SENATE, No. 2011

 

STATE OF NEW JERSEY

 

INTRODUCED APRIL 17, 1997

 

 

By Senator SINAGRA

 

 

An Act concerning the pollution prevention program, amending P.L.1983, c. 315, and amending and supplementing P.L.1991, c. 235.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. Section 3 of P.L.1991, c.235 (C.13:1D-37) is amended to read as follows:

    3. As used in this act:

    "Board" means the Pollution Prevention Advisory Board established pursuant to section 5 of this act.

    "Commissioner" means the Commissioner of the Department of Environmental Protection.

    "Consume" means to change or alter the molecular structure of a hazardous substance within a production process.

    "Department" means the Department of Environmental Protection.

    "Facility" means all buildings, equipment, structures, and other property that are located on a single site or on contiguous or adjacent sites and that are owned or operated by the same person.

    "Facility-wide permit" means a single permit issued by the department to the owner or operator of a priority industrial facility incorporating the permits, certificates, registrations, or any other relevant department approvals previously issued to the owner or operator of the priority industrial facility pursuant to P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.), and the appropriate provisions of the pollution prevention plan prepared by the owner or operator of the priority industrial facility pursuant to section 7 and section 8 of this act.

    "Hazardous substance" means any substance on the list established by the United States Environmental Protection Agency for reporting pursuant to 42 U.S.C. s.11023, any substance regulated pursuant to the provisions of P.L.1985, c.403 (C.13:1K-19 et seq.), and any other substance which the department, pursuant to the provisions of subsection i. of section 8 of this act, defines as a hazardous substance for the purposes of this act.

    "Hazardous waste" means any solid waste defined as hazardous waste by the department pursuant to P.L.1970, c.39 (C.13:1E-1 et seq.).

    "Industrial facility" means any facility having a Standard Industrial Classification, as designated in the Standard Industrial Classification Manual prepared by the federal Office of Management and Budget, within the Major Group Numbers, Group Numbers, or Industry Numbers listed in subsection h. of section 3 of P.L.1983, c.315 (C.34:5A-3) and which is subject to the regulatory requirements of P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.).

    "Manufacture" means to produce, prepare, import, or compound a hazardous substance. 

    "Multimedia release" means the release of a hazardous substance to any environmental medium, or any combination of media, including the air, water or land, and shall include any release into workplaces.

    "Nonproduct output" means all hazardous substances or hazardous wastes that are generated prior to storage, recycling, treatment, control, or disposal and that are not intended for use as a product.

    "Office" means the Office of Pollution Prevention established in the department pursuant to section 4 of this act.

    "Operator" means any person in control of, or exercising responsibility for, the daily operation of an industrial facility or a priority industrial facility.

    "Owner" means any person who owns an industrial facility or a priority industrial facility. 

    "Person" means any individual, partnership, company, corporation, society, firm, consortium, joint venture, or any commercial or other legal entity.

    "Pilot facility" means a facility or designated area of a facility used for pilot-scale development of products or processes.

    "Pollution prevention" means: changes in production technologies, raw materials or products, that result in the reduction of the demand for hazardous substances per unit of product manufactured and the creation of hazardous products or nonproduct outputs; or changes in the use of raw materials, products, or production technologies that result in the reduction of the input use of hazardous substances and the creation of hazardous by-products or destructive results; or on-site facility changes in production processes, products, or the use of substitute raw materials that result in the reduction of the amount of hazardous waste generated and disposed of on the land or hazardous substances discharged into the air or water per unit of product manufactured prior to treatment, and that reduce or eliminate, without shifting, the risks that the use of hazardous substances at an industrial facility pose to employees, consumers, and the environment and human health. "Pollution prevention" shall include, but need not be limited to, raw material substitution, product reformulation, production process redesign or modification, in-process recycling, and improved operation and maintenance of production process equipment. "Pollution prevention" shall not include any action or change entailing a substitution of one hazardous substance, product or nonproduct output for another that results in the creation of substantial new risk, and shall not include treatment, increased pollution control, out-of-process recycling, or incineration, except as otherwise provided pursuant to subsection f. of section 7 of this act.

    "Pollution prevention plan" means a plan required to be prepared by an industrial facility pursuant to the provisions of section 7 of this act.     "Pollution prevention plan progress report" means a report required to be submitted annually to the department by the owner or operator of an industrial facility pursuant to the provisions of section 7 of this act.

