August 20, 2019, Introduced by Senator BAYER and referred to the Committee on Appropriations.
A bill to amend 1994 PA 451, entitled
"Natural resources and environmental protection act,"
by amending section 5522 (MCL 324.5522), as amended by 2015 PA 60.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
5522. (1) Until October 1, 2019, 2023, the owner or
operator of each fee-subject facility shall pay air quality fees as
required and calculated under this section. The department may levy
and collect an annual air quality fee from the owner or operator of
each fee-subject facility in this state. The legislature intends
that the fees required under this section meet the minimum
requirements of the clean air act and that this expressly stated
fee system serve as a limitation on the amount of fees imposed
under this part on the owners or operators of fee-subject
facilities in this state.
(2) The annual air quality fee shall be calculated for each
fee-subject facility, according to the following procedure:
(a) Except as provided in subdivision (d), for category I
facilities, the annual air quality fee shall be the sum of a
facility charge of $5,250.00 and an emissions charge as specified
in subdivision (e) or (f).
(b) For category II facilities, the annual air quality fee
shall be the sum of a facility charge of $1,795.00 and an emissions
charge as specified in subdivision (e) or (f).
(c) For category III facilities, the annual air quality fee
shall be $250.00.
(d) For municipal electric generating facilities that are
category I facilities and that emit more than 730 tons of fee-
subject air pollutants, the annual air quality fee shall be the
following amount, based on the number of tons of fee-subject air
pollutants emitted:
(i) For more than 730 tons but less than 5,000 tons, an annual
fee of $41,830.00.
(ii) For 5,000 tons or more, an annual fee equal to the sum of
a facility charge of $5,250.00 and an emissions charge as specified
in subdivision (e).
(e) The emissions charge for category I facilities that are
electric providers and that are not covered by subdivision (d) and
for category II facilities that are electric providers shall equal
the emission charge rate multiplied by the actual tons of fee-
subject air pollutants emitted. The emission charge rate for fee-
subject air pollutants shall be $51.15. A pollutant that qualifies
as a fee-subject air pollutant under more than 1 class shall be
charged only once. The actual tons of fee-subject air pollutants
emitted shall be considered to be the sum of all fee-subject air
pollutants emitted at the fee-subject facility for the calendar
year 2 years preceding the year of billing, but not more than the
lesser of the following:
(i) 6,100 tons.
(ii) 1,500 tons per pollutant, if the sum of all fee-subject
air pollutants except carbon monoxide emitted at the fee-subject
facility is less than 6,100 tons.
(f) The emissions charge for category I or category II
facilities that are not electric providers shall be calculated in
the same manner as provided in subdivision (e). However, the actual
tons of fee-subject air pollutants emitted shall be considered to
be the sum of all fee-subject air pollutants emitted at a fee-
subject facility for the calendar year 2 years preceding the year
of billing, but not more than the lesser of the following:
(i) 4,500 tons.
(ii) 1,250 tons per pollutant, if the sum of all fee-subject
air pollutants except carbon monoxide emitted at the fee-subject
facility is less than 4,500 tons.
(3) After January 1, but before January 15 of each year, the
department shall notify the owner or operator of each fee-subject
facility of its assessed annual air quality fee. Payment is due
within 90 calendar days of the mailing date of the air quality fee
notification. If an assessed fee is challenged under subsection
(5), payment is due within 90 calendar days of the mailing date of
the air quality fee notification or within 30 days of receipt of a
revised fee or statement supporting the original fee, whichever is
later. However, to combine fee assessments, the department may
adjust the billing date and due date under this subsection for
category III facilities that are dry cleaning facilities also
subject to the licensing or certification requirements of section
13305 of the public health code, 1978 PA 368, MCL 333.13305, and
section 5i of the fire prevention code, 1941 PA 207, MCL 29.5i. The
department shall deposit all fees collected under this section to
the credit of the fund.
(4) If the owner or operator of a fee-subject facility fails
to submit the amount due within the time period specified in
subsection (3), the department shall assess the owner or operator a
penalty of 5% of the amount of the unpaid fee for each month that
the payment is overdue up to a maximum penalty of 25% of the total
fee owed. However, to combine fee assessments, the department may
waive the penalty under this subsection for dry cleaning facilities
described in subsection (3).
(5) To challenge its assessed fee, the owner or operator of a
fee-subject facility shall submit the challenge in writing to the
department. The department shall not process the challenge unless
it is received by the department within 45 calendar days of the
mailing date of the air quality fee notification described in
subsection (3). A challenge shall identify the facility and state
the grounds upon which the challenge is based. Within 30 calendar
days of receipt of the challenge, the department shall determine
the validity of the challenge and provide the owner with
notification of a revised fee or a statement setting forth the
reason or reasons why the fee was not revised. Payment of the
challenged or revised fee is due within the time frame described in
subsection (3). If the owner or operator of a facility desires to
further challenge its assessed fee, the owner or operator of the
facility has an opportunity for a contested case hearing as
provided for under the administrative procedures act of 1969, 1969
PA 306, MCL 24.201 to 24.328.
