73R9751 E
          By Saunders                                           H.B. No. 2049
          Substitute the following for H.B. No. 2049:
          By Kuempel                                        C.S.H.B. No. 2049
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the effective administration of air quality permitting
    1-3  programs, including compliance with federal Clean Air Act
    1-4  requirements.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Section 5.052(a), Water Code, is amended to read
    1-7  as follows:
    1-8        (a)  The commission is composed of three members who are
    1-9  appointed by the governor with the advice and consent of the senate
   1-10  to represent the general public.
   1-11        SECTION 2.  Section 381.020, Health and Safety Code, is
   1-12  amended and renumbered to read as follows:
   1-13        Sec. 382.040 <381.020>.  DOCUMENTS; PUBLIC PROPERTY.  All
   1-14  information, documents, and data collected by the board in
   1-15  performing its duties are state property.  Subject to the
   1-16  limitations of Section 382.041 <381.022>, all board records are
   1-17  public records open to inspection by any person during regular
   1-18  office hours.
   1-19        SECTION 3.  Section 381.022, Health and Safety Code, is
   1-20  amended and renumbered to read as follows:
   1-21        Sec. 382.041 <381.022>.  CONFIDENTIAL INFORMATION.  (a)
   1-22  Except as provided by Subsection (b), a <A> member, employee, or
   1-23  agent of the board may not disclose information submitted to the
    2-1  board relating to secret processes or methods of manufacture or
    2-2  production that is identified as confidential when submitted.
    2-3        (b)  A member, employee, or agent of the board may disclose
    2-4  information confidential under Subsection (a) to a representative
    2-5  of the United States Environmental Protection Agency on the request
    2-6  of a representative of that agency if:
    2-7              (1)  at the time of disclosure the member, employee, or
    2-8  agent notifies the representative that the material has been
    2-9  identified as confidential when submitted; and
   2-10              (2)  the board, before the information is disclosed,
   2-11  has entered into an agreement with the United States Environmental
   2-12  Protection Agency that ensures that the agency treats information
   2-13  identified as confidential as though it had been submitted by the
   2-14  originator of the information with an appropriate claim of
   2-15  confidentiality under federal law.
   2-16        SECTION 4.  Section 382.003(9), Health and Safety Code, is
   2-17  amended to read as follows:
   2-18              (9)  "Modification of existing facility" means any
   2-19  physical change in, or change in the method of operation of, a
   2-20  stationary source in a manner that increases the amount of any air
   2-21  pollutant emitted by the source into the atmosphere or that results
   2-22  in the emission of any air pollutant not previously emitted.  The
   2-23  term does not include:
   2-24                    (A)  insignificant increases in the amount of any
   2-25  air pollutant emitted that is authorized by one or more board
    3-1  exemptions;
    3-2                    (B)  insignificant increases at a permitted
    3-3  facility; <or>
    3-4                    (C)  maintenance or replacement of equipment
    3-5  components that do not increase or tend to increase the amount or
    3-6  change the characteristics of the air contaminants emitted into the
    3-7  atmosphere; or
    3-8                    (D)  an increase in the annual hours of
    3-9  operation.
   3-10        SECTION 5.  Sections 382.032(a), (b), and (e), Health and
   3-11  Safety Code, are amended to read as follows:
   3-12        (a)  A person affected by a ruling, order, decision, or other
   3-13  act of the board or of the executive director, if an appeal to the
   3-14  board is not provided, may appeal the action by filing a petition
   3-15  in a district court of Travis County.
   3-16        (b)  The petition must be filed within 30 days after the date
   3-17  of the board's or executive director's action or, in the case of a
   3-18  ruling, order, or decision, within 30 days after the effective date
   3-19  of the ruling, order, or decision.  If the appeal relates to the
   3-20  board's failure to take final action on an application for a
   3-21  federal operating permit, a reopening of a federal operating
   3-22  permit, a revision to a federal operating permit, or a permit
   3-23  renewal application for a federal operating permit in accordance
   3-24  with Section 382.0542(b), the petition may be filed at any time
   3-25  before the board or the executive director takes final action.
    4-1        (e)  In an appeal of an <a board> action of the board or
    4-2  executive director other than cancellation or suspension of a
    4-3  variance, the issue is whether the action is invalid, arbitrary, or
    4-4  unreasonable.
    4-5        SECTION 6.  Sections 382.051(b) and (c), Health and Safety
    4-6  Code, are amended to read as follows:
    4-7        (b)  To assist in fulfilling its authorization provided by
    4-8  Subsection (a), the <The> board may issue:
    4-9              (1)  special permits for certain facilities;
   4-10              (2)  a general permit developed by rule for numerous
   4-11  similar sources subject to Section 382.054; <or>
   4-12              (3)  a standard permit developed by rule for numerous
   4-13  similar facilities subject to Section 382.0518;
   4-14              (4)  a single federal operating permit or
   4-15  preconstruction permit for multiple federal sources or facilities
   4-16  located at the same site; or
   4-17              (5)  other permits as necessary.
   4-18        (c)  The board may issue a federal operating permit for a
   4-19  federal source in violation only if the operating permit
   4-20  incorporates a compliance plan for the federal source<, as equipped
   4-21  by Section 503 of the federal Clean Air Act (42 U.S.C.  Section
   4-22  7661b), as added by Section 501 of the federal Clean Air Act
   4-23  Amendments of 1990 (Pub. L. No. 101-549) and any rules adopted by
   4-24  the board,> as a condition of the permit.
   4-25        SECTION 7.  Sections 382.0511(a) and (c), Health and Safety
    5-1  Code, are amended to read as follows:
    5-2        (a)  The board may consolidate into a single permit:
    5-3              (1)  any permits, special permits, or exemptions for a
    5-4  facility or federal source issued by the board before December 1,
    5-5  1991; or
    5-6              (2)  any permit issued by the board on or after
    5-7  December 1, 1991, with any permits, special permits, or exemptions
    5-8  issued or qualified for by that date.
    5-9        (c)  The board by rule may authorize changes in a federal
   5-10  source to proceed before the owner or operator obtains a federal
   5-11  operating permit or revisions to a federal operating permit if the
   5-12  owner or operator has obtained a preconstruction permit or permit
   5-13  amendment required by Section 382.0518 or an exemption allowed
   5-14  under Section 382.057.  <The board may allow changes within a
   5-15  permitted facility or a facility that has filed a timely and
   5-16  complete application for a federal operating permit under Section
   5-17  382.054 without requiring a permit revision if:>
   5-18              <(1)  the changes are not modifications under any
   5-19  provision of Title I of the federal Clean Air Act Amendments of
   5-20  1990 (Pub. L. No. 101-549);>
   5-21              <(2)  the changes do not cause emissions in excess of
   5-22  emissions allowable under the permit;>
   5-23              <(3)  the changes do not alter any permit condition;
   5-24  and>
   5-25              <(4)  the facility notifies the board in writing at
    6-1  least seven days in advance of the proposed changes, unless the
    6-2  board by rule provides a different time frame for emergencies.>
    6-3        SECTION 8.  Section 382.0512, Health and Safety Code, is
    6-4  amended to read as follows:
    6-5        Sec. 382.0512.  MODIFICATION OF EXISTING FACILITY.  (a)  In
    6-6  determining whether a proposed change at an existing facility is a
    6-7  modification, the board may not consider the effect on emissions
    6-8  of:
    6-9              (1)  any air pollution control method applied to a
   6-10  source; or
   6-11              (2)  any decreases in emissions from other sources.
