April 19, 2019 -- Go Fly a Kite
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Winter snow has melted away, the grass is turning green, and a warm Spring breeze
on Good Friday provided the perfect opportunity to fly a kite on the Capitol grounds.
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Roosevelt Library Gets Senate Approval
House to Act on Presidential Museum Next Week
The North Dakota Senate has given its blessing to a plan to provide state financial support toward the operation of the Theodore Roosevelt Presidential Library and Museum, but because of a procedural question, the House won't make a decision on the plan until next week.
The Senate voted 34-13 to approve a "hoghouse" amendment to
HB 1320 to establish a $50 million endowment fund, earnings from which would provide ongoing support for the library, which would be built near the entrance to the south unit of Theodore Roosevelt National Park. But House Speaker Larry Klemin said the amendment was not germane to the original bill and could be challenged on constitutional grounds.
The original version of HB 1320 dealt with the Red River Water Supply Project. Instead of acting on the bill, House lawmakers decided to tack the library funding language onto
SB 2001, which is the budget bill for the governor's office.
Senate Majority Leader Rich Wardner from Dickinson, who's been leading the effort to come up with a way to put state money into the project, talked about the bill in an interview on the radio program,
Energy Matters. He said the $50 million state contribution would never be spent, only its earnings could be used, and only if $100 million in private capital is raised to build and equip the library. Wardner believes the facility would boost tourism in the state.
Click
here to listen to Wardner's comments.
Senator Dale Patten, R-Watford City, also supported the funding proposal. In floor remarks, Patten compared the opportunity to build the library to his community's decision to build the Rough Rider Center.
Click
here to listen to Patten's comments.
Senator Terry Wanzek, R-Jamestown, also supported the legislation. He believes the state will regret its decision if it doesn't sieze the opportunity.
Click
here to listen to Wanzek's comments.
Governor Doug Burgum has been a strong supporter of the Roosevelt Library, and indicated support for the funding plan. The $50 million would be a combination of $15 million from the general fund, including carryover funds previously appropriated for the presidential library, and a $35 million loan from the Bank of North Dakota.
The measure also requires that $10 million of the private capital go to Dickinson State to digitize Roosevelt's documents, and that $300,000 be donated to Dickinson to allow the city to recoup its costs related to planning for the library.
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House Rejects Legacy Fund Earnings Study
Legislators have had disagreements throughout the 2019 session about what to do with earnings from the state's Legacy Fund, and today the House refused to agree with the Senate on a resolution to examine possible uses of the earnings in an interim study.
The House soundly defeated
HCR 3055 on a 57-35 vote. The original version of the measure, sponsored by Rep. Corey Mock, D-Grand Forks, would have asked voters to approve a constitutional amendment that would automatically reinvest all earnings from the state’s Legacy Fund. If voters approved the measure, the earnings could only be spent with a two-thirds vote of the legislature. (See previous article in
March 22 newsletter).
The Senate rejected Mock's proposal and instead turned the resolution into an interim study that would include such considerations as using the earnings for investments in research, technological advancements in energy and agriculture, workforce development and recruitment, career and technical education, and business growth initiatives.
House Majority Leader Chet Pollert, R-Carrington, supported the Senate proposal. He said he would expect the interim committee to gather ideas from all across the state.
Click
here to listen to Pollert's comments.
Supporters of the study resolution were outnumbered by members who were concerned the study only focused on ways to spend the earnings. Mock said the state should also look at saving some portion of the earnings. In floor remarks, he said he'd spoken with policy makers in Alaska who told him they wish they had done more to preserve earnings from the state's permanent fund.
Click
here to listen to Mock's comments.
The most recent
financial statement of the Legacy Fund shows assets of more than $6 billion, and earnings of more than $415 million available for transfer to the general fund at the end of the biennium.
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Pore Space Legislation Signed into Law
A complex energy bill dealing with underground pore space has been signed into law by Governor Doug Burgum, despite a plea from a landowner rights group that he veto the bill.
The Senate on a 34-12 vote Tuesday approved an
amended version of
SB 2344 agreed to by a conference committee. The House followed suit Wednesday, passing the bill 66-24.
Following passage, the Northwest Landowners Association issued a
statement asking that the governor veto the bill. NWLA said it had consulted with several attorneys who believe the bill amounts to a taking of private property rights without compensation.
The legislation was the subject of seven meetings of a House Energy and Natural Resources subcommittee, as well several meetings of the House-Senate conference committee to iron out details of the pore space ownership issue. The most significant change to the final product was the removal of language relating to the temporary storage of natural gas, which to date hasn’t been accomplished, but would be the subject a pilot project contained in Section 34 of the most recent version of
HB 1014.
