February 2, 2024

Oregon Legislative Report

The 2024 Oregon legislature convenes on Monday. A quick primer: 

• The 2024 legislative session is a very quick, 35-day session.  
• By law it must adjourn by EOD Sunday, March 10th.  
• Legislators are limited to 2 bills each, while committees are limited to 3 bills each. 
• In total, we are expecting about 300 bills to be introduced. 
• In total, policy committees have about 12 hours to take public testimony and get all work done in the short session. 
• In our view, the two most important dates are Monday, February 19 – when all bills must be voted out of their original committee in order to survive the session – and Thursday, February 29 – when all bills must be voted out of their second chamber committee.  

You can view the 2024 legislative calendar here. 

• Budget-wise, the 2024 legislature has an enormous amount of additional money at their disposal – over $1.4 billion. While there will be some effort to carry over money into the next biennium to soften a projected shortfall for 2025-27, there are more than enough major initiatives from the Governor’s housing package, Measure 110 reforms, and agency caseload costs to absorb more than $1 billion. 

One final note of major importance: We are expecting all of the 2024 legislation to be made public tonight around 10pm. Your Public Affairs Counsel lobby team will be reviewing all available legislation over the course of Wednesday night and Thursday to vet bills and get them to affected clients. 

If there are areas of opportunity or concern, we will need to mobilize quickly as the legislature has effectively given us 96 hours’ notice on legislation before the 2024 session convenes. We will be reaching out to clients Thursday/Friday with bills we’ve identified.

ODOE Gives Kudos to PPGA and its Members During Recent Ice Storm

Below is an excerpt from a recent Oregon Department of Energy Blog 

Many Oregonians are still recovering from this month’s winter storm, which pummeled communities from the coast to east of the Cascades. Icy conditions caused thousands of power outages across the state. As utility crews responded to outages, some areas saw power restored faster than others. Utilities will often prioritize repairs that will get the highest number of people back online quickly, while some repairs are delayed because of downed trees or other obstacles that prevent line repair. On our blog this month, some of ODOE’s team members shared their experiences and tips for being prepared in case of a power outage.

In addition to electricity outages, other energy sources can experience delays or other issues following weather emergencies. Here at the Oregon Department of Energy, we are the responding agency for liquid fuel emergencies, such as petroleum products like gasoline and diesel, as well as propane for heating. During the January storm, ODOE Emergency Manager Deanna Henry participated in state emergency coordination meetings and worked to respond to several fuels needs, including: 

• Monitoring roads to assess safety for fuel truck travel. 
• Partnering with the Oregon Fuels Association, Pacific Propane Gas Association, and Suburban Propane to deliver 1,000 gallons of propane to power backup generators at the St. Vincent DePaul Egan Warming Center in Eugene. 
• Working with the Oregon Fuels Association and Carson Oil to deliver 500 gallons of fuel to Lane County to support fire operations at the Mohawk Valley Rural Fire District. The diesel also powered a backup generator at the Mohawk High School serving as a warming center.  
• Working with the Pacific Propane Gas Association and AmeriGas to deliver 1,500 gallons of propane to Everyone’s Market in Vida, the only store providing essential services to the eastern Lane County community.   
• Coordinating delivery of 250 gallons of propane from Ferrellgas to a residence to support a family that could not be moved to a warming center due to extenuating health concerns. 

To see the entire blog post click here!

2024 PPGA Dues Collection

The 2024 PPGA membership dues notices have been mailed out. Simply fill out the payment information, make any needed changes to the contact information, and return to us. You are also able to pay dues directly online, if you prefer. We ask that you also review the enclosed contact sheet for your company, make any needed changes and send it to the PPGA. This will assist us in keeping our membership information up to date.

If you have any question or concerns about your 2024 renewal, please feel free to contact Trina Miller in the PPGA office at 517.487.2021 and she will be happy to assist you with you questions.