   6-12        (b)  The installation of emission control equipment for the
   6-13  purpose of complying with this chapter or a rule of the board is
   6-14  not a modification.
   6-15        SECTION 9.  Section 382.0513, Health and Safety Code, is
   6-16  amended to read as follows:
   6-17        Sec. 382.0513.  PERMIT CONDITIONS.  The board may establish
   6-18  <by rule> and enforce permit conditions consistent with this
   6-19  chapter.  Permit conditions of general applicability shall be
   6-20  adopted by rule <and rules adopted by the board>.
   6-21        SECTION 10.  Section 382.0514, Health and Safety Code, is
   6-22  amended to read as follows:
   6-23        Sec. 382.0514.  SAMPLING, <AND> MONITORING, AND
   6-24  CERTIFICATION.  The board may require, at the expense of the permit
   6-25  holder and as a condition of the permit:
    7-1              (1)  sampling and monitoring of a permitted federal
    7-2  source or facility; <and>
    7-3              (2)  certification of the compliance of the owner or
    7-4  operator of the permitted federal source with the terms and
    7-5  conditions of the permit and with all applicable requirements; and
    7-6              (3)  a periodic report of:
    7-7                    (A)  the results of sampling and monitoring; and
    7-8                    (B)  the certification of compliance <a regular
    7-9  periodic report of sampling and monitoring results>.
   7-10        SECTION 11.  Section 382.054, Health and Safety Code, is
   7-11  amended to read as follows:
   7-12        Sec. 382.054.  Federal Operating Permit.  Subject to Section
   7-13  382.0511(c), a <A> person may not operate a federal source unless
   7-14  the person has obtained a federal operating permit from the board
   7-15  under Section <Sections> 382.0541, <and> 382.0542, or 382.0543.
   7-16        SECTION 12.  Section 382.0541, Health and Safety Code, is
   7-17  amended to read as follows:
   7-18        Sec. 382.0541.  Administration and Enforcement of Federal
   7-19  Operating Permit.  (a)  The board may:
   7-20              (1)  require a federal source <subject> to obtain a
   7-21  permit under <Title III of> the federal Clean Air Act (42 U.S.C.
   7-22  Section 7401 et seq.) <Amendments of 1990 (Pub. L.  No. 101-549) to
   7-23  comply with that Act and regulations adopted under that Act>;
   7-24              (2)  require an existing facility or source to use, at
   7-25  a minimum, any applicable maximum achievable control technology
    8-1  required by the board or by the United States Environmental
    8-2  Protection Agency;
    8-3              (3)  require facilities or federal sources that are new
    8-4  or modified and are subject to Section 112(g) <a new or modified
    8-5  facility or source subject to Title III> of the federal Clean Air
    8-6  Act (42 U.S.C. Section 7412) <Amendments of 1990 (Pub. L. No.
    8-7  101-549)> to use, at a minimum, the more stringent of:
    8-8                    (A)  the best available control technology,
    8-9  considering the technical practicability and economic
   8-10  reasonableness of reducing or eliminating emissions from the
   8-11  proposed facility or federal source; or
   8-12                    (B)  any applicable maximum achievable control
   8-13  technology (MACT), including any MACT developed pursuant to Section
   8-14  112(g) of the federal Clean Air Act (42 U.S.C. Section 7412)<, as
   8-15  amended by Section 301 of the federal Clean Air Act Amendments of
   8-16  1990 (Pub. L. No. 101-549), required by the board or by the United
   8-17  States Environmental Protection Agency>;
   8-18              (4)  establish maximum achievable control technology
   8-19  requirements in accordance with Section 112(j) of the federal Clean
   8-20  Air Act (42 U.S.C. Section 7412) <on a case-by-case basis if the
   8-21  United States Environmental Protection Agency does not adopt those
   8-22  requirements>;
   8-23              (5)  issue initial permits with terms not to exceed
   8-24  five years for federal sources under Title <IV or> V of the federal
   8-25  Clean Air Act <Amendments of 1990 (Pub. L. No. 101-549)>, with
    9-1  <five-year> terms not to exceed five years for all subsequently
    9-2  issued or renewed permits;
    9-3              (6)  administer the use of emissions allowances under
    9-4  Section 408 of the federal Clean Air Act (42 U.S.C. Section
    9-5  7651g)<, as amended by Section 401 of the federal Clean Air Act
    9-6  Amendments of 1990 (Pub. L. No. 101-549)>;
    9-7              (7)  reopen and revise an affected federal operating
    9-8  permit if:
    9-9                    (A)  the permit has a <with a> term of three
   9-10  years or more remaining in order to incorporate requirements under
   9-11  the federal Clean Air Act (42 U.S.C. Section 7401 et seq.) adopted
   9-12  after the permit is issued; <and>
   9-13                    (B)  additional requirements become applicable to
   9-14  an affected source under the acid rain program;
   9-15                    (C)  the federal operating permit contains a
   9-16  material mistake;
   9-17                    (D)  inaccurate statements were made in
   9-18  establishing the emissions standards or other terms or conditions
   9-19  of the federal operating permit; or
   9-20                    (E)  a determination is made that the permit must
   9-21  be reopened and revised to assure compliance with applicable
   9-22  requirements;
   9-23              (8)  incorporate a federal implementation plan as a
   9-24  condition of a permit issued by the board;
   9-25              (9)  exempt federal sources from the obligation to
   10-1  obtain a federal operating permit;
   10-2              (10)  provide that all representations in an
   10-3  application for a permit under Title IV of the federal Clean Air
   10-4  Act (42 U.S.C. Sections 7651-7651o) are binding on the applicant
   10-5  until issuance or denial of the permit;
   10-6              (11)  provide that all terms and conditions of any
   10-7  federal operating permit required under Title IV of the federal
   10-8  Clean Air Act (42 U.S.C.  Sections 7651-7651o) shall be a complete
   10-9  and segregable section of the federal operating permit; and
  10-10              (12)  issue initial permits with fixed terms of five
  10-11  years for federal sources under Title IV of the federal Clean Air
  10-12  Act (42 U.S.C. Sections 7651-7651o) with fixed five-year terms for
  10-13  all subsequently issued or renewed permits.
