Senate Bill 1374

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    Florida Senate - 2000                                  SB 1374

    By Senator Bronson





    312-966-00

  1                      A bill to be entitled

  2         An act relating to pollution control; amending

  3         s. 403.0872, F.S.; repealing obsolete

  4         provisions relating to operation permits for

  5         major sources of air pollution; providing an

  6         effective date.

  7

  8  Be It Enacted by the Legislature of the State of Florida:

  9

10         Section 1.  Subsection (11) of section 403.0872,

11  Florida Statutes, is amended to read:

12         403.0872  Operation permits for major sources of air

13  pollution; annual operation license fee.--Provided that

14  program approval pursuant to 42 U.S.C. s. 7661a has been

15  received from the United States Environmental Protection

16  Agency, beginning January 2, 1995, each major source of air

17  pollution, including electrical power plants certified under

18  s. 403.511, must obtain from the department an operation

19  permit for a major source of air pollution under this section,

20  which is the only department operation permit for a major

21  source of air pollution required for such source. Operation

22  permits for major sources of air pollution, except general

23  permits issued pursuant to s. 403.814, must be issued in

24  accordance with the following procedures and in accordance

25  with chapter 120; however, to the extent that chapter 120 is

26  inconsistent with the provisions of this section, the

27  procedures contained in this section prevail:

28         (11)  Commencing in 1993, Each major source of air

29  pollution permitted to operate in this state must pay between

30  January 15 and March 1 of each year, upon written notice from

31  the department, an annual operation license fee in an amount

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    Florida Senate - 2000                                  SB 1374
    312-966-00




  1  determined by department rule. The annual operation license

  2  fee shall be terminated immediately in the event the United

  3  States Environmental Protection Agency imposes annual fees

  4  solely to implement and administer the major source

  5  air-operation permit program in Florida under 40 C.F.R. s.

  6  70.10(d).

  7         (a)  The annual fee must be assessed based upon the

  8  source's previous year's emissions and must be calculated by

  9  multiplying the applicable annual operation license fee factor

10  times the tons of each regulated air pollutant (except carbon

11  monoxide) allowed to be emitted per hour by specific condition

12  of the source's most recent construction or operation permit,

13  times the annual hours of operation allowed by permit

14  condition; provided, however, that:

15         1.  For 1993 and 1994, the license fee factor is $10.

16  For 1995, the license fee factor is $25. In succeeding years,

17  The license fee factor is $25 or another amount determined by

18  department rule which ensures that the revenue provided by

19  each year's operation license fees is sufficient to cover all

20  reasonable direct and indirect costs of the major stationary

21  source air-operation permit program established by this

22  section. The license fee factor may be increased beyond $25

23  only if the secretary of the department affirmatively finds

24  that a shortage of revenue for support of the major stationary

25  source air-operation permit program will occur in the absence

26  of a fee factor adjustment. The annual license fee factor may

27  never exceed $35. The department shall retain a nationally

28  recognized accounting firm to conduct a study to determine the

29  reasonable revenue requirements necessary to support the

30  development and administration of the major source

31  air-operation permit program as prescribed in paragraph (b).

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    Florida Senate - 2000                                  SB 1374
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  1  The results of that determination must be considered in

  2  assessing whether a $25-per-ton fee factor is sufficient to

  3  adequately fund the major source air-operation permit program.

  4  The results of the study must be presented to the Governor,

  5  the President of the Senate, the Speaker of the House of

  6  Representatives, and the Public Service Commission, including

  7  the Public Counsel's Office, by no later than October 31,

  8  1994.

  9         2.  For any source that operates for fewer hours during

10  the calendar year than allowed under its permit, the annual

11  fee calculation must be based upon actual hours of operation

12  rather than allowable hours if the owner or operator of the

13  source documents the source's actual hours of operation for

14  the calendar year. For any source that has an emissions limit

15  that is dependent upon the type of fuel burned, the annual fee

16  calculation must be based on the emissions limit applicable

17  during actual hours of operation.

18         3.  For any source whose allowable emission limitation

19  is specified by permit per units of material input or heat

20  input or product output, the applicable input or production

21  amount may be used to calculate the allowable emissions if the

22  owner or operator of the source documents the actual input or

23  production amount. If the input or production amount is not

24  documented, the maximum allowable input or production amount

25  specified in the permit must be used to calculate the

26  allowable emissions.

27         4.  For any new source that does not receive its first

28  operation permit until after the beginning of a calendar year,

29  the annual fee for the year must be reduced pro rata to

30  reflect the period during which the source was not allowed to

31  operate.

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    Florida Senate - 2000                                  SB 1374
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  1         5.  For any source that emits less of any regulated air

  2  pollutant than allowed by permit condition, the annual fee

  3  calculation for such pollutant must be based upon actual

  4  emissions rather than allowable emissions if the owner or

  5  operator documents the source's actual emissions by means of

  6  data from a department-approved certified continuous emissions

  7  monitor or from an emissions monitoring method which has been

  8  approved by the United States Environmental Protection Agency

  9  under the regulations implementing 42 U.S.C. ss. 7651 et seq.,

10  or from a method approved by the department for purposes of

11  this section.

