HOUSE BILL No. 5566

April 14, 2016, Introduced by Reps. LaVoy, Dianda, Love, LaGrand, Sarah Roberts, Irwin, Lane, Moss, Chirkun, Robinson, Geiss, Driskell, Darany, Kivela, Webber, Canfield, Potvin, Howell, Cochran, Plawecki, Neeley, Brunner, Garrett, Rutledge, Pagan, Heise, Phelps, Greimel, Chang, Singh, Kosowski and Zemke and referred to the Committee on Natural Resources.

 

      A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

by amending sections 11121, 11123, and 11125 (MCL 324.11121,

 

324.11123, and 324.11125), sections 11121 and 11125 as amended by

 

2010 PA 357 and section 11123 as amended by 2014 PA 254.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

 1        Sec. 11121. (1) A local ordinance, including, but not limited

 

 2  to, a local permit requirement , or other requirement, does not

 

 3  shall not be construed to prohibit the construction of a treatment,

 

 4  storage, or disposal facility. , except as otherwise provided in

 

 5  section 11123.

 

 6        (2) Subsection (1) is subject to section 11123.

 

 7        Sec. 11123. (1) Unless a person is complying with subsection

 

 8  (8) or a rule promulgated under section 11127(4), a person shall

 


 1  not establish, construct, conduct, manage, maintain, or operate a

 

 2  treatment, storage, or disposal facility within this state without

 

 3  an operating license from the department.

 

 4        (2) An application for an operating license for a proposed

 

 5  treatment, storage, or disposal facility or the expansion,

 

 6  enlargement, or alteration of a treatment, storage, or disposal

 

 7  facility beyond its original authorized design capacity or beyond

 

 8  the area specified in an existing operating license, original

 

 9  construction permit, or other authorization shall be submitted on a

 

10  form provided by the department and contain all of the following:

 

11        (a) The name and residence of the applicant.

 

12        (b) The location of the proposed treatment, storage, or

 

13  disposal facility project.

 

14        (c) A copy of an actual published notice that the applicant

 

15  published at least 30 days before submittal of the application in a

 

16  newspaper having major circulation in the municipality and the

 

17  immediate vicinity of the proposed treatment, storage, or disposal

 

18  facility project. The notice shall contain a map indicating the

 

19  location of the proposed treatment, storage, or disposal facility

 

20  project and information on the nature and size of the proposed

 

21  facility. In addition, as provided by the department, the notice

 

22  shall contain a description of the application review process, the

 

23  location where the complete application may be reviewed, and an

 

24  explanation of how copies of the complete application may be

 

25  obtained.

 

26        (d) A written summary of the comments received at the public

 

27  preapplication meeting required by rule and the applicant's


 1  response to the comments, including any revisions to the

 

 2  application.

 

 3        (e) A determination of existing hydrogeological

 

 4  characteristics specified in a hydrogeological report and

 

 5  monitoring program consistent with rules promulgated under this

 

 6  part.

 

 7        (f) An environmental assessment. The environmental assessment

 

 8  shall include, at a minimum, an evaluation of the proposed

 

 9  facility's impact on the air, water, and other natural resources of

 

10  this state, and also shall contain an environmental failure mode

 

11  assessment.

 

12        (g) The procedures for closure and postclosure monitoring.

 

13        (h) An engineering plan.

 

14        (i) Other information specified by rule or by federal

 

15  regulation issued under the solid waste disposal act.

 

16        (j) An application fee. The application fee shall be deposited

 

17  in the environmental pollution prevention fund created in section

 

18  11130. Pursuant to procedures established by rule, the application

 

19  fee shall be is $25,000.00 plus all of the following, as

 

20  applicable:

 

 

21        (i)    For a landfill, surface impoundment,

22              land treatment, or waste pile

23              facility................................. $ 9,000.00

24        (ii)    For an incinerator or treatment

25              facility other than a treatment facility

26              described in subparagraph (i)............. $ 7,200.00

27        (iii)   For a storage facility, other than


 1              storage that is associated with

 2              treatment or disposal activities that

 3              may be regulated under a single license.. $   500.00

 

 

 4        (k) Except as otherwise provided in this subdivision, a

 

 5  disclosure statement that includes all of the following:

 

 6        (i) The full name and business address of all of the

 

 7  following:

 

 8        (A) The applicant.

