any person who distributes, transports or 20 produces natural gas or electricity for use or consumption in 21 this Commonwealth. 22 CHAPTER 3 23 STATE ENERGY COMMISSION 24 Section 301. Establishment and composition. 25 (a) Establishment.--There is hereby established an 26 independent commission to be known as the State Energy 27 Commission. 28 (b) Composition.--The commission shall be composed of seven 29 members, as follows: 30 (1) Five members appointed by the Governor with the 19890H0352B0387 - 5 -
1 advice and consent of two-thirds of the elected members of 2 the Senate. Each of these appointed members shall have at 3 least five years' experience in the areas of energy 4 development, engineering, research, education, production, 5 generation, distribution, regulation or similar energy areas 6 or a combination of at least three years' experience in the 7 aforementioned fields and at least two years' experience in 8 management, public administration, finance, accounting, law 9 or similar areas. 10 (2) One member appointed by the President pro tempore of 11 the Senate. 12 (3) One member appointed by the Speaker of the House of 13 Representatives. 14 (c) Terms.--Members shall serve a term of five years and 15 until their successors are appointed and confirmed. 16 Section 302. Meetings, quorum, etc. 17 (a) Meetings.--The commission shall meet at least six times 18 a year and shall also, from time to time, hold public hearings 19 to receive the views of the public. The commission may meet at 20 any time on call of the chairman or a majority of the members. 21 (b) Chairman.--Annually, at its first meeting, the 22 commission shall select a chairman and a secretary from among 23 its members. 24 (c) Quorum.--A quorum shall consist of a majority of the 25 members of the commission, including at least one of the members 26 appointed by either the President pro tempore of the Senate or 27 the Speaker of the House of Representatives. Any action taken by 28 the commission shall, however, require the affirmative votes of 29 at least four members. 30 (d) Vacancies.--Vacancies shall be filled in the same manner 19890H0352B0387 - 6 -
1 as the original appointment was made and for the remainder of 2 the unexpired term. Vacancies occurring among members appointed 3 by the Governor while the Senate is not in session shall be 4 filled on an interim basis until the Senate next convenes, when 5 such appointee shall be confirmed. 6 (e) Expenses.--Members shall receive no compensation but 7 shall be entitled to reimbursement for all necessary and 8 reasonable expenses, in accordance with the rules of the 9 Executive Board. 10 Section 303. Secretary of Environmental Resources and Chairman 11 of Pennsylvania Public Utility Commission. 12 The Secretary of Environmental Resources and the Chairman of 13 the Pennsylvania Public Utility Commission, or their designees, 14 shall serve as ex officio, nonvoting members of the commission, 15 whose presence shall not be counted for a quorum or for voting 16 requirements. 17 Section 304. Organization. 18 Personnel of the commission shall be organized into an Office 19 of the Executive Administrator and three divisions. The 20 commission shall appoint as the head of each of the following 21 divisions, upon recommendation of the executive administrator, a 22 person knowledgeable and experienced in the area or areas for 23 which that division is responsible: 24 (1) Office of Administration. 25 (2) Office of Energy Policy and Programs. 26 (3) Office of Energy Planning and Evaluation. 27 Section 305. Divisions. 28 (a) Office of Executive Administrator.-- 29 (1) The Office of the Executive Administrator is 30 responsible for the general administration and coordination 19890H0352B0387 - 7 -
1 of the commission and its divisions. 2 (2) The commission shall appoint a Chief Counsel who 3 shall supply legal services to the commission. 4 (b) Office of Administration.-- 5 (1) The Office of Administration shall be headed by a 6 Director of Administration, to be appointed by the commission 7 upon recommendation of the executive administrator. The 8 director shall report to and be directly responsible to the 9 executive administrator. 10 (2) The Office of Administration shall have 11 responsibility with regard to personnel and fiscal 12 management, information systems, office systems and services, 13 and other such responsibilities as may be assigned by the 14 executive administrator. 15 (c) Office of Energy Policy and Programs.