By Saunders                                           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; representation of the general public on the Texas
    1-5  Natural Resources Conservation Commission; the confidentiality and
    1-6  handling of agency information; appeals of commission actions;
    1-7  permitting authority of the commission; fees for standard permits;
    1-8  disposition of clean air fund balances, certification of
    1-9  compliance; application dates, notice of intent to obtain,
   1-10  hearings, issuance, administration, appeal of delay, petition for
   1-11  review by EPA, enforcement and renewal of federal operating
   1-12  permits; review and renewal of preconstruction permits; and
   1-13  exemptions.
   1-14        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-15                              ARTICLE I.
   1-16  SECTION 1.  Section 5.052 of the Texas Water Code is amended to
   1-17  read as follows:
   1-18  Section 5.052.  Members of the Commission; Appointment.  (a)  The
   1-19  commission is composed of three members who are appointed by the
   1-20  governor with the advice and consent of the senate<.> to represent
   1-21  the general public.
   1-22  (b)  The governor shall make the appointments in such a manner that
   1-23  each member is from a different section of the state.
    2-1  (c)  Appointments to the commission shall be made without regard to
    2-2  the race, color, handicap, sex, religion, age, or national origin
    2-3  of the appointees.
    2-4                             ARTICLE II.
    2-5  SECTION 1.  Section <381.020>, Health and Safety Code, is
    2-6  renumbered as follows:
    2-7  Section 382.041.  DOCUMENTS; PUBLIC PROPERTY.  All information,
    2-8  documents, and data collected by the board in performing its duties
    2-9  are state property.  Subject to the limitations of Section
   2-10  <381.022>, 382.042 all board records are public records open to
   2-11  inspection by any person during regular office hours.
   2-12  SECTION 2.  Section <381.022.>, Health and Safety Code, is
   2-13  renumbered and amended to read as follows:
   2-14  Section 382.042.  CONFIDENTIAL INFORMATION.  A member, employee, or
   2-15  agent of the board may not disclose information submitted to the
   2-16  board relating to secret processes or methods of manufacture or
   2-17  production that is identified as confidential when submitted.  It
   2-18  is provided; however, that a member, employee or agent of the board
   2-19  may disclose such information upon request, to representatives of
   2-20  the United States Environmental Protection Agency, but shall at the
   2-21  time of disclosure, notify the representatives that the material
   2-22  has been identified as confidential pursuant to this section.
   2-23  SECTION 3.  Section 382.032, Health and Safety Code, is amended to
   2-24  read as follows:
   2-25  Section 382.032.  APPEAL OF BOARD ACTION.
    3-1        (a)  A person affected by a ruling, order, decision, or other
    3-2  act of the board may appeal the action by filing a petition in a
    3-3  district court of Travis County.
    3-4        (b)  The petition must be filed within 30 days after the date
    3-5  of the board's action or in the case of a ruling, order, or
    3-6  decision, within 30 days after the effective date of the ruling,
    3-7  order, or decision.  If the board action being appealed is the
    3-8  board's failure to take final action on an application for a
    3-9  federal operating permit, a reopening of a federal operating
   3-10  permit, a revision to a federal operating permit or a permit
   3-11  renewal application for a federal operating permit in accordance
   3-12  with Section 382.0542(b), the petition may be filed at any time
   3-13  before the board takes final action.
   3-14        (c)  Service of citation on the board must be accomplished
   3-15  within 30 days after the date on which the petition is filed.
   3-16  Citation may be served on the executive director or any board
   3-17  member.
   3-18        (d)  The plaintiff shall pursue the action with reasonable
   3-19  diligence.  If the plaintiff does not prosecute the action within
   3-20  one year after the date on which the action is filed, the court
   3-21  shall presume that the action has been abandoned.  The court shall
   3-22  dismiss the suit on a motion for dismissal made by the attorney
   3-23  general unless the plaintiff, after receiving due notice, can show
   3-24  good and sufficient cause for the delay.
   3-25        (e)  In an appeal of a board action other than cancellation
    4-1  or suspension of a variance, the issue is whether the action is
    4-2  invalid, arbitrary, or unreasonable.
    4-3        (f)  An appeal of the cancellation or suspension of a
    4-4  variance must be tried in the same manner as appeals from the
    4-5  justice court to the county court.
    4-6  SECTION 4.  Section 382.051(b) of the Health and Safety Code is
    4-7  amended to read as follows:
    4-8  Section 382.051.  Permitting Authority of Board; Rules.  (a)  The
    4-9  board may issue a permit:
   4-10        (1)  to construct a new facility or modify an existing
   4-11  facility that may emit air contaminants; or
   4-12        (2)  to operate a federal source.
   4-13  (b)  <The> To assist in fulfilling its authorization in subsection
   4-14  (a), the board may issue:
   4-15        (1)  special permits for certain facilities;
   4-16        (2)  a general permit developed by rule for numerous similar
   4-17  sources subject to Section 382.054 <or>;
   4-18        (3)  a standard permit developed by rule for numerous similar
   4-19  facilities subject to Section 382.0518; or
   4-20        <(3)> (4)  a single federal operating permit or
   4-21  preconstruction permit for multiple sources or facilities located
   4-22  at the same site.
   4-23        (5)  other such permits as necessary.
   4-24  (c)  The board may issue a federal operating permit for a federal
   4-25  source in violation only if the operating permit incorporates a
    5-1  compliance plan for the source<, as equipped by Section 503 of the
    5-2  federal Clean Air Act (42 USC Section 7661b), as added by Section
    5-3  501 and any rules adopted by the board,> as a condition of a
    5-4  permit.
    5-5  (d)  The board shall adopt rules as necessary to comply with
    5-6  changes in federal law or regulations applicable to permits issued
    5-7  under this chapter.
    5-8  SECTION 5.  Section 382.0511 of the Health and Safety Code is
    5-9  amended to read as follows:
   5-10  Sec. 382.0511.  Permit Consolidation and Amendment.
   5-11        (a)  The board may consolidate into a single permit:
   5-12              (1)  any permits, special permits, or exemptions for a
   5-13  facility or source issued by the board before December 1, 1991; or
   5-14              (2)  any permit issued by the board on or after
   5-15  December 1, 1991, with any permits, special permits, or exemptions
   5-16  issued or qualified for by that date.
   5-17        (b)  Consistent with the rules adopted under Subsection (d)
   5-18  and the limitations of this chapter, including limitations that
   5-19  apply to the modification of an existing facility, the board may
   5-20  amend, revise, or modify a permit.
