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Daily Environmental Briefing Report
Monday, January 4, 2010
© 2010. Permission is granted for Internal, Same-Office Distribution Only.

 

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In This Issue
            -- NATIONAL/INTERNATIONAL NEWS --
EPA To Establish First-Time “Chemicals Of Concern” List
Comments Wanted On Dioxin In Soil Cleanup "Goals"
EPA Enforcement Results & Interactive Map For FY2009
EPA To Develop Financial Assurance Requirements For 3 Sectors
New Rules On Hazardous Waste Imports & Exports
EPA Hearing On Nation’s Sulfur Dioxide (SO2) Standards
                   -- GREAT LAKES NEWS --
MI & MN Ask U.S. Supreme Court To Stop Asian Carp
                     -- MICHIGAN NEWS --
Chester Resigns; Jim Sygo Named Interim MDEQ Director
MDEQ Approves 930 MW Consumers Energy Coal-Fired Plant
Comments Wanted On MDEQ Draft Environmental Justice Plan
Appeals Court On Tax Exemptions & Landfill Industrial Process
Executive Order Will Consolidate MDMB & MDIT
Varnum Alert On Large Buildings & New GHG Reporting Requirements
Michigan Legislative Tracking (12/31)

 
National / International News
 
EPA To Establish First-Time “Chemicals Of Concern” List - Dec 30: U.S. EPA announced a series of actions including developing Chemical Action Plans (CAPs) on four chemicals which they said raise serious health or environmental concerns, including phthalates. For the first time, EPA intends to establish a “Chemicals of Concern” list and is beginning a process that "may lead to regulations requiring significant risk reduction measures to protect human health and the environment." EPA said the actions represent its "determination to use its authority under the existing Toxic Substances Control Act (TSCA) to the fullest extent possible, recognizing EPA’s strong belief that the 1976 law is both outdated and in need of reform."

In addition to phthalates, the chemicals EPA is addressing are short-chain chlorinated paraffins; polybrominated diphenyl ethers (PBDEs); and perfluorinated chemicals, including PFOA. EPA said the chemicals are used in the manufacture of a wide array of products and have raised a range of health and environmental concerns. EPA also recently announced that three U.S. companies agreed to phase out DecaBDE, a widely used fire retardant chemical that may potentially cause cancer and may impact brain function [See WIMS 12/18/09].

Administrator Jackson said, “The American people are understandably concerned about the chemicals making their way into our products, our environment and our bodies. We will continue to use our authority under existing law to protect Americans from exposure to harmful chemicals and to highlight chemicals we believe warrant concern. At the same time, I will continue to fight for comprehensive reform of the nation’s outdated chemical management laws that ensures a full assessment of the safety of chemicals on the market today and effective actions to reduce risks where chemicals do not meet the safety standard. Chemical safety is an issue of utmost importance, especially for children, and this will remain a top priority for me and our agency going forward.”

On September 29, 2009, Jackson outlined a set of agency principles to help inform legislative reform and announced that EPA would act on a number of widely studied chemicals that may pose threats to human health [See WIMS 9/30/09]. EPA noted that when TSCA was passed in 1976, there were 60,000 chemicals on the inventory of existing chemicals. Since that time, EPA has only successfully restricted or banned five existing chemicals and has only required testing on another two hundred existing chemicals. An additional 20,000 chemicals have entered the marketplace for a total of more than 80,000 chemicals on the TSCA inventory.

The actions announced today include: (1) Adding phthalates and PBDE chemicals to the concern list; (2) Beginning a process that could lead to risk reductions actions under section 6 of TSCA for several phthalates, short-chain chlorinated paraffins, and perfluorinated chemicals; and, (3) Reinforcing the DecaBDE phaseout -- which will take place over three years -- with requirements to ensure that any new uses of PBDEs are reviewed by EPA prior to returning to the market. EPA also indicated that chemicals currently in the action plan development process also include: Benzidine dyes and pigments; and Bisphenol A.

This is the first time EPA has used TSCA’s authority to list chemicals that “may present an unreasonable risk of injury to health and the environment.” EPA said the decision to list the chemicals further signals the Administration’s commitment to aggressively use the tools at its disposal under TSCA. Inclusion on the list publicly signals EPA’s strong concern about the risks that those chemicals pose and the agency’s intention to manage those risks. Once listed, chemical companies can provide information to the Agency if they want to demonstrate that their chemical does not pose an unreasonable risk.
 
The American Chemistry Council (ACC) issued a release indicating that although it supports EPA’s effort to outline possible Agency actions for prioritized chemicals under the existing Toxic Substances Control Act (TSCA), ACC and its member companies are disappointed that the initial set of chemicals seem to have been selected based on little more than their current “high-profile” nature.