    "Pollution prevention plan summary" means a summary of a pollution prevention plan required to be prepared by an industrial facility and submitted to the department pursuant to the provisions of section 7 of this act.

    "Priority industrial facility" means any industrial facility required to prepare and submit a toxic chemical release form pursuant to 42 U.S.C. s.11023, or any other facility designated a priority industrial facility pursuant to rules and regulations adopted by the department pursuant to the provisions of subsection h. of section 8 of this act.

    "Process" means the preparation of a hazardous substance, after its manufacture, for sale or use in the same form or physical state, or in a different form or physical state, as that in which it was received at the industrial facility where it is processed, or as part of an article or product containing the hazardous substance.

    "Product" means a desired result of a production process that is used as a commodity in trade in the channels of commerce by the general public in the same form as it is produced.

    "Production process" means a process, line, method, activity or technique, or a series or combination of processes, lines, methods or techniques used to produce a product or reach a planned result.

    "Research and development laboratory" means a facility or a specially designated area of a facility used primarily for research, development, and testing activity, and not primarily involved in the production of goods for commercial sale, in which hazardous substances are used by, or under, the direct supervision of a technically qualified person.

    "Source" means a point or location in a production process at which a nonproduct output is generated or released, provided, however, that similar, related, or identical kinds of sources may be considered a single source for the purposes of this act.

    "Targeted production process" means any production process which significantly contributes to the use or release of hazardous substances or the generation of hazardous waste or nonproduct output, as determined by the owner or operator of an industrial facility pursuant to criteria established by the department.

    "Targeted source" means any source which significantly contributes to the generation of nonproduct output, as determined by the owner or operator of an industrial facility pursuant to criteria established by the department.

    "Use" means to process or otherwise use a hazardous substance.

    "Violation of this act" means a violation of any provision of this act, or any rule or regulation, administrative order, or facility-wide permit adopted or issued pursuant thereto.

(cf: P.L.1991, c.235, s.3)

 

    2. Section 6 of P.L.1991, c.235 (C.13:1D-40) is amended to read as follows:

    6. a. Within 18 months of the effective date of this act, the department shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary for the implementation of this act.

    b. Within 18 months of the effective date of this act the department shall adopt, pursuant to the "Administrative Procedure Act," rules and regulations that outline the substantive requirements of pollution prevention plans, pollution prevention plan summaries, and pollution prevention plan progress reports, and shall make a document setting forth these requirements available to owners and operators of priority industrial facilities. The rules and regulations adopted pursuant to this subsection shall, to the maximum extent practicable and feasible, require that information required for the preparation of a pollution prevention plan, pollution prevention plan summary, and a pollution prevention plan progress report be based on information developed by the owner or operator of an industrial facility for the purposes of compliance with 42 U.S.C. s.11023 and P.L.1983, c.315 (C.34:5A-1 et al.). These rules and regulations shall specify which information required in a pollution prevention plan summary and pollution prevention plan progress report may be reported to the department in an environmental survey submitted pursuant to P.L.1983, c.315 instead of in a pollution prevention plan summary or a pollution prevention plan progress report. These regulations may require owners or operators of industrial facilities to submit pollution prevention plan summaries or pollution prevention plan progress reports in a form that is compatible with the department's electronic information storage and retrieval system.

    c. [Within 18 months of the effective date of this act the department shall adopt, pursuant to the "Administrative Procedure Act," rules and regulations establishing criteria pursuant to which the department shall be authorized to issue a directive requiring an industrial facility which is not a priority industrial facility to prepare a pollution prevention plan, pollution prevention plan summary, and a pollution prevention plan progress report. These criteria shall include the toxicity and volume of the hazardous substances or hazardous waste used, generated or released at the industrial facility, and the history of unpermitted releases at the industrial facility. These criteria shall also include a requirement that the department, prior to issuing a directive pursuant to this subsection, make a written finding that, based on the past performance of the industrial facility and the compliance of the industrial facility with the terms of any permit, certificate, registration, or any other relevant department approval issued to the owner or operator of the industrial facility pursuant to P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.), and the extent to which the industrial facility contributes to the total amount of hazardous substances used, generated, or released in the State or a region of the State, the preparation of a pollution prevention plan, pollution prevention plan summary, and pollution prevention plan progress report for the industrial facility could result in a reduction in the use or release of hazardous substances or the generation of hazardous waste or nonproduct output at the industrial facility and a reduction in the threat posed to the environment or public health by the use or release of hazardous substances or the generation of hazardous waste or nonproduct output at the industrial facility] (Deleted by amendment, P.L. , c. ).