   5-21        <(c)  The board may allow changes within a permitted facility
   5-22  or a facility that has filed a timely and complete application for
   5-23  a federal operating permit under Section 382.054 without requiring
   5-24  a permit revision if:>
   5-25              <(1)  the changes are not modifications under any
    6-1  provision of Title I of the federal Clean Air Act Amendments of
    6-2  1990 (Pub.L. No. 101-549);>
    6-3              <(2)  the changes do not cause emissions in excess of
    6-4  emissions allowable under the permit;>
    6-5              <(3)  the changes do not alter any permit condition;
    6-6  and>
    6-7              <(4)  the facility notifies the board in writing at
    6-8  least seven days in advance of the proposed changes, unless the
    6-9  board by rule provides a different time frame for emergencies.>
   6-10        (c)  The board may adopt rules authorizing changes within a
   6-11  federal source to proceed without prior receipt of or revisions to
   6-12  a federal operating permit, provided that the owner or operator has
   6-13  obtained any preconstruction permit or permit amendment required by
   6-14  Section 382.0518 or an exemption allowed under Section 382.057.
   6-15        (d)  The board by rule shall develop criteria and
   6-16  administrative procedures to implement Subsections (b) and (c).
   6-17        (e)  When multiple facilities have been consolidated into a
   6-18  single permit under this section and the consolidated permit is
   6-19  reopened for consideration of an amendment relating to one or more
   6-20  facilities authorized by that permit, the permit is not considered
   6-21  reopened with respect to facilities for which an amendment,
   6-22  revision, or modification is not sought unless this chapter
   6-23  specifically authorizes or requires that additional reopening in
   6-24  order to protect the public's health and physical property.
   6-25  SECTION 6.  Section 382.0513, Health and Safety Code, is amended to
    7-1  read as follows:
    7-2  Section 382.0513.  Permit Conditions.
    7-3        The board may establish <by rule> and enforce permit
    7-4  conditions consistent with this chapter.  <and rules adopted by the
    7-5  board.>
    7-6  SECTION 7.  Section 382.0514, Health and Safety Code, is amended to
    7-7  read as follows:
    7-8  Section 382.0514.  SAMPLING, <AND> MONITORING, and CERTIFICATION.
    7-9        The board may require, at the expense of the permit holder
   7-10  and as a condition of the permit:
   7-11              (1)  sampling and monitoring of a permitted source or
   7-12  facility; <and>
   7-13              (2)  <a regular periodic report of sampling and
   7-14  monitoring results.>  certification of the compliance of the owner
   7-15  or operator of the permitted federal source with all applicable
   7-16  requirements and with the terms and conditions of the permit; and
   7-17              (3)  a periodic report of the results of sampling and
   7-18  monitoring <results> and of the certification of compliance.
   7-19  SECTION 8.  Section 382.054, Health and Safety Code, is amended to
   7-20  read as follows:
   7-21  Section 382.054.  Federal Operating Permit.
   7-22        <A> Subject to Section 382.0511(c) a person may not operate a
   7-23  federal source unless the person has obtained a federal operating
   7-24  permit from the board under Sections 382.0541 <and>, 382.0542, or
   7-25  382.0543.
    8-1  SECTION 9.  Section 382.0541, Health and Safety Code, is amended to
    8-2  read as follows:
    8-3  Section 382.0541.  Administration and Enforcement of Federal
    8-4  Operating Permit.
    8-5        (a)  The board may<:> adopt rules to:
    8-6              (1)  require a federal source <subject> to obtain a
    8-7  permit pursuant to <Title III of> the federal Clean Air Act
    8-8  <Amendments of 1990 (Pub.L. No. 101-549) to comply with that Act
    8-9  and regulations adopted under that Act>;
   8-10              (2)  require an existing facility or source to use, at
   8-11  a minimum, any applicable maximum achievable control technology
   8-12  required by the board or by the United States Environmental
   8-13  Protection Agency;
   8-14              (3)  require <a new or modified facility or source
   8-15  subject to Title III> facilities or sources, which are new or
   8-16  modified and are subject to section 112(g) of the federal Clean Air
   8-17  Act <Amendments of 1990 (Pub.L. No. 101-549)> to use, at a minimum,
   8-18  the more stringent of:
   8-19                    (A)  the best available control technology,
   8-20  considering the technical practicability and economic
   8-21  reasonableness of reducing or eliminating emissions from the
   8-22  proposed facility or source; or
   8-23                    (B)  any applicable maximum achievable control
   8-24  technology (MACT), including any MACT developed pursuant to Section
   8-25  112(g) of the federal Clean Air Act (42 U.S.C. Section 7412);<, as
    9-1  amended by Section 301 of the federal Clean Air Act Amendments of
    9-2  1990 (Pub.L. No. 101-549), required by the board or by the United
    9-3  States Environmental Protection Agency;>
    9-4              (4)  establish maximum achievable control technology
    9-5  requirements <on a case-by-case basis> if the United States
    9-6  Environmental Protection Agency does not <adopt> establish those
    9-7  requirements<;> in accordance with section 112(j) of the federal
    9-8  Clean Air Act;
    9-9              (5)  issue initial permits with terms not to exceed
   9-10  five years for federal sources under Title <IV or> V of the federal
   9-11  Clean Air Act <Amendments of 1990 (Pub.L. No. 101-549)>, with
   9-12  <five-year> terms not to exceed five years for all subsequently
   9-13  issued or renewed permits;
   9-14              (6)  administer the use of emissions allowances under
   9-15  Section 408 of the federal Clean Air Act (42 U.S.C. Section 7651g);
   9-16  <, as amended by Section 401 of the federal Clean Air Act
   9-17  Amendments of 1990 (Pub.L. No. 101-549)>;
   9-18              (7)  reopen and revise an affected federal operating
   9-19  permit when:
   9-20                    (A)  that permit has a <with a> term of three
   9-21  years or more remaining in order to incorporate requirements under
   9-22  the federal Clean Air Act (42 U.S.C. Section 7401 et seq.) adopted
   9-23  after the permit is issued; <and>
   9-24                    (B)  additional requirements become applicable to
   9-25  an affected source under the acid rain program;
   10-1                    (C)  the federal operating permit contains a
   10-2  material mistake or if inaccurate statements were made in
   10-3  establishing the emissions standards or other terms or conditions
   10-4  of the federal operating permit; or
   10-5                    (D)  a determination is made that the permit must
   10-6  be revised or revoked to assure compliance with the applicable
   10-7  requirements.
   10-8              (8)  incorporate a federal implementation plan as a
   10-9  condition of a permit issued by the board<.> ;
  10-10              (9)  exempt sources from the obligation to obtain a
  10-11  federal operating permit;
  10-12              (10)  provide that all representations in an
  10-13  application for a permit under Title IV of the federal Clean Air
  10-14  Act, are binding on the applicant until issuance or denial of the
  10-15  permit;
  10-16              (11)  provide that all terms and conditions of any
  10-17  federal operating permit required under Title IV of the federal
  10-18  Clean Air Act shall be a complete and segregable section of the
  10-19  federal operating permit; and
  10-20              (12)  issue initial permits with fixed terms of five
  10-21  years for federal sources under Title IV of the federal Clean Air
  10-22  Act with fixed five-year terms for all subsequently issued or
  10-23  renewed permits.
