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04 LC 25 3622S
The House Committee on Natural Resources & Environment offers the following
substitute to SB 356:
A BILL TO BE
ENTITLED
AN ACT
AN ACT
To provide for a registry of offsetting reductions in
greenhouse gases obtained by carbon sequestration; to amend Chapter 6 of Title
12 of the Official Code of Georgia Annotated, relating to forest resources and
other plant life, so as to enact the "Georgia Carbon Sequestration Registry
Act"; to provide a short title; to define certain terms; to establish the
Georgia Carbon Sequestration Registry; to provide for purposes of the registry;
to provide for functions; to provide for procedures and protocols; to provide
for construction; to provide for voluntary participation; to provide for
reporting procedures; to provide for standardized forms and software; to provide
for third-party verification of accuracy of results; to provide for reports to
the General Assembly and Governor; to amend Article 2 of Chapter 6 of Title 15
of the Official Code of Georgia Annotated, relating to clerks of superior
courts, so as to change certain provisions relating to duties of clerks
generally, use of a computerized record-keeping system, and printed copies of
grantee and grantor indices; to change certain provisions relating to the
Georgia Superior Court
Clerks´
Cooperative Authority; to provide for an information system for purposes of the
carbon sequestration registry; to provide for related matters; to provide
contingent effective dates; to repeal conflicting laws; and for other
purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF
GEORGIA:
SECTION 1.
Chapter 6 of Title 12 of the Official Code of Georgia
Annotated, relating to forest resources and other plant life, is amended by
inserting a new article to read as follows:
"ARTICLE
5
12-6-220.
This article shall be known and may be cited as the 'Georgia Carbon Sequestration Registry Act.'
12-6-221.
As used in this article, the term:
(1) 'Carbon sequestration results' means the participant´s applicable data on the removal of carbon dioxide from the atmosphere by sinks resulting from:
(A) Direct human-induced land use change or forestry activities in this state;
(B) Additional human-induced activities in this state related to removal by sinks in land use change and forestry categories;
(C) Additional human-induced activities in this state related to removal by sinks in agricultural soils;
(D) Additional human-induced activities in this state related to removals by sinks in products in use from harvested timber or agricultural crops; and
(E) Other human-induced activities in this state related to removals by sinks.
(2) 'Certification' means the determination of whether a given participant´s carbon sequestration result has met a minimum quality standard and complied with an appropriate set of approved procedures and protocols for submitting carbon sequestration information.
(3) 'Commission' means the State Forestry Commission.
(4) 'Director' means the director of the State Forestry Commission.
(5) 'Forest' means lands that support, or can support, at least 10 percent tree canopy cover and that allow for management of one or more forest resources including but not limited to timber, fish and wildlife, biodiversity, water quality, air quality, soil conservation, recreation, aesthetics, or other benefits.
(6) 'Greenhouse gases' means carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride.
(7) 'Native forest' means a forest type, natural or artificially regenerated, composed of any one or more tree species identified as native to this state in G. Norman Bishop, Native Trees of Georgia (Georgia Forestry Commission 2000 revised edition), including without limitation improved stock of such tree species developed through breeding programs.
(8) 'Participant' or 'registry participant' means a registrant of carbon sequestration results with the registry.
(9) 'Registry' means the Georgia Carbon Sequestration Registry provided for by this article.
(10) 'Sink' means an ecosystem or crop or product thereof that absorbs or has absorbed carbon, thereby removing it from the atmosphere and offsetting emissions of carbon dioxide.
12-6-222.
(a)(1) The commission shall establish a Georgia Carbon Sequestration Registry, which shall be in operation not later than one year after the effective date of this article.
(2) The commission may contract with the Georgia Superior Court Clerks´ Cooperative Authority to develop and implement a state-wide uniform automated electronic information system for purposes of the registry.
(b) After its establishment, the state-wide uniform automated electronic information system for purposes of the registry shall be maintained by the Georgia Superior Court Clerks´ Cooperative Authority or its designated agent in accordance with Code Section 15-6-97.2.
12-6-223.