  10-14        (b)  The board by rule shall provide for objection by the
  10-15  administrator to the issuance of any operating or general permit
  10-16  subject to Title V of the federal Clean Air Act (42 U.S.C. Sections
  10-17  7661-7661f) <Amendments of 1990 (Pub. L. No. 101-549)> and shall
  10-18  authorize the administrator to revoke and reissue, terminate,
  10-19  reopen, or modify a federal operating permit.
  10-20        (c)  This section does not affect the permit requirements of
  10-21  Section 382.0518, except that the board may consolidate with an
  10-22  existing permit issued under this section a permit required by
  10-23  Section 382.0518.
  10-24        (d)  The board promptly shall provide to the applicant notice
  10-25  of whether the application is complete.  Unless the board requests
   11-1  additional information or otherwise notifies the applicant that the
   11-2  application is incomplete before the 61st day after the board
   11-3  receives an application, the application shall be deemed complete.
   11-4        (e) <(d)>  Subsections <Subsection> (a)(3) and (4) do <does
   11-5  not prohibit the applicability of at least the best available
   11-6  control technology to a new or modified facility or federal source
   11-7  under Section 382.0518(b)(1).
   11-8        SECTION 13.  Section 382.0542, Health and Safety Code, is
   11-9  amended to read as follows:
  11-10        Sec. 382.0542.  Issuance of Federal Operating Permit; Appeal
  11-11  of Delay.  (a)  <The board shall grant a permit required by Section
  11-12  382.054 not later than 18 months after the date on which the board
  11-13  receives an administratively complete application if, from
  11-14  information available to the board, including information presented
  11-15  at any hearing held under Section 382.0561, the board finds that
  11-16  the facility or source for which the permit is sought meets the
  11-17  requirements of Subsection (b).>
  11-18        <(b)>  A federal <facility or> source is eligible for a
  11-19  permit required by Section 382.054 if from the information
  11-20  available to the board, including information presented at a
  11-21  hearing held under Section 382.0561, the board finds that:
  11-22              (1)  <emissions from the facility or source will comply
  11-23  with the intent of this chapter, including protection of the
  11-24  public's health and physical property;>
  11-25              <(2)>  the federal <facility or> source will use, at a
   12-1  minimum, any applicable maximum achievable control technology
   12-2  required by the board or by the United States Environmental
   12-3  Protection Agency;
   12-4              (2)  for a federal source that is new or modified and
   12-5  subject to Section 112(g) of the federal Clean Air Act (42 U.S.C.
   12-6  Section 7412) <(3)  for a new or modified source or facility
   12-7  subject to Title III of the federal Clean Air Act Amendments of
   12-8  1990 (Pub. L. No. 101-549)>, the federal source <or facility> will
   12-9  use, at a minimum, the more stringent of:
  12-10                    (A)  the best available control technology,
  12-11  considering the technical practicability and economic
  12-12  reasonableness of reducing or eliminating the emissions from the
  12-13  proposed federal <facility or> source; or
  12-14                    (B)  any applicable maximum achievable control
  12-15  technology required by the board or by the United States
  12-16  Environmental Protection Agency; and
  12-17              (3)  the federal <(4)  emissions from the facility or>
  12-18  source will comply with the following <all applicable>
  12-19  requirements, if applicable <of>:
  12-20                    (A)  Title V of the federal Clean Air Act (42
  12-21  U.S.C. Sections 7661-7661f) and the regulations adopted under that
  12-22  title;
  12-23                    (B)  each standard or other requirement provided
  12-24  for in the applicable implementation plan approved or adopted by
  12-25  rule of the United States Environmental Protection Agency under
   13-1  Title I of the federal Clean Air Act (42 U.S.C. Sections 7401-7515)
   13-2  that implements the relevant requirements of that Act, including
   13-3  any revisions to the plan;
   13-4                    (C)  each term or condition of a preconstruction
   13-5  permit issued by the commission or the United States Environmental
   13-6  Protection Agency in accordance with rules adopted by the
   13-7  commission or the United States Environmental Protection Agency
   13-8  under Part C or D, Title I of the federal Clean Air Act (42 U.S.C.
   13-9  7401-7515);
  13-10                    (D)  each standard or other requirement
  13-11  established under Section 111 of the federal Clean Air Act (42
  13-12  U.S.C. Section 7411), including Subsection (d) of that section;
  13-13                    (E)  each standard or other requirement
  13-14  established under Section 112 of the federal Clean Air Act (42
  13-15  U.S.C. Section 7412) including any requirement concerning accident
  13-16  prevention under Subsection (r)(7) of that section;
  13-17                    (F)  each standard or other requirement of the
  13-18  acid rain program established under Title IV of the federal Clean
  13-19  Air Act (42 U.S.C. Sections 7651-7651o) or the regulations adopted
  13-20  under that title;
  13-21                    (G)  each requirement established under Section
  13-22  504(b) or Section 114(a)(3) of the federal Clean Air Act (42 U.S.C.
  13-23  Section 7661c or 7414);
  13-24                    (H)  each standard or other requirement governing
  13-25  solid waste incineration established under Section 129 of the
   14-1  federal Clean Air Act Amendments of 1990 (Pub. L. No. 101-549);
   14-2                    (I)  each standard or other requirement for
   14-3  consumer and commercial products established under Section 183(e)
   14-4  of the federal Clean Air Act (42 U.S.C. Section 7511b);
   14-5                    (J)  each standard or other requirement for tank
   14-6  vessels established under Section 183(f) of the federal Clean Air
   14-7  Act (42 U.S.C. Section 7511b);
   14-8                    (K)  each standard or other requirement of the
   14-9  program to control air pollution from outer continental shelf
  14-10  sources established under Section 328 of the federal Clean Air Act
  14-11  (42 U.S.C. Section 7627);
  14-12                    (L)  each standard or other requirement of
  14-13  regulations adopted to protect stratospheric ozone under Title VI
  14-14  of the federal Clean Air Act (42 U.S.C. Sections 7671-7671q) unless
  14-15  the administrator has determined that the standard or requirement
  14-16  does not need to be contained in a Title V permit; and
  14-17                    (M)  each national ambient air quality standard
  14-18  or increment or visibility requirement under Part C of Title I of
  14-19  the federal Clean Air Act (42 U.S.C. Sections 7470-7492), but only
  14-20  as the standard, increment, or requirement would apply to a
  14-21  temporary source permitted under Section 504(e) of the federal
  14-22  Clean Air Act (42 U.S.C.  Section 7661c)
  14-23                    <(A)  Title III of the federal Clean Air Act
  14-24  Amendments of 1990 (Pub. L. No. 101-549);>
  14-25                    <(B)  Title IV of the federal Clean Air Act
   15-1  Amendments of 1990 (Pub. L. No. 101-549);>
   15-2                    <(C)  Sections 111 and 112 of the federal Clean
   15-3  Air Act (42 U.S.C.  Sections 7411 and 7412);>
   15-4                    <(D)  Parts C and D of Title I of the federal
   15-5  Clean Air Act (42 U.S.C. Sections 7470 et seq. and 7501 et seq.);>
   15-6                    <(E)  the state implementation plan requirements
   15-7  approved by the United States Environmental Protection Agency;>
   15-8                    <(F)  this chapter and rules adopted under this
   15-9  chapter; and>
  15-10                    <(G)  the federal Clean Air Act (42 U.S.C.