On the
Energy Matters radio show this week, Rep. George Kaiser, who chaired the subcommittee that worked on the bill, talked about the pilot project aimed at determining the feasibility of using pore space to store produced natural gas that would otherwise be flared.
Click
here for his comments.
Opponents of the measure, including Rep. Marvin Nelson, D-Rolla, argued that the bill will result in an onslaught of court cases, or could possibly be referred to voters.
For additional details, read Amy Dalrymple's
article in the Bismarck Tribune.
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SIRN 2020 Gets Final Legislative Approval
Legislation that would provide funding to support the development of a statewide radio network for North Dakota emergency responders was approved this week.
HB 1435, a bill to establish a Statewide Interoperable Radio Network (SIRN), received final approval on a 47-0 vote in the Senate yesterday. A conference committee version of the bill previously passed the House on an 86-6 vote. The bill now heads to Governor Burgum for his signature.
The bill's prime sponsor, Rep. Glenn Bosch, R-Bismarck, said it will provide $40 million in direct funding for the project, as well as an $80 million line of credit from the Bank of North Dakota.
Bosch explained the funding mechanism during an interview on the radio program,
Energy Matters.
Click
here to listen to Bosch's comments.
Bosch said the SIRN project will be completed in phases that will take several years.
Click
here to listen to Bosch's comments.
Bosch said the bill solves two problems with the existing system. The first problem is interoperability, which is simply the ability of different agencies to speak to each other on a radio network. The second issue the network will resolve is poor coverage in rural areas and challenges inside structures in cities.
“Up to this point, I think we are really fortunate we haven’t had a serious disaster take place by not being able to speak to each other,” Bosch said. “This is something we've been working on for a long time. We worked with the first responder community to find a system they all could get behind. I think we are there right now with the bill."
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Resolution Would Give Legislature a Say
Voters to Decide if Measures Need a Second Look
Voters will be asked to decide in 2020 if the legislature should be allowed to offer its opinion of any constitutional amendments approved by North Dakota voters.
The Senate this week approved
SCR 4001 on a 31-15 vote. It previously passed the House 63-30. The resolution provides that if voters approve an amendment to the state constitution, it would then come to the legislature for review. If lawmakers approve, it would become part of the constitution. But if the legislature doesn’t approve, the measure would go back on the ballot again. If voters approved again, it would become effective. The measure would also require that constitutional amendments only appear on the general election ballot.
In floor debate, Sen. Tim Mathern, D-Fargo, said the the measure conflicts with the constitution which says the legislature should not “hamper, restrict or impair” the power of the people. But Sen. David Hogue, R-Minot, said the resolution actually gives more power to the people. He detailed how out-of-state interests have been manipulating North Dakota's election process to their advantage.
Click
here to listen to Hogue's comments.
The Senate rejected two other proposed constitutional amendments.
HCR 3034, was dumped because its language requiring that constitutional amendments only appear on the general election ballot was added to SCR 4001. The Senate also defeated
HCR 3007, which would have required a ballot measure committee to have its language reviewed by Legislative Council before it goes on the ballot.
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Bekkedahl Optimistic Meeting Will Help
Collaboration May Solve Williston School Issue
Williston Senator Brad Bekkedahl is hopeful that a meeting last week at the Capitol between the school boards of the two districts that serve Williston will eventually result in a solution to what he characterizes as a "crisis" in the city.
Bekkedhahl, who was interviewed by WDEA Executive Director Geoff Simon on the radio program
Energy Matters, said he is grateful to Governor Burgum for his role in organizing the meeting of the two districts before the state Board of Public Instruction and state Superintendent Kirsten Baesler. The governor encouraged the two boards to engage in "extreme collaboration" to resolve the issue. Bekkedahl said he believes that is what is required to come up with a solution.
Click
here for to listen to Sen. Bekkedahl's comments.
A bond issue in Williston District #1 to build two new elementary schools and an addition to Williston High School narrowly failed on April 9. Willliams County District #8 has a school bond vote to fund a similar construction project coming up on May 14.
Click
here for last week’s WDEA newsletter featuring a discussion of the joint board meeting.
Click
here and advance to the 28.30 mark to listen to the full interview with Senator Bekkedahl.
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Bill Would Enclose Capitol Entrance
Visitor accessibility to the Capitol may be the subject of an interim legislative study, but if the funding stays in place, one of the building's problem areas may be resolved in a construction project.