The purpose of the Georgia Carbon Sequestration Registry shall be to do all of the following:
(1) Encourage voluntary actions to reduce greenhouse gas emissions;
(2) Enable participants to voluntarily record carbon sequestrations made after January 1, 1990, or such other beginning date as may be established by rule or regulation of the commission, in a consistent format that is certified;
(3) Ensure that sources in the state receive appropriate consideration for certified carbon sequestration results under any future federal or international regulatory regime relating to greenhouse gas emissions;
(4) Recognize, publicize, and promote participants in the registry; and
(5) Recruit broad participation in the process from all economic sectors and regions of the state.
12-6-224.
For purposes of the registry, the commission shall:
(1)(A) Adopt rules or regulations specifying acceptable types of carbon sequestration results consistent with paragraph (1) of Code Section 12-6-221 and this paragraph and providing procedures and protocols for the monitoring, estimating, calculating, reporting, and certification of carbon sequestration results for purposes of participation in the registry.
(B) Procedures and protocols relative to forestry activities that are reported as a participant´s carbon sequestration results under subparagraph (A) of paragraph (1) of Code Section 12-6-221 shall require, at a minimum, that those forestry activities meet the following criteria in order to be reported as any part of a participant´s carbon sequestration results:
(i) Forestry activities shall be based on forest management practices within a defined project area that meet or exceed Georgia´s Best Management Practices for Forestry as published by the commission and that are not the subject of any ongoing remediation or penalty pursuant to judicial or administrative judgment or order for violation of any applicable requirements of federal, state, or local land use laws, regulations, or ordinances. Best management practices and federal, state, or local land use laws, regulations, or ordinances shall be those in effect each time a participant registers a defined project area in the registry;
(ii) Forestry activities reported as carbon sequestration results shall reflect the amount of time that net carbon gains are stored; and
(iii) Forestry activities shall maintain and promote native forests.
(C) Procedures and protocols relative to sinks in agricultural soils that are reported as a participant´s carbon sequestration results under subparagraph (C) of paragraph (1) of Code Section 12-6-221 shall be adopted by the commission in accordance with the recommendation of the Commissioner of Agriculture.
(D) The commission shall consider the availability and suitability of simplified techniques and tools when adopting procedures and protocols for the certification of carbon sequestration results.
(E) The procedures and protocols adopted by the commission shall include a uniform format for reporting carbon sequestration results to facilitate their recognition in any future regulatory regime;
(2) Qualify third-party organizations that have the capability to certify reported baseline carbon sequestration results and that are capable of certifying the participant-reported results as provided in this article; and
(3) Encourage organizations and individuals from various sectors of the state´s economy, and those from various geographic regions of the state, to report carbon sequestration results.
12-6-225.
The procedures and protocols for monitoring, estimating, calculating, reporting, and certifying carbon sequestration results established by, or approved pursuant to, this article shall be the only procedures and protocols recognized by the state for the purposes of the registry as described in Code Section 12-6-223.
12-6-226.
Procedures and protocols adopted pursuant to subparagraph (B) of paragraph (1) of Code Section 12-6-224 shall not be interpreted or construed as a condition for any lease, permit, license, certificate, or other entitlement for an ongoing use of forest land.
12-6-227.
Participation in the registry shall be voluntary, and participants may withdraw at any time.
12-6-228.
(a) Participants shall initially report their certified carbon sequestration results for the most recent year for which they have complete data as specified in this article. Participants that have complete data for earlier years that can be certified may establish their baseline as any year beginning on or after January 1, 1990, or such other beginning date as may be established by rule or regulation of the commission. After establishing baseline results, participants shall report their certified carbon sequestration results in each subsequent year in order to show changes with respect to their baseline year. Participants may report carbon sequestration results without establishing a baseline for such results or for emissions. Certified carbon sequestration results reported to the registry by a participant shall be credited in carbon mass units to an account established for the participant in the registry.
(b)(1) Registry credits for certified carbon sequestration results may be sold, purchased, or otherwise transferred in whole or in part without any regard to or effect on or being affected by ownership of other personal property or any real property, and such credits may be retained in whole or in part without any regard to or effect on or being affected by any sale, purchase, or other transfer of other personal property or any real property.
(2) In addition to annual reports submitted pursuant to subsection (a) of this Code section, participants shall report to the registry any sales, purchases, or other transfers of registry credits for certified carbon sequestration results, in whole or in part, within ten days after the completion of such transaction, and participants´ registry accounts shall be updated to reflect such transfers.