(6) If requested by the department, by March 15 of each year,
or within 45 days of a request by the department, whichever is
later, the owner or operator of each fee-subject facility shall
submit information regarding the facility's previous year's
emissions to the department. The information shall be sufficient
for the department to calculate the facility's emissions for that
year and meet the requirements of 40 CFR 51.320 to 51.327.
(7) By July 1 of each year, the department shall provide the
owner or operator of each fee-subject facility required to pay an
emission charge pursuant to this section with a copy of the
department's calculation of the facility emissions for the previous
year. Within 60 days of this notification, the owner or operator of
the facility may provide corrections to the department. The
department shall make a final determination of the emissions by
December 15 of that year. If the owner or operator disagrees with
the determination of the department, the owner or operator may
request a contested case hearing as provided for under the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328.
(8) By March 1 annually, the department shall prepare and
submit to the governor, the legislature, the chairpersons of the
standing committees of the senate and house of representatives with
primary responsibility for environmental protection issues related
to air quality, and the chairpersons of the subcommittees of the
senate and house appropriations committees with primary
responsibility for appropriations to the department a report that
details the department's activities of the previous fiscal year
funded by the fund. This report shall include, at a minimum, all of
the following as it relates to the department:
(a) The number of full-time equated positions performing title
V
and non-title nontitle V air quality enforcement, compliance, or
permitting activities.
(b) All of the following information related to the permit to
install program authorized under section 5505:
(i) The number of permit to install applications received by
the department.
(ii) The number of permit to install applications for which a
final action was taken by the department. The number of final
actions shall be reported as the number of applications approved,
the number of applications denied, and the number of applications
withdrawn by the applicant.
(iii) The number of permits to install approved that were
required to complete public participation under section 5511(3)
before final action and the number of permits to install approved
that were not required to complete public participation under
section 5511(3) prior to final action.
(iv) The average number of final permit actions per permit to
install reviewer full-time equivalent position.
(v) The percentage and number of permit to install
applications that were reviewed for administrative completeness
within 10 days of receipt by the department.
(vi) The percentage and number of permit to install
applications submitted to the department that were administratively
complete as received.
(vii) The percentage and number of permit to install
applications for which a final action was taken by the department
within 180 days of receipt for those applications not required to
complete public participation under section 5511(3) prior to final
action, or within 240 days of receipt for those applications which
are required to complete public participation under section 5511(3)
prior to final action.
(viii) The percentage and number of permit to install
applications for which a processing period extension was requested
and granted.
(c) All of the following information for the renewable
operating permit program authorized under section 5506:
(i) The number of renewable operating permit applications
received by the department.
(ii) The number of renewable operating permit applications for
which a final action was taken by the department. The number of
final actions shall be reported as the number of applications
approved, the number of applications denied, and the number of
applications withdrawn by the applicant.
(iii) The percentage and number of initial permit applications
processed within the required time.
(iv) The percentage and number of permit renewals and
modifications processed within the required time.
(v) The number of permit applications reopened by the
department.
(vi) The number of general permits issued by the department.
(d) The number of letters of violation sent.
(e) The amount of penalties collected from all consent orders
and judgments.
(f) For each enforcement action that includes payment of a
penalty, a description of what corrective actions were required by
the enforcement action.
(g) The number of inspections done on sources required to
obtain a permit under section 5506 and the number of inspections of
other sources.
(h) The number of air pollution complaints received,
investigated, not resolved, and resolved by the department.
(i) The number of contested case hearings and civil actions
initiated and completed, and the number of voluntary consent
orders, administrative penalty orders, and emergency orders entered
or issued, for sources required to obtain a permit under section
5506.
(j) The amount of revenue in the fund at the end of the fiscal
year.
(9) The report under subsection (8) shall also include the
amount of revenue for programs under this part received during the
prior fiscal year from fees, from federal funds, and from general
fund appropriations. Each of these amounts shall be expressed as a
dollar amount and as a percent of the total annual cost of programs
under this part.
(10) The attorney general may bring an action for the
collection of the fees imposed under this section.
(11) This section does not apply if the administrator of the
United States Environmental Protection Agency determines that the
department is not adequately administering or enforcing the
renewable operating permit program and the administrator
promulgates and administers a renewable operating permit program
for this state.
(12) As used in this section, "electric provider" means that
term as defined in section 5 of the clean, renewable, and efficient
energy act, 2008 PA 295, MCL 460.1005.