Signature Sponsor
Final 2024 Legislative Summary

 

 

March 11, 2024 - West Virginian's 2024 Legislation Session came to a quiet end Saturday night with a total of 2,575 individual pieces of legislation introduced and 280 passing both houses.  

It was not a particularly great session for our industry as both priority legislative measures -- HB 4722 and HB 5522 -- failed to make it across the finish line. These two items carried substantial fiscal notes which were held in obeyance with about every other bill with fiscal consequences until a potential $465 million potential “claw back” of federal COVID education funds can be assessed. See the attached news article regarding the claw back confronting the state  https://wvmetronews.com/2024/03/02/465-million-problem-is-whether-west-virginia-made-spending-on-education-enough-of-a-priority/

 

The legislature is planning a special session following the May Primary Election to deal with select legislative matters that carry a substantial cost to state coffers.  

 

In addition to our priority legislation, WVCA also had an interest in and were involved with myriad legislative topics and a host of administrative rules requiring legislative approval delineated below.

 

If you have any questions or need additional information, please reply to this message, or give one of us a call. 

 

Other legislation impacting coal:

 

 

SB 2 (passed) WV DEP Administrative Rules Bill / Legislative Rulemaking Review 

 

This bill is the consolidated WV DEP rule package with 12 separate rules under series 45 CSR 1, related to the state’s Clean Air Act programs.  The changes in all 12 rules were intended to address EPA’s April 2023 disapproval of West Virginia’s 2017 State Implementation Plan and its provisions regarding alternative emission limits during start up, shutdown and malfunction periods.  The EPA-mandated changes were necessary to maintain state primacy over the affected programs.  Attorney General Patrick Morrisey is legally challenging EPA’s disapproval of the SIP on behalf of WV DEP, and during the public comment period on the proposed rules WV DEP added “savings clause” language to each of the 12 separate rule changes that would invalidate the EPA-mandated revisions and return the state rules to original language and meaning should the federal disapproval be overturned in litigation.  SB 2 has passed the Senate and is pending in the House Judiciary Committee.  Copies of the rule changes are available on the Secretary of State’s website under the various rule sections.  The changes to 45 CSR 1 (all 11 of the changes are virtually identical) can be viewed at https://apps.sos.wv.gov/adlaw/csr/readfile.aspx?DocId=56685&Format=PDF 

 

SB 2 completed legislative action on Friday and is awaiting the Governor’s signature. 

 

HB 4086 (passed) Commerce Department (OMHS&T, PEA) Administrative Rules Bill /Legislative Rulemaking Review 

 

This bill contained several rules related to the state’s mine safety program that are also being considered during the session as part of LRRC.  Previously promulgated by the Office of Miners’ Health Safety & Training, these rules include changes to state safety rules governing clearing crews, protective equipment, drug testing, diesel equipment and registration of independent contractors. The text of each induvial rule can be viewed on the Secretary of State’s website under the Administrative Rules index page at https://apps.sos.wv.gov/adlaw/csr/

 

HB 4086 also contains a rule from the West Virginia Public Energy Authority (PEA) has a rule package related to closure of any coal fired electric generating facility.  The bill would codify the PEA’s new rule at 53 CSR 05 that has been operating and in effect as an emergency rule since June of last year.  The rule requires PEA approval of any application to close an electric generating facility within the state.  The rule text is available at https://apps.sos.wv.gov/adlaw/csr/readfile.aspx?DocId=56251&Format=PDF  Senate Bill 609, passed last year granted the PEA the authority to approve generating plant closures and directed the agency to promulgate an emergency rule. 

 

The Commerce Rules bundle completed legislative action on March 1 and is awaiting the Governor’s signature.   

 

HB 4971 (passed) Property Tax Assessments on Critical Minerals Processing Equipment

 

This bill will limit property tax assessments for facilities and equipment used to refine and process critical minerals to the salvage values of that equipment.  The bill is awaiting signature by the Governor. 

 

The bill text is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb4971%20sub.pdf 

 

HB 4292 (did not pass) Penalty for Non-Payment of Mineral Royalties

 

This bill would have imposed penalties on operators for non-payment of mineral royalties.  As originally passed by the House, the bill applied only to conventional oil and gas well operators.  In the Senate, it was amended by the Finance Committee to include coal mining operations:  https://www.wvlegislature.gov/legisdocs/chamber/2024/RS/floor_amends/hb4292%20sfa%20tarr%20_1%203-6.htm

 

The bill was removed from active consideration by the Senate Rules Committee and failed to pass last week. 