Cal Dooley, ACC President and CEO, said, “In exercising its authority under TSCA, EPA should prioritize chemicals for the CAP program based on scientific criteria that reflect available hazard, use and exposure information provided to the agency. Unfortunately, until today, there has been little transparency, and significant uncertainty, over the scientific basis for the selection of these chemicals. The action plans released today include references to scientific studies that the agency believes make the case for restrictive action, but the agency should maintain their responsibility to review the weight of evidence for all scientific studies, even those that lead to a different conclusion. The chemical industry supports modernizing the way chemicals are managed in commerce, but the CAP process to date provides no evidence of a systematic, science-based approach to chemicals management. It is vital that this be addressed.”

“ACC members are proud of our products. Chemicals are critical in life saving vaccines, solar panels and energy efficient products, clean water, and so many other uses that improve quality of life, safety, and the environment. ACC members will continue to work with consumer, government and scientific organizations to understand the impacts of chemicals on human health and the environment.”

Environmental Defense Fund (EDF), in a blog post said that EPA deserved an “A for effort.” EDF said, in response to ACC's claims that “the initial set of chemicals seem to have been selected based on little more than their current ‘high-profile’ nature; that "back when it [EPA] announced its enhanced program, EPA pretty clearly stated the basis for selecting the first group of chemicals:" EPA said, "The initial chemicals selected for action plan development were chosen on the basis of multiple factors, including chemicals identified as persistent, bioaccumulative, and toxic; high production volume chemicals; chemicals in consumer products; chemicals of particular potential concern for children’s health because of reproductive or developmental toxicity; chemicals subject to review and potential action in international forums; chemicals found in human blood in biomonitoring programs; and chemicals in categories generally identified as being of potential concern in the new chemicals program." EDF said further that, "each individual plan provides substantial documentation as to why EPA selected the chemical, including detailed hazard and exposure data."

Access a release from EPA (click here). Access more information on EPA’s legislative reform principles, a fact sheet on the complete set of actions on the four chemicals, the CAPs and additional information (click here). Access a release from ACC with links to additional information (click here). Access the blog post from EDF (click here). [*Toxics]


Comments Wanted On Dioxin In Soil Cleanup "Goals" - Dec 31: U.S. EPA announced it is seeking public comment on draft "interim preliminary remediation goals" (PRGs) for cleanup of dioxins in soil. The announcement fulfilled a commitment by EPA Administrator Lisa Jackson to announce interim cleanup goals by the end of 2009. EPA said the action would strengthen its preliminary remediation goals at dioxin contaminated sites. Mathy Stanislaus, assistant administrator for EPA’s Office of Solid Waste and Emergency Response said, “While EPA works to complete the dioxin reassessment, this interim guidance will help us make better informed decisions on cleanup alternatives at contaminated sites. We are following through on our commitment to use the best available science to help protect human health and the environment.”
   
Currently, EPA’s recommended dioxin PRGs are 1,000 part per trillion (ppt) for dioxin in residential soil and a level within the range of 5,000-20,000 ppt in commercial/industrial soil. Under the draft interim PRGs proposed the PRGs would be 72 ppt for residential land uses and 950 ppt for commercial/industrial land uses, a significant lowering the amount of dioxins levels for residential land uses and commercial/industrial land uses. In addition, the draft interim PRGs differ from the current dioxin PRGs in that they include consideration of the potential absorption of dioxin through skin exposure. EPA said, "This will provide a tool for site evaluation that was not available when EPA last recommended PRGs for dioxins in soil in 1998."

EPA indicated in a release that in 1991, in light of significant new data on the potential human health effects of dioxins, it began the development of a comprehensive evaluation of exposure and human health effects of 2,3,7,8-tetrachlorodibenzo-p-dioxin (TCDD), "the most toxic of the group of chemicals known as dioxins, and other dioxin-like compounds." The draft dioxins assessment has been through several independent external peer reviews, the latest a 2004 review by a scientific panel convened by the National Academy of Sciences. When the EPA dioxin risk assessment is complete, it will be the Agency's scientific foundation for future decision-making about dioxins in the environment.

EPA will be taking public comment on the draft interim PRGs for 50 days following publication in the Federal Register, and anticipates issuing the final interim PRGs in June 2010. Upon completion of the dioxins reassessment, currently expected by the end of 2010, EPA will consider the need to update the interim PRGs.
 
