Committee Meeting Information

November 9 and 10, 2009

Game and Fish Building

3030 Energy Lane

Casper, Wyoming

 

 

Committee Members Present

Senator Grant C. Larson, Co-Chairman

Representative Thomas A. Lockhart, Co-Chairman

Senator Eli Bebout

Senator Stan Cooper

Senator Rick Hunnicutt

Senator Marty Martin

Representative Bob Brechtel

Representative James Byrd

Representative Bernadine Craft

Representative Elaine Harvey

Representative Glenn Moniz

Representative Jim Roscoe

Representative Tim Stubson

Representative Dave Zwonitzer

 

Legislative Service Office Staff

Gerald W. Laska, Staff Attorney

Kelley Shepp, Associate Research Analyst

 

Others Present at Meeting

Please refer to Appendix 1 to review the Committee Sign-in Sheet
for a list of other individuals who attended the meeting.

Call To Order (November 9, 2009)

Co-Chairman Larson called the meeting to order at 8:00 a.m.  The following sections summarize the Committee proceedings by topic.  Please refer to Appendix 2 to review the Committee Meeting Agenda.  Representative Brechtel moved to accept the minutes from the September Meeting.  The motion was seconded and passed. 

 

Executive Summary

The Committee heard from the Department of Audit, the Banking Commission, the Business Council, the Department of Environmental Quality, the Oil and Gas Conservation Commission, the Office of State Lands and Investments, the University of Wyoming, the Wind Energy Task Force, the Governor’s Office and the Western States Energy & Environment Symposium.

 

The Committee received reports from the Department of Audit, the Business Council, the Department of Environmental Quality, the Oil and Gas Conservation Commission and the University of Wyoming.

 

The Committee will sponsor legislation on collection agencies and coal value added facilities-tax exemptions.

 

Department of Audit

Mike Geesey, Director of the Wyoming Department of Audit submitted Report #589 concerning investigative subpoenas under W.S. 9-2-2003(k)(iii) [Appendix 3].  Co-Chairman Lockhart moved to accept Report #589.  Senator Cooper seconded the motion and Report #589 was accepted. 

 

Mr. Geesey presented Report #591 regarding an annual audit of the Wyoming Business Council under W.S. 9-12-111(b) [Appendix 4].  Senator Cooper moved to accept Report #591.  Co-Chairman Lockhart seconded the motion.  The motion passed and Report #591 was accepted.

 

Senator Martin moved to request a review of required reports, including costs during the next interim.  Senator Bebout seconded the motion and the motion passed.

 

Wyoming Banking Commission

Jeff Vogel, Banking Commissioner and Joe Mulberry, Assistant Banking Commissioner reviewed the history of draft bill 10LSO-0071.W6 – Collection agencies [Appendices 5 and 6], including the changes to the bill since the September meeting.  Senator Cooper moved the bill seconded by Senator Martin.

 

Linda Russell, Collection Agency Board member spoke generally in favor of the draft bill while Bradley Chapman, owner of Attitude Collections spoke generally against the draft bill [Appendix 7].  Larry W. Harrington, attorney, had questions with reporting requirements in the bill [Appendix 8].  Thelton Skipper, Manager of Spring Hill Collection and Rob Knaus, Branch Manager for NCO Group expressed concern about the total elimination of the resident manager requirement. 

Following discussion, the Committee considered amendments to the draft bill [Appendices 9 and 10].  The Committee voted 11-3 to sponsor the bill as amended with Senator Bebout and Representatives Harvey and Zwonitzer voting no.  The bill will be a House Bill [Appendix 11]. 

 

Wyoming Business Council

Bob Jensen, Chief Executive Officer of the Wyoming Business Council (WBC), Ben Avery, Business and Industry Division Director and Shannon Stanfill with the WBC State Energy Office discussed the status of the American Recovery and Reinvestment Act (ARRA) funds though the WBC [Appendices 12 through 14].  Mr. Jensen updated the Committee on the progress of the NCAR computer center.

