2018 -- H 7827

========

LC004718

========

     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2018

____________

A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- RHODE ISLAND GLOBAL

WARMING SOLUTIONS ACT

     Introduced By: Representatives Handy, Regunberg, McKiernan, Barros, and Williams

     Date Introduced: February 28, 2018

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Title 42 of the General Laws entitled "STATE AFFAIRS AND

GOVERNMENT" is hereby amended by adding thereto the following chapter:

CHAPTER 6.3

RHODE ISLAND GLOBAL WARMING SOLUTIONS ACT

     42-6.3-1. Legislative findings.

     The general assembly hereby finds and declares that:

     (1) Human caused climate change poses a serious threat to the people of Rhode Island,

the United States, and the world;

     (2) Climate change is both caused and exacerbated by carbon emissions that result from

human activity;

     (3) It is in the interest of the people, in order to protect the public health, preserve the

environment, and promote the general welfare, that the state reduce economy-wide carbon

emissions in order to address the problem of climate change.

     42-6.3-2. Purpose and title.

     (a) This act shall be known and may be cited as the "Rhode Island Global Warming

Solutions Act."

     (b) The purpose of this chapter is to create a fair, workable, cost-effective, legally

enforceable, system by which Rhode Island will be able to reduce its economy-wide carbon

emissions by at least eighty percent (80%) below 1990 levels by 2050.

     42-6.3-3. Definitions.

     When used in this chapter:

     (1) "1990 level" means twelve million four hundred eighty million (12,480,000) metric

tons of carbon dioxide equivalent emissions per annum, as set forth in the Rhode Island

greenhouse gas emission reduction plan published by the executive climate change coordinating

council's December 2016 report.

     (2) "Alternative compliance mechanism" means an action undertaken by a greenhouse

gas emission source that achieves the carbon dioxide equivalent reduction of greenhouse gas

emissions over the same time period as a direct emissions reduction, that is approved in advance

by the director of the department of administration and that is real, permanent, quantifiable,

verifiable and enforceable.

     (3) "Buildings" or "Building sector" means all buildings and structures, including,

without limitation, single-family residences, multi-family residences, small business and

commercial structures, large commercial and industrial structures, factories of all types,

transportation depots and stations, and office buildings.

     (4) "Carbon dioxide equivalent" means the amount of carbon dioxide by weight that

would produce the same global warming impact as a given weight of another greenhouse gas,

based on the best available science, including from the intergovernmental panel on climate

change.

     (5) "Delivered fuels" means oil and propane gas used for heating of buildings.

     (6) "Direct electricity emissions" means emissions from electricity generating sources

geographically located in the state of Rhode Island.

     (7) "Emission" means emission of a greenhouse gas into the air.

     (8) "Emissions reduction measures" means programs, measures, standards, and

alternative compliance mechanisms authorized pursuant to this chapter, applicable to sources or

categories of sources that are designed to reduce emissions of greenhouse gases.

     (9) "Enforceable" means subject to enforcement through a legal action brought pursuant

to § 42-6.3-10.

     (10) "Entity" means a person that owns or operates, in whole or in part, a source of

greenhouse gas emissions from a generator of electricity or a commercial or industrial site

including, but not limited to, a transportation fleet.

     (11) "Facility" means a building, structure or installation located on contiguous or

adjacent properties of an entity.

LC004718 - Page 2 of 21

     (12) "Greenhouse gas" means any chemical or physical substance that is emitted into the

air and that the director of the department of administration may reasonably anticipate will cause

or contribute to climate change including, but not limited to, carbon dioxide, methane, nitrous

oxide, hydrofluorocarbons, perfluorocarbons and sulfur hexafluoride.

     (13) "Greenhouse gas emissions source" means a source, or category of sources, of

greenhouse gas emissions with emissions that are at a level of significance, as determined by the

director of the department of administration, that its participation in the program established

under this chapter will enable the director of the department of administration to effectively

reduce greenhouse gas emissions and monitor compliance with the statewide greenhouse gas

emissions limit.

     (14) "Indirect electricity emissions" means emissions associated with the consumption of

purchased electricity within the state of Rhode Island where such electricity is purchased from the

electricity grid operated by the Independent System Operator-New England, or any successor

approved by the Federal Energy Regulatory Commission.

     (15) "Leakage" means the offset of a reduction in emissions of greenhouse gases within

Rhode Island by an increase in emissions of greenhouse gases outside Rhode Island.

     (16) "Market-based compliance mechanism" means:

     (i) A system of market-based declining annual aggregate emissions limitations for

sources or categories of sources that emit greenhouse gases; or

     (ii) Greenhouse gas emissions exchanges, banking, credits and other transactions

governed by rules and protocols established by the director of the department of administration or

the regional greenhouse gas initiative, that result in the same greenhouse gas emissions reduction,

over the same time period, as direct compliance with a greenhouse gas emissions limit or

emission reduction measure; or

     (iii) An economy-wide price on all carbon emitted in Rhode Island that is not lower than

twenty-five dollars ($25.00) per metric ton in 2019 and increased on January 1 of each

succeeding year by no less than by five dollars ($5.00) per metric ton; provided, however, that

such economy-wide price on carbon emissions is net revenue neutral to the government of Rhode

Island because all proceeds thereof are returned to the Rhode Island persons by such methods and

in such proportions as the general assembly may from time to time determine.

