Tag Archives: Biomass Gasification

Senate Ways and Means Committee Funds Evergreen’s Biomass Feasibility Study Among Other Actions

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The Senate Ways & Means Committee met for a better part of today to hear several bills and take action on several more.

Of great significance for Evergreen was action taken to move forward the Senate’s 2010 proposed Capital Budget (SB 6364).  SSB 6364 was amended in committee, by Senator Fraser,  to appropriate $125,000 to Evergreen to complete a feasibility study on the College’s Biomass Gasification Project.

In addition, the Senate’s proposed capital budget:

  • Reduces appropriations for debt limit bonds by $139 million.
  • The reduction of $139 million is a combination of reducing new appropriations for the 2009-11 biennium by $73 million and the reappropriation authority for projects authorized in the prior biennia by $66 million.
  • Avoids exceeding the 9 percent constitutional debt limit.
  • Captures $48 million in savings for major higher education construction projects from competitive bids received for these projects.
  • Provides $36 million in funding for the replacement of Balmer Hall at the University of Washington.
  • Places greater reliance on Evergreen’s local funds, including the school trust and a portion of student tuition.

The Committee also took action on House Bill 3178– Information Technology. House Bill 3178  organizes, consolidates, and, where appropriate, contracts with private providers for technology systems and resources.  In addition, the bill establishes spending restrictions for information technology for the 2009-2011 biennium.

The Senate Committee removed the language in the House version of HB 3178 and replaced it with language that primarily reflects the House bill but with the following changes:

  • The Legislature and courts are no longer required to submit major IT project budget requests to executive branch agencies for review.
  • Language is more explicit regarding IT in the Legislature and courts.
  • Legislative and judicial branches are no longer required to develop IT portfolios consistent with the provisions of 43.105.172.
  • The legislative and judicial branches are no longer required to prepare and submit to the department a biennial performance report consistent with the provisions of RCW 43.105.17.
  • Other technical changes.

In addition to the replacing the language in the bill, the Committee also adopted two amendments to the bill: (1) A null and void clause added which would repeal the language in the bill if no dollars are appropriated for the bill and (2) Removes language referring to the pilot project.

Both Senate Bill 6364 and House Bill 3178 go to the Senate floor for further consideration.

Senate Ways and Means Hears Biomass Bill

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The Senate Ways & Means Committee met early this Saturday morning to hear a variety of bills and take action on several more.

The deadline for the Committee to consider House bills with a fiscal impact is end of day Monday, March 1.

As  a part of the public hearing process this morning , Evergreen testified in support of House Bill 2481. HB 2481 is a bill discussed often on this blog, but is worth further discussion because it looks different at this stage in the legislative process than it did earlier on. The bill would:

 
  • Allow Department of Natural Resources (DNR) to enter into contract terms up to 15 years when an entity plans and commits to a capital investment of at least $50 million prior to the contract and completes that investment before removal of biomass under the contract;
  • Allow DNR to include provisions in the agreement that are periodically adjusted for market conditions;
  • Require the contract to include provisions that allow DNR, when it is in the best interest of the trust beneficiaries, to maintain access to existing users of biomass;
  • Ensure that biomass volume conveyed under this act will not be counted toward DNR’s sustainable harvest target, except that appraised timber sold in a conventional timber sale will count toward the target whether individual trees are ultimately used by that purchaser for timber or biomass energy;
  • Remove wood from old growth forests from the definition of what is not included in forest biomass; and
  • Require DNR to conduct a survey of scientific literature regarding the carbon neutrality of forest biomass and report to the Legislature by December 15, 2010.

Evergreen believes that the passage of House Bill 2481 would provide the Washington Department of Natural Resources with the tools necessary to be a viable player in the emerging biomass industry and a potential partner with Evergreen as we move forward to construct our Biomass Gasification Project.

The Committee took no further action on the bill.

Policy Committee Deadline Looms for House, Senate to Follow

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Today, House and Senate policy committees continued to work bills from the opposite chamber through the legislative process.

The House has less than 24 hours to consider policy bills from the Senate before the deadline for policy bills is reality. The House must move Senate initiated policy bills by 5:00 p.m. on February 23. 

The Senate has a few more days to get bills through the process. The Senate must move House policy bills to an appropriations committee or to the floor by 5:00 p.m. February 26.

Several bills of interest to Evergreen were heard by policy committees today and one bill was moved to the floor by the Senate Ways & Means Committee.

This morning the  Senate Early Learning & K12 Education Committee held a public hearing  on Senate Bill 3068. SB 3068 expands eligibility to additional students if funds are available for the conditional scholarship after currently qualified students have been accepted. Evergreen has supported the passage of SB 3068 since it was introduced earlier this session.