 

Mr. Avery commented on Report #228 prepared by the WBC and the Treasurer's Office regarding the effectiveness of the authorized investment program in industrial development bonds under W.S. 9-4-701(g) [Appendix 15].  Co-Chairman Lockhart moved to accept the report.  Representative Roscoe seconded the motion.  The motion passed and Report #228 was accepted.

 

Dan Noble, Excise Tax Administrator with the Department of Revenue reported on the effects of the sales and use tax exemption for manufacturing equipment [Report #354 - Appendices 16 and 17].  Senator Cooper moved to accept Report #354.  The motion was seconded and passed.

 

Mr. Noble explained the effects of the sales and Use Tax exemption for coal gasification and liquefaction in Report #482 [Appendix 18].  Co-Chairman Lockhart moved to accept the report.  Senator Cooper seconded the motion and the motion passed.  Report #482 was accepted.

 

Mr. Noble described the effects of the sales and use tax exemption for railroad rolling stock in Report #597 [Appendix 19].  Senator Bebout moved to accept the report, seconded by Senator Cooper.  The motion passed and Report #597 was accepted.

 

Joe Coyne with the Wyoming Economic Development Association (WEDA) provided comments on Report #354 [Appendices 20 through 22].  Ron Wilde with SGL Carbon Fibers spoke in favor of keeping the exemption.

 

Carbon Sequestration

Todd Parfitt, Deputy Director, Department of Environmental Quality and Tom Doll, Oil and Gas Conservation Commission (OGCC) Supervisor, briefed the Committee on the promulgation of rules and regulations and the progress of the Carbon Sequestration Working Group under Report #638 [Appendices 23 and 24].  Senator Cooper moved acceptance of Report #638.  Following a second, the motion passed and the Committee accepted Report #638.

 

Ron Surdam, State Geologist summarized the carbon sequestration discussion from the Western States Energy & Environment Symposium [Appendix 25]. 

 

Wyoming Department of Environmental Quality

Mr. Parfitt responded to a request for information and informed the Committee DEQ had not received any environmental audit reports under Report #41 [Appendices 26 and 27].  Senator Cooper moved to accept Report #41.  The motion was seconded and passed.  Report #41 was accepted.

 

Mr. Parfitt updated the Committee on the restoration expenditures and tank compliance activities pertaining to underground storage tanks in Report #232 [Appendix 28].  Senator Cooper moved to accept the Report and Representative Harvey seconded the motion.  The motion passed and Report #232 was accepted by the Committee.

 

Mr. Parfitt discussed activities on the air quality permit fees for Report #266 [Appendix 29].  Senator Bebout moved to accept the report seconded by Representative Harvey.  The motion passed and Report #266 was accepted.

 

Mr. Parfitt reported on the water quality national pollutant discharge elimination system (NPDES) fees in Report #358 [Appendix 30].  Representative Moniz moved to accept Report #358, seconded by Representative Brechtel.  The motion passed and Report #358 was accepted.

 

Mr. Parfitt explained the hazardous waste fees under Report #593 [Appendix 31].  Senator Cooper moved to accept this report.  Representative Brechtel seconded the motion and the motion passed.  Report #593 was accepted by the Committee.

 

Landfills

Mr. Parfitt briefed the Committee on the extent to which solid waste disposal facilities cause or contribute to groundwater pollution.  This preliminary discussion is in anticipation of completing Report #548 which is due in June 2010.

 

Office of State Lands and Investments

Lynne Boomgaarden, Director of the Office of State Lands and Investments updated the Committee on activities under the American Recovery and Reinvestment Act (ARRA) [Appendices 32 through 35].

 

University of Wyoming

Tess McGinsey, Director of the Wyoming Conservation Corp (WCC) described the accomplishments of the WCC and explained Report #560 on the WCC activities [Appendices 36 and 37].  Senator Cooper moved to accept Report #560 seconded by Senator Martin.  The motion passed and the Committee accepted Report #560.

 

Public Comment

Larry Wolfe with Holland and Hart discussed the work under the Supreme Court's Access to Justice Commission, including the work on legal services to the poor [Appendix 38].  Greg Schaefer with Arch Coal informed the Committee about improvements in the Powder River Basin.

