N.Y. Comp. Codes R. & Regs. Tit. 6 §§ 242-10.6

Current through Register Vol. 46, No. 45, November 2, 2024

Section 242-10.6 - Accreditation of independent verifiers

(a) 'Standards for accreditation'. Independent verifiers may be accredited by the department to provide verification services as required of project sponsors under this Subpart, provided that independent verifiers meet all of the requirements of this section.

(1) 'Verifier minimum requirements'. Each accredited independent verifier shall demonstrate knowledge of the following topics:

(i) utilizing engineering principles;

(ii) quantifying greenhouse gas emissions;

(iii) developing and evaluating air emissions inventories:

(iv) auditing and accounting principles;

(v) information management systems;

(vi) the requirements of this Subpart and other applicable requirements of this Part; and

(vii) such other qualifications as may be required by the department to provide competent verification services as required for individual offset categories specified at section 242-10.5 of this Subpart.

(2) 'Organizational qualifications'. Accredited independent verifiers shall demonstrate that they meet the following requirements:

(i) verifiers shall have no direct or indirect financial relationship, beyond a contract for provision of verification services, with any offset project developer or project sponsor;

(ii) verifiers shall employ staff with professional licenses, knowledge, and experience appropriate to the specific category(ies) of offset projects at section 242-10.5 of this Subpart that they seek to verify;

(iii) verifiers shall hold a minimum of one million U.S. dollars of professional liability insurance. If the insurance is in the name of a related entity, the verifier shall disclose the financial relationship between the verifier and the related entity, and provide documentation supporting the description of the relationship; and

(iv) verifiers shall demonstrate that they have implemented an adequate management protocol to identify potential conflicts of interest with regard to an offset project, offset project developer, or project sponsor, or any other party with a direct or indirect financial interest in an offset project that is seeking or has been granted approval of a consistency application pursuant to subdivision 242-10.4(e) of this Subpart, and remedy any such conflicts of interest prior to providing verification services.

(3) 'Pre-qualification of verifiers'. The department may require prospective verifiers to successfully complete a training course, workshop, or test developed by the department or its agent, prior to submitting an application for accreditation.

(b) 'Application for accreditation'. An application for accreditation shall not contain any proprietary information, and shall include the following:

(1) the applicant's name, address, e-mail address, and telephone number;

(2) documentation that the applicant has at least two years of experience in each of the knowledge areas specified at subparagraphs (a)(1)(i) through (v) of this section, and as may be required pursuant to subparagraph (a)(1)(vii) of this section;

(3) documentation that the applicant has successfully completed the requirements at paragraph (a)(3) of this section, as applicable;

(4) a sample of at least one work product that provides supporting evidence that the applicant meets the requirements at paragraphs (a)(1) and (2) of this section. The work product shall have been produced, in whole or part, by the applicant and shall consist of a final report or other material provided to a client under contract in previous work. For a work product that was jointly produced by the applicant and another entity, the role of the applicant in the work product shall be clearly explained;

(5) documentation that the applicant holds professional liability insurance as required pursuant to subparagraph (a)(2)(iii) of this section; and

(6) documentation that the applicant has implemented an adequate management protocol to address and remedy any conflict of interest issues that may arise, as required pursuant to subparagraph (a)(2)(iv) of this section.

(c) 'Department action on applications for accreditation'. The department shall approve or deny a complete application for accreditation within 45 days after submission. Upon approval of an application for accreditation, the independent verifier shall be accredited for a period of three years from the date of application approval.

(d) 'Reciprocity'. Independent verifiers accredited in other participating states may be deemed to be accredited in New York State, at the discretion of the department.

(e) 'Conduct of accredited verifiers'.

(1) Prior to engaging in verification services for an offset project sponsor, the accredited verifier shall disclose all relevant information to the department to allow for an evaluation of potential conflict of interest with respect to an offset project, offset project developer, or project sponsor. The accredited verifier shall disclose information concerning its ownership, past and current clients, related entities, as well as any other facts or circumstances that have the potential to create a conflict of interest.

(2) Accredited verifiers shall have an ongoing obligation to disclose to the department any facts or circumstances that may give rise to a conflict of interest with respect to an offset project, offset project developer, or project sponsor.

(3) The department may reject a verification report and certification statement from an accredited verifier, submitted as part of a consistency application required pursuant to subdivision 242-10.4(b) of this Subpart or submitted as part of a monitoring and verification report submitted pursuant to subdivision 242-10.7(b) of this Subpart, if the department determines that the accredited verifier has a conflict of interest related to the offset project, offset project developer, or project sponsor.

(4) The department may revoke the accreditation of a verifier at any time given cause, for the following:

(i) failure to fully disclose any issues that may lead to a conflict of interest situation with respect to an offset project, offset project developer, or project sponsor;

(ii) the verifier is no longer qualified due to changes in staffing or other criteria;

(iii) negligence or neglect of responsibilities pursuant to the requirements of this Subpart; and

(iv) intentional misrepresentation of data or other intentional fraud.

N.Y. Comp. Codes R. & Regs. Tit. 6 §§ 242-10.6

Amended New York State Register December 16, 2020/Volume XLII, Issue 50, eff. 12/31/2020