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SCS CSHB 167(JUD) AM S: "An Act relating to air quality control and the prevention, abatement, and control of air pollution; relating to inspection and enforcement powers of the Department of Environmental Conservation; and providing for an effective date."

00SENATE CS FOR CS FOR HOUSE BILL NO. 167(JUD) am S 01 "An Act relating to air quality control and the prevention, abatement, and 02 control of air pollution; relating to inspection and enforcement powers of the 03 Department of Environmental Conservation; and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. POLICY AND PURPOSES. (a) It is the policy of the state to have a 06 program to prevent, abate, control, and identify air pollution that complies with 42 U.S.C. 07 7401 - 7671q (Clean Air Act), as amended, and federal regulations adopted under those laws. 08 (b) Changes in state law are necessary to allow the state to continue to have primary 09 management of air quality in the state and to retain federal approval of the state's air quality 10 control program in order to ensure the continued receipt of federal highway and air pollution 11 control money. The federal Environmental Protection Agency must prohibit the approval of 12 highway projects and highway grants, and may withhold air pollution control grants, if the 13 state does not comply with 42 U.S.C. 7401 - 7671q (Clean Air Act). 14 (c) It is the intent of the legislature to comply with 42 U.S.C. 7401 - 7671q (Clean

01 Air Act) in a manner that meets the federal requirements, allows efficient and cost effective 02 processing of permits, requires accountability from the Department of Environmental 03 Conservation on matters relating to recovery of program costs, and ensures the productivity 04 of the state's businesses while protecting the health and welfare of the state's residents. 05 (d) It is the intent of the legislature that the Department of Environmental 06 Conservation implement this Act in a manner that contains costs, minimizes the number of 07 staff performing air quality permit duties, fosters accountability, improves efficiency of 08 government, and uses its contracting authority as appropriate to undertake alternative methods 09 of accomplishing the duties under this Act. To accomplish this objective, the legislature 10 encourages the department to use services from the private sector to accomplish portions of 11 the permit program. 12 * Sec. 2. AS 46 is amended by adding a new chapter to read: 13 CHAPTER 14. AIR QUALITY CONTROL. 14 ARTICLE 1. GENERAL REGULATIONS AND CLASSIFICATIONS. 15  Sec. 46.14.010. EMISSION CONTROL REGULATIONS. (a) After public 16 hearing, the department may adopt regulations under this chapter establishing ambient 17 air quality standards, emission standards, or exemptions to implement a state air quality 18 control program required under 42 U.S.C. 7401 - 7671q (Clean Air Act), as amended, 19 and regulations adopted under those sections. The standards established under this 20 section may be for the state as a whole or may vary in recognition of local conditions. 21  (b) Unless the governor has determined that an emergency exists that requires 22 emergency regulations under AS 44.62.250, the department may adopt the following 23 types of regulations only after the procedures established in (a), (c), and (d) of this 24 section and compliance with AS 46.14.015: 25  (1) a regulation that establishes an ambient air quality standard for an 26 air contaminant for which there is no corresponding federal standard; 27  (2) a regulation that establishes an ambient air quality standard or 28 emission standard that is more stringent than a corresponding federal standard; 29  (3) a regulation that establishes an equivalent emission limitation for 30 a hazardous air contaminant for which the federal administrator has not adopted a 31 corresponding maximum achievable control technology standard; or

01  (4) a regulation that regulates emissions from a source or facility or 02 establishes an emission standard under the authority of AS 46.14.120(e), 03 46.14.130(a)(3)(B), or 46.14.130(b)(4)(B). 04  (c) In preparation for peer review under AS 46.14.015 and before adopting a 05 regulation described under (b) of this section, the department shall 06  (1) find in writing that exposure profiles and either meteorological 07 conditions or source characteristics in the state or in an area of the state reasonably 08 require the ambient air quality standard, or emission standard to protect human health 09 and welfare or the environment; this paragraph does not apply to a regulation under 10 (b)(3) of this section; 11  (2) find in writing that the proposed standard or emission limitation is 12 technologically feasible; and 13  (3) prepare a written analysis of the economic feasibility of the 14 proposal. 15  (d) Before adopting a regulation described in (b)(2) of this section, the 16 department shall find in writing that exposure profiles and either meteorological 17 conditions or source characteristics are significantly different in the state or in an area 18 of the state from those upon which the corresponding federal regulation is based. 19  (e) When incorporated into more than one permit, emission standards and 20 limitations, emissions monitoring and reporting requirements, and compliance 21 verification requirements that are generally applicable statewide or are generally 22 applicable to individual source or facility types shall be adopted in regulation unless 23 they have been requested by the owner and operator to whom the permit is issued. 24 The department shall, by regulation, adopt a standard, limitation, or requirement 25 described in the subsection as soon as its general applicability is reasonably 26 foreseeable. 27  (f) An emission standard adopted by the department may be applicable to 28 individual sources within a facility or to all sources within a facility. For purposes of 29 determining compliance with applicable regulations and with permit limitations, the 30 department may allow numerical averaging of the emissions of each air contaminant 31 from several sources within a facility if

01  (1) requested by the owner and operator; and 02  (2) allowed under 42 U.S.C. 7401 - 7671q (Clean Air Act), as 03 amended, and regulations adopted under those sections. 04  Sec. 46.14.015. SPECIAL PROCEDURE FOR MORE STRINGENT 05 REGULATIONS. (a) Before the department adopts a regulation described under 06 AS 46.14.010(b), written findings under AS 46.14.010(c) and (d) shall be made 07 available by the department to the public at locations throughout the state that the 08 department considers appropriate. 09  (b) Before the department adopts a regulation described in AS 46.14.010(b), 10 the department shall submit the findings described under (a) of this section, the studies 11 on which the findings are based, and other related data for peer review to a minimum 12 of three separate parties who are not employees of the department and who are 13 determined by the commissioner to be technically qualified in the subject matter under 14 review. The commissioner shall ensure that the peer review includes an analysis of 15 the factors considered by the commissioner to support the standards proposed to be 16 adopted and recommendations, if any, for additional research or investigation 17 considered appropriate. Peer review reports shall be submitted to the commissioner 18 within 45 days after the department submits a matter for peer review unless the 19 commissioner determines that additional time is required. 20  (c) The department shall make available to the public at least 30 days before 21 the public hearing required under AS 46.14.010(a), at convenient locations, copies of 22 the department's proposed regulation, the findings of the department describing the 23 basis for adoption of the regulation, and the peer review reports, submitted under (b) 24 of this section. 25  (d) The department shall contract with persons to perform peer review under 26 (b) of this section. All persons selected shall be selected on the basis of competitive 27 sealed proposals under AS 36.30.200 - 36.30.270 (State Procurement Code). The 28 commissioner may not contract with a person to perform peer review under this section 29 if the person has a significant financial interest or other significant interest that could 30 bias evaluation of the proposed regulation. An interest is not considered significant 31 under this subsection if it is an interest possessed generally by the public or a large

01 class of persons or if the effect of the interest on the person's ability to be impartial 02 is only conjectural. 03  Sec. 46.14.020. CLASSIFICATION OF FACILITIES OR SOURCES; 04 REPORTING. (a) The department, by regulation, may classify facilities or sources 05 that, in the department's determination, are likely to cause or contribute to air 06 pollution, according to the levels and types of emissions and other characteristics that 07 relate to air quality. The department may make a classification under this subsection 08 applicable to the state as a whole or to a designated area of the state. The department 09 shall base the classifications on consideration of health, economic, and social factors, 10 sensitivity of the receiving environment, and physical effects on property. 11  (b) The department or a local air quality control program authorized under 12 AS 46.14.400 may require an owner and operator of a facility or source classified 13 under this section to report information to the department or the authorized local 14 program concerning location, size, and height of contaminant outlets or area sources, 15 processes employed, fuels used, the nature and time periods or duration of emissions, 16 and other information relevant to air quality that is available or reasonably capable of 17 being calculated and compiled. 18  Sec. 46.14.030. STATE AIR QUALITY PLAN. The department shall act for 19 the state in any negotiations relative to the state air quality control plan developed 20 under 42 U.S.C. 7401 - 7671q (Clean Air Act), as amended. The department may 21 adopt regulations necessary to implement the state plan. 22 ARTICLE 2. EMISSION CONTROL PERMIT PROGRAM. 23  Sec. 46.14.110. ADDITIONAL CONTAMINANT CONTROL MEASURES. 24 (a) The department may require that notice be given to it before the undertaking of 25 the construction, installation, or establishment of particular types or classes of new air 26 contaminant sources specified in its regulations. Within 15 days of its receipt of the 27 notice, the department shall require, as a condition precedent to the undertaking, the 28 submission of plans and other information it considers necessary in order to determine 29 whether the proposed undertaking will be in accord with applicable regulations in force 30 under this chapter. 31  (b) Within 30 days of receipt of the plans and information for a proposed

01 undertaking, the department shall either approve the undertaking and issue a permit, 02 or if the department determines that the proposed undertaking will not meet the 03 requirements of this chapter and applicable regulations, it shall issue a prohibition 04 order against the undertaking. 05  (c) A person subject to a prohibition order as prescribed in (b) of this section, 06 upon written request in accordance with regulations of the department, is entitled to 07 a hearing on the order. Following the hearing the order may be affirmed, modified, 08 or withdrawn. 09  (d) For the purposes of this chapter, addition to or enlargement or replacement 10 of an air contaminant source, or a major alteration of one, shall be construed as an 11 undertaking for the construction, installation, or establishment of a new air contaminant 12 source. 13  (e) Features, machines, and devices constituting parts of or called for by plans 14 or other information submitted under (a) of this section shall be maintained in good 15 working order. 16  (f) This section does not authorize the department to require the use of 17 machinery, devices, or equipment from a particular supplier or produced by a particular 18 manufacturer if the required performance standards may be met by machinery, devices, 19 or equipment available from other sources. 20  (g) The absence of or the department's failure to adopt a regulation or issue 21 an order under this section does not relieve a person from compliance with emission 22 control requirements or other provisions of law. 23  (h) The department may require the payment of a reasonable fee for the review 24 of plans and information required to be submitted. A fee for a single review may not 25 exceed $25. 26  Sec. 46.14.120. PERMITS FOR CONSTRUCTION, MODIFICATION, OR 27 OPERATION. (a) Before constructing, installing, modifying, reconstructing, or 28 establishing a facility subject to AS 46.14.130(a), the owner and operator shall obtain 29 a construction permit under this chapter. 30  (b) Except when considered to be in compliance with this chapter under 31 AS 46.14.275 or under a regulation adopted under AS 46.14.140(a)(11), the owner and