  10-24        (b)  The board by rule shall provide for objection by the
  10-25  administrator to the issuance of any operating or general permit
   11-1  subject to Title V of the federal Clean Air Act <Amendments of 1990
   11-2  (Pub.L. No. 101-549)> and shall authorize the administrator to
   11-3  revoke and reissue, terminate, reopen or modify a federal operating
   11-4  permit.
   11-5        (c)  This section does not affect the permit requirements of
   11-6  Section 382.0518, except that the board may consolidate with an
   11-7  existing permit issued under this section a permit required by
   11-8  Section 382.0518.
   11-9        (d)  The board shall promptly provide notice to the applicant
  11-10  of whether the application is complete.  Unless the board requests
  11-11  additional information or otherwise notifies the applicant of
  11-12  incompleteness within 60 days of receipt of an application, the
  11-13  application shall be deemed complete.
  11-14        <(d)> (e)  Subsection (a)(3) and (4) does not prohibit the
  11-15  applicability of at least the best available control technology to
  11-16  a new or modified facility or source under Section 382.0518(b)(1).
  11-17  SECTION 10.  Section 382.0542, Health and Safety Code, is amended
  11-18  to read as follows:
  11-19        Section 382.0542.  Issuance of Federal Operating Permit;
  11-20  Appeal of Delay.
  11-21        <(a)  The board shall grant a permit required by Section
  11-22  382.054 not later than 18 months after the date on which the board
  11-23  receives an administratively complete application if, from
  11-24  information available to the board, including information presented
  11-25  at any hearing held under Section 382.0561, the board finds that
   12-1  the facility or source for which the permit is sought meets the
   12-2  requirements of Subsection (b).>
   12-3        <(b)> (a)  A <facility or> federal source is eligible for a
   12-4  permit required by Section 382.054 if from the information
   12-5  available to the board, including information presented at any
   12-6  hearing held under Section 382.0561, the board finds that:
   12-7              <(1)  emissions from the facility or source will comply
   12-8  with the intent of this chapter, including protection of the
   12-9  public's health and physical property;>
  12-10              <(2)> (1)  the <facility or> federal source will use,
  12-11  at a minimum, any applicable maximum achievable control technology
  12-12  required by the board or by the United States Environmental
  12-13  Protection Agency;
  12-14              <(3)> (2)  <for new or modified source or facility
  12-15  subject to Title III of the federal Clean Air Act Amendments of
  12-16  1990 (Pub.L. No. 101-549)> for a federal source which is new or
  12-17  modified and subject to section 112(g) of the federal Clean Air Act
  12-18  <Amendments of 1990 (Pub. L. No. 101-549)>, the federal source <or
  12-19  facility> will use, at a minimum, the more stringent of:
  12-20                    (A)  the best available control technology,
  12-21  considering the technical practicability and economic
  12-22  reasonableness of reducing or eliminating the emissions from the
  12-23  proposed <facility or> federal source; or
  12-24                    (B)  any applicable maximum achievable control
  12-25  technology required by the board or by the United States
   13-1  Environmental Protection Agency; and
   13-2              <(4)> (3)  <emissions from the> The <facility or>
   13-3  federal source will comply with the <all> following <applicable>
   13-4  requirements, if applicable: <of:>
   13-5                    <(A)  Title III of the federal Clean Air Act
   13-6  Amendments of 1990 (Pub.L.  No.  101-549);>
   13-7                    <(B)  Title IV of the federal Clean Air Act
   13-8  Amendments of 1990 (Pub.L.  No.  101-549);>
   13-9                    <(C)  Sections 111 and 112 of the federal Clean
  13-10  Air Act (42 U.S.C.  Sections 7411 and 7412);>
  13-11                    <(D)  Parts C and D of Title I of the federal
  13-12  Clean Air Act (42 U.S.C.  Sections 7470 et seq. and 7501 et seq.);>
  13-13                    <(E)  the state implementation plan requirements
  13-14  approved by the United States Environmental Protection Agency;>
  13-15                    <(F)  this chapter and rules adopted under this
  13-16  chapter; and>
  13-17                    <(G)  the federal Clean Air Act (42 U.S.C.
  13-18  Section 7401 et seq.) as revised.>
  13-19                    (A)  Title V of the federal Clean Air Act and the
  13-20  regulations promulgated thereunder;
  13-21                    (B)  any standard or other requirement provided
  13-22  for in the applicable implementation plan approved or promulgated
  13-23  by EPA through rulemaking under title I of the federal Clean Air
  13-24  Act that implements the relevant requirements of the Act, including
  13-25  any revisions to that plan promulgated in 40 C.F.R. Part 52;
   14-1                    (C)  any term or condition of any preconstruction
   14-2  permits issued pursuant to regulations approved or promulgated
   14-3  through rulemaking under Part C or D of Title I of the federal
   14-4  Clean Air Act;
   14-5                    (D)  any standard or other requirement under
   14-6  section 111 of the federal Clean Air Act, including section 111(d);
   14-7                    (E)  any standard or other requirement under
   14-8  section 112 of the federal Clean Air Act including any requirement
   14-9  concerning accident prevention under section 112(r)(7) of the Act;
  14-10                    (F)  any standard or other requirement of the
  14-11  acid rain program under title IV of the federal Clean Air Act or
  14-12  the regulations promulgated thereunder;
  14-13                    (G)  any requirements established pursuant to
  14-14  section 504(b) or section 114(a)(3) of the federal Clean Air Act;
  14-15                    (H)  any standard or other requirement governing
  14-16  solid waste incineration under section 129 of the federal Clean Air
  14-17  Act Amendments of 1990 (Pub.L. 101-549);
  14-18                    (I)  any standard or other requirement for
  14-19  consumer and commercial products under section 183(e) of the
  14-20  federal Clean Air Act;
  14-21                    (J)  any standard or other requirement for tank
  14-22  vessels under section 183(f) of the federal Clean Air Act;
  14-23                    (K)  any standard or other requirement of the
  14-24  program to control air pollution from outer continental shelf
  14-25  sources, under section 328 of the federal Clean Air Act;
   15-1                    (L)  any standard or other requirement of the
   15-2  regulations promulgated to protect stratospheric ozone under title
   15-3  VI of the federal Clean Air Act unless the Administrator has
   15-4  determined that such requirements need not be contained in a title
   15-5  V permit; and
   15-6                    (M)  any national ambient air quality standard or
   15-7  increment or visibility requirement under part C of title I of the
   15-8  federal Clean Air Act, but only as it would apply to temporary
   15-9  sources permitted pursuant to section 504(e) of the federal Clean
  15-10  Air Act;
  15-11        <(c)> (b)  <If the> The board <does not act> shall:
  15-12              (1)  take final action on <a permit application or> an
  15-13  application for a permit, permit revision, or permit renewal
  15-14  <application> within 18 months of the date on which the board
  15-15  receives an administratively complete application<,>.  <a person
  15-16  affected by the board's failure to act may obtain judicial review
  15-17  under Section 382.032.  A reviewing court may order the board to
  15-18  act on the application without additional delay if it finds that
  15-19  the board's failure to act is arbitrary or unreasonable.>
  15-20              (2)  Under an interim program, for those federal
  15-21  sources required to file initial applications prior to or within
  15-22  one year of the effective date of the interim program, take final
  15-23  action on at least one-third of those applications annually over a
  15-24  period not to exceed three years after such effective date.