Meeting Recess

The Committee recessed at 4:45 until Tuesday morning.

 

Call To Order (November 10, 2009)

Co-Chairman Lockhart called the meeting back to order at 8:00 a.m. 

 

Wind Energy

Senator Drew Perkins and Representative Tim Stubson reported on the efforts and recommendations from the Wind Energy Task Force.  They discussed their work toward draft bills on consistent local regulation of wind energy development and industrial siting amendments for wind energy [Appendices 39 through 42].  Mr. Parfitt compared DEQ's normal permitting procedure under the industrial siting act with the fast track process.

 

Larry Wolfe, Holland and Hart presented two draft bills on behalf of Duke Energy and Ellis Power Transmission Company [Appendices 43 and 44].  Ed Werner, Converse County Commissioner spoke in favor of responsible development.  He stated a reluctance to burden the industry with unnecessary taxes and felt the industry should pay its own way.

 

Shannon Anderson with the Powder River Basin Resource Council (PRBRC) spoke generally in favor of increasing jurisdiction of the Industrial Siting Council for transmission lines [Appendices 45 and 46].  Karyn Coppinger with Wind Energy Producers Coalition spoke generally in favor of the two bills discussed.  Scott Zimmerman with Interwest Energy Alliance urged caution and asked to hear from the Department of Interior and Fish and Wildlife regarding the sage grouse issue. 

 

Senator Schiffer related that at the request of Management Council the Revenue Committee will consider a small wind energy tax bill.

 

School of Energy Resources

Mark Northam, Director of the School of Energy Resources reported on the overview and opportunities at the School of Energy Resources and the research priorities for in-situ uranium recovery in Wyoming [Appendices 47 and 48]. 

 

Western States Energy & Environment Symposium

Senator Schiffer summarized the results of the Western States Energy & Environment Symposium.  Steve Ellenbecker, Director of Governmental & External Relations, Wyoming Infrastructure Authority discussed transmission development in Wyoming and the region [Appendices 49 and 50].  

 

Governor's Office

Rob Hurless, Energy and Telecommunications Advisor to the Governor's Office provided comments from the Governor's Office and explained oxy-combustion facilities and the draft bill 10LSO-174.W2 – Coal value added facilities-tax exemptions [Appendix 51].  Co-Chairman Lockhart moved the bill seconded by Representative Brechtel. 

 

Senator Schiffer said the Joint Revenue Committee is agreeable to the Joint Minerals Committee taking this bill.  Bob Tarantola with Black Hills Corporation provided an update on various plant development plans.  Ms. Anderson spoke generally against the bill [Appendix 52].  Following discussion with no amendments, the Committee voted 10-4 to sponsor the bill.  Co-Chairman Larson and Representatives Byrd, Roscoe and Zwonitzer voted no.  The bill will be a Senate File.

 

 

Public Comment

Marion Loomis with the Wyoming Mining Association discussed uranium mining and current uranium consumption.  Wendy Lowe with Kern River discussed the status of their expansion projects.

 

Richard Garrett with the Wyoming Outdoor Council commented on the focus and participation of the Symposium and the willingness to focus on environmental efficiencies.  Dan Neal with the Equality State Policy Center expressed concern about the tax exemptions, especially in times of revenue decreases. 

 

The list of reports due was provided to the Committee [Appendix 53].  

 

 

Meeting Adjournment

There being no further business, the meeting adjourned at 4:00 p.m.