     (17) "Person" means a natural person, an agency or political subdivision of Rhode Island,

a public or private corporation or authority, a limited liability company, partnership, or limited

liability partnership, or a trust firm, joint stock company, association or other entity or group

thereof or an officer, employee or agent thereof.

LC004718 - Page 3 of 21

     (18) "Statewide greenhouse gas emissions" means the total annual emissions of

greenhouse gases in Rhode Island from all sources, including direct electricity emissions, indirect

electricity emissions, greenhouse gas emissions from the transportation sector, and greenhouse

gas emissions from the building sector.

     (19) "Statewide greenhouse gas emissions reduction mandate" means the maximum

allowable level of statewide greenhouse gas emissions in a given year, as set forth in § 42-6.3-5.

     (20) "Transportation sector" means all modes of transportation including, without

limitation automobiles, light trucks, trucks, buses and trains.

     42-6.3-4. Department of administration – Coordination function.

     (a) The director of the department of administration shall ensure that the requirements of

this chapter shall be met in all respects.

     (b) The director of the department of administration shall have authority to issue rules

and regulations pursuant to chapter 35 of title 42 in order to ensure that the requirements of this

chapter are met.

     (c) The director of the department of administration shall exercise overall supervisory

functions to ensure that the statewide greenhouse gas emission reductions mandate established by

§ 42-6.3-5 shall be satisfied in every year including, without limitation:

     (1) Supervising and assisting the commissioner of the office of energy resources in

carrying out the functions described in § 42-6.3-6.

     (2) Supervising and assisting the director of the department of transportation in carrying

out the functions described in § 42-6.3-7.

     (3) Supervising and assisting the state building commissioner in carrying out the

functions described in § 42-6.3-8.

     (4) Carrying out such additional functions and duties as may be reasonably necessary to

ensure that the statewide greenhouse gas emission reductions mandate established by § 42-6.3-5

are met.

     42-6.3-5. Statewide greenhouse gas emission reduction mandate.

     It is hereby established that it is the public policy of the state of Rhode Island to reduce

statewide greenhouse gas emissions to:

     (1) Twenty percent (20%) below 1990 levels by 2025;

     (2) Fifty percent (50%) below 1990 levels by 2035;

     (3) Seventy percent (70%) below 1990 levels by 2045; and

     (4) Eighty percent (80%) below 1990 levels by 2050.

     42-6.3-6. Carbon emission reduction mandate – Electricity sector.

LC004718 - Page 4 of 21

     (a) No later than one year after the effective date of this act, the commissioner of the

office of energy resources shall promulgate, pursuant to chapter 35 of title 42, such mandatory

and enforceable regulations that the commissioner believes are reasonably necessary to achieve

the 2025 carbon emission reduction mandate created by this chapter as that mandate pertains to

both direct electricity emissions and indirect electricity emissions.

     (b) In developing and promulgating the regulations required by subsection (a) of this

section, the commissioner of the office of energy resources shall:

     (1) Evaluate the total potential costs and economic and noneconomic benefits of various

reduction measures to the economy, environment and public health, using the best available

models, emissions estimation techniques, and scientific methods;

     (2) Take into account the relative contribution of each source or category of sources of

statewide greenhouse gas emissions from direct and indirect electricity emissions and shall

include in the regulations a de minimis threshold of greenhouse gas emissions below which

emissions reduction requirements shall not apply.

     (3) Conduct public hearings on the proposed 2025 regulations required by subsection (a)

of this section. The commissioner shall conduct a portion of these workshops in communities that

have the most significant exposure to air pollutants, including, but not limited to, communities

with minority populations, communities with low-income populations, or both.

     (4) Consider and address issues of leakage or potential leakage.

     (c) In developing the regulations required by subsection (a) of this section, the

commissioner of the office of energy resources may:

     (1) Utilize such market-based compliance mechanisms that the commissioner believes are

reasonably necessary, convenient, or desirable for achieving the 2025 carbon emission reduction

mandate pursuant to this chapter; provided, however, that in utilizing such market-based

compliance mechanisms, full credit shall be provided to monies paid on account of participation

in any multi-state or national market-based compliance mechanism including, without limitation,

the regional greenhouse gas initiative;

     (2) Consult with other Rhode Island governmental agencies, departments, or quasi-

governmental agencies;

     (3) Consult with the executive climate change coordinating council created by chapter 6.2

of title 42 and with the advisory board of the executive climate change coordinating council.

     (4) Consult with the energy efficiency and resource management council created by

chapter 140.1 of title 42.

     (d) The commissioner of the office of energy resources shall, at their discretion, but no

LC004718 - Page 5 of 21

less frequently than once every two (2) years until 2024, review and update the regulations

required by subsection (a) of this section in order to ensure that the 2025 carbon emission

mandate set forth in § 42-6.3-5 is achieved as that mandate pertains to direct and indirect

electricity emissions. In performing this review and update, the commissioner shall in all respects

observe the requirements of subsections (b) and (c) of this section.

     (e) No later than July 31, 2024, the commissioner of the office of energy resources shall

promulgate, pursuant to chapter 35 of title 42, such mandatory and enforceable regulations that

the commissioner believes are reasonably necessary to achieve the 2035 carbon emission

reduction mandate created by this chapter as that mandate pertains to both direct electricity

emissions and indirect electricity emissions. The commissioner shall in all respects observe the

requirements of subsections (b) and (c) of this section.