01 operator shall obtain an operating permit under this chapter before operating a facility 02 subject to AS 46.14.130(b). 03  (c) A permittee shall comply with the terms and conditions of a permit or a 04 modifying compliance order issued by the department under this chapter or a court 05 order. A person operating under the application shield available under 06 AS 46.14.140(a)(11) and 46.14.275, shall comply with the terms and conditions of the 07 pending application and applicable regulations. 08  (d) The department shall ensure that permits issued, modified, amended, 09 renewed, or revoked and reissued under this chapter comply with all applicable federal, 10 state, and local requirements. 11  (e) If the federal administrator exempts a source from the requirements of 12 42 U.S.C. 7661a(a) (Clean Air Act, sec. 502(a)), the commissioner shall consider the 13 factors used by the administrator in reaching that determination and, by regulation, 14 shall issue a similar determination unless public health or air quality effects provide 15 a reasonable basis to regulate the source. 16  Sec. 46.14.130. FACILITIES REQUIRING PERMITS. (a) Before 17 constructing, installing, modifying, reconstructing, or establishing a facility, the owner 18 and operator shall obtain a construction permit from the department if the facility is 19 any one of the following: 20  (1) a new facility that emits or has the potential to emit 250 tons per 21 year (TPY) or more of a regulated air contaminant; 22  (2) a new facility of a type classified under AS 46.14.020 that emits 23 or has the potential to emit 100 TPY or more of a regulated air contaminant; 24  (3) a new facility of a type classified under AS 46.14.020 25  (A) as having the potential to violate the ambient air quality 26 standards; or 27  (B) under a finding by the department that public health or air 28 quality effects provide a reasonable basis to regulate the source; 29  (4) a new facility that emits or has the potential to emit 10 TPY or 30 more of a hazardous air contaminant or 25 TPY or more, in the aggregate, of two or 31 more hazardous air contaminants;

01  (5) an existing facility for which 02  (A) a modification is proposed that would increase actual 03 emissions of an air contaminant by an amount equal to or greater than the 04 emission quantity set out in regulations adopted under AS 46.14.010, 05 46.14.020, or 46.14.140; or 06 (B) reconstruction is proposed. 07  (b) The owner and operator of a facility shall obtain an operating permit from 08 the department if the facility is a facility subject to (a) of this section or a facility that 09  (1) emits or has the potential to emit 100 TPY or more of a regulated 10 contaminant; 11  (2) emits or has the potential to emit 10 TPY or more of a hazardous 12 air contaminant or 25 TPY or more, in the aggregate, of two or more hazardous air 13 contaminants; 14  (3) contains a source subject to federal new source performance 15 standards under 42 U.S.C. 7411 (Clean Air Act, sec. 111) or national emission 16 standards for hazardous air pollutants issued under 42 U.S.C. 7412 (Clean Air Act, sec. 17 112); or 18  (4) contains another stationary source designated by 19  (A) the federal administrator by regulation; or 20  (B) the department under a finding that public health or air 21 quality effects provide a reasonable basis to regulate the source. 22  Sec. 46.14.140. EMISSION CONTROL PERMIT PROGRAM 23 REGULATIONS. (a) The department shall adopt regulations to address substantive 24 and procedural elements of the emission control permit program established under this 25 chapter that are not addressed in statute, except elements that relate only to the internal 26 management of the department and do not affect the public or govern the way the 27 department deals with the public. The regulations must be reasonable and adequate, 28 and provide flexibility in the operation of a facility consistent with 42 U.S.C. 7401 - 29 7671q (Clean Air Act), as amended, and applicable federal regulations. The 30 regulations must include 31  (1) a standard permit application form that meets the requirements of

01 federal regulations adopted under 42 U.S.C. 7661a(b) (Clean Air Act, sec. 502(b)); 02  (2) procedures for preparation and submission of a monitoring, 03 reporting, and quality assurance plan and, if required, a compliance schedule describing 04 how a permitted facility will comply with the applicable requirements of this chapter; 05  (3) procedures for 06  (A) specifying when permit applications and renewal requests 07 are to be submitted; 08  (B) specifying the time duration for department review of permit 09 applications; 10  (C) processing and reviewing an application; 11  (D) providing public notice, including opportunity for public 12 comment and hearing; and 13  (E) issuing permits, including procedures for issuing permits for 14 temporary operations or open burn activities; 15  (4) reasonable standard permit conditions, including conditions for 16  (A) emission standards and limitations; 17  (B) monitoring, record keeping, and reporting for facilities 18 subject to AS 46.14.130; 19  (C) inspection and entry; 20  (D) certification of corporate or other business organization 21 reports; 22  (E) annual certification of compliance; 23  (F) excess emission or process deviation reporting; and 24  (G) equipment malfunctions and emergencies; 25  (5) fees and procedures for collecting fees; 26  (6) provisions addressing late payment or nonpayment of fees, which 27 may include assessment of penalties and interest or refusal to issue, amend, modify, 28 or renew an air quality control permit; 29  (7) the duration of permits; 30  (8) procedures for modifying or amending a permit that provide 31 flexibility in the operation of the facility, including procedures to allow changes to a

01 permitted facility without requiring a permit modification, consistent with the purposes 02 of this chapter and with 42 U.S.C. 7401 - 7671q (Clean Air Act); 03  (9) reasonable provisions for renewing, reopening, revoking and 04 reissuing, and terminating a permit consistent with the purposes of this chapter and 42 05 U.S.C. 7401 - 7671q (Clean Air Act); 06  (10) provisions allowing for physical or operational limitations that will 07 reduce a facility's emissions to levels below those that would make the facility subject 08 to part or all of AS 46.14.120 and 46.14.130; 09  (11) provisions authorizing facility operation while a permit application 10 is pending, consistent with 42 U.S.C. 7661b(d) (Clean Air Act, sec. 503(d)); 11  (12) provisions for ensuring that compliance with an operating permit 12 issued under this chapter will be considered to be compliance with 42 U.S.C. 7661a 13 (Clean Air Act, sec. 502) and other provisions of state or federal law specifically 14 provided for by the department consistent with 42 U.S.C. 7401 - 7671q (Clean Air 15 Act) and regulations adopted under state and federal law; and 16  (13) provisions allowing for certification of inspectors who evaluate 17 compliance with the terms and conditions of a permit, order, regulation, or other 18 provision of law authorized under this chapter. 19  (b) A permit issued under this chapter may not require a person to use 20  (1) machinery, devices, or equipment of a particular type, from a 21 particular supplier, or produced by a particular manufacturer; or 22  (2) specific methods, processes, procedures, or designs for the 23 management and operation of a facility regulated under this chapter except to the 24 extent that the federal administrator has 25  (A) adopted a design, equipment work practice, or operational 26 standard under 42 U.S.C. 7412(h), as amended, for the control of a hazardous 27 air pollutant; or 28  (B) approved an alternative hazardous air pollutant standard 29 under 42 U.S.C. 7412(h)(3), as amended. 30  (c) The absence of, or the department's failure to adopt, a regulation under this 31 section does not relieve a person from compliance with a permit issued under this

01 chapter and with other provisions of law, including emission control requirements. 02  Sec. 46.14.150. TIME FOR SUBMISSION OF OPERATING PERMIT 03 APPLICATIONS. (a) The owner and operator of a facility required to have an 04 operating permit under this chapter shall submit the required application and other 05 information required by the department by regulation no later than (1) 12 months after 06 the date on which the facility becomes subject to AS 46.14.120(b); or (2) 60 days 07 before beginning construction of a source if the facility containing the source is a new 08 facility that is not required to obtain a construction permit under AS 46.14.130(a), 09 whichever is earlier. 10  (b) The department may accept and begin processing applications filed earlier 11 than the submission date. Applications filed earlier may be given priority for permit 12 issuance. 13  Sec. 46.14.160. COMPLETENESS DETERMINATION. (a) The department 14 shall review every application submitted under this chapter for completeness. To be 15 determined complete, an application must provide the information identified by the 16 department in regulations adopted under AS 46.14.140 and in standard application 17 forms provided by the department under AS 46.14.140(a)(1) and must be certified true 18 and correct by the owner and operator. 19  (b) The department shall notify the applicant in writing whether the application 20 is complete. Unless the department notifies the applicant within 60 days of receipt of 21 an application that the application is incomplete, the application is considered to be 22 complete. 23  (c) If, during the processing of an application after it has been determined or 24 considered to be complete, the department finds that additional information is 25 necessary to evaluate or take action on that application, the information may be 26 requested in writing from the owner and operator. A request for information under 27 this subsection does not render the application incomplete. However, notwithstanding 28 AS 46.14.275, an owner and operator may be found in violation of this chapter for 29 operating without a valid permit if they fail to provide timely additional information. 30  Sec. 46.14.170. ADMINISTRATIVE ACTIONS REGARDING PERMITS. (a) 31 Except as provided in AS 46.14.220 or in regulations adopted under