Access a release from EPA (click here). Access more information on the draft recommended interim PRGs and how to comment (click here). [*Toxics, *Remed]
 
EPA Enforcement Results & Interactive Map For FY2009 - Dec 23: U.S. EPA released its report on enforcement results for fiscal year 2009, and has developed a new informative web-based tool and interactive map that allows the public to get detailed information by location about the enforcement actions taken at approximately 4,600 facilities. In FY2009, EPA concluded enforcement actions requiring polluters to invest more than $5 billion on pollution controls, cleanup, and environmental projects. Civil and criminal defendants committed to install controls and take other measures to reduce pollution by approximately 580 million pounds annually once all required controls are fully implemented.

The new mapping tool allows the public to view the locations of facilities that were the subject of those enforcement actions on interactive maps of the U.S. and territories. The Google maps show facilities where civil enforcement actions were taken for environmental laws for air, water, and land pollution, and a separate map shows criminal enforcement actions. Users can click on specific facilities to find historical information about specific enforcement actions, such as violations and monetary penalties. In addition, users can use the zoom function to find out which facilities are located near water bodies that are listed as "impaired” because they do not meet federal water quality standards. EPA mapped the locations of more than 90 percent of the facilities that were the subject of enforcement actions last year. EPA did not map the locations of drinking water treatment plants due to potential security concerns.
 
For the past 10 years, EPA has described annual enforcement results by focusing primarily on two measures, the estimated pounds of pollutants reduced and estimated cost of commitments made by defendants to control or reduce pollution. EPA indicated that these measures vary significantly from year to year and are dependent upon the number of large cases that settle in a given year. While the large cases are a vital part of our work to protect public health and improve compliance, they do not reflect the totality of the annual environmental enforcement activities, and do not capture the number and variety of enforcement actions taken to help clean up local communities. EPA said the new mapping tool will help increase transparency, improve access to data, and provide the public with the bigger picture of enforcement activity occurring in communities around the country.
 
Access a release from EPA (click here). Access extensive additional information and link to the mapping tool (click here). [*All]

 
EPA To Develop Financial Assurance Requirements For 3 Sectors -  Dec 30: U.S. EPA announced that it had "taken a significant step" (i.e. issued an advanced notice of proposed rulemaking - ANPRM), in an effort to help reduce the need for Federal taxpayers to fund the cleanup of environmental releases. The Agency indicated it has identified three additional industry sectors for which it will begin the regulatory development process for any necessary financial assurance requirements: (1) the chemical manufacturing industry; (2) the petroleum and coal products manufacturing industry, which primarily includes refineries and not coal mines; and (3) the electric power generation, transmission, and distribution industry. EPA said financial assurance requirements help ensure that owners and operators of facilities are able to pay for cleanup of environmental releases and help reduce the number of sites that need to be cleaned up by federal taxpayers through the Superfund program. 
 
EPA said the identification of these industry sectors is part of the Agency's effort under Section 108(b) of the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA, Superfund), to examine if financial assurance requirements will help promote better environmental outcomes. EPA The action announced is not a proposed rule or a final regulation. EPA said it selected the particular industries based on a variety of information sources. The information includes the types of sites listed on the Superfund National Priorities List, which are intended to guide the EPA in determining which sites warrant further investigation under the Federal Superfund program, as well as data on hazardous waste generation from the National Biennial Report and data from the Toxics Release Inventory (TRI). 
 
Last July, EPA issued a notice that identified the hard-rock mining industry as its priority for the initiation of the regulatory development process for financial responsibility requirements [See WIMS 7/13/09]. EPA plans to propose any appropriate financial responsibility rules by spring of 2011 for classes of facilities within the hard-rock mining industry. For the new sectors identified, EPA also will begin the regulatory process for developing appropriate financial assurance requirements. In addition, EPA said it has identified the following additional classes of facilities that require further study in order for the agency to decide whether to develop proposed regulations: waste management and remediation services; wood product manufacturing; fabricated metal product manufacturing; electronics and electrical equipment manufacturing; and facilities engaged in the recycling of materials containing CERCLA hazardous substances. EPA will be accepting public comment on this notice for 30 days after it is published in the Federal Register.
 
Access a release from EPA (click here). Access EPA's Superfund Financial Responsibility website for links to the announcement and additional information (click here). [*Remed]

 
New Rules On Hazardous Waste Imports & Exports - Dec 28: U.S. EPA announced it is strengthening the regulations that govern the shipping of hazardous waste for recycling between the United States and other countries. The new measures are meant to increase the level of regulatory oversight, provide stricter controls, and greater transparency. The announced final rule aligns EPA’s hazardous waste import/export/transit shipment regulations with the procedures of the Organization for Economic Cooperation and Development (OECD), an international consortium that comprises 30 countries including the United States.

EPA said the new measures bolster regulations regarding hazardous waste shipments into or out of the United States and strengthen the extensive set of regulations under the Resource Conservation and Recovery Act (RCRA) governing the shipment of hazardous waste within the United States.