     (f) The commissioner of the office of energy resources shall, at their discretion, but no

less frequently than once every two (2) years between 2026 and 2035, review and update the

regulations required by subsection (e) of this section in order to ensure that the 2035 carbon

emission mandate set forth in § 42-6.3-5 is achieved as that mandate pertains to direct and

indirect electricity emissions. In performing this review and update, the commissioner shall in all

respects observe the requirements of subsections (b) and (c) of this section.

     (g) No later than July 31, 2033, the commissioner of the office of energy resources shall

promulgate, pursuant to chapter 35 of title 42, such mandatory and enforceable regulations that

the commissioner believes are reasonably necessary to achieve the 2050 carbon emission

reduction mandate created by this chapter as that mandate pertains to both direct electricity

emissions and indirect electricity emissions. The commissioner shall in all respects observe the

requirements of subsections (b) and (c) of this section.

     (h) The commissioner of the office of energy resources shall, at their discretion, but no

less frequently than once every two (2) years between 2036 and 2050, review and update the

regulations required by subsection (g) of this section in order to ensure that the 2050 carbon

emission mandate set forth in § 42-6.3-5 is achieved as that mandate pertains to direct and

indirect electricity emissions. In performing this review and update, the commissioner shall in all

respects observe the requirements of subsections (b) and (c) of this section.

     42-6.3-7. Carbon emission reduction mandate – Transportation sector.

     (a) No later than one year after this chapter becomes effective, the director of the

department of transportation shall promulgate, pursuant to chapter 35 of title 42, such mandatory

and enforceable regulations that the director believes are reasonably necessary to achieve the

2025 carbon emission reduction mandate created by this chapter as that mandate pertains to

LC004718 - Page 6 of 21

carbon emissions from the transportation sector.

     (b) In developing and promulgating the regulations required by subsection (a) of this

section, the director of the department of transportation shall:

     (1) Evaluate the total potential costs and economic and noneconomic benefits of various

reduction measures to the economy, environment and public health, using the best available

models, emissions estimation techniques, and scientific methods;

     (2) Take into account the relative contribution of each source or category of sources of

statewide greenhouse gas emissions from the transportation sector and shall include in the

regulations a de minimis threshold of greenhouse gas emissions below which emissions reduction

requirements shall not apply.

     (3) Conduct public hearings on the proposed 2025 regulations required by subsection (a)

of this section. The director shall conduct a portion of these workshops in communities that have

the most significant exposure to air pollutants, including, but not limited to, communities with

minority populations, communities with low-income populations, or both.

     (4) Consider and address issues of leakage or potential leakage.

     (c) In developing the regulations required by subsection (a) of this section, the director of

the department of transportation may:

     (1) Utilize such market-based compliance mechanisms that the office of energy resources

believes are reasonably necessary, convenient, or desirable for achieving the 2025 carbon

emission reduction mandate created by this chapter; provided, however, that in utilizing such

market-based compliance mechanisms, full credit shall be provided to monies paid on account of

participation in any multi-state or national market-based compliance mechanism including,

without limitation, the regional greenhouse gas initiative;

     (2) Consult with other Rhode Island governmental agencies, departments, or quasi-

governmental agencies;

     (3) Consult with the executive climate change coordinating council created by chapter 6.2

of title 42 and with the advisory board of the executive climate change coordinating council.

     (4) Consult with the energy efficiency and resource management council created by

chapter 140.1 of title 42.

     (d) The director of the department of transportation shall, at their discretion, but no less

frequently than once every two (2) years until 2024, review and update the regulations required

by subsection (a) of this section in order to ensure that the 2025 carbon emission mandate set

forth in § 42-6.3-5 is achieved as that mandate pertains to direct and indirect electricity emissions.

In performing this review and update, the director shall in all respects observe the requirements of

LC004718 - Page 7 of 21

subsections (b) and (c) of this section, except that the five percent (5%) requirement for all

electric vehicle sales by 2025 shall be adjusted upward to forty percent (40%) by 2035 in the

form of reasonably achievable annual incremental increases.

     (e) No later than July 31, 2024, the director of the department of transportation shall

promulgate, pursuant to chapter 35 of title 42, such mandatory and enforceable regulations that

the director believes are reasonably necessary to achieve the 2035 carbon emission reduction

mandate created by this act as that mandate pertains to the transportation sector. The director shall

in all respects observe the requirements of subsections (b) and (c) of this section.

     (f) The director of the department of transportation shall, at their discretion, but no less

frequently than once every two (2) years between 2026 and 2035, review and update the

regulations required by subsection (e) of this section in order to ensure that the 2035 carbon

emission mandate set forth in § 42-6.3-5 is achieved as that mandate pertains to the transportation

sector. In performing this review and update, the director shall in all respects observe the

requirements of subsections (b) and (c) of this section, except that the five percent (5%)

requirement for all electric vehicle sales by 2025 shall be adjusted upward to ninety-five percent

(95%) by 2050 in the form of reasonably achievable annual incremental increases.