    d. The department, pursuant to rules and regulations adopted pursuant to the "Administrative Procedure Act," may establish for any hazardous substance used or manufactured at an industrial facility a facility-wide threshold quantity of up to 10,000 pounds below which the hazardous substance need not be included in the pollution prevention plan, pollution prevention plan summary or pollution prevention plan progress report, or a 10-employee threshold below which an industrial facility would not be required to prepare a pollution prevention plan or submit a pollution prevention plan summary and a pollution prevention plan progress report.

    e. An owner or operator of an industrial facility may include in a pollution prevention plan, pollution prevention plan summary, and pollution prevention plan progress report an input-use exemption list of any hazardous substances used in a specific production process at the industrial facility, the input-use of which he has determined through pollution prevention planning cannot be reduced below the current level. For each hazardous substance included on the input-use exemption list, the owner or operator shall be required to demonstrate, in writing, that there is no reasonably available and economically viable alternative to the current level of input-use of the hazardous substances in the specified production process. An owner or operator shall not be required to include in a pollution prevention plan, pollution prevention plan summary, or pollution prevention plan progress report a reduction in use for any hazardous substance included on an input-use exemption list, but shall be required to provide all other information concerning such a hazardous substance required in a pollution prevention plan, pollution prevention plan summary, and pollution prevention plan progress report. Notwithstanding the inclusion of a hazardous substance on an input-use exemption list, the owner or operator of an industrial facility shall be required to consider pollution prevention techniques other than use reduction with regard to each hazardous substance on the input-use exemption list.

    f. An owner or operator of an industrial facility shall not be required to include in a pollution prevention plan, pollution prevention plan summary or pollution prevention plan progress report information pertaining to improvements in pollution prevention for a production process established after January 1, 1992 until the first five-year revision of the pollution prevention plan and pollution prevention plan summary prepared for the industrial facility at which the production process is carried out after the establishment of the production process, or until five years after the establishment of the production process, whichever occurs later. Within 18 months of the effective date of this act, the department shall adopt, pursuant to the "Administrative Procedure Act," rules and regulations establishing criteria for the identification of production processes subject to the provisions of this subsection.

(cf: P.L.1991, c.235, s.6)

 

    3. Section 10 of P.L.1991, c.235 (C.13:1D-44) is amended to read as follows:

    10. a. The department[, pursuant to the criteria established in rules and regulations adopted pursuant to subsection c. of section 6 of this act, may] shall direct the owner or operator of an industrial facility which is not designated a priority industrial facility pursuant to section 3 of P.L.1991, c.235 (C.13:1D-37) or subsection h. of section 8 of [this act] P.L.1991, c.235 (C.13:1D-42), and which has been issued a permit, certificate, registration, or any other relevant approval by the department pursuant to P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1954, c.212 (C.26:2C-1 et seq.), or P.L.1985, c.403 (C.13:1K-19 et seq.) , to prepare a pollution prevention plan for the industrial facility and to submit a pollution prevention plan summary and pollution prevention plan progress report to the department. An owner or operator of an industrial facility directed to prepare a pollution prevention plan, pollution prevention plan summary, and pollution prevention plan progress report pursuant to this subsection shall prepare the pollution prevention plan, submit the pollution prevention plan summary to the department within 18 months of receipt of the department's directive, and shall annually submit to the department a pollution prevention plan progress report. The provisions of this subsection shall apply to not less than 300 industrial facilities or the number of industrial facilities necessary to provide verifiable and enforceable use or emissions reductions necessary to attain the goals and timetables established in the 1997 National Environmental Performance Partnership Agreement between the department and the United States Environmental Protection Agency.