Specifically, the rule revises: Existing RCRA regulation regarding the transboundary movement of hazardous wastes for recovery among countries belonging to the OECD to conform to legally required revisions made by the OECD; RCRA regulations for spent lead-acid batteries (SLAB) to add export notification and consent requirements to provide stricter controls and greater transparency for exports of SLABs to any country; Hazardous waste import-related requirements for U.S. hazardous waste management facilities to confirm individual import shipments comply with the terms of EPA’s consent; and The address to which export exception reports are to be sent.

Access a release from EPA with additional information and link to more information including a pre-publication copy of the final rule (click here). [*Haz, *P2]

 
EPA Hearing On Nation’s Sulfur Dioxide (SO2) Standards - Dec 28: U.S. EPA announced it will hold a public hearing on the Agency’s proposal to strengthen the nation’s sulfur dioxide (SO2) standards [See WIMS 11/18/09]. EPA is taking comment on a proposal to establish a new national one-hour SO2 standard, between 50 and 100 parts per billion. The standard is designed to protect against short-term exposures ranging from five minutes to 24 hours. Because the revised standards would be more protective, EPA is proposing to revoke the current 24-hour and annual SO2 health standards. 
 
On November 17, 2009, for the first time in nearly 40 years, U.S. EPA announced its proposal to strengthen the nation’s sulfur dioxide (SO2) air quality standard. EPA said power plants and other industrial facilities emit SO2 directly into the air. Administrator Lisa Jackson said, “Short-term exposures to peak SO2 levels can have significant health effects -- especially for children and the elderly -- and leave our families and taxpayers saddled with high health care costs. We’re strengthening clean air standards, stepping up monitoring and reporting in communities most in need, and providing the American people with protections they rightly deserve.” The hearing will be held on January 5, 2010, in Atlanta, GA. The public may register on the day of the hearing but may not be given a specific time to speak. EPA also will accept written comments on the proposed rule until February 8, 2010.
   
Access a release from EPA (click here). Access links to a prepublication copy of the proposed rule, a fact sheet and background documents and information on commenting (click here). Access more information from EPA's SO2 website (click here). [*Air]

 
Great Lakes News
 
MI & MN Ask U.S. Supreme Court To Stop Asian Carp - Dec 21: Michigan Attorney General Mike Cox announced that he has filed an action with the United States Supreme Court to immediately order Federal, state, and local officials responsible for Chicago-area locks and waterways to close them in order to stop Asian carp from entering the Great Lakes. According to a release from the AG, "The fish are an aggressive invasive species that could quickly devastate Great Lakes fish populations, causing severe damage to Michigan's economy by ruining the Great Lakes' $7 billion fishing and tourism industries."
 
AG Cox said, "Stopping Asian carp is an economic and environmental necessity for Michigan. The Great Lakes are an irreplaceable resource. Thousands of jobs are at stake and we will not get a second chance once the carp enter Lake Michigan. The actions of Illinois and federal authorities have not been enough to assure us the Lakes are safe. That's why the waterways must be shut down until we are assured that Michigan will be protected."

The lawsuit filed in the U.S. Supreme Court asks for the following actions: (1) Closure of the locks at the O'Brien Lock and Dam and the Chicago Controlling Works; (2) Operation of the sluice gates at the Wilmette Pumping Station, the O'Brien Lock and Dam, and the Chicago Controlling Works in a manner that will prevent carp from passing into Lake Michigan; (3) Creation of new barriers to prevent carp from escaping from the Des Plaines River into the Chicago Sanitary and Shipping Canal during flood events, and from getting to Lake Michigan through the Grand and Little Calumet Rivers; (4) Comprehensive study of the Chicago waterway system to define where and how many carp are in these waters, and to eradicate them; and (5) Action to permanently separate these waterways from the Great Lakes.

The suit comes after Illinois and Federal authorities reportedly executed the largest fish kill in Illinois history in response to the discovery of Asian carp DNA just miles from Lake Michigan [See WIMS 12/8/09]. Cox said, "The U.S. Army Corps of Engineers has itself admitted allowing Asian carp into the Great Lakes would be an 'ecological and economic disaster. Michigan families whose jobs and way of life depend on the health of the Great Lakes deserve to know there is a long-term solution to this crisis."
Cox has appointed veteran assistant attorneys general Peter Manning and Robert Reichel to lead the team of lawyers handling this case.
 