01 AS 46.14.140(a)(6), after receipt of a complete application, and after notice and 02 opportunity for public comment and hearing, the department shall issue or deny 03  (1) a construction permit within 30 days after the close of the public 04 comment period; 05  (2) an operating permit, other than a general operating permit or 06 temporary operating permit, within 12 months after receipt of the complete application 07 by the department. 08  (b) Notwithstanding (a) of this section, the department may establish a phased 09 schedule for acting on operating permit applications submitted within 12 months 10 following the date on which the federal administrator approves the state program under 11 42 U.S.C. 7661a(d). A phased schedule must ensure that at least one-third of the 12 applications submitted during the first 12 months of the state's operation of its permit 13 program after federal approval will be acted on by the department during each of the 14 first three 12-month periods following federal approval of the program. The 15 department shall give priority to the issuance of permits for new facilities and 16 modifications of existing facilities. 17  (c) Failure by the department to act within the time limits established in or 18 under (a) or (b) of this section is considered to be a final agency action, but only for 19 the purpose of judicial review to determine whether the court will require that action 20 be taken by the department. 21  Sec. 46.14.180. MONITORING. Monitoring by the owner and operator of 22 stack emissions or ambient air quality shall be required by the department only for 23 purposes of demonstrating compliance with applicable permit program requirements. 24 Monitoring requirements must be reasonable and based on test methods, analytical 25 procedures, and statistical conventions approved by the federal administrator or the 26 department or otherwise generally accepted as scientifically competent. Unless 27 otherwise agreed to by the owner and operator and the department, 28  (1) the department may not require an owner and operator of a source 29 to monitor emissions or ambient air quality solely for the purpose of scientific 30 investigation or research; and 31  (2) monitoring activities must be consistent with the applicable

01 emission standards and other permit or permit application requirements. 02  Sec. 46.14.190. SINGLE PERMIT. (a) Except as provided in (b) of this 03 section, the department shall issue only a single operating permit to a facility, 04 regardless of whether a facility contains a single source or multiple sources. 05  (b) The department may, upon request of a facility owner or operator, issue 06 more than one permit for a facility. Substantive and procedural requirements otherwise 07 applicable to a facility remain applicable regardless of whether the facility owner and 08 operator apply for one or more permits. 09  Sec. 46.14.200. REVIEW OF PERMIT ACTION. A person who has a private, 10 substantive, legally protected interest under state law that may be adversely affected 11 by the permit action, the owner and operator, or a person who participated in the 12 public comment process may request an adjudicatory hearing under the department's 13 adjudicatory hearing procedures. After the issuance of an adjudicatory hearing 14 decision, a party to the hearing may obtain judicial review of that decision as provided 15 in the Alaska Rules of Appellate Procedure. 16  Sec. 46.14.210. GENERAL OPERATING PERMITS. After notice and 17 opportunity for public comment and hearing, the department may, unless the permit 18 is disapproved by the federal administrator, establish a general operating permit that 19 would be applicable to more than one facility determined by the department to be 20 similar in source structure. A general operating permit must contain provisions that 21 meet the requirements of this chapter that are applicable to operating permits. A 22 general operating permit issued to a particular person takes effect when the person's 23 application is determined to be complete unless the department notifies the applicant 24 that the general permit is not applicable to the person's facility. 25  Sec. 46.14.215. TEMPORARY OPERATIONS. The department may issue a 26 single operating permit under AS 46.14.170, authorizing a facility to operate at specific 27 multiple locations in the state for temporary periods of time. A permit described in 28 this section is valid only for the specific locations identified in the application and 29 authorized by the department. The department may not issue a permit under this 30 section unless the permit contains conditions that will ensure compliance with this 31 chapter at each authorized location, including compliance with ambient air quality

01 standards and applicable increment or visibility requirements adopted under this 02 chapter. A permit under this section must require the owner and operator to notify the 03 department at least 30 days before a change in location of a facility permitted under 04 this section. 05  Sec. 46.14.220. OBJECTION BY FEDERAL ADMINISTRATOR. (a) An 06 operating permit may not be issued under this chapter until the federal administrator 07 approves the permit, or until 45 days after a copy of the final draft permit has been 08 provided by the department to the federal administrator, whichever is earlier. If, 09 during the 45-day period, the federal administrator files an objection with the 10 department, the department shall notify the applicant of the objection. The department 11 may not issue the permit until the objection is resolved or the permit is revised to meet 12 the objection of the federal administrator. Upon request of an applicant, the 13 department shall assist the applicant in an effort to resolve promptly an objection by 14 the federal administrator. 15  (b) Within 60 days after the close of the 45-day period under (a) of this 16 section and in accordance with procedures established in federal regulations adopted 17 under 42 U.S.C. 7661d(b)(2) (Clean Air Act, sec. 505(b)(2)), a person may petition the 18 federal administrator to file an objection to the permit. 19  Sec. 46.14.230. DURATION OF OPERATING PERMITS. (a) An operating 20 permit under this chapter, including an operating permit that contains a compliance 21 schedule, shall be issued for a fixed term of five years after the date of issue, except 22 as provided for temporary operations under AS 46.14.215 or unless a shorter term is 23 requested by the permit applicant. 24  (b) If a timely and complete application for renewal of an operating permit is 25 submitted to the department, the existing permit issued under this chapter does not 26 expire until the renewal permit has been issued or denied. 27  Sec. 46.14.235. FEDERAL TERMINATION, MODIFICATION, OR 28 REVOCATION AND REISSUANCE OF PERMITS. The department shall take 29 measures practicable and otherwise lawful to avoid termination, modification, or 30 revocation and reissuance by the federal administrator of permits issued by the 31 department under this chapter.

01  Sec. 46.14.240. PERMIT ADMINISTRATION FEES. (a) The owner or 02 operator of a facility who is required to apply for a permit under AS 46.14.130 shall 03 pay to the department all assessed permit administration fees established under (b) of 04 this section except that the person named in a permit issued under AS 46.14.170 shall 05 pay assessed permit administration fees incurred after the date the permit is issued. 06  (b) The department shall establish by regulation a permit administration fee 07 rate. The rate shall be set on the basis of dollars per hour of service provided for a 08 specific permittee. The department may periodically modify a fee rate to reflect 09 increases or decreases in the actual reasonable costs of providing the services. The 10 department shall assess permit administration fees on a periodic basis after service is 11 rendered, but the department may assess a retainer toward this fee at the time work 12 commences on a permit application or at the time departmental services are requested 13 for the development of a permit application. 14  (c) In (a) and (b) of this section, "permit administration fees" are fees assessed 15 to recover costs incurred by the department and other state or local governmental 16 agencies, to the extent required under 42 U.S.C. 7661a(b)(3)(A) and federal regulations 17 implementing that provision, for the following services to a specific facility that are 18 performed in order to implement the permit program established under this chapter: 19  (1) providing preapplication consultation, assistance, and completeness 20 review of applications for a permit, permit amendment, permit modification, or 21 renewal, except as provided in (d) of this section; 22  (2) reviewing or assisting in preparation of facility specific permit 23 support documents, including on-site evaluations, except as provided in (d) of this 24 section; 25  (3) receiving, reviewing, preparing, processing, and issuing permits, 26 permit amendments, modifications, reopenings, renewals and revocations, and 27 reissuance; 28  (4) preparing general operating permits under AS 46.14.210; however, 29 costs must be allocated on an equitable basis to each facility covered by the general 30 operating permit; 31  (5) performing facility inspections and compliance evaluations;

01  (6) reviewing, compiling, and reporting facility specific emission, 02 ambient monitoring, or process measurement data; 03  (7) preparing, evaluating, or processing plans or documents to obtain 04 facility compliance or rectify noncompliance with permit terms and conditions, but not 05 including any enforcement actions; and 06  (8) assessing and collecting delinquent permit administration fees and 07 emission fees. 08  (d) Costs incurred by the department and other state or local governmental 09 agencies for services described in (c)(1) - (2) of this section to facilities that qualify 10 for assistance under AS 46.14.300 - 46.14.310 shall be recovered from emission fees 11 under AS 46.14.250(h)(2). 12  Sec. 46.14.250. EMISSION FEES. (a) A person named as permittee in a 13 permit issued under AS 46.14.170 shall pay to the department all assessed emission 14 fees established under this section. 15  (b) The department shall establish by regulation an emission fee rate. The rate 16 shall be set on the basis of dollars per ton of air contaminant emitted. The department 17 shall assess emission fees annually on or before July 1 based on a facility's estimated 18 assessable emissions for the subsequent fiscal year. The department may allow 19 installment payments of assessed emission fees. 20  (c) For a facility that begins operation during a fiscal year, the department 21 shall prorate the first year's fee to cover the time period occurring before the next 22 annual payment date. The owner or operator shall pay the initial emission fee upon 23 commencement of lawful facility operation unless authorized to pay by installments 24 under (b) of this section. The first year's emission fee may not duplicate a fee paid 25 by a permittee under AS 44.46.025 for the same sources for the same time period. If 26 the fees would otherwise be duplicative, the department shall provide a credit toward 27 the emission fee in the amount of the unused balance of the fee collected under 28 AS 44.46.025. The unused balance to be credited shall be based on prorating the total 29 original fee under AS 44.46.025 for the time period for which an emission fee applies. 30  (d) The department shall design the emission fee rate to distribute the total 31 annual incurred costs described under (h) of this section in a manner so that each

01 permittee is assessed an annual emission fee that reflects an equitable apportionment 02 of the fees paid by each facility type, size, or category. In making an apportionment 03 under (f)(6) of this section, the department shall consider factors such as exemptions 04 or reduced rates for small amounts of emissions, limits upon assessable emissions, 05 exempting small business facilities from the costs of the small business assistance 06 program established under AS 46.14.300, air pollution prevention efforts, and other 07 factors that may ensure fair distribution of the costs described under (h) of this section. 08  (e) The department shall set the initial fee rate for the first two years following 09 approval of the permit program under this chapter by the federal administrator on the 10 basis of dollars per ton of assessable emissions. In calculating assessable emissions 11 for the purpose of this subsection, the department may not include an amount in excess 12 of 4,000 tons per year of an air contaminant not defined as a regulated pollutant under 13 42 U.S.C. 7661a(b)(3)(B)(ii) (Clean Air Act, sec. 502 (b)(3)(B)(ii)). 14  (f) After the two years described in (e) of this section, the department shall set 15 the emission fee rate in regulation to implement the policy established in (d) of this 16 section. The department shall base the regulation on the findings of a report, which 17 the department shall make available to the public with proper notice before adoption 18 of the regulation, that examines 19 (1) fees assessed; 20 (2) alternative fee rates or formulas; 21  (3) types, sizes, or categories of facilities, their respective emission 22 quantities, and their previous or proposed fee burden; 23  (4) apparent inequities encountered in the initial fee rate; 24  (5) total costs incurred or anticipated to be incurred under (h) of this 25 section; and 26  (6) other factors that ensure fair distribution of the costs described in 27 (h) of this section. 28  (g) The department shall periodically, and at least every three years, evaluate 29 the fee rate set under this section to determine if it is responsive to the policy 30 established in (d) of this section and shall provide its findings in a report. 31  (h) In this section,

