AN ACT CONCERNING THE EFFECT OF OFFSHORE WIND FACILITIES ON STATE FISHERIES.
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SB 383 — AN ACT CONCERNING THE EFFECT OF OFFSHORE WIND FACILITIES ON STATE FISHERIES.
Last action — FILE NO. 349
No card. One bill, free forever — alerts when it moves.
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✓Introduced
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2In Committee
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3Passed Senate
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4Passed House
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5To Executive
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6Enacted
This bill died with 2024 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.
Bill Text
What changed in the latest version
182 added · 14 removed182 line(s) added, 14 removed.
Senate General Assembly SubstituteFile Bill No.
383349 February Session, 2024 ANSubstitute ACTSenate CONCERNINGBill THENo. EFFECT OF OFFSHORE WIND FACILITIES ON STATE FISHERIES.
383 Senate, April 9, 2024 The Committee on Energy and Technology reported through SEN.
NEEDLEMAN of the 33rd Dist., Chairperson of the Committee on the part of the Senate, that the substitute bill ought to pass.
AN ACT CONCERNING THE EFFECT OF OFFSHORE WIND FACILITIES ON STATE FISHERIES.
(a) (1) The Commissioner of Energy and Environmental Protection, in consultation with the procurement manager identified in subsection (l) of section 16-2, the Office of Consumer Counsel and the Attorney General, may, in coordination with other states in the control area of the regional independent system operator, as defined in section 16-1, in coordination with states in a neighboring control area or on behalf of Connecticut alone, solicit proposals, in one solicitation or multiple solicitations, from providers of energy derived from offshore wind facilities that are Class I renewable energy sources, as defined in section 16-1, and any associated transmission, provided the commissioner shall initiatesSB383 a/ solicitationFile notNo. later than fourteen days after the effective date of this section for projects that have a total nameplate capacity rating of up to two thousand megawatts in the aggregate.
Any349 such solicitation or solicitations issued pursuant to this section on and after January 1, 2020, shall be for quantities of energy and within the timing and schedule determined by the commissioner, and may be informed by the Integrated Resources Plan prepared on or before January 1, 2020, LCO 1 ofsSB383 6File Substitute Bill No.
383349 pursuantinitiate toa subsectionssolicitation (b)not andlater (j)than offourteen sectiondays 16a-3a,after providedthe sucheffective scheduledate shallof providethis section for theprojects solicitationthat ofhave resources with a total nameplate capacity rating of up to two thousand megawatts in the aggregateaggregate. by December 31, 2030.
Any such solicitation or solicitations issued pursuant to this section on and after January 1, 2020, shall be for quantities of energy and within the timing and schedule determined by the commissioner, and may be informed by the Integrated Resources Plan prepared on or before January 1, 2020, pursuant to subsections (b) and (j) of section 16a-3a, provided such schedule shall provide for the solicitation of resources with a nameplate capacity rating of two thousand megawatts in the aggregate by December 31, 2030.
(B)Anyprovidersofenergyderivedfromoffshorewindfacilitiesthat submit bids selected pursuant to subsection (b) of this section on or after July 1, 2024, shall make an initial payment of two million dollars intothe mitigation fund established pursuant to this subdivision not later than thesSB383 date/ suchFile providersNo. first enter into any power purchase agreement pursuant to subsection (c) of this section.
349 2 sSB383 File No.
349 the date such providers first enter into any power purchase agreement pursuant to subsection (c) of this section.
The amount of such payments shall be determined by the mitigation fund manager selected pursuant to subparagraph (D) of this LCOsubdivision 2and ofshall 6be Substituteapproved Billby No.the Public Utilities Regulatory Authority pursuant to subparagraph (E) of this subdivision.
383 subdivision and shall be approved by the Public Utilities Regulatory Authority pursuant to subparagraph (E) of this subdivision.
The committee shall oversee the mitigation fund manager selected pursuant to subparagraph (D) of this subdivision and shall develop the duties and qualifications of such mitigationfundmanager.Suchqualificationsshallinclude,butmitigationfundmanager.Suchqualificationsshallinclude, needbut notneednot be limited to, having:
(IV) asSB383 general/ knowledgeFile ofNo. the offshore wind energy industry;
349 3 sSB383 File No.
349 a general knowledge of the offshore wind energy industry;
The LCOrequest 3for proposals shall describe the qualifications and duties for the position developed by the Offshore Wind Energy Mitigation Fund Oversight Committee pursuant to subparagraph (C) of 6this Substitutesubdivision Billand No.shall describe and specify the oversight relationship between said committee and the mitigation fund manager.
383 request for proposals shall describe the qualifications and duties for the position developed by the Offshore Wind Energy Mitigation Fund Oversight Committee pursuant to subparagraph (C) of this subdivision and shall describe and specify the oversight relationship between said committee and the mitigation fund manager.
(G)sSB383 The/ mitigationFile fundNo. manager selected pursuant to subparagraph (D) of this subdivision shall be subject to audit by the Auditors of Public Accounts in accordance with the provisions of section 2-90.