  15-25              (3)  under the fully approved program, for those
   16-1  federal sources required to file initial applications prior to or
   16-2  within one year of the effective date of the fully approved
   16-3  program, take final action on at least one-third of those
   16-4  applications annually over a period not to exceed three years after
   16-5  such effective date.
   16-6              (4)  take final action on a permit reopening not later
   16-7  than 18 months after promulgation of the applicable requirement
   16-8  that prompted the reopening.
   16-9        (c)  If the board fails to take final action pursuant to
  16-10  382.0542(b), any person affected by the board's failure to act may
  16-11  obtain judicial review under Section 382.032.  A reviewing court
  16-12  may order the board to act on the application without additional
  16-13  delay if it finds that the board's failure to act is arbitrary or
  16-14  unreasonable.
  16-15        <(d)  In considering the issuance, amendment, or renewal of a
  16-16  permit, the board may consider any adjudicated decision or
  16-17  compliance proceeding within the five years before the date on
  16-18  which the application was filed that addressed the applicant's past
  16-19  performance and compliance with the laws of this state, another
  16-20  state, or the United States governing air contaminants or with the
  16-21  terms of any permit or order issued by the board.>
  16-22        <(e)> (d)  Subsection <(b)(3)> (a)(2) does not prohibit the
  16-23  applicability of at least the best available control technology to
  16-24  a new or modified facility or source under Section 382.0518(b)(1).
  16-25  SECTION 11.  Chapter 382, Health and Safety Code, is amended by
   17-1  adding Section 382.0543 to read as follows:
   17-2  382.0543  REVIEW AND RENEWAL OF FEDERAL OPERATING PERMIT
   17-3        (a)  Pursuant to Section 382.0541(a)(5), a federal operating
   17-4  permit issued or renewed by the board is subject to review at least
   17-5  every five years after the date of issuance to determine whether
   17-6  the authority to operate should be renewed.
   17-7        (b)  The board by rule shall establish:
   17-8              (1)  the procedures for notifying permit holders that
   17-9  the permit is scheduled for review in accordance with this section.
  17-10              (2)  a deadline by which the holder of a permit must
  17-11  submit an application for renewal of the permit.  In no case shall
  17-12  a renewal application be due less than 6 months prior to permit
  17-13  expiration nor more than 18 months prior to expiration.
  17-14              (3)  the general requirements for an application; and
  17-15              (4)  the procedures for reviewing and acting on renewal
  17-16  applications.
  17-17        (c)  The board shall promptly provide notice to the applicant
  17-18  of whether the application is complete.  Unless the board requests
  17-19  additional information or otherwise notifies the applicant of
  17-20  incompleteness within 60 days of receipt of an application, the
  17-21  application shall be deemed complete.
  17-22        (d)  The board shall take final action on a renewal
  17-23  application for a federal operating permit within 18 months after
  17-24  an application is determined to be administratively complete.  If
  17-25  the board does not act on a permit renewal application within 18
   18-1  months of the date on which the board receives an administratively
   18-2  complete application, any person who participated in the public
   18-3  participation process or a person affected by the board's failure
   18-4  to act may obtain judicial review under Section 382.032.
   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)(A) to (M); 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 Act.  The terms or conditions of the
  18-14  renewed permit must provide for compliance with any applicable
  18-15  requirement under Title V of the federal Clean Air Act.  The board
  18-16  may not impose requirements less stringent than those of the
  18-17  existing permit unless the board determines that a proposed change
  18-18  will meet the requirements of Section 382.0541.
  18-19        (g)  If the applicant submits a timely and complete
  18-20  application for federal operating permit renewal but the TACB has
  18-21  failed to issue or deny the renewal permit before the end of the
  18-22  term of the previous permit then:
  18-23              (1)  the applicant may continue to operate until the
  18-24  permit application is issued or denied, subject to the condition
  18-25  that the applicant submit, by the deadline specified in writing by
   19-1  the TACB, any additional information needed to process the
   19-2  application requested in writing by the TACB; and
   19-3              (2)  all terms and conditions of the permit shall
   19-4  remain in effect until the renewal permit has been issued or
   19-5  denied.
   19-6        (h)  This section does not affect the board's authority to
   19-7  begin enforcement action under Sections 382.082-382.084.
   19-8  SECTION 12.  Section 382.055, Health and Safety Code, is amended to
   19-9  read as follows:
  19-10  Section 382.055.  REVIEW AND RENEWAL OF PRECONSTRUCTION PERMIT.
  19-11        (a)  <Subject to Section 382.0541(a)(5), a> A preconstruction
  19-12  permit issued or renewed by the board <on or after December 1,
  19-13  1991,> is subject to review <every five years after the date of
  19-14  issuance> to determine whether the authority to operate should be
  19-15  renewed<.  A permit issued before December 1, 1991, is subject to
  19-16  review 15 years after the date of issuance.> according to the
  19-17  following schedule:
  19-18              (1)  a preconstruction permit issued before December 1,
  19-19  1991, is subject to review no later than 15 years after the date of
  19-20  issuance<.> ; and
  19-21              (2)  a preconstruction permit issued on or after
  19-22  December 1, 1991 shall be subject to review every 10 years;
  19-23  provided, however, that for cause, a preconstruction permit for a
  19-24  facility at a nonfederal source may contain a provision requiring
  19-25  the permit to be renewed at a period of between five and 10 years.
   20-1        (b)  The board by rule shall establish:
   20-2              (1)  a deadline by which the holder of a
   20-3  preconstruction permit must submit an application for review of the
   20-4  permit;
   20-5              (2)  the general requirements that must be met by the
   20-6  applicant; and
   20-7              (3)  the procedures for reviewing and acting on
   20-8  <review> renewal applications.
   20-9        (c)  Not less than 180 days before the date on which the
  20-10  renewal application is due, the board shall provide written notice
  20-11  to the permit holder, by registered or certified mail, that the
  20-12  permit is scheduled for review in accordance with this section.
  20-13  The notice must include a description of the procedure for filing a
  20-14  review application and the information to be included in the
  20-15  application.
  20-16        (d)  In determining whether and under which conditions a
  20-17  preconstruction permit should be renewed, the board shall consider,
  20-18  at a minimum:
  20-19              (1)  whether the facility is or has been in substantial
  20-20  compliance with this chapter and the terms of the existing permit;
  20-21              (2)  the condition and effectiveness of existing
  20-22  emission control equipment and practices<; and> .