Register for First Clean Fuel Standard Rulemaking Meetings

The Department of Ecology is hosting two online meetings in late February for the Clean Fuel Standard (CFS) rulemaking, which will align Ecology’s CFS rule with recent state legislation (Engrossed Substitute Senate Bill 5447) promoting the production and use of low-carbon sustainable aviation fuels in Washington. This rulemaking will also consider establishing a third-party verification system, refining the compliance and enforcement process, and making various other revisions to strengthen and streamline the CFS program. 

These meetings are an opportunity to learn about the rulemaking’s scope and objectives, highlight issues of interest and concern, and participate in Q&A with Ecology staff. Public input will help us as we develop key questions and issues for consideration during this rulemaking. Register for our Zoom meetings, February 22, 2024, at 1 PM, or Wednesday, February 28 at 1 PM (both Pacific Time) using the links below. These meetings will cover the same content, so you don’t need to register for both. Registrants will receive a reminder email from Ecology as the meeting date approaches.

These meetings are the first of several that Ecology is hosting during this rulemaking process. Our next public meetings, which are planned for this spring, will focus on gathering feedback on key topics and questions for Ecology to address during the rule development phase. Subsequent meetings will be focused on developing and gathering input on draft rule language. 

If you have questions or comments or would like to set up a meeting with CFS Staff, please contact Adam Saul at adam.saul@ecy.wa.gov or (360) 742-7998. To request live language interpretation, please contact Adam as soon as possible. 

NPGA Monitoring Supreme Court Cases

On January 17, 2024, the U.S. Supreme Court heard arguments in two blockbuster cases (Loper Bright Enterprises, Inc. v. Raimondo and Relentless, Inc. v. Department of Commerce) concerning whether to overturn the case Chevron v. Natural Resources Defense Council, which held that courts should defer to an agency’s reasonable interpretation of an ambiguous statute. This Chevron doctrine gives agencies broad and often effectively unchecked power to interpret Congressional statutes and issue regulations. If Chevron is overturned, the ruling will have broad ripple effects across the federal government and potentially open up new avenues toward challenging federal agency action. NPGA’s legal team will continue to monitor these and other cases challenging agency actions. A decision in Loper and Relentless will likely come at the end of June 2024. Questions? Contact Director of Regulatory Affairs and Associate General Counsel Kate Gaziano. 

Hedrick Weekly: January 22-26

This Legislature Could Use a Cutoff  

The 2024 Washington State Legislative Session is more than a quarter of the way finished. The House of Origin policy cutoff is looming and committees are beginning to shift their focus to marking up bills, drafting amendments, committee votes and advancing legislation. Bills must be voted out of the policy committee in the House of Origin by Wednesday, January 31. Policies with a financial implication for the state will then need to make a quick stop in one of the fiscal committees, with a deadline of February 5 to be voted out of those. The legislative process is a series of hurdles designed to fail ideas more than pass them and many bills will die in the coming weeks either because they are problematic or for sheer lack of time.

Decarbonization on the Fast Track?  

House Bill 1589 by Representative Beth Doglio, (D-22) was passed by the House on a narrow 52-45 vote with 6 Democrats joining all 40 Republicans (one absent) against the measure. A major legislative priority for Governor Inslee this session, the bill prohibits any natural gas utility company that serves more than 500,000 retail natural gas customers from providing natural gas service to any commercial or residential location as of June 30, 2023. The bill only applies to Puget Sound Energy (PSE). The large dual gas and electric utility company developed the bill to get ahead of the curve of the decarbonization movement put in place from the state’s Clean Energy Transformation Act and the Climate Commitment Act. HB 1589 allows PSE to accelerate their portfolio transformation from natural gas to all electric in exchange for the ability to merge rate bases and cross-subsidize pricing among its customers. The bill also grants regulatory assurances of a rate of return to PSE for its qualifying non-carbon power purchase agreements. Opponents of the bill argue the bill gives PSE a profit center on each contract it enters into with no benefit to customers and undermines the premise of competition. 

HB 1589 is being fast-tracked in the Senate and already scheduled for a public committee hearing next Wednesday before the Senate Committee on Environment, Energy & Technology. Last year HB 1589 died after a hard fought amendment process and near-partisan vote before dying in the Senate Rules Committee. The bill will continue to be controversial as Republicans and moderate-Democrats continue to oppose the bill supported by progressive Democrats.  