 

A copy of the original bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb4292%20intr.pdf

 

HB 5018 (did not pass) Community Air Monitoring Data

 

HB 5018 would have limited the ability of WV DEP to rely on data collected by community air monitoring programs in enforcement actions and the development of regulatory thresholds.  The bill passed the House https://www.wvlegislature.gov/Bill_Status/bills_history.cfm?INPUT=5018&year=2024&sessiontype=RS but was not considered by the Senate’s Energy, Industry and Mining Committee.  A copy of the bill’s text is available at:  https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb5018%20sub.pdf

 

HB 5045 UIC Program / Carbon Sequestration (passed) 

 

This bill involved the administration of the Underground Injection Control (UIC) permitting program by WV DEP and amends that section of code to clarify the relationship of the UIC program to other Clean Water Act regulatory structures such as the Safe Drinking Water Act.  The changes are intended to address concerns raised by the federal Environmental Protection Agency as the seeks state primacy of Class Six  UIC wells for carbon dioxide.  A copy of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb5045%20sub%20enr.pdf

 

The bill completed legislative action and has been signed by Governor Justice.  https://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=5045&year=2024&sessiontype=RS&btype=bill

 

HB 5223 (did not pass) and SB 354 (passed)  Southern Coalfield Revitalization Program 

The bill would create the Revitalization Southern Coalfield Resiliency and Revitalization Council for Boone, Logan, McDowell, Mingo, and Wyoming counties.  The legislation joins together 5 southern counties for purposes of applying for state and federal loan and assistance programs. As amended by the House, the new Council must give priority to utilizing existing natural resource development. The body would work with officials within the coal industry, and the Commerce Department to educate businesses investing or interested in investing in the southern coalfields about access to economic development assistance, including tax credits.  A copy of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb5223%20intr.pdf 

The bill failed to complete Legislative action late on Saturday night.  https://www.wvlegislature.gov/Bill_Status/bills_history.cfm?INPUT=5223&year=2024&sessiontype=RS

A similar bill, SB 354, was considered and passed by both Houses and has since been signed by the Governor.  A copy of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/sb354%20sub1%20enr.pdf 

 SB 615 (did not pass) Limit Legal Actions Against Wholesale Electric Generating Facilities 

 

This bill was advanced to protect intermittent energy development projects from certain types of civil actions unless it was first demonstrated that the facility was in violation of its West Virginia Public Service Commission authorization and siting certificate (the effective date of the provisions excluded the state’s two merchant coal fired power plants). 

 

The bill passed the Senate but was not considered by the House.  https://www.wvlegislature.gov/Bill_Status/bills_history.cfm?INPUT=615&year=2024&sessiontype=RS  A copy of SB 615 is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/sb615%20intr.pdf 

 

HB 4784 (did not pass) Windmill Setback Requirement 

 

This bill would have established minimum distance setbacks for windmills from dwellings and residential property lines.  The bill passed the House but died in the Senate Judiciary Committee.  A copy of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb4784%20sub%20eng.pdf 

 

HB 5280 (did not pass) Short line Railroad Revitalization Act 

 

HB 5280 created a limited tax credit for investments by Class II or Class III railroads in physical plant and infrastructure.  The bill passed the House but was not considered by the Senate.  A similar bill, SB 609, was not advanced by the Senate. 

 

A copy of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb5280%20intr.pdf 

 

HB 5528 (passed) Increasing Increments of Allowable Renewable Generation

 

HB 5528 adjusted the individual incremental limits for intermittent generation sources from 50 MWs per increment to 100 MWs.  The total cap of intermittent sources remained unchanged (200 MWs).  The bill is awaiting a decision from the Governor.  The text of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb5528%20intr.pdf 

 

HB 5013 (passed) Managed Timberland and Carbon Offset / Harvesting Restriction Agreements 

 

Under this legislation, any timber tract that is restricted by virtue of a contract agreement from development and harvesting is excluded from the definition of “managed timberland” for the purposes of property tax valuation and assessments. 

 

A copy of the bill is available at https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/hb5013%20sub.pdf The bill passed both the Senate and House and is pending at the Governor’s office. 

 

SB 618 (did not pass) Registration / Regulation of Carbon Offset Agreements 

 

This bill would have created a registration and regulatory program for landowners using managed timberland for carbon offset agreements and trading credits to be administered by the state Division of Forestry.  The bill was passed by the Senate but was not considered in the House.  A copy of the bill is available at  https://www.wvlegislature.gov/Bill_Text_HTML/2024_SESSIONS/RS/bills/sb618%20sub1%20eng.pdf