12         6.  The amount of each regulated air pollutant in

13  excess of 4,000 tons per year allowed to be emitted by any

14  source, or group of sources belonging to the same Major Group

15  as described in the Standard Industrial Classification Manual,

16  1987, may not be included in the calculation of the fee. Any

17  source, or group of sources, which does not emit any regulated

18  air pollutant in excess of 4,000 tons per year, is allowed a

19  one-time credit not to exceed 25 percent of the first annual

20  licensing fee for the prorated portion of existing

21  air-operation permit application fees remaining upon

22  commencement of the annual licensing fees.

23         7.  If the department has not received the fee by

24  February 15 of the calendar year, the permittee must be sent a

25  written warning of the consequences for failing to pay the fee

26  by March 1. If the fee is not postmarked by March 1 of the

27  calendar year, commencing with calendar year 1997, the

28  department shall impose, in addition to the fee, a penalty of

29  50 percent of the amount of the fee, plus interest on such

30  amount computed in accordance with s. 220.807. The department

31  may not impose such penalty or interest on any amount

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    Florida Senate - 2000                                  SB 1374
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  1  underpaid, provided that the permittee has timely remitted

  2  payment of at least 90 percent of the amount determined to be

  3  due and remits full payment within 60 days after receipt of

  4  notice of the amount underpaid.  The department may waive the

  5  collection of underpayment and shall not be required to refund

  6  overpayment of the fee, if the amount due is less than 1

  7  percent of the fee, up to $50. The department may revoke any

  8  major air pollution source operation permit if it finds that

  9  the permitholder has failed to timely pay any required annual

10  operation license fee, penalty, or interest.

11         8.  During the years 1993 through 1999, inclusive, no

12  fee shall be required to be paid under this section with

13  respect to emissions from any unit which is an affected unit

14  under 42 U.S.C. s. 7651c.

15         8.9.  Notwithstanding the computational provisions of

16  this subsection, the annual operation license fee for any

17  source subject to this section shall not be less than $250,

18  except that the annual operation license fee for sources

19  permitted solely through general permits issued under s.

20  403.814 shall not exceed $50 per year.

21         9.10.  Notwithstanding the provisions of s.

22  403.087(6)(a)4.a., authorizing air pollution construction

23  permit fees, the department may not require such fees for

24  changes or additions to a major source of air pollution

25  permitted pursuant to this section, unless the activity

26  triggers permitting requirements under Title I, Part C or Part

27  D, of the federal Clean Air Act, 42 U.S.C. ss. 7470-7514a.

28  Costs to issue and administer such permits shall be considered

29  direct and indirect costs of the major stationary source

30  air-operation permit program under s. 403.0873. The department

31  shall, however, require fees pursuant to the provisions of s.

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    Florida Senate - 2000                                  SB 1374
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  1  403.087(6)(a)4.a. for the construction of a new major source

  2  of air pollution that will be subject to the permitting

  3  requirements of this section once constructed and for

  4  activities triggering permitting requirements under Title I,

  5  Part C or Part D, of the federal Clean Air Act, 42 U.S.C. ss.

  6  7470-7514a.

  7         (b)  Annual operation license fees collected by the

  8  department must be sufficient to cover all reasonable direct

  9  and indirect costs required to develop and administer the

10  major stationary source air-operation permit program, which

11  shall consist of the following elements to the extent that

12  they are reasonably related to the regulation of major

13  stationary air pollution sources, in accordance with United

14  States Environmental Protection Agency regulations and

15  guidelines:

16         1.  Reviewing and acting upon any application for such

17  a permit.

18         2.  Implementing and enforcing the terms and conditions

19  of any such permit, excluding court costs or other costs

20  associated with any enforcement action.

21         3.  Emissions and ambient monitoring.

22         4.  Preparing generally applicable regulations or

23  guidance.

24         5.  Modeling, analyses, and demonstrations.

25         6.  Preparing inventories and tracking emissions.

26         7.  Implementing the Small Business Stationary Source

27  Technical and Environmental Compliance Assistance Program.

28         8.  The study conducted under subparagraph (a)1. and

29  any audits conducted under paragraph (c).

30         (c)  An audit of the major stationary source

31  air-operation permit program must be conducted 2 years after

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    Florida Senate - 2000                                  SB 1374
    312-966-00




  1  the United States Environmental Protection Agency has given

  2  full approval of the program, or by the end of 1996, whichever

  3  comes later, to ascertain whether the annual operation license

  4  fees collected by the department are used solely to support

  5  any reasonable direct and indirect costs as listed in

  6  paragraph (b). A program audit must be performed biennially

  7  after the first audit.

  8         Section 2.  This act shall take effect upon becoming a

  9  law.

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12                          SENATE SUMMARY

13    Repeals obsolete provisions relating to operation permits
      for major sources of air pollution.
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