[(3)]349 (4) (A) In responding to any solicitations issued pursuant to this section,a bidder shallincludeanenvironmentalandfisheriesmitigation LCO 4 ofsSB383 6File Substitute Bill No.
383349 plan(G) forThe themitigation constructionfund andmanager operationselected ofpursuant suchto offshoresubparagraph wind(D) facilities,of providedthis suchsubdivision plan shall include, but not be limitedsubject to,to anaudit explicitby description of the bestAuditors managementof practicesPublic theAccounts bidderin willaccordance employwith that are informed by the latestprovisions scienceof atsection the2-90. time the proposal is made that will avoid, minimize and mitigate any impacts to wildlife, natural resources, ecosystems and traditional or existing water-dependent uses, including, but not limited to, commercial fishing.
[(3)] (4) (A) In responding to any solicitations issued pursuant to this section,a bidder shallincludeanenvironmentalandfisheriesmitigation plan for the construction and operation of such offshore wind facilities, provided such plan shall include, but not be limited to, an explicit description of the best management practices the bidder will employ that are informed by the latest science at the time the proposal is made that will avoid, minimize and mitigate any impacts to wildlife, natural resources, ecosystems and traditional or existing water-dependent uses, including, but not limited to, commercial fishing.
[(4)] (5) For each solicitation issued pursuant to this section, the commissioner shall establish a commission on environmental standards to provide input on best practices for avoiding, minimizing and mitigating any impacts to wildlife, natural resources, ecosystems and traditional or existing water-dependent uses, including, but not limited to, commercial fishing, during the construction and operation of facilitiessSB383 eligible/ pursuantFile toNo. this section.
349 5 sSB383 File No.
349 facilities eligible pursuant to this section.
Section 1 July 1, 2024 16a-3n(a) LCOStatement 5 of 6Legislative SubstituteCommissioners: Bill No.
383 Statement of Legislative Commissioners:
-LCO LCOsSB383 6/ ofFile 6No.
349 6 sSB383 File No.
349 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.
In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.
Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.
OFA Fiscal Note State Impact:
Agency Affected Fund-Effect FY 25 $ Department of Administrative Services GF - Cost less than 25,000 Note:
GF=General Fund Municipal Impact:
None Explanation This bill requires selected bidders in the state's Offshore wind projects to provide funding to the Offshore Wind Mitigation Fund, and results in a cost to the state of less than $25,000 in FY 25 to the Department of Administrative Services (DAS).
The bill requires DAS and the member agencies of the oversight committee to develop, issue, and process the request for proposal (RFP) foramitigationfundmanager.
Thisisestimatedtocostlessthan$25,000 beginning in FY 25.
Show all 111 changed lines (71 more)
In addition, the bill imposes a cost of $2 million on selected offshore wind providers projects as an initial deposit and an additional cost per kWh produced into the Offshore Wind Mitigation Fund.
The latter cost is to be paid by both the energy distributor and energy transmitter and doesn’t result in a cost to the state.
The fund's oversight committee is to hire a manager for the funding to make distributions as necessary.
It is anticipated that these costs will be paid for by the fund The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.
sSB383 / File No.
349 7 sSB383 File No.
349 OLR Bill Analysis SB 383 AN ACT CONCERNING THE EFFECT OF OFFSHORE WIND FACILITIES ON STATE FISHERIES.
SUMMARY This bill requires bidders selected in the Department of Energy and Environmental Protection’s (DEEP) offshore wind solicitation (see BACKGROUND) to make payments into a fund to mitigate adverse effectsto wildlife,fisheries,andany other aspectsofthefishing industry due to the bidder’s activities connected with offshore wind facility development and operation.
(The bill does not explicitly establish or define the fund.) Under the bill, DEEP must include requirements for contract commitments in selected bids to make these payments.
This applies to bids submitted starting July 1, 2024, and includes (1) an initial $2 million payment, due on the date energy providers for the selected bid enter into a power purchase agreement (PPA) and (2) a payment for each kilowatt hour of electricity the facility generates, jointly paid by the energy provider andthe associatedtransmissionprovider,for thePPA’s duration.
The bill requires the Department of Administrative Services (DAS) commissioner to issue a request for proposals (RFP) to hire an independent contractor to serve as mitigation fund manager.
It also creates an Offshore Wind Energy Mitigation Fund Oversight Committee to oversee and develop qualifications and duties for the mitigation fund manager.
The bill requires the mitigation fund manager to make distributions from the fund to any entity harmed by the adverse consequences to wildlife, fisheries, and the fishing industry.
It subjects the fund manager sSB383 / File No.
349 8 sSB383 File No.
349 to audits by the State Auditor of Public Accounts.
EFFECTIVE DATE:
July 1, 2024 PAYMENTS INTO THE FUND Starting July 1, 2024, the bill requires DEEP to include in its offshore wind solicitations requirements for contract commitments in selected bids that selected bidders, including transmission providers, make payments into a mitigation fund.
For selected bids, the bill requires offshore wind energy providers to make a $2 million initial payment into the mitigation fund, due on the date energy providers for the selected bid enter into a PPA.