 

 9        (B) The 5 persons holding the largest shares of the equity in

 

10  or debt liability of the proposed facility. The department may

 

11  waive all or any portion of this requirement for an applicant that

 

12  is a corporation with publicly traded stock.

 

13        (C) The operator. If a waiver is obtained under sub-

 

14  subparagraph (B), detailed information regarding the proposed

 

15  operator shall be included in the disclosure statement.

 

16        (D) If known, the 3 employees of the operator who will have

 

17  the most responsibility for the day-to-day operation of the

 

18  facility, including their previous experience with other hazardous

 

19  waste treatment, storage, or disposal facilities.

 

20        (E) Any other partnership, corporation, association, or other

 

21  legal entity if any person required to be listed under sub-

 

22  subparagraphs (A) to (D) has at any time had 25% or more of the

 

23  equity in or debt liability of that legal entity. The department

 

24  may waive all or any portion of this requirement for an applicant

 

25  that is a corporation with publicly traded stock.

 

26        (ii) For each person required to be listed under this

 

27  subdivision, a list of all convictions for criminal violations of


 1  any statute enacted by a federal, state, Canadian, or Canadian

 

 2  provincial agency if the statute is an environmental statute, if

 

 3  the violation was a misdemeanor committed in furtherance of

 

 4  obtaining an operating license under this part not more than 5

 

 5  years before the application is filed, or if the violation was a

 

 6  felony committed in furtherance of obtaining an operating license

 

 7  under this part not more than 10 years before the application is

 

 8  filed. If debt liability is held by a chartered lending

 

 9  institution, information required in this subparagraph and

 

10  subparagraphs (iii) and (iv) is not required from that institution.

 

11  The department shall submit to the legislature a report on the 2014

 

12  act that 2014 PA 254, which amended this subparagraph, including

 

13  the number of permits denied as a result of that act and whether

 

14  this subparagraph should be further amended. The report shall cover

 

15  the 5-year period after the effective date of that act June 30,

 

16  2014 and shall be submitted within 60 days after the expiration of

 

17  that 5-year period. by August 29, 2019. The report may be submitted

 

18  electronically.

 

19        (iii) A list of all environmental permits or licenses issued

 

20  by a federal, state, local, Canadian, or Canadian provincial agency

 

21  held by each person required to be listed under this subdivision

 

22  that were permanently revoked because of noncompliance.

 

23        (iv) A list of all activities at property owned or operated by

 

24  each person required to be listed under this subdivision that

 

25  resulted in a threat or potential threat to the environment and for

 

26  which public funds were used to finance an activity to mitigate the

 

27  threat or potential threat to the environment, except if the public


 1  funds expended to facilitate the mitigation of environmental

 

 2  contamination were voluntarily and expeditiously recovered from the

 

 3  applicant or other listed person without litigation.

 

 4        (l) A demonstration that the applicant has considered each of

 

 5  the following:

 

 6        (i) The risk and impact of accident during the transportation

 

 7  of hazardous waste to the treatment, storage, or disposal facility.

 

 8        (ii) The risk and impact of fires or explosions from improper

 

 9  treatment, storage, and disposal methods at the treatment, storage,

 

10  or disposal facility.

 

11        (iii) The impact on the municipality where the proposed

 

12  treatment, storage, or disposal facility is to be located in terms

 

13  of health, safety, cost, and consistency with local planning and

 

14  existing development, including proximity to housing, schools, and

 

15  public facilities.

 

16        (iv) The nature of the probable environmental impact,

 

17  including the specification of the predictable adverse effects on

 

18  each of the following:

 

19        (A) The natural environment and ecology.

 

20        (B) Public health and safety.

 

21        (C) Scenic, historic, cultural, and recreational values.

 

22        (D) Water and air quality and wildlife.

 

23        (m) A summary of measures evaluated to mitigate the impacts

 

24  identified in subdivision (l) and a detailed description of the

 

25  measures to be implemented by the applicant.