On December 22, the Minnesota Attorney General Lori Swanson filed a brief joining in the action and supporting the relief requested by Michigan. Minnesota has 140 miles of Lake Superior shoreline. Swanson’s brief points out that recreational and commercial fishing on Lake Superior are important to Minnesota’s economy. The brief indicates that, “Maintaining proper stewardship of the Great Lakes by stopping the entry of Asian carp is essential to the continued use and enjoyment of this important American natural resource.” She cited the December 4, 2009 report of the U.S. Army Corp of Engineers saying, “The prevention of an interbasin transfer of bighead and silver carp from the Illinois River to Lake Michigan is paramount in avoiding an ecologic and economic disaster.” 

Swanson’s brief also expresses concern for Minnesota’s regular fishing industry if Asian carp advance into inland Minnesota lakes through Lake Superior: She indicated, “If they invade the Great Lakes, they will have access to the rivers and tributaries that feed into the Great Lakes, thereby threatening inland waters. This would be extremely destructive to Minnesota’s economy and way of life, where inland fishing is an important recreational and economic pursuit. Indeed, Minnesota is known as ‘The Land of 10,000 Lakes,’ and the recreational fishing in Minnesota alone is a $2.725 billion per year industry.”

The Natural Resources Defense Council (NRDC), which lauded the action, issued a release saying the lawsuit re-opens a nearly century-old Supreme Court case against the State of Illinois and the Metropolitan Water Reclamation District of Greater Chicago to force immediate action on the carp issue. Legal and policy experts from NRDC said the suit could "trigger an improvement of the region’s water infrastructure and enhance Great Lakes transportation policy."

Henry Henderson, Director of NRDC's Midwest Program (and a former Commissioner of the Environment for the City of Chicago) who has blogged extensively on the potential for the Supreme Court case to be a viable legal tool to bring increased urgency to the carp crisis said, “Michigan has made a smart move with this bid to re-open the U.S. Supreme Court’s review of threats posed by the Chicago Diversion to the well-being of the Great Lakes ecosystem. The other Great Lakes states should join Michigan in pursuing all available legal steps to permanently separate the Great Lakes from the Mississippi River watershed.
 
“Throughout this slow-motion disaster we have seen a decided lack of urgency in the actions taken to fend off the carp threat. Hopefully, Michigan’s action will light a fire. Temporary emergency closure of the locks will not fix the problem -- but it will provide breathing room while real, scientifically sound, legally binding solutions are installed and public processes are engaged. This will not be a quick long-term fix. Though only a fraction of the goods passing through the Chicago region are waterborne, there are legitimate shipping and business concerns about the impact that this could have on barge traffic and management of sewage. With the health of the Great Lakes at stake, however, the interests of multi-billion dollar fishing, boating, and tourism industries and the quality of 1/5 of the world’s fresh water should really take precedence.”

    Access a release from the Michigan AG (click here). Access a release from the Minnesota AG (click here). Access a release from NRDC with links to related information (click here). [*GLakes]


 

Federal Register Highlights
 
The following is a summary from our Daily REGTrak Bulletin* for:
Monday, January 4, 2010.
 
Note: Below are the Federal Register daily summaries for the past two weeks while we have been on Holiday break.
 
Monday, January 4, 2010, Federal Register, Vol. 75, No. 1
 
 
    1. AIR, SOLID - ICR. EPA. Agency Information Collection Activities; Submission to OMB for Review and Approval; Comment Request; Emission Guidelines and Compliance Times for Municipal Solid Waste Landfills (Renewal); EPA ICR No. 1893.05, OMB Control No. 2060-0430
 
    2. ALL - ND. EPA. Public Comment on Candidate National Enforcement and Compliance Assurance Priorities for Fiscal Years 2011-2013
 
    3. ENERGY/Conservation - PR. DOE. Energy Conservation Program: Test Procedures for Walk-In Coolers and Walk-In Freezers
 
    4. MI/TOXICS - NS. DOJ. Notice of Lodging of Consent Decree Under the Residential Lead-Based Paint Hazard Reduction Act; proposed Consent Decree in United States v. Jose and Guillermina Sierra, Civil Action No. 1:09-CV-1149, U.S. District Court for the Western District of Michigan, Southern Division
 
    5. HAZ - FR/Correction. DOT/Pipeline and Hazardous Materials Safety Administration. Hazardous Materials: Revision to Requirements for the Transportation of Batteries and Battery-Powered Devices; and Harmonization With the United Nations Recommendations, International Maritime Dangerous Goods Code, and International Civil Aviation Organization's Technical Instructions; Correction
 
__________________________________
ANPR - Advance Notice of Proposed Rulemaking; FR - Final Rule; FRD - Direct final rule; FRI - Interim final rule; ICR - Information Collection Request; ND - Notice of data, information, reports, etc. availability; NF - Notice of Funding Opportunity; NM - Notice of Meeting; NS - Notice of administrative/court settlement; PR - Proposed Rule; ROD - Record of decision
 
