PRINTER'S NO. 1956

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1565

Session of

2021

INTRODUCED BY HERRIN, SHUSTERMAN, SCHLOSSBERG, HILL-EVANS,

OTTEN, SANCHEZ, ISAACSON, WEBSTER, N. NELSON, DALEY,

HOHENSTEIN, D. WILLIAMS, FRANKEL, HANBIDGE, INNAMORATO, RABB,

entitled "An act to provide for the better protection of the

health, general welfare and property of the people of the

Commonwealth by the control, abatement, reduction and

prevention of the pollution of the air by smokes, dusts,

fumes, gases, odors, mists, vapors, pollens and similar

matter, or any combination thereof; imposing certain powers

and duties on the Department of Environmental Resources, the

Environmental Quality Board and the Environmental Hearing

Board; establishing procedures for the protection of health

and public safety during emergency conditions; creating a

providing for the power to enjoin violations of this act; and

conferring upon persons aggrieved certain rights and

remedies," further providing for definitions, for fees and

for disposition of fees, fines and civil penalties,

providing for disposition of auction proceeds from CO2 Budget

Trading Program, for clean air fund accounts, for the Energy

Communities Trust Fund and for Environmental Justice

Communities Trust Fund.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

section:

* * *

"CO2 Budget Trading Program." The regulatory program

established under 25 Pa. Code (relating to Environmental

Protection).

* * *

"Environmental justice community." A census block group in

which minorities represent at least thirty per centum (30%) of

the population or in which at least twenty per centum (20%) of

the residents are at or below the Federal poverty level

(k) [No] Except as provided under section 9.4, no

administrative action shall prevent the deposit of the fees

established pursuant to this section in the Clean Air Fund

established in section 9.2 during the fiscal year in which they

are collected. The fees shall only be used for the purposes

authorized in this section and [section 9.2] sections 9.2 and

9.4 and shall not be transferred or diverted to any other

purpose by administrative action.

Penalties.--(a) Except as provided under subsection (a.1) and

section 9.4, all fines, civil penalties and fees collected under

this act shall be paid into the Treasury of the Commonwealth in

a special fund known as the Clean Air Fund, hereby established,

which, along with interest earned, shall be administered by the

department for use in the elimination of air pollution. The

department may establish such separate accounts as may be

necessary or appropriate to implement the requirements of this

act and the Clean Air Act. The board shall adopt rules and

regulations for the management and use of the money in the fund.

Section 3. The act is amended by adding sections to read:

established under section 9.6, one-third of which shall be used

to support projects in environmental justice communities.

(2) Twelve and a half per centum (12.5%) of revenue shall be

deposited into the Environmental Justice Communities Trust Fund

established under section 9.7.

(3) Forty-six per centum (46%) of the revenue shall be

(ii) Forty-four per centum (44%) of revenue shall be

deposited into the Commercial and Industrial Energy Efficiency

Account established under section 9.5.

(4) Four per centum (4%) of revenue shall be deposited in

the Clean Air Fund established under section 9.2(a) to

administer this section and sections 9.5, 9.6 and 9.7 and for

the purposes in section 9.2(a).

(b) Revenue from the sale of CO2 allowances may not be

disbursed except as provided under this section.

Section 9.5. Clean Air Fund Accounts.

for:

(1) cost-effective carbon capture utilization and storage;

(2) abandoned oil and gas well plugging;

(3) energy efficiency;

(4) mass transit and electric vehicle transportation;

(4) agricultural conservation;

(5) forest stewardship;

(6) clean and renewable energy investments, including, but

Commercial and Industrial Energy Efficiency Account may be used

for grant programs to support projects that eliminate air

pollution, including, but not limited to, projects for:

(1) process electrification;

(2) fuel switching;

(3) combined heat and power;

(4) demand response and reduction;

(5) energy efficiency;

(6) cost-effective carbon capture utilization and storage;

and

(a) The Energy Communities Trust Fund is established as a

special non-lapsing fund in the State Treasury for energy

community projects. All interest earned from the investment or

deposit of money accumulated in the Energy Communities Trust

Fund shall be deposited in the fund for the same use. All money

deposited into the Energy Communities Trust Fund shall be held

in trust, shall not be considered general revenue of the

Commonwealth, shall be used only to effectuate the purposes of

plants and other energy facilities, including, but not limited

to, the following:

(1) programs for workforce development and worker training;

(2) supplemental unemployment compensation for displaced

energy workers;

(3) funding to school districts or municipalities due to the

economic impact or loss in tax revenue from the closure of an

energy facility after the effective date of this section;

(4) economic development projects; and

(5) environmental cleanup projects, including projects to

the following members:

(i) The Governor or a designee, who must be designated in

writing prior to service.

(ii) The Secretary of Community and Economic Development or

a designee, who must be an employee of the Department of

Community and Economic Development and designated in writing

prior to service.

(iii) The Secretary of Environmental Protection or a

Senate.

(vi) One member appointed by the Minority Leader of the

Senate.

(vii) One member appointed by the Speaker of the House of

Representatives.

(viii) One member appointed by the Minority Leader of the

House of Representatives.

(ix) Five members appointed by the Governor as follows:

(A) Four members must be chosen from a list of candidates

nominated by the President of the Pennsylvania AFL-CIO, one of

that any person appointed to fill a vacancy shall serve only for

the unexpired term. Every member's term shall extend until the

member's successor is appointed and qualified. An appointed

member of the Energy Communities Trust Fund Board shall be

eligible for reappointment.

(3) The board shall hold its first meeting within ninety

(90) days of the effective date of this paragraph.

(4) The members of the Energy Communities Trust Fund Board

for the holding of regular and special meetings at least

biannually at the call of the chair. Seven members attending

shall constitute a quorum for the transaction of any business

and a majority of the members present shall be required to adopt

any action.

(6) (i) The Energy Communities Trust Fund Board has the

power and duty, including, but not limited to :

(A) Adopt bylaws.

(B) Make, execute and deliver contracts and grant

agreements.

(D) Administer and award Energy Communities Trust Fund

grants to eligible energy community projects and monitor the

expenditure of money in the trust fund established under this

section.

(E) Perform other operational activities necessary or

appropriate to further the purpose of this section.

(F) Submit an annual report to the General Assembly

detailing grant programs, activities and outcomes.

Right-to-Know Law.

(ii) The act of July 19, 1957 (P.L.1017, No.451), known as

the State Adverse Interest Act.

(iii) The provisions of 65 Pa.C.S. Chs. 7 (relating to open

meetings) and 11 (relating to ethics standards and financial

disclosure).

Section 9.7. Environmental Justice Communities Trust Fund.

(a) The Environmental Justice Communities Trust Fund is

established as a special non-lapsing fund in the State Treasury

for environmental justice projects. All interest earned from the

Fund Board and shall be subject to audit by the Auditor General.

(b) The Environmental Justice Communities Trust Fund may be

used for projects within environmental justice communities,

including, but not limited to, any of the following:

(1) environmental cleanup projects, including projects to

benefit water quality and air quality;

(2) recreation;

(3) economic development projects;