EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb0649* HOUSE BILL 649 M3 2lr1564 CF SB 492 By: Delegates Love, Boyce, Guyton, Lehman, Ruth, Stein, and Stewart Introduced and read first time: January 31, 2022 Assigned to: Environment and Transportation A BILL ENTITLED AN ACT concerning 1 Environment – Discharge Permits – Inspections and Administrative 2 Continuations 3 FOR the purpose of limiting the period of time for which the Department of the 4 Environment may administratively continue certain water pollution discharge 5 permits; establishing inspection and reporting requirements for certain permit 6 holders; establishing administrative penalties for certain permit holders determined 7 to be in significant noncompliance of certain State or federal water quality 8 standards, effluent limitations, or other requirements; requiring the Department to 9 clear a certain backlog of administratively continued permits on or before a certain 10 date; and generally relating to water pollution discharge permits. 11 BY repealing and reenacting, with amendments, 12 Article – Environment 13 Section 9–328 14 Annotated Code of Maryland 15 (2014 Replacement Volume and 2021 Supplement) 16 BY adding to 17 Article – Environment 18 Section 9–328.1 19 Annotated Code of Maryland 20 (2014 Replacement Volume and 2021 Supplement) 21 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 22 That the Laws of Maryland read as follows: 23 Article – Environment 24 9–328. 25 2 HOUSE BILL 649 (a) (1) Unless it is renewed for another term, a discharge permit expires on 1 the expiration date the Department sets at issuance or renewal. 2 (2) The Department may not issue a discharge permit for a term longer 3 than 5 years. 4 (b) Before a discharge permit expires, the Department may renew the discharge 5 permit for another term: 6 (1) After administrative review in accordance with the rules and 7 regulations that the Department adopts; 8 (2) After notice and opportunity for public hearing on the subject; 9 (3) On the condition that the discharge meets or will meet: 10 (i) Any applicable State or federal water quality standards or 11 effluent limitations; and 12 (ii) Any applicable requirement of this subtitle; and 13 (4) If the permit holder pays all application and permit fees assessed by the 14 Department under this subtitle. 15 (c) (1) ON OR AFTER JULY 1, 2022, THE DEPARTMENT MAY NOT 16 ADMINISTRATIVELY CON TINUE A DISCHARGE PE RMIT FOR A PERIOD LONGER THAN 17 3 YEARS. 18 (2) ON OR AFTER JANUARY 1, 2027, THE DEPARTMENT MAY NOT 19 ADMINISTRATIVELY CON TINUE A DISCHARG E PERMIT FOR A PERIOD LONGER THAN 20 1 YEAR. 21 (D) Administrative review proceedings under this section shall be completed at 22 least 60 days before the expiration date of the permit. 23 9–328.1. 24 (A) IN THIS SECTION, “ADMINISTRATIVELY CON TINUED PERMIT ” MEANS A 25 DISCHARGE PERMIT THA T HAS BEEN ADMINISTR ATIVELY CONTINUED UN DER 26 DEPARTMENT REGULATION S IN ACCORDANCE WITH 40 C.F.R. § 122.6(D). 27 (B) TO ENSURE COMPLIANCE WITH THE TERMS OF A DISCHARGE PERMIT , 28 AT LEAST ONCE PER MONTH THE DEPARTMENT SHALL INSP ECT THE OPERATIONS 29 OF: 30 HOUSE BILL 649 3 (1) EACH PERMIT HOLDER OPERATING UNDER AN 1 ADMINISTRATIVELY CON TINUED PERMIT ; AND 2 (2) EACH PERMIT HOLDER THAT THE DEPARTMENT HAS 3 DETERMINED TO BE IN SIGNIFICANT NONCOMPL IANCE OF AN APPLICABLE STATE 4 OR FEDERAL WATER QUA LITY STANDARD , EFFLUENT LIMITATION , OR OTHER 5 APPLICABLE REQUIREMENT OF THE DEPARTMENT OR THE U.S. ENVIRONMENTAL 6 PROTECTION AGENCY. 