  20-23              <(3)  all applicable requirements of the federal Clean
  20-24  Air Act Amendments of 1990 (Pub. L. No. 101-549).>
  20-25        (e)  The board shall impose as a condition for renewal of a
   21-1  preconstruction permit <any applicable requirements of Title V of
   21-2  the federal Clean Air Act Amendments of 1990 (Pub. L. No. 101-549),
   21-3  as well as> those requirements determined to be economically
   21-4  reasonable and technically practicable considering the age of the
   21-5  facility and the effect of its emissions on the surrounding area.
   21-6  The board may not impose requirements less stringent than those of
   21-7  the existing permit unless the board determines that a proposed
   21-8  change will meet the requirements of Sections 382.0518. <and
   21-9  382.0541>
  21-10        (f)  <In this subsection, a "reasonable time" may not exceed
  21-11  the time limitations established by the United States Environmental
  21-12  Protection Agency for federal sources under Title IV or V of the
  21-13  federal Clean Air Act Amendments of 1990 (Pub. L. No. 101-549).
  21-14  The board shall renew a permit within a reasonable time after the
  21-15  date on which a complete application is filed or,> No later than
  21-16  180 days after the date on which the application for renewal is
  21-17  filed, the board shall renew the permit, or if the board determines
  21-18  that the facility will not meet the requirements for renewing the
  21-19  permit, shall:
  21-20              (1)  set out in a report to the applicant the basis for
  21-21  the board's determination; and
  21-22              (2)  establish a schedule, to which the applicant must
  21-23  adhere in meeting the board's requirements, that:
  21-24                    (A)  includes a final date for meeting the
  21-25  board's requirements; and
   22-1                    (B)  requires completion of that action as
   22-2  expeditiously as possible.
   22-3        (g)  If the applicant meets the board's requirements in
   22-4  accordance with the schedule, the board shall renew the permit.  If
   22-5  the applicant does not meet those requirements in accordance with
   22-6  the schedule, the applicant must show in a contested case
   22-7  proceeding why the permit should not expire immediately.  The
   22-8  applicant's permit is effective until:
   22-9              (1)  the final date specified by the board's report to
  22-10  the applicant;
  22-11              (2)  the existing permit is renewed; or
  22-12              (3)  the date specified by a board order issued
  22-13  following a contested case proceeding held under this section.
  22-14        (h)  If the holder of a preconstruction permit to whom the
  22-15  board has mailed notice of this section does not apply for review
  22-16  of that permit by the date specified by the board under this
  22-17  section<:> then the permit shall expire at the end of the period
  22-18  described in subsection (a).
  22-19              <(1)  a permit issued on or after December 1, 1991,
  22-20  expires five years after the date on which the permit is originally
  22-21  issued or, if the permit has been renewed, five years after the
  22-22  date on which the permit is last renewed; and>
  22-23              <(2)  a permit issued before December 1, 1991, expires
  22-24  15 years after the date on which the permit is originally issued
  22-25  or, if the permit has been renewed before December 1, 1991, 15
   23-1  years after the date on which the permit is last renewed.>
   23-2        (i)  This section does not affect the board's authority to
   23-3  begin enforcement action under Sections 382.082-382.084.
   23-4        SECTION 13.  Section 382.056, Health and Safety Code, is
   23-5  amended to read as follows:
   23-6        Sec. 382.056.  Notice of Intent to Obtain Permit or Permit
   23-7  Review; Hearing.
   23-8        (a)  An applicant for a permit under Section 382.0518 or for
   23-9  a permit renewal review under Section 382.055 shall publish notice
  23-10  of intent to obtain the permit or permit review.  The board, by
  23-11  rule, may require applicants for federal operating permits to
  23-12  publish notice of intent to obtain a permit or permit review
  23-13  consistent with the federal requirements and with the requirements
  23-14  of this section.  The applicant shall publish the notice at least
  23-15  once in a newspaper of general circulation in the municipality in
  23-16  which the facility or source is located or is proposed to be
  23-17  located or in the municipality nearest to the location or proposed
  23-18  location of the facility or source.  The board by rule shall
  23-19  prescribe when notice must be published and may require publication
  23-20  of additional notice.
  23-21        (b)  The notice must include:
  23-22              (1)  a description of the location or proposed location
  23-23  of the facility;
  23-24              (2)  a statement that a person who may be affected by
  23-25  emissions of air contaminants from the facility, <or> proposed
   24-1  facility, or source is entitled to request a hearing from the
   24-2  board;
   24-3              (3)  a description of the manner in which the board may
   24-4  be contacted for further information; and
   24-5              (4)  any other information the board by rule requires.
   24-6        (c)  At the site of a facility, <or> proposed facility, or
   24-7  source subject to subsection (a) of this section <for which a
   24-8  permit application or permit review application is submitted,> the
   24-9  applicant shall place a sign declaring the filing of an application
  24-10  for a permit or permit review for a facility at the site and
  24-11  stating the manner in which the board may be contacted for further
  24-12  information.  The board shall adopt any rule necessary to carry out
  24-13  this subsection.
  24-14        (d)  Except as provided by Section 382.0561, the board or its
  24-15  delegate shall hold a public hearing on the permit application or
  24-16  permit review application before granting the permit or renewal if
  24-17  a person who may be affected by the emissions, or a member of the
  24-18  legislature from the general area in which the facility or proposed
  24-19  facility is located, requests a hearing within the period set by
  24-20  board rule.  The board is not required to hold a hearing if the
  24-21  basis of a request by a person who may be affected is determined to
  24-22  be unreasonable.
  24-23  SECTION 14.  Section 382.0561, Health and Safety Code, is amended
  24-24  to read as follows:
  24-25  Section 382.0561.  Federal Operating Permit:  Hearing.
   25-1        (a)  The following public hearings shall be conducted under
   25-2  this section only and not under the Administrative Procedure and
   25-3  Texas Register Act (Article 6252-13a, Vernon's Texas Civil
   25-4  Statutes):
   25-5              (1)  a public hearing on a permit application for a
   25-6  federal operating permit or for a federal operating permit
   25-7  reopening, under Sections 382.054-382.0542 <that is not subject to
   25-8  Section 382.0518>; or
   25-9              (2)  a public hearing on an application for renewal of
  25-10  a federal operating permit under Section <382.055.> 382.0543.
  25-11        (b)  On determination that an application for a federal
  25-12  operating permit under Sections 382.054-382.0542 or a renewal of a
  25-13  federal operating permit under Section <382.055> 382.0543 is
  25-14  administratively complete and before the beginning of the public
  25-15  comment period, the board or its designee shall prepare a draft
  25-16  permit.
  25-17        (c)  The board or its designee shall hold a public hearing on
  25-18  a federal operating permit, a reopening of a federal operating
  25-19  permit, or renewal application before granting the permit or
  25-20  renewal if within the public comment period a person who may be
  25-21  affected by the emissions or a member of the legislature from the
  25-22  general area in which the facility is located requests a hearing.
  25-23  The board or its designee is not required to hold a hearing if the
  25-24  basis of the request by a person who may be affected is determined
  25-25  to be unreasonable.
