Bill Text: OR SB606 | 2013 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to wave energy; and declaring an emergency.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2013-06-13 - Effective date, June 6, 2013. [SB606 Detail]

Download: Oregon-2013-SB606-Introduced.html

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     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 2856

                         Senate Bill 606

Sponsored by Senator ROBLAN

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Requires owners and operators of wave energy facilities and
devices to remove equipment related to wave energy facilities and
devices within certain period.
  Requires Department of State Lands to remove equipment within
certain period if owner or operator fails to remove equipment.
  Requires department to pay certain compensation to commercial
fishermen.
  Requires department to establish program by rule to provide
certain compensation to commercial fishermen.
  Establishes Wave Energy Fund. Continuously appropriates moneys
in fund to department. Specifies uses of moneys.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to wave energy; creating new provisions; amending ORS
  274.867, 274.990, 274.992 and 274.994; appropriating money; and
  declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 274.867 is amended to read:
  274.867. (1) In accordance with applicable provisions of ORS
chapter 183, the Director of the Department of State Lands may
adopt rules for the authorization of wave energy facilities or
devices.
  (2)   { - Unless exempted under rules adopted by the director
under this section, - }  An owner or operator of a facility or
device sited within Oregon's territorial sea, as defined in ORS
196.405, that converts the kinetic energy of waves into
electricity shall maintain cost estimates of the amount of
financial assurance that is necessary, and demonstrate evidence
of financial assurance, for:
  (a) The costs of closure and post-closure maintenance,
excluding the removal of anchors that lie beneath submerged lands
in Oregon's territorial sea, of the facility or device; and
  (b) Any corrective action required to be taken at the site of
the facility or device.
  (3) The financial assurance requirements established by
subsection (2) of this section may be satisfied by any one or a
combination of the following:
  (a) Insurance;
  (b) Establishment of a trust fund;
  (c) A surety bond;
  (d) A letter of credit;
  (e) Qualification as a self-insurer; or
  (f) Any other method set forth in rules adopted by the
director.
  (4) In adopting rules to implement the provisions of this
section, the director may specify policy or other contractual
terms, conditions or defenses necessary to establish evidence of
financial assurance.
  (5)(a) The owner or operator of a facility or device described
in subsection (2) of this section must provide the evidence of
financial assurance required under this section for closure,
post-closure maintenance and corrective action at the time
operation of the facility or device is authorized.
  (b) By January 31 of each subsequent calendar year, the owner
or operator of the facility or device must update the information
required under this subsection with the Department of State
Lands.
  (6) When financial assurance is required for corrective action
at the site of a facility or device described in subsection (2)
of this section, the owner or operator shall provide evidence of
financial assurance before beginning corrective action.
  (7) An owner or operator required to provide financial
assurance under this section shall establish provisions
satisfactory to the director for disposing of any excess moneys
received or interest earned on moneys received for financial
assurance.
   { +  (8)(a) An owner or operator of a facility or device sited
within Oregon's territorial sea, as defined in ORS 196.405, that
converts the kinetic energy of waves into electricity must remove
all equipment related to that facility or device, excluding
anchors that lie beneath submerged lands in Oregon's territorial
sea, within six months of the cessation of use of that facility
or device for the conversion of the kinetic energy of waves into
electricity.
  (b) Upon a violation of paragraph (a) of this subsection, the
department must remove all equipment related to that facility or
device, excluding anchors that lie beneath submerged lands in
Oregon's territorial sea, within one year of the failure of the
owner or operator to comply with paragraph (a) of this
subsection.  The department may seek any available financial
remedies for a violation of paragraph (a) of this subsection,
including but not limited to drawing upon financial assurance
provided under this section, a civil action for damages or civil
penalties under ORS 274.992. + }
  SECTION 2.  { + The Department of State Lands shall establish
by rule a program to compensate holders of commercial fishing
licenses under ORS 508.235 for damages incurred due to equipment
that is not removed as required by ORS 274.867. Under the program
established under this section, the department must pay
mitigation compensation to holders of commercial fishing licenses
under ORS 508.235 that reflects the estimated damages resulting
from the continuing loss of fishing grounds due to the failure to
remove equipment under ORS 274.867. + }
  SECTION 3. ORS 274.990 is amended to read:
  274.990. Violation of ORS 274.745 { + , 274.867 + } or 274.895,
or any rule promulgated under such sections, is a misdemeanor.
  SECTION 4. ORS 274.992 is amended to read:
  274.992. (1) Any person who violates any provision of ORS
274.040  { + or 274.867, + }   { - or - }  any rule, order or
lease adopted or issued under ORS 274.040 { +  or any rule
adopted under ORS 274.867, + } shall be subject to a civil
penalty in an amount to be determined by the Director of the
Department of State Lands of not more than $1,000 per day of
violation.
  (2) Civil penalties under this section shall be imposed in the
manner provided in ORS 183.745.
  (3) The provisions of this section are in addition to and not
in lieu of any other penalty or sanction provided by law.
  (4) Any civil penalty recovered under this section { +  for
violation of ORS 274.040, or any rule, order or lease adopted or
issued under ORS 274.040, + } shall be deposited in the Common
School Fund for use by the Department of State Lands in
administration of ORS 274.040 and as otherwise required by law.
   { +  (5) Any civil penalty recovered under this section for
violation of ORS 274.867, or any rule adopted under ORS 274.867,
shall be deposited in the Wave Energy Fund. + }
  SECTION 5. ORS 274.994 is amended to read:
  274.994. (1) The Director of the Department of State Lands
shall adopt by rule the amount of civil penalty that may be
imposed for a particular violation of ORS 274.040  { + or
274.867 + }.
  (2) In imposing a penalty under the schedule adopted under
subsection (1) of this section, the director shall consider the
following factors:
  (a) The past history of the person incurring a penalty in
taking all feasible steps or procedures necessary or appropriate
to correct any violation.
  (b) Any prior violations of statutes, rules, orders and leases
pertaining to submerged and submersible lands.
  (c) The impact of the violation on public interests in fishery,
navigation and recreation.
  (d) Any other factors determined by the director to be relevant
and consistent with the policy of ORS 274.040 { +  or
274.867 + }.
  (3) The penalty imposed under this section may be remitted or
mitigated upon such terms and conditions as the director
determines to be proper and consistent with the policy of ORS
274.040 { +  or 274.867 + }. Upon the request of the person
incurring the penalty, the director shall consider evidence of
the economic and financial condition of the person in determining
whether a penalty shall be remitted or mitigated.
  SECTION 6.  { + (1) The Wave Energy Fund is established in the
State Treasury, separate and distinct from the General Fund.
Interest earned by the Wave Energy Fund shall be credited to the
fund. Moneys in the fund are continuously appropriated to the
Department of State Lands to carry out the provisions of ORS
274.867 and section 2 of this 2013 Act.
  (2) The department may accept grants, donations, contributions
or gifts from any source for deposit in the Wave Energy Fund.
  (3) The Wave Energy Fund shall consist of:
  (a) Moneys accepted by the department pursuant to subsection
(2) of this section.
  (b) Penalties specified in ORS 274.992. + }
  SECTION 7.  { + The amendments to ORS 274.867 by section 1 of
this 2013 Act apply to all authorizations for wave energy
facilities and devices issued on or after the effective date of
this 2013 Act. + }
  SECTION 8.  { + This 2013 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2013 Act takes effect on its
passage. + }
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