At the same time, the Senate Natural Resources, Ocean, and Recreation committee held a public hearing on House Bill 2481. HB 2481 provides the Washington Department of Natural Resources (DNR) with the necessary tools and resources to be a viable partner in the emerging biomass industry in Washington. The bill authorizes DNR to maintain a list of all potential sources of forest biomass on state lands for the purposes of making biomass available ot others; allows DNR to enter into biomass contracts for up to 5 years; and authorizes DNR to lease lands for the purpose of biomass.

Evergreen has testified in support of House Bill 2481 as a vehicle by which to stabilize DNR’s viability as a potential partner with the College in our Biomass Gasification Project effort.

In the afternoon, the Senate Ways & Means Committee took action on Senate Bill 6409. SB 6409, which Evergreen supports, creates the Washington Investment in Excellence Account.  The Account is funded through state lottery proceeds and directs those funds to a range of research and financial aid programs. In particular the programs eligible to receive funds from the Account include efforts to recruit entrepreneurial researchers, innovation partnership zones, and research teams and higher education financial aid programs including opportunity grants, educational opportunity grants, state work study, GET ready for math and science scholarships, passport to college promise, college bound scholarships, and the Washington promise scholarship.

The Senate Ways & Means Committee amended the bill in executive session. The amendment to the bill makes the following changes:

  • Changes the Account name to Opportunity Pathways Account
  • Extends eligibilty to the following programs: Washington Scholars, Washington Award for Vocational Excellence, the State Need Grant, Early Childhood Education & Assistance Program
  • Transfer $102 million per year from the General Fund to the Education Construction Account to replace lost lottery dollars
  • Requires the Lottery Commission to report to the Legislative higher education and economic development committees on marketing strategies and revenue targets for the new account
  • Provides for a JLARC performance review of lottery marketing.

Evergreen Focuses on the Economy

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House and Senate policy committees continue to push forward through the hundreds of bills referred to their committees earlier this week.

Evergreen spent the day engaging legislators in discussions and testimony focused on economic development.

In the morning, the House Committee on State Government & Tribal Affairs held a public hearing on Senate Bill 5041. SB 5041 establishes a statewide program to increase state procurement contracts with veteran-owned businesses. State agencies, including higher education, are encouraged to award 3 percent of all procurement contracts under $35,000 in value to certified veteran-owned businesses. Evergreen provided written testimony to the committee in support of the bill.  No further action beyond the hearing has been scheduled for the bill.

In the afternoon, Evergreen joined representatives from a variety of other organizations and groups (i.e. labor, environmental, K-12) to talk with legislators about House Bill 2561. HB 2561, referred to in the media as the Jobs Creation Bill, authorizes the State to  issue $861 million in general obligation bonds for the purpose of creating jobs by constructing capital improvements that lead to energy-related cost savings in public schools, state colleges and universities, and other public facilities.

Evergreen has supported HB 2561 since the beginning of session. The bill, if passed, could potentially provide the College with financial resources to implement energy-related projects and perhaps funding to construct Evergreen’s Biomass Gasification Project.

Legislature Works the Weekend

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The House and the Senate were focused on moving legislation to the opposite chamber this weekend. Though both chambers only met on Saturday, both moved several pieces of legislation and spent long hours on the floor and in caucus.

Here are some of the highlights from the weekend.

The House took action on bills ranging from teacher preparation to changes to the state loan program. House Bill 2930 passed with a vote of 98-0.  HB 2930 directs the Higher Education Coordinating Board (HECB) to give priority in selecting Future Teachers scholarship recipients to those individuals who are seeking specialty endorsements in math as well as individuals who are uniquely qualified to help schools address the achievement gap. Evergreen supported HB 2930 and encouraged, through testimony, the Legislature to consider extending eligibility to individuals seeking endorsements in special education and English Language Learners (ELL). HB 2930 will have a public hearing before the Senate Higher Education & Workforce Development Committee on February 19.

House Bill 2481 passed by a vote of 92-0.  HB 2481 allows the Washington Department of Natural Resources (DNR) to become a viable partner in the area of biomass.  In particular the bill:

  • Authorizes the Department of Natural Resources to maintain a list of all potential sources of forest biomass on state lands for the purposes of identifying and making forest biomass available for the conversion into energy, biofuels, or any other similar use.
  • Permits the DNR to enter into contracts for the purpose of providing a supply of forest biomass from lands managed by the DNR.
  • Authorizes the DNR to lease state lands for the conversion of biomass into energy or biofuels, for the development of a biorefinery, or for any other use derived from biomass.
  • Authorizes the DNR to establish a five-year forest health and fuel reduction supply agreement demonstration project.

House Bill 2481, which Evergreen supports, would position DNR to be a potential partner with Evergreen in our effort to realize our Biomass Gasification Project.