*If you need further information on the above announcements you may want to subscribe to our REGTrak service. Subscribers receive a complete Federal Register summary of nationally applicable environmental announcements, contact information and direct links to the full-text of each announcement (pdf & html) before 8 AM each day for $139 per year (click here). You can also access our Federal Regulatory website and follow the links from there (click here).
Article Coding:   [Air] = Air; [All] = Cross-Media, ecosystems; [Climate] Climate Change; [Drink] = Drinking Water; [Energy] = Energy; [GLakes] = Great Lakes; [Haz] = Hazardous Waste; [Land] = Land Use, Forests; [P2] Pollution Prevention, Sustainability; [Remed] = Remediation, Brownfields; [Tanks] = AST, UST; [Toxics] =Toxics, Pesticides; [Transport] = Transportation; [Solid Waste];  [Water] = Water; [Wildlife] = Wildlife, Endangered Species.

 
Michigan News
 
Chester Resigns; Jim Sygo Named Interim MDEQ Director - Dec 22: Governor Granholm announced that Jim Sygo will serve as interim director of the Department of Environmental Quality (MDEQ) beginning January 5, 2010, following Director Steven Chester's announcement on December 22, that he would leave his post on January 4, 2010.  Sygo currently serves as deputy director for the MDEQ. Granholm said, "As we continue to prepare for the new department of Natural Resources and Environment (MDNRE), we need continued leadership, and Jim is in an excellent position to spearhead the department."
 
In announcing Sygo as interim director of MDEQ, Governor Granholm offered praise for Chester's "commitment to Michigan's proud traditions of environmental stewardship during his tenure as director." She said, "Steve Chester believes in the premise that improving our environment goes hand-in-hand with improving our economy. He has fought for the ideals that so many Michigan citizens believe in: clean air, healthy forests, and unparalleled water resources, all of which help to define who we are as a people and who we are as a state. On a personal level, I am indebted to Steve for his service. As one of my original Cabinet members, he has stood with us to serve the people of this great state during a time of economic upheaval and uncertainty.  He has been both counselor and friend, and I will miss him as he begins to write the next chapter in his personal career."
 
According to a release, Director Chester will be leaving to return to the practice of law, specializing in environmental counseling and litigation. Chester was previously a principal at the Detroit law firm of Miller, Canfield, Paddock and Stone, PLC. He served as head of MDEQ since 2003 and has overseen numerous reforms of the department's operations that have streamlined services and made it one of the most efficient and effective environmental agencies in the nation. Chester also "championed significant changes to Michigan's environmental laws that will ensure Michigan's natural resources will remain protected for generations to come."
   
Granholm's appointment of Jim Sygo to serve as interim MDEQ director will be in effect through January 17, 2010, when Executive Order 2009-45 will combine the operations of MDEQ and the Department of Natural Resources (MDNR) within the newly created MDNRE.  The Governor said she will appoint a permanent director of that new department at a later date. 
   
Access a release from the Governor (click here). [*MIAll]
 
MDEQ Approves 930 MW Consumers Energy Coal-Fired Plant - Dec 29: MDEQ announced that it approved the air permit for an 930 megawatt (MW, gross power output) coal-fired power Karn-Weadock Generating Station in Bay County's Hampton Township in Essexville proposed by Consumers Energy Company (Permit to Install Number 341-07), with the condition that Consumers Energy Company will retire up to 958 megawatts of coal-fired generating capacity from seven of the company's oldest existing coal plants in Michigan. The decision follows a period of extensive review by MDEQ of Consumers Energy Company's application, supporting information, and public comment.

Previously, under the Governor's controversial Executive Directive 2009-2, requiring additional State review of new coal power plant project permits, the Michigan Public Service Commission (MPSC) staff found that the Karn-Weadock proposal was "unjustified" without the explicit retirement of existing capacity in its baseload generation fleet [See WIMS 9/9/09].

MDEQ said the conditions of the permit issued will additionally "ensure that the project uses state-of-the art technology including scrubber and hydrated lime injection control for sulfur dioxide, acid gasses, and hazardous air pollutants; baghouse control for particulate and hazardous air pollutants; carbon injection for mercury control; and selective catalytic reduction for nitrogen oxide control. The project will be ready to employ carbon capture and sequestration technology to reduce greenhouse gas emissions once that technology becomes commercially feasible."

MDEQ indicated in a release that Consumers Energy Company currently utilizes "one of the nation's oldest coal-fired generation fleets, averaging 50 years of age." As a result, the project will create an overall reduction of a number of harmful emissions due to antiquated generating equipment being replaced with newer and cleaner technology. Those reductions include a decrease of particulate matter (PM10) emissions by at least 807 tons per year, SO2 emissions by 18,900 tons, NOx emissions by 5,350 tons, lead emissions by 240 pounds, and mercury emissions by 353 pounds. 