01  (1) "assessable emission" means the quantity of each air contaminant 02 for which emission fees are assessed and is the lesser of 03  (A) the annual rate of emissions, in tons per year, of each air 04 contaminant authorized by the facility's operating permit; or 05  (B) the projected annual rate of emissions, in tons per year, of 06 each air contaminant by the facility based upon previous actual annual 07 emissions if the permittee can demonstrate to the department its previous actual 08 annual rate of emissions through monitoring, modelling, calculations, or other 09 method acceptable to the department; 10  (2) "emission fees" mean fees assessed to recover costs incurred by the 11 department and other state or local governmental agencies, to the extent required under 12 42 U.S.C. 7661a(b)(3)(A) and federal regulations implementing that provision, for 13 execution of the permit program established under this chapter that are generally not 14 associated with service provided to a specific facility, including the costs incurred by 15 the department or a local air quality program to comply with AS 46.14.010 - 16 46.14.015; the costs may include rent, utilities, permit program management, 17 administrative and accounting services, and other costs as identified by the department 18 in regulations; the fees shall also be sufficient to recover the cost of the small business 19 assistance program under AS 46.14.300 - 46.14.310. 20  Sec. 46.14.255. INTEREST AND SANCTIONS FOR NONPAYMENT. (a) 21 The department may assess interest against the owner and operator after a fee is due 22 under this chapter and is unpaid. Interest assessed under this subsection shall be 23 computed at two percentage points higher than the prime rate, as defined in 24 AS 44.88.599, for the day the fee was due. 25  (b) If a permittee has failed to pay a fee imposed under AS 46.14.240 - 26 46.14.250, a penalty, assessment, or damage award imposed under AS 46.03.760(f) or 27 46.03.790 for a violation of this chapter, or interest imposed under (a) of this section, 28 the department may, after 30 days' written notice to the permittee refuse to issue or 29 renew permits requested by the permittee or refuse to amend or modify a permit when 30 the amendment or modification is requested by the permittee. 31  Sec. 46.14.260. CLEAN AIR PROTECTION FUND. (a) The clean air

01 protection fund is established. The fund consists of fees collected by the department 02 under AS 46.14.240 and 46.14.250 and under regulations authorized by AS 46.14.140, 03 as required by 42 U.S.C. 7661a(b)(3)(C)(iii) (Clean Air Act, sec. 502(b)(3)(C)(iii)) for 04 state participation in the federal emission control permit program. 05  (b) The money deposited into the clean air protection fund may only be used 06 to cover the reasonable direct and indirect costs required to support the permit program 07 under this chapter and the activities of the small business assistance program that are 08 directed at facilities subject to this chapter, not including court costs or other costs 09 associated with an enforcement action. 10  Sec. 46.14.270. SPECIAL ACCOUNT. Civil or criminal penalties, fines, 11 assessments, or damages, and interest, attorney fees, and costs collected as a result of 12 a violation relating to this chapter and interest collected under AS 46.14.255 shall be 13 deposited in the general fund and credited to a special account called the "clean air 14 protection account." 15  Sec. 46.14.275. TIMELY AND COMPLETE APPLICATION AS SHIELD. 16 If an owner and operator have submitted a timely and complete application for a 17 permit or a permit renewal, as applicable, but final action has not been taken on the 18 application, the owner's and operator's failure to have an operating permit is not a 19 violation of this chapter unless the delay in final action was due to the failure of the 20 owner and operator to submit, in a timely manner, additional information required or 21 requested to process the application. An owner and operator required to have an 22 operating permit under this chapter are not in violation of the operating permit program 23 established under this chapter before the date on which the owner and operator are 24 required to submit an application under AS 46.14.150. 25  Sec. 46.14.280. TERMINATION, MODIFICATION, REOPENING, OR 26 REVOCATION AND REISSUANCE OF PERMITS BY THE DEPARTMENT. (a) 27 After 30 days' written notice to the permittee, the department 28  (1) may terminate, modify, or revoke and reissue a construction or 29 operating permit if the department finds that 30  (A) the permit was obtained by misrepresentation of material 31 fact or by failure of the owner and operator to disclose fully the facts relating

01 to issuance of the permit; 02  (B) the permittee has violated this chapter, a regulation, a 03 judicial or administrative order, or a material term or condition of a permit, 04 approval, or acceptance issued under this chapter; or 05  (C) the permittee has failed to construct or modify a facility 06 within the time period specified in a construction permit, if any, required under 07 AS 46.14.130(a); 08  (2) may modify, or revoke and reissue a construction or operating 09 permit if the department finds that 10  (A) the permit contains a material mistake; or 11  (B) there has been a material change in the quantity or type of 12 air contaminant emitted from the facility; or 13  (3) shall reopen a permit issued under this chapter 14  (A) based on a determination of the federal administrator or the 15 department that the permit must be revised to comply with 42 U.S.C. 7401-7671q (Clean Air Act) and regulations 16 adopted thereunder; or 17  (B) to incorporate changes in law, or to impose equivalent 18 emission limitation, that become applicable after the permit is issued if the 19 permit is issued to a major facility and has a remaining duration of three or 20 more years; the department shall make revisions allowed under this 21 subparagraph as soon as practicable, but, regarding a change in law, no later 22 than 18 months after the change in law takes effect; the department may not 23 reopen the permit of a major facility under this subparagraph if the change in 24 law is not effective until after the date that the permit expires. 25  (b) Reopening of a permit under (a)(3) of this section shall be treated as a 26 permit renewal by the department if the procedural requirements for permit renewal 27 have been met. 28  (c) Proceedings to reopen a permit under this section shall follow the same 29 procedure as for initial permit issuance and shall affect only those parts of the permit 30 for which the department had cause to reopen under this section. 31  Sec. 46.14.285. AMENDMENT AND MODIFICATION OF PERMIT UPON

01 REQUEST OF PERMITTEE. (a) A permittee may request 02  (1) a permit amendment that provides for administrative changes to a 03 permit that do not result in material changes in permit terms or conditions, such as 04 changes in the name of the owner or operator, mailing address, registered agent, or 05 assessable emissions; 06  (2) an expedited authorization for minor changes in permit terms and 07 conditions that provide for flexibility in the operation of a facility consistent with 42 08 U.S.C. 7661a(b)(10) (Clean Air Act, sec. 502(b)(10)), and regulations adopted under 09 that paragraph; the department may adopt regulations that include procedures under 10 which the public may participate when an expedited authorization is requested under 11 this paragraph; or 12  (3) a modification of a permit to authorize significant changes in permit 13 terms and conditions consistent with this chapter and regulations adopted under 14 AS 46.14.140. 15  (b) The department shall review all requests submitted under (a) of this section 16 and issue or deny the permit amendment or modification or otherwise authorize or 17 deny the request consistent with this chapter and regulations adopted under this 18 chapter. 19  Sec. 46.14.290. PERMIT AS SHIELD. (a) To the extent allowed under 20 42.U.S.C. 7661c(f) (Clean Air Act, sec. 504(f)), a permittee is considered in 21 compliance with applicable requirements of this chapter, regulations adopted under this 22 chapter and 42 U.S.C. 7401 - 7671q (Clean Air Act) and regulations adopted under it, 23 if 24  (1) the applicable requirements are included and specifically identified 25 in the owner or operator's permit; or 26  (2) the requirements are determined in writing not to be applicable to 27 the permitted facility; a determination made under this paragraph shall be included in 28 the permit. 29  (b) This section does not alter or affect 30  (1) the owner's and operator's obligation to comply with an emergency 31 order issued under AS 46.03.820 or 42.U.S.C. 7603 (Clean Air Act, sec. 303);

01  (2) the liability of an owner and operator for a violation of applicable 02 requirements of law before or at the time of permit issuance; or 03  (3) the ability of the department to obtain information from an owner 04 or operator of a facility under AS 46.14.020(b). 05 ARTICLE 3. SMALL BUSINESS ASSISTANCE PROGRAM. 06  Sec. 46.14.300. SMALL BUSINESS ASSISTANCE PROGRAM. (a) A small 07 business assistance program is established in the department. The department shall 08 include the program in the state air quality control plan developed under 42 U.S.C. 09 7401 - 7671q (Clean Air Act). 10  (b) The small business assistance program shall, by regulation, meet the 11 requirements of 42 U.S.C. 7661f(a) (Clean Air Act, sec. 507(a)), including the 12 requirement that a small business advocate be designated. 13  (c) Except as provided in AS 46.14.310(b), the department shall provide 14 assistance as described in (b) of this section to a requesting facility that is not a small 15 business concern as defined in 15 U.S.C. 631 but that is subject to the requirements 16 of this chapter if the legislature appropriates money from the general fund for this 17 purpose. 18  Sec. 46.14.310. POWER TO LIMIT SMALL BUSINESS ASSISTANCE 19 PROGRAM. (a) After consultation with the federal administrator and the 20 administrator of the United States Small Business Administration and after providing 21 notice and opportunity for public hearing, the department may exclude from the scope 22 of the small business assistance program established in AS 46.14.300 a category or 23 subcategory of small business facilities that the department finds to have sufficient 24 technical and financial capabilities to meet the requirements of this chapter and federal 25 law without the assistance provided under AS 46.14.300 - 46.14.320. 26  (b) Nothing in AS 46.14.300(c) precludes the department from excluding a 27 business facility or category of business facilities that the department finds to have 28 sufficient technical and financial capabilities to meet the requirements of this chapter 29 without assistance from the department. 30  Sec. 46.14.320. COMPLIANCE ADVISORY PANEL. (a) There is 31 established in the department a compliance advisory panel whose members shall serve