-- 16 (1) The Office of Energy Policy and Programs shall be 17 headed by a Director of Energy Policy and Programs, to be 18 appointed by the commission upon recommendation of the 19 executive administrator. 20 (2) The Office of Energy Policy and Programs shall have 21 responsibility with regard to intergovernmental affairs, 22 grants administration, nuclear issues and radiation 23 protection, mines and mineral resources, oil and gas 24 management, renewable and alternative technologies, energy 25 conservation programs, and other such responsibilities as may 26 be assigned by the executive administrator. 27 (d) Office of Energy Planning and Evaluation.-- 28 (1) The Office of Energy Planning and Evaluation shall 29 be headed by a Director of Energy Planning and Evaluation, to 30 be appointed by the commission upon recommendation of the 19890H0352B0387 - 8 -
1 executive administrator. 2 (2) The Office of Energy Planning and Evaluation shall 3 have responsibility with regard to regulatory affairs, 4 emergency preparedness, budget and program evaluation, 5 utility affairs, community relations and public information, 6 and other such responsibilities as may be assigned by the 7 executive administrator. 8 Section 306. Transfer of certain functions, powers and duties. 9 All functions, powers and duties now vested in the following 10 organizational units are hereby transferred and vested in the 11 commission: 12 (1) The Governor's Energy Council. 13 (2) The following bureaus of the Department of 14 Environmental Resources: 15 (i) Bureau of Abandoned Mine Reclamation. 16 (ii) Bureau of Deep Mine Safety. 17 (iii) Bureau of Mining and Reclamation. 18 (iv) Bureau of Oil and Gas Management. 19 (v) Bureau of Radiation Protection. 20 (3) The following boards and commissions of the 21 Department of Environmental Resources: 22 (i) Mining and Reclamation Advisory Board. 23 (ii) Anthracite Mine Inspectors' Examining Board. 24 (iii) Mine Inspectors' Examining Board for the 25 Bituminous Coal Mines of Pennsylvania. 26 (iv) Oil and Gas Conservation Commission. 27 Section 307. Executive administrator. 28 (a) Appointment.--The commission shall be administered by an 29 executive administrator who shall be appointed by the 30 commission. The executive administrator shall have at least five 19890H0352B0387 - 9 -
1 years' experience in the field of energy development, 2 engineering, research, education, production, generation, 3 regulation or distribution and shall have experience in 4 management or administration. The executive administrator shall 5 serve at the will and pleasure of the commission. He may be 6 removed from office by a vote of not less than five members of 7 the commission, including at least one member appointed by 8 either the President pro tempore of the Senate or the Speaker of 9 the House of Representatives. 10 (b) Deputy administrator.--The executive administrator shall 11 appoint a deputy administrator. The deputy administrator shall 12 assume all responsibility and authority vested in the executive 13 administrator upon the absence of the executive administrator. 14 The deputy administrator will have specific responsibilities as 15 are assigned by the executive administrator. 16 Section 308. Powers and duties of executive administrator. 17 The executive administrator shall have the power and duty to: 18 (1) Administer, monitor and review the programs and 19 policies of the commission. 20 (2) Assure that all divisions of the commission fully 21 execute the separate duties and responsibilities assigned to 22 each and, with the approval of the commission, to reorganize 23 divisions and duties of the commission as necessary. 24 (3) Submit to the commission for approval all of the 25 major actions, programs and policies of the commission. 26 (4) Advise the commission, the Governor and the General 27 Assembly on State and Federal energy policies, practices, 28 programs and legislation. 29 (5) Make recommendations to the Governor and the General 30 Assembly for appropriate actions to be taken in an energy 19890H0352B0387 - 10 -