   26-1        (d)  The following shall be available for public inspection
   26-2  in at least one location in the general area where the facility is
   26-3  located:
   26-4              (1)  information submitted by the application, subject
   26-5  to applicable confidentiality laws;
   26-6              (2)  the executive director's analysis of the proposed
   26-7  action; and
   26-8              (3)  a copy of the draft permit.
   26-9        (e)  The board or its designee shall hold a public comment
  26-10  period on a federal operating permit application, a federal
  26-11  operating permit reopening or permit renewal application under
  26-12  Sections 382.054-382.0542 or <382.055.> 382.0543.  Any person may
  26-13  submit a written statement to the board during the public comment
  26-14  period.  The <executive director> board or its designee shall
  26-15  receive public comment for 30 days after the date on which notice
  26-16  of the public comment period is published.  The <executive
  26-17  director> board or its designee may extend or reopen the comment
  26-18  period if the director finds an extension or reopening to be
  26-19  appropriate.
  26-20        (f)  Notice of the public comment period and opportunity for
  26-21  a hearing under this section shall be published in accordance with
  26-22  Section 382.056.
  26-23        (g)  Any person may submit an oral or written statement
  26-24  concerning the application at the hearing.  The individual holding
  26-25  the hearing may set reasonable limits on the time allowed for oral
   27-1  statements at the hearing.  The public comment period extends to
   27-2  the close of the hearing and may be further extended or reopened if
   27-3  the <executive director> board or its designee finds an extension
   27-4  or reopening to be appropriate.
   27-5        (h)  Any person, including the applicant, who believes that
   27-6  any condition of the draft permit is inappropriate or that the
   27-7  <executive director's> board or its designee's  preliminary
   27-8  decision to issue or deny a permit is inappropriate must raise all
   27-9  reasonably ascertainable issues and submit all reasonably available
  27-10  arguments supporting that position by the end of the public comment
  27-11  period.
  27-12        (i)  The <executive director> the board or its designee shall
  27-13  consider all comments received during the public comment period and
  27-14  at the public hearing in determining whether to issue the permit
  27-15  and what conditions should be included if a permit is issued.
  27-16  SECTION 15.  Section 382.0562, Health and Safety Code, is amended
  27-17  to read as follows:
  27-18  Section 382.0562.  Notice of Decision.  (a)  The <executive
  27-19  director> board or its designee shall send notice of a decision on
  27-20  a federal operating permit by first-class mail to the applicant and
  27-21  all persons who comment during the public comment period or at the
  27-22  public hearing.  The notice shall include a response to any comment
  27-23  submitted during the public comment period and shall identify any
  27-24  change in the conditions of the draft permit and the reasons for
  27-25  the change.
   28-1        (b)  The notice required by Subsection (a) shall:
   28-2              (1)  state that any person affected by the decision of
   28-3  the <executive director> board or its designee may petition the
   28-4  administrator <appeal the decision to the board> not later than the
   28-5  <30th> 60th day after the date on which notice was mailed;
   28-6              (2)  state the date by which <an appeal> the petition
   28-7  must be filed;
   28-8              (3)  explain the <appeal> petition process. <and
   28-9  explain that an appeal is a contested case hearing before the
  28-10  board; and>
  28-11              <(4)  state that a letter to the board stating that the
  28-12  person is appealing the decision constitutes an appeal of the
  28-13  decision.>
  28-14  SECTION 16.  Section 382.0563, Health and Safety Code, is renamed
  28-15  and amended to read as follows:
  28-16  Section 382.0563.  <Appeal >þLto Boardää PUBLIC PETITION TO THE
  28-17  ADMINISTRATOR.
  28-18        <(a)  Any person, including the applicant, affected by a
  28-19  decision of the executive director under Section 382.0561 may
  28-20  appeal the decision to the board not later than the 30th day after
  28-21  the date on which notice was mailed.  The issues on appeal must be
  28-22  identified with specificity in the request for a contested case
  28-23  hearing.>
  28-24        (a)  Any person, including the applicant, affected by a
  28-25  decision of the board or its designee under Sections 382.0541,
   29-1  382.0542, or 382.0543 may petition the Administrator not later than
   29-2  the 60th day after the date on which notice required by 382.0562
   29-3  was mailed, or 60 days after date of issuance, renewal or
   29-4  modification of the permit.  Any such petition shall be based
   29-5  solely on objections to the permit that were raised with reasonable
   29-6  specificity during the public comment period unless the petitioner
   29-7  demonstrates that it was impracticable to raise such objections
   29-8  within such period or unless the grounds for such objection arose
   29-9  after such period.
  29-10        <(b)  An appeal under this section is a contested case
  29-11  hearing under the Administrative Procedure and Texas Register Act
  29-12  (Article 6252-13a, Vernon's Texas Civil Statutes).>
  29-13        (b)  The petition for review to the Administrator under this
  29-14  section does not affect a permit issued by the board or its
  29-15  designee.  The board or its designee shall have 90 days from
  29-16  receipt of an EPA objection to resolve any objection that EPA makes
  29-17  and to terminate, modify, or revoke and reissue the permit in
  29-18  accordance with EPA's objection.
  29-19        <(c)  The filing of an appeal to the board under this section
  29-20  does not affect a permit issued by the executive director.  A final
  29-21  order by the board reversing or modifying the executive director's
  29-22  decision takes effect when it becomes final and appealable.>
  29-23  SECTION 17.  Section 382.0564, Health and Safety Code, is amended
  29-24  to read as follows:
  29-25  Sec. 382.0564.  Notification to Other Governmental Entities.  The
   30-1  board by rule <shall> may allow for notification of and review by
   30-2  the administrator and affected states of <any permit application or
   30-3  draft permit> permit applications, revisions, renewals or draft
   30-4  permits prepared under Sections 382.054-<382.0542> 382.0543. <if
   30-5  notification and review is requested.>
   30-6  SECTION 18.  Section 382.057, Health and Safety Code, is amended to
   30-7  read as follows:
   30-8  Section 382.057.  Exemption.
   30-9        (a)  Consistent with Section 382.0511, the board by rule may
  30-10  exempt from the requirements of Section 382.0518 <and Sections
  30-11  382.054-382.0542> changes within a permitted facility and certain
  30-12  types of facilities if it is found on investigation that such
  30-13  changes or types of facilities will not make a significant
  30-14  contribution of air contaminants to the atmosphere<,> .  <except as
  30-15  prohibited by the federal Clean Air Act Amendments of 1990 (Pub. L.
  30-16  No.  101-549).>  The board may not exempt any source or facility or
  30-17  any modification of an existing facility defined as "major" under
  30-18  the federal Clean Air Act <Amendments of 1990 (Pub. L. No.
  30-19  101-549)> or regulations adopted under that Act.
  30-20        (b)  The board shall adopt rules specifically defining the
  30-21  terms and conditions for an exemption under this section in a
  30-22  nonattainment area as defined by Title I of the federal Clean Air
  30-23  Act (42 U.S.C. Section 7401 et seq.).