 

26        (n) A schedule for submittal of all of the following

 

27  postconstruction documentation:


 1        (i) Any changes in, or additions to, the previously submitted

 

 2  disclosure information, or a certification that the disclosure

 

 3  listings previously submitted continue to be correct, following

 

 4  completion of construction of the treatment, storage, or disposal

 

 5  facility.

 

 6        (ii) A certification under the seal of a licensed professional

 

 7  engineer verifying that the construction of the treatment, storage,

 

 8  or disposal facility has proceeded according to the plans approved

 

 9  by the department and, if applicable, the approved construction

 

10  permit, including as-built plans.

 

11        (iii) A certification of the treatment, storage, or disposal

 

12  facility's capability of treating, storing, or disposing of

 

13  hazardous waste in compliance with this part.

 

14        (iv) Proof of financial assurance as required by rule.

 

15        (o) For a facility that includes an injection well, a

 

16  resolution or other formal determination of the governing body of

 

17  each municipality and the county in which the facility would be

 

18  located indicating that the facility is compatible with any zoning

 

19  ordinance and other applicable ordinances of that municipality or

 

20  county, respectively. However, in the absence of a resolution or

 

21  other formal determination, the application shall include a copy of

 

22  a registered letter sent to each municipality and the county in

 

23  which the facility would be located at least 60 days before the

 

24  application submittal, indicating the intent to construct a

 

25  facility that includes an injection well, and requesting a formal

 

26  determination on whether the proposed facility is compatible with

 

27  any zoning ordinance and other applicable ordinances of that


 1  municipality or county, if any, in effect on the date the letter is

 

 2  received, and indicating that failure to pass a resolution or make

 

 3  a formal determination within 60 days of receipt of the letter

 

 4  means that the proposed facility is to be considered compatible

 

 5  with any zoning ordinance and other applicable ordinances of that

 

 6  municipality or county. If, within 60 days of receiving a

 

 7  registered letter, a municipality or county does not make a formal

 

 8  determination as described in this subdivision, the facility is

 

 9  considered compatible with any zoning ordinance and other

 

10  applicable ordinances of that municipality or county, and

 

11  incompatibility with a zoning ordinance of that municipality or

 

12  county is not a basis for the department to deny the license.

 

13        (3) If any information required to be included in the

 

14  disclosure statement under subsection (2)(k) changes or is

 

15  supplemented after the filing of the statement, the applicant or

 

16  licensee shall provide that information to the department in

 

17  writing not later than 30 days after the change or addition.

 

18        (4) Notwithstanding any other provision of law, the department

 

19  may deny an application for an operating license if there are any

 

20  listings pursuant to subsection (2)(k)(ii), (iii), or (iv) as

 

21  originally disclosed or as supplemented.

 

22        (5) The application for an operating license for a proposed

 

23  limited storage facility, which is subject to the requirements

 

24  pertaining to storage facilities, shall be submitted on a form

 

25  provided by the department and contain all of the following:

 

26        (a) The name and residence of the applicant.

 

27        (b) The location of the proposed facility.


 1        (c) A determination of existing hydrogeological

 

 2  characteristics specified in a hydrogeological report and

 

 3  monitoring program consistent with rules promulgated under this

 

 4  part.

 

 5        (d) An environmental assessment. The environmental assessment

 

 6  shall include, at a minimum, an evaluation of the proposed

 

 7  facility's impact on the air, water, and other natural resources of

 

 8  this state, and also shall contain an environmental failure mode

 

 9  assessment.

 

10        (e) The procedures for closure.

 

11        (f) An engineering plan.

 

12        (g) Proof of financial responsibility.