1 emergency. 2 (6) Recommend energy policy to the commission, including 3 alternatives, for implementation in this Commonwealth. 4 (7) Maintain continuous liaison with energy suppliers, 5 distributors and other State and Federal agencies concerned 6 with energy-related matters. 7 (8) Assist other State agencies with specific energy 8 problems. 9 (9) Coordinate the State's activities with respect to 10 proposed energy projects by seeking to minimize economic and 11 environmental costs associated with energy production and 12 distribution. 13 (10) Recommend rules and regulations to the commission. 14 (11) Submit, with the approval of the commission, 15 proposed legislation for consideration by the General 16 Assembly. 17 (12) Enforce all contracts or agreements entered into by 18 the commission. 19 (13) Contract for and accept any gifts, grants, loans or 20 appropriations of funds or property, or financial or other 21 aid in any form from Federal energy-related agencies, 22 departments, or their successors or any other agency or 23 instrumentality of the Federal Government, or from the 24 Commonwealth or any agency, instrumentality or political 25 subdivision thereof, or from any other source for the use of 26 the commission; and to design and administer a grant program 27 in accordance with Federal and State laws and regulations. 28 (14) Receive applications for and recommend to the 29 commission grants from such other funds as are available, 30 including funds from State sources, and to establish 19890H0352B0387 - 11 -
1 administrative practices for the accounting and monitoring of 2 the use of such funds according to State financial procedures 3 or additional safeguards which in the judgment of the 4 commission, may be advisable. 5 (15) Participate, in cooperation with the Attorney 6 General of the Commonwealth and other appropriate State 7 government entities, and in accordance with Federal law, in 8 Federal agency decisionmaking. 9 (16) Employ, on a temporary basis, such persons as are 10 necessary to effect the provisions of the commission. 11 (17) Issue orders to assure compliance with rules and 12 regulations, as approved. 13 Section 309. Powers and duties of commission. 14 The commission shall have the power and duty to: 15 (1) Serve as the central repository for collection of 16 energy information. 17 (2) Collect and analyze data relating to present and 18 future demands and resources for all forms of energy. 19 (3) Request all entities engaged in production, 20 distribution, transmission and storage of energy in any form 21 to submit pertinent energy data, not including certain 22 information deemed by the executive administrator to be 23 confidential in nature. 24 (4) Establish an energy information forecasting system. 25 (5) Design, implement and enforce a program for 26 conservation of energy in commercial, industrial and 27 residential facilities. 28 (6) Conduct and supervise a Statewide educational 29 program on energy conservation. 30 (7) Monitor energy prices and evaluate rate and price 19890H0352B0387 - 12 -
1 policies. 2 (8) Conduct and supervise energy projects and programs. 3 (9) Distribute and expend funds made available for 4 research and programs. 5 (10) Enter into interstate compacts to carry out energy 6 research and planning with other states or the Federal 7 Government. 8 (11) Apply for, accept and expend grants-in-aid and 9 assistance for energy programs from private and public 10 sources. 11 (12) Require annual submission of energy utilization 12 reports and conservation plans by all Commonwealth 13 departments and agencies. 14 (13) Issue subpoenas and conduct hearings and 15 investigations. 16 (14) Administer Federal regulations as are applicable. 17 (15) Acquire, purchase, grant and contract for eminent 18 domain title to real property to demonstrate facilities for 19 improved energy efficiency. 20 (16) Construct and operate facilities which improve 21 energy efficiency. 22 (17) Contract with any other public agency or 23 corporation. 24 (18) Determine the effect of energy and fuel shortages 25 on consumers. 26 (19) Keep complete and accurate minutes of all hearings 27 held before the commission or any division of the agency. 28 (20) Develop an energy master plan for submission to the 29 Governor and the General Assembly. 30 (21) Develop an emergency allocation plan which 19890H0352B0387 - 13 -
1 specifies actions to be taken in the event of an impending 2 serious shortage of energy that poses grave threats to the 3 public health, safety or welfare. 4 (22) Authorize the Governor to proclaim, if needed, a 5 state of energy emergency through executive order, which 6 shall remain in effect until the Governor declares through 7 subsequent order that the state of energy emergency has 8 terminated. 