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1997-1202_CALIF, STATE OF_F3_Agenda Report0 0 AGENDA ITEM December 2, 1997 TO: George Scarborough, City Manager FROM: Thomas Tomlinson, Planning Director SUBJECT: Authorization to Participate in the South Orange County Permit Consolidation Zone RECOMMENDATION: By Motion, at the conclusion of the public hearing, adopt the attached draft resolution authorizing the City to participate with other South County Cities in the submission of a proposal to the State of California to Designate South Orange County as a "Permit Consolidation Zone." A. SUMMARY AND RECOMMENDATION - In 1996, the State of California enacted a Permit Consolidation Zone Pilot Program to test a new model for simplifying environmental protection and permitting of business facilities required by State and other outside agencies. In a designated zone, environmental permits would be condensed into a single facility compliance plan to be reviewed within forty-five (45) days through an expedited process coordinated by Zone staff with applicable State and other responsible (permitting) agencies. The premise is that the Zone's more advanced screening for environmental requirements and centrally coordinated approval process would enhance environmental protection and alleviate businesses of the coordination responsibility with individual State and regional agencies to receive necessary permits to conduct a business. Such a central clearinghouse would enhance the region's competitiveness by reducing duplication time and expense in securing such permits. The primary beneficiary would be businesses and developments that need to secure special permits that are in addition to regulatory permits that are required by the City. Staff recommends that the City Council consider the program and approve the draft resolution and support attachments authorizing the City to participate with other South County cities in submitting a proposal to the State to designate South Orange County as a "Permit Consolidation Zone". B. STAFF ANALYSIS - City staff working in conjunction with the State, has developed an executive summary style draft proposal (with attachments) for testing the pilot project and designating all of South Orange County as a Permit Consolidation Zone. The proposal, which must be submitted to the State by December 31, 1997, calls for the South Orange County Permit Assistance Center to be converted into the Zone and for the State to provide any necessary additional resources for the administration of the program. The Zone would have FOR CITY COUNCIL CC=:; r—S LI AGENDA ITEM -2- December 2, 1997 a five (5) member local Policy Board to supervise the Zone's work based on advice from a city and environmental agency management committee. The initial task of the Policy Board would be to oversee the development of the following : * Development of environmental and regulatory review forms. * Development of a model facility compliance plan. * Develop training programs for all participating agency staff. * Study and recommend technology, software and internet access for participating agencies. * Development and implement integrated inter -agency public information and outreach program The Zone would be tested for seven (7) months, a study would be prepared to demonstrate if the permitting process with regional and state agencies with local presence is feasible, and if the Zone shows clear benefits, the participating agencies would enter into an agreement to fully implement the pilot project in 1998. The Zone, which has no adverse affect on city processes, would at a minimum provide an increased local environmental agency presence. A South Orange County Permit Consolidation Zone could substantially enhance the region's competitiveness and provide lessons to implement statewide to simplify protection of the environment for economic development. FINANCIAL CONSIDERATIONS No fiscal impact. As currently outlined the City would not be responsible for any financial contributions for administering the program. The State could respond to the proposal with a request for a local contribution providing cities an option, without obligation, to contribute resources for the project to proceed. COMMUNITY REDEVELOPMENT AGENCY Property and business owners located within the Community Redevelopment Agency would be able to take advantage of the services offered under this program. PUBLIC NOTIFICATION A public notice of consideration of this agenda item has been published in the "Capistrano Valley News" and has been posted at designated locations per Council resolution. OTHER COMMISSION/COMMITTEE RECOMMENDATIONS Not Applicable. 0 0 AGENDA ITEM -3- December 2, 1997 ALTERNATE ACTIONS Authorize participation in the South County Permit Zone pilot program. 2. Determine not to participate in the South County Permit Zone pilot program. Continue the agenda item and request additional information. RECOMMENDATION By Motion, at the conclusion of the public hearing, adopt the attached draft resolution authorizing the City to participate with other South County Cities in the submission of a proposal to the State of California to Designate South Orange County as a 'Permit Consolidation Zone." Respectfully submitted, Thomas Tomlinson Planning Director AAREPORT.WRD Attachments: 1. Draft City Council Resolution 2. Draft Partnership Agreement with exhibits RESOLUTION NO. 97-12-2-7 I I 11117AILIREXIIJU51 I► IJ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA, APPROVING SUBMISSION OF A PROPOSAL TO THE STATE OF CALIFORNIA TO DESIGNATE SOUTH ORANGE COUNTY AS A PERMIT CONSOLIDATION ZONE WHEREAS, California is a world leader in environmental and regulatory standards. Regulations incrementally and collectively developed by all levels of government over the past twenty-five (25) years have created difficult and confusing compliance processes that often frustrate applicants that must obtain permits to develop and operate from multiple agencies and local jurisdictions; and, WHEREAS, California completes with neighboring jurisdictions for the job - generating employers essential to a healthy economy and maintaining a high quality of life. Therefore, the State and local jurisdictions have a compelling interest in providing a competitive business environment, and, WHEREAS, both environmental protection and competitiveness can be substantially enhanced with improved efficiency and coordination of government agency permit processes; and, WHEREAS, permit consolidation zones work in harmony with provisions of the California Environmental Quality Act and are a new model for possible further improvement of the environmental protection and permit processes under "California's Permit Consolidation Zone Pilot Program"; and, WHEREAS, within a permit consolidation zone, as set forth in Public Resources Code Section 10400 et. seq., environmental permits of multiple Participating Agencies are condensed into a single Facility Compliance Plan that the agencies approve through a centrally coordinated and expedited review process; and, WHEREAS, South Orange County has characteristics making the region an optimal area to be designated as a permit consolidation zone: extensive sub -regional development is underway, local agencies promote environmental protection and business -friendly policies; the business community seeks more convenient access to the Environmental Agencies which have minimal physical presence in the area; and, the Mayors and City Managers hold regular meetings to coordinate regional policy efforts; and, WHEREAS, permit consolidation zone designation will provide the South Orange County Participating Agencies with an opportunity to substantially influence development of a new model for environmental protection and to secure a substantial competitive advantage in regional economic development efforts; and, -t- WHEREAS, the City of San Juan Capistrano desires to join with other South Orange County Cities, and applicable Environmental Agencies with jurisdiction in South Orange County, in seeking to be designated as a permit consolidation zone as part of the pilot program to evaluate the effectiveness of such a new administrative program; and, WHEREAS, other South Orange County agencies are committed to work in good faith to ensure the optimal success of a South Orange County permit consolidation zone for the betterment of South Orange County and the State of Calfiornia. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San Juan Capistrano does hereby resolve as follows: 1. The City of San Juan Capistrano authorizes participation in a South Orange County permit consolidation zone consistent with the terms and provisions of the document entitled "A Proposal To Designate and Create a South Orange County Permit Consolidation Zone," dated October 27, 1997, and endorses said proposal. 2. The City of San Juan Capistrano authorizes the proposal to be conveyed by the Mayor of the City of Lake Forest on behalf of the South Orange County Cities and all of the proposed participating agencies to the Secretary for the Calfiornia Environmental Protection Agency and the Secretary of the California Trade and Commrerce Agency no later than December 31, 1997. 3. The City Clerk shall convey a certified and signed copy of this resolution, and proof of notice of the public hearing, to the Mayor of the City of Lake Forest within ten (10) days of this resolution being approved and adopted. PASSED, APPROVED, AND ADOPTED this 2nd day of December 11997. ATTEST: 1 JONES, MAYOR -z- 0 0 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF SAN JUAN CAPISTRANO ) I, CHERYL JOHNSON, City Clerk of the City of San Juan Capistrano, California, DO HEREBY CERTIFY that the foregoing is a true and correct copy of Resolution No. 97-12-2-7 adopted by the City Council of the City of San Juan Capistrano, California, at a regular meeting thereof held on the 2nd day of December 1997, by the following vote: AYES: Council Members Swerdlin, Greiner, Hart, Campbell and Mayor Jones NOES: None ABSTAIN: None ABSENT: None (SEAL) CHERYL JOHNSOTIV, CITY CLERK -3- PARTNERSHIP AGREEMENT TO CREATE A SOUTH ORANGE COUNTY "SIMPLIFIED PROTECTION OF THE LNVIRONMENT FOR ECONOMIC DEVELOPMENT" PERMIT CONSOLIDATION ZONE This Agreement is entered into this_ day of 1997, by and between the State of California, ("State"), California Environmental Protection Agency ("Cal/EPA"), State Water Resources Control Board, Regional Water Quality Control Board Region 8, Regional Water Quality Control Board Region 9, California Trade and Commerce Agency, Resources Agency, Department of Fish and Game, Department of Toxic Substances Control, the County of Orange ("County"), the South Coast Air Quality Management District, the Orange County Fire Authority, Aliso Water Management Agency, South East Regional Reclamation Authority, Irvine Ranch Water District, Santa Margarita Water District (collectively "Environmental Agencies"), and the City of Dana Point, City of Irvine, City of Laguna Niguel, City of Laguna Beach, City of Laguna Hills, City of Lake Forest, City of Mission Viejo, City of San Clemente, City of San Juan Capistrano, (collectively "Cities") (all parties collectively referred to as "Participating Agencies"). The parties hereto agree as follows: Section 1. RECITALS. A California is a world leader in environmental and regulatory standards. However, the regulations incrementally and collectively developed by all levels of government over the past twenty-five (25) years have created confusing compliance processes that often frustrate permit applicants. B. California competes with neighboring jurisdictions for the job -generating employers essential to a robust economy and a high quality of life. Therefore, the State has a compelling interest in providing a competitive business environment. C. Environmental protection and competitiveness can both be substantially enhanced with improved efficiency of government agency permit processes. D. Permit consolidation zones work in harmony with provisions of the California Environmental Quality Act (CEQA) and are a new model for further improving environmental protection and permit processes under "California's Permit Consolidation Zone Pilot Program." E. Within a permit consolidation zone, as set forth in Public Resources Code Section 10400 et. sM., environmental permits of multiple Participating Agencies are condensed into a single Facility Compliance Plan that the agencies approve through a centrally coordinated and