SB 2015, the appropriation bill of the state Office of Management and Budget, contains a $2 million line item that would fund enclosure of the south entrance of the structure. It's the only public entrance to the building since security measures were instituted prior to the start of the 2017 legislative session.
The south entrance is located under the Capitol's massive steps in a tunnel-like structure. Rep. Don Vigesaa, R-Cooperstown, chairman of the Government Operations Division of the Appropriations Committee, said the area is just not a proper entrance to the Capitol.
Click
here to listen to Vigesaa's comments.
Vigesaa said security personnel working the south entrance inside the building had to wear coats and gloves all winter. He said the small space creates problems with the frequent tours of the building.
“When we have a lot of visitors from schools that small area was just jammed with people and, of course, it’s slow to go through the security and our poor public had to stand in conditions inside the building that were just unacceptable in my opinion," Vigesaa said.
The renovation plan would also address previously identified accessibility concerns that are currently the subject of a proposed interim study (see
HB 1298).
Click
here to listen to Vigesaa's comments. Click
here to see design plans that show how the new exterior and interior entrances might look.
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Update: Davis Refinery
The Davis Refinery is now fully permitted. Site preparation and grading began in July 2018 and construction is set to resume this spring.
The full-conversion facility will be capable of refining up to 49,500 barrels of crude per day. The refinery will sit on approximately 150 acres in Billings County west of Belfield.
Company officials say the Davis Refinery will enjoy several competitive advantages including the proximity to oil production, the use of low cost natural gas to operate the plant and its strategic location with direct access to major transportation infrastructure.
The refinery is the first full conversion refinery ever to be permitted as a Synthetic Minor Source with emissions about 10% to 15% of industry averages.
Click
here for more information on the Davis Refinery and
here for information on the issued permits.
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Truckers Reminded of Weight Restrictions
Overweight Load Violations Can Mean Hefty Fines
It’s that time of year when rain events will cause county and township road supervisors to impose weight restrictions on roads, and unwary violators could face huge fines.
Such a case occurred this week when a fuel truck delivery driver crossed into another county where a 12,000-pound-per-axle weight limit had been imposed because overnight rain had saturated the road. The vehicle, which was carrying 3,000 gallons of fuel, was stopped by a sheriff’s deputy and initially faced a fine of $9,200. However, after learning the driver was from an adjoining county and unaware that restrictions had been imposed that morning, the overweight penalty was not enforced.
The incident serves as a reminder to truckers of the notification procedures, and the obligation of local road superintendents to alert the public that the restrictions have been put in place. Counties that are members of the
LoadPass Permit System can notify trucking companies through LoadPass, which offers text alerts and email notifications to those who sign up to be notified. Counties that impose restrictions are obligated to post notice on the county’s website, and many will also issue notifications through social media. If truckers have any doubts, they can check the
list of restrictions on the LoadPass site, or contact the county highway department or sheriff’s office.
The restrictions apply to overweight vehicles in all industrial classes including farmers and ranchers who may be hauling equipment, fertilizer, livestock, grain or other commodities.
Click
here to see a table showing the fee schedule for overweight violations.
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Coal-fired Generation Challenged
New England Grid Concerned
There is growing concern among operators in the electric generation industry that the electric grid is becoming too dependent on intermittent renewable sources such as wind and solar.
Grid operators are concerned about reliability, which is the topic of an April 2019 paper by ISO New England discussing long-term challenges to reliability in its region.
In an email its members this week, the Lignite Energy Council noted how coal-based power plants aren't treated fairly in the marketplace given the government mandates and federal tax credits that favor "just-in-time" alternative and renewable sources and not coal-based generation with fuel stored onsite.
What happens over the long-term is that the region’s wholesale markets, given the less expensive power offered through mandates and tax credits, don’t provide adequate financial incentives for coal-fired plants to make appropriate and cost-effective supply arrangements. The result is a threatened power supply during high demand periods causing brownouts and even blackouts.
Click
here to read a summary of the paper, and
here to read the full document. Click
here to read the LEC's April issue of Table Topics.
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Pick Up the Patch Dates Announced
A winter's worth of garbage scattered in ditches along streets and highways in western North Dakota will soon be in the bottom of a trash bag.
The North Dakota Petroleum Council is encouraging its members to take the lead or help communities with annual spring clean up plans. Below is a summary of some of the events already on the calendar. Anyone planning other clean-up activities is encouraged to notify NDPC to help coordinate the effort.
