II 112th CONGRESS 1st Session S. 1833 IN THE SENATE OF THE UNITED STATES November 9, 2011 Mr. Manchin (for himself, Mr. Coats, Mr. Nelson of Nebraska, and Mr. Corker) introduced the following bill; which was read twice and referred to the Committee on Environment and Public Works A BILL To provide additional time for compliance with, and coordinating of, the compliance schedules for certain rules of the Environmental Protection Agency.

1.

Short title

This Act may be cited as the Fair Compliance Act of 2011.

2.

Definitions

In this Act: (1)

Administrator

The term Administrator means the Administrator of the Environmental Protection Agency. (2)

Affected owner or operator

The term affected owner or operator means an owner or operator of an electric utility steam generating unit that is subject to— (A)any emissions standard for hazardous air pollutants from electric utility steam generating units that the Administrator may promulgate based on the proposed rule entitled National Emission Standards for Hazardous Air Pollutants From Coal- and Oil-Fired Electric Utility Steam Generating Units and Standards of Performance for Fossil-Fuel-Fired Electric Utility, Industrial-Commercial-Institutional, and Small Industrial-Commercial-Institutional Steam Generating Units (76 Fed. Reg. 24976 (May 3, 2011)); or (B)the final rule entitled Federal Implementation Plans: Interstate Transport of Fine Particulate Matter and Ozone and Correction of SIP Approvals (76 Fed. Reg. 48208 (August 8, 2011)). (3)

Secretary

The term Secretary means the Secretary of Energy.

3.

Compliance period for utility MACT standards

(a)

Extension of compliance date

(1)

In general

Notwithstanding title I of the Clean Air Act (42 U.S.C. 7401 et seq.), the Administrator shall provide an extension, for the period described in paragraph (2), of the deadline to comply with any emissions standards for hazardous air pollutants from electric utility steam generating units that the Administrator may promulgate based on the proposed rule entitled National Emission Standards for Hazardous Air Pollutants From Coal- and Oil-Fired Electric Utility Steam Generating Units and Standards of Performance for Fossil-Fuel-Fired Electric Utility, Industrial-Commercial-Institutional, and Small Industrial-Commercial-Institutional Steam Generating Units (76 Fed. Reg. 24976 (May 3, 2011)). (2)

Description of extension period

The period referred to in paragraph (1) is a period of not less than an additional 2 years, as measured beginning on the final day of the applicable 3-year compliance period required under section 112(i)(3)(A) of the Clean Air Act (42 U.S.C. 7412(i)(3)(A)). (b)

Savings clause

Nothing in this section modifies, limits, or otherwise affects the authority to extend the compliance schedule for any emissions standards described in subsection (a)(1) pursuant to paragraph (3)(B) or (4) of section 112(i) of the Clean Air Act (42 U.S.C. 7412(i)).

4.

Compliance period for Cross-State Air Pollution Rule

(a)

Extension of compliance date

Notwithstanding title I of the Clean Air Act (42 U.S.C. 7401 et seq.), the Administrator shall— (1)provide adequate time for each State to adopt and submit plan revisions under section 110 of that Act (42 U.S.C. 7410) for the implementation of the emissions reductions of sulfur dioxide and nitrogen oxides from electric utility steam generating units required by the final rule entitled Federal Implementation Plans: Interstate Transport of Fine Particulate Matter and Ozone and Correction of SIP Approvals (76 Fed. Reg. 48208 (August 8, 2011)); and (2)extend the date by which each State shall implement the emissions reductions required by the rule described in paragraph (1) until not earlier than— (A)January 1, 2015, for first phase of the emissions reductions; and (B)January 1, 2017, for the second phase of the emissions reductions. (b)

Savings clause

Nothing in this section modifies the effective date, or otherwise modifies, limits, or affects the emissions reduction requirements, established by the rule described in subsection (a)(1).

5.