9 (23) Make and execute contracts or leases in the name of 10 the Commonwealth, with the approval of the Governor, and 11 enter into agreements with owners or lessees of property or 12 property rights located in the same areas as lands owned or 13 leased by the Commonwealth for the protection, preservation 14 or recovery of metallic or nonmetallic ore, oil, natural gas 15 or any other mineral deposits underlying these lands, 16 provided that the deposits are owned by the Commonwealth, 17 whenever it is determined by the commission that it would be 18 in the best interests of the Commonwealth to make such 19 disposition of the deposits. Any proposed contracts or leases 20 for the extraction or recovery of metallic or nonmetallic 21 ore, oil, natural gas or other minerals shall have been 22 published once a week for three consecutive weeks, in at 23 least two newspapers of general circulation in the locality 24 where the extraction or recovery is to be located, prior to 25 awarding such contract or lease. Such contract or lease shall 26 be awarded to the highest and best bidder capable for the 27 proper performance of the contract. However, where the 28 Commonwealth owns a fractional interest in the oil, natural 29 gas and other minerals, the requirement of competitive 30 bidding may be waived, and the commission may enter into a 19890H0352B0387 - 14 -
1 contract to lease that fractional interest, with the approval 2 of the Governor and upon such terms and conditions as the 3 commission deems to be in the best interest of the 4 Commonwealth. 5 (24) Make and execute contracts or leases, in the name 6 of the Commonwealth, for the mining or removal of any 7 valuable minerals that may be found in State forests, or of 8 oil and gas beneath those waters of Lake Erie owned by the 9 Commonwealth, or of oil and gas beneath the land of Woodville 10 State Hospital owned by the Commonwealth, whenever it appears 11 to the satisfaction of the commission that it would be in the 12 best interests of the Commonwealth to make such disposition 13 of these materials. Any proposed contracts or leases of 14 valuable minerals exceeding $1,000 in value shall be 15 advertised once a week for three weeks, in at least two 16 newspapers published nearest the locality indicated, in 17 advance of awarding such contract or lease. Such contracts or 18 leases may then be awarded to the highest and best bidder, 19 who shall give bond for the proper performance of the 20 contract as the commission designates. However, where the 21 Commonwealth owns a fractional interest in the oil, natural 22 gas and other minerals under State forest lands, the 23 requirement of competitive bidding may be waived, and the 24 commission may enter into a contract to lease that fractional 25 interest, with the approval of the Governor and upon such 26 terms and conditions as the commission deems to be in the 27 best interests of the Commonwealth. 28 (25) Enter into agreements to sell, lease or otherwise 29 dispose of any iron, coal, limestone, fire-clay, oil, gas and 30 other minerals, except sand and gravel and minerals deposited 19890H0352B0387 - 15 -
1 in pools created by dams, that may be found in or beneath the 2 beds of navigable streams or bodies of water within this 3 Commonwealth and nonnavigable streams or bodies of water 4 where the beds thereof are owned by the Commonwealth, on such 5 terms and conditions as the commission deems to be in the 6 best interests of the Commonwealth. Nothing herein shall 7 authorize the interference with free navigation of these 8 streams or bodies of water or to undermine the bed thereof or 9 to interfere with the rights of any person or persons holding 10 property on the banks thereof. 11 (26) Enter into contracts: 12 (i) To implement the Abandoned Mine Reclamation 13 Program under Title IV of the Surface Mining Control and 14 Reclamation Act of 1977 (Public Law 95-87, 30 U.S.C. 15 Section 1231 et seq.). 16 (ii) For the abatement and control work authorized 17 under the act of January 19, 1968 (1967 P.L.996, No.443), 18 known as The Land and Water Conservation and Reclamation 19 Act. 20 (iii) To reclaim abandoned surface mines as provided 21 for in the act of May 31, 1945 (P.L.1198, No.418), known 22 as the Surface Mining Conservation and Reclamation Act, 23 the act of September 24, 1968 (P.L.1040, No.318), known 24 as the Coal Refuse Disposal Control Act, and the act of 25 December 19, 1984 (P.L.1093, No.219), known as the 26 Noncoal Surface Mining Conservation and Reclamation Act. 27 (iv) To restore, repair or mitigate damages as 28 provided for in the act of April 27, 1966 (1st Sp.Sess., 29 P.L.31, No.1), known as The Bituminous Mine Subsidence 30 and Land Conservation Act. 19890H0352B0387 - 16 -