     (g) No later than July 31, 2033, the director of the department of transportation shall

promulgate, pursuant to chapter 35 of title 42, such mandatory and enforceable regulations that

the director believes are reasonably necessary to achieve the 2050 carbon emission reduction

mandate created by this act as that mandate pertains to the transportation sector. The director shall

in all respects observe the requirements of subsections (b) and (c) of this section.

     (h) The director of the department of transportation shall, at their discretion, but no less

frequently than once every two (2) years between 2036 and 2050, review and update the

regulations required by subsection (g) of this section in order to ensure that the 2050 carbon

emission mandate set forth in § 42-6.3-5 is achieved as that mandate pertains to the transportation

sector. In performing this review and update, the director shall in all respects observe the

requirements of subsections (b) and (c) of this section.

     42-6.3-8. Carbon emission reduction mandate – Building sector.

     (a) No later than one year after this chapter becomes effective, the state building

commissioner shall promulgate, pursuant to chapter 35 of title 42, such mandatory and

enforceable regulations that the state building commissioner believes are reasonably necessary to

achieve the 2025 carbon emission reduction mandate created by this chapter as that mandate

pertains to the building sector.

     (1) Insofar as the regulations required by subsection (a) of this section apply to new

LC004718 - Page 8 of 21

building construction, the regulations shall become effective one year after promulgation.

     (2) Insofar as the regulations required by subsection (a) of this section apply to

retrofitting existing building, the regulations shall be written so as to reasonably ensure that all

residential, commercial, and industrial buildings in the state are heated solely by electricity by

2050.

     (3) In developing and promulgating the regulations required by subsection (a) of this

section, the state building commissioner shall:

     (i) Make a part of the final regulations a requirement that at least ten percent (10%) of

buildings then heated by delivered fuels will have been converted to electric heat by 2025,

whether that mandate be achieved by incentives for electric heat, disincentives for delivered fuels,

market based compliance mechanisms, or a combination thereof.

     (ii) Evaluate the total potential costs and economic and noneconomic benefits of various

reduction measures to the economy, environment and public health, using the best available

models, emissions estimation techniques, and scientific methods;

     (iii) Take into account the relative contribution of each source or category of sources of

statewide greenhouse gas emissions from direct and indirect electricity emissions and shall

include in the regulations a de minimis threshold of greenhouse gas emissions below which

emissions reduction requirements shall not apply.

     (iv) Conduct public hearings on the proposed 2025 regulations required by subsection (a)

of this section. The state building commissioner shall conduct a portion of these workshops in

communities that have the most significant exposure to air pollutants, including, but not limited

to, communities with minority populations, communities with low-income populations, or both.

     (v) Consider and address issues of leakage or potential leakage.

     (d) In developing the regulations required by subsection (a) of this section, the state

building commissioner may:

     (1) Utilize such market-based compliance mechanisms that the state building

commissioner believes are reasonably necessary, convenient, or desirable for achieving the 2025

carbon emission reduction mandate created by this chapter; provided, however, that in utilizing

such market-based compliance mechanisms, full credit shall be provided to monies paid on

account of participation in any multi-state or national market-based compliance mechanism

including, without limitation, the regional greenhouse gas initiative;

     (2) Consult with other Rhode Island governmental agencies, departments, or quasi-

governmental agencies;

     (3) Consult with the executive climate change coordinating council created by chapter 6.2

LC004718 - Page 9 of 21

of title 42 and with the advisory board of the executive climate change coordinating council.

     (4) Consult with the energy efficiency and resource management council created by

chapter 140.1 of title 42.

     (e) The state building commissioner, at their discretion, but no less frequently than once

every two (2) years until 2024, review and update the regulations required by subsection (a) of

this section in order to ensure that the 2025 carbon emission mandate set forth in § 42-6.3-5 is

achieved as that mandate pertains to the building sector. In performing this review and update, the

state building commissioner shall in all respects observe the requirements of subsections (b) and

(c) of this section.

     (f)(1) No later than July 31, 2024, the commissioner of the Rhode Island state building

code commission shall promulgate, pursuant to chapter 35 of title 42, such mandatory and

enforceable regulations that the commissioner of the Rhode Island state building code believes

are reasonably necessary to achieve the 2035 carbon emission reduction mandate created by this

chapter as that mandate pertains to the building sector. The commissioner of the Rhode Island

state building code shall in all respects observe the requirements of subsections (b) and (c) of this

section.

     (2) The regulations issued under this subsection shall include a requirement that no new

buildings, for which construction is commenced on or after January 1, 2035, may be heated in

whole or in part with delivered fuels.

     (3) The regulations issued under this subsection shall include a requirement that at least

twenty-five percent (25%) of buildings then heated by delivered fuels will have been converted to

electric heat by 2035, whether that mandate be achieved by incentives for electric heat,

disincentives for delivered fuels, market based compliance mechanisms, or a combination thereof.

     (g) The state building commissioner shall, at their discretion, but no less frequently than

once every two (2) years between 2026 and 2035, review and update the regulations required by

subsection (e) of this section in order to ensure that the 2035 carbon emission mandate set forth in

§ 42-6.3-5 is achieved as that mandate pertains to the building sector. In performing this review

and update, the state building commissioner shall in all respects observe the requirements of

subsections (b) and (c) of this section.