Expeditious implementation of emissions reductions

(a)

Implementation plan

(1)

Development

In accordance with subsection (b), each affected owner or operator shall develop a plan for the expeditious implementation of the applicable emissions reduction requirements specified in sections 3 and 4. (2)

Submission

Not later than December 1, 2012, each affected owner or operator shall submit to the Administrator and the Secretary the implementation plan developed under paragraph (1). (b)

Requirements

In developing an implementation plan under subsection (a)(1), an affected owner or operator shall— (1)include all electric utility steam generating units under the common control of the affected owner or operator; (2)designate the units within the plan that are scheduled for permanent retirement or continued operation through the planning period ending on December 31, 2018; (3)in accordance with subsection (c), provide a schedule that establishes— (A)in the case of each unit designated for permanent retirement under paragraph (2), the proposed date by which the unit will permanently cease all operations to generate electricity; and (B)in the case of each unit designated for continued operation under paragraph (2), the intermediate milestones and the final completion date for the implementation of the control measures that are necessary to achieve compliance with the applicable emissions reductions requirements specified in sections 3 and 4; and (4)in accordance with subsection (d), ensure that the implementation plan does not impair or threaten to impair the reliability of the local or regional electricity system. (c)

Elements of schedule

The schedule required under subsection (b)(3) shall contain each of the following elements: (1)In the case of each unit designated for retirement under subsection (b)(2), a proposed date for the permanent cessation of all operations to generate electricity in accordance with a schedule that— (A)is as expeditious as practicable; but (B)provides sufficient time for the implementation of any mitigation measures that may be necessary to ensure the reliability of the local or regional electricity system. (2)In the case of each unit designated for continued operation under subsection (b)(2)— (A)a description of the control measures that the affected owner or operator plans to implement in order to comply with the applicable emissions reduction requirements specified in sections 3 and 4; (B)intermediate milestones (which may include applying for permits and regulatory approvals, completing phases of the engineering design, placing orders for control equipment, commencing construction, and benchmarks for completion of major phases of construction) that the affected owner or operator plans to meet in order to ensure the expeditious implementation of each control measure identified under subparagraph (A); and (C)a proposed date for completion of each control measure identified under subparagraph (A). (d)

Procedures for ensuring electric reliability

(1)

Review of draft plan

(A)

In general

Not later than July 1, 2012, each affected owner or operator shall submit a draft implementation plan to the Electric Reliability Organization (as defined in section 215(a) of the Federal Power Act (16 U.S.C. 824o(a)) (referred to in this section as ERO). (B)

Scope of review

ERO, in consultation with appropriate regional reliability organizations, shall— (i)review each implementation plan submitted under subparagraph (A); (ii)assess— (I)the feasibility of the implementation of the combined plans for the region; and (II)the impacts of the combined schedules contained in those plans on the reliability and adequacy of the bulk power system; and (iii)recommend any revisions to the schedules contained in the implementation plans to provide adequate time for the implementation of any mitigation measures that may be necessary to ensure the reliability and adequacy of the bulk electric system. (2)

Modification of draft plan

(A)

Consultation

(i)

In general

ERO shall consult with each affected owner or operator that submits a draft implementation plan under paragraph (1)(A). (ii)

Revisions

Based on the consultation under clause (i), ERO and the affected owner or operator shall develop any revisions to the schedule contained in the draft plan of the affected owner or operator that may be necessary to address the recommendations developed by ERO during the review of the draft plan. (B)

Finalization of draft plan

The consultations under this paragraph shall be completed as expeditiously as practicable to facilitate timely submission of the plans in accordance with subsection (a)(2). (e)

Issuance and implementation of final plans

(1)

Publication

Not later than 60 days after the date of submission of a draft plan to ERO under subsection (d)(1)(A), the Secretary shall publish and submit to the Administrator the final implementation plan. (2)

Implementation

Not later than March 31, 2015, and annually thereafter through 2018, the Secretary shall submit to the Administrator an annual report that describes the progress made during the reporting period on the expeditious implementation of the necessary emissions control measures in a manner that ensures the reliability of the local and regional electricity systems. (f)

Annual reports

(1)

Requirement

Not later than December 1, 2014, and annually thereafter, each affected owner or operator that has submitted an implementation plan under subsection (a)(2) shall submit to the Administrator and the Secretary a report describing the progress made during the reporting period in implementing the plan, including— (A)all milestones achieved; and (B)(i)any deviations from the intermediate milestones established by the schedule contained in the plan; and (ii)all measures carried out to resume implementation according to that schedule. (2)

Adjustments to implementation plan

If an affected owner or operator determines that an adjustment to any retirement date or the final date for completion of any control measure is necessary, the affected owner or operator— (A)may submit to the Administrator and the Secretary a request for a modification of the schedule contained in the implementation plan; and (B)shall develop, review, and obtain approval of the modified schedule in the same manner as the initial implementation plan established under this section.