Final
BILL SUMMARY for
HB05-1293
HOUSE
COMMITTEE ON
TRANSPORTATION & ENERGY
Votes:
Action Taken:
Moved L.003 (Attachment ?). Rep. Knoedler explain
Moved L.004 (Attachment ?). Representative Welker
Referred HB 05-1293 to the Committee on Appropriat
FAIL
TIE
PASS
09:39 AM -- House Bill 05-1293
Representative Pommer reviewed House Bill 05-1293, concerning expansion of the stationary source voluntary emission reduction program, which was laid over from February 24, 2005. He provided background information entitled
Colorado Voluntary Clean Air Act HB 05-1293
(
Attachment
A
). Mr. Stan Dempsey provided
Attachment
B
(
EPA Letter Responding to Rocky Mountain News Colu
m
n)
.
The following people testified:
09:41 AM --
Ray Clifton, representing the Colorado Rural Electric Association, testified in support of the bill.
09:55 AM --
Vickie Patton, representing Environmental Defense, testified in support of the bill. She believes this bill would be prudent move to help Xcel meet new federal standards. Ms. Patton submitted a letter to the Rocky Mountain News Editorial Board from Environmental Protection Agency (EPA) Regional Air Director, dated February 25, 2005 (
Attachme
nt
C)
. She also provided
Attachme
nt
D
, "New State Analysis Shows Power Plant Clean Up Protects Human Health, March 2005." She responded to committee questions regarding power plants in Denver and Brush, Colorado.
10:16 AM
Ms. Patton responded to committee questions on various emissions standards and levels along the front range. She reviewed various emissions studies.
10:20 AM --
Dianna Orf, representing Colorado Mining Association (CMA) and the Center for Energy and Economic Development (CEED), testified in support of the bill. She indicated that these organizations were supportive of a similar bill in 1998. She noted that these organizations believe that the baseload need for energy is supported by coal. She recounted previous lawsuits related to power plants being forced to use natural gas.
10:24 AM --
Paula Connelly, representing Xcel Energy, Assistant General Council, testified in support of the bill. She believes that current law prohibits Xcel from making this investment in emission control equipment, and HB 05-1293 would be the appropriate change in the law to address this issue. She noted that this bill sets a new cap to limit the amount of money spent on new emission control equipment. Ms. Connelly said that this investment will drive consumer rates up by only 1.6 percent. She asked that the committee enact the law so that Xcel can spend the money on emissions reduction equipment.
10:33 AM
Ms. Connelly noted that this bill is also about spending less money now to meet emissions standards than what will be required in the future when the EPA requires more rigid standards. She believes that the decision to make a voluntary investment in this equipment is a decision for the state legislature, not the Public Utilities Commission. She would prefer that the committee should leave the bill as it was drafted. Ms. Connelly indicated to the committee that if Xcel acts now, it would take some of its power plants off of the enforcment list and avoid violations as the EPA goes further down the EPA enforcement list. She continued to respond to committee questions.
10:52 AM
Responding to a question from Representative Ragsdale, Ms. Connelly stated that Xcel does not have a rainy day fund that would permit it to invest in this equipment. Ms. Connelly asked that Mr. Olin Plunk, Vice President of Xcel's Environmental Services, a specialist from Xcel Energy, respond to the more technical questions coming from the committee. Mr. Plunk testified about the efficiencies of new power plants versus older power plants.
11:01 AM
Ms. Connelly responded to committee questions. She noted that the PUC hearing is more exhaustive than coming before the House Transportation and Energy Committee. Ms. Connelly believes that although the PUC adjudicatory process may be more exhaustive, she believes that it is more appropriate for this decision to be made by the legislature, not the PUC. Reprsentative Knoedler indicated that the committee should embrace the PUC process.
BILL:
HB05-1293
TIME:
11:04:49 AM
MOVED:
Knoedler
MOTION:
Moved L.003 (
Attachmen
t
E
). Rep. Knoedler explained the amendment. The motion failed on a 5-6 vote.
SECONDED:
Cadman
VOTE
Borodkin
No
Cadman
Yes
Green
No
Hefley
Yes
Knoedler
Yes
Larson
No
Lindstrom
No
Ragsdale
Yes
Welker
Yes
McFadyen
No
Pommer
No
Not Final
YES:
5
NO:
6
EXC:
0
ABS:
0
FINAL ACTION:
FAIL
11:09 AM
Representative Welker offered a handout to the committee,
Attachment F
- Executive Compensation of Xcel Energy executive officers from Xcel's 2004 Proxy Statement.
BILL:
HB05-1293
TIME:
11:10:49 AM
MOVED:
Welker
MOTION:
Moved L.004 (
Attachmen
t
G)
. Representative Welker explained his amendment. Chairman McFadyen ruled that the amendment did not fit under the title of the bill.
SECONDED:
Hefley
VOTE
Borodkin
Cadman
Green
Hefley
Knoedler
Larson
Lindstrom
Ragsdale
Welker
McFadyen
Pommer
Not Final
YES:
0
NO:
0
EXC:
0
ABS:
0
FINAL ACTION:
TIE
BILL:
HB05-1293
TIME:
11:14:35 AM
MOVED:
Pommer
MOTION:
Referred HB 05-1293 to the Committee on Appropriations, unamended, with a favorable recommendation. The motion passed on a 6-5 vote.
SECONDED:
Larson
VOTE
Borodkin
Yes
Cadman
No
Green
Yes
Hefley
No
Knoedler
No
Larson
Yes
Lindstrom
Yes
Ragsdale
No
Welker
No
McFadyen
Yes
Pommer
Yes
Final
YES:
6
NO:
5
EXC:
0
ABS:
0
FINAL ACTION:
PASS