(1) The climate commitment act capital account is created in the state treasury. Receipts from the auction of allowances authorized in this chapter must be deposited into the account as provided in RCW 70A.65.100. Moneys in the account may be spent only after appropriation. The legislature intends expenditures from the account to supplement, not supplant, existing expenditures for similar purposes. Expenditures from the account may be used only for the following purposes:
(a) Programs, activities, and projects in the capital budget that reduce greenhouse gas emissions, increase resilience to the impacts of climate change, result in long-term environmental benefits, or otherwise achieve the purposes of this chapter;
(b) Reduction and mitigation of impacts from greenhouse gases and copollutants in overburdened communities, including strengthening the air quality monitoring network required in RCW 70A.65.020;
(c) Projects or activities to promote electrification or reduce the greenhouse gas emissions associated with electricity production, distribution, or consumption, including: (i) Utility-scale renewable resources and nonemitting electric generation, as those terms are defined in RCW 19.405.020; (ii) distributed generation; (iii) utility-scale and behind-the-meter energy storage; (iv) demand-side technologies and strategies; (v) grid modernization projects; and (vi) research, development, demonstration, or deployment of new and emerging clean firm energy generation or storage technologies;
(d) Increased energy efficiency or reduced greenhouse gas emissions for industrial facilities including, but not limited to, combined heat and power, district energy, on-site renewables such as solar and wind power, and less emissions-intensive fuel sources;
(e) Increased energy efficiency or reduced greenhouse gas emissions for the agricultural sector including, but not limited to, fertilizer management, soil management, bioenergy, biofuels, grants and other financial incentives for agricultural equipment or food processing, renewable energy projects, farmworker housing weatherization programs, dairy digester research and development, and alternative manure management;
(f) Increased energy efficiency or reduced greenhouse gas emissions in new and existing residential, commercial, and industrial buildings, including low carbon architecture, alternative building materials that result in a lower carbon footprint over the life cycle of the building and component building materials, electric appliances, and equipment for space and water heating;
(g) The expansion of clean manufacturing capacity in communities across Washington, including related community investments such as transportation, municipal service delivery, and technology investments, with an emphasis on communities in greatest need of job creation and economic development and potential for commute reduction;
(h) Improved energy affordability and reduced energy burden for people with lower incomes, including energy efficiency and weatherization programs, and community renewable energy projects that allow qualifying participants to own or receive the benefits of those projects at reduced or no cost;
(i) Reduced emissions from landfills and waste-to-energy facilities through diversion of organic materials, methane capture or conversion strategies, installation of gas collection devices and gas control systems, monitoring and reporting of methane emissions, or other means, prioritizing funding needed for any activities by local governments to comply with chapter 70A.540 RCW;
(j) Carbon dioxide removal and carbon dioxide capture and mineralization or sequestration;
(k) Activities to support efforts to mitigate and adapt to the effects of climate change affecting Indian tribes, including capital investments in support of the relocation of Indian tribes located in areas at heightened risk due to anticipated sea level rise, flooding, or other disturbances caused by climate change. The legislature intends to dedicate at least $50,000,000 per biennium from the account for purposes of this subsection when the department's most recent baseline climate commitment act forecast projects $1,000,000,000 or more for the biennium in total revenue to the state. When the department's most recent baseline climate commitment act forecast projects less than $1,000,000,000 for the biennium, the legislature intends to dedicate at least five percent of total projected revenue to the state for the biennium for the purposes of this subsection;
(l) Electric vehicle infrastructure, including infrastructure in buildings;
(m) Clean water investments that improve resilience from climate impacts. Funding under this subsection (1)(m) must be used to:
(i) Restore and protect estuaries, fisheries, and marine shoreline habitats and prepare for sea level rise;
(ii) Make fish passage correction investments, such as those identified in the cost-share barrier removal program for small forestland owners created in RCW 76.13.150 and those that are considered by the fish passage barrier removal board created in RCW 77.95.160;
(iii) Increase carbon storage in the ocean or aquatic and coastal ecosystems;
(iv) Increase the ability to mitigate, remediate, and adapt to the impacts of ocean acidification;
(v) Reduce flood risk and restore natural floodplain ecological function;
(vi) Increase the sustainable supply of water and improve aquatic habitat, including groundwater mapping and modeling;
(vii) Improve infrastructure treating stormwater from previously developed areas within an urban growth boundary designated under chapter 36.70A RCW, with a preference given to projects that use green stormwater infrastructure;
(viii) Either preserve or increase, or both, greenhouse gas sequestration and storage benefits in forests, forested wetlands, agricultural soils, tidally influenced agricultural or grazing lands, or freshwater, saltwater, or brackish aquatic lands; or
(ix) Either preserve or establish, or both, greenhouse gas sequestration by protecting or planting trees in marine shorelines and freshwater riparian areas sufficient to promote climate resilience, protect cold water fisheries, and achieve water quality standards; and
(n) Healthy forest investments to improve resilience from climate impacts. Funding under this subsection (1)(n) must be used for projects that will:
(i) Increase forest and community resilience to wildfire in the face of increased seasonal temperatures and drought;
(ii) Improve forest health and reduce vulnerability to changes in hydrology, insect infestation, and other impacts of climate change; or
(iii) Prevent emissions by retaining natural and working lands against the threat of conversion to development or loss of critical habitat, through actions that include, but are not limited to, the creation of new conservation lands, community forests, or increased support to small forestland owners through assistance programs including, but not limited to, the forest riparian easement program and the family forest fish passage program. It is the intent of the legislature that not less than $10,000,000 be expended each biennium for the forestry riparian easement program created in chapter 76.13 RCW or for riparian easement projects funded under the agricultural conservation easements program established under RCW 89.08.530, or similar riparian enhancement programs when the department's most recent baseline climate commitment act forecast projects $1,000,000,000 or more for that biennium in total revenue to the state. When the department's most recent baseline climate commitment act forecast projects less than $1,000,000,000 for that biennium, the legislature intends to dedicate at least one percent of total projected revenue to the state for the biennium for the purposes of the forestry riparian easement program and similar programs.
(2) The legislature intends that at least 25 percent of the total appropriations each biennium from this account and the climate commitment act operating account created in RCW 70A.65.410 are made for the purposes of the clean water and healthy forest investments in subsection (1)(m) and (n) of this section and RCW 70A.65.410(1) (s) and (t).
(3) Moneys in the account may not be used for projects or activities that would violate tribal treaty rights or result in significant long-term damage to critical habitat or ecological functions.
(4) Moneys in the account must be spent in a manner that is consistent with scientific assessment of current and future climate risks such as those encompassed in the state's current climate resilience strategy developed under chapter 70A.05 RCW.
[ 2026 c 219 s 2.]
Notes:
Climate commitment act accounts transfer—2026 c 219: "(1) Following the fiscal closure of the 2025-2027 biennium, the state treasurer must transfer the remaining balance of the climate investment account created in RCW 70A.65.250, the climate commitment account created in RCW 70A.65.260, and the natural climate solutions account created in RCW 70A.65.270 into the climate commitment act capital account created in section 2 of this act.
(2) After the effective date of this section, the state treasurer must transfer any amounts directed to be deposited into the climate investment account created in RCW 70A.65.250, the climate commitment account created in RCW 70A.65.260, or the natural climate solutions account created in RCW 70A.65.270 into the climate commitment act capital account created in section 2 of this act." [ 2026 c 219 s 7.]
Effective date—2026 c 219: See note following RCW 70A.65.410.