Title
An Ordinance amending and supplementing the Allegheny County Code of Ordinances through the creation of a new Chapter 720, entitled "Energy Resources," in order to establish County policy for the use of energy resources derived from property owned by Allegheny County.
Body
WHEREAS, Allegheny County owns various properties and holds the rights to those properties in trust for the People of Allegheny County;
WHEREAS, it has been discovered that several of the properties owned by the County contain deposits of materials such as natural gas that have inherent value as sources of energy that could be utilized by the County or other entities; and
WHEREAS, it is the judgment of Council that any naturally occurring deposit having inherent value remains the property of the people of Allegheny County, and should be managed in a fashion that does not deprive them of the benefit of the limited resource; and
WHEREAS, members of the Chief Executive's staff have asserted that the Administration is in the process of developing a comprehensive analysis of such resources that are owned by the County; and
WHEREAS, a reduction in the County's carbon footprint, which can be achieved through a variety of means, including increased reliance on combined cycle gas power generation, solar power, hydroelectric power sources, and wind power, is environmentally responsible insofar as it reduces greenhouse gas emissions, and will also greatly reduce the County's dependence upon oil derived from foreign sources; and
WHEREAS, no statutory policy for the management of naturally occurring resources currently exists, and it is the judgment of Council that a uniform policy needs to be established to ensure that the County's residents ultimately realize the benefit of extracting natural resources from County-owned property; and
WHEREAS, regulating the use of County land, facilities, and other property is the duty of Allegheny County Council, as established by Article IV, Section 2(k) of the Home Rule Charter;
The Council of the County of Allegheny hereby enacts as follows:
SECTION 1.
The Allegheny County Code of Ordinances is hereby amended through the creation of a new Chapter 720, entitled "Energy Resources," and comprised as follows:
Chapter 720
Energy Resources
§720-1. Scope.
The provisions of this Chapter shall be applicable to the mining, drilling, or other extraction of energy resources, as defined in §720-2, from any property in which the County maintains an ownership right, regardless of leases, conditional uses, management or any other rights granted to other parties or entities by the County, unless the County by legislative action specifically conveys one or more mineral rights to that party. Any conveyance of mineral rights by the County shall be construed narrowly, and shall not be deemed to include any mineral right not explicitly delineated within the legislation accomplishing the conveyance.
§720-2. Definitions.
The following words and phrases shall have the meanings prescribed herein, unless context clearly indicates otherwise:
A. "County-owned Property" shall include any parcel in which the County has a possessory interest, regardless of parcel size or location.
B. "Count Authority" shall mean any authority delineated in §5-203.01 of the Administrative Code of Allegheny County.
C. "County Agency" shall mean any agency delineated in §5-215.01 of the Administrative Code of Allegheny County.
D. "County Office" shall mean any County department or row office, and shall be deemed to include both Office of the Chief Executive, the Office of the County Manager, and the Office of County Council.
E. "Energy Resource" shall mean any naturally occurring element or other substance that can be used to generate electricity, power vehicles, heat structures, or otherwise create any energy source of tangible value to the County or any other individual or business. For the purposes of this Chapter, the term shall include, but not be limited to, petroleum, natural gas, wind, and sunlight.
F. "Governmental or Quasi-governmental Entity" shall mean any taxing body located within Allegheny County.
G. "Processing Facility" shall mean any mechanical, chemical, or other means of deriving energy from Energy Resources. For the purposes of this Chapter, the terms shall include, but not be limited to, windmills, solar energy panels, and electricity generating facilities.
§720-3. Establishment of general policy.
Allegheny County shall, under all circumstances and to the greatest extent possible, conserve the value of Energy Resources located on, above or under County-owned Property, or derived from Processing Facilities located on County-owned Property, for the County's taxpayers. Permissible uses of such Energy Resources shall only be as delineated within this Chapter.
§720-4. Permissible uses of Energy Resources; priority.
A. Any Energy Resource extracted from County-owned Property or derived from any Processing Facility located on County-owned Property shall, to the greatest extent possible, first be used to provide energy for use by County Offices. Quantities and market values of Energy Resources used pursuant to this Subsection shall be tracked by the individual County Offices, and the quantities and market values tracked for the previous 12 months shall be reflected in the budget materials that the County Offices provide annually to County Council.
B. After the disposition of Energy Resources pursuant to Subsection A, any remaining Energy Resources shall preferentially be sold to County Agencies, County Authorities, and Governmental or Quasi-governmental Entities at any rate negotiated by the Chief Executive or the appropriate designee, provided that such rate is no less than 75% of fair market value for the Energy Resource at the time of the sale. Quantities and sale prices of Energy Resources disposed of pursuant to this Subsection shall be tracked by the Chief Executive or an appropriate designee, and the quantities and sale prices tracked for the previous 12 months shall be reflected in the budget materials that the Chief Executive provides annually to County Council.
C. After the disposition of Energy Resources pursuant to Subsections A and B, any remaining Energy Resources may be sold to any entity at any rate negotiated by the Chief Executive or the appropriate designee, provided that such rate is no less than 85% of fair market value for the Energy Resource at the time of the sale. Quantities and sale prices of Energy Resources disposed of pursuant to this Subsection shall be tracked by the Chief Executive or an appropriate designee, and the quantities and sale prices tracked for the previous 12 months shall be reflected in the budget materials that the Chief Executive provides annually to County Council.
§720-5. Annual millage adjustment required.
A. The County's property tax millage for each budget year shall be decreased to reduce the County's predicted revenues derived from property taxes by an amount equivalent to the aggregate market value and sale process of all Energy Resources disposed in accordance with this Chapter during the prior budget year.
B. Nothing contained within this Section shall preclude the increase of the County's millage rate in any budget year, provided that such increase reflects the savings derived from disposition of Energy Resources in the prior budget year. A separate vote shall not be required for millage adjustments required by the terms of this Section.
SECTION 2. Effective Date.
The provisions of this Ordinance shall become effective immediately upon final approval.
SECTION 3. Severability. If any provision of this Ordinance shall be determined to be unlawful, invalid, void or unenforceable, then that provision shall be considered severable from the remaining provisions of this Ordinance which shall be in full force and effect.