 

13        (h) A resolution or other formal determination of the

 

14  governing body of each municipality in which the proposed limited

 

15  storage facility would be located indicating that the limited

 

16  storage facility is compatible with the zoning ordinance of that

 

17  municipality, if any. However, in the absence of a resolution or

 

18  other formal determination, the application shall include a copy of

 

19  a registered letter sent to the municipality at least 60 days

 

20  before the application submittal, indicating the intent to

 

21  construct a limited storage facility, and requesting a formal

 

22  determination on whether the proposed facility is compatible with

 

23  the zoning ordinance of that municipality, if any, in effect on the

 

24  date the letter is received, and indicating that failure to pass a

 

25  resolution or make a formal determination within 60 days of receipt

 

26  of the letter means that the proposed facility is to be considered

 

27  compatible with any applicable zoning ordinance. If, within 60 days


 1  of receiving a registered letter, a municipality does not make a

 

 2  formal determination concerning whether a proposed limited storage

 

 3  facility is compatible with a zoning ordinance of that municipality

 

 4  as in effect on the date the letter is received, as described in

 

 5  this subdivision, the limited storage facility is considered

 

 6  compatible with any zoning ordinance of that municipality, and

 

 7  incompatibility with a zoning ordinance of that municipality is not

 

 8  a basis for the department to deny the license.

 

 9        (i) An application fee of $500.00. The application fee shall

 

10  be deposited in the environmental pollution prevention fund created

 

11  in section 11130.

 

12        (j) Other information specified by rule or by federal

 

13  regulation issued under the solid waste disposal act.

 

14        (6) The application for an operating license for a treatment,

 

15  storage, or disposal facility other than a facility identified in

 

16  subsection (2) or (5) shall be made on a form provided by the

 

17  department and include all of the following:

 

18        (a) The name and residence of the applicant.

 

19        (b) The location of the existing treatment, storage, or

 

20  disposal facility.

 

21        (c) Other information considered necessary by the department

 

22  or specified in this section, by rule, or by federal regulation

 

23  issued under the solid waste disposal act.

 

24        (d) Proof of financial responsibility. An applicant for an

 

25  operating license for a treatment, storage, or disposal facility

 

26  that is a surface impoundment, landfill, or land treatment facility

 

27  shall demonstrate financial responsibility for claims arising from


 1  nonsudden and accidental occurrences relating to the operation of

 

 2  the facility that cause injury to persons or property.

 

 3        (e) A fee of $500.00. The fee shall be deposited in the

 

 4  environmental pollution prevention fund created in section 11130.

 

 5        (7) The department shall establish a schedule for requiring

 

 6  each person subject to subsection (8) to submit an operating

 

 7  license application. The department may adjust this schedule as

 

 8  necessary. Each person subject to subsection (8) shall submit a

 

 9  complete operating license application within 180 days of the date

 

10  requested to do so by the department.

 

11        (8) A person who owns or operates a treatment, storage, or

 

12  disposal facility that is in existence on the effective date of an

 

13  amendment of this part or of a rule promulgated under this part

 

14  that renders all or portions of the facility subject to the

 

15  operating license requirements of this section may continue to

 

16  operate the facility or portions of the facility that are subject

 

17  to the operating license requirements until an operating license

 

18  application is approved or denied if all of the following

 

19  conditions have been met:

 

20        (a) A complete operating license application is submitted

 

21  within 180 days of the date requested by the department under

 

22  subsection (7).

 

23        (b) The person is in compliance with all rules promulgated

 

24  under this part and with all other state laws.

 

25        (c) The person qualifies for interim status as defined in the

 

26  solid waste disposal act, is in compliance with interim status

 

27  standards established by federal regulation under subtitle C of the


 1  solid waste disposal act, 42 USC 6921 to 6939e, 6939g, and has not

 

 2  had interim status terminated.

 

 3        (9) A person may request to be placed on a department-

 

 4  organized mailing list to be kept informed of any rules, plans,

 

 5  operating license applications, contested case hearings, public

 

 6  hearings, or other information or procedures relating to the

 

 7  administration of this part. The department may charge a fee to

 

 8  cover the cost of the materials.

 

 9        Sec. 11125. (1) Upon receipt of an operating license

 

10  application that complies with the requirements of section

 

11  11123(2), the department shall do all of the following:

 

12        (a) Notify the municipality and county in which the treatment,

 

13  storage, or disposal facility is located or proposed to be located;

 

14  a local soil erosion and sedimentation control agency appointed the

 

15  county enforcing agency or municipal enforcing agency designated

 

16  pursuant to part 91; each division within the department that has

 

17  responsibility in land, air, or water management; a regional

 

18  planning agency established by executive directive of the governor;

 

19  and other appropriate agencies. The notice shall describe the

 

20  procedure by which the license may be approved or denied.