  30-24  SECTION 19.  Section 382.059, Health and Safety Code, is amended to
  30-25  read as follows:
   31-1  Section 382.059.  Revocation of Permit or Exemption.  (a)  The
   31-2  board may revoke and reissue, terminate, or modify a federal
   31-3  operating permit, preconstruction permit or exemption issued under
   31-4  this chapter if the board determines that:
   31-5              (1)  any of the terms of the federal operating permit,
   31-6  preconstruction permit or exemption are being violated; or
   31-7              (2)  emissions from the proposed facility will
   31-8  contravene air pollution control standards set by the board or will
   31-9  contravene the intent of this chapter.
  31-10              (3)  the federal operating permit contains a material
  31-11  mistake or that inaccurate statements were made in establishing the
  31-12  emissions standards or other terms or conditions of the federal
  31-13  operating permit.
  31-14        (b)  The board may<:>
  31-15              <(1)  begin proceedings to revoke and reissue,
  31-16  terminate, or modify a permit if a violation at a proposed facility
  31-17  is continued after 180 days following the date on which the notice
  31-18  of violation is provided under Section 382.082; and>
  31-19              <(2)>  consider good faith efforts to correct the
  31-20  violation in deciding whether to revoke and reissue, terminate, or
  31-21  modify a federal operating permit, preconstruction permit or
  31-22  exemption.
  31-23  SECTION 20.  Section 382.0591, Health and Safety Code, is amended
  31-24  to read as follows:
  31-25  Section 382.0591.  Denial of Application for Permit; Assistance
   32-1  Provided by <Certain> Former or Current Employees.  (a)  The board
   32-2  shall deny an application for the issuance, amendment, renewal, or
   32-3  transfer of a permit and may not issue, amend, renew, or transfer
   32-4  the permit if the board determines that: <a former employee:>
   32-5              (1)  a former employee participated personally and
   32-6  substantially as an employee in the board's review, evaluation, or
   32-7  processing of the application before leaving employment with the
   32-8  board; and
   32-9              (2)  after leaving employment with the board, that same
  32-10  former employee provided assistance to the applicant for the
  32-11  issuance, amendment, renewal, or transfer of the permit, including
  32-12  assistance with preparation or presentation of the application or
  32-13  legal representation of the applicant.
  32-14        (b)  No federal operating permit for a solid waste
  32-15  incineration unit may be issued by the board or by the executive
  32-16  director if a member of the board or the executive director is also
  32-17  responsible in whole or in part for the design and construction or
  32-18  operation of the unit.
  32-19        (c)  The board shall provide an opportunity for a hearing to
  32-20  an applicant before denying an application under this section.
  32-21        (d)  Action taken under this section does not prejudice any
  32-22  application other than an application in which the former employee
  32-23  provided assistance.
  32-24        (e)  In this section, "former employee" means a person:
  32-25              (1)  who was previously employed by the board as a
   33-1  supervisory or exempt employee; and
   33-2              (2)  whose duties during employment with the board
   33-3  included involvement in or supervision of the board's review,
   33-4  evaluation, or processing of applications.
   33-5  SECTION 21.  Section 382.061, Health and Safety Code is amended to
   33-6  read as follows:
   33-7  Sec. 382.061.  Delegation of Powers and Duties.  (a)  The board may
   33-8  delegate to the executive director the powers and duties under
   33-9  Sections 382.051-<382.055, 382.057> 382.0563 and 382.059.
  33-10        (b)  An applicant or a person affected by a decision of the
  33-11  executive director may appeal to the board any decision made by the
  33-12  executive director, with the exception of those decisions regarding
  33-13  federal operating permits, under sections 382.051-382.055, and
  33-14  382.059.
  33-15        (c)  Any person, including the applicant, affected by a
  33-16  decision of the executive director regarding federal operating
  33-17  permits may petition the administrator pursuant to section
  33-18  382.0563.
  33-19  SECTION 22.  Section 382.062 of the Health and Safety Code is
  33-20  amended by adding a subsection (a)(1)(C) to read as follows:
  33-21  Section 382.062.  Application, Permit and Inspection Fees.
  33-22  (a)  The board shall adopt, charge, and collect a fee for:
  33-23        (1)  each application for:
  33-24              (A)  a permit or permit amendment, revision, or
  33-25  modification not subject to Title IV or V of the federal Clean Air
   34-1  Act <Amendments of 1990 (Pub. L.  No.  101-549)>;
   34-2              (B)  a renewal review of a permit issued under Section
   34-3  382.0518 not subject to Title IV or V of the federal Clean Air Act
   34-4  <Amendments of 1990 (Pub. L. No. 101-549)>;
   34-5        (2)  inspections of a facility or source performed to enforce
   34-6  this chapter or rules adopted by the board under this chapter until
   34-7  the facility or source is required to obtain a Title IV or V
   34-8  operating permit under the federal Clean Air Act <Amendments of
   34-9  1990 (Pub. L. No. 101-549)>; and
  34-10        (3)  inspections performed to enforce this chapter or rules
  34-11  adopted by the board under this chapter at a facility or source not
  34-12  required to obtain a Title IV or V operating permit under the
  34-13  federal Clean Air Act <Amendments of 1990 (Pub. L. No. 101-549)>.
  34-14  (b)  The board may adopt rules relating to charging and collecting
  34-15  a fee for an exemption from a permit or for a standard permit
  34-16  authorized by board rule and for a variance.
  34-17  (c)  For purposes of the fees, the board shall treat two or more
  34-18  facilities that compose an integrated system or process as a single
  34-19  facility if a structure, device, item of equipment, or enclosure
  34-20  that constitutes or contains a given stationary source operates in
  34-21  conjunction with and is functionally integrated with one or more
  34-22  other similar structures, devices, items of equipment, or
  34-23  enclosures.
  34-24  (d)  A fee assessed under this section may not be less than $25 or
  34-25  more than $75,000.
   35-1  (e)  The board by rule shall establish the fees to be collected
   35-2  under Subsection (a) in amounts sufficient to recover:
   35-3        (1)  the reasonable costs to review and act on a variance
   35-4  application and enforce the terms and conditions of the variance;
   35-5  and
   35-6        (2)  not less than 50 percent of the board's actual annual
   35-7  expenditures to:
   35-8              (A)  review and act on permits or special permits;
   35-9              (B)  amend and review permits;
  35-10              (C)  inspect permitted, exempted, and specially
  35-11  permitted facilities; and
  35-12              (D)  enforce the rules and orders adopted and permits,
  35-13  special permits, and exemptions issued under this chapter,
  35-14  excluding rules and orders adopted and permits required under Title
  35-15  IV or V of the federal Clean Air Act <Amendments of 1990 (Pub. L.
  35-16  No. 101-549)>.