  15-11  Section 7401 et seq.), as revised>.
  15-12        (b)  The <(c)  If the> board shall:  <does not act>
  15-13              (1)  take final action on an application for a permit,
  15-14  permit revision, <a permit application> or permit renewal
  15-15  <application> within 18 months after <of> the date on which the
  15-16  board receives an administratively complete application;
  15-17              (2)  under an interim program, for those federal
  15-18  sources for which initial applications are required to be filed not
  15-19  later than one year after the effective date of the interim
  15-20  program, take final action on at least one-third of those
  15-21  applications annually over a period not to exceed three years after
  15-22  the effective date of the interim program;
  15-23              (3)  under the fully approved program, for those
  15-24  federal sources for which initial applications are required to be
  15-25  filed not later than one year after the effective date of the fully
   16-1  approved program, take final action on at least one-third of those
   16-2  applications annually over a period not to exceed three years after
   16-3  the effective date of the program; and
   16-4              (4)  take final action on a permit reopening not later
   16-5  than 18 months after the adoption of the requirement that prompted
   16-6  the reopening.
   16-7        (c)  If the board fails to take final action as required by
   16-8  Subsection (b)(1) or (4), a person affected by the board's failure
   16-9  to act may obtain judicial review under Section 382.032 at any time
  16-10  before the board takes final action.  A reviewing court may order
  16-11  the board to act on the application without additional delay if it
  16-12  finds that the board's failure to act is arbitrary or unreasonable.
  16-13        (d)  <In considering the issuance, amendment, or renewal of a
  16-14  permit, the board may consider any adjudicated decision or
  16-15  compliance proceeding within the five years before the date on
  16-16  which the application was filed that addressed the applicant's past
  16-17  performance and compliance with the laws of this state, another
  16-18  state, or the United States governing air contaminants or with the
  16-19  terms of any permit or order issued by the board.>
  16-20        <(e)>  Subsection (a)(2) <(b)(3)> does not prohibit the
  16-21  applicability of at least the best available control technology to
  16-22  a new or modified facility or federal source under Section
  16-23  382.0518(b)(1).
  16-24        SECTION 14.  Chapter 382, Health and Safety Code, is amended
  16-25  by adding Section 382.0543 to read as follows:
   17-1        Sec. 382.0543.  REVIEW AND RENEWAL OF FEDERAL OPERATING
   17-2  PERMIT.  (a)  In accordance with Section 382.0541(a)(5), a federal
   17-3  operating permit issued or renewed by the board is subject to
   17-4  review at least every five years after the date of issuance to
   17-5  determine whether the authority to operate should be renewed.
   17-6        (b)  The board by rule shall establish:
   17-7              (1)  the procedures for notifying a permit holder that
   17-8  the permit is scheduled for review in accordance with this section;
   17-9              (2)  a deadline by which the holder of a permit must
  17-10  submit an application for renewal of the permit that is between the
  17-11  date six months before expiration of the permit and the date 18
  17-12  months before expiration of the permit;
  17-13              (3)  the general requirements for an application; and
  17-14              (4)  the procedures for reviewing and acting on a
  17-15  renewal application.
  17-16        (c)  The board promptly shall provide to the applicant notice
  17-17  of whether the application is complete.  Unless the board requests
  17-18  additional information or otherwise notifies the applicant that the
  17-19  application is incomplete before the 61st day after the board
  17-20  receives an application, the application shall be deemed complete.
  17-21        (d)  The board shall take final action on a renewal
  17-22  application for a federal operating permit within 18 months after
  17-23  the date an application is determined to be administratively
  17-24  complete.  If the board does not act on an application for permit
  17-25  renewal within 18 months after the date on which the board receives
   18-1  an administratively complete application, a person who participated
   18-2  in the public participation process or a person affected by the
   18-3  board's failure to act may obtain judicial review under Section
   18-4  382.032 at any time before the board takes final action.
   18-5        (e)  In determining whether and under which conditions a
   18-6  permit should be renewed, the board shall consider:
   18-7              (1)  all applicable requirements in Section
   18-8  382.0542(a)(3); and
   18-9              (2)  whether the federal source is in compliance with
  18-10  this chapter and the terms of the existing permit.
  18-11        (f)  The board shall impose as terms and conditions in a
  18-12  renewed federal operating permit any applicable requirements under
  18-13  Title V of the federal Clean Air Act (42 U.S.C. Sections
  18-14  7661-7661f).  The terms or conditions of the renewed permit must
  18-15  provide for compliance with any applicable requirement under Title
  18-16  V of the federal Clean Air Act (42 U.S.C. Sections 7661-7661f).
  18-17  The board may not impose requirements less stringent than those of
  18-18  the existing permit unless the board determines that a proposed
  18-19  change will meet the requirements of Section 382.0541.
  18-20        (g)  If the applicant submits a timely and complete
  18-21  application for federal operating permit renewal, but the board
  18-22  fails to issue or deny the renewal permit before the end of the
  18-23  term of the previous permit:
  18-24              (1)  all terms and conditions of the permit shall
  18-25  remain in effect until the renewal permit has been issued or
   19-1  denied; and
   19-2              (2)  the applicant may continue to operate until the
   19-3  permit renewal application is issued or denied, if the applicant
   19-4  submits additional information that is requested in writing by the
   19-5  board that the board needs to process the application on or before
   19-6  the time specified in writing by the board.
   19-7        (h)  This section does not affect the board's authority to
   19-8  begin an enforcement action under Sections 382.082-382.084.
   19-9        SECTION 15.  Section 382.055, Health and Safety Code, is
  19-10  amended to read as follows:
  19-11        Sec. 382.055.  REVIEW AND RENEWAL OF PRECONSTRUCTION PERMIT.
  19-12  (a)  A preconstruction <Subject to Section 382.0541(a)(5), a>
  19-13  permit issued or renewed by the board <on or after December 1,
  19-14  1991,> is subject to review <every five years after the date of
  19-15  issuance> to determine whether the authority to operate should be
  19-16  renewed according to the following schedule:
  19-17              (1)  a preconstruction permit issued before December 1,
  19-18  1991, is subject to review not later than 15 years after the date
  19-19  of issuance;
  19-20              (2)  a preconstruction permit issued on or after
  19-21  December 1, 1991, is subject to review every 10 years after the
  19-22  date of issuance; and
  19-23              (3)  for cause, a preconstruction permit issued on or
  19-24  after December 1, 1991, for a facility at a nonfederal source may
  19-25  contain a provision requiring the permit to be renewed at a period
   20-1  of between five and 10 years.  <A permit issued before December 1,
   20-2  1991, is subject to review 15 years after the date of issuance.>
   20-3        (b)  The board by rule shall establish:
   20-4              (1)  a deadline by which the holder of a
   20-5  preconstruction permit must submit an application to renew <for
   20-6  review of> the permit;
   20-7              (2)  the general requirements for an application for
   20-8  renewal of a preconstruction permit <that must be met by the
   20-9  applicant>; and
  20-10              (3)  the procedures for reviewing and acting on renewal
  20-11  <review> applications.