Additional Legislation 

The PPGA is engaged in a slew of additional bills making their way through the legislative process. 

Environment & Energy (House) - HHR C and Virtual JLOB - 1/29 @ 1:30pm 

• HB 2401 - Exec Session - Providing for the responsible management of refrigerant gases with a higher global warming potential than carbon dioxide that are used in appliances or other infrastructure. 

Environment, Energy & Technology (Senate) - SHR 1 and Virtual J.A. Cherberg - 1/30 @ 1:30pm 

• SB 6052 - Exec Session - Concerning petroleum products supply and pricing. 

• SB 6092 - Exec Session - Concerning disclosure of greenhouse gas emissions. 

Environment & Energy (House) - HHR C and Virtual JLOB - 1/30 @ 4:00pm 

• HB 2051 - Exec Session - Reducing emissions from small off-road engines.  

Agriculture and Natural Resources (House) - HHR B and Virtual JLOB - 1/31 @ 8:00am 

• HB 1574 - Exec Session - Supporting Washington agriculture by capturing methane and reducing greenhouse gas emissions. Expands the scope of permissible uses of grant funds in the Sustainable Farms and Fields Program to include practices that increase carbon sequestration and reduce greenhouse gas emissions. Establishes an advisory committee to inform the agricultural community about opportunities to participate in various carbon emissions reduction programs and to guide grant awards.  

The Initiatives  

Turning to the Initiatives to the Legislature hanging over the head of majority Democrats, the anti-capital gains Initiative to the Legislature, Initiative-2109 was certified by Secretary of State Steve Hobbs on Tuesday. And in related news, HB 2459 by Representative Mia Gregerson (D-33) was heard later in the House State Government and Tribal Relations committee. Under the bill, a ballot alternative would receive a public investment impact disclosure to describe the investments that would be maintained if the alternative is adopted instead of the initiative to the legislature. 

Cutoff Dates

January 31 - Policy Committee Cutoff  

February 5 - Fiscal Committee Cutoff  

February 13 - House of Origin Cutoff  

February 21 - Opposite House Policy Committee Cutoff  

February 26 - Opposite House Fiscal Committee Cutoff  

March 1 - Floor Cutoff  

March 7 - Last day of Regular Session 

Clean School Bus Rebate Program Deadline Extended

The EPA extended the deadline for applications for the 2023 Clean School Bus Rebates Program. Applications are now due February 14 at 4PM ET. 

$500 million dollars in funding is available through the Clean School Bus Rebates Program which aims to incentivize and accelerate the replacement of existing school buses with clean school buses, including propane buses. Propane buses are eligible for up to $35,000 per bus. 

Applications will be accepted from state and local governmental entities that provide bus service. School bus dealers, original equipment manufacturers (OEMs), school bus service providers, and private school bus fleets that meet specified criteria are eligible contractors. 

The 2023 Clean School Bus (CSB) Rebates process includes SAM.gov account registration, rebate application submission, and review and selection by EPA. Selectees will then submit purchase orders to request payment and then receive payment, which is followed by new bus delivery, existing bus replacement, and project close out. The program guidance and application process differ from prior EPA school bus rebate programs. View the summary of program requirements and the detailed Program Guide. 

Questions? Consult your NPGA member dashboard for an FAQ about the rebate program, a template letter to send to eligible entities, or contact NPGA Director of Regulatory Affairs Kate Gaziano.

Advertise with PPGA in 2024!

PPGA is accepting ad placements for 2024 in its magazine, The Propane Post.

The Propane Post is a digital publication emailed quarterly to all independent marketer, multistate marketer, associate, individual and honorary members of the association. The publication reaches the desks of nearly 450 propane professionals across the states of Alaska, Hawaii, Oregon, and Washington. The publication has a 42% open rate and an 8% click through rate, on average. In addition, all ads are hyperlinked to the advertiser’s website and an issue archive is included on the PPGA website.

Tap into this highly engaged market today!

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