     (h)(1) No later than July 31, 2033, the state building commissioner shall promulgate,

pursuant to chapter 35 of title 42, such mandatory and enforceable regulations that the state

building commissioner believes are reasonably necessary to achieve the 2050 carbon emission

reduction mandate created by this chapter as that mandate pertains to the building sector. The

state building commissioner shall in all respects observe the requirements of subsections (b) and

LC004718 - Page 10 of 21

(c) of this section.

     (2) The regulations issued under this subsection shall include a requirement that one

hundred percent (100%) of buildings then heated by delivered fuels will have been converted to

electric heat by 2050 whether that mandate be achieved by incentives for electric heat,

disincentives for delivered fuels, market based compliance mechanisms, or a combination thereof.

     (i) The state building commissioner shall, at their discretion, but no less frequently than

once every two (2) years between 2036 and 2050, review and update the regulations required by

subsection (g) of this section in order to ensure that the 2050 carbon emission mandate set forth in

§ 42-6.3-5 is achieved as that mandate pertains to the building sector. In performing this review

and update, the state building commissioner shall in all respects observe the requirements of

subsections (b) and (c) of this section.

     42-6.3-9. Abrogation.

     (a) The provisions of this chapter shall be abrogated one year after the state enters into a

binding, legally enforceable multi-state compact with no fewer than five (5) other states or

Canadian Provinces that mandates economy-wide carbon emission reductions that are no less

strict than the ones contained in this chapter, and in which the enforcement mechanism is no less

rigorous than the one contained in this chapter.

     (b) The provisions of this chapter shall be abrogated one year after the state is fully

covered by a binding, legally enforceable federal carbon emission reduction program in which the

carbon emission reduction mandates are economy-wide and are no less strict than the ones

contained in this chapter and in which the enforcement mechanism is no less rigorous than the

one contained in this chapter.

     (c) Certification that the conditions of subsection (a) or (b) of this section have occurred

must be made in writing by the governor after a careful investigation to ensure the sufficiency of

the carbon emission reduction mandates in question. The certification by the governor shall be

effective unless it is contramanded within sixty (60) days by either house of the general assembly,

with the sixty (60) days being days that the general assembly is actually in session and sitting.

     42-6.3-10. Enforcement.

     (a) The provisions of this chapter may be enforced by means of an action in the superior

court seeking either injunctive relief or a writ of mandamus or both.

     (b) Venue for such actions shall be proper in the Providence county superior court.

     (c) All persons shall have standing to commence such enforcement actions.

     (d) Reasonable attorneys' fees shall be recoverable by all substantially prevailing

plaintiffs who seek relief under this section.

LC004718 - Page 11 of 21

     SECTION 2. Section 23-27.3-108.2 of the General Laws in Chapter 23-27.3 entitled

"State Building Code" is hereby amended to read as follows:

     23-27.3-108.2. State building commissioner's duties.

     (a) This code shall be enforced by the state building commissioner as to any structures or

buildings or parts thereof that are owned or are temporarily or permanently under the jurisdiction

of the state or any of its departments, commissions, agencies, or authorities established by an act

of the general assembly, and as to any structures or buildings or parts thereof that are built upon

any land owned by or under the jurisdiction of the state.

     (b) Permit fees for the projects shall be established by the committee. The fees shall be

deposited as general revenues.

     (c) (1) The local cities and towns shall charge each permit applicant an additional .1

(.001) percent (levy) of the total construction cost for each permit issued. The levy shall be

limited to a maximum of fifty dollars ($50.00) for each of the permits issued for one and two (2)

family dwellings. This additional levy shall be transmitted monthly to the building commission at

the department of administration, and shall be used to staff and support the purchase or lease and

operation of a web-accessible service and/or system to be utilized by the state and municipalities

for uniform, statewide electronic plan review, permit management and inspection system and

other programs described in this chapter. The fee levy shall be deposited as general revenues.

     (2) On or before July 1, 2013, the building commissioner shall develop a standard

statewide process for electronic plan review, permit management and inspection.

     (3) On or before December 1, 2013, the building commissioner, with the assistance of the

office of regulatory reform, shall implement the standard statewide process for electronic plan

review, permit management and inspection. In addition, the building commissioner shall develop

a technology and implementation plan for a standard web-accessible service and/or system to be

utilized by the state and municipalities for uniform, statewide electronic plan review, permit

management and inspection.

     (d) The building commissioner shall, upon request by any state contractor described in §

37-2-38.1, review, and when all conditions for certification have been met, certify to the state

controller that the payment conditions contained in § 37-2-38.1 have been met.

     (e) The building commissioner shall coordinate the development and implementation of

this section with the state fire marshal to assist with the implementation of § 23-28.2-6.

     (f) The building commissioner shall submit, in coordination with the state fire marshal, a

report to the governor and general assembly on or before April 1, 2013 and each April 1st

thereafter, providing the status of the web-accessible service and/or system implementation and

LC004718 - Page 12 of 21

any recommendations for process or system improvement.

     (g) The building commissioner shall promulgate and adopt rules and regulations pursuant

to chapter 35 of title 42 in order to ensure compliance with the provisions of § 42-6.3-8

     SECTION 3. Chapter 39-1 of the General Laws entitled "Public Utilities Commission" is

hereby amended by adding thereto the following section:

     39-1-27.13. Review of beneficial electrification plans.