expedited review process. ATTACHMENT 2 0 0 F. South Orange County has many characteristics making the region an optimal area to be designated as a permit consolidation zone: extensive new development is underway, local agencies promote environmental protection and business -friendly policies, the business community seeks more convenient access to the Environmental Agencies which have minimal physical presence in the area, and the Mayors and City Managers hold regular meetings to coordinate regional policy efforts. G. Permit consolidation zone designation will provide the South Orange County Participating Agencies with an opportunity to substantially influence development of a new model for environmental protection and to secure a substantial competitive advantage in regional economic development efforts. H. The South Orange County Cities desire to be designated a permit consolidation zone and the Environmental Agencies with jurisdiction in South Orange County desire to participate in a permit consolidation zone. I. Therefore, the parties to this agreement proudly seek to create a South Orange County permit consolidation zone and unequivocally commit to work together in good faith to ensure the optimal success of this program for the betterment of South Orange County and the State of California. Section 2. TERM The term of this agreement commences upon designation of South Orange County as a permit consolidation zone by the Secretary of the California Environmental Protection Agency ("CaUEPA") on or before July 1, 1988, and ends upon December 31, 2002. Commencing on July 1, 2001, the parties will collectively evaluate the performance of the permit consolidation zone and the merits of renewing this agreement. Section 3. NAME. The permit consolidation zone this agreement creates shall hereinafter be referred to by the parties as: "The South Orange County SPEED Zone" or "SPEED Zone". Herein the word "SPEED" is an acronym the parties understand to mean "simplified Protection of the Environment for Economic Development." Section 4. GEOGRAPHIC AREA. The geographic area of the SPEED Zone shall be as shown on Exhibit "A" hereto. 2 Section 5. PERMITS, The Participating Agency permits hereby condensed into facility compliance plans within the SPEED Zone are listed on Exhibit "B" hereto. The parties shall continue working to expand as practicable the number, scope and types of environmental agency permits to be included in facility compliance plans. Section 6. INTEGRATION OF CEOAA AND FACILITY COMPLIANCE PLAN PROCESSES This agreement preserves the existing municipal planning and building processes and provides for an integrated inter -agency environmental and regulatory approval process for proposed business projects, as follows: A. Initial Environmental and Reg lt� atory Review. Upon initial submission of all new site plans or tenant improvement plans, the Cities and County planning and/or building staff, and Environmental Agencies permitting staff, she complete an initial environmental and regulatory review of the project, using a new form to be designed by the parties. B. SPEED Zone Notified. When the initial environmental and regulatory review identifies environmental and regulatory issue(s) pertaining to a project that are under the jurisdiction of another agency, the Cities and County planning and/or building staff, and Environmental Agencies permitting staff, shall notify the SPEED Zone about the project. C. Determination of Whether to Prepare Facility Compliance Plan. The SPEED Zone will confer with the project proponents, assess the regulatory issue(s) presented, and reach a determination as to whether preparing a facility compliance plan or pursuing individual permits is most advantageous to the project proponent. D. Notice of Intent to Prepare Facility Compliance Plan Upon determining that preparing a facility compliance plan will be most advantageous, a project proponent shall provide the SPEED Zone Administrator a written notice of intent to prepare and substitute a facility compliance plan for individual environmental permits. The SPEED Zone Administrator shall transmit a copy of the notice of intent with information on the project's initial environmental and regulatory review to each SPEED Zone point of contact at each participating agency with jurisdiction over the project. The notice of intent shall be provided to the SPEED Zone Administrator not less than sixty (60) days prior to the intended date of submittal of a facility compliance plan. Upon providing notice of intent a project proponent becomes a "plan applicant". 3 0 0 E. Pre -Submission Process. The filing of a notice of intent commences a sixty (60) day pre -application process wherein the SPEED Zone Administrator facilitates discussions between the plan applicant and environmental agency representatives regarding the nature and scope of the project and relevant regulatory requirements. These discussions shall clarify the information a facility compliance plan must contain to be determined complete and adequate. F. Facility Compliance Plan Submission. Anytime subsequent to filing a notice of intent to prepare a facility compliance plan, a plan applicant may submit a proposed facility compliance plan to the SPEED Zone Administrator. The plan applicant shall concurrently submit a copy of the facility compliance plan to each participating permitting agency that must determine that the facility compliance plan is complete and adequate. G. Facility Compliance Plan Review. The participating permitting agencies with jurisdiction shall review the facility compliance plan and transmit to the SPEED Zone Administrator a written determination whether the proposed facility compliance plan is complete and adequate within forty-five (45) days of facility compliance plan submission. H. Determination of Completeness and Adequacy. Within five (5) days of receiving all required determinations that a facility compliance plan is complete and adequate from the appropriate permitting agencies, the SPEED Zone Administrator shall concurrently transmit a consolidated determination that the facility compliance plan is complete and adequate to the plan applicant and the Secretary of Cal/EPA. Deficient Facility Compliance Plans. If during the forty-five (45) day review period, a facility compliance plan is deemed not to be complete and adequate, the permitting agencies shall prepare and transmit a "Letter of Deficiency" to the plan applicant and SPEED Zone Administrator. The Letter(s) of Deficiency shall specify those parts of the facility compliance plan that are deficient accompanied by a thorough description of the additional information and revisions needed in order for the facility compliance plan to be determined complete and adequate. J. Revised Facility Compliance Plan Submission and Approval, The plan applicant shall revise the facility compliance plan incorporating the additional information and revisions described in the Letter(s) of Deficiency and resubmit the facility compliance plan in accordance with Section 6F. Within thirty (30) days of re -submission of the facility compliance plan, the permitting agencies shall determine whether the facility compliance plan is complete and adequate or remains deficient and notify the SPEED Zone Administrator in writing. If the facility compliance plan is determined to be complete and adequate the SPEED Zone Administrator shall provide the notifications as required under 6H above. If a permitting agency determines that a facility compliance plan continues to be deficient, the SPEED Zone Administrator shall El organize a reconciliation meeting with the plan applicant, the permitting agency staff, and the permitting agency ombudsman, to promptly resolve facility compliance plan deficiencies so the facility compliance plan can be determined complete and adequate. K. Discretionary Determinations of Completeness and Adeauacv If a permitting agency does not respond within the thirty (30) day period and does not participate in the SPEED Zone Administrator's reconciliation meeting, the SPEED Zone Administrator, in consultation with the Office of the Secretary of Cal/EPA, may determine the facility compliance plan is complete and adequate. If after a SPEED Zone reconciliation meeting, neither the permitting agency or SPEED Zone Administrator determine a facility compliance plan is complete and adequate, the SPEED Zone Administrator shall provide the plan applicant a "Finding of Deficiency". The Finding of Deficiency shall state the reasons that portions of the facility compliance plan preclude a determination of completeness and adequacy. The Finding shall also state the permitting agency and its appeal authority, that has jurisdiction over the deficient portion(s) of the facility compliance plan. The Finding may also grant provisional determination of completeness and adequacy for those portions of the facility compliance plan deemed acceptable with a final determination of completeness and adequacy on the deficient portion(s) contingent on the results of the appeal or a subsequent facility compliance plan revision. L. FacUb Compliance Plan Modifications If a plan applicant, subsequent to receiving a determination that a facility compliance plan is complete and adequate, makes a significant modification in the processes or operations of the facility, or if regulations change so that an operationally significant modification to the facility is required in order for the facility to achieve regulatory compliance, the plan applicant may ask the SPEED Zone Administrator to request permitting agency analyses and preparation of any necessary Letter(s) of Deficiency from each of the permitting agencies consistent with Section 6I above. After reviewing the Letter(s) of Deficiency and making any necessary changes to the facility compliance plan, or the facility and operation, the plan applicant may re -submit the revised facility compliance plan for a determination of completeness and adequacy under Section 6J above. M. Anneals By Facility Compliance Plan Applicants. A plan applicant that receives a Finding of Deficiency under 6K above, and seeks reconsideration, must concurrently file an Appeal Petition with the SPEED Zone Administrator and the appeal authority of the permitting agency with jurisdiction over the portion(s) of the facility compliance plan found to be deficient. Thereafter, the appeal shall be considered in accordance with the procedures of the environmental agency with jurisdiction over the portion of the facility compliance plan being appealed. A plan applicant that receives a Finding of Deficiency, and is unsuccessful on appeal, and later seeks to submit a revised facility compliance plan, may be required to start the facility compliance plan approval process and time schedule at 6C above. 5 11 i Section 7. SPEED ZONE COORDINATION AND CONSULTATION SERVICES A. Coordinated Inspections. The SPEED Zone Administrator shall coordinate the timing and scheduling of permitting agency inspections of plan applicant facilities to ensure implementation of the complete and adequate facility compliance plan. The inspections may be consolidated, or scheduled sequentially, depending on what is efficient so that all necessary permitting agency and plan applicant staff are present when actually needed during inspections. B. Consolidated Fees. There shall be no fee for SPEED Zone services. The SPEED Zone will provide a consolidated fee statement that specifies the fees payable to each permitting agency making a determination of completeness and adequacy of a portion of a facility compliance plan. The plan applicant shall submit a single fee payment to the SPEED Zone. On or before the twenty-fifth (25th) day each month, the SPEED Zone financial management services office shall transmit a consolidated payment of fees to each permitting agency with an itemized accounting of the facility compliance plans, project numbers, and fees paid, for all facility compliance plans determined to be complete and adequate during the prior month. C. Business Assistance Services. The SPEED Zone will assist any existing or prospective business with determining regulatory requirements and steps necessary to achieve compliance with regulations of all levels of government. D. Environmental Impact Reports Cities shall transmit to the SPEED Zone Administrator copies of all Notices of Preparation of Environmental Impact Reports, Mitigated Negative Declarations, and Negative Declarations, concurrent with filing such documents with the State Clearinghouse as required under CEQA. The SPEED Zone will coordinate any environmental agency review to ensure timely and substantive comments on environmental impact reports. The SPEED Zone will also initiate contact with project proponents as described in 6C above. Section 8. SPEED ZONE ORGANIZATION A. Policy Board. A five (5) member SPEED Zone Policy Board ("Policy Board") shall be appointed within thirty (30) days of the Secretary of Cal/EPA designating South Orange County as a permit consolidation zone. One Policy Board member shall be designated by each of the following: Secretary of Cal/EPA, the County of Orange Board of Supervisors, South Orange County Association of Mayors, South Orange County Chambers of Commerce. One (1) Policy Board member will be elected by the General Managers of the participating sewer/sanitation agencies. The designation of Policy Board members shall be made in writing to the Secretary of Cal/EPA. Policy Board members shall serve one (1) year terms expiring on December 31st of each year. The Policy Board shall elect a chair person, hold regular meetings at least quarterly, approve policies, action plans, reports, and recommend resource levels. 