  20-12        (c)  Not less than 180 days before the date on which the
  20-13  renewal application is due, the board shall provide written notice
  20-14  to the permit holder, by registered or certified mail, that the
  20-15  permit is scheduled for review in accordance with this section.
  20-16  The notice must include a description of the procedure for filing a
  20-17  renewal <review> application and the information to be included in
  20-18  the application.
  20-19        (d)  In determining whether and under which conditions a
  20-20  preconstruction permit should be renewed, the board shall consider,
  20-21  at a minimum:
  20-22              (1)  whether the facility is or has been in substantial
  20-23  compliance with this chapter and the terms of the existing permit;
  20-24  and
  20-25              (2)  the condition and effectiveness of existing
   21-1  emission control equipment and practices<; and>
   21-2              <(3)  all applicable requirements of the federal Clean
   21-3  Air Act Amendments of 1990 (Pub. L. No. 101-549)>.
   21-4        (e)  The board shall impose as a condition for renewal of a
   21-5  preconstruction permit <any applicable requirements of Title V of
   21-6  the federal Clean Air Act Amendments of 1990 (Pub. L. No. 101-549),
   21-7  as well as> those requirements determined to be economically
   21-8  reasonable and technically practicable considering the age of the
   21-9  facility and the effect of its emissions on the surrounding area.
  21-10  The board may not impose requirements less stringent than those of
  21-11  the existing permit unless the board determines that a proposed
  21-12  change will meet the requirements of Section <Sections> 382.0518
  21-13  <and 382.0541>.
  21-14        (f)  On or before the 180th day after the date on which an
  21-15  application for renewal is filed, the board shall renew the permit
  21-16  <In this subsection, a "reasonable time" may not exceed the time
  21-17  limitations established by the United States Environmental
  21-18  Protection Agency for federal sources under Title IV or V of the
  21-19  federal Clean Air Act Amendments of 1990 (Pub. L. No. 101-549).
  21-20  The board shall renew a permit within a reasonable time after the
  21-21  date on which a complete application is filed> or, if the board
  21-22  determines that the facility will not meet the requirements for
  21-23  renewing the permit, shall:
  21-24              (1)  set out in a report to the applicant the basis for
  21-25  the board's determination; and
   22-1              (2)  establish a schedule, to which the applicant must
   22-2  adhere in meeting the board's requirements, that:
   22-3                    (A)  includes a final date for meeting the
   22-4  board's requirements; and
   22-5                    (B)  requires completion of that action as
   22-6  expeditiously as possible.
   22-7        (g)  If the applicant meets the board's requirements in
   22-8  accordance with the schedule, the board shall renew the permit.  If
   22-9  the applicant does not meet those requirements in accordance with
  22-10  the schedule, the applicant must show in a contested case
  22-11  proceeding why the permit should not expire immediately.  The
  22-12  applicant's permit is effective until:
  22-13              (1)  the final date specified by the board's report to
  22-14  the applicant;
  22-15              (2)  the existing permit is renewed; or
  22-16              (3)  the date specified by a board order issued
  22-17  following a contested case proceeding held under this section.
  22-18        (h)  If the holder of a preconstruction permit to whom the
  22-19  board has mailed notice under <of> this section does not apply for
  22-20  renewal <review> of that permit by the date specified by the board
  22-21  under this section, the permit shall expire at the end of the
  22-22  period described in Subsection (a).<:>
  22-23              <(1)  a permit issued on or after December 1, 1991,
  22-24  expires five years after the date on which the permit is originally
  22-25  issued or, if the permit has been renewed, five years after the
   23-1  date on which the permit is last renewed; and>
   23-2              <(2)  a permit issued before December 1, 1991, expires
   23-3  15 years after the date on which the permit is originally issued
   23-4  or, if the permit has been renewed before December 1, 1991, 15
   23-5  years after the date on which the permit is last renewed.>
   23-6        (i)  This section does not affect the board's authority to
   23-7  begin an enforcement action under Sections 382.082-382.084.
   23-8        SECTION 16.  Sections 382.056(a)-(c), Health and Safety Code,
   23-9  are amended to read as follows:
  23-10        (a)  An applicant for a permit under Section 382.0518 or
  23-11  382.054 or a permit renewal review under Section 382.055 shall
  23-12  publish notice of intent to obtain the permit or permit review.
  23-13  The board by rule may require an applicant for a federal operating
  23-14  permit to publish notice of intent to obtain a permit or permit
  23-15  review consistent with federal requirements and with the
  23-16  requirements of this section.  The applicant shall publish the
  23-17  notice at least once in a newspaper of general circulation in the
  23-18  municipality in which the facility or federal source is located or
  23-19  is proposed to be located or in the municipality nearest to the
  23-20  location or proposed location of the facility or federal source.
  23-21  The board by rule shall prescribe when notice must be published and
  23-22  may require publication of additional notice.
  23-23        (b)  The notice must include:
  23-24              (1)  a description of the location or proposed location
  23-25  of the facility or federal source;
   24-1              (2)  a statement that a person who may be affected by
   24-2  emissions of air contaminants from the facility, <or> proposed
   24-3  facility, or federal source is entitled to request a hearing from
   24-4  the board;
   24-5              (3)  a description of the manner in which the board may
   24-6  be contacted for further information; and
   24-7              (4)  any other information the board by rule requires.
   24-8        (c)  At the site of a facility, <or> proposed facility, or
   24-9  federal source for which an applicant is required to publish notice
  24-10  under this section <for which a permit application or permit review
  24-11  application is submitted>, the applicant shall place a sign
  24-12  declaring the filing of an application for a permit or permit
  24-13  review for a facility at the site and stating the manner in which
  24-14  the board may be contacted for further information.  The board
  24-15  shall adopt any rule necessary to carry out this subsection.
  24-16        SECTION 17.  Section 382.0561, Health and Safety Code, is
  24-17  amended to read as follows:
  24-18        Sec. 382.0561.  Federal Operating Permit:  Hearing.
  24-19  (a)  Public <The following public> hearings on applications for
  24-20  issuance, revision, reopening, or renewal of a federal operating
  24-21  permit shall be conducted under this section only and not under the
  24-22  Administrative Procedure and Texas Register Act (Article 6252-13a,
  24-23  Vernon's Texas Civil Statutes)<:>
  24-24              <(1)  a public hearing on a permit application for a
  24-25  federal operating permit under Sections 382.054-382.0542 that is
   25-1  not subject to Section 382.0518; or>
   25-2              <(2)  a public hearing on an application for renewal of
   25-3  a federal operating permit under Section 382.055>.