01 staggered three-year terms. A member may not serve more than two three-year terms 02 consecutively. 03 (b) The panel consists of 04  (1) two members who are not owners or representatives of owners of 05 small business facilities, selected by the governor to represent the general public; 06  (2) one member selected by the commissioner to represent the 07 department; and 08  (3) four members who are owners or representatives of owners of small 09 business facilities, selected as follows: 10  (A) one shall be selected by the president of the senate and one 11 shall be selected by the speaker of the house; 12  (B) if there are members of the senate who are not part of the 13 majority caucus of the senate, the leader of the largest nonmajority group shall 14 select a panel member; if all members of the senate are in the majority caucus, 15 then the president of the senate shall select a second panel member in addition 16 to the selection authorized under (A) of this paragraph; 17  (C) if there are members of the house who are not part of the 18 majority caucus of the house, the leader of the largest nonmajority group shall 19 select a panel member; if all members of the house are in the majority caucus, 20 then the speaker of the house shall select a second panel member in addition 21 to the selection authorized under (A) of this paragraph. 22  (c) The panel members shall serve without compensation but are entitled to 23 transportation expenses and per diem as authorized for members of boards and 24 commissions under AS 39.20.180. 25  (d) The compliance advisory panel shall 26  (1) elect a chair and agree upon procedures by which the panel will 27 function; 28  (2) meet annually and at the call of the chair and give public notice of 29 panel meetings as required under AS 44.62.310 - 44.62.312; 30  (3) prepare advisory opinions concerning the effectiveness of the small 31 business assistance program, difficulties encountered in making the program efficient

01 and effective, and degree of enforcement and severity of air pollution offenses; 02  (4) make periodic reports to the administrator concerning the 03 compliance of the small business assistance program with requirements of 44 U.S.C. 04 3501 (Paperwork Reduction Act), 5 U.S.C. 601 (Regulatory Flexibility Act), and 5 05 U.S.C. 504 (Equal Access to Justice Act); 06  (5) review information designed to assist small business facilities in 07 complying with this chapter to ensure that the information is understandable by the 08 public; and 09  (6) use the assistance of the small business advocate designated under 10 AS 46.14.300(b) in the development and dissemination of panel reports and advisory 11 opinions. 12 ARTICLE 4. LOCAL PROGRAMS. 13  Sec. 46.14.400. LOCAL AIR QUALITY CONTROL PROGRAMS. (a) With 14 the approval of the department, a municipality may establish and administer within its 15 jurisdiction a local air quality control program that operates in lieu of and is consistent 16 with all or part of the department's air quality program as established under this 17 chapter. A first or second class borough may administer an air quality control program 18 approved by the department under this subsection on an areawide basis and is not 19 subject to the restrictions for acquiring additional areawide powers specified in 20 AS 29.35.300 - 29.35.350. A third class borough may administer a local air quality 21 control program approved by the department under this subsection only in a service 22 area formed under AS 29.35.490(b) or (c). 23  (b) With the approval of the department, two or more municipalities or other 24 entities may create a local air quality district for the purpose of jointly administering 25 a local air quality control program within the boundaries of the air quality district. 26  (c) If the department finds that the location, character, or extent of particular 27 concentrations of population, air contaminant sources, the geographic, topographic, or 28 meteorological considerations, or a combination of these factors make impracticable 29 the maintenance of appropriate levels of air quality without an areawide air pollution 30 control program, the department may determine the boundaries within which a local 31 air quality control program is necessary and direct that a local air quality control

01 program spanning those boundaries is the only acceptable alternative to direct state 02 administration. 03  (d) A municipality or a local air quality district seeking department approval 04 for a local air quality control program shall enter into a cooperative agreement with 05 the department that is designed to avoid unnecessary duplication of responsibilities. 06 The cooperative agreement must include provisions specifying 07  (1) the respective duties and authority of the department and the 08 municipality or local air quality district in the administration of the local air quality 09 control program; 10  (2) the authority of the municipality or the local air quality district to 11 employ staff to administer the local air quality control program; 12  (3) duties of staff employed under (2) of this subsection; 13  (4) the procedures that must be followed by the municipality or local 14 air quality district when requesting money from the clean air protection fund to cover 15 the costs of implementing the municipality's or district's air quality program; 16  (5) the procedures that will be used by the department in approving a 17 request under (4) of this subsection and submitting it to the legislature for funding; 18  (6) respective enforcement responsibilities of the department and the 19 municipality or the local air quality district; 20  (7) that if the municipality or local air quality control district seeks 21 authority to take action under (f) of this section, the municipality or local air quality 22 control district will use procedures that are substantially equivalent to those required 23 under AS 46.14.010 and 46.14.015. 24  (e) A local air quality control program shall provide for the exemption of a 25 locally registered motor vehicle from motor vehicle emission requirements adopted 26 under AS 46.14.510 if the motor vehicle is not used within the program's jurisdiction. 27  (f) A municipality or a local air quality district administering a program under 28 this section shall administer its local air quality control program according to this 29 chapter, regulations adopted under those sections, and its cooperative agreement under 30 (d) of this section. A municipality or local air quality district's program may, upon 31 a finding by the local agency and an affirmative agreement by the department,

01 establish a more stringent requirement than the stationary source permit program 02 authorized under this chapter if public health or air quality effects provide a reasonable 03 basis to regulate the source with the additional or more stringent requirement and the 04 municipality or district has used procedures substantially equivalent to those required 05 under AS 46.14.010 - 46.14.015 before establishing the more stringent requirement. 06 This subsection does not prohibit a municipality or local air quality control district 07 from establishing a mobile source emissions program more stringent than the state 08 program without making findings of public health or air quality effects or using 09 procedures substantially equivalent to those required under AS 46.14.010 - 46.14.015. 10 In this subsection, "mobile source" does not include tank vessels or other watercraft. 11  (g) A determination, order, permit, or permit action issued under a local air 12 quality control program is considered to be a determination, order, permit, or permit 13 action of the department. 14  (h) Notwithstanding any other law or rule of law, the department may not 15 delegate or enable another department or government entity to establish fee rates or 16 collect fees under AS 46.14.240 or 46.14.250. 17  Sec. 46.14.410. INADEQUACY OF LOCAL PROGRAM. (a) If a 18 municipality or a local air quality district has an approved local air quality control 19 program under AS 46.14.400 and the department determines that the program is being 20 implemented in a manner that fails to meet the terms of the cooperative agreement or 21 is otherwise being inappropriately administered, the department shall give written 22 notice setting out its determination to the municipality or local air quality district. 23 Within 45 days after giving written notice, the department shall conduct a public 24 hearing on the matter. The hearing shall be recorded by any means that ensures an 25 accurate record. 26  (b) If, after the hearing, the department upholds the determination made in the 27 written notice, the department shall provide the municipality or local air quality district 28 with a written finding setting out the nature of the deficiencies and a description of the 29 necessary action to be taken to ensure that the local air quality control program 30 prevents or controls air pollution. The department shall provide its finding to the 31 municipality or district within 45 days after closure of the public hearing record. The

01 department shall set a reasonable period of time for the municipality or local air 02 quality district to take corrective action in response to the department's finding. 03  (c) If the municipality or local air quality district fails to take corrective action 04 within the time period set by the department under (b) of this section, the department 05 shall terminate the cooperative agreement and resume management of air quality 06 control in the affected jurisdiction. If the municipality or the local air quality district 07 partially remedies, to the department's satisfaction, the deficiencies found in the 08 determination, the department shall amend the cooperative agreement to reflect a 09 modified allocation of responsibilities between the department and municipality or the 10 local air quality district. 11  (d) A municipality or local air quality district that has had its cooperative 12 agreement terminated may, with the department's approval, resume a local air quality 13 control program if the municipality or district agrees to comply with AS 46.14.400 and 14 with any corrective action plan required by the department. 15  (e) If the department finds that control of a particular class of facility or 16 source, because of its complexity or magnitude, is beyond the reasonable capability of 17 the municipality or the local air quality district or may be more efficiently and 18 economically controlled at the state level, the department may assume and retain 19 jurisdiction over the class of facility or source. Classifications under this subsection 20 may be based on the nature of facilities or sources involved, their size relative to the 21 size of the communities in which they are located, or another basis established by the 22 department. 23 ARTICLE 5. MISCELLANEOUS PROVISIONS. 24  Sec. 46.14.500. AIR POLLUTION FROM OUTER CONTINENTAL SHELF 25 ACTIVITIES. (a) The department shall seek delegation of authority from the federal 26 administrator to implement and enforce the terms and provisions of 42 U.S.C. 7627 27 (Clean Air Act, sec. 328) for the Pacific and Arctic Ocean areas offshore of the state. 28 The department may adopt regulations that are necessary to acquire this delegated 29 authority. 30  (b) In adopting regulations under this section, the department shall ensure that 31 facilities located within 25 miles of the seaward boundary of the state are subject to

01 the same air quality control requirements that would be applicable if the facility were 02 located in the corresponding onshore area. For purposes of this subsection, facilities 03 located within 25 miles of the seaward boundary of the state include a vessel servicing 04 or associated with the facility while at the facility or en route to or from the facility 05 and within 25 miles of the facility. 06  (c) In this section, "corresponding onshore area" means, with respect to a 07 facility located within 25 miles of the seaward boundary of the state, the onshore 08 attainment or nonattainment area that is closest to the facility, unless the commissioner 09 determines that another area with more stringent requirements relating to control and 10 abatement of air pollution may reasonably be expected to be affected by emissions 11 from the offshore facility; this determination shall be based on the potential for air 12 contaminants from the facility to reach the other onshore area and the potential of the 13 air contaminants to affect the efforts of the other onshore area to attain or maintain a 14 federal ambient air quality standard set under 42 U.S.C. 7470 - 7492 (Title I, Part C, 15 Clean Air Act) or a state equivalent. 16  Sec. 46.14.510. MOTOR VEHICLE POLLUTION. (a) When the department 17 determines that the state of knowledge and technology may allow or make appropriate 18 the control of emissions from motor vehicles to further air quality control, the 19 department may provide, by regulation, for the control of the emissions from motor 20 vehicles. The regulations may prescribe requirements for the installation and use of 21 equipment designed to reduce or eliminate emissions and for the proper maintenance 22 of this equipment. 23  (b) Unless otherwise exempted by law, a person shall maintain in operating 24 condition any element of the air pollution control system or mechanism of a motor 25 vehicle that the department, by regulation, requires to be maintained in or on the motor 26 vehicle. Failure to maintain a required system or mechanism in operating condition 27 subjects the motor vehicle's registration to suspension or cancellation. A motor 28 vehicle whose registration has been suspended or canceled under this subsection is not 29 eligible for subsequent registration until the owner or operator obtains certification 30 from the department, based on a demonstration that the air pollution control system or 31 mechanism is restored to operating condition.

