Legislature(1993 - 1994)
04/28/1993 02:30 PM Senate JUD
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
SENATOR TAYLOR brought CSHB 167(FIN) (AIR QUALITY CONTROL PROGRAM) before the committee as the first order of business. Number 020 REPRESENTATIVE MARK HANLEY, prime sponsor of HB 167, explained that the Federal Clean Air Act requires that either the State of Alaska have a federally approved air quality program in place by November 15, 1993, or the federal government will step in and run the program for the state, as well as deduct a substantial amount of federal highway funds if the state doesn't take it over. He believes it is better for the Alaska's industry and its people to have the state run the program. Representative Hanley pointed out that the fiscal notes submitted by the Department of Environmental Conservation are substantially less than what the Environmental Protection Agency suggested it would cost to run the program. He added that the federal government requires industry that is regulated by the program to pay the entire cost of the program. Representative Hanley said the legislation has had extensive work in the House and he believes that most of the concerns expressed in their hearings have been addressed. EPA believes that it meets the requirements that they feel have to be met to have an approvable law and the Department of Environmental Conservation is comfortable at this point with the law the way it stands. Representative Hanley noted that one section in the bill that has generated a lot of discussion provides that if the department wants to go beyond a federal standard, or, if they want to adopt a standard for which there is no federal standard, they have to go through a number of steps. Number 100 SENATOR JACKO moved that SCS CSHB 167(JUD) be adopted. SENATOR LITTLE objected and asked for an explanation on the differences between the Senate version and the House version. SENATOR MIKE MILLER said most of the changes made in the Senate CS are technical changes and one change that he would consider a policy change. He then outlined the following changes made to the House version of the bill: On page 18, beginning on line 21, the section relates to penalty and interest for nonpayment. In the House version it was set at 5 percent per month for a maximum of 25 percent. The Senate version changes that to prime rate plus 2 percent. On page 3, line 2, it requires the department to use the .010 and .015 process in order to adopt emission limitations for federally exempt sources, new sources, or new facilities. In the House version .010 allowed the department to establish such emissions without using the .010 and .015 process. On page 6, lines 30 & 31 and page 7, line 6, statute references were added as technical amendments. On page 14, beginning on line 19, subsection (c) was deleted. On page 21, line 22, "amendment and modification" was deleted and replaced with "expedited authorization" to provide internal consistency in the language. On page 26, line 10, the word "warrant" was deleted and the phrase "provide a reasonable basis to regulate the source" was inserted as a technical amendment to clarify the intent of the word "warrant" and to create consistency within the bill. On page 25, line 31, a new paragraph (b) was added to provide clarification regarding a local program use of .010 and .015 procedures. On page 26, line 11, the words "excluding watercraft" was added to clarify that the term "mobile source" does not include watercraft. On page 31, line 26, the word "on-site" was deleted because the term is unnecessarily restrictive because many emergencies have off-site causes. Senator Miller noted that a further amendment relating to the definition of "facility" would also be needed. Number 240 SENATOR TAYLOR asked if there were any further objections to the adoption of SCS CSHB 167(JUD). Hearing none, he stated SCS CSHB 167(JUD) was adopted. SENATOR TAYLOR then moved the following amendment to page 4, line 9: After "(b)" delete "If requested by an owner or operator whose facility would be affected by a regulation described in AS 46.14.010(b)" and capitalize "t." MARY NORDALE, representing the Alaska Forest Association, stated their support for the amendment. Without the requirement, there would be no independent peer review on regulations proposed by the department that would impose more stringent standards or limitations, and this would have a most detrimental effect on small businesses. Ms. Nordale said that DEC has indicated that in the last 20 years it has sought to exceed federal standards on only two occasions. DEC has also indicated that it is unlikely that regulations imposing more stringent standards will be adopted in the near future. Number 325 SENATOR JACKO moved the adoption of the amendment to page 4, line 9 of SCS CSHB 167(JUD). Hearing no objection, the Chair stated the amendment was adopted. Number 330 ROBERT REGES, Assistant Attorney General, Department of Law, said a consortium of individuals had worked for several days to try to clarify the definition of "facility" and they were proposing the following amendment: Page 33, line 4: After the word "unloading" delete the words "that is required to be regulated under" and insert the words ", consistent with." Page 33, line 6: after the words "those sections;" delete "a facility regulated under this provision may be regulated by the department only to the extent required under 42 U.S.C. 7401 - 767 1q (Clean Air Act);" Mr. Reges said the amendment would make three things unequivocally clear: (1) When and if DEC goes to regulate emissions from vessels, it will do so consistent with the law and interpretations of that law; (2) If and when the department goes to regulate vessel emissions, it would be done by regulation and not permit; and (3) It would codify that adoption would proceed through the .010 and .015 process. Number 362 SENATOR TAYLOR asked if the amendment was intended to primarily impact vessels loading fuel and cargos at Valdez. ROBERT REGES answered that Valdez would be one of the facilities that would be affected. Number 380 SENATOR HALFORD moved adoption of the amendment as outlined by Mr. Reges to page 33, lines 4 & 6 to SCS CSHB 167(JUD). Hearing no objection, the Chair stated the amendment was adopted. SENATOR HALFORD moved that SCS CSHB 167(JUD), as amended, be passed out of committee with individual recommendations. SENATOR LITTLE objected. SENATOR LITTLE then moved the following amendment to page 13, lines 10 & 11: delete "private, substantive." There was objection stated to the amendment and the roll was taken with the following result: Senator Little voted "Yea" and Senators Halford, Jacko and Taylor voted "Nay." The Chair stated the motion failed. SENATOR HALFORD renewed his motion to move SCS CSHB 167(JUD) out of committee with individual recommendations. Hearing no further objection, the motion carried.
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