States File Lawsuit Against New York Over "Unconstitutional" Environmental Fund

Several states have filed lawsuits against New York, alleging that its environmental fund is unconstitutional.

States File Lawsuit Against New York Over "Unconstitutional" Environmental Fund
On Thursday, twenty-two states filed a lawsuit against New York, arguing that a newly enacted law requiring a select group of major energy producers to pay $75 billion into a fund designated for climate change damages is unconstitutional.

The lawsuit, lodged in Albany, New York, names Attorney General Letitia James and other state officials as defendants. Efforts to reach the defendants for comment have been initiated.

According to a release, West Virginia's Attorney General JB McCuskey is leading the coalition of states taking action against New York's Climate Change Superfund Act. This legislation mandates payments for damages allegedly incurred between 2000 and 2018.

The law stipulates that major fossil fuel companies will be required to contribute to the fund over the next 25 years, based on their historical gas emissions.

"This law is unconstitutional, and I am proud to lead this coalition of attorneys general, brave private energy companies, and industry groups in our fight to protect against this overreach," McCuskey stated. "If we allow New York to get away with this, it will only be a matter of time before other states follow suit – wrecking our nation's power grid."

The lawsuit claims that New York is attempting to compel energy producers and consumers in other states "to subsidize certain New York-based 'infrastructure' projects, such as a new sewer system in New York City."

It further characterizes the law as "an ugly example of the chaos that can result when states overreach."

The lawsuit argues that New York is unfairly placing blame on a small subset of energy producers for a problem—global greenhouse gas emissions—that originates from multiple sources.

"Yet coal, oil and natural gas were helping New York during that time. They helped keep the lights on in Albany, manufacture the steel that supported New York City's iconic skyscrapers, and fuel the industry that keeps New York's ports humming," the lawsuit asserted.

Joining West Virginia in the lawsuit are the states of Alabama, Arkansas, Georgia, Idaho, Iowa, Kansas, Kentucky, Louisiana, Mississippi, Missouri, Montana, Nebraska, North Dakota, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Utah, and Wyoming.

Ian Smith for TROIB News