(c) The basic unit of participation in the registry shall be a natural person or a legal entity in its entirety such as a corporation or other legally constituted body, a city or county, or a state government agency.
(d) Reports to the registry by participants may be filed in the office of the clerk of the superior court in any county of this state.
12-6-229.
To support the estimation, calculation, reporting, and certification of carbon sequestration results in a consistent format, the commission, in consultation with the Georgia Superior Court Clerks´ Cooperative Authority, shall adopt standardized forms that all participants shall use to calculate, report, and certify emissions results.
12-6-230.
(a) Participants registering baseline carbon sequestration results in the registry shall provide certification of their methodologies and results. The commission may, upon recommendation of the director, following a public process, adopt simplified procedures to certify carbon sequestration results as appropriate. Participants shall follow commission-approved procedures and protocols in determining carbon sequestration results and supply the quantity and quality of information necessary to allow an independent ex post certification of the baseline results reported under this program.
(b) The commission shall provide a list of approved third-party organizations recognized as competent to certify carbon sequestration results as provided in this article. The commission shall reopen the qualification process periodically in order for new organizations to be added to the approved list.
(c) Where required for certification, organizations approved pursuant to subsection (b) of this Code section shall do all of the following:
(1) Evaluate whether the participant has a program, consistent with commission-approved procedures and protocols, in place for preparation and submittal of the information reported under this article;
(2) Check, during certification, the reasonableness of the carbon sequestration information being reported for a random sample of estimates or calculations; and
(3) Summarize its review in a report to the board of directors, or equivalent governing body, of the participating legal entity or to the participating natural person, attesting to the existence of a program that is consistent with commission-approved procedures and protocols and the reasonableness of the reported carbon sequestration results and noting any exceptions, omissions, limitations, or other qualifications to their representations.
(d) In conducting certification for a participant under this program, the approved organization shall schedule any meeting or meetings with the participant with a minimum of one week´s notice at one or more representative locations and allow the participant to control property access. The meetings shall be conducted in accordance with a protocol that is agreed upon in advance by the participant and the approved organization. The approved organization shall not perform property inspection, direct measurement, monitoring, or testing unless authorized by the participant.
(e) To ensure the integrity and constant improvement of the registry program, the commission shall perform on a random basis an occasional review and evaluation of participants´ carbon sequestration reporting, certifications, and the reasonableness of the information being reported for analysis of estimates or calculations. The director shall report any findings in writing. The director shall include a summary of these findings in the biennial report to the Governor and the General Assembly required by Code Section 12-6-231.
12-6-231.
Not later than two years after the effective date of this article and biennially thereafter, the director shall report to the Governor and the General Assembly on the number of participants in the registry, the amounts of carbon sequestered by those participants, and ways to make the registry more workable for participants that are consistent with the goals and intent of this article.
12-6-232.
The commission shall do all of the following:
(1) Develop a process for qualifying third-party organizations recognized by the state as competent to certify the carbon sequestration results of the types of natural persons or legal entities that may choose to participate in this registry, by doing all of the following:
(A) Developing a list of the minimum technical and organizational capabilities and other qualification standards that approved third-party organizations shall meet. Those qualifications shall include the ability to sign an opinion letter, for which they may be held financially at risk, and certifying the participant-reported carbon sequestration results as provided in this article. Such capabilities and standards for third-party organizations related to certification of carbon sequestration results achieved by sinks in agricultural soils under subparagraph (C) of paragraph (1) of Code Section 12-6-221 shall be adopted by the commission in accordance with the recommendation of the Commissioner of Agriculture;
(B) Publicizing an applications process or otherwise encouraging interested organizations to submit their qualifications for review;
(C) Evaluating applicant organizations according to the list of qualifications described in subparagraph (A) of this paragraph;
(D) Determining specific third-party organizations as qualified to certify participants´ actual carbon sequestration results in accordance with this article; and
(E) Periodically updating the list of approved third-party organizations by doing any of the following:
(i) Reviewing the capabilities of approved organizations;
(ii) Reviewing applications of organizations seeking to become approved; and
(iii) Determining specific organizations to be added to the approved list and specific organizations no longer qualified to perform the duties of this article;
(2) Occasionally, and on a random basis, provide for commission employees to accompany third-party organizations on scheduled visits to observe and evaluate, during any certification visit, both the following:
(A) Whether the participant has a program, consistent with commission-approved procedures and protocols, in place for the preparation and submittal of the information required under this article; and
(B) The reasonableness of the carbon sequestration information being reported for a sample of estimates or calculations; and
(3) Review future international or federal programs related to greenhouse gas emissions and make reasonable efforts to promote consistency between the state program and these programs and to reduce the reporting burden on participants."