   25-4        (b)  On determination that an application for a federal
   25-5  operating permit under Sections 382.054-382.0542 or a renewal of a
   25-6  federal operating permit under Section 382.0543 <382.055> is
   25-7  administratively complete and before the beginning of the public
   25-8  comment period, the board or its designee shall prepare a draft
   25-9  permit.
  25-10        (c)  The board or its designee shall hold a public hearing on
  25-11  a federal operating permit, a reopening of a federal operating
  25-12  permit, or renewal application before granting the permit or
  25-13  renewal if within the public comment period a person who may be
  25-14  affected by the emissions or a member of the legislature from the
  25-15  general area in which the facility is located requests a hearing.
  25-16  The board or its designee is not required to hold a hearing if the
  25-17  basis of the request by a person who may be affected is determined
  25-18  to be unreasonable.
  25-19        (d)  The following shall be available for public inspection
  25-20  in at least one location in the general area where the facility is
  25-21  located:
  25-22              (1)  information submitted by the application, subject
  25-23  to applicable confidentiality laws;
  25-24              (2)  the executive director's analysis of the proposed
  25-25  action; and
   26-1              (3)  a copy of the draft permit.
   26-2        (e)  The board or its designee shall hold a public comment
   26-3  period on a federal operating permit application, a federal
   26-4  operating permit reopening application, or a federal operating
   26-5  permit renewal application under Sections 382.054-382.0542 or
   26-6  382.0543 <382.055>.  Any person may submit a written statement to
   26-7  the board during the public comment period.  The board or its
   26-8  designee <executive director> shall receive public comment for 30
   26-9  days after the date on which notice of the public comment period is
  26-10  published.  The board or its designee <executive director> may
  26-11  extend or reopen the comment period if the director finds an
  26-12  extension or reopening to be appropriate.
  26-13        (f)  Notice of the public comment period and opportunity for
  26-14  a hearing under this section shall be published in accordance with
  26-15  Section 382.056.
  26-16        (g)  Any person may submit an oral or written statement
  26-17  concerning the application at the hearing.  The individual holding
  26-18  the hearing may set reasonable limits on the time allowed for oral
  26-19  statements at the hearing.  The public comment period extends to
  26-20  the close of the hearing and may be further extended or reopened if
  26-21  the board or its designee <executive director> finds an extension
  26-22  or reopening to be appropriate.
  26-23        (h)  Any person, including the applicant, who believes that
  26-24  any condition of the draft permit is inappropriate or that the
  26-25  <executive director's> preliminary decision of the board or its
   27-1  designee to issue or deny a permit is inappropriate must raise all
   27-2  reasonably ascertainable issues and submit all reasonably available
   27-3  arguments supporting that  position by the end of the public
   27-4  comment period.
   27-5        (i)  The board or its designee <executive director> shall
   27-6  consider all comments received during the public comment period and
   27-7  at the public hearing in determining whether to issue the permit
   27-8  and what conditions should be included if a permit is issued.
   27-9        SECTION 18.  Section 382.0562, Health and Safety Code, is
  27-10  amended to read as follows:
  27-11        Sec. 382.0562.  Notice of Decision.  (a)  The board or its
  27-12  designee <executive director> shall send notice of a proposed final
  27-13  action <decision> on a federal operating permit by first-class mail
  27-14  to the applicant and all persons who comment during the public
  27-15  comment period or at the public hearing.  The notice shall include
  27-16  a response to any comment submitted during the public comment
  27-17  period and shall identify any change in the conditions of the draft
  27-18  permit and the reasons for the change.
  27-19        (b)  The notice required by Subsection (a) shall:
  27-20              (1)  state that any person affected by the decision of
  27-21  the board or its designee <executive director> may petition the
  27-22  administrator in accordance with Section 382.0565 and rules adopted
  27-23  under that section <appeal the decision to the board not later than
  27-24  the  30th day after the date on which notice was mailed>;
  27-25              (2)  state the date by which the petition <an appeal>
   28-1  must be filed; and
   28-2              (3)  explain the petition <appeal> process. <and
   28-3  explain that an appeal is a contested case hearing before the
   28-4  board; and>
   28-5              <(4)  state that a letter to the board stating that the
   28-6  person is appealing the decision constitutes an appeal of the
   28-7  decision.>
   28-8        SECTION 19.  Section 382.0563, Health and Safety Code, is
   28-9  amended to read as follows:
  28-10        Sec. 382.0563.  PUBLIC PETITION TO THE ADMINISTRATOR <APPEAL
  28-11  TO BOARD>.  (a)  The board by rule may provide for public petitions
  28-12  to the administrator in accordance with Section 505 of the federal
  28-13  Clean Air Act (42 U.S.C. Section 7661d).  <Any person, including
  28-14  the applicant, affected by a decision of the executive director
  28-15  under Section 382.0561 may appeal the decision to the board not
  28-16  later than the 30th day after the date on which notice was mailed.
  28-17  The issues on appeal must be identified with specificity in the
  28-18  request for a contested case hearing.>
  28-19        (b)  The petition for review to the administrator under this
  28-20  section does not affect:
  28-21              (1)  a permit issued by the board or its designee; or
  28-22              (2)  the finality of the board's or its designee's
  28-23  action for purposes of an appeal under Section 382.032.  <An appeal
  28-24  under this section is a contested case hearing under the
  28-25  Administrative Procedure and Texas Register Act (Article 6252-13a,
   29-1  Vernon's Texas Civil Statutes).>
   29-2        (c)  The board or its designee shall resolve any objection
   29-3  that the United States Environmental Protection Agency makes and
   29-4  terminate, modify, or revoke and reissue the permit in accordance
   29-5  with the objection not later than the 90th day after the date the
   29-6  board receives the objection.  <The filing of an appeal to the
   29-7  board under this section does not affect a permit issued by the
   29-8  executive director.  A final order by the board reversing or
   29-9  modifying the executive director's decision takes effect when it
  29-10  becomes final and appealable.>
  29-11        SECTION 20.  Section 382.0564, Health and Safety Code, is
  29-12  amended to read as follows:
  29-13        Sec. 382.0564.  Notification to Other Governmental Entities.
  29-14  The board by rule may <shall> allow for notification of and review
  29-15  by the administrator and affected states of permit applications,
  29-16  revisions, renewals, or draft permits <any permit application or
  29-17  draft permit> prepared under Sections 382.054-382.0543 <382.0542 if
  29-18  notification and review is requested>.