01  (c) The department shall consult with the Department of Public Safety 02 regarding implementation of the motor vehicle pollution control program. The 03 Department of Public Safety shall cooperate with the department in implementing the 04 program. 05  (d) If the department adopts regulations requiring the maintenance of air 06 pollution control systems or mechanisms in motor vehicles to control emissions from 07 the vehicle, a motor vehicle subject to those regulations may not be issued a certificate 08 of inspection unless the required air pollution control system or mechanism has been 09 inspected in accordance with the standards, testing techniques, and instructions 10 furnished by the department and the motor vehicle has been found to meet those 11 standards. A valid certificate of inspection for the emission control system, if required 12 by the department, must be presented to the Department of Public Safety before that 13 department may register a motor vehicle. 14  Sec. 46.14.515. INSPECTION. (a) An officer or employee of the department 15 designated by the commissioner or an inspector authorized by the commissioner and 16 certified under regulations adopted under AS 46.14.140(a)(13) may, upon presentation 17 of credentials and at reasonable times with the consent of the owner or operator, enter 18 upon or through any premises of a facility regulated under this chapter to 19  (1) inspect and copy any records required to be maintained; 20  (2) inspect any source, monitoring equipment, or method required to 21 be used; or 22  (3) sample any emissions that the owner and operator of the facility is 23 required to sample. 24  (b) During an inspection under this section, the inspector shall comply with 25 applicable health and safety standards. 26  Sec. 46.14.520. CONFIDENTIALITY OF TRADE SECRETS. Records, 27 reports, and information, and parts of records, reports, and information, other than 28 emission data, in the department's possession or control are considered confidential 29 records and shall be kept confidential and in separate files if the owner and operator 30 have certified under oath to the department or authorized local program that 31  (1) public disclosure would tend to affect adversely the owner's and

01 operator's competitive position; and 02  (2) the records, reports, or information, or parts of the records, reports, 03 or information, would divulge production figures, sales figures, processes, production 04 techniques, or financial data of the owner and operator that are entitled to protection 05 as trade secrets under AS 45.50.910 - 45.50.945 (Alaska Uniform Trade Secrets Act). 06  Sec. 46.14.525. PUBLIC RECORDS. Except as provided in AS 46.14.520, 07 permits, permit applications, emissions and monitoring reports, compliance reports, 08 certifications, and monitoring, reporting, and quality assurance plans in the 09 department's possession or control are available to the public for inspection and 10 copying. 11  Sec. 46.14.530. STATE AND FEDERAL AID. (a) A municipality or local 12 air quality district with a local air quality control program may apply for, receive, 13 administer, and spend state aid for the control of air emissions or the development and 14 administration of the program if an application is first submitted to and approved by 15 the department. Subject to available money appropriated by the legislature for the 16 purpose of this section, the department may approve an application if it is consistent 17 with the terms and conditions of the applicable cooperative agreement and meets the 18 requirements of this chapter. 19  (b) A municipality or local air quality district with a local air quality control 20 program may apply for, receive, administer, and spend federal aid for the control of 21 air emissions or the development and administration of the program. 22  Sec. 46.14.540. AUTHORITY OF DEPARTMENT IN CASES OF 23 EMERGENCY. (a) When the commissioner finds that an act of God, act of war, act 24 of terrorism, or similar catastrophe necessitates emergency use of an unpermitted 25 source or emergency use of a permitted source in a manner not authorized by the 26 permit, the commissioner may waive procedural requirements of this chapter and issue 27 an order to authorize emergency use of the source. When acting under this section, 28 the commissioner shall impose conditions necessary to protect life, human health, 29 welfare, property, and the environment and may impose other conditions the 30 commissioner finds necessary and appropriate. 31  (b) An authorization issued under this section automatically terminates within

01 a reasonable time after abatement of the emergency, subject to a maximum of 30 days 02 from the date of issuance. However, the commissioner may reissue an authorization, 03 if warranted, that may remain in effect for up to another 30 days. An authorization 04 may be reissued more than once. 05  (c) A person acting under an order issued under (a) of this section is 06 considered to be acting in compliance with the operating permit program established 07 in this chapter. 08  (d) The commissioner may delegate the commissioner's authority under this 09 section to deputy commissioners and division directors in the department. 10  Sec. 46.14.550. RESPONSIBILITIES OF OWNER AND OPERATOR. 11 Notwithstanding use of the conjunctive or disjunctive in a provision of this chapter, 12 before issuance of a permit under AS 46.14.170 both the owner and operator of a 13 facility are responsible for compliance with this chapter and regulations adopted under 14 this chapter. If the owner and operator of the facility are separate persons, only one 15 person is required to discharge a specific responsibility. After issuance of a permit 16 under AS 46.14.170, only the permittee is responsible for permitted operations. The 17 permittee shall have a designated agent for service of process in the state. 18  Sec. 46.14.560. UNAVOIDABLE MALFUNCTIONS AND EMERGENCIES. 19 Excess emissions caused by an unavoidable emergency, malfunction, or nonroutine 20 repairs of a source including pollution control equipment or process equipment 21 constitute an affirmative defense, when asserted under regulations adopted under 22 AS 46.14.140, to an action brought for noncompliance with a technology-based 23 emission standard. This section does not limit the department's power to enjoin the 24 emission or require corrective action. This provision is in addition to any emergency 25 or upset provision contained in an applicable requirement. 26 ARTICLE 6. GENERAL PROVISIONS. 27  Sec. 46.14.900. LIMITATIONS. This chapter does not 28  (1) grant jurisdiction or authority with respect to air contamination 29 existing solely within a residential dwelling or a commercial or industrial plant, 30 workplace, or shop; 31  (2) affect the relations between employers and employees with respect

01 to or arising out of a condition of air contamination or air pollution; or 02  (3) supersede or limit the applicability of a law or ordinance relating 03 to sanitation, industrial health, or safety. 04  Sec. 46.14.990. DEFINITIONS. In this chapter, 05  (1) "air contaminant" means a regulated air contaminant or a hazardous 06 air contaminant; 07  (2) "ambient air" means that portion of the atmosphere, external to 08 buildings, to which the general public has access; 09  (3) "ambient air quality standard" means a standard, other than an 10 emission standard, adopted under AS 46.14.010, 46.14.140, 46.14.400(f), or 42 U.S.C. 11 7409 (Clean Air Act, sec. 109); 12  (4) "construct" or "construction" means to fabricate, erect, or install, or 13 to make a physical change, that would result in emissions; 14  (5) "construction permit" means a permit under AS 46.14.130(a), 15 including all relevant exhibits, addendums, transmittal letters, compliance schedules, 16 administrative orders, emergency orders, and court orders; 17  (6) "contaminant outlet" includes exhaust stacks, flares, vents, and other 18 openings in a facility from which an air contaminant could be emitted; 19  (7) "emission" means a release of one or more air contaminants to the 20 atmosphere; 21  (8) "emission limitation" and "emission standard" mean a requirement 22 established by the department or the federal administrator, other than an ambient air 23 quality standard, that limits the quantity, rate, or concentration of emission of an air 24 contaminant, including a requirement relating to the operation or maintenance of a 25 source to ensure sustained emission reduction, and design, equipment, work practice, 26 or operational standard adopted under this chapter or 42 U.S.C. 7401 - 7671q (Clean 27 Air Act); 28  (9) "facility" means 29  (A) one or more structures, buildings, installations, or properties 30 that are contiguous or adjacent and are owned or operated by the same person 31 or by persons under common control; and

01  (i) upon which a source or sources are located; or 02  (ii) that is a source of emissions associated with tank 03 vessel loading and unloading, consistent with 42 U.S.C. 7401 - 7671q 04 (Clean Air Act) and regulations adopted under those sections; or 05  (B) a vessel 06  (i) that is anchored or otherwise permanently or 07 temporarily stationed within a locale; 08  (ii) upon which a source or sources are located, not 09 including sources engaged in propulsion of the vessel; and 10  (iii) that is used for an industrial process, excluding a 11 tank vessel in the trade of transporting cargo; in this provision, 12 "industrial process" means the extraction of raw material or the physical 13 or chemical transformation of raw material in either composition or 14 character; 15  (10) "federal administrator" means the administrator of the United 16 States Environmental Protection Agency; 17  (11) "fugitive emissions" means emissions of an air contaminant that 18 could not reasonably be emitted from a contaminant outlet; 19  (12) "hazardous air contaminant" means a pollutant listed in or under 20 42 U.S.C. 7412(b) (Clean Air Act, sec. 112(b)); 21  (13) "local air quality control program" means a program authorized 22 under AS 46.14.400 to implement some or all of the provisions of this chapter; 23  (14) "modification" or "modify" means to make a change or a series 24 of changes in operation, or any physical change or addition to a facility or source, that 25 increases the actual emissions of an air contaminant; 26  (15) "operating permit" means a permit under AS 46.14.130(b), 27 including all relevant exhibits, addendums, transmittal letters, compliance schedules, 28 administrative orders, emergency orders, and court orders; 29  (16) "operator" means a person or persons who direct, control, or 30 supervise a facility or source that has the potential to emit an air contaminant to the 31 atmosphere;