SECTION 2.
Article 2 of Chapter 6 of Title 15 of the Official Code of
Georgia Annotated, relating to clerks of superior courts, is amended in
subsection (a) of Code Section 15-6-61, relating to duties of clerks generally,
used of a computerized record-keeping system, and printed copies of grantee and
grantor indices, by inserting a new paragraph to read as
follows:
"(15.1) To participate in any network established by the Georgia Superior Court Clerks´ Cooperative Authority relating to the transmission and retrieval of electronic information concerning carbon sequestration results and related transactions for any such information systems established by such authority for purposes of the carbon sequestration registry established pursuant to Article 5 of Chapter 6 of Title 12, so as to provide for public access to carbon sequestration registry information. Each clerk of the superior court shall provide to the authority or its designated agent in accordance with the rules and regulations of the authority such information evidencing carbon sequestration results and related transactions and access to such information which is of record in the office of clerk of the superior court and which is necessary for purposes of the carbon sequestration registry. Each clerk of the superior court shall provide and transmit carbon sequestration results and related transaction information filed in the office of the clerk of superior court to the authority for testing and operation of the electronic information system for the carbon sequestration registry at such times and in such form as prescribed by the authority. Each clerk shall charge and collect such fees as may be established by the Georgia Superior Courts Clerks´ Cooperative Authority, which shall be paid into the county treasury less and except any sums as are otherwise directed to be paid to the authority, all in accordance with rules and regulations adopted by the authority pursuant to Code Section 15-6-97.2;"
"(15.1) To participate in any network established by the Georgia Superior Court Clerks´ Cooperative Authority relating to the transmission and retrieval of electronic information concerning carbon sequestration results and related transactions for any such information systems established by such authority for purposes of the carbon sequestration registry established pursuant to Article 5 of Chapter 6 of Title 12, so as to provide for public access to carbon sequestration registry information. Each clerk of the superior court shall provide to the authority or its designated agent in accordance with the rules and regulations of the authority such information evidencing carbon sequestration results and related transactions and access to such information which is of record in the office of clerk of the superior court and which is necessary for purposes of the carbon sequestration registry. Each clerk of the superior court shall provide and transmit carbon sequestration results and related transaction information filed in the office of the clerk of superior court to the authority for testing and operation of the electronic information system for the carbon sequestration registry at such times and in such form as prescribed by the authority. Each clerk shall charge and collect such fees as may be established by the Georgia Superior Courts Clerks´ Cooperative Authority, which shall be paid into the county treasury less and except any sums as are otherwise directed to be paid to the authority, all in accordance with rules and regulations adopted by the authority pursuant to Code Section 15-6-97.2;"
SECTION 3.
Said article is further amended by striking paragraph (3) of
subsection (a) of Code Section 15-6-94, relating to the Georgia Superior Court
Clerks´
Cooperative Authority, and inserting in lieu thereof the
following:
"(3) The purpose of the authority shall be to provide a cooperative for the development, acquisition, and distribution of record management systems, information, services, supplies, and materials for superior court clerks of the state, on such terms and conditions as may be determined to be in the best interest of the operation of the office of the clerk of superior court, local government, and the state, in light of the following factors:
(A) The public interest in providing cost-efficient access to record management systems, information, services, supplies, and materials, and a pool which will provide related resources and uniformity;
(B) Cost savings to local government and the state, through efficiency in the provision of record management systems, information, services, supplies, and materials;
(C) Fair and adequate compensation to local governments for costs incurred in the operation of the offices of clerks of superior court; and
(D) Such other factors as are in the public interest and welfare.