0 0 0 B. Joint Participating Agencies Committee There shall be a Joint Participating Agencies Committee ("J -PAC") comprised of two (2) separate subcommittees: a Cities/County Planning and Development Subcommittee, and an Environmental Agencies Subcommittee. The J -PAC shall meet together or as subcommittees as needed to review work completed in accordance with the SPEED Zone action plan and make recommendations to the Policy Board. Each participating agency shall designate a representative to participate in the J -PAC meetings or subcommittees, and designate a point of contact for handling day-to-day routine SPEED Zone matters. C. Zone Administrator. Upon the effective date of this agreement and continuing through December 31, 1999, the SPEED Zone Administrator will be the Director of the Orange County Permit Assistance Center under the supervision of Cal/EPA. Thereafter, the Policy Board shall have authority to appoint a SPEED Zone Administrator for a term specified by the Policy Board. The SPEED Zone Administrator's duties are set forth on Exhibit "C" hereto. D. Action Plan. Upon the effective date of this agreement, until the Policy Board is appointed an approves and action plan, the SPEED Zone's action plan shall be as shown on Exhibit "D". Section 9. SPEED ZONE PRIORITY The fundamental purpose of the SPEED Zone is to simplify environmental and regulatory permitting and to expedite approvals. The parties will make every reasonable good faith effort to address SPEED Zone issues in an appropriately expedited fashion reasonable under circumstances that may be presented to ensure performance of service under this agreement. Section 10. TERMINATION. In the event the parties terminate the SPEED Zone at the conclusion of the term of this agreement, the following shall apply: A. Facility Compliance Plans Enforceable. Facility compliance plans deemed complete and adequate through the SPEED Zone process shall remain in effect until such time that permitting agency individual permits are issued and replace the facility compliance plan. A facility operating under a facility compliance plan shall not be denied an individual operating permit for the operations conducted pursuant to a complete and adequate facility compliance plan except in cases where such operations are in conflict with laws, regulations, or ordinances applicable at the time the facility compliance plan is converted to an individual permit. B. Agencies Convert Facilijy Compliance Plans Environmental Agencies shall assume the responsibility for and undertake such administrative procedural steps deemed necessary to convert facility compliance plans into individual permits, but shall not place on plan applicants the conversion burden or costs. 7 C. Successor in Interests. Upon termination of the SPEED Zone, all assets and liabilities of the SPEED Zone shall be transferred to the State of California, CaVEPA. Section 11. NOTICE. Notice provided pursuant to this agreement shall be addressed and transmitted to the parties via U. S. Mail or telefax as listed on Exhibit "E -I ", "E-2", and "E-3" hereto. Section 12. SIGNATURES The signatures of authorized Participating Agency representatives executing this agreement appear on Exhibits "F-1", "F-2", and "F-3" hereto. \P-agL003 E Exhibit "A" Geographic Area of Proposed Zone The geographic area of the proposed South Orange County Permit Consolidation Zone appears on the map below. Exhibit "A" 0 Exhibit 'B" 9 Permits Condensed Into Facility Compliance Plans Air Quality Permits - Equipment abrasive blasting automotive spray booths boilers charbroilers charbroilers with catalysts degreasers dry cleaning equipment emergency ICFs vapor extraction systems Water Permits notices of intent for statewide general industrial stormwater permit notices of intent for statewide general construction stormwater permit Biological Approvals streambed alteration agreements Hazardous Materials Permits above/below ground tanks on-site treatment of hazardous materials hazardous materials disclosure Sanitation Permits source control waste discharge Exhibit "B" Exhibit "C" SPEED Zone Administrator's Duties Serve as SPEED Zone Policy Board staff. Direct the work and supervise SPEED Zone staff and SPEED Zone financial services office. Coordinate the efforts of participating Cities and Environmental Agencies individually or collectively as SPEED Zone committees or subcommittees to complete the SPEED Zone action plan. 4. Monitor the coordination and cooperation of all permitting agencies. 5. Monitor the review of Plans by permitting agencies and facilitate optimal inter -agency coordination in order to expedite Plan review. 6. Provide Plan applicants with a consolidated fee statement specifying the individual fees payable to each permitting agency making a determination of completeness and adequacy for a portion of a Plan. Monitor activities of permitting agencies to ensure conformance with the California Environmental Quality Act ("CEQA"). 8. Ensure the transmittal of Plans determined to be complete and adequate to the Secretary of Cal/EPA. 9. Notify Plan applicants when a Plan is determined to be complete and adequate and has been transmitted to the Secretary of Cal/EPA. 10. Prepare an annual a report to the Secretary of Cal/EPA on the performance of the SPEED Zone. Exhibit "C" Ten Point SPEED Zone Action Plan Receive Policy Board guidance and coordinate with the J -PAC to accomplish the action plan . Establish start date for SPEED Zone operations. 2. Develop the following forms: a) initial environmental and regulatory review form b) notice of intent to prepare a facility compliance plan c) determination of completeness and adequacy c) letter of deficiency d) finding of deficiency Develop a model facility compliance plan 4. Develop SPEED Zone training programs a) SPEED Zone staff b) county/city planning and building staff and environmental agency permitting staff 5. Develop uniform inter -agency project numbering system 6. Recruit SPEED Zone staff (develop job specifications, recruitment notices, advertise, hold interview panels, appoint). 7. Study and recommend technology, software, and internet access for Participating Agency to procure and implement to ensure inter -agency compatibility 8. Complete Request for Proposals process for facilities, equipment, and financial management services OR prepare a lease/contract option for Policy Board 9. Implement facilities plan and financial management plan approved by Policy Board. 10. Develop and implement integrated inter -agency public information and outreach program. Exhibit "D" 0 0 Exhibit "E-1" Notice under this agreement shall be provided as follows. State of California California Environmental Protection AeencX Secretary 555 Capital Mall, Suite 525 Sacramento, CA 95814 Tel: (916) 323-2520 Fax: (916) 445-5563 State Water Resources Control Board Executive Director 901 P Street Sacramento, CA 95814 Tel: (916) 657-0941 Fax: (916) 657-0932 Regional Water Quality Control Board Executive Officer, Region 8 3737 Main Street, Suite 500 Riverside, CA 92501 Tel: (909) 782-4130 Fax: (909)781-6288 Regional Water Quality Control Board Executive Officer, Region 9 9771 Claremont Mesa Blvd., Suite A San Diego, CA 92501 Tel: (619) 467-2952 Fax: (619)571-6972 California Trade and Commerce Agency Secretary 801 K Street, Suite 1900 Sacramento, CA 95814 Tel: (916) 322-1394 Fax: (916)323-2887 Exhibit "E-1" The Resources Agency Secretary 1416 Ninth Street, Suite 1311 Sacramento, CA 95814 Tel: (916) 322-0504 Fax: (916)653-8102 Department of Fish and Game Deputy Regional Manager, Region 5 330 Golden Shore, Suite 50 Long Beach, CA 90802 Tel: (562) 590-5113 Fax: (562)590-5871 Department of Toxic Substances Control Director 400 P Street, 4th Floor Sacramento, CA 95814 Tel: (916) 322-0504 Fax: (916)323-3215 0 0 Exhibit "E-2" Notice under this agreement shall be provided as follows. County of Orange and Regional Agencies CoupAy of Orange Chief Executive Officer 1 Civic Center Plaza, 3rd Floor Santa Ana, CA 92703 Tel: (714) 834-6200 Fax: (714) 834-3018 Orange County Fire Authority Director of Fire Services 180 Water Street Orange, CA 92666 Tel: (714) 289-7416 Fax: (714) 538-8359 Irvine Ranch Water District General Manager 15600 Sand Canyon Road Irvine, CA 92618 Tel: (714) 453-5300 Fax: (714) 453-0228 South (bast Air Quality Management District Executive Officer 21865 East Copley Drive Diamond Bar, CA 91765 Tel: (909) 396-3407 Fax: (909) 396-3340 Exhibit "E-2" Santa Margarita Water District General Manager 26101 Marguerite Parkway Mission Viejo, CA 92690 Tel: (714) 459-6401 Fax: (714) 459-6463 Aliso Water Manaeement Agency General Manager 30290 Rancho Viejo Road San Juan Capistrano, CA 92675 Tel: (714) 489-7730 Fax: (714) 489-7724 South East Reeional Reclamation Authority General Manager 30290 Rancho Viejo Road San Juan Capistrano, CA 92675 Tel: (714) 489-7730 Fax: (714) 489-7724 0 0 Exhibit "E-3" Notice under this agreement shall be provided as follows. South Orange County Cities City of Dana Point City Manager 33282 Golden Lantern Dana Point, CA 92629 Tel: (714) 248-9890 Fax: (714)248-9920 City of Irvine City Manager One Civic Center Plaza P.O. Box 19575 Irvine, CA 92623 Tel: (7I4) 724-6246 Fax: (714)724-6045 City of Laguna Niguel City Manager 27801 La Paz Road Laguna Niguel, CA 92656 Tel: (714) 362-4376 Fax: (714)362-4340 City of Laguna Beach City Manager 505 Forest Avenue Laguna Beach, CA 92651 Tel: (714) 497-0704 Fax: (714)497-0771 City of Lake Forest City Manager 23161 Lake Center Drive, Suite 100 Lake Forest, CA 92630 Tel: (714) 461-3412 Fax: (714)461-3510 City of Mission Viejo City Manager 25909 Pala, Suite 200 Mission Viejo, CA 92691 Tel: (714) 470-3051 Fax: (714) 470-9140 City of San Clemente City Manager 100 Avenida Presidio San Clemente, CA 92672 Tel: (714) 361-8322 Fax: (714)361-8283 City of San Juan Capistrano City Manager 32400 Paseo Adelanto San Juan Capistrano, CA 92675 Tel: (714) 493-1171 Fax: (714)493-1053 City of Laguna Hills City Manager 25201 Paseo de Alicia, Suite 150 Laguna Hills, CA 92653 Tel: (714) 707-2610 Fax: (714)707-2614 Exhibit "E-3" E Exhibit "F -I" This Agreement is executed this day of State of California 0 1998, by the parties below. California Environmental Protection Agency California Trade and Commerce Agency Peter M. Rooney Secretary State Water Resources Control Board Walt Pettit Executive Officer Regional Water Quality Control Board Gerard Thiebeault Executive Officer, Region 8 Regional Water Quality Control Board John H. Robertus Executive Officer, Region 9 Lee Grissom Secretary The Resources Agency Douglas Wheeler Secretary Department of Fish and Game Sandy Shaffer Director Department of Toxic Substances Control Exhibit "F-1" Jess Huff Director 0 Exhibit "F-2" This Agreement is executed this day of 9 1998, by the parties below. County of Orange and Regional Agencies County of Orange Board of Supervisors William G. Steiner Chairman of the Board Orange County Fire Authority Chip Prather Director of Fire Services South Coast Air Quality Management District Barry Wallerstein Executive Officer Irvine Ranch Water District Ronald E. Young General Manager Santa Margarita Water District John Shatz General Manager Aliso Water Management Agency David Caretto General Manager