     When the public utilities commission receives the triennial plan for beneficial

electrification submitted by the energy efficiency and resource management council, the

commission shall open a docket to consider the plan. The commission shall only approve the plan

if the commission determines, after reasonable inquiry, that the plan is sufficiently comprehensive

to ensure, to the maximum extent possible, the attainment of the carbon emission reduction

mandates set forth in the Rhode Island global warming solutions chapter, chapter 6.3 of title 42.

The commission shall have the power to amend the plan submitted by the council as the

commission deems necessary in order to ensure, to the maximum extent possible, the attainment

of the carbon emission reduction mandates set forth in chapter 6.3 of title 42.

     SECTION 4. Section 42-11-2 of the General Laws in Chapter 42-11 entitled "Department

of Administration" is hereby amended to read as follows:

     42-11-2. Powers and duties of department.

     The department of administration shall have the following powers and duties:

     (1) To prepare a budget for the several state departments and agencies, subject to the

direction and supervision of the governor;

     (2) To administer the budget for all state departments and agencies, except as specifically

exempted by law;

     (3) To devise, formulate, promulgate, supervise, and control accounting systems,

procedures, and methods for the state departments and agencies, conforming to such accounting

standards and methods as are prescribed by law;

     (4) To purchase or to contract for the supplies, materials, articles, equipment, printing,

and services needed by state departments and agencies, except as specifically exempted by law;

     (5) To prescribe standard specifications for those purchases and contracts and to enforce

compliance with specifications;

     (6) To supervise and control the advertising for bids and awards for state purchases;

     (7) To regulate the requisitioning and storage of purchased items, the disposal of surplus

and salvage, and the transfer to or between state departments and agencies of needed supplies,

equipment, and materials;

LC004718 - Page 13 of 21

     (8) To maintain, equip, and keep in repair the state house, state office building, and other

premises owned or rented by the state for the use of any department or agency, excepting those

buildings, the control of which is vested by law in some other agency;

     (9) To provide for the periodic inspection, appraisal or inventory of all state buildings and

property, real and personal;

     (10) To require reports from state agencies on the buildings and property in their custody;

     (11) To issue regulations to govern the protection and custody of the property of the state;

     (12) To assign office and storage space and to rent and lease land and buildings for the

use of the several state departments and agencies in the manner provided by law;

     (13) To control and supervise the acquisition, operation, maintenance, repair, and

replacement of state-owned motor vehicles by state agencies;

     (14) To maintain and operate central duplicating and mailing service for the several state

departments and agencies;

     (15) To furnish the several departments and agencies of the state with other essential

office services;

     (16) To survey and examine the administration and operation of the state departments and

agencies, submitting to the governor proposals to secure greater administrative efficiency and

economy, to minimize the duplication of activities, and to effect a better organization and

consolidation of functions among state agencies;

     (17) To operate a merit system of personnel administration and personnel management as

defined in § 36-3-3 in connection with the conditions of employment in all state departments and

agencies within the classified service;

     (18) To assign or reassign, with the approval of the governor, any functions, duties, or

powers established by this chapter to any agency within the department;

     (19) To establish, maintain, and operate a data processing center or centers, approve the

acquisition and use of electronic data processing services by state agencies, furnish staff

assistance in methods, systems and programming work to other state agencies, and arrange for

and effect the centralization and consolidation of punch card and electronic data processing

equipment and services in order to obtain maximum utilization and efficiency;

     (20) To devise, formulate, promulgate, supervise, and control a comprehensive and

coordinated statewide information system designed to improve the data base used in the

management of public resources, to consult and advise with other state departments and agencies

and municipalities to assure appropriate and full participation in this system, and to encourage the

participation of the various municipalities of this state in this system by providing technical or

LC004718 - Page 14 of 21

other appropriate assistance toward establishing, within those municipalities, compatible

information systems in order to obtain the maximum effectiveness in the management of public

resources;

     (i) The comprehensive and coordinated statewide information system may include a

Rhode Island geographic information system of land-related economic, physical, cultural and

natural resources.

     (ii) In order to ensure the continuity of the maintenance and functions of the geographic

information system, the general assembly may annually appropriate such sum as it may deem

necessary to the department of administration for its support.

     (21) To administer a statewide planning program including planning assistance to the

state departments and agencies;

     (22) To administer a statewide program of photography and photographic services;

     (23) To negotiate with public or private educational institutions in the state, in

cooperation with the department of health, for state support of medical education;

     (24) To promote the expansion of markets for recovered material and to maximize their

return to productive economic use through the purchase of materials and supplies with recycled

content by the state of Rhode Island to the fullest extent practically feasible;

     (25) To approve costs as provided in § 23-19-32; and

     (26) To provide all necessary civil service tests for child protective investigators and

social workers at least twice each year and to maintain an adequate hiring list for these positions

at all times.

     (27) (a) To prepare a report every three (3) months by all current property leases or

rentals by any state or quasi-state agency to include the following information:

     (i) Name of lessor;

     (ii) Description of the lease (purpose, physical characteristics, and location);

     (iii) Cost of the lease;

     (iv) Amount paid to date;

     (v) Date initiated;

     (vi) Date covered by the lease.