    b. The department shall have the authority to approve a pollution prevention plan, pollution prevention plan summary, or pollution prevention plan progress report prepared pursuant to this section, and to require the owner or operator of an industrial facility to make any revisions or modifications in a pollution prevention plan or pollution prevention plan summary necessary for compliance with the provisions of [this act] P.L.1991, c.235 (C.13:1D-35 et seq.), as determined by the department pursuant to rules and regulations adopted pursuant to section 6 of [this act] P.L.1991, c.235 (C.13:1D-40). In reviewing a pollution prevention plan, pollution prevention plan summary, or pollution prevention plan progress report, the department shall have the authority to require an owner or operator of an industrial facility to provide such information as the department deems necessary to support the owner or operator's identification of a targeted production process or targeted source. If the department requires the owner or operator of an industrial facility to make revisions or modify a pollution prevention plan, pollution prevention plan summary, or pollution prevention plan progress report, the department shall consider the financial impact on the owner or operator of the industrial facility of the changes or modifications.

    c. At the time of an initial application for, or an application for the renewal of, any permit, certificate, registration, or any other relevant approval issued by the department pursuant to P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.) to the owner or operator of an industrial facility that has been directed by the department to prepare a pollution prevention plan and pollution prevention plan summary pursuant to subsection a. of this section, the department may require that the permit, certificate, registration, or approval include the pollution prevention strategies set forth in the pollution prevention plan or pollution prevention plan summary prepared for the industrial facility.

    d. The department may revoke, issue, reissue, or modify any permit, certificate, registration, or any other relevant approval issued by the department pursuant to P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.) to the owner or operator of an industrial facility that has been directed by the department to prepare a pollution prevention plan and pollution prevention plan summary pursuant to subsection a. of this section for the purpose of including the pollution prevention strategies set forth in the pollution prevention plan or pollution prevention plan summary prepared for the industrial facility. Any action taken by the department pursuant to this subsection to revoke, issue, reissue, or modify any permit certificate, registration, or other department approval may be appealed pursuant to the provisions of P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.), as appropriate.

(cf: P.L.1991, c. 235, s.10)

 

    4. Section 14 of P.L.1991, c.235 (C.13:1D-48) is amended to read as follows:

    14. a. Within 18 months of adoption of the rules and regulations required pursuant to section 6 of this act, the department shall designate no fewer than 10 but not more than 15 individual priority industrial facilities to each receive a facility-wide permit on the basis of criteria adopted by the department. These criteria shall include, but need not be limited to:

    (1) The potential for a priority industrial facility to serve as a State-wide model for multimedia pollution prevention programs;

    (2) The potential for a priority industrial facility that does not meet industry-wide pollution prevention goals to meet these goals through a facility-wide permit; and

    (3) The potential for a priority industrial facility that has not met the pollution prevention goals set forth in its pollution prevention plan to meet these goals through a facility-wide permit.

    At the time of the designation of priority industrial facilities pursuant to this subsection, the department shall prepare and submit to the Legislature a report summarizing the designation process and progress made to date in establishing a facility-wide permitting program.

    b. Within 30 months of the adoption of the rules and regulations required pursuant to section 6 of this act, the department shall issue facility-wide permits to the priority industrial facilities designated pursuant to subsection a. of this section.

    c. Within 36 months of the adoption of the rules and regulations required pursuant to section 6 of this act, the department shall prepare and submit to the Governor and the Legislature a report analyzing the facility-wide permit program, evaluating the successes or shortcomings of the facility-wide permit program, evaluating the ability of the department to conduct and expand the facility-wide permit program, and proposing, if warranted, a schedule to expand the applicability of the facility-wide permit program. [The department shall not expand the facility-wide permitting program beyond the number of priority industrial facilities designated pursuant to subsection a. of this section without authorization by law].

(cf: P.L.1991, c. 235, s. 14)

 

    5. Section 15 of P.L.1991, c.235 (C.13:1D-49) is amended to read as follows:

    15. a. Whenever, on the basis of information available to the commissioner, the commissioner finds that a person is in violation of this act, the commissioner shall:

    (1) Issue an order in accordance with subsection b. of this section requiring the person to comply;

    (2) Bring a civil action in accordance with subsection c. of this section;

    (3) Levy a civil administrative penalty in accordance with subsection d. of this section; or

    (4) Bring an action for a civil penalty in accordance with subsection e. of this section.