1 (v) To plug abandoned oil and gas wells as provided 2 for in the act of December 19, 1984 (P.L.1140, No.223), 3 known as the Oil and Gas Act. 4 In all cases in which the commission enters into a contract 5 and the other party to the contract is required to post a 6 bond or other acceptable security to be held to apply as a 7 credit against any unpaid balances or to carry out any 8 unfulfilled conditions, the moneys of these bonds or 9 securities shall accrue to the benefit of the commission 10 insofar as necessary to indemnify the commission and the 11 Commonwealth from all losses caused by failure of the 12 contracting party to fulfill any contract condition. Moneys 13 not required by the commission to pay unpaid balances or to 14 fulfill contract conditions shall accrue to the General Fund. 15 Where the contract was awarded under paragraph (25), the 16 excess moneys shall be deposited into the fund under which 17 the contract was authorized. 18 (27) Assure that the mining laws of this Commonwealth 19 are faithfully executed and, for that purpose, cause lawfully 20 qualified mine inspectors to enter, inspect and examine any 21 mine or colliery within this Commonwealth and the works and 22 machinery connected therewith. 23 (28) Give such aid and instruction to the mine 24 inspectors, from time to time, as may be calculated to 25 protect the health and promote the safety of all persons 26 employed in and about the mines. Subject to any inconsistent 27 provisions contained in this act, anthracite mine inspectors 28 and bituminous mine inspectors shall, respectively, under the 29 direction of the executive administrator, continue to 30 exercise the powers and perform the duties vested in and 19890H0352B0387 - 17 -
1 imposed upon them by law. 2 (29) Make such examinations and investigations as may be 3 necessary to enable it to make recommendations upon any 4 matters pertaining to the general welfare of coal miners and 5 others connected with mining and the interests of mine owners 6 and operators in this Commonwealth. 7 (30) In those instances where such work is in the 8 interest of the public welfare, seal, close or backfill 9 abandoned deep or strip coal mines; plug abandoned oil and 10 gas wells, other than those governed by the Oil and Gas Act; 11 fill voids in abandoned coal mines; drill bore holes, dig 12 ditches or construct flumes which would relieve flooding or 13 hazardous conditions caused by mine water; and extinguish 14 fires in abandoned coal mines and in culm banks. 15 (31) Administer the laws and regulations of this 16 Commonwealth relating to the drilling and operation of oil 17 and gas wells and gas storage reservoirs. 18 (32) Administer the laws and regulations of this 19 Commonwealth which regulate: 20 (i) the construction, operation and maintenance of 21 dams, water obstructions or encroachments for hydraulic 22 and hydroelectric power; 23 (ii) stream-raising and steam condensation 24 reservoirs; and 25 (iii) any dam, impoundment, embankment and other 26 water obstruction and encroachment necessary for the 27 extraction, recovery or processing of metallic and 28 nonmetallic ore, oil, gas and other minerals. 29 (33) Formulate, adopt and promulgate such rules and 30 regulations necessary for the proper performance of the work 19890H0352B0387 - 18 -
1 of the commission, and continue to exercise any power to 2 formulate, adopt and promulgate rules and regulations 3 relating to any matter within the jurisdiction of the 4 commission heretofore vested in the Environmental Quality 5 Board or other departments and boards. Any such rules or 6 regulations promulgated prior to the effective date of this 7 act shall be the rules and regulations of the commission 8 until such time as they are modified, repealed, suspended, 9 superseded or otherwise changed by the commission. Any rule, 10 regulation, policy or procedure pertaining to matters within 11 the jurisdiction of the commission in effect on the effective 12 date of this act shall be reviewed by the executive 13 administrator on the written request of a person 14 substantially affected by the rule, regulation, policy or 15 procedure. The executive administrator shall initiate a 16 review within 30 days of receipt of the request and issue a 17 decision in writing within 90 days of receipt of the request 18 to retain, modify or suspend, and the reasons therefor. 19 (34) Cooperate with all other Federal and State agencies 20 in carrying out its responsibilities. 21 Section 310. Energy master plan. 22 The commission shall prepare and, after public hearing, 23 adopt, within one year from the effective date of this act, an 24 energy master plan for a period of five years on the production, 25 distribution, consumption and conservation of energy in this 26 Commonwealth and shall submit the plan and any amendments 27 thereto to the Governor and the General Assembly. 28 Section 311. Emergency allocation plan. 29 The commission shall include, as part of the energy master 30 plan and in conjunction with the Pennsylvania Public Utility 19890H0352B0387 - 19 -
