SB648 SFA Willis #1 2-17
Kraus 7502
Senator Willis moved to amend the bill by striking out everything after the enacting clause and inserting in lieu thereof the following:
This article is and may be cited as the "Strategic and Critical Resources Act".
(a) The Legislature finds that certain minerals and materials are essential to national security, the welfare of this state, energy reliability, critical infrastructure, and economic stability, and that their availability is vulnerable to supply disruptions and foreign dependence.
(b) The purpose of this article is to:
(2) Reserve regulatory authority to the state and federal governments; and
(3) Preempt local regulation, except as expressly provided.
As used in this article:
"Extraction" means the mining, removal, production, or recovery of a strategic and critical resource by a person lawfully entitled to do so;
"Foreign adversary" means any foreign government, foreign organization, or foreign person identified or designated as a foreign adversary under federal law, including entities listed on the U.S. Department of Commerce Entity List (15 C.F.R. Part 744, Supplement No. 4), or any successor designation.
"Strategic and critical resource" means any of the following items, to the extent intended to be or actually extracted, mined, withdrawn, removed, harvested, or produced from within or upon land:
(1) Aluminum, aluminum oxide fused crude, antimony, arsenic, barite, beryllium, beryl ore, bismuth, boron, cadmium, cerium, cesium, chromium, cobalt, copper, dysprosium, erbium, europium, ferrochromium, ferromanganese, fluorine, fluorspar, gadolinium, gallium, germanium, graphite, hafnium, holmium, indium, iridium, lanthanum, lead, lithium, lutetium, magnesium, manganese, mercury, molybdenum, neodymium, nickel, niobium, palladium, phosphate, platinum, potash, praseodymium, rhenium, rhodium, rubber (natural), rubidium, ruthenium, samarium, scandium, selenium, silicon, silver, strontium, tantalum, tellurium, terbium, thulium, tin, titanium, tungsten, uranium, vanadium, ytterbium, yttrium, zinc, and zirconium;
(2) Any other mineral, element, compound, substance, or material listed on, or designated after, January 1, 2025, pursuant to:
(A) The U.S. Defense Logistics Agency Strategic Materials List;
(B) The U.S. Department of Energy Critical Materials List;
(C) The Defense Production Act of 1950 (50 U.S.C. § 4501 et seq.); or
(D) The Energy Act of 2020 (30 U.S.C. § 1606);
(3) Any other mineral, element, compound, substance, or material with respect to which the President of the United States makes a Presidential Determination or executive order after January 1, 2025, specifying that item as essential to the national defense pursuant to Section 303(a)(5) of the federal Defense Production Act of 1950, as amended (50 U.S.C. § 4533(a)(5)); and
(4) Any host material from which a strategic or critical resource is intended to be economically recovered as a byproduct; and
"Strategic and critical resource facility" means land, structures, equipment, or infrastructure reasonably necessary for the extraction of a strategic and critical resource.
(a) Except as provided in this section, a county or municipality may not enact nor enforce any ordinance, regulation, resolution, administrative act, or other local law that prohibits, restricts, limits, or otherwise regulates the extraction of any strategic and critical resource outside municipal or urban areas.
(b) Except as provided in this section, a county or municipality may not enact nor enforce any ordinance, regulation, resolution, administrative act, or other local law that prohibits, restricts, limits, or otherwise regulates the acquisition, siting, development, construction, equipping, use, operation, expansion, repair, or maintenance of any strategic and critical resource facility outside municipal or urban areas.
(c) This article does not exempt an owner or operator from compliance with generally applicable business licenses, ad valorem property taxation, municipal sales or use taxes, utility rates and service charges, municipal service fees, or the State Building Code.
(d) This article does not authorize or permit the acquisition, ownership, lease, control, or operation of land or any strategic and critical resource facility by a foreign adversary where such activity is prohibited or restricted under federal law, including authorities administered by the U.S. Department of Commerce or the Committee on Foreign Investment in the United States.
(a) This article does not limit the applicability of any federal law governing environmental protection, natural resources, or public health, nor any state statute or legislative rule enacted pursuant to such a federal law.
(b) Except as expressly set forth in this article, this article is not intended to and does not affect or otherwise limit the applicability of any federal law or state statute or legislative rule applicable to any item designated a strategic and critical resource in this article.
(a) Foreign Ownership Limitations. – A person or an entity that is directly or indirectly owned or controlled by a foreign adversary or a foreign government designated under applicable federal law may not acquire, lease, or hold an ownership interest in land used primarily for extracting strategic and critical resources, except as expressly authorized by state law.
(b) Restricted Entities. – A person or an entity listed on a federal restricted commerce, sanctions, or prohibited entities list, including successor lists, may not own, operate, control, or enter into material commercial agreements with a strategic and critical resource facility where such involvement would pose a risk to national security or state interests.
(a) The Office of Energy shall propose rules for legislative approval in accordance with the provisions of §29A-3-1 et seq. of this code to implement the provisions of this article.
Adopted
Rejected