The House took the next step towards implementing the state loan program for students. House Bill 2854 establishes student eligibility requirements for the state Higher Education Loan Program (HELP) which was created in statute during the 2009 session.  Evergreen testified in support of the bill mirroring the testimony of the sponsor of the bill, Rep. Kenney, which supports first funding financial aid state grants and then providing for a low interest loan option for those students that borrow.

On Saturday, the House Finance Committee held a public hearing on Senate Bill 6130. Senate Bill 6130 temporarily suspends tax-limiting Initiative 960 in its entirety.  SB 6130 is the current vehicle for SB 6843 which passed out of the Senate in a close vote late last week.

The movement of the bill indicates the Legislature’s leanings towards raising revenue in the 2009-2011 fiscal biennium. 

Senate Bill 6130 now heads to the House floor for further consideration.

Bills Moving to Floors for Action

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A handful of bills have moved to the House and Senate floor for action this week.

House Bill 2561, a.k.a the Jobs Creation bill, was passed by the House 57-41 on Wednesday.

House Bill 2561: (1) Authorizes the State Finance Committee to issue $861 million in general obligation bonds, to be known as Jobs Act Bonds (Act), for the purpose of creating jobs by constructing capital improvements that lead to energy-related cost savings in public schools, state colleges and universities, and other public facilities; (2) Appropriates funds for grants to public school districts, public higher education institutions, state and locally-owned facilities, and facilities owned by subdivisions of the state; and (3) Directs the Secretary of State to submit the short title, intent and bond authorization sections of the Act to the people for adoption and ratification or rejection in the next general election to be held in the state.

In addition, Senate Bill 2561, if enacted, would be a vehicle by which Evergreen could seek funding for the design and construction of the Biomass Gasification Project that the College is seeking funds for a feasibility study this session. Evergreen will continue to work to move this successfully move this bill through the Senate.

The House amended HB 2561 to correct the name  of the account that funds are drawn from to pay debt service and directs the State Treasurer to move funds to pay debt service to the bond retirement. In addition, changes were made to the time in which a project that does not use Energy Savings Performance Contracting must verify energy and operational savings for 10 years  or until the project has paid for itself, whichever is shorter.

Engrossed House Bill 2651 now moves to the Senate Ways & Means Committee for consideration.  

House Bill 2858 was passed by House Higher Education on Wednesday. House Bill 2858 provides institutions of higher education the authority to participate in group purchasing agreements.

Kathleen Haskett, Evergreen’s Purchasing & Contracts Manager, testified in support of HB 2858. She expanded on the changes the bill would provide for higher education purchasing policies and the potential costs savings to the institution.

More and more bills are expected to move to the floor and opposite chamber this week and next as the first cut-off date (February 2) looms for policy bills.

Senate Committee on Ways and Means Outlines Capital Budget

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Senate Ways & Means Capital Budget Coordinator Brian Sims presented an overview of the current state of Washington’s Capital Budget during Wednesdays’ committee hearing.

The Capital Budget is comprised of $3.3 billion dollars, half of which is money borrowed from investors in the form of bonds and other debt. The budget itself is the smallest of the three state budgets, which also include the large Operating Budget ($58.7 billion) and the Transportation Budget ($6.6 billion).

Sims pointed out during his presentation that the majority of funds disbursed from the Capital Budget go to parties other than state interests. This means that state funds are being used as grants for construction and maintenance of institutions other than the state’s own. Among the funds used to build and maintain state institutions’ interests, funding for public schools has grown the fastest. Most of these funds are not cash, however, and come in the form of bonding authority. Higher Education’s bond funds from the Capital Budget have grown, too, while other funds – including cash – have remained flat for a decade.

As the state deals with a budget crisis, another issue the legislature has to confront is the constitutionally-mandated debt limit. The debt limit, monitored by the State Treasurer, cannot exceed 9% of the average annual general revenue for the preceding three fiscal years. In addition, because the Capital Budget, unlike the Operating Budget, does not have an “ending fund balance,” a margin of 0.25% is set aside as an ending balance. According to Governor’s proposed Capital Budget, that 0.25% ending balance is maintained by cutting $375 million from the budget. The Governor’s budget also proposes an increase in bond spending of $86 million and a transfer of $147 million from the Capital to the Operating Budget, a short-term maneuver to create more liquidity in the Operating Budget.

What does this mean for Evergreen? The college has identified a need for an allocation of $125,000 from the Capital Budget to complete funding for a Biomass Gasification plant. TESC students and the college itself have each generated $125,000 to put toward a feasibility study for the project. As the Capital Budget writing process plays out, the college will be asking legislators to support the sustainable vision for a biomass plant, which would help the college realize its 2020 goal of carbon neutrality while providing synthetic gas to heat and potentially power the institution’s facilities.