Committee narrows digital-asset mining definition, adopts amendment to Senate Bill 79

The City, County & Local Affairs Committee (Senate) on an unspecified date adopted an amendment to Senate Bill 79 that tightens the statutory definition of "digital asset mining business" to businesses that utilize blockchain networks.

Senator Ervin, who presented the amendment, said the change was made with input from the governor’s office and is intended to narrow the bill’s reach. "This new amendment . . . is addressing some tightening up of language in the definitions so that we are narrowing the digital asset mining business, and defining that that we're looking at digital asset mining businesses that utilize blockchain networks," he said.

The chair first moved to expunge the committee’s previous amendment vote and start anew; Senator McKee moved to expunge and Senator Sullivan seconded. The committee agreed and the prior vote was expunged, after which Senator Ervin presented the revised amendment.

Committee members asked clarifying questions about the statute’s cross-references and a provision that allows prohibited foreign-party owners who were operating before the act’s effective date a period to divest. One member asked, "If they're a prohibited foreign party, why are we giving them a year?" Senator Ervin said the Attorney General’s Office requested a 365-day period (the bill originally provided 120 days) "to give them the ability to divest," and that the AG helped draft language to provide the strongest legal standing.

Senator Patty clarified a separate point about subsection d: it prevents the prohibitions under section a from applying to rates or rules for utility service provided by a public entity. Senator Ervin noted the bill’s implementation will require coordination with multiple agencies, including the Public Service Commission and energy and water authorities.

After discussion, Senator Sullivan moved to adopt the amendment and Senator Bryant seconded; the committee voted "aye" and the amendment was adopted. The committee then voted to pass Senate Bill 79 as amended (mover Senator Sullivan; second Senator Patty).

The committee adjourned after completing the votes. The bill is recorded as passed out of committee as amended; next steps (committee of origin or floor scheduling) were not specified in the transcript.