Bill
SB 2547
The bill increases funding flexibility for climate programs via EC4, raises oil-spill fees, and expands fund use to support emission reductions and climate-resilience with annual r
Purpose and overall aim
- This bill would modify provisions related to Rhode Island’s 2021 Act on Climate, with a focus on funding administration for climate initiatives and expanding the uses of certain environmental funds to support emissions-reduction and climate goals.
- It also tightens oversight by requiring annual reporting on how funds are used to achieve climate objectives.
Key provisions and changes
1) Funding for the EC4 (Executive Climate Change Coordinating Council)
- Creates a restricted receipt account in the General Fund, within the Department of Administration’s budget, titled “RGGI-executive climate change coordinating council projects.”
- This account records receipts and expenditures pursuant to specified statutory authorities and allows the state budget officer to create restricted-receipt sub-accounts as directed by EC4.
- The EC4 must report annually to the governor and General Assembly within 120 days after each calendar year’s end detailing how funds were used to meet the Act on Climate’s objectives.
2) Oil Spill Prevention, Administration, and Response Fund (46-12.7-4.1 and related sections)
- Updates the uniform oil spill response and prevention fee:
- Increases the fee from 5 cents to up to 12 cents per barrel for petroleum products received at Rhode Island marine terminals from out-of-state origins.
- The fee applies to the owner of petroleum products, with payment to a registered marine terminal operator providing relief from further liability.
- The asphalt products/derivatives fee remains at 1 cent per barrel.
- Fee administration:
- Fees are deposited into the Oil Spill Prevention, Administration, and Response Fund and disbursed per § 46-12.7-5.1.
- If the fund nears a designated amount, the director can instruct cessation of fee collection.
- The “designated amount” is currently $10 million, adjusted for inflation since 1998.
- Each July 1, $250,000 of fees are allocated to the Coastal and Estuarine Habitat Restoration Trust Fund.
- Preventative uses of the fund (46-12.7-13):
- The legislature may allocate up to $250,000 per year for research, development, and monitoring related to oil pollution causes, effects, and removal.
- This allocation supports the Department of Environmental Management (DEM) and aligns with the Comprehensive Watershed and Marine Monitoring Act (2004).
- Remaining funds may be used for additional purposes approved by the director, including data management, scientific research directly related to state legislation, improved removal/containment technologies for refined fuel oils, and supporting EC4-emission-reduction efforts.
3) Underground Storage Tank (UST) Financial Responsibility Act – Fund uses
- The fund may reimburse up to $1,000,000 per incident and up to $2,000,000 in aggregate for eligible costs related to petroleum releases from underground storage tanks, with a $20,000 deductible for responsible parties.
- Reimbursement for third-party claims up to $1,000,000 per release.
- DEM can undertake corrective actions or recover costs if a responsible party fails to comply.
- Subrogation rights for the state are preserved.
- Administrative costs paid from the fund may not exceed $550,000 per fiscal year.
- New or expanded purposes include funding projects approved by EC4 that reduce emissions and support Act on Climate goals.
Effective date
- The act takes effect upon passage.
Potential impact
- Increased funding flexibility for climate-related programs via EC4 and related environmental funds.
- Higher oil spill fees to bolster prevention, response, and restoration activities, with explicit allocations to habitat restoration.
- Expanded use of fund dollars to support climate emission reductions and climate-resilience initiatives, in alignment with Rhode Island’s climate goals.
- Enhanced reporting and accountability regarding how climate funds are spent.
Compiled from official sources — confirm details with the bill’s official record.
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