    The exercise of any of the remedies provided in this section shall not preclude recourse to any other remedy so provided.

    b. Whenever, on the basis of information available to the commissioner, the commissioner finds that a person is in violation of this act, the commissioner may issue an order (1) specifying the provision or provisions of this act, or the rule or regulation adopted pursuant thereto, of which the person is in violation; (2) citing the action that caused the violation; (3) requiring compliance with the provision of this act or the rule or regulation adopted pursuant thereto of which the person is in violation; and (4) giving notice to the person of his right to a hearing on the matters contained in the order.

    c. The commissioner is authorized to commence a civil action in Superior Court for appropriate relief from a violation of this act. This relief may include an assessment against the violator for the costs of any investigation, inspection, or monitoring survey that led to the discovery and establishment of the violation, and for the reasonable costs of preparing and litigating the case under this subsection.

    d. (1) The commissioner is authorized to impose a civil administrative penalty of not more than $15,000 for each violation, and each day during which each violation continues shall constitute an additional, separate, and distinct offense. Any amount imposed under this subsection shall be assessed pursuant to rules and regulations adopted by the commissioner for violations of similar type, seriousness, and duration. The commissioner shall have the authority to assess penalties prior to the establishment of rules and regulations governing penalties to the extent that such penalties are reasonable and based on other violations of a similar type, seriousness, and duration. No civil administrative penalty shall be imposed until after the person has been notified by certified mail or personal service. The notice shall include: a reference to the section of the act, rule, regulation, order, or permit violated; a concise statement of the facts alleged to constitute a violation; a statement of the amount of the civil administrative penalties to be imposed; and a statement of the person's right to a hearing. The person shall have 20 days from receipt of the notice within which to deliver to the commissioner a written request for a hearing. Subsequent to the hearing and upon finding that a violation has occurred, the commissioner may issue a final order or civil administrative penalty after imposing the amount of the fine specified in the notice. If no hearing is requested, the notice shall become a final order or a final civil administrative penalty upon the expiration of the 20-day period. Payment of the penalty is due when a final order is issued or when the notice becomes a final order or a final civil administrative penalty. The authority to levy a civil administrative penalty is in addition to all other enforcement provisions in this act, and the payment of a civil administrative penalty shall not be deemed to affect the availability of any other enforcement provision in connection with the violation for which the penalty is levied. A civil administrative penalty imposed under this subsection may be compromised by the commissioner upon the posting of a performance bond by the violator, or upon terms and conditions the commissioner may establish by rule or regulation.

    (2) On the first day of the seventh month following enactment of P.L. , c. (C. )(now before the Legislature as this bill), the commissioner shall impose civil administrative penalties in the following amounts for the following violations:

    (a) Not less than $5,000 for the failure of the owner of operator of a priority industrial facility to submit a pollution prevention plan summary to the department or prepare a pollution prevention plan pursuant to the requirements of section 8 of P.L.1991, c.235 (C.13:1D-42);

    (b) Not less than $3,000 for the failure of the owner or operator of a priority industrial facility to submit a pollution prevention plan summary to the department or prepare a pollution prevention plan that establishes a nonproduct output use reduction of zero; and

    (c) Not less than $3,000 for the failure of the owner or operator of a priority industrial facility to comply with the conditions of a facility-wide permit issued pursuant to P.L. 1991, c.235 (C.13:1D-35 et seq.); the penalty provided pursuant to this subparagraph shall in no way diminish the responsibility of an owner or operator of a priority industrial facility to meet the requirements of any other permit held by that owner or operator, and shall in no way diminish the amount of any penalties assessed for violations of the conditions and requirements of those other permits.

    Each day during which a violation enumerated in subparagraphs (a) through (c) of this paragraph is identified shall constitute an additional, separate, and distinct offense.

    (3) The owner or operator of a priority industrial facility who fails to make good faith efforts to implement a pollution prevention plan submitted pursuant to the requirements of section 8 of P.L. 1991, c.235 (C.13:1D-42) shall be subject to inspection on an annual basis.

    (4) In addition to the assessment of a civil administrative penalty, the commissioner may, by administrative order and upon an appropriate finding, assess a violator for the reasonable costs of any investigation, inspection, or monitoring survey which led to the establishment of the violation.

    e. Any person who violates this act, an order issued pursuant to subsection b. of this section, or a court order issued pursuant to subsection c. of this section, or who fails to pay in full a civil administrative penalty levied pursuant to subsection d. of this section, shall be subject, upon order of a court, to a civil penalty not to exceed $15,000 for each day during which the violation continues. Any penalty imposed pursuant to this subsection may be collected, and any costs incurred in connection therewith may be recovered, in a summary proceeding pursuant to "the penalty enforcement law" (N.J.S.2A:58-1 et seq.). The Superior Court and the municipal court shall have jurisdiction to enforce "the penalty enforcement law."

    f. Any violation of a pollution prevention condition of a facility-wide permit issued pursuant to this act shall be considered a violation of P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.), as the department deems appropriate.