South East Regional Reclamation Authority Exhibit "F-2" David Caretto General Manager 0 0 Exhibit "F-3" This Agreement is executed this day of 1998, by the parties below. South Orange County Cities City of Dana Point Mayor City of Irvine Mayor City of Laguna Niguel Mayor City of Laguna Beach Mayor City of Laguna Hills Mayor Exhibit "F-3" City of Lake Forest Mayor City of Mission Viejo Mayor City of San Clemente Mayor City of San Juan Capistrano Mayor ai 0 0 \ )\ E ±f 7} )f } ¥ \ } \ \ } } } \ { } \ IN - . * }2 \ ) a # z § m 0 • Enhancing Environmental Protection and Helping Business Grow: By Implementing California's Permit Consolidation Zone Pilot Program in South Orae County This background issue paper sets -forth the conceptual foundation for proposing a South Orange County Permit Consolidation Zone ("Zone"). The paper, which contains a copy of the Zone pilot program regulation order, analyzes the regulations and South Orange County, to address: • Why the Zone pilot program was created, • The regulatory setting in which the Zone would operate; • How local CEQA and regional environmental permitting processes would complement each other through the Zone; • The services and system enhancements the Zone would provide; • Why South Orange County is an appropriate region in which to implement a Zone pilot project. October 27, 1997 —roma9 ME 0 • A new model for environmental protection and permitting business facilities is set to be tested in California. Under the Permit Consolidation Zone ("Zone") pilot program, the South Orange County cities have an opportunity to submit an application proposing to designate the region as a permit consolidation zone. In a permit consolidation zone, most environmental permits would be condensed into a single facility compliance plan. A facility compliance plan would be reviewed and approved by permitting agencies within forty-five (45) days of being submitted. The facility compliance plan's consolidated permit review process would provide environmental agencies, for the first time in California's history, with routine processes for completing cross -media' environmental review for permitting proposed facility operations. Permit Consolidation Zones were proposed because, while California is a world leader in environmental standards, the regulations incrementally and collectively developed by all levels of government over the past twenty-five (25) years, when taken together, have produced difficult compliance processes that frustrate permit applicants. California competes with neighboring jurisdictions for job -generating employers that fund the state's environmental standards and high quality of life. Therefore, environmental protection and economic progress must work together. Preserving environmental standards while enhancing the state's competitiveness requires that regulatory processes become more efficient to avoid costly delays in obtaining facility permits. In 1992, California launched a substantial regulatory reform effort that has produced important changes including creation of a California Environmental Protection Agency (Cal/EPA), the consolidation of several hazardous materials management programs into regional Certified 'Cross -media project plan review provides for concurrent examination of environmental impacts by air, water, toxics, sewer and biological regulatory agency permitting professionals in order to minimize conflicting project requirements, prevent pollution shifting between environmental media, and efficiently develop informed environmental recommendations that will expedite project permits and approval. 0 0 Unified Program Agencies (CUPAs)' and the formation of regional Permit Assistance Centers.' In 1996, SB 1299 was enacted to create the Permit Consolidation Zone ("Zone") pilot program as a next step in the continuing effort to reform environmental protection and enhance California's competitiveness. The Zone Regulations. The Final Zone Regulation Order developed pursuant to SB 1299, and codified in Public Resources Code Sections 10400 et. sem., was issued in July 1997.° The regulation order provides that cities or counties with populations of more than 5,000 may apply individually or collectively to have all or part of their jurisdiction designated as a Zone. An application must identify among its contents, a designation of a zone administrator, the participating agencies, the types of permits to be consolidated into an facility compliance plan, a map showing the geographic area to be designated as a Zone, and provide an explanation of the proposed operational procedures of the Zone. Jurisdictions choosing to apply must submit applications thirty (30) days after being approved following a noticed public hearing. The applications are to be submitted to a review panel comprised of the Secretary of Cal/EPA and the Secretary of the California Trade and Commerce Agency by December 31, 1997 unless an extension is granted at the discretion of the Secretary of Cal/EPA. Under the Zone pilot program, 'In January 1997, the County of Orange, Health Care Agency, Environmental Health Division was designated as the single Orange County CUPA (OCCUPA). The designation consolidated management and regulation of above/below ground storage tanks and business use and storage of small quantities of hazardous materials under a single agency administration. 'The mission of Permit Assistance Centers is: "To serve as a single point of contact for the business community to access all levels of government and to determine regulatory requirements and achieve compliance in an expeditious and cost effective manner." The Centers respond when businesses exercise the option to seek assistance, but are not automatically contacted components of the routine regulatory permitting system. 'A copy of the Zone Final Regulation Order is shown as Attachment 1. 2 0 0 the Review Panel could designate no more than twenty (20) Zones in California. In determining Zone designations, the review panel would consider the extent of the applicant's past efforts to implement permit streamlining efforts, whether a single CUPA exists and operates in the proposed Zone area, provisions for ensuring public participation in proposing a Zone, and the contents of agreements between the proposed Zone's participating agencies. The review panel is to make Zone designation decisions by June 30, 1998. The Orange County Regulatory Structure Environmental protection involves establishing standards for a quality living environment and implementing programs to achieve those standards. Over the past twenty-five (25) years, environmental laws were enacted and agencies created at all levels of government. In Orange County, the County of Orange and thirty-one (3 1) cities have land use planning authority and are often lead agencies in administering provisions of the California Environmental Quality Act (CEQA). The South Coast Air Quality Management District (SCAQMD) was formed to manage programs to comply with the federal Clean Air Act. The Regional Water Quality Control Boards were formed under the Porter -Cologne Act and administer compliance with State water quality laws and regulations as well as the federal Clean Water Act. The County Sanitation Districts of Orange County (CSDOC) and several smaller water and sewer districts provide for waste water treatment in Orange County. The Department of Toxic Substances Control (DTSC) regulates hazardous materials under the Resource Conservation Recovery Act (RCRA), the Comprehensive Environmental Recovery, Compensation, and Liability Act (CERCLA) and the California Health and Safety Code, and the OCCUPA regulates small quantity use and storage of hazardous materials. The state Department of Fish and Game (DOFG) protects endangered species and their habitat and the U.S. Army Corps of Engineers (ACOE) regulates wetlands. Depending on a business project's type and 0 0 location, some combination of Orange County's more than eighty (80) permitting agencies, and hundreds of permitting officials, will have approval jurisdiction. Without environmental planning and protection, a reliance on freedom of individual choice and market incentives could lead to what has been referred to as a "Tragedy of the Commons". "The rational man finds that his share of the cost of the waste he discharges is less than the purification cost before discharging into the commons. Since this is true for everyone, individual, independent rational choices would lock us into a system of 'fouling our own nest."' The tragedy of the commons is prevented by environmental planning and "coercive laws or taxing devices that make it cheaper for the polluter to treat his pollutants than to discharge them untreated."' In approving new development, the county and cities have land use planning authority and address whether a proposed facility should be approved and located at a particular site considering its environmental impacts. The environmental agencies regulating air, water, sewers, hazardous materials and biological resources assist in those land use planning decisions. After a facility proposed for a particular site is studied and approved, the environmental agencies determine the limits and controls on discharges into the environment to be imposed on facility operations, and the environmental media into which discharges will be allowed, consistent with the environmental agencies' planning and regulatory objectives. In approving new facilities, the county, cities and environmental agencies have shared and exclusive jurisdictions and interests. 'Envision "the Commons" as a shared green pasture open to all, where herdsman individually choose to maximize their economic benefit by gradually adding cattle to graze on the pasture. To each herdsman the choice is economically sound and any negative impact inconsequential. However, many herdsman sharing the pasture, each acting to maximize their economic benefit by adding cattle, could rapidly cause the pasture's carrying capacity to be exceeded producing a "Tragedy of the Commons". Pollution operates in a similar but reverse way. Rather than taking resources from the commons, pollution is placed into the commons. Garrett Hardin, The Tragedy of the Commons, 162 Science 1243-1248 (Dec. 1968). 0 0 CEQA and Local Lead Agencies. Under CEQA, environmental protection begins when a business project is proposed and a "lead agency" is determined. If the proposed project clearly has no potentially significant effect on the environment, then no CEQA analysis is required. If there is obviously going to be a significant effect on the environment, a decision can be made at the outset that an Environmental Impact Report (EIR) must be prepared. Where uncertainty about the potential impact on the environment exists the lead agency will complete an initial CEQA study to examine the potential impacts, determine if they can be mitigated and determine whether an EIR must be prepared. The CEQA analysis is guided by a "CEQA Checklist"' and focuses on factors of concern to the county, cities and environmental agencies. Factors of primary concern to the county and cities are land use and planning, population and housing density, transportation and circulation, noise, aesthetics, and impact on demand for public services. Factors of primary concern to environmental agencies are air quality, water quality, hazardous materials, biological resources, and sewer discharges.' CEQA also provides for a streamlined environmental review enabling project proponents to complete master EIR's for entire planning areas and developments. The master EIR's expedite approvals because separate EIRs are not needed for projects analyzed under the master EIR unless an initial CEQA analysis identifies a project will have a significant environmental impact not examined in the master EIR. CEQA Findines. After completing the initial CEQA analysis on any proposed project, whether new or proposed under a master EIR, the lead agency must reach one of the following conclusions: (1) that a "Negative Declaration" will be prepared because a proposed project (a) 'Under Public Resources Code Sec. 21083, the Office of Planning and Research (OPR) develops guidelines for determining if a project will have a significant effect on the environment. 