     (b) To prepare a report by October 31, 2014 of all current property owned by the state or

leased by any state agency or quasi-state agency to include the following information:

     (i) Total square feet for each building or leased space;

     (ii) Total square feet for each building and space utilized as office space currently;

     (iii) Location of each building or leased space;

LC004718 - Page 15 of 21

     (iv) Ratio and listing of buildings owned by the state versus leased;

     (v) Total occupancy costs which shall include capital expenses, provided a proxy should

be provided to compare properties that are owned versus leased by showing capital expenses on

owned properties as a per square foot cost at industry depreciation rates;

     (vi) Expiration dates of leases;

     (vii) Number of workstations per building or leased space;

     (viii) Total square feet divided by number of workstations;

     (ix) Total number of vacant workstations;

     (x) Percentage of vacant workstations versus total workstations available;

     (xi) Date when an action is required by the state to renew or terminate a lease;

     (xii) Strategic plan for leases commencing or expiring by June 30, 2016;

     (xiii) Map of all state buildings which provides: cost per square foot to maintain, total

number of square feet, total operating cost, date each lease expires, number of persons per

building and total number of vacant seats per building; and

     (xiv) Industry benchmark report which shall include total operating cost by full-time

equivalent employee, total operating cost by square foot and total square feet divided by full-time

equivalent employee.

     (28) To provide by December 31, 1995 the availability of automatic direct deposit to any

recipient of a state benefit payment, provided that the agency responsible for making that

payment generates one thousand (1,000) or more such payments each month.

     (29) To encourage municipalities, school districts, and quasi-public agencies to achieve

cost savings in health insurance, purchasing, or energy usage by participating in state contracts, or

by entering into collaborative agreements with other municipalities, districts, or agencies. To

assist in determining whether the benefit levels including employee cost sharing and unit costs of

such benefits and costs are excessive relative to other municipalities, districts, or quasi-public

agencies as compared with state benefit levels and costs.

     (30) To administer a health benefit exchange in accordance with chapter 157 of title 42.

     (31) Promulgate and adopt regulations pursuant to chapter 35 of title 42 in order to ensure

compliance with the provisions of chapter 6.3 of title 42.

     (32) Supervise and assist the commissioner of the office of energy resources in carrying

out the functions described in § 42-6.3-6.

     (33) Supervise and assist the director of the department of transportation in carrying out

the functions described in § 42-6.3-7.

     (34) Supervise and assist the state building commissioner in carrying out the functions

LC004718 - Page 16 of 21

described in § 42-6.3-8.

     SECTION 5. Section 42-13-1 of the General Laws in Chapter 42-13 entitled "Department

of Transportation" is hereby amended to read as follows:

     42-13-1. Establishment -- Head of departments -- Powers.

     (a) There shall be a department of transportation. The head of the department shall be the

director of transportation, appointed by the governor with the advice and consent of the senate,

who shall carry out the provisions of this chapter and, except as otherwise provided by this title,

the provisions of chapters 2 and 4 of title 1; chapters 8 and 10 of title 24; chapter 13 of title 31;

chapter 12 of title 37; and of all other general laws heretofore carried out by the director of public

works and the department of public works, the Rhode Island turnpike and bridge authority, and

the council on highway safety. The director shall also be responsible for preparation of short-

range plans, project plans, and implementation programs for transportation; for port and

waterways facilities where the principal purpose is transportation and management of port

properties, warehouses, and state piers which function primarily as transportation facilities; and

for maintaining an adequate level of rail passenger and freight services, including the

administration of any financial or technical assistance which may be made available to operators

of railroad transportation facilities; provided, however, that all contracts for the construction,

reconstruction, maintenance, and repairs of all public roads and bridges, public buildings and all

other properties of the state government, and the purchase of all equipment, materials, and

supplies used in accordance therewith shall be negotiated by the purchasing agent in the

department of administration.

     (b) The director shall adopt and promulgate state regulations which will set standards for

future state, city and town construction and maintenance of sidewalks and curbs, in a manner

which will make the use of the sidewalks more easily accessible to people who are disabled. Said

standards shall require the installation of curb cuts and/or ramps at both ends of any pedestrian

crosswalk.

     The director shall adopt and promulgate a procedure to process all claims pursuant to §

24-8-35, for damages to motor vehicles caused by potholes on state highways and in all instances

have the final determination as to the merits of each claim.

     (c) The director shall promulgate and adopt regulations which will prohibit any

contractors who have been convicted of fraud, bid-rigging, or a violation of any state or federal

antitrust law from bidding on any construction projects administered by the department for a

period of five (5) years from the date of any of the above convictions.

     (d) The director shall promulgate and adopt rules and regulations pursuant to chapter 35

LC004718 - Page 17 of 21

of title 42 in order to ensure compliance with the provisions of § 42-6.3-7.

     SECTION 6. Section 42-140-4 of the General Laws in Chapter 42-140 entitled "Rhode

Island Energy Resources Act" is hereby amended to read as follows:

     42-140-4. Commissioner.

     (a) There shall be a commissioner of energy resources, who shall be appointed by the

governor with the advice and consent of the senate. The commissioner shall be the director of the

office of energy resources and shall have all such powers, consistent with law, as are necessary

and/or convenient to effectuate the purposes of the office and administer its functions. The

commissioner shall have authority to exercise all of the powers and duties heretofore exercised by

the head of the state energy office. In the performance of the duties set forth in this paragraph, the

commissioner shall consult with the energy efficiency and resources management council

established pursuant to chapter 42-140.1.