(cf: P.L.1991, c. 235, s.15)

 

    6. Section 16 of P.L.1991, c.235 (C.13:1D-50) is amended to read as follows:

    16. a. There is established in the department a nonlapsing fund to be known as the "Pollution Prevention Fund," hereinafter referred to as "the fund." The fund shall be credited with all fees imposed and collected [by the Department of Labor pursuant to paragraph (2) of subsection b. of section 26 of P.L.1983, c.315 (C.34:5A-26)] pursuant to subsection b. of this section, [and] with all penalties collected for violations of this act, and with any other monies that may be made available, or appropriated, to the department for the implementation of this act. Monies in the fund shall be used by, and are hereby appropriated to, the department solely for the purpose of implementing the provisions of this act.

    b. The department shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to establish a per pound fee on the use of hazardous substances by priority industrial facilities and the industrial facilities designated pursuant to subsection a. of section 10 of P.L.1991, c.235 (C.13:1D-44), such that the fee generates no less than $5.4 million annually. Of the $5 million generated by this fee, not less than $3 million shall be allocated by the department for the following purposes in the amounts indicated:

    (1) $1 million for the purpose of providing technical assistance to industrial facilities and priority industrial facilities in developing pollution plan summaries, and in developing and implementing pollution prevention plans; and to assist non-governmental entities in providing training to employees on pollution prevention techniques;

    (2) $1 million for the purpose of providing grants and loans to small businesses to assist in compliance with the provisions of this act, and to provide training to employees on pollution prevention techniques; and

    (3) $1 million for the purposes of implementing the provisions of section 8 of P.L. , c. (C. )(now before the Legislature as this bill) and subsection a. of section 10 of P.L.1991, c.235 (C.13:1D-35 et seq.).

(cf: P.L.1991, c.235, s.16)

 

    7. Section 26 of P.L.1983, c.315 (C.34:5A-26) is amended to read as follows:

    26. a. There is established in the Department of the Treasury a nonlapsing, revolving fund to be known as the "Worker and Community Right To Know Fund." The "Worker and Community Right To Know Fund" shall be credited with all fees collected pursuant to paragraph (1) of subsection b. of this section and interest on moneys in the "Worker and Community Right To Know Fund" shall be credited to the "Worker and Community Right To Know Fund" and all moneys in the "Worker and Community Right To Know Fund" are appropriated for the purposes of the "Worker and Community Right To Know Fund," and no moneys shall be expended for those purposes without the specific appropriation thereof by the Legislature. The State Treasurer shall be the administrator of the "Worker and Community Right To Know Fund," and all disbursements from the "Worker and Community Right To Know Fund" shall be made by the State Treasurer upon the warrant of the Director of the Division of Budget and Accounting.

    b. (1) The Department of Labor shall annually assess each employer a fee of not less than $50.00 nor more than an amount equal to $2.00 per employee to provide for the implementation of the provisions of this act. All fees collected by the department pursuant to this paragraph shall be deposited in the "Worker and Community Right To Know Fund."

    (2) [The Department of Labor shall annually assess each employer a fee of $2.00 per employee for the implementation of P.L.1991, c.235 (C.13:1D-35 et seq.). All fees collected by the department pursuant to this paragraph shall be deposited in the "Pollution Prevention Fund" established pursuant to section 16 of P.L.1991, c.235 (C.13:1D-50), and shall be used only for the implementation of P.L.1991, c.235 (C.13:1D-35 et seq.)] (Deleted by amendment, P.L. , c. ).

    c. The moneys in the "Worker and Community Right To Know Fund" shall be disbursed only for the following purposes:

    (1) Expenses approved by the Director of the Division of Budget and Accounting and incurred by the Department of Health, the Department of Environmental Protection, the Department of Labor, the Department of the Treasury, and the county health departments in implementing the provisions of this act; and

    (2) Repayment to the General Fund of any moneys appropriated by law in order to implement the provisions of this act.