1 Commission and the Pennsylvania Emergency Management Agency, an 2 emergency allocation plan. Such emergency plan shall include a 3 schedule of emergency energy curtailment based on a uniform 4 classification of energy consumers, specifying actions to be 5 taken in the event of an energy emergency, as proclaimed by the 6 Governor, and further specifying what actions an energy industry 7 and its customers are to take in the event of such emergency. 8 Section 312. Contingency plans. 9 The commission shall direct all Commonwealth agencies to 10 develop, subject to approval by the commission, contingency 11 plans for dealing with these emergencies. Those portions of such 12 emergency allocation plans or contingency plans specifically 13 pertaining to energy industries regulated by the Pennsylvania 14 Public Utility Commission shall be made available to the 15 commission in such time period as shall be directed. 16 CHAPTER 5 17 ADMINISTRATIVE HEARINGS 18 Section 501. Division of Administrative Hearings. 19 (a) Establishment.--There is hereby established the Division 20 of Administrative Hearings in the Office of Attorney General. 21 (b) Powers and duties.-- 22 (1) The division shall have the power and its duties 23 shall be to hold hearings and issue adjudications under Title 24 2 of the Pennsylvania Consolidated Statutes (relating to 25 administrative law and procedure), on any decision or action 26 of the energy commission, including, but not limited to, 27 notice of violation, penalty assessment, order, permit, 28 license, or the whole or part of a rule or equivalent. A 29 decision or action shall be considered final when reduced to 30 writing, whether affirmative, negative, injunctive or 19890H0352B0387 - 20 -
1 declaratory in form. 2 (2) The division shall exercise any power to hold 3 hearings and issue adjudications relating to any matter 4 within the jurisdiction of the commission which may 5 heretofore have been heard by the Environmental Hearing 6 Board. 7 Section 502. Appeals. 8 (a) General rule.--Anything in any law to the contrary 9 notwithstanding, any action of the commission may be taken 10 initially without regard to the provisions of Title 2 of the 11 Pennsylvania Consolidated Statutes (relating to administrative 12 law and procedure), but no such action of the commission 13 adversely affecting any person shall be final as to such person 14 until such person has had the opportunity to appeal such action 15 to the division. However, any such action shall be final as to 16 any person who had not perfected his appeal in the manner 17 hereinafter specified. 18 (b) Appeal not to act as supersedeas.--An appeal taken to 19 the division from a decision of the commission shall not act as 20 a supersedeas, but, upon cause shown and where the circumstances 21 require it, the commission of the board shall have the power to 22 grant a supersedeas. 23 Section 503. Rules and regulations. 24 Hearings of the division shall be conducted in accordance 25 with rules and regulations adopted by the Office of Attorney 26 General, and such rules and regulations shall include time 27 limits for the taking of appeals, procedures for the taking of 28 appeals, locations at which hearings shall be held and such 29 other rules and regulations as may be determined advisable. 30 Section 504. Hearing examiners. 19890H0352B0387 - 21 -
1 The Attorney General shall employ hearing examiners who are 2 knowledgeable about the laws of this Commonwealth and such other 3 personnel as are necessary to perform the duties prescribed 4 herein. The number of examiners employed shall be sufficient to 5 provide timely and expeditious hearings at each office of the 6 commission. 7 Section 505. Subpoenas. 8 The division shall have the power to subpoena witnesses, 9 records and papers; and, upon certification to it of failure to 10 obey any such subpoena, the Commonwealth Court is empowered, 11 after hearing, to enter, when proper, an adjudication of 12 contempt and such other order as the circumstances require. 13 CHAPTER 7 14 ENFORCEMENT 15 Section 701. Conflict of interest. 16 (a) Surface mining.