 

 

Respectfully submitted,

 

 

 

 

Thomas A. Lockhart, Co-Chairman

 

 

 

 

 

 

 

 

Appendix		Appendix Topic		Appendix Description		Appendix Provider
1		Committee Sign-In Sheet		Lists meeting attendees		Legislative Service Office (LSO)
2		Committee Meeting Agenda		Provides an outline of the topics the Committee addressed at the meeting		LSO
3		Department of Audit		Report #589 – Audit Investigations		Department of Audit
4		Department of Audit		Report # 591 – Audit Investigations		Department of Audit
5		Banking Commission		August 27, 2009 Memorandum		Banking Commission
6		Banking Commission		10LSO0071.W6 - Collection agencies.		LSO
7		Banking Commission		November 3, 2009 Letter		Attitude Connections
8		Banking Commission		November 9, 2009 Letter		Larry W. Harrington
9		Banking Commission		Proposed Division of Banking Amendment – 11-9-09		Banking Commission
10		Banking Commission		Proposed Division of Banking Amendment		Banking Commission
11		Banking Commission		10LSO0071.W7 - Collection agencies.		LSO
12		WBC		Status of State Energy Office – ARRA Stimulus Application – 10-16-09		WBC
13		WBC		State Energy Office Proposal for Energy Assurance		WBC
14		WBC		American Recovery and Reinvestment Act New/Adjusted Funds Request		WBC
15		WBC		Report #228 – Effectiveness of Investment in Industrial Development Bonds		WBC & Treasurer
16		WBC		Report #354 – Tax Exemptions for Manufacturing Equipment		Revenue
17		WBC		The Effects of the Sales and Use Tax Exemption for Manufacturing Machinery – Supplement, 11-6-2009		Revenue
18		WBC		Report #482 – Tax Exemptions for Coal Gasification and Liquefaction		Revenue
19		WBC		Report #597 – Effects of the Sales and Use Tax Exemption for Railroad Rolling Stock		Revenue
20		WBC		November 4, 2009 Letter		Bearlodge Forest Products
21		WBC		November 1, 2009 Letter		Neiman Enterprises
22		WBC		11-9-2009 Recommended Action		WEDA
23		Carbon Sequestration		What is Geologic Carbon Sequestration of Carbon Dioxide?		OGCC
24		Carbon Sequestration		Report #638 – Carbon Sequestration		DEQ & OGCC
25		Carbon Sequestration		Powerpoint		State Geologist
26		DEQ		September 28, 2009 Memorandum		DEQ
27		DEQ		Report #41 – Voluntary Environmental Audit Reporting		DEQ
28		DEQ		Report #232 – Underground Storage Tanks		DEQ
29		DEQ		Report #266 – Air Quality Fees		DEQ
30		DEQ		Report #358 – WYPDES Program Fee Report		DEQ
31		DEQ		Report #593 – Hazardous Waste Facility Fees		DEQ
32		OSLI		Federal Stimulus and Wyoming Budget Planning		OSLI
33		OSLI		Wyoming ARRA Funds Spreadsheet		OSLI
34		OSLI		Recovery Home Page		OSLI
35		OSLI		Programs Reportable to OMB		OSLI
36		University of Wyoming		Wyoming Conservation Corp (WCC) 2009 Season Accomplishments		WCC
37		University of Wyoming		Report #560 – Conservation Corps		WCC
38		Public Comments		Access to Justice Commission		Holland & Hart
39		Wind Energy		November 1, 2009 Final Report		Wind Energy Task Force
40		Wind Energy		Wind Energy Task Force Materials		LSO
41		Wind Energy		August 26, 2009  Memorandum on Power of Eminent Domain for Transmission Lines		LSO
42		Wind Energy		Industrial siting amendments for wind energy.		LSO
43		Wind Energy		Amendments to the Industrial Siting Act		Holland & Hart
44		Wind Energy		Duke Energy Comments		Holland & Hart
45		Wind Energy		Proposed Changes to the Industrial Siting Act		PRBRC
46		Wind Energy		The Answer is Blowing in - Iowa		PRBRC
47		SER		Overview and Opportunities		SER
48		SER		Research Priorities for In-Situ Uranium Recovery in Wyoming		SER
49		WSEES		Elements for Cooperative Agreement Among Participating States		SER
50		WSEES		Big Picture Discussion with the WIA and the Joint Minerals Committee		WIA
51		Governor's Office		10LSO-174.W2 – Coal value added facilities-tax exemptions.		LSO
52		Governor's Office		Comments on Coal Value Added Facilities Ta Exemptions		PRBRC
53		Miscellaneous		October 21, 2009 Report Due List		LSO