    d. The State Treasurer shall annually disburse the moneys in the "Worker and Community Right To Know Fund" for expenditures approved by the Director of the Division of Budget and Accounting pursuant to paragraph (1) of subsection c. of this section, but in no case in an amount to the several departments that is greater than the following percentages of the "Worker and Community Right To Know Fund" available in any one year: the Department of Health, 40%; the Department of Environmental Protection, 20%; the county health departments, 15%; the Department of Labor, 15%; and the Department of the Treasury, 10%.

    e. Beginning two years after the effective date of this act, the State Treasurer shall make an annual audit of the "Worker and Community Right To Know Fund" to determine the adequacy of moneys on deposit in the "Worker and Community Right To Know Fund" to support the implementation of the provisions of this act. If the State Treasurer, in consultation with the Department of Health, the Department of Environmental Protection, and the Department of Labor makes a determination that the revenues in the "Worker and Community Right To Know Fund" are sufficient to warrant a reduction in the fees imposed pursuant to paragraph (1) of subsection b. of this section for the ensuing year, he may reduce the amount of the fees imposed during that year by an amount warranted by the balance in the "Worker and Community Right To Know Fund" at the time of the determination.

(cf: P.L.1991, c.235, s. 20)

 

    8. (New section) a. For each of the first two years immediately following the effective date of P.L. , c. (C. )(now before the Legislature as this bill), the department shall designate no fewer than 30 individual priority industrial facilities to receive facility-wide permits on the basis of the criteria established pursuant to subsection a. of section 14 of P.L.1991, c.235 (C.13:1D-48). For each priority industrial facility designated pursuant to this subsection, the department shall require that the emission or effluent limits incorporated in any permit, certificate, registration or any other relevant approval issued to the owner or operator by the department pursuant to P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.) be reduced, to the maximum extent practicable, based on pollution prevention strategies contained in the pollution prevention plan prepared by the owner or operator of the priority industrial facility. Such reduced emission or effluent limits shall be included in a facility-wide permit issued pursuant to this subsection. A facility-wide permit issued pursuant to this subsection shall require each of the priority industrial facilities to reduce:

    (1) the net use of hazardous substances per unit of product;

    (2) the net emission of hazardous substances per unit of product; and

    (3) the risk to human health and the environment posed by such use and emissions.

    The reductions required pursuant to paragraphs (1) through (3) of this subsection shall not result in a cross-media transfer of emissions. Each permit issued pursuant to this subsection shall be effective for five years and shall contain use and emissions reduction goals and timetables.

    b. The renewal of a facility-wide permit issued pursuant to section 14 of P.L.1991, c.235 (C.13:1D-48) shall meet all of the requirements established pursuant to subsection a. of this section.

    c. The reductions required pursuant to paragraphs (1) through (3) of subsection a. of this section shall not apply to any hazardous substance included on an input-exemption list submitted by an owner or operator of an industrial facility pursuant to the provisions of subsection e. of section 6 of P.L.1991, c.235 (C.13:1D-40). The exemption provided pursuant to this subsection shall not relieve an owner or operator of an industrial facility from the requirement to consider pollution prevention techniques other than use reduction with regard to each hazardous substance on the input-use exemption.

    d. Within four years of the effective date of P.L. , c. (C.   )(now before the Legislature as this bill), the department shall submit to the Legislature a report evaluating the success or failure of the facility-wide permit requirements established pursuant to subsection a. of this section. The report shall consider, but need not be limited to, the following evaluation criteria:

    (1) overall and individual facility reductions in the use of hazardous substances;

    (2) overall and individual facility reductions in the emissions of hazardous substances;

    (3) overall and individual facility reductions in operating or compliance costs;

    (4) increases or decreases in profitability attributable to a facility-wide permit; and

    (5) the effects on administrative efficiency attributable to the implementation of facility-wide permits.

 

    9. (New section) Any emission or effluent limitation, or any risk management plan incorporated at the time of an initial application for, or renewal of, any permit, certificate, registration, or any other relevant department approval issued to the owner or operator of a priority industrial facility pursuant to P.L.1970, c.33 (C.13:1D-1 et seq.), P.L.1970, c.39 (C.13:1E-1 et seq.), P.L.1977, c.74 (C.58:10A-1 et seq.), P.L.1985, c.403 (C.13:1K-19 et seq.), or P.L.1954, c.212 (C.26:2C-1 et seq.) shall be based upon and shall incorporate, to the maximum extent possible, pollution prevention strategies set forth in the pollution prevention plan submitted by the owner or operator of the priority industrial facility as required pursuant to section 8 of P.L.1991, c.235 (C.13:1D-42).