The authority shall be the sole owner of its compiled and developed information developed through any function performed or any program or system administered on behalf of the authority. For the purposes of this subsection the authority shall not be considered the sole owner of information developed pursuant to Code Section 15-6-97.1 or Code Section 15-6-97.2 and Article 5 of Chapter 6 of Title 12."
"(3) The purpose of the authority shall be to provide a cooperative for the development, acquisition, and distribution of record management systems, information, services, supplies, and materials for superior court clerks of the state, on such terms and conditions as may be determined to be in the best interest of the operation of the office of the clerk of superior court, local government, and the state, in light of the following factors:
(A) The public interest in providing cost-efficient access to record management systems, information, services, supplies, and materials, and a pool which will provide related resources and uniformity;
(B) Cost savings to local government and the state, through efficiency in the provision of record management systems, information, services, supplies, and materials;
(C) Fair and adequate compensation to local governments for costs incurred in the operation of the offices of clerks of superior court; and
(D) Such other factors as are in the public interest and welfare.
The authority shall be the sole owner of its compiled and developed information developed through any function performed or any program or system administered on behalf of the authority. For the purposes of this subsection the authority shall not be considered the sole owner of information developed pursuant to Code Section 15-6-97.1 or Code Section 15-6-97.2 and Article 5 of Chapter 6 of Title 12."
SECTION 4.
Said article is further amended by inserting a new Code
section to read as
follows:
"15-6-97.2.
(a) The Georgia Superior Court Clerks´ Cooperative Authority or its designated agent shall maintain a state-wide uniform automated electronic information system for purposes of the carbon sequestration registry established under Article 5 of Chapter 6 of Title 12. In furtherance of such purpose, the authority shall have the ability to contract with the clerks of superior courts and any other parties that the authority deems necessary. Standardized forms used for registry reporting purposes shall be established by the State Forestry Commission in accordance with Code Section 12-6-229.
(b) For purposes of this Code section, the Georgia Superior Court Clerks´ Cooperative Authority shall have the following powers and duties in addition to those otherwise provided by law:
(1) To establish such registration and transaction fees to be charged and collected by the clerks of superior courts and the portion thereof that shall be remitted to the authority, in such amounts as are reasonable and necessary to offset the costs of administering and maintaining the electronic information system for the registry, and to provide for the collection of moneys;
(2) To manage, control, and direct such funds as are remitted to the authority and the expenditures made therefrom;
(3) To distribute the moneys at the discretion of the authority in such manner and subject to such terms and limitations as the Georgia Superior Court Clerks´ Cooperative Authority in its discretion shall determine will best further the public purpose of the registry;
(4) To adopt rules and regulations; and
(5) To exercise all other powers necessary for maintenance of the electronic information system for the registry."
"15-6-97.2.
(a) The Georgia Superior Court Clerks´ Cooperative Authority or its designated agent shall maintain a state-wide uniform automated electronic information system for purposes of the carbon sequestration registry established under Article 5 of Chapter 6 of Title 12. In furtherance of such purpose, the authority shall have the ability to contract with the clerks of superior courts and any other parties that the authority deems necessary. Standardized forms used for registry reporting purposes shall be established by the State Forestry Commission in accordance with Code Section 12-6-229.
(b) For purposes of this Code section, the Georgia Superior Court Clerks´ Cooperative Authority shall have the following powers and duties in addition to those otherwise provided by law:
(1) To establish such registration and transaction fees to be charged and collected by the clerks of superior courts and the portion thereof that shall be remitted to the authority, in such amounts as are reasonable and necessary to offset the costs of administering and maintaining the electronic information system for the registry, and to provide for the collection of moneys;
(2) To manage, control, and direct such funds as are remitted to the authority and the expenditures made therefrom;
(3) To distribute the moneys at the discretion of the authority in such manner and subject to such terms and limitations as the Georgia Superior Court Clerks´ Cooperative Authority in its discretion shall determine will best further the public purpose of the registry;
(4) To adopt rules and regulations; and
(5) To exercise all other powers necessary for maintenance of the electronic information system for the registry."
SECTION 5.
This Act shall become effective only upon the effective date
of a specific appropriation of funds for purposes of this Act as expressed in a
line item of an appropriations Act enacted by the General
Assembly.
SECTION 6.
All laws and parts of laws in conflict with this Act are
repealed.