'All of the planning and environmental evaluation factors listed are contained on the model CEQA initial study checklist prepared by OPR. 0 0 could not have a significant effect on the environment, or (b) could, but will not, have a significant effect on the environment because mitigation measures will be taken as a condition of project approval, or (2) that the proposed project could have a significant impact on the environment and an EIR is required. When potentially significant effects on the environment can be mitigated, the mitigation measures will likely require an environmental agency permit. When adverse environmental effects cannot be mitigated an EIR must be prepared, and at the conclusion of the EIR process, the project can nevertheless be approved.' The process for involving environmental agencies in EIR preparation is automatic9 but the extent of attention EIRs receive in routine evaluation by the agencies is uncertain. When mitigated negative declarations are prepared there is no automatic referral from the lead agency to environmental agencies prompting permit review. Lead agencies often impose as a general condition of project approval that the "project proponent must comply with all regulations" of environmental permitting agencies. Existing Facilities and Tenant Improvements Lead agencies have the option to require CEQA initial studies or EIRs if warranted for businesses proposing to occupy existing facilities upon completion of renovations or tenant improvements. In practice this is rarely required and the CEQA guidelines provide statutory and categorical exemptions from CEQA for classes of facilities, such as facilities being renovated with tenant improvements. Tenant improvement plans are submitted directly to building and fire departments for plan check to determine conformance 'Public Resources Code Sec. 15043 provides: "A public agency may approve a project even though the project would cause a significant effect on the environment if the agency makes a fully informed, publicly disclosed decision that: (a) there is no feasible way to lessen or avoid the significant effect, and (b) specifically identified expected benefits from the project outweigh the policy of reducing or avoiding significant environmental impacts of the project." 'Upon determining an EIR must be prepared for a project, the lead agency must send by certified mail a "Notice of Preparation" to the State Clearinghouse, under OPR which then notifies state and regional environmental agencies with jurisdiction over the project. 0 0 to the Uniform Building Code and the Uniform Fire Code. The cities served by the Orange County Fire Authority (Fire Authority) are supplied an "Occupancy Screening Form" available at public counters to assist in identifying activities using flammable hazardous materials or impacting air quality but despite extensive efforts by Fire Authority to promote use of the form, it is in practice rarely used. The form also is not a comprehensive environmental and regulatory permit screening form because it omits questions that would identify concerns about water quality, sewer system, biological resources, food or health, and worker safety. The Fire Authority has agreed to consider comments and suggestions for modifying the form. Environmental Permit Processes. The diversely located agencies administer separate environmental permit review processes as follows: SCAQMD in Diamond Bar regulates air quality, the RWQCBs in Riverside and San Diego regulate water quality, the CSDOC in Fountain Valley regulates most sewer discharges10, the OCCUPA in Santa Ana and DTSC in Long Beach regulate hazardous materials, and the DOFG in Long Beach and ACOE in Los Angeles regulate biological resources. The permit review processes do not automatically subject facility plans to cross -media review and review process steps vary depending on whether the environmental impact of the facility is anticipated to be major or minor. Facilities anticipated to have a minor impact are often permitted after an on-site agency assessment, filing a Notice of Intent or form agreement committing to comply with general permits or standard regulations, and preparing any required facility operations plans. Facilities with a potentially major environmental impact can be required to have a certified EIR and follow an extensive permit issuance process that can take from six (6) to twelve (12) months including consultations, studies, analysis, permit writing, and a 10Exception: In South Orange County, the Irvine Ranch Water District, Santa Margarita Water District, Aliso Water Management Agency and South East Regional Reclamation Authority all govern discharges to the regional sewer system and waste waster treatment facilities. 7 0 9 often a noticed public hearing before an environmental agency can issue a facility permit. A Zone's FacilityCompliance Plan Review Process Under a Zone, a project proponent ("Facility Compliance Plan Applicant") would provide the Permit Consolidation Zone Administrator sixty (60) days advance notice of intent to prepare and submit an facility compliance plan as a substitute for individual environmental permits. The notice would commence a pre -submission process during which the Zone Administrator would clarify the technical information the applicant would be required to include in a complete and adequate facility compliance plan. Anytime subsequent to completing the pre -submission process, the facility compliance plan applicant could submit the facility compliance plan to the Zone Administrator and each Zone permitting authority that must approve the facility compliance plan. Within forty-five (45) days of receipt of the facility compliance plan, all permitting authorities must specify in writing any facility compliance plan deficiencies with a description of the information needed to make the plan complete and adequate. Upon receiving the revised facility compliance plan, permitting authorities would have thirty (30) days to review the revised facility compliance plan. Upon determining an facility compliance plan is complete and adequate, the Zone Administrator would have five (5) days to file the facility compliance plan with the Secretary of Cal/EPA. Upon filing the facility compliance plan with the Secretary of CaVEPA, all applicable individual environmental permits will be deemed issued." Integrating Processes. The Zone would integrate regional environmental agency permit processes and local development review processes addressing a number of problems and voids between the two systems. The Zone would develop and implement a single "Integrated Environmental and Regulatory Permit Screening Checklist" consistent with CEQA and permitting "Public Resources Code § 10410 et aM. 0 9 agency requirements to be completed for all proposed projects so that all environmental impacts and regulatory issues are automatically identified for all agencies with jurisdiction on every project. The Zone would assist CEQA lead agencies with ensuring responsive participation of environmental agency permitting professionals in completing CEQA initial studies and preparing EIRs. Commercial brokers seeking to sell commercial buildings or lease space in commercial buildings could consult the Zone staff to ensure the building can accommodate the intended use and assess the cost of any environmental mitigation measures likely to be required at a particular facility as part of the purchase or lease decision. The Zone could prompt businesses proposing tenant improvements to concurrently prepare facility compliance plans so environmental permits are issued upon completion of the tenant improvements. Environmental Benefits of a Zone. A Zone would enhance environmental protection by identifying all environmental and regulatory issues as projects are proposed minimizing non- compliance and the need for environmental agency enforcement actions. Proper planning and access to permitting professionals for cross -media review at a single convenient location will permit consideration of cost -benefit trade-offs and allow project proponents to make environmentally informed and economically wise compliance decisions. Public support for high environmental standards and voluntary compliance are certain to be bolstered or preserved when environmental requirements are reasonable and compliance processes are understandable. Economic Benefits of a Zone. The Zone would generate time and cost savings through process efficiency improvements. The Zone's forty-five (45) day facility compliance plan review process would be faster than many individual environmental permit processes and would require less coordination efforts on the part of businesses. The Zone can facilitate the facility compliance plan preparation process running concurrently with the CEQA review process under some W circumstances. Initial review and determination of environmental compliance requirements will minimize unplanned compliance costs and fines that could result from unwitting non-compliance. All of these time and cost savings would contribute to enhancing California's competitiveness as a business environment. A South Orange Coun1y Permit Consolidation Zone Having the nine (9) South Orange County cities12 and adjacent county unincorporated areas as applicants proposing a South Orange County Zone has merit. The cities already engage in regional cooperation through quarterly regional mayors and city managers meetings. All of the South Orange County cities are contract cities, served by OCCUPA, and most are served by the Fire Authority. Few, if any, of the environmental agencies have offices in South Orange County even though most of the new development in Orange County is occurring in South Orange County. Cities and major developers would benefit from consolidated water quality review because South Orange County now falls within the jurisdiction of two separate RWQCBs. The South Orange County Permit Assistance Center is in place and would be an appropriate choice to be designated and serve as the Zone Administrator. CaVEPA, SCAQMD, RWQCB, OCCUPA and the sewer/sanitation agencies could be asked to assign permitting professionals to serve at the South Orange County Zone. Many of the South Orange County cities have reputations for being innovative, fiscally sound, and concerned with ensuring economic development, adopting business -friendly policies, and streamlined permit processes. The benefits of local control that prompted four (4) of the cities to incorporate since 1988 would be amplified as cities influence environmental permitting through a South Orange County Zone. "The "cities" are: Dana Point, Irvine, Laguna Beach, Laguna Hills, Laguna Niguel, Lake Forest, Mission Viejo, San Clemente, San Juan Capistrano. 10 Conclusion. The South Orange County cities should submit an application proposing to be designated as a Zone. South Orange County cities share commonalities of interest that make the region uniquely suited for testing a new model for environmental protection and permitting facilities. A Zone would enhance environmental protection by simplifying the environmental review process while creating routine cross -media review for CEQA initial studies, EIRs, and facility tenant improvements. Condensing individual environmental permits into a single facility compliance plan, approved through an expedited review process, would produce efficiencies, saving time and money, and enhancing competitiveness of businesses. The lessons of a successful pilot Zone could be expanded statewide. In a time when people seek more responsive and cost effective government, improving permitting processes with a permit consolidation zone will make a positive difference in public service and help to achieve a vision of business and government working together for environmental protection and economic progress. II 0 i FINAL REGULATION ORDER Pursuant to SB 1299 Title 27 Environmental Protection Division 1. General Functions and Responsibilities Subdivision 1. Permitting Chapter 4 Permit Consolidation Zone Pilot Program Note: The following is new text to be added to Title 27 of the California Code of Regulations Adopt Title 27, Division 1, Chapter 4, Section 10400 through 10419 of the California Code of Regulations: Article 1. Scope and Applicability 10400 Purpose (a) These regulations establish the implementation framework for a pilot program intended to offer a step toward reforming California's environmental permitting system to make it more responsive, efficient, and timely, while preserving California's commitment to a safe and healthful environment. This pilot program, will allow the creation of up to twenty Permit Consolidation Zones among California's cities and counties. Within these zones, the current system of individually issued environmental permits will be augmented with a voluntary option allowing facilities to substitute a facility compliance plan in lieu of existing environmental permits for new or expanding facilities. The use of facility compliance plans is anticipated to expedite environmental permitting in the designated Permit Consolidation Zones and the pilot will provide an opportunity to test the facility compliance plan concept as a possible new model for environmental regulation. The facility compliance plan represents a new regulatory approach and should be seen by those using these regulations as a new permit concept separate and distinct from existing environmental permits. The facility compliance plan constitutes a replacement for existing environmental permits. Section I of Chapter 5 (commencing with Section 71035) of Division 34 of the Public Resources Code) establishes separate and distinct timeframes for the processing of facility compliance plans. The facility compliance plan must contain all the information required by existing permits and, in addition, represents an opportunity for the compilation of a comprehensive, multimedia statement of environmental operations and management at a facility. Attachment 1 0 0 These regulations implement this program. Elements of the regulations include the application and competitive selection process for those communities who wish to join the pilot, a procedure for facilities to opt into a facility compliance plan, and a'process to institute coordinated inspection and enforcement activities for facilities authorized by a facility compliance plan. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.4-tbf-eugh :P1-035:41-inclusiverPublic.Resources Code Article 2. Definitions 10401 Definitions (a) The definitions contained in this section shall apply only to these regulations. (1) "Complete and adequate" means a determination by a permitting authority that a facility compliance plan contains all the information required by Sections 71035.5(b) and 71035.6(b) of Chapter 5 of Division 34 of the Public Resources Code. A finding that a facility compliance plan is complete and adequate, incorporating all additional conditions as required by the permitting authority, shall result in the approval of the plan for the portion of the plan addressed by the permitting authority. (2) "CUPA" means a certified unified program agency as designated under Chapter 6.11 of Division 20 of the Health and Safety Code. (3) "Day" means for the purpose of these regulations, calendar days. (4) "Environmental permit" means any environmental permit issued by an environmental agency or a certified unified program agency. (5) "Excluded Facility" means any facility involved in the following operations or activities: (A) The incineration of wastes. Incineration does norinclude any combustion process used as part of an air pollution control system. (B) The storage, treatment, transportation, or disposal of radioactive materials. (C) Other activities that the Secretary for Environmental Protection determines, prior to approval of an application for a Permit Consolidation Zone, and based on risks to the environment and to the public health and safety, to be appropriately regulated through individual permits. . (D) Other activities excluded as requested by a city or county in its Permit Consolidation Zone application. (6) "Expanding Facility" means any facility, located within a Permit Consolidation Zone which: (A) Is physically in existence at the time the facility compliance plan is -submitted; (B) Is in compliance with all applicable regulations prior to the date of submittal of a facility compliance plan to the Permit Consolidation Zone Administrator. and (C) Requires a new or amended environmental permit to conduct a new or modified activity. (7) "Facility" means the site presently engaged in or at which an activity is planned that is required to obtain authorization from a permitting authority for that activity. (8) "Facility Compliance Plan" means a document that incorporates all of the following: (A) Contains information and data for all emissions and discharges from the facility and the management of solid waste and hazardous waste, including all information relevant to individual environmental permits that would otherwise be required for the facility. (B) Specifies measures, including, but not limited to, monitoring, reporting, emissions limits, materials handling, and throughputs, to be taken by the project applicant to ensure compliance with all environmental permits that would otherwise be required. (C) Meets the requirements of all individual environmental permits that would otherwise be required. (D) Ensures compliance with all applicable environmental laws, regulations, and ordinances. (9) "New Facility" means any facility, located within a Permit Consolidation Zone, which was not physically in existence prior to the date of submittal of a facility compliance plan to the Permit Consolidation Zone Administrator. (10) "Permitting Authority" means those governmental entities identified by subdivisions (a) to (g), inclusive of Section 71011 of the Public Resources Code, specifically including: (A) The Department of Toxic Substances Control (B) The Department of Pesticide Regulation (C) The State Air Resources Board (D) The State Water Resources Control Board (E) The California Integrated Waste Management Board (F) The Office of Environmental Health Hazard Assessment (G) The Regional Water Quality Control Boards (H) . Air Quality Management Districts and Air Pollution Control Districts as defined in Section 39025 of the Health and Safety Code. (I) An enforcement agency, as defined in Section 40130 of the Public Resources Code (Local Enforcement Agencies operating under the authority of the Integrated Waste Management Act). (J) A county agricultural commissioner with respect to his or her administration of Divisions 6 (commencing with Section 11401) and 7 (commencing with Section 1250 1) of the Food and Agriculture Code. (K) The local agency responsible for administering Chapter 6.7 (commencing with Section 25280) of the Health and safety Code concerning underground storage tanks and any underground storage tank ordinance adopted by a city or county. (L) The local agency responsible for the administration of the requirements imposed pursuant to Section 13370.5 of the Water Code (pretreatment to Publicly Owned Treatment Work (POTW) programs). (M) Certified Unified Program Agencies (CUPAs) (I) Any other environmental or related permitting authority that elects to become a participating agency within the Permit Consolidation Zone. (11) "Permit Consolidation Zone" means a geographical area, contiguous or non-contiguous, designated by and within the jurisdiction of a city or cities or a county or counties or both, and approved by the Review Panel, within which a facility 4 compliance plan may be substituted for all environmental permits otherwise required. A Permit Consolidation Zone specifies the types of facilities that are eligible to operate under the authority of a facility compliance plan. (12) "Plan Applicant," means the facility owner and/or operator responsible for the preparation of a facility compliance plan. - --(43)—`=Review-Panel,==meanstlioimnelcomposedo£the Secretary for Environmental Protection and the Secretary for Trade and Commerce. The Review Panel is empowered to review applications for and designate Permit Consolidation Zones. (14) "Zone Administrator," means the individual or agency designated by the Zone Applicant to be responsible for the administration of the zone. The zone applicant may designate any person within any organization it deems appropriate to perform these duties, including but not limited to a Cal/EPA Permit Assistance Center or a Certified Unified Program Agency. (15) "Zone Applicant" means a California city or county, individually or together, seeking to be designated as a Permit Consolidation Zone. (16) "Zone Applicant Governing Authority" means the duly constituted governing board for a city or county within the State of California usually a city council in the case of a city or the board of supervisors in the case of a county. Note: Authority cited: Sections 71035.1, 71035.2, Public Resources Code; Reference: Sections 71035.3, 71035.4, 71035.5, 71035.6, 71035.8 71035.10 Public Resources Code Article 3. Permit Consolidation Zone Application Process 10402 Eligibility for Designation as a Permit Consolidation Zone (a) Cities or counties with a population greater than 5,000, based upon the 1990 census, are eligible to apply for a Permit Consolidation Zone which may constitute all or part of their jurisdiction. (b) Cities and counties, individually or together, may apply for a Permit Consolidation Zone. (c) Not more than 20 Permit Consolidation Zones may be designated. Applications approved shall represent a diverse range of urban and rural counties and small and large cities. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3 Public Resources Code 0 0 10403 Procedures For Submittal Of A Zone Application (a) Any qualifying city and/or county may submit an application for a Permit Consolidation Zone after the effective date of these regulations. (b) An application for a Permit Consolidation Zone shall be submitted to the Review Panel not later than December 31, 1997. The Secretary for Environmental Project,-may^at Esdiseretien, ex! adthe-peried-of4ime4o-apply to be a zone. (c) The city and/or county preparing the application for a Permit Consolidation Zone is responsible for obtaining all the necessary agreements required in Section 10404 (a)(14) with participating permitting authorities. (d) A Zone Applicant is required to provide notice to the public and all interested parties of its submittal of an application for designation of a Permit Consolidation Zone by conducting a public hearing 30 days prior to submittal of the application. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3 Public Resources Code 10404 Informational Requirements For An Application For A Permit Consolidation Zone (a) The zone application shall: (1) Identify an individual or agency who shall perform the duties of the Zone Administrator. (2) Designate one primary point of contact for each participating permitting authority within a zone including title, address, phone number, and, if available, the facsimile number and e-mail address of the contact. (3) Identify the area which is being designated as a Permit Consolidation Zone. This shall include a description of the area and a listing of the types of facilities specifically included within the zone, a map showing the zone boundaries, the boundaries of the applicant's jurisdiction, and the boundaries of adjacent jurisdictions. (4) Identify the population of the city or county based on the 1990 census. (5) Identify the environmental permits to be substituted by the facility compliance plan. 0 • (6) Identify the types of facilities which the Zone Applicant will prohibit from inclusion within the Permit Consolidation Zone. (7) Include a copy of the resolution adopted by the Zone Applicant's governing authority that approves the creation of a Permit Consolidation Zone. (8) Identify any efforts to reform or expedite permit procedures or requirementtthat-constitutepermit-stremma ningthat-havebee4L5mplemented by the Zone Applicant's jurisdiction(s) or the environmental agencies participating in the proposed Permit Consolidation Zone. (9) Identify if there is a single CUPA within the boundaries of the proposed Permit Consolidation Zone. (10) Identify the public notice requirements that currently exist for the individual environmental permits that will be substituted by a facility compliance plan. (11) Identify the public notice, hearing, comment, participation, administrative appeal, and judicial review provisions that apply to a Plan Applicant within the proposed Permit Consolidation Zone. (12) Identify the steps taken, in addition to the public notice requirement in Section 10402 (d), to inform the public and businesses located within a proposed zone of the zone applicant's intent to apply for a Permit Consolidation Zone. (13) Identify the permitting authorities which have agreed to participate in the Permit Consolidation Zone. (14) Identify the agreements or agreements in process, between the zone applicant and other local, state, federal, and regional permitting agencies with jurisdiction within the boundaries of the proposed Permit Consolidation Zone. These agreements shall represent and describe the commitment of the permitting authority to participate in a Permit Consolidation Zone. The Zone Applicant shall submit all approved agreements with the application package. The approved agreements must: (A) Be binding on the parties executing the agreement; (B) Clearly identify the permits to be substituted by a facility compliance plan; and (C) Identify the appeal process to be used in the event a facility wishes to appeal a determination of incompleteness and/or inadequacy. 