01  (17) "owner" means a person or persons with a proprietary or 02 possessory interest in a facility or source that has the potential to emit an air 03 contaminant to the atmosphere; 04  (18) "person" has the meaning given in AS 01.10.060 and also includes 05 an agency of the United States, a municipality, the University of Alaska, the Alaska 06 Railroad Corporation, and other departments, agencies, instrumentalities, units, and 07 corporate authorities of the state; 08  (19) "potential to emit" means the maximum quantity of a release of 09 an air contaminant, considering a facility's physical or operational design, based on 10 continual operation of all sources within the facility for 24 hours a day, 365 days a 11 year, reduced by the effect of pollution control equipment and approved state or 12 federal limitations on the capacity of the facility's sources or the facility to emit an air 13 contaminant, including limitations such as restrictions on hours or rates of operation 14 and type or amount of material combusted, stored, or processed; "potential to emit" 15 does not include 16  (A) a one-time, accidental release of an air contaminant; or 17  (B) the fugitive emissions specifically exempted under 42 18 U.S.C. 7401 - 7671q (Clean Air Act); 19  (20) "reconstruct" means to replace components of a facility with new 20 components to such an extent that the fixed capital cost of the new components 21 exceeds 50 percent of the fixed capital cost that would be required to construct a 22 comparable entirely new facility; 23  (21) "regulated air contaminant" means 24  (A) a material, compound, or element for which a national or 25 state ambient air quality standard has been adopted; 26  (B) oxides of nitrogen; 27  (C) a volatile organic compound; 28  (D) a pollutant that is addressed by a 29  (i) standard adopted under 42 U.S.C. 7411 - 7412 (Clean 30 Air Act, sec. 111 - 112); 31  (ii) permit authorized under 42 U.S.C. 7412(g) or (j)

01 (Clean Air Act, sec. 112(g) or (j)); or 02  (iii) regulation adopted under AS 46.14.010(b)(3); and 03  (E) a substance regulated under 42 U.S.C. 7671a (Clean Air 04 Act, Sec. 602); 05  (22) "small business facility" means a facility that 06  (A) is owned or operated by a person who employs 100 or 07 fewer individuals; 08  (B) is a small business concern as defined in 15 U.S.C. 631 09 (Small Business Act); and 10  (C) emits less than 100 TPY of regulated air contaminants; 11  (23) "source" means a device, process, activity, or equipment that 12 causes, or could cause, a release of an air contaminant; 13  (24) "tank vessel" means a waterborne vessel, ship, or barge, whether 14 or not self-propelled, that is constructed or converted to carry cargo; "tank vessel" 15 includes a tanker, tank ship, or combination carrier, but does not include a vessel that 16 is loading or unloading 17  (A) cargo in sealed drums, barrels, or other packages; or 18  (B) petroleum or petroleum products solely as fuel for use on 19 that vessel; 20  (25) "TPY" means tons per year. 21 * Sec. 3. AS 28.10.041(a)(10) is amended to read: 22  (10) the vehicle is subject to a state-approved [LOCAL] emission 23 inspection program adopted [BY MUNICIPAL ORDINANCE] under AS 46.14.400 or 24 46.14.510 [AS 46.03.210], and the vehicle does not meet the standards of that 25 program, unless the vehicle uses a fuel source that does not primarily emit carbon 26 monoxide; 27 * Sec. 4. AS 28.10.423 is amended to read: 28  Sec. 28.10.423. EMISSION CONTROL INSPECTION PROGRAM FEES. In 29 addition to the annual registration fee specified in AS 28.10.421, a $1 fee is imposed 30 upon every vehicle required to be inspected under an emission control program 31 established under AS 46.14.400 or 46.14.510 [AS 46.03.210]. This fee shall be

01 collected at the same time and in the same manner as the registration fee. 02 * Sec. 5. AS 29.10.200 is amended by adding a new paragraph to read: 03  (51) AS 29.35.055 (local air quality control program). 04 * Sec. 6. AS 29.35 is amended by adding a new section to read: 05  Sec. 29.35.055. LOCAL AIR QUALITY CONTROL PROGRAM. A 06 municipality may establish a local air quality control program as provided in 07 AS 46.14.400 only if the municipality has obtained the consent of its governing body 08 through an ordinance authorizing the participation. This section applies to home rule 09 and general law municipalities. 10 * Sec. 7. AS 29.35.200(b) is amended to read: 11  (b) A first class borough may by ordinance exercise the following powers on 12 an areawide basis: 13  (1) provide transportation systems; 14  (2) provide water pollution control; 15  (3) provide air pollution control in accordance with AS 46.14.400 16 [AS 46.03.140 - 46.03.230]; 17  (4) license day care facilities; 18  (5) license, impound, and dispose of animals. 19 * Sec. 8. AS 29.35.210(a) is amended to read: 20  (a) A second class borough may by ordinance exercise the following powers 21 on a nonareawide basis: 22  (1) provide transportation systems; 23  (2) regulate the offering for sale, exposure for sale, sale, use, or 24 explosion of fireworks; 25  (3) license, impound, and dispose of animals; 26  (4) subject to AS 29.35.050, provide garbage, solid waste, and septic 27 waste collection and disposal; 28  (5) provide air pollution control under AS 46.14.400 [IN 29 ACCORDANCE WITH AS 46.03.140 - 46.03.230]; 30  (6) provide water pollution control; 31  (7) participate in federal or state loan programs for housing

01 rehabilitation and improvement for energy conservation; 02  (8) provide for economic development; 03  (9) provide for the acquisition and construction of local service roads 04 and trails under AS 19.30.111 - 19.30.251; 05  (10) establish an emergency services communication center under 06 AS 29.35.130; 07  (11) subject to AS 28.01.010, regulate the licensing and operation of 08 motor vehicles and operators; 09  (12) engage in activities authorized under AS 29.47.460; 10  (13) contain, clean up, or prevent a release or threatened release of oil 11 or a hazardous substance, and exercise a power granted to a municipality under 12 AS 46.04, AS 46.08, or AS 46.09; the borough shall exercise its authority under this 13 paragraph in a manner that is consistent with a regional master plan prepared by the 14 Department of Environmental Conservation under AS 46.04.210. 15 * Sec. 9. AS 29.35.210(b) is amended to read: 16  (b) A second class borough may by ordinance exercise the following powers 17 on an areawide basis: 18  (1) provide transportation systems; 19  (2) license, impound, and dispose of animals; 20  (3) provide air pollution control under AS 46.14.400 [IN 21 ACCORDANCE WITH AS 46.03.140 - 46.03.230]; 22  (4) provide water pollution control; 23  (5) license day care facilities. 24 * Sec. 10. AS 37.05.146(4) is amended by adding a new subparagraph to read: 25  (R) clean air protection fund (AS 46.14.260). 26 * Sec. 11. AS 42.05.381 is amended by adding a new subsection to read: 27  (g) The commission shall allow, as a necessary and reasonable expense, all 28 payments made to the Department of Environmental Conservation under AS 46.14.240 29 - 46.14.250. The commission shall allow the public utility to recover these fees 30 through a periodic fuel surcharge rate adjustment. 31 * Sec. 12. AS 44.46.025(a) is amended to read:

01  (a) The Department of Environmental Conservation may adopt regulations that 02 prescribe reasonable fees, and establish procedures for the collection of the fees, to 03 cover the direct costs of the following services provided by the department: 04  (1) inspections, permit administration, plan review and approval, and 05 other related services provided under AS 03.05, AS 17.20, and AS 18.35; 06  (2) certificates of inspection for motor vehicles under AS 46.14.400 07 or 46.14.510 [AIR QUALITY PERMITS UNDER AS 46.03.140 AND 46.03.160]; 08  (3) hazardous waste permits under AS 46.03.299 and 46.03.302; 09  (4) plan approvals and permits for sewerage system and treatment 10 works and wastewater disposal systems, and plan approvals for drinking water systems, 11 under AS 46.03.720; 12  (5) oil discharge financial responsibility approvals under AS 46.04.040; 13  (6) oil discharge contingency plan approvals under AS 46.04.030; 14  (7) water and wastewater operator training under AS 46.30. 15 * Sec. 13. AS 44.46.025 is amended by adding a new subsection to read: 16  (c) The department may adopt regulations that prescribe reasonable fees to 17 cover the direct and indirect costs of air quality permit programs under AS 46.14 and 18 may establish procedures for the collection of those fees. 19 * Sec. 14. AS 44.62.330(a)(44) is amended to read: 20  (44) Department of Environmental Conservation, except to the extent 21 that AS 44.62.360 - 44.62.400 are inconsistent with the manner in which proceedings 22 are initiated under the provisions of AS 46.03 and AS 46.14; 23 * Sec. 15. AS 45.45.400(a) is amended to read: 24  (a) A person engaged in the business of selling used motor vehicles may not 25 transfer or assign the owner's title or interest in the used vehicle to a person who 26 resides in an area subject to a state-approved emission inspection [A 27 MUNICIPALITY THAT HAS AN AIR POLLUTION CONTROL] program 28 established under AS 46.14.400 or 46.14.510 [AS 46.03.210] and who intends to use 29 the vehicle in that area [MUNICIPALITY], unless the vehicle has a certificate of 30 compliance or noncompliance as required under the air pollution control requirements 31 applicable in that area [MUNICIPALITY].