Access a release from MDEQ (click here). Access the Permit Terms and Conditions (click here). Access the Permit to Install Application (click here). Access the Interested Party Letter (click here). Access the Approval Letter to Company (click here). Access the Response to Comments (click here). Access the MPSC Consumers-Essexville docket that includes links to the report, background documents and comments (click here). [*MIAir, *MIEnergy, *MIClimate] 


Comments Wanted On MDEQ Draft Environmental Justice Plan - Dec 18: MDEQ released a draft Environmental Justice Plan for public comment today that outlines steps to be taken to promote environmental justice in Michigan. The plan was developed following Governor Granholm's Executive Directive No. 2007-23, issued on November 21, 2007, which tasked MDEQ with developing and implementing a State environmental justice plan. MDEQ Director Steven Chester said, "Having a strong environmental justice policy for Michigan ensures that all of our citizens are given a voice on the issues that impact the health and environmental well-being of their communities. I encourage anyone to take the time to read this draft plan and share their thoughts on whether it is the right path forward on this critical issue."

To develop the draft plan, MDEQ established an Environmental Justice Working Group composed of several State agencies, environmental justice advocacy groups, academia, tribal representatives, research professionals, and representatives of economic development and business organizations. Over the course of two years, the working group created a number of subgroups, and conducted academic research and public focus group meetings. The working group also established a resource group comprised of interested members of the public to provide assistance in the development of the State plan.
 
The plan is organized into several chapters matching the work of the subgroups of the Environmental Justice Working Group including: Public Participation; Integration into MDEQ Activities; Disparate Impacts Assessment; Interdepartmental Integration; Petition Process; and Role of Local Units of Government. 

Access a release from MDEQ including commenting instructions (click here). Access the complete 97-page draft Environmental Justice Plan (click here). [*MIAll]


Economic Study Shows Positive Climate Change Action Effects - Jan 4: The Center For Climate Strategies (CCS) issued a report entitled, Macro Economic Analysis of Michigan’s Climate Action Plan [See WIMS 7/30/09]. According to the analysis of the macroeconomic effects of Michigan’s Climate Action Plan, implementation of a set of recommendations by the Michigan Climate Action Council (MCAC) would "significantly benefit Michigan’s economy."
 
The 54 recommended climate policy strategies in the Michigan Plan focused on clean and renewable energy, energy efficiency, industrial process improvements, transportation improvements, forestry and agriculture conservation, and waste management. The CCS analysis indicates that based on a state of the art macroeconomic analysis using the REMI Policy Insight Plus Model (REMI), implementation of these actions would, on balance, result in the following outcomes for Michigan between 2010 and 2025 as follows:
 
129,000 net new jobs in 2025; Direct net cumulative savings of about $10 billion between 2010 and 2025, and direct average cost savings of $10.20 per metric ton of carbon dioxide equivalent (MMTCO2e); $25 billion net gain in Gross State Product (in Net Present Value terms) from 2010‐2025; Reduced GHG emissions from Michigan sources by 121 MMTCO2e in 2025, or about 44 percent below expected emissions in 2025 compared to business as usual; and Residential energy price reductions by 2025 of -1.39% for electricity, -0.37% for gasoline, ‐0.40% for fuel oil, and -0.60% for natural gas.
 
MDEQ issued a release with a statement from out-going Director Steven Chester saying, “This economic study confirms that we can have both a healthy environment and a healthy economy. As documented in the study, implementing policies that reduce our dependency on fossil fuels, promote energy efficiency, and increase the use of renewable and alternative energy will improve the quality of our environment, grow Michigan’s economy and create thousands of jobs.”

Access the release from MDEQ (click here, posted soon). Access the complete macro-economic study (click here). Access a summary of the report’s findings (click here). Access the CCS website for additional information (click here). Access links to the final MI Climate Action Plan by sections and appendices (click here). Access the Michigan Climate Action Council website for background and additional information (click here). [*MIClimate, *MIEnergy]


Appeals Court On Tax Exemptions & Landfill Industrial Process - Dec 29: The Michigan Court of Appeals published its opinion in Granger Land Development Co. v. Department of Treasury, Case No. 286355. In the suit involving a tax refund, defendant Department of Treasury (Department) appealed the Court of Claims’ order compelling the Department to refund the full amount of taxes paid by plaintiffs Granger Land Development Company and Granger Waste Management Company (Granger). The Appeals Court said, "the primary question is whether the personal property at issue was exempt from Michigan’s use tax. Because we conclude that the Court of Claims correctly determined that the property at issue was exempt, we affirm."
 
