NOTE: As provided in LFC policy, this report is intended only for use by the standing finance committees of the legislature. The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used for other purposes.
The most recent FIR
version (in HTML & Adobe PDF formats) is available on the Legislative
Website. The Adobe PDF version includes
all attachments, whereas the HTML version does not. Previously issued FIRs and attachments may be obtained from the
LFC in Suite 101 of the State Capitol Building North.
|
SPONSOR: |
Smith |
DATE TYPED: |
02/04/03 |
HB |
|
||
|
SHORT TITLE: |
Air Quality Standards for Cotton Gins |
SB |
205 |
||||
|
` |
ANALYST: |
Valenzuela |
|||||
REVENUE
|
Estimated Revenue |
Subsequent Years Impact |
Recurring or
Non-Rec |
Fund Affected |
|
|
FY03 |
FY04 |
|
|
|
|
|
See
Fiscal Impact |
|
Recurring |
OSF/FED |
|
|
|
|
|
|
(Parenthesis ( ) Indicate Revenue Decreases)
Duplicates House Bill 192
Legislative Finance Committee files
Responses
Received From
Department
of Environment (NMED)
State
Highway and Transportation Department
SUMMARY
Synopsis
of Bill
Senate Bill 205 amends the Air Quality Control Act by requiring the Environment Department not deny an application for an air quality permit to cotton gins or other seasonal agricultural operations based on air quality dispersion modeling provided “best available control technology” is used. "Best available control technology" for cotton gins is defined in the legislation. Air quality dispersion modeling for these operations is only allowed in the case of permitting under the requirements for prevention of significant deterioration.
Significant
Issues
Dispersion modeling is a computer simulation of
emitted pollutants in the area surrounding an emitting facility, i.e., a cotton
gin in this instance. The simulation uses meteorological variables to predict
concentrations in the area over time. Industry has argued against using
computer modeling techniques, such as dispersion modeling, because of the
potential for these models to over predict pollutant concentrations. Therefore,
the Department of Environment would have to use air quality monitors to track
the actual emissions from these types of facilities.
NMED asserts that enactment of this bill could
jeopardize the state’s compliance with the federal Clean Air Act. The
department references an U.S. Environmental Protection Agency (EPA) letter,
dated January 22, 2003 and attached, which makes the following statement, “For
New Mexico’s new source review state implementation plan to remain approvable,
the State agency must retain its authority to require modeling and test methods
as determined necessary for both permitting and compliance decisions.” The
result of non-compliance could be New Mexico losing its new construction air
quality permitting program.
NMED reports that there are seven cotton gins
operating in New Mexico. Five of these facilities are grand-fathered under the
requirements of the federal Clean Air Act until they seek modifications of its
facilities.
FISCAL IMPLICATIONS
NMED reports that
enactment of the bill could jeopardize the revenue generated in the new construction
permitting program ($1,200.0) and revenue generated from the federal government
($600.0).
After enactment of this bill, the
department states that EPA could issue NMED a notice of deficiency requiring
the state to come into compliance with the Clean Air Act within a specific time
frame.