Establishment of Forest Carbon Registry

SB 118 requires landowners and forest carbon developers to register each carbon credit agreement and establishes civil penalties for noncompliance.

ISSUES: Clean Air, Climate, Land & Wildlife

CWV Position: Opposes

Position Statement: SB 118 creates a state forest carbon registry that could prioritize carbon credit markets over forest health, public transparency, and long-term conservation outcomes, while risking the commodification of forests without sufficient environmental safeguards.

• Puts markets ahead of forest health: A carbon registry framework risks incentivizing carbon accounting strategies that do not necessarily align with ecological integrity, biodiversity, or resilient forest management.

• Lacks strong conservation safeguards: The bill does not adequately ensure that registered projects deliver real, additional, and permanent climate benefits or protect against practices that could degrade soils, water quality, or wildlife habitat.

• Reduces public oversight and transparency: Forest carbon markets can be complex and opaque. Without strong disclosure and accountability requirements, the public may have little insight into how forests are being managed or monetized.

• Risks undermining existing conservation goals: Forests provide far more than carbon storage — including clean water, flood mitigation, wildlife habitat, and recreation. A registry focused narrowly on carbon could sideline these broader public benefits.

• Creates uncertainty for landowners and communities: Long-term carbon contracts can restrict future land use decisions and may create unintended financial or legal consequences, particularly for small or family forest owners.

Status: Introduced January 14, 2026; referred to the Committee on Energy, Industry, and Mining; and then to the Committee on Finance.