PRINTER'S NO. 3171

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

2338

Session of

2024

INTRODUCED BY FIEDLER, O'MARA, STEELE, SCHLOSSBERG, HILL-EVANS,

D. WILLIAMS, WEBSTER, CURRY, KRAJEWSKI, SCOTT, VITALI,

SANCHEZ, BOYD, DONAHUE, SHUSTERMAN, T. DAVIS, KENYATTA,

executive and administrative work of the Commonwealth by the

Executive Department thereof and the administrative

departments, boards, commissions, and officers thereof,

including the boards of trustees of State Normal Schools, or

Teachers Colleges; abolishing, creating, reorganizing or

authorizing the reorganization of certain administrative

departments, boards, and commissions; defining the powers and

duties of the Governor and other executive and administrative

officers, and of the several administrative departments,

boards, commissions, and officers; fixing the salaries of the

of the deputies and all other assistants and employes of

certain departments, boards and commissions shall be

determined," in Energy Development Authority and emergency

powers, further providing for definitions, for Energy

Development Authority, for powers and duties and for

authority indebtedness.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. The definitions of "cost" and "project" in

section 2801-C of the act of April 9, 1929 (P.L.177, No.175),

"Cost" means the expense of construction and the expense of

acquisition of all structures, equipment, fixtures, lands and

other property rights and interests in land necessary to a

project. The term also includes the expense of demolishing,

removing or relocating any buildings, equipment, fixtures or

structures on lands acquired or to be acquired, including the

expense of acquiring any lands to which such buildings,

equipment, fixtures or structures may be moved or relocated;

storm water management; sewage treatment, waste treatment and

pollution control facilities; [railroad sidings, spurs or branch

project; administrative expenses; reserves for interest and for

extension, enlargements, additions and improvements; and such

other expenses as may be necessary or incidental to the

construction of the project and the placing of the same in

operation[.], including expenses for energy audits,

environmental and geotechnical surveys, permits and other

necessary approvals, planning and financing.

* * *

renewable energy resources and energy extraction, transmission,

storage or conversion;

(2) limited scale demonstration of innovative or

commercially unproven technology to promote the production, use

or conservation of energy; [or]

(3) activities to promote or remove obstacles to the

utilization and transportation of Pennsylvania energy resources,

including but not limited to limited scale synthetic fuel

facilities and the conversion or technological improvement of

industrial, commercial or agricultural systems to utilize

residential, commercial, industrial, governmental, agricultural,

transportation or cogeneration use; or

(5) the strengthening of the resiliency of infrastructure

that supports the development, generation, conservation,

management, delivery, storage or efficient use of energy.

Section 2. Section 2803-C(b)(1), (2), (3) and (4) and (d) of

the act are amended and the section is amended by adding a

subsection to read:

members shall be members of the general public. The members

initially appointed shall serve for terms of two, three and four

years, respectively, the particular term of each to be

designated by the Governor at the time of appointment. The terms

of all of their successors shall be four years each, except that

any person appointed to fill a vacancy shall serve only for the

unexpired term. Every member's term shall extend until his

successor is appointed and qualified. Any appointment of a

member of the authority shall be subject to the advice and

consent of a majority of all of the members of the Senate. Any

(4) The Secretary of [Commerce] Community and Economic

Development or his designee.

* * *

(d) The board of directors shall provide for the holding of

regular and special meetings. [Ten] Eight directors attending

shall constitute a quorum for the transaction of any business

and at least [six] five votes shall be required to adopt any

action, except that at least [nine] seven votes shall be

read:

Section 2806-C. Powers and Duties.--The authority, as a

public corporation and governmental instrumentality exercising

public powers of the Commonwealth, is hereby granted and shall

have and may exercise all powers necessary or appropriate to

carry out and effectuate the purposes of this article, including

the following powers, in addition to others herein granted:

* * *

(2) To have perpetual existence [for a term of fifty years,

or until its existence shall be terminated by law].

upon such terms and conditions as the authority may deem proper.

* * *

(14) To make grants, loans and loan guarantees to fund

[research] projects, including pilot programs for projects.

* * *

(18) To receive appropriations and apply for and accept

grants, gifts, donations, bequests and settlements from any

public, quasi-public, nonprofit or private source[.], including

tax credit under the Inflation Reduction Act of 2022 (Public Law

117-169, 136 Stat. 1818). To the extent permitted by Federal

law, a "grant" shall also include a tax credit, or the total or

partial dollar value of a tax refund generated by the elective

payment of a tax credit, that is transferred, assigned, paid,

conveyed to or shared with the authority by a public, quasi-

public, nonprofit or private entity. Funds received by the

authority shall be deposited in the Energy Development Fund and

used for the purposes of the authority.

(19) To establish, through bylaws and any amendments to the

(21) To plan, design, develop, finance, construct, own,

operate, maintain and improve projects, including pilot programs

for projects, either alone or jointly with other entities,

provided that the authority, or a wholly owned subsidiary of the

authority, shall maintain majority ownership of a project at all

times unless or until it terminates its interest in the project

consistent with this section. The power under this paragraph

shall extend to projects on real property which the authority

renewable energy resources in this Commonwealth, either directly

or by contract with an external administrator acting under the

oversight of the authority. The authority or its contractor may

invest in or finance projects alone or in conjunction with other

investors such as community development financial institutions,

insured credit unions and depository institutions and nonprofit

organizations that perform lending activities. Neither the

authority or its contractor may provide typical banking

functions or take deposits other than deposits from repayments

and other revenue received from financial assistance provided

receiving, a Federal tax refund generated by the elective

payment of an applicable tax credit under the Inflation

Reduction Act of 2022. The authority may charge a reasonable fee

for providing assistance and shall deposit all fees collected

into the Energy Development Fund to be used for the purposes of

the authority.

Section 4. Section 2807-C(j) introductory paragraph of the

act is amended to read:

Section 2807-C. Authority Indebtedness.--* * *

(j) In the event that the authority shall default in the

agreement made with the holders of the bonds, the holders of

twenty-five percent (25%) in aggregate principal amount of the

bonds then outstanding of such issues, by instrument or

instruments filed in the Office of the Prothonotary of the

Commonwealth Court, may appoint a trustee to represent the

bondholders for the purpose herein provided. Such trustee and

any trustee under any indenture or other agreement, may, and

upon written request of the holders of twenty-five percent

(25%), or such other percentage as may be specified in any

indenture or other agreement aforesaid, in principal amount of