DICKINSON
Monday, May 6 – Sunday, May 12
NEW TOWN
Wednesday, April 24: 11 a.m. -- Northern Lights Wellness Center
Wednesday, May 15: 10 a.m. -- Focus on areas outside of the New Town city limits.
WILLISTON
Aafedt Stadium Parking Lot -- Saturday, April 27: 8:30 a.m. – 12 noon.
WATFORD CITY and MCKENZIE COUNTY
Monday, May 6 - 11
Community Clean-Up Day: Saturday, May 11 at 9 a.m.
TRENTON
Clean-up of Highway 1804 on Friday, May 3. In case of bad weather, the event will be rescheduled for Wednesday, May 8.
For additional details and contact information for each event, click
here. Contact
Tessa Sandstrom at the NDPC about any other “pick up the patch” events.
HWY 85 CLEAN-UP WEEK
The Theodore Roosevelt Expressway Association is organizing another clean-up week and is asking for input on the best times to do this. Volunteers are urged to contact Cal Klewin, TREA executive director at 701-523-6171 or send him an
email.
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WDEA Offering Energy Scholarships
The Western Dakota Energy Association will award five $1,000 scholarships this fall to students in an energy-related field at a North Dakota college, university or technical school.
WDEA President Gary Wilz said the association is offering the scholarships to help the industry and western communities meet the workforce challenges now being experienced with the surge in oil industry activity.
“We recognize that North Dakota will see benefits from higher oil prices only if the industry is able to attract the workforce it needs,” said Wilz, who is Superintendent of the Killdeer Public School District. “We want to do everything we can to encourage young people to explore the many opportunities for a rewarding career in the energy industry.”
Funding for the scholarship program is generated by sponsorships of WDEA’s annual meeting, as well as royalties from advertising in Basin Bits magazine.
Click
here to learn more about the selection criteria and how to apply.
Click
here to view or download an application form.
The application deadline is August 31, 2019. Scholarships will be awarded in September.
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Quick Connect
- Washington House passes crude-by-rail bill, with change -- S&P Global
- Washington state crude-by-rail bill could upend U.S. oil flows -- OilPrice.com
- Williston #1, Williams County #8 school boards meet in Bismarck -- KFYR TV
- North Dakota legislative leaders cautiously eye end of legislative session -- Fargo Forum
- As session's end looms, ND lawmakers look to wrap up ethics bills -- Bismarck Tribune
- Democratic lawmaker warns Senate-passed ethics bill has 'gaping holes' -- Bismarck Tribune
- Lobbyists sue SD over ban on out-of-state contributions to ballot committees -- Mitchell Republic
- Baesler talks changes in ND education system from 2019 legislative session -- KFYR-TV
- New law lets North Dakota cities, counties raise speed limit fines -- Bismarck Tribune
- Stark Development Corporation moves into new downtown offices -- Dickinson Press
- Hoeven brings Army Corps of Engineers to Minot to discuss flood protection -- Minot Daily News
- Event set up for McKenzie County flood victims along Yellowstone River this week -- KXMB-TV
- Dakota Access Pipeline was targeted by Russian social media campaigns -- GAIN Fact Checker
- Hess Classroom Volunteers: Science skills could pay off in the oil industry -- Minot Daily News
- Over 1,800 jobs open in the Bakken, employers looking for experienced workers -- KXMB-TV
- SD officials deny anti-rioting law violates Constitution, want lawsuit dismissed -- Fargo Forum
- Here are the four pipelines Trump’s executive orders could help most -- Inside Sources
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Factoid of the Week
ND lignite-based power plants generate electricity at a cost significantly below all other coal and natural gas power plants nationwide. Average costs for lignite-fueled power plants average $22.94 per megawatt-hour. Average cost for nuclear-fueled stations is $23.20 and the average of all other coal-fueled stations is $31.27. Natural gas fueled stations average cost is $33.22.
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April 23-24
Williston
April 24
Bismarck
April 24-25
Bismarck
April 25
Bismarck
April 30
Bismarck
April 30 - Stanley; May 1 - Grand Forks; May 2 - Jamestown
April 30-May 1 and May 2-3
Bismarck
May 5-7
Oklahoma City
May 7-8
Williston
May 9
Dickinson
May 27-29
Regina
June 17-20
Bismarck
July 16-17
Bismarck
July 16
Bowman
July 17
New Town
July 18
Van Hook
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Oil prices and rig count
April 19, 2019
WTI Crude: $64.00
Brent Crude: $71.97
Natural Gas: $2.49
North Dakota Active Rigs: 63 (up 1)
4/12
/2018
-- 59 rigs
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Geoff Simon
Editor/Executive Director
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