ACG H.B. 1228 75(R)BILL ANALYSIS ENVIRONMENTAL REGULATION C.S.H.B. 1228 By: Jackson 3-25-97 Committee Report (Substituted) BACKGROUND Prior to 1993 certain facilities needing more than one environmental permit could obtain all necessary authorizations through a combined one stop proceeding. The bill consolidating the Texas Air Control Board and the Texas Water Commission repealed Sections 361.070-361.077, Health and Safety, which included provision for the one stop proceeding. The repeal was due to the misunderstanding that the provision dealt with the relationship between the two agencies, when it actually described the connection between the Texas Clean Air Act and the Texas Solid Waste Disposal Act. The consequence was that the agency's authority to issue combined permits was questioned. In addition, the prior statute failed to provide guidance on treatment of renewals and application fees, and there were inconsistencies in the application of the program. PURPOSE HB 1228 would clarify the ability and requirements of the consolidated permit process, and make its application consistent across all program areas. RULEMAKING AUTHORITY It is the committee's opinion that this bill grants rulemaking authority to the Texas Natural Resource Conservation Commission (commission) in SECTION 1 of the bill, Chapter 5, Water Code, Subchapter J, Sections 5.405 and 5.406. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 5, Water Code, by adding Subchapter J as follows: Section 5.401 (a) If a facility is required to have more than one permit issued by the commission and files all necessary applications within a 30-day period, the commission, on request of the applicant, is required to coordinate application reviews and one consolidated permit hearing and is allowed to issue one consolidated permit. On request of the applicant, the commission is required to issue one consolidated permit. Section 5.401 (b) The executive director is required to designate one permit program as the lead program. Section 5.401 (c) The executive director may require separate processing of applications or may return parts of an application if the applicant has submitted and incomplete application or fails to respond to notices of deficiency. Section 5.401 (d) Allows the commission to exempt from air impact review a solid waste management facility or the areal expansion of a solid waste management facility that existed on September 1, 1987. Section 5.401 (e) A federal operating permit governed by Sections 382.054-382.0543, Health and Safety, may not be consolidated with other permits under this subchapter. Section 5.402 (a) The applicant may request that consolidated applications be processed separately at any time before the public notice of opportunity to request a hearing. Section 5.402 (b) Any time after the notice of opportunity to request a hearing, but before referral of the matter to the State Office of Administrative Hearings (SOAH), the executive director may separate the applications for processing on a showing of good cause. Defines "good cause." Section 5.402 (c) After the application has been referred to SOAH, the applicant may have the application processed separately on a showing of compliance with commission procedural rules. Section 5.403 The renewal term for a consolidated permit is the shortest term set by statute or any body governing one or more of the authorizations in the permit. Section 5.404 A permit issued under this subchapter or a permit issued before and effective on September 1, 1997, that authorizes more than one permit may be renewed, amended or modified as a consolidated permit or may be separated by program and processed separately. Section 5.405 (a) Except as provided by Subsection (b), the fee for the consolidated permit shall be computed as if the permits had been processed separately. Section 5.405 (b) The commission may by rule reduce the fee for a consolidated permit if the commission finds that consolidating processing results in savings to the agency. Section 5.406 The commission may adopt rules to effectuate the purposes of this subchapter. SECTION 2. Effective date: September 1, 1997. Applies only to a permit application filed after that date. SECTION 3. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE The original HB 1228 was written with incorrect Subchapter and Section sites. This was amended as follows: HB 1228 adds Subchapter I, Sections 5.351-5.356 to Chapter 5, Water Code. CSHB 1228 adds Subchapter J, Sections 5.401-5.406 to Chapter 5, Water Code. Section 5.351 (a) of the original states that if a facility is required to have more than one permit issued by the commission and files all necessary applications within a 30-day period, the commission, on request of the applicant, is required to coordinate application reviews and one consolidated permit hearing and is allowed to issue one consolidation permit. The corresponding Section 5.401 (a) of the substitute has the same language with the addition that on request of the applicant, the commission is required to issue one consolidated permit. Section 5.401 (d) of the substitute allows the commission to exempt from air impact review a solid waste management facility or the areal expansion of a solid waste management facility that existed on September 1, 1987. This provision is not contained in the original bill. Section 5.351 (d) of the original corresponds to Section 5.401 (e) of the substitute. The title for Section 5.354 of the original is RENEWAL OF EXISTING PERMITS. The title for the corresponding Section 5.354 of the substitute is RENEWAL OF PERMITS. Section 5.354 of the original allows a permit issued before and effective on September 1, 1997 to be renewed, amended, or modified as a consolidated permit, and stipulates that the permit may be separated by program. The corresponding Section 5.404 of the substitute allows a permit issued under this subchapter or a permit issued before and effective on September 1, 1997 may be renewed, amended, or modified as a consolidated permit, or may be separated by program.