7 (C) (1) THIS SUBSECTION APPLI ES TO A PERMIT HOLDER THAT : 8 (I) IS DETERMINED BY THE DEPARTMENT TO BE IN 9 SIGNIFICANT NONCOMPL IANCE OF AN APPLICABLE STATE OR FEDERAL WATE R 10 QUALITY STANDARD , EFFLUENT LIMITATION , OR OTHER APPLICABLE 11 REQUIREMENT OF THE DEPARTMENT OR THE U.S. ENVIRONMENTAL PROTECTION 12 AGENCY TWO OR MORE TIME S IN A YEAR; 13 (II) REPORTS EXCEEDING EFFLUENT LIMITATIONS FOR TWO OR 14 MORE PARAMETERS REQUIRED TO BE MONIT ORED UNDER THE DISCH ARGE PERMIT; 15 OR 16 (III) REPORTS EXCEEDING , BY 200% OR MORE, EFFLUENT 17 LIMITATIONS FOR ANY SINGLE PARAMETER REQUIRED T O BE MONITORED UNDER 18 THE DISCHARGE PERMIT . 19 (2) THE DEPARTMENT SHALL REQU IRE A PERMIT HOLDER 20 SPECIFIED UNDER PARA GRAPH (1) OF THIS SUBSECTION T O SUBMIT A WRITTEN 21 REPORT TO THE DEPARTMENT DETAILING : 22 (I) HOW VIOLATIONS REPORT ED BY THE PERMIT HOLDER OR 23 NOTED BY THE DEPARTMENT WILL BE ADDRESSED ; AND 24 (II) THE TIMELINE FOR ADDR ESSING THE VIOLATION S. 25 (D) (1) IF A PERMIT HOLDER REMAINS IN SIGNIFICA NT NONCOMPLIANCE 26 FOR THE SAME UNDERLY ING CONDITION AFTER 2 CONSECUTIVE MONTHS O F 27 INSPECTIONS CONDUCTE D UNDER SUBSECTION (B)(2) OF THIS SECTION , THE 28 PERMIT HOLDER SHALL BE SUBJECT TO AN ADMINISTRATIVE PE NALTY OF: 29 (I) FOR A PERMIT HO LDER CLASSIFIED BY THE DEPARTMENT 30 AS A MINOR FACILITY : 31 4 HOUSE BILL 649 1. $250 WHEN THE CONDITION I S OBSERVED ON THE 1 THIRD CONSECUTIVE IN SPECTION; 2 2. $500 WHEN THE CONDITION I S OBSERVED ON THE 3 FOURTH CONSECUTIVE I NSPECTION; AND 4 3. $2,500 WHEN THE CONDITION IS OBSERVED ON THE 5 FIFTH CONSECUTIVE IN SPECTION OR ANY SUBS EQUENT CONSECUTIVE I NSPECTION; 6 AND 7 (II) FOR A PERMIT HOLDER CLASSIFIED BY THE DEPARTMENT 8 AS A MAJOR FACILITY : 9 1. $1,000 WHEN THE CONDITION I S OBSERVED ON THE 10 THIRD CONSECUTIVE IN SPECTION; 11 2. $5,000 WHEN THE CONDITION I S OBSERVED ON THE 12 FOURTH CONSECUTIVE I NSPECTION; AND 13 3. $10,000 WHEN THE CONDITION I S OBSERVED ON THE 14 FIFTH CONSECUTIVE IN SPECTION OR ANY SUBS EQUENT CONSECUTIVE I NSPECTION. 15 (2) THE PENALTIES PROVIDE D UNDER THIS SUBSECT ION ARE IN 16 ADDITION TO ANY OTHE R CIVIL OR CRIMINAL PENALTIES PROVIDED U NDER THIS 17 SUBTITLE. 18 SECTION 2. AND BE IT FURTHER ENACTED, That: 19 (a) In this section, “Department” means the Department of the Environment. 20 (b) Subject to subsection (c) of this section, this Act shall be interpreted to apply 21 only prospectively to discharge permits issued, renewed, or administratively continued on 22 or after the effective date of this Act. 23 (c) On or before December 31, 2026, the Department shall clear the backlog of 24 administratively continued discharge permits existing on the effective date of this Act. 25 (d) (1) On or before December 31, 2023, the Department shall report to the 26 Governor and, in accordance with § 2–1257 of the State Government Article, the General 27 Assembly on the number of additional employees necessary to: 28 (i) clear the backlog of administratively continued discharge 29 permits, as required by subsection (c) of this section; and 30 HOUSE BILL 649 5 (ii) process discharge permit renewals in a timely manner, as 1 required by § 9–328(c) of the Environment Article, as enacted by Section 1 of this Act. 2 (2) The Department shall request: 3 (i) on or before December 31, 2024, Position Identification Numbers 4 (PINs) for at least half of the additional employees identified in the report required under 5 paragraph (1) of this subsection; and 6 (ii) on or before December 31, 2025, PINs for the full number of 7 additional employees identified in the report required under paragraph (1) of this 8 subsection. 9 (e) On or before December 31, 2025, the Department shall report to the Governor 10 and, in accordance with § 2–1257 of the State Government Article, the General Assembly 11 on the progress toward meeting the requirements of this section. 12 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 13 1, 2022. 14