--No employee of the commission 17 performing any function or duty within the scope of activities 18 covered by the Surface Mining Control and Reclamation Act of 19 1977 (Public Law 95-87, 30 U.S.C. § 1201 et seq.) shall have a 20 direct or indirect financial interest in any underground or 21 surface coal mining operation as defined by this act. Whoever 22 knowingly violates the provisions of this subsection commits a 23 misdemeanor of the third degree and shall, upon conviction, be 24 sentenced to pay a fine of not more than $2,500 or to 25 imprisonment for not more than one year, or both. Rules and 26 regulations shall be promulgated hereunder to establish methods 27 by which the provisions of this subsection will be monitored and 28 enforced by the commission, including, but not limited to, 29 appropriate provisions for the filing by such employees and the 30 review of statements and supplements thereto concerning any 19890H0352B0387 - 22 -
1 financial interest which may be affected by this subsection. 2 (b) Oil and gas.--No employee of the commission performing 3 the function or duty of any oil or gas inspector shall act as a 4 manager, employee or agent of any oil-drilling or gas-drilling 5 operation or of any mining or mining operation, nor shall he be 6 interested in any pecuniary way in such operations in this 7 Commonwealth. Whoever knowingly violates the provisions of this 8 subsection commits a misdemeanor of the third degree and shall, 9 upon conviction, be sentenced to pay a fine of not more than 10 $2,000 or to imprisonment for not more than one year, or both. 11 Rules and regulations shall be promulgated hereunder to 12 establish methods by which the provisions of this subsection 13 will be monitored and enforced by the commission, including, but 14 not limited to, appropriate provisions for the filing by such 15 employees and the review of statements and supplements thereto 16 concerning any financial interest which may be affected by this 17 subsection. 18 Section 702. Violations and penalties. 19 (a) Civil penalties for failure to provide information.--Any 20 person failing to provide energy information required by the 21 commission, other than information deemed to be confidential in 22 nature, shall be liable for a civil penalty of not more than 23 $3,000 for each offense. If the violation is of a continuing 24 nature, each day during which it continues shall constitute an 25 additional and separate offense. 26 (b) Unlawful purchase.--Any person purchasing or attempting 27 to purchase energy supplies in violation of any rules, 28 regulations or orders issued hereunder constitutes a summary 29 offense. 30 (c) Violation of rules.--Any retail dealer who violates any 19890H0352B0387 - 23 -
1 rules, regulations or orders issued hereunder commits a summary 2 offense. 3 (d) Violation by energy supplier.--Any distributor of any 4 other supplier of energy who violates any rules, regulations or 5 orders issued hereunder commits a misdemeanor of the first 6 degree. 7 (e) Suspension or revocation of license.--In addition to any 8 other penalties provided under this act or other statute, the 9 commission may recommend to the appropriate agency the 10 suspension or revocation of the license of any retail dealer, 11 gasoline jobber, wholesale dealer, distributor or supplier of 12 fuel who has violated this act or any rules, regulations or 13 orders issued under this act. 14 CHAPTER 21 15 MISCELLANEOUS PROVISIONS 16 Section 2101. Transfer provisions. 17 All personnel, allocations, appropriations, equipment, files, 18 records, contracts, agreements, obligations and other materials 19 which are used, employed or expended in connection with the 20 powers, duties or functions of the Governor's Energy Council, 21 the Bureau of Abandoned Mine Reclamation, the Bureau of Deep 22 Mine Safety, the Bureau of Mining and Reclamation, the Bureau of 23 Oil and Gas Management, the Bureau of Radiation Protection, the 24 Coal Mining and Reclamation Advisory Board, the Anthracite Mine 25 Inspectors' Examining Board, the Mine Inspectors' Examining 26 Board for the Bituminous Coal Mines and the Oil and Gas 27 Conservation Commission, are hereby transferred to the 28 commission with the same force and effect as if the 29 appropriations had been made to and said items had been the 30 property of the commission in the first instance, and as if said 19890H0352B0387 - 24 -