01 * Sec. 16. AS 46.03.760(f) is amended to read: 02  (f) A person who violates or causes or permits to be violated a provision of 03 AS 46.03.250 - 46.03.314, AS 46.14, or a regulation, a lawful order of the department, 04 or a permit, approval, or acceptance, or term or condition of a permit, approval, or 05 acceptance issued under AS 46.03.250 - 46.03.314 or AS 46.14 is liable, in a civil 06 action, to the state for a sum to be assessed by the court of not less than $500 nor 07 more than $100,000 for the initial violation, nor more than $10,000 for each day after 08 that on which the violation continues, and that shall reflect, when applicable, 09  (1) reasonable compensation in the nature of liquidated damages for 10 any adverse environmental effects caused by the violation, that shall be determined by 11 the court according to the toxicity, degradability and dispersal characteristics of the 12 substance discharged, the sensitivity of the receiving environment, and the degree to 13 which the discharge degrades existing environmental quality; for a violation relating 14 to AS 46.14, the court, in making its determination under this paragraph, shall 15 also consider the degree to which the discharge causes harm to persons or 16 property; this paragraph may not be construed to limit the right of parties other 17 than the state to recover for personal injuries or damage to their property; 18  (2) reasonable costs incurred by the state in detection, investigation, and 19 attempted correction of the violation; 20  (3) the economic savings realized by the person in not complying with 21 the requirement for which a violation is charged; and 22  (4) the need for an enhanced civil penalty to deter future 23 noncompliance. 24 * Sec. 17. AS 46.03.765 is amended to read: 25  Sec. 46.03.765. INJUNCTIONS. The superior court has jurisdiction to enjoin 26 a violation of this chapter, AS 46.04, [OR] AS 46.09, AS 46.14, or of a regulation, a 27 lawful order of the department, or permit, approval, or acceptance, or term or condition 28 of a permit, approval, or acceptance issued under this chapter, AS 46.04, [OR] 29 AS 46.09, or AS 46.14. In actions brought under this section, temporary or 30 preliminary relief may be obtained upon a showing of an imminent threat of continued 31 violation, and probable success on the merits, without the necessity of demonstrating

01 physical irreparable harm. The balance of equities in actions under this section may 02 affect the timing of compliance, but not the necessity of compliance within a 03 reasonable period of time. 04 * Sec. 18. AS 46.03.780(a) is amended to read: 05  (a) A person who violates a provision of this chapter, AS 46.04, [OR] 06 AS 46.09, or AS 46.14, or who fails to perform a duty imposed by this chapter, 07 AS 46.04, [OR] AS 46.09, or AS 46.14, or violates or disregards an order, permit, or 08 other determination of the department made under the provisions of this chapter, 09 AS 46.04, [OR] AS 46.09, or AS 46.14, respectively, and thereby causes the death of 10 fish, animals, or vegetation or otherwise injures or degrades the environment of the 11 state is liable to the state for damages. 12 * Sec. 19. AS 46.03.790(a) is amended to read: 13  (a) Except as provided in (d) of this section, a person is guilty of a class A 14 misdemeanor if the person with criminal negligence 15  (1) violates a provision of this chapter, AS 46.04, [OR] AS 46.09, or 16 AS 46.14, a regulation or order of the department, or a permit, approval, or acceptance, 17 or a term or condition of a permit, approval, or acceptance issued under this chapter, 18 AS 46.04, [OR] AS 46.09, or AS 46.14; 19  (2) fails to provide information or provides false information required 20 by AS 46.03.755, AS 46.04, or AS 46.09, or by a regulation adopted by the 21 department under AS 46.03.755, AS 46.04, or AS 46.09; [OR] 22  (3) makes a false statement or representation in an application, label, 23 manifest, record, report, permit, or other document filed, maintained, or used for 24 purposes of compliance with AS 46.03.250 - 46.03.314 applicable to hazardous wastes 25 or a regulation adopted by the department under AS 46.03.250 - 46.03.314; 26  (4) makes a false statement, representation, or certification in an 27 application, notice, record, report, permit, or other document filed, maintained, 28 or used for purposes of compliance with AS 46.14 or a regulation adopted under 29 AS 46.14; or 30  (5) renders inaccurate a monitoring device or method required to 31 be maintained under AS 46.14, a regulation adopted under AS 46.14, or a permit

01 issued by the department or a local air quality control program under AS 46.14. 02 * Sec. 20. AS 46.03.790 is amended by adding a new subsection to read: 03  (h) Notwithstanding AS 12.55.035(b), upon conviction of a violation related 04 to AS 46.14 and described in (a) of this section, a defendant who is not an 05 organization may be sentenced to pay a fine of not more than $10,000 for each 06 separate violation. 07 * Sec. 21. AS 46.03.850(a) is amended to read: 08  (a) When, in the opinion of the department, a person is violating or is about 09 to violate a provision of this chapter, [OR] AS 46.04, or AS 46.14, or a regulation or 10 lawful order of the department, or a permit or certificate, or a term or condition of a 11 permit or certificate issued by the department under this chapter, [OR] AS 46.04, 12 AS 46.14, the department may notify the person of its determination by personal 13 service or certified mail. The determination and notice do not constitute an order under 14 AS 46.03.820. 15 * Sec. 22. AS 46.03.860 is amended to read: 16  Sec. 46.03.860. INSPECTION WARRANT. The department may seek search 17 warrants for the purpose of investigating actual or suspected sources of pollution or 18 contamination or to ascertain compliance or noncompliance with AS 46.14 or this 19 chapter or a regulation adopted under AS 46.14 or this chapter. 20 * Sec. 23. AS 46.03.875 is amended to read: 21  Sec. 46.03.875. REMEDIES CUMULATIVE. All remedies provided by this 22 chapter, [OR] AS 46.04, or AS 46.14 are cumulative, and the securing of relief, 23 whether injunctive, civil, or criminal, under a section of this chapter, [OR] AS 46.04, 24 or AS 46.14 does not stop the state from obtaining relief under any other section of 25 this chapter, [OR] AS 46.04, or AS 46.14. 26 * Sec. 24. AS 46.03.890(b) is amended to read: 27  (b) Inspection and enforcement employees of the department designated by the 28 commissioner are peace officers in the performance of their duties under this chapter, 29 AS 46.04, [AS 46.03, AND] AS 46.09, and AS 46.14. 30 * Sec. 25. AS 46.35.200(4)(A) is amended to read: 31  (A) emission control [AIR EMISSIONS] permit - AS 46.14

01 [AS 46.03.150], 18 AAC 50.120; 02 * Sec. 26. AS 46.35.200(8) is amended to read: 03  (8) "state agency" means a state department, commission, board or 04 other agency of the state; for the purposes of this chapter "state agency" also means 05 a local or regional air pollution control authority established under AS 46.14.400 06 [AS 46.03.210]. 07 * Sec. 27. AS 46.03.140, 46.03.150, 46.03.160, 46.03.170, 46.03.180, 46.03.190, 46.03.210, 08 46.03.220, 46.03.225, 46.03.230, and 46.03.245 are repealed. 09 * Sec. 28. AS 46.14.110, enacted by sec. 2 of this Act, is repealed on the day after the day 10 the federal administrator approves the state's program under 42 U.S.C. 7661a(d) (Clean Air 11 Act, sec. 502(d)). 12 * Sec. 29. COMPLIANCE ADVISORY PANEL; INITIAL TERMS. Notwithstanding 13 AS 46.14.320, added by sec. 2 of this Act, the terms of the initial members of the compliance 14 advisory panel shall be as follows: 15 (1) the terms of the members appointed under AS 46.14.320(b)(1) shall be one 16 year; 17 (2) the terms of the members appointed under AS 46.14.320(b)(3)(A) shall be 18 three years; 19 (3) the terms of the members appointed under AS 46.14.320(b)(3)(B) and (C) 20 shall be two years. 21 * Sec. 30. REGULATIONS. (a) The Department of Environmental Conservation may 22 adopt regulations as authorized by this Act, and other statutory authority, to implement 23 changes made by this Act. Regulations adopted under this section may not take effect until 24 the corresponding enabling statute takes effect under sec. 31 or sec. 32 of this Act. 25 (b) Notwithstanding AS 46.14.010 - 46.14.015, added by sec. 2 of this Act, and 26 notwithstanding any other provision of this Act, a regulation in effect on the effective date of 27 this section that regulates a facility, source, or air contaminant more strictly than required 28 under 42 U.S.C. 7401 - 7671q (Clean Air Act), as amended, or that regulates a facility, source, 29 or air contaminant that is not required to be regulated under 42 U.S.C. 7401 - 7671q (Clean 30 Air Act), as amended, remains in effect and may continue to be implemented and enforced 31 until amended or repealed by the Department of Environmental Conservation. In addition, the

01 department may repeal a regulation that is subject to this subsection and readopt its substance 02 in another regulation without complying with AS 46.14.010(b) - (d) or 46.14.015 if, upon 03 readoption, the regulation is neither more stringent nor applicable to more facilities, sources, 04 or air contaminants than it was before being readopted. In this subsection, "air contaminant," 05 "facility," and "source" have the meanings given in AS 46.14.990, added by sec. 2 of this 06 Act." 07 * Sec. 31. Sections 1, 3 - 30, and AS 46.14.010, 46.14.015, 46.14.020, 46.14.030, 08 46.14.110, 46.14.120(a) and (c) - (e), 46.14.130(a)(1) - (3) and (5), 46.14.140, 46.14.170, 09 46.14.180, 46.14.190, 46.14.200, 46.14.215, 46.14.255, 46.14.280, 46.14.300, 46.14.310, 10 46.14.320, 46.14.400, 46.14.410, 46.14.500, 46.14.510, 46.14.515, 46.14.520, 46.14.525. 11 46.14.530, 46.14.540, 46.14.550, 46.14.560, 46.14.900, and 46.14.990, enacted by sec. 2 of 12 this Act, take effect immediately under AS 01.10.070(c). 13 * Sec. 32. AS 46.14.120(b), 46.14.130(a)(4) and (b), 46.14.150, 46.14.160, 46.14.210, 14 46.14.220, 46.14.230, 46.14.235, 46.14.240, 46.14.250, 46.14.260, 46.14.270, 46.14.275, 15 46.14.285, and 46.14.290, enacted by sec. 2 of this Act, take effect on the day after the day 16 the federal administrator approves the state program under 42 U.S.C. 7661a(d) (Clean Air Act, 17 sec. 502(d)). The commissioner shall immediately notify the lieutenant governor and the 18 revisor of statutes of the day of the federal administrator's approval.