  35-17  SECTION 23.  Section 382.0622, Health and Safety Code, is amended
  35-18  to read as follows:
  35-19  Section 382.0622.  Clean Air Act Fees.  (a)  Clean Air Act fees
  35-20  consist of:
  35-21              (1)  fees collected by the board under Sections
  35-22  382.062, 382.0621, and 382.037 and as otherwise provided by law;
  35-23  and
  35-24              (2)  $2 of each advance payment collected by the
  35-25  Department of Public Safety for inspection certificates for
   36-1  vehicles other than mopeds under Section 141(c), Uniform Act
   36-2  Regulating Traffic on Highways (Article 6701d, Vernon's Texas Civil
   36-3  Statutes).
   36-4        (b)  Clean Air Act fees shall be deposited in the state
   36-5  treasury to the credit of the clean air fund and shall be used to
   36-6  safeguard the air resources of the state.  <All unexpended and
   36-7  unobligated money remaining in the fund on the last day of each
   36-8  fiscal biennium shall be transferred to the credit of the general
   36-9  revenue fund.>
  36-10        (c)  The board shall request the appropriation of sufficient
  36-11  money to safeguard the air resources of the state, including
  36-12  payments to the Public Safety Commission for incidental costs of
  36-13  administering the vehicle emissions inspection and maintenance
  36-14  program, except that after the date of delegation of the state's
  36-15  permitting program under Title V of the federal Clean Air Act
  36-16  <Amendments of 1990 (Pub. L. No. 101-549)>, fees collected under
  36-17  Section 382.0621(a) may be appropriated only to cover costs of
  36-18  developing and administering the federal permit program under
  36-19  Titles IV and V of the federal Clean Air Act <Amendments of 1990
  36-20  (Pub. L. No. 101-549)>.
  36-21        (d)(1)  Through the option of contracting for air pollution
  36-22  control services, including but not limited to compliance and
  36-23  permit inspections and complaint response, the board may utilize
  36-24  appropriated money to purchase services from units of local
  36-25  government meeting each of the following criteria:
   37-1                    (A)  the unit of local government received
   37-2  federal fiscal year 1990 funds from the United States Environmental
   37-3  Protection Agency pursuant to Section 105 of the federal Clean Air
   37-4  Act (42 U.S.C. Section 7405) for the operation of an air pollution
   37-5  program by formal agreement;
   37-6                    (B)  the local unit of government is in a
   37-7  federally designated nonattainment area subject to implementation
   37-8  plan requirements, including automobile emission inspection and
   37-9  maintenance programs, under Title I of the federal Clean Air Act
  37-10  <Amendments of 1990 (Pub. L. No. 101-549)>; and
  37-11                    (C)  the local unit of government has not caused
  37-12  the United States Environmental Protection Agency to provide
  37-13  written notification that a deficiency in the quality or quantity
  37-14  of services provided by its air pollution program is jeopardizing
  37-15  compliance with a state implementation plan, a federal program
  37-16  delegation agreement, or any other federal requirement for which
  37-17  federal sanctions can be imposed.
  37-18              (2)  The board may request appropriations of sufficient
  37-19  money to contract for services of local units of government meeting
  37-20  the eligibility criteria of this subsection to ensure that the
  37-21  combination of federal and state funds annually available for an
  37-22  air pollution program is equal to or greater than the program costs
  37-23  for the operation of an air quality program by the local unit of
  37-24  government.  The board is encouraged to fund an air pollution
  37-25  program operated by a local unit of government meeting the
   38-1  eligibility criteria of this subsection in a manner the board deems
   38-2  an effective means of addressing federal and state requirements.
   38-3  The services to be provided by an eligible local unit of government
   38-4  under a contractual arrangement under this subsection shall be at
   38-5  least equal in quality and quantity to the services the local unit
   38-6  of government committed to provide in agreements under which it
   38-7  received its federal 1990 air pollution grant.  The board and the
   38-8  local units of government meeting the eligibility criteria of this
   38-9  subsection may agree to more extensive contractual arrangements.
  38-10              (3)  Nothing in this subsection shall prohibit a local
  38-11  unit of government from voluntarily discontinuing an air pollution
  38-12  program and thereby relinquishing this responsibility to the state.
  38-13  SECTION 24.  Chapter 382, Health and Safety Code, is amended by
  38-14  adding Section 382.064 to read as follows:
  38-15  Section 382.064.  INITIAL APPLICATION DATE
  38-16  No applications for federal operating permits shall be required to
  38-17  be submitted to the board prior to the approval of the Title V
  38-18  permitting program by the United States Environmental Protection
  38-19  Agency.
  38-20  SECTION 25.  Section 382.084, Health and Safety Code, is amended as
  38-21  follows:
  38-22  Sec. 382.084.  Injunction.
  38-23        (a)  On application for injunctive relief and a finding that
  38-24  a person is violating or threatening to violate any provision of
  38-25  this chapter or any board rule or order, a district court shall
   39-1  grant the injunctive relief warranted by the facts.
   39-2        (b)  The court shall grant, without a bond or other
   39-3  undertaking by the board, any prohibiting or mandatory injunctions
   39-4  the facts may warrant, including temporary restraining orders after
   39-5  notice and hearing, temporary injunctions, and permanent
   39-6  injunctions.
   39-7        (c)  The board or the executive director may seek an
   39-8  injunction or cause a suit for injunctive relief to be instituted
   39-9  to stop:
  39-10              (1)  work on a facility that is:
  39-11                    (A)  being done without a construction permit,
  39-12  special permit, or exemption required under this chapter; or
  39-13                    (B)  in violation of the terms of a permit,
  39-14  special permit, or exemption issued under this chapter; and
  39-15              (2)  the operation of a facility that:
  39-16                    (A)  is operating without <an> a federal
  39-17  operating permit required under this chapter; or
  39-18                    (B)  is operating in violation of the terms of
  39-19  <an> a federal operating permit issued under this chapter.
  39-20  SECTION 26.  Acts 1991, 72nd Leg., 1st C.S., ch. 3, Sec. 2.35 is
  39-21  hereby repealed:
  39-22  Section 2.35.  <Sections 382.0541, 382.0542, and 382.0561 through
  39-23  382.0563, Health and Safety Code, as added by this article, and the
  39-24  federal operating permit requirement described by Section 382.054,
  39-25  Health and Safety Code, as amended by this article, take effect on
   40-1  the date on which the executive director of the Texas Natural
   40-2  Resource Conservation Commission publishes in the Texas Register
   40-3  notice of approval of the state's permitting program under Title V
   40-4  of the federal Clean Air Act Amendments of 1990 (Pub. L. No.
   40-5  101-549) by the Administrator of the United States Environmental
   40-6  Protection Agency.>
   40-7        SECTION 27.  EMERGENCY.  The importance of this legislation
   40-8  and the crowded condition of the calendars in both houses create an
   40-9  emergency and an imperative public necessity that the
  40-10  constitutional rule requiring bills to be read on three several
  40-11  days in each house be suspended, and this rule is hereby suspended,
  40-12  and that this Act take effect and be in force from and after its
  40-13  passage, and it is so enacted.