Then, these providers and associated transmission providers must make joint payments into the fund for each kilowatt hour of electricity generated by the offshore wind facility, in an amount the mitigation fund manager determines (see below) and the Public Utilities Regulatory Authority (PURA) approves.
MITIGATION FUND MANAGER Hiring and Qualifications The bill requires the DAS commissioner to (1) issue an RFP by October 1, 2024, to hire an independent contractor to serve as the mitigation fund manager and (2) set deadlines for proposal submission and selection, as long as the commissioner selects the fund manager before the first payment into the fund is due.
Under the bill, the RFP must describe the (1) fund manager’s qualifications and duties, that the Offshore Wind Mitigation Fund Oversight Committee develops (see below) and (2) oversight relationship between the oversight committee and the fund manager.
The bill allows the DAS commissioner to require that the fund manager be a nonprofit organization.
In addition to any qualifications the oversight committee develops, the fund manager must have:
sSB383 / File No.
349 9 sSB383 File No.
349 1.
knowledge of offshore fishing and fishing rules and regulations, 2.
wildlife expertise, 3.
general knowledge of the offshore wind energy industry, 4.
financial fund management experience, and 5.
the ability to manage claims.
Duties The bill requires the mitigation fund manager to determine the:
1.
anticipated fund distributions;
2.
payment per kilowatt hour amount sufficient to meet anticipated distributions, subject to PURA’s review and approval;
3.
collection method for the kilowatt hour payment;
and 4.
manner of distributing funds.
The bill allows the fund manager to make distributions fromthe fund to any person or entity harmed by the adverse effects to wildlife, fisheries, and any other aspects of the fishing industry from activities related to the offshore wind facility’s development and operations, as determined by the fund manager.
OFFSHORE WIND MITIGATION FUND OVERSIGHT COMMITTEE The bill establishes the Offshore Wind Mitigation Oversight Committee and requires it to oversee and develop duties and qualifications for the mitigation fund manager.
The oversight committee is an independent body, within the Office of Policy and Management (OPM) for administrative purposes only.
It has the following eight members:
1.
DEEP’sWildlife DivisionandFisheriesDivisiondirectorsortheir designees;
2.
a Commission on Environmental Standards member, appointed sSB383 / File No.
349 10 sSB383 File No.
349 by the DEEP commissioner (see BACKGROUND);
3.
the OPM secretary or his designee;
4.
an offshore wind facility energy provider representative, appointed by the House speaker;
5.
an electric transmission company representative, appointed by the Senate president pro tempore;
6.
a fishing industry representative, appointed by the House minority leader;
and 7.
a nonprofit wildlife protection advocacy organization representative, appointed by the Senate minority leader.
BACKGROUND Related Bill sSB 385, favorably reported by the Energy and Technology Committee, extends the maximum term, from 20 to 30 years, for agreements selected under this offshore wind solicitation.
DEEP’s Offshore Wind Solicitation Existing law authorizes DEEP to solicit proposals from offshore wind providers and transmission providers (for transmission associated with offshore wind projects).
Specifically, DEEP must solicit proposals for up to 2,000 megawatts in the aggregate by December 31, 2030.
For each solicitation DEEP conducts, the department must establish a Commission on Environmental Standards to give input on best practices to avoid, minimize, or mitigate impacts to wildlife, ecosystems, and commercial fishing, among other things.
In their bids, bidders must include an environmental and fisheries maintenance plan for the facility’s construction and operation.
For selected projects, the law authorizes DEEP to direct the electric distribution companies (i.e., Eversource and United Illuminating) to enter into PPAs for energy, capacity, and associated transmission for contracts of up to 20 years, subject to PURA’s review and approval.
sSB383 / File No.
349 11 sSB383 File No.
349 COMMITTEE ACTION Energy and Technology Committee Joint Favorable Yea 20 Nay 0 (03/21/2024) sSB383 / File No.
349 12
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Action History
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FILE NO. 349
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SENATE CALENDAR NUMBER 234
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FAV. RPT., TAB. FOR CAL., SEN.
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RPTD. OUT OF LCO
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REFERRED TO Office of Legislative Research AND Office of Fiscal Analysis 04/08/24
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FILED WITH LCO
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Joint Favorable
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PUBLIC HEARING 0314
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REF. TO JOINT COMM. ON Energy and Technology
Sponsors
- Aundre Bumgardner · Primary
- Devin R. Carney · Primary
- Heather S. Somers · Primary
Sponsorship breakdown
Export CSV (upgrade) →3 sponsors · 0 co-sponsors · 184 not signed on
Sponsors (3)
- Aundre Bumgardner Democratic
- Devin R. Carney Republican
- Heather S. Somers Republican
Co-sponsors (0)
None.
Not signed on (184)
184 members have not signed on to this bill.
Show all 184 →"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.
Subjects
Frequently asked questions
- Who sponsors SB 383?
- SB 383 is sponsored by Aundre Bumgardner (Democratic), Devin R. Carney (Republican), and Heather S. Somers (Republican).
- What is the current status of SB 383?
- This bill died with 2024 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
- Where can I track SB 383?
- Track SB 383 free on One Click Politics — get push/email alerts when it moves.
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