  29-19        SECTION 21.  Section 382.057(a), Health and Safety Code, is
  29-20  amended to read as follows:
  29-21        (a)  Consistent with Section 382.0511, the board by rule may
  29-22  exempt from the requirements of Section 382.0518 <and Sections
  29-23  382.054-382.0542> changes within a permitted facility and certain
  29-24  types of facilities if it is found on investigation that such
  29-25  changes or types of facilities will not make a significant
   30-1  contribution of air contaminants to the atmosphere<, except as
   30-2  prohibited by the federal Clean Air Act Amendments of 1990 (Pub. L.
   30-3  No. 101-549)>.  The board may not exempt any <source or> facility
   30-4  or any modification of an existing facility defined as "major"
   30-5  under the federal Clean Air Act <Amendments of 1990 (Pub. L. No.
   30-6  101-549)> or regulations adopted under that Act.
   30-7        SECTION 22.  Section 382.059, Health and Safety Code, is
   30-8  amended to read as follows:
   30-9        Sec. 382.059.  Revocation of Permit or Exemption.  (a)  The
  30-10  board may revoke and reissue, terminate, or modify a federal
  30-11  operating permit, preconstruction permit, or exemption issued under
  30-12  this chapter if the board determines that:
  30-13              (1)  any of the terms of the federal operating permit,
  30-14  preconstruction permit, or exemption are being violated; <or>
  30-15              (2)  emissions from the proposed facility will
  30-16  contravene air pollution control standards set by the board or will
  30-17  contravene the intent of this chapter; or
  30-18              (3)  the federal operating permit contains a material
  30-19  mistake or that inaccurate statements were made in establishing the
  30-20  emissions standards or other terms or conditions of the federal
  30-21  operating permit.
  30-22        (b)  The board may:
  30-23              (1)  begin proceedings to revoke and reissue,
  30-24  terminate, or modify a permit if a violation at a facility is
  30-25  continued after 180 days following the date on which the notice of
   31-1  violation is provided under Section 382.082; and
   31-2              (2)  consider good faith efforts to correct the
   31-3  violation in deciding whether to revoke and reissue, terminate, or
   31-4  modify a federal operating permit, preconstruction permit, or
   31-5  exemption.
   31-6        (c)  Subsection (b)(1) does not affect the board's authority
   31-7  to bring suit for injunctive relief under Section 382.084.
   31-8        SECTION 23.  Section 382.0591, Health and Safety Code, is
   31-9  amended to read as follows:
  31-10        Sec. 382.0591.  Denial of Application for Permit; Assistance
  31-11  Provided by <Certain> Former or Current Employees.  (a)  The board
  31-12  shall deny an application for the issuance, amendment, renewal, or
  31-13  transfer of a permit and may not issue, amend, renew, or transfer
  31-14  the permit if the board determines that <a former employee>:
  31-15              (1)  a former employee participated personally and
  31-16  substantially as an employee in the board's review, evaluation, or
  31-17  processing of the application before leaving employment with the
  31-18  board; and
  31-19              (2)  after leaving employment with the board, that
  31-20  former employee provided assistance to the applicant for the
  31-21  issuance, amendment, renewal, or transfer of the permit, including
  31-22  assistance with preparation or presentation of the application or
  31-23  legal representation of the applicant.
  31-24        (b)  The board or the executive director may not issue a
  31-25  federal operating permit for a solid waste incineration unit if a
   32-1  member of the board or the executive director is also responsible
   32-2  in whole or in part for the design and construction or the
   32-3  operation of the unit.
   32-4        (c)  The board shall provide an opportunity for a hearing to
   32-5  an applicant before denying an application under this section.
   32-6        (d) <(c)>  Action taken under this section does not prejudice
   32-7  any application other than an application in which the former
   32-8  employee provided assistance.
   32-9        (e) <(d)>  In this section, "former employee" means a person:
  32-10              (1)  who was previously employed by the board as a
  32-11  supervisory or exempt employee; and
  32-12              (2)  whose duties during employment with the board
  32-13  included involvement in or supervision of the board's review,
  32-14  evaluation, or processing of applications.
  32-15        SECTION 24.  Section 382.061, Health and Safety Code, is
  32-16  amended to read as follows:
  32-17        Sec. 382.061.  Delegation of Powers and Duties.  (a)  The
  32-18  board may delegate to the executive director the powers and duties
  32-19  under Sections 382.051-382.0563 <382.055, 382.057,> and 382.059,
  32-20  except for the adoption of rules.
  32-21        (b)  An applicant or a person affected by a decision of the
  32-22  executive director may appeal to the board any decision made by the
  32-23  executive director, with the exception of a decision regarding a
  32-24  federal operating permit, under Sections  382.051-382.055 and
  32-25  382.059 <those sections>.
   33-1        (c)  Any person, including the applicant, affected by a
   33-2  decision of the executive director regarding federal operating
   33-3  permits may:
   33-4              (1)  petition the administrator in accordance with
   33-5  rules adopted under Section 382.0563; or
   33-6              (2)  file a petition for judicial review under Section
   33-7  382.032.
   33-8        SECTION 25.  Section 382.062, Health and Safety Code, is
   33-9  amended to read as follows:
  33-10        Sec. 382.062.  Application, Permit, and Inspection Fees.
  33-11  (a)  The board shall adopt, charge, and collect a fee for:
  33-12              (1)  each application for:
  33-13                    (A)  a permit or permit amendment, revision, or
  33-14  modification not subject to Title IV or V of the federal Clean Air
  33-15  Act (42 U.S.C. Sections 7641 et seq. and 7661 et seq.) <Amendments
  33-16  of 1990 (Pub. L. No. 101-549)>;
  33-17                    (B)  a renewal review of a permit issued under
  33-18  Section 382.0518 not subject to Title IV or V of the federal Clean
  33-19  Air Act <Amendments of 1990 (Pub. L. No. 101-549)>;
  33-20              (2)  inspections of a federal <facility or> source
  33-21  performed to enforce this chapter or rules adopted by the board
  33-22  under this chapter until the federal <facility or> source is
  33-23  required to obtain an <a Title IV or V> operating permit under
  33-24  Section 382.054 <the federal Clean Air Act Amendments of 1990 (Pub.
  33-25  L. No. 101-549)>; and
   34-1              (3)  inspections performed to enforce this chapter or
   34-2  rules adopted by the board under this chapter at a facility <or
   34-3  source> not required to obtain an  <a Title IV or V> operating
   34-4  permit under Section 382.054 <the federal Clean Air Act Amendments
   34-5  of 1990 (Pub. L. No.  101-549)>.
   34-6        (b)  The board may adopt rules relating to charging and
   34-7  collecting a fee for an exemption from a permit or for a standard
   34-8  permit authorized by board rule and for a variance.
   34-9        (c)  For purposes of the fees, the board shall treat two or
  34-10  more facilities that compose an integrated system or process as a
  34-11  single facility if a structure, device, item of equipment, or
  34-12  enclosure that constitutes or contains a given stationary source
  34-13  operates in conjunction with and is functionally integrated with
  34-14  one or more other similar structures, devices, items of equipment,
  34-15  or enclosures.