 

    10. This act shall take effect immediately.

 

 

STATEMENT

 

    This bill would amend and supplement the "Pollution Prevention Act," P.L.1991, c.235 (C.13:1D-35 et seq.), to: (1) expand the facility-wide permit program by designating at least 30 new priority industrial facilities; (2) require approximately 300 industrial facilities to prepare and submit pollution prevention plans and plan summaries to the Department of Environmental Protection (DEP); and (3) require that future pollution permits of all priority industrial facilities reflect, to the maximum extent practicable, pollution prevention strategies set forth in each facility's pollution prevention plan.

    Under the bill, the DEP would be required to designate no fewer than 30 new priority industrial facilities to receive facility-wide permits. These new permits would require the designated facilities to reduce their net use and emissions of hazardous substances as well as the risk to human health and the environment posed by such use and emission, all without any cross-media transfer of emissions. The bill requires that any existing facility-wide permit renewal meet the conditions imposed on the new facilities. The bill would also require the DEP to incorporate in the emission or effluent limits contained in an existing permit issued to the owner or operator of each of the 30 new priority industrial facilities the pollution prevention strategies contained in a pollution prevention plan submitted by the facility's owner or operator.

    The DEP would be required, within four years of the effective date of the bill, to submit an evaluation report on the new facility-wide permit requirements imposed by the bill. The report would consider reductions in use, emissions, and operating costs attributable to the new requirements, as well as any effects on profitability or administrative efficiency.

    The bill would also require the DEP to direct the owners or operators of approximately 300 industrial facilities to prepare pollution prevention plans and to submit plan summaries and progress reports to the DEP. Currently, the law only authorizes the DEP to require industrial facilities to perform these tasks, and then only after the DEP establishes criteria for selecting these facilities. The bill provides that the number of industrial facilities would be not less than 300 facilities or the number of facilities necessary to provide verifiable and enforceable use and emission reductions necessary to attain the goals and timetables set forth in the 1997 National Environmental Performance Partnership Agreement between the DEP and the United States EPA.

    The bill would require that all future pollution permits issued to a priority industrial facility (there are approximately 600 such facilities) be based on and incorporate, to the maximum extent practicable, pollution prevention strategies outlined in the pollution prevention plan submitted by the owner operator of each facility. While this plan is currently required to be submitted by law, the bill would eliminate DEP's discretionary authority regarding the incorporation of the plan's strategies into a facility's pollution permits and mandate incorporation in future pollution permits.

    The bill would also provide for the following mandatory minimum penalties for violations by priority industrial facilities:

    -- not less than $5,000 for the failure of the owner or operator to submit a pollution prevention plan summary or a pollution prevention plan to the DEP as required under the act;

    -- not less than $3,000 for the failure of the owner or operator to submit a pollution prevention plan summary or a pollution prevention plan that establishes a nonproduct output use reduction of zero; and

    -- not less than $3,000 for the failure of an owner or operator to comply with the conditions of a facility-wide permit issued pursuant to the act.

    Owners or operators of priority industrial facilities who do not make good faith efforts to implement a submitted pollution prevention plan would be subject to annual inspections by the DEP.

    The bill would also eliminate the current method of funding the program through a $2.00 per employee assessment on businesses regulated pursuant to the "Worker and Community Right To Know Act," P.L.1983, c.315 (C.34:5A-1 et seq.). In its place, the bill would require the DEP to establish a per pound fee on the use of hazardous substances by all priority industrial facilities and the approximately 300 industrial facilities covered by this bill, such that the fee generates no less than $5 million. The bill directs that $3 million of the revenues generated be dedicated, in $1 million increments, for technical assistance to covered facilities, grants or loans to small businesses to assist in complying with the act's requirements, and for implementation of the bill's provisions.

    The bill would also add a reference to the "Toxic Catastrophe Prevention Act," P.L.1985, c.403 (C.13:1K-19 et seq.), to the definitions of "hazardous substance" and "industrial facility" in the act.

 

 

 

Amends Pollution Prevention Act.