1 contracts, agreements and obligations had been incurred or 2 entered into by the commission. The personnel, appropriations, 3 equipment and other items and material transferred by this 4 section shall include an appropriate portion of the general 5 administrative, overhead and supporting personnel, 6 appropriations, equipment and other material of the agencies and 7 shall also include, where applicable, Federal grants and funds 8 and other benefits from any Federal program. All personnel 9 transferred pursuant to this act shall retain any civil service 10 employment status assigned to the personnel. 11 Section 2102. Civil service. 12 In addition to the retention of civil service employment 13 status as pertaining to employees transferred to the commission, 14 all new positions in the commission shall be deemed to be 15 included in the list of positions set forth in section 3(d) of 16 the act of August 5, 1941 (P.L.752, No.286), known as the Civil 17 Service Act, and the provisions and benefits of that act shall 18 be applicable to all employees of the commission. 19 Section 2103. Construction of act. 20 (a) Curtailment plans.--Nothing set forth in this act shall 21 supersede any curtailment plans which are established and 22 approved by any Federal regulatory commission, the Pennsylvania 23 Public Utility Commission or any ordinance duly adopted by any 24 municipality or public gas system. 25 (b) Actions by DER.--All orders, permits, regulations, 26 decisions and other actions of the Department of Environmental 27 Resources, the Governor's Energy Council or any department, 28 board, commission or agency whose functions have been 29 transferred by this act to the commission shall remain in full 30 force and effect until modified, repealed, superseded or 19890H0352B0387 - 25 -
1 otherwise changed by appropriate action of the commission. 2 (c) Jurisdiction of PUC and other agencies.--The commission 3 shall not have any authority to take any action affecting the 4 jurisdiction of the Pennsylvania Public Utility Commission or 5 any Federal administrative or regulatory agency. The executive 6 administrator, however, shall have the authority to appear 7 before the commission or any Federal administrative or 8 regulatory agency to provide information concerning State energy 9 policies. 10 Section 2104. Initial appointments. 11 The first members of the board appointed by the Governor 12 shall be appointed as follows: one for a term of one year, one 13 for a term of two years, one for a term of three years, one for 14 a term of four years and one for a term of five years. 15 Thereafter, all appointments, except the filling of vacancies, 16 shall be for five years. The first members appointed by the 17 President pro tempore of the Senate and the Speaker of the House 18 of Representatives shall be named to full five-year terms. All 19 initial appointments shall be made not later than January 1, 20 1989, and confirmed when the General Assembly convenes. 21 Section 2105. Staff availability. 22 At the direction of the administrator, the staff of the 23 commission may assist the staff of the Pennsylvania Energy 24 Development Authority and the Appalachian States Low-Level 25 Radioactive Waste Commission in energy-related matters. 26 Section 2106. Annual report. 27 The commission shall, promptly following the close of each 28 fiscal year, submit an annual report of its activities for the 29 preceding year to the Governor, to the appropriate committees or 30 joint committees of the General Assembly as designated by the 19890H0352B0387 - 26 -
1 President pro tempore of the Senate and the Speaker of the House 2 of Representatives, and, upon request, to members of the General 3 Assembly. Each such report shall set forth a complete operating 4 and financial statement of the commission during each year. An 5 audit of the books and accounts of the commission shall be made 6 by the Auditor General, in accordance with the same methods and 7 schedule as apply to State departments. 8 Section 2107. Appropriation. 9 The sum of $40,000,000, or as much thereof as may be 10 necessary, is hereby appropriated to the State Energy Commission 11 for the current fiscal period to carry out the provisions of 12 this act. 13 Section 2108. Repeals. 14 All acts and parts of acts are repealed insofar as they are 15 inconsistent with this act. 16 Section 2109. Sunset. 17 The State Energy Commission shall expire June 30, 1992, and 18 at the end of each ten-year period thereafter, unless extended 19 pursuant to the act of December 22, 1981 (P.L.508, No.142), 20 known as the Sunset Act. 21 Section 2110. Effective date. 22 This act shall take effect in 180 days. L13L71DGS/19890H0352B0387 - 27 -