  34-16        (d)  A fee assessed under this section may not be less than
  34-17  $25 or more than $75,000.
  34-18        (e)  The board by rule shall establish the fees to be
  34-19  collected under Subsection (a) in amounts sufficient to recover:
  34-20              (1)  the reasonable costs to review and act on a
  34-21  variance application and enforce the terms and conditions of the
  34-22  variance; and
  34-23              (2)  not less than 50 percent of the board's actual
  34-24  annual expenditures to:
  34-25                    (A)  review and act on permits or special
   35-1  permits;
   35-2                    (B)  amend and review permits;
   35-3                    (C)  inspect permitted, exempted, and specially
   35-4  permitted facilities; and
   35-5                    (D)  enforce the rules and orders adopted and
   35-6  permits, special permits, and exemptions issued under this chapter,
   35-7  excluding rules and orders adopted and permits required under Title
   35-8  IV or V of the federal Clean Air Act (42 U.S.C. Sections 7651 et
   35-9  seq. and 7661 et seq.) <Amendments of 1990 (Pub.  L.  No.
  35-10  101-549)>.
  35-11        SECTION 26.  Sections 382.0622(b), (c), and (d), Health and
  35-12  Safety Code, are amended to read as follows:
  35-13        (b)  Clean Air Act fees shall be deposited in the state
  35-14  treasury to the credit of the clean air fund and shall be used to
  35-15  safeguard the air resources of the state.  <All unexpended and
  35-16  unobligated money remaining in the fund on the last day of each
  35-17  fiscal biennium shall be transferred to the credit of the general
  35-18  revenue fund.>
  35-19        (c)  The board shall request the appropriation of sufficient
  35-20  money to safeguard the air resources of the state, including
  35-21  payments to the Public Safety Commission for incidental costs of
  35-22  administering the vehicle emissions inspection and maintenance
  35-23  program, except that after the date of delegation of the state's
  35-24  permitting program under Title V of the federal Clean Air Act (42
  35-25  U.S.C. Sections 7661 et seq.) <Amendments of 1990 (Pub. L. No.
   36-1  101-549)>, fees collected under Section 382.0621(a) may be
   36-2  appropriated only to cover costs of developing and administering
   36-3  the federal permit program under Titles IV and V of the federal
   36-4  Clean Air Act (42 U.S.C. Sections 7641 et seq. and 7661 et seq.)
   36-5  <Amendments of 1990 (Pub. L. No. 101-549)>.
   36-6        (d)(1)  Through the option of contracting for air pollution
   36-7  control services, including but not limited to compliance and
   36-8  permit inspections and complaint response, the board may utilize
   36-9  appropriated money to purchase services from units of local
  36-10  government meeting each of the following criteria:
  36-11                    (A)  the unit of local government received
  36-12  federal fiscal year 1990 funds from the United States Environmental
  36-13  Protection Agency pursuant to Section 105 of the federal Clean Air
  36-14  Act (42 U.S.C. Section 7405) for the operation of an air pollution
  36-15  program by formal agreement;
  36-16                    (B)  the local unit of government is in a
  36-17  federally designated nonattainment area subject to implementation
  36-18  plan requirements, including automobile emission inspection and
  36-19  maintenance programs, under Title I of the federal Clean Air Act
  36-20  (42 U.S.C. Sections 7401-7515) <Amendments of 1990 (Pub. L. No.
  36-21  101-549)>; and
  36-22                    (C)  the local unit of government has not caused
  36-23  the United States Environmental Protection Agency to provide
  36-24  written notification that a deficiency in the quality or quantity
  36-25  of services provided by its air pollution program is jeopardizing
   37-1  compliance with a state implementation plan, a federal program
   37-2  delegation agreement, or any other federal requirement for which
   37-3  federal sanctions can be imposed.
   37-4              (2)  The board may request appropriations of sufficient
   37-5  money to contract for services of local units of government meeting
   37-6  the eligibility criteria of this subsection to ensure that the
   37-7  combination of federal and state funds annually available for an
   37-8  air pollution program is equal to or greater than the program costs
   37-9  for the operation of an air quality program by the local unit of
  37-10  government.  The board is encouraged to fund an air pollution
  37-11  program operated by a local unit of government meeting the
  37-12  eligibility criteria of this subsection in a manner the board deems
  37-13  an effective means of addressing federal and state requirements.
  37-14  The services to be provided by an eligible local unit of government
  37-15  under a contractual arrangement under this subsection shall be at
  37-16  least equal in quality and quantity to the services the local unit
  37-17  of government committed to provide in agreements under which it
  37-18  received its federal 1990 air pollution grant.  The board and the
  37-19  local units of government meeting the eligibility criteria of this
  37-20  subsection may agree to more extensive contractual arrangements.
  37-21              (3)  Nothing in this subsection shall prohibit a local
  37-22  unit of government from voluntarily discontinuing an air pollution
  37-23  program and thereby relinquishing this responsibility to the state.
  37-24        SECTION 27.  Chapter 382, Health and Safety Code, is amended
  37-25  by adding Section 382.064 to read as follows:
   38-1        Sec. 382.064.  INITIAL APPLICATION DATE.  An application for
   38-2  a federal operating permit is not required to be submitted to the
   38-3  board before the approval of the Title V permitting program by the
   38-4  United States Environmental Protection Agency.
   38-5        SECTION 28.  Section 382.084(c), Health and Safety Code, is
   38-6  amended to read as follows:
   38-7        (c)  The board or the executive director may seek an
   38-8  injunction or cause a suit for injunctive relief to be instituted
   38-9  to stop:
  38-10              (1)  work on a facility that is:
  38-11                    (A)  being done without a construction permit,
  38-12  special permit, or exemption required under this chapter; or
  38-13                    (B)  in violation of the terms of a permit,
  38-14  special permit, or exemption issued under this chapter; and
  38-15              (2)  the operation of a facility that:
  38-16                    (A)  is operating without a federal <an>
  38-17  operating permit required under this chapter; or
  38-18                    (B)  is operating in violation of the terms of a
  38-19  federal <an> operating permit issued under this chapter.
  38-20        SECTION 29.  Notwithstanding Section 2.35, Chapter 3, Acts of
  38-21  the 72nd Legislature, 1st Called Session, 1991, Sections 382.0541,
  38-22  382.0542, and 382.0561-382.0563, Health and Safety Code, and the
  38-23  federal operating permit requirement described by Section 382.054,
  38-24  Health and Safety Code, take effect on the effective date of this
  38-25  Act.
   39-1        SECTION 30.  The importance of this legislation and the
   39-2  crowded condition of the calendars in both houses create an
   39-3  emergency and an imperative public necessity that the
   39-4  constitutional rule requiring bills to be read on three several
   39-5  days in each house be suspended, and this rule is hereby suspended,
   39-6  and that this Act take effect and be in force from and after its
   39-7  passage, and it is so enacted.