     (b) The commissioner shall have authority to apply for, receive, and administer grants

and funds from the federal government and all other public and private entities to accomplish the

purposes of the office.

     (c) All revenues collected by the office from public and private entities, including, but not

limited to, demand side management grants from public utilities, shall be deposited as restricted

receipts.

     (d) The commissioner shall have authority to serve as executive secretary of the

governor's technical assistance committee, established by § 42-60-4, and shall provide such staff

and technical support to the technical assistance committee as the technical assistance committee

may require, and shall have authority to carry out any duties assigned to the office by the

governor in the event of a declaration of a state energy crisis as authorized under chapter 42-60

relating to energy crisis management.

     (e) The commissioner shall have the authority to promulgate and adopt rules and

regulations pursuant to chapter 35 of title 42 in order to ensure compliance with the provisions of

§ 42-6.3-6 of the Rhode Island global warming solutions act.

     SECTION 7. Sections 42-140.1-3 and 42-140.1-5 of the General Laws in Chapter 42-

140.1 entitled "The Rhode Island Energy Efficiency and Resource Management Council" are

hereby amended to read as follows:

     42-140.1-3. Establishment of council -- Purposes.

     (a) There is hereby authorized, created and established a council to be known as "The

Rhode Island Energy Efficiency and Resources Management Council" with the powers and duties

set forth in this chapter.

LC004718 - Page 18 of 21

     (b) The purposes of this council are to:

     (1) Evaluate and make recommendations, including, but not limited to, plans and

programs, with regard to the optimization of energy efficiency, energy conservation, energy

resource development; and the development of a plan for least-cost procurement for Rhode

Island; and

     (2) Provide consistent, comprehensive, informed and publicly accountable stake-holder

involvement in energy efficiency, energy conservation, and energy resource management; and

     (3) Monitor and evaluate the effectiveness of programs to achieve energy efficiency,

energy conservation, and diversification of energy resources; and

     (4) Promote public understanding of energy issues and of ways in which energy

efficiency, energy conservation, and energy resource diversification and management can be

effectuated; and

     (5) Promote, facilitate, and develop plans for the beneficial electrification of the

transportation sector and the building sector.

     42-140.1-5. Powers and duties.

     The council shall have the power to:

     (a) Develop and recommend for implementation plans, programs and standards for

energy conservation, energy efficiency, and diversification of energy resources.

     (b) Monitor and evaluate plans and programs for energy conservation, energy efficiency

and diversification of energy resources; in order to effectuate such evaluations the council may

request audits, including performance audits, of any program for energy conservation, energy

efficiency or diversification of energy resources, that is established pursuant to Rhode Island law

or is administered by a state agency, a request for an audit of any program operative pursuant to

an order or decision of the public utilities commission shall be made to the commission; the

council may make findings and recommendations with regard to changes, modification or

continuation of any programs which it has authority to monitor or evaluate.

     (c) Submit to the joint committee on energy an annual report on/or before April 15 of

each year, commencing in 2008, regarding the activities of the council, its assessment of energy

issues, the status of system reliability, energy efficiency and conservation procurement and its

recommendations regarding any improvements which might be necessary or desirable.

     (d) Participate in proceedings of the public utilities commission that pertain to the

purposes of the council, including but not limited to proceedings regarding least-cost procurement

as provided for in § 39-1-27.7.

     (e) Advise electric distribution companies with regard to implementation of least cost

LC004718 - Page 19 of 21

procurement.

     (f) Advise the commission of energy resources, and recommend policies, standards,

strategies, plans, programs, and procedures with regard to functions of the office of energy

resources including but not limited to plans, strategies, and programs to:

     (1) implement cost-effective energy conservation and energy efficiency programs;

     (2) promote the development of eligible renewable energy resources for Rhode Island;

     (3) foster distributed generation of electricity and demand response;

     (4) assist low-income households in meeting energy needs;

     (5) coordinate the use of funds, resources, and programs from diverse resources to

achieve the purposes of the office.

     (g) Consider such other matters as it may deem appropriate to the fulfillment of its

purposes, and may advise the governor, the general assembly, other parties, and the public with

regard to matters pertaining to its purposes and duties, which advice may include findings and

recommendations.

     (h) Develop and submit to the public utilities commission no less frequently than once

every three (3) years a plan for the beneficial electrification of the transportation sector and the

building sector. The first such triennial plan shall be filed with the public utilities commission no

later than eighteen (18) months after the enactment of this subsection.

     (1) Each triennial plan for beneficial electrification shall be so designed as to ensure, to

the maximum extent possible, the attainment of the carbon emission reduction mandates set forth

in the Rhode Island global warming solutions act.

     (2) The triennial plan may include, without limitation, changes and upgrades to the

distribution system of the electric distribution company and the purchase and installation of new

infrastructure.

     SECTION 8. This act shall take effect upon passage.

========

LC004718

========

LC004718 - Page 20 of 21

EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- RHODE ISLAND GLOBAL

WARMING SOLUTIONS ACT

***

     This act would establish the Rhode Island global warming solutions act to reduce carbon

emissions across various sectors of the local economy.

     This act would take effect upon passage.

========

LC004718

========

LC004718 - Page 21 of 21