Granger alleged, in part, that the materials and equipment that it used or consumed (i.e. the tire shreds, gravel, liners, piping, and bulldozers) were used or consumed as part of an industrial process; namely, the processing of solid waste to generate gas. Because it used or consumed the materials and equipment as part of an industrial process, Granger argued that it was entitled to the exemption from sales and use taxation applicable to materials and equipment used in industrial processing. In response, the Department argued that the materials and equipment were not used in an industrial process or, in the alternative, that they were nevertheless not entitled to the exemption because the materials were incorporated into real property and the equipment was used to groom real property.
   
Access the complete opinion (click here). [*MISolid]

 
Executive Order Will Consolidate MDMB & MDIT - Dec 30: Governor Granholm announced her latest effort to streamline State government with Executive Order 2009-55, that will consolidate the Department of Management and Budget (MDMB) and the Department of Information Technology (MDIT) into a new Department of Technology, Management and Budget (MDTMB). After a 60-day legislative review period, the Executive Order will take effect March 21, 2010. 
 
The new MDTMB will further integrate information technology into the administrative services presently provided by MDMB and MDIT. Granholm said, "We are restructuring and streamlining state government to provide better service at less cost to taxpayers. Through the use of information technology, this new department also will continue our work in improving efficiency and making government services more accessible to citizens."
   
Access a release with further details (click here). Access EO 2009-55 (click here). [*MIAll]
 

 
Varnum Alert On Large Buildings & New GHG Reporting Requirements - Jan 4: The Varnum law firm, one of the WIMS Corporate Sponsors, has issued an announcement indicating that commercial and institutional buildings -- including hospitals, universities, and large office buildings -- could be affected by new greenhouse gas (GHG) reporting requirements recently announced by the U.S. EPA [See WIMS 9/22/09]. The new regulations call for subject facilities to begin monitoring their GHG emissions on January 1, 2010, and file their first annual reports by March 31, 2011.
 
Varnum indicates that among the various "sources" covered by the reporting regulations are commercial and institutional buildings with GHG emissions of 25,000 metric tons per year or more from “stationary fuel combustion sources” located at the subject facility. Stationary fuel combustion sources can include (but are not limited to) boilers, combustion turbines, engines, incinerators and process heaters.  Any facility with an aggregate maximum rated heat input capacity in excess of 30 mmBtu/hr for all of the stationary combustion units at the facility will need to do further calculations to determine if it meets the threshold for reporting.  
 
Varnum indicates that EPA estimates that up to 25 percent of commercial and institutional buildings will be required to report their emissions under the new rule. This includes office buildings, hospitals, schools, universities or other large facilities. In many instances, these facilities will be subject to regulation under the Clean Air Act for the first time. Buildings on contiguous or adjacent properties will count as one facility for reporting purposes.  Therefore, businesses and institutions with "campuses" will be required to report their aggregate GHG emissions from all “stationary fuel combustion sources” within the subject facility. Varnum says, "While the new reporting regulations do not limit or otherwise restrict GHG emissions, they are a precursor to future federal GHG limitations, either via a cap and trade system or a carbon tax."
 
The final rule was signed by the EPA Administrator on September 22, 2009. On October 30, 2009, the final rule was published in the Federal Register under Docket ID No. EPA-HQ-OAR-2008-0508-2278. The rule became effective December 29, 2009.
 
Access the complete Varnum announcement (click here). Access EPA's Final Mandatory Reporting of Greenhouse Gases Rule with links to the final regulations and extensive background information (click here). Access EPA's docket for this rulemaking with documents, comments and background (click here). Access information on becoming a WIMS Corporate Sponsor (click here). [*MIAir, *MIClimate]
 

 
Michigan Legislative Tracking (12/31)
 
Click on the bill number for complete status, full text, & analyses. Uppercase is Senate action; lowercase is House action. For a complete list of environmental legislation this session (click here).

IN THE GOVERNOR'S OFFICE

HB 5375 of 2009 Energy; alternative sources; renewable energy and energy efficiency grant and loan program; create, and establish restricted fund. Creates new act. [Presented to Governor]
 
HB 5469 of 2009 Michigan business tax; credit; additional credit for advanced battery manufacturing; provide for, and extend deadline. [Presented to Governor]
 
SB 0818 of 2009 State agencies (existing); natural resources; powers and duties of the department of environmental quality under Michigan business tax act; transfer to the department of natural resources. [PRESENTED TO GOVERNOR]

IN THE HOUSE

HB 5220 of 2009 Environmental protection; air pollution; air emissions fees; modify. [Conference Committee]

IN THE SENATE

SB 1040 of 2009 Environmental protection; air pollution; burning ban exemption for open burning of certain wooden apple bins; provide for. [COMMITTEE]


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