 

21        (b) Review the plans of the proposed treatment, storage, or

 

22  disposal facility to determine if the proposed operation complies

 

23  with this part and the rules promulgated under this part. The

 

24  review shall be made within the department. The review shall

 

25  include, but need not be limited to, a review of air quality, water

 

26  quality, waste management, hydrogeology, and the applicant's

 

27  disclosure statement. A written and signed review by each person


 1  within the department reviewing the application and plans shall be

 

 2  received and filed in the department's license application records

 

 3  before an operating license is issued or denied by the department.

 

 4        (c) Integrate the relevant provisions of all permits that the

 

 5  applicant is required to obtain from the department to construct

 

 6  the proposed treatment, storage, or disposal facility into the

 

 7  operating license required by this part.

 

 8        (d) Consider the mitigation measures proposed to be

 

 9  implemented as identified in section 11123(2)(m).

 

10        (e) Hold a public hearing not more than 60 days after receipt

 

11  of the application.

 

12        (2) The department may establish operating license conditions

 

13  specifically applicable to the treatment, storage, or disposal

 

14  facility and operation at that site to mitigate adverse impacts.

 

15        (3) The department shall provide notice and an opportunity for

 

16  a public hearing before making a final decision on an operating

 

17  license application.

 

18        (4) The department shall make a final decision on an operating

 

19  license application within 140 days after the department receives a

 

20  complete application. However, if the this state's hazardous waste

 

21  management program is authorized by the United States environmental

 

22  protection agency Environmental Protection Agency under section

 

23  3006 of subtitle C of the solid waste disposal act, 42 USC 6926,

 

24  the department may extend the deadline beyond the limitation

 

25  provided in this section in order to fulfill the public

 

26  participation requirements of the solid waste disposal act. The

 

27  operating license may contain stipulations specifically applicable


 1  to site and operation.

 

 2        (5) A local ordinance, permit, or other requirement shall not

 

 3  prohibit the operation of a licensed treatment, storage, or

 

 4  disposal facility. This subsection does not apply to an ordinance,

 

 5  permit requirement, or other requirement of a municipality or

 

 6  county as it pertains to an injection well.

 

 7        (6) If any information required to be included in the

 

 8  disclosure statement required under section 11123 changes or is

 

 9  supplemented after the filing of the statement, the applicant or

 

10  licensee shall provide that information to the department in

 

11  writing within 30 days after the change or addition.

 

12        (7) The department may deny an operating license application

 

13  submitted pursuant to section 11123 if any information described in

 

14  section 11123(2)(k)(ii) to (iv) was not disclosed as required in

 

15  section 11123(2) or this section.

 

16        (8) The department shall provide notice of the final decision

 

17  to persons on the organized mailing list for the facility.

 

18        (9) Following the construction of a new, expanded, enlarged,

 

19  or altered treatment, storage, or disposal facility, the department

 

20  shall review all information required to be submitted by the

 

21  operating license. If the department finds that the owner or

 

22  operator has deviated from the specific conditions established in

 

23  the operating license, the department shall determine if cause

 

24  exists for modification or revocation of the operating license, in

 

25  accordance with provisions established by rule. At a minimum, the

 

26  postconstruction documentation shall include all of the following:

 

27        (a) Updated disclosure information or a certification as


 1  described in section 11123(2)(n)(i).

 

 2        (b) A certification of construction as described in section

 

 3  11123(2)(n)(ii). The department shall require additional

 

 4  certification periodically during the operation or in order to

 

 5  verify proper closure of the site.

 

 6        (c) A certification of capability signed and sealed by a

 

 7  licensed professional engineer as described in section

 

 8  11123(2)(n)(iii).

 

 9        (d) Information regarding any deviations from the specific

 

10  conditions in the operating license.

 

11        (e) Proof of financial responsibility.

 

12        Enacting section 1. This amendatory act takes effect 90 days

 

13  after the date it is enacted into law.