7 (15) Identify any and all military bases or military reservations being converted to private use within the boundaries of the proposed Permit Consolidation Zone. " (16) Identify how permitting authorities will cooperate on facility compliance inspections, consolidation of permit fees, and review and submittal of environmental monitoring reports. (17) Identify the process for conversion of a facility compliance plan to individual environmental permits, in the event of termination of the Permit Consolidation Zone, withdrawal of a permitting authority from a Zone, or upon the request of a facility who has received a facility compliance plan. (18) Identify how the California Environmental Quality Act (CEQA) will be complied with and implemented within the proposed Permit Consolidation Zone and who will be responsible. (19) Provide information that shows the proposed Permit Consolidation Zone is in conformance with all planning and zoning restrictions applicable to the permits to be substituted by a facility compliance plan within the zone. (20) Identify all economic incentive zones that exist within the Permit Consolidation Zone. (21) Identify the fees assessed for each individual permit application that may be incorporated within the consolidated fee statement for a facility compliance plan application. (22) Identify steps zone applicant will use to encourage businesses within a zone to practice pollution prevention. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3, 71035.4, 71035.5, 71035.6, 71035.8 Public Resources Code 10405 Process For Approval Of An Application For Designation Of A Permit Consolidation Zone (a) The Review Panel shall evaluate the adequacy of an,application for designation of a Permit Consolidation Zone. In conducting this review the Review Panel may rely upon staff from either agency to evaluate the application materials. (1) The Review Panel shall, within 60 days of receipt of the application, either (a) convey a letter of deficiency to the zone applicant identifying and requesting submittal of information that will allow the Review Panel to make a determination on the zone designation, or (b) advise the zone applicant that the zone application contains the information necessary to make a designation. (2) In the event a letter of deficiency is sent to the zone applicant, the zone applicant shall submit information correcting the deficiency, at the earliest opportunity, but in no event after June 30, 1998. The Review Panel shall have 60 days to conduct its review of the submitted information to determine if the application is complete. (3) Zone applications shall be acted upon by the Review Panel within 30 days of their being found to contain all the necessary elements to allow a zone determination to be made. (4) The zone applicant shall be notified of the Review Panel's determination in writing. (5) A Permit Consolidation Zone shall become effective following its designation by the Review Panel. A Zone Applicant may determine a specific date following approval by the Review Panel for the Zone to become operational. (6) An application for a Permit Consolidation Zone that remains deficient after June 30, 1998 shall be denied. (b) When evaluating a zone application, the Review Panel shall consider the following factors: (1) The extent to which the zone applicant has implemented permit streamlining for permits under its own authority. (2) Whether there is a single CUPA within the boundaries of the area proposed as a zone. (3) The provisions made to ensure adequate public participation in the final permit decisions on facilities subject to a facility compliance plan. (4) The contents of existing or proposed agreements between the applicant and other local, state, and regional permitting agencies with jurisdiction within the proposed Permit Consolidation Zone. (c) The Review Panel shall make its determination of approval of a zone application only on the basis of and after finding that the application fulfills the requirements of Sections 10402, 10404; and 10405 (b). (d) The Review Panel shall make its zone designations based upon the applications that are pending before it at the time a decision is made. E Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3, 71035.4, 71035.5, 71035.6, 71035.8 Public Resources Code 10406 Responsibilities Of The Zone Administrator (a) The Zone Administrator shall have the following responsibilities: (1) Ensure that the Review Panel has all the necessary information it may request to allow it to render a decision on the zone application. (2) Monitor the coordination and cooperation of all participating and related permitting authorities. (3) Monitor the review of facility compliance plans by permitting authorities and facilitate the greatest possible coordination between the permitting authorities to expedite their review. (4) Submit to the Plan Applicant a consolidated fee statement that specifies the individual fees payable to each permitting authority making a determination of completeness and adequacy for a portion of the facility compliance plan. (5) Monitor activities performed by permitting authorities to conform to CEQA. (6) Ensure the transmittal of the facility compliance plan, following the receipt of all determinations of completeness and adequacy, to the Secretary for Environmental Protection. (7) . Immediately notify the Plan Applicant when a complete and adequate facility compliance plan has been transmitted to the Secretary for Environmental Protection. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3, 71035.4. 71035.5, 71035.6, 71035.10 Public Resources Code 10407 Process For Amendment Or Termination Of A Zone Designation (a) A designated Permit Consolidation Zone may be amended by submittal of a request from the Zone Administrator to the Review Panel. (1) The amendment request shall contain the information necessary to augment the information provided in the application materials required by Section 10405 to make those materials consistent with the requested amendment. 10 (2) Public notice of an intent to amend a zone designation shall become effective 90 days prior to the Zone's governing board's action directing the submittal of a "request to amend" to the Review Panel. (3) The request for amendment, unless denied by the Review Panel, shall become effective 90 days after the date of receipt by the Review Panel. -(b)-- --A-designated-Permit-Geeselidation Zone -may -be terminated by submittal of a notice of intent to terminate to the Review Panel. (1) A transmittal tetter and concurring resolution adopted by the Zone's governing authority shall constitute a notice of intent to terminate a Permit Consolidation Zone. (2) Notice of the intention of the Zone to terminate its designation shall be provided by the Zone's governing board 30 days prior to formal consideration of the termination to each participating permitting authority and all facilities within the Zone who have applied for or who have received approved facility compliance plans. (3) Public notice of an intent to terminate a zone designation shall be provided fourteen days prior to the Zone's governing board's action directing the submittal of a "notice of intent to terminate" to the Review Panel. (4) The Permit Consolidation Zone shall be terminated 180 days following the submittal of the notice of intent to the Review Panel. (c) A permitting authority participating in a Permit Consolidation Zone may withdraw from the Zone by following the procedures set forth in subpart (b) above. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3, 71035.4 Public Resources Code 10408 Termination Or Amendment Of Permit Consolidation Zones; Process For Conversion Of A Facility Compliance Plan To Individual Environmental Permits (a) A facility compliance plan shall be converted into individual environmental permits when a zone is terminated or if a zone amendment results in the facility no longer being included within the zone. (b) The process of conversion shall be the process identified in the application for designation of the Permit Consolidation Zone. 11 9 9 (c) A facility compliance plan shall remain in effect, unless otherwise prohibited by law, until such time individual environmental permits are issued or denied by the permitting authorities. A facility operating under a facility compliance plan shall not be denied an individual operating permit for the operations conducted pursuant to a complete and adequate facility compliance plan except in the case such operation would be in conflict with a law or regulation or ordinance applicable at the time the facility compliance plan would be converted to an individual permit. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.3, 71035.4, 71035.5, 71035.6 Public Resources Code Article 4. Facility Compliance Plans 10409 Contents of the Facility Compliance Plan (a) The Plan Applicant shall prepare and submit a proposed facility compliance plan for review by the individual permitting authorities. (1) The proposed facility compliance plan shall demonstrate compliance with all applicable environmental laws, rules, regulations, and ordinances specified by the permitting authorities for the activity to be authorized by the facility compliance plan. (2) The proposed facility compliance plan shall contain the information required by Section 10401 (a)(8). (b) The proposed facility compliance plan may incorporate the following optional elements, provided they are not otherwise required by a permitting authority, with the understanding that they shall not constitute a substitute for any existing regulatory compliance requirements: (1) Identification of relevant environmental impacts associated with the operation of a facility; (2) Identification of operational standards for environmental performance which meet or exceed all permit and other legal requirements; (3) A description of an internal environmental management procedures which enable the facility to meet its legal requirements; (4) A monitoring and reporting system which identifies operational performance and identifies any excursion from established goals; (5) Appropriate training, awareness, and communication systems for the organization; 12 response; (6) Appropriate documentation and document control; (7) Consolidated plans for appropriate emergency preparedness and (8) Procedures establishing internal audits; and _. -.—M- -PrOGedures fer app&opriatesupendsoryleview_ofPerformance in meeting established environmental goals. (c) A facility compliance plan shall contain the conditions deemed necessary by a permitting authority to render a plan complete and adequate. The conditions imposed by a permitting authority shall be consistent with its authority to impose conditions on individual environmental permits for which the facility compliance plan is a substitute. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 7103 5.4, 7103 5.5, 7103 5.6, 71035.8 Public Resources Code 10410 Process For Submittal, Review, And Approval Of A Facility Compliance Plan (a) Notification (1) A Plan Applicant shall provide written notice to the Zone Administrator and each participating permitting authority within the Zone of its intent to substitute a facility compliance plan for individual environmental permits. The notice shall provide a description of the activities to be conducted under the terms of a facility compliance plan. (2) The Zone Administrator shall develop a form or checklist to be used by the Plan Applicant to augment the information provided in the notice. The contents of the form or checklist shall be used to allow the participating permitting authorities to review the nature of the proposed facility operation to determine if the activity falls under their jurisdiction. (3) . A notice of intent to submit a proposed facility compliance plan shall be provided to the Zone Administrator and each participating permitting authority not less than 60 days prior to submittal of the plan. (4) (A) The Zone Administrator shall, during the public notice period preceding submittal of a proposed facility compliance plan for consideration, facilitate discussions with the Plan Applicant and the individual permitting authorities to clarify the technical information required in a complete and adequate facility compliance plan. 13 (B) At any time subsequent to the sixty-day notification period, a Plan Applicant may submit a proposed facility compliance plan to the Zone Administrator. (b) Where feasible and practicable, and at the request of the Zone Administrator, California Environmental Protection Agency Permit Assistance Centers may participate in the review of a proposed Facility Compliance Plan. {c) ­-The-Nan Applicant skall-subnU4-copy ^f�poposed- acility compliance plan concurrently to the Zone Administrator and to each permitting authority participating in the zone from whom a determination of completeness and adequacy is required. (d) (1) The permitting authorities reviewing the proposed facility compliance plan shall transmit their determination whether the proposed plan is complete and adequate to the Plan Applicant and Zone Administrator within 45 days of receipt of the plan. (2) The Zone Administrator shall, within five (5) days of receiving all required determinations of completeness and adequacy from the appropriate permitting authorities, transmit the consolidated determination to the Secretary for Environmental Protection. (e) If the proposed facility compliance plan is determined not to be complete and adequate, the permitting authority shall, not later than 45 calendar days after receipt of a proposed facility compliance plan, specify in writing to the applicant and Zone Administrator those parts of the plan that are deficient and shall list and provide a thorough description of the information that must be provided to allow a determination of completeness and adequacy to be made. (f) The Plan Applicant shall resubmit the proposed facility compliance plan incorporating the information required by the permitting authorities to render the plan complete and adequate. The permitting authorities shall, within 30 days of receipt of the resubmitted plan, determine in writing whether the proposed plan is complete and adequate. The permitting authorities shall transmit their determination to the Zone Administrator and the Plan Applicant. If the determination of completeness and adequacy from any individual permitting authority is not provided within the 30 -day period, the portion of the proposed facility compliance plan applicable to the permitting authority that did not meet that determination deadline, shall be deemed to be complete and adequate. (g) Each permitting authority shall identify, in the application for designation of a Permit Consolidation Zone, a process for the Plan Applicant to appeal a determination of incompleteness or inadequacy. This process shall be the permitting authority's existing appeal process, or, in the event the existing process is not in conformance with the time frames provided by these regulations, a separate process adopted by the permitting authority's governing body. 14 (h) The permitting authority shall make a final determination of an appeal by a Plan Applicant within 60 calendar days after receipt of the Plan Applicant's written appeal. If the decision on appeal is not made within the 60 -day period that portion -of the facility compliance plan subject to the appeal, shall be deemed to be complete and adequate. (i) All applicable individual environmental permits for the project shall be deemed to have been issued upon the filing of a complete and adequate facility compliance plan with -the Seeretary-for-ERvirennwaW-P-rotection.... 0) The Plan Applicant and any permitting authority may mutually agree to waive the timeframes provided in this section or establish a mutually agreed upon substitute timeframe. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.4, 71035.6, 71035.8 Public Resources Code 10411 Process To Amend A Facility Compliance Plan (a) A facility compliance plan shall be drafted in such a manner as to reflect a range of operating parameters that will anticipate future operations and which provide flexibility to the Plan Applicant. (b) (1) In the event a facility seeks a modification of operational terms beyond that contemplated and authorized by the facility compliance plan, the facility shall submit an amended facility compliance plan for consideration. The amended plan shall be reviewed pursuant to the provisions identified in Section 10410 for a new facility compliance plan. (2). Only the portion of the plan which is being amended will be subject to review by the permitting authorities. (3) No additional requirements shall be imposed within an amended facility compliance plan except as they are specifically applicable to the subject of the activity for which the amendment is sought. (4) (A) A facility compliance plan shall be subject to any provision of law or regulation adopted subsequent to the approval of the plan. At the request of a permitting authority, a facility operating under a facility compliance plan may be required to incorporate language within the plan to reflect compliance with laws and regulations adopted subsequent to the initial determination of completeness and adequacy. 15 • 9 (B) A facility shall submit an amended facility compliance plan to a permitting authority whenever submission of an amended application for an environmental permit, for which the facility compliance plan is a substitute; would otherwise be required by law. (5) If a provision of a facility compliance plan is found by a permitting authority to cause or threatens to cause a threat to public health or safety, or harm to the environment; the plan shall-be-sul�ea4& iwnediate modi&cation tosemoyt that threat or harm. (c) To the extent not otherwise authorized by law or regulation, amendment of a facility compliance plan is not required for any of the following: (1) Any physical change, process change, change in method of operation, addition to or any change in hours of operation, or change in the production rate, provided the change does not result in an increase in or change, in the nature of emissions or discharges from the facility beyond that contemplated in the facility compliance plan.; (2) A change in ownership, or operator; (3) Routine maintenance and repair; (4) Equivalent replacement of an existing facility structure, building, apparatus, or equipment, provided the replacement will not result in an increase in the nature or amount of emissions or adds a new emission parameter inconsistent with the overall emission limits set by the facility compliance plan, and/or (5) Replacement of equipment resulting in an increase or decrease in emissions or discharges released to the environment, provided the increase is consistent with the terms of the facility compliance plan setting overall emission limits. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 71035.4, 71035.6, 71035.8 Public Resources Code Article 5 Miscellaneous Provisions 10412 Assessment Of Fees (a) (1) Permit application fees, payable upon submittal of a facility compliance plan, shall be determined by each permitting authority and conveyed to the Plan Applicant in a single consolidated statement prepared by the Zone Administrator. The fees assessed for the facility compliance plan shall not exceed those fees applicable to the permits for which the facility compliance plan is a substitute. All costs currently recovered 16 by a permitting authority for any aspect of the review of a permit application shall be recoverable through the fee assessed for a facility compliance plan. Any fee associated with the operation of a facility is not affected by these regulations and v?vApayable to the permitting authority through their existing procedures. (2) The fees submitted with the facility compliance plan shall be through separate checks payable to each permitting authority for that portion of the plan subject to-theirreview. (3) Where fees are allowed to be determined on an actual cost basis, the consolidated fee statement shall indicate that the fee is so based. Permitting authorities shall take adequate measures to account for fees not expended in the event a fee reimbursement becomes necessary. (4) In the event a facility compliance plan is amended, or a participating permitting authority withdraws from a Zone, or a Zone is terminated, a facility shall pay to the appropriate permitting authority the actual cost to incorporate the amendment, or convert the facility compliance plan to an individual environmental permit. (5) Until such time as the requisite fees for a facility compliance plan application or amendment are paid, the 45 -day review period identified in Section 10410 (d)(1) shall be tolled. (6) A facility compliance plan shall be subject to all annual operating fees otherwise required for an individual environmental permit. Non-payment of any annual operating fee shall subject the portion of the facility compliance plan to termination upon 60 day notice to the facility. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 7103 5.5, 7103 5.6, 71035.8 Public Resources Code 10413 Effective Date Of A Facility Compliance Plan (a) A facility compliance plan becomes effective upon the date all elements of a complete and adequate plan are received by the Secretary for Environmental Protection. (b) A facility shall not construct or expand until notified, in writing, that the facility compliance plan for such construction or expansion has been determined to be complete and adequate by all appropriate permitting authorities, except as otherwise authorized by law. Note: Authority cited: Sections 7103 5.1, 71035.2 Public Resources Code; Reference: Sections 71035.5, 71035.6, 71035.8 Public Resources Code 17 10414 Facility Compliance Plan Format (a) No format is specifically identified in these regulations for the submittal of an application for either a Permit Consolidation Zone or a facility compliance plan. A designated Permit Consolidation Zone may prescribe the format to be used for a facility compliance plan in the application submitted for its designation as a zone. Note: Authorityvited: Sectiens-71033-i;-71035,2rPublic-Resources.Code;.Reference: Sections 71035. 3, 7103 5.5, 71035.6 Public Resources Code 10415 Facility Compliance Plan; Term (a) Unless otherwise restricted by law, a facility compliance plan is effective throughout the term of the pilot program and until converted into individual environmental permits as provided in Section 10408. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 7103 5.5, 7103 5.6, 71035.7 Public Resources Code 10416 Reimbursement Of Fees In The Event A Permit Consolidation Zone Is Amended Or Terminated Or A Facility Compliance Plan Is Withdrawn (a) Fees submitted by a Plan Applicant for review of a facility compliance plan shall, in the event of amendment or termination of a Zone removing a facility from inclusion within a Zone, or upon the withdrawal of the plan by the facility owner/operator, be reimbursed on a pro -rata basis reflecting the costs incurred by the permitting authorities for review of the facility compliance plan, except in those cases where the application fee for the individual environmental permit being replaced by the facility compliance plan offers no opportunity for reimbursement. (b) In the event of amendment or termination of a Zone removing a facility from inclusion within a Zone and the Plan Applicant wishes to obtain approval for the facility, the portion of the fee that would otherwise be reimbursed to the Plan Applicant may be applied to the review of individual permits. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 7103 5.5, 71035.6 Public Resources Code 18 10417 Enforcement of Facility Compliance Plans (a) A facility compliance plan shall, in all respects, be subject to -enforcement by a participating permitting authority the same as if it were an individual permit issued by the permitting authority. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections .,71035.3, 74.035.5,-..7-1035,6_PubkXesources-Code.._ . 10418 Confidentiality (a) These regulations do not modify any ability of a Plan Applicant or permitting authority to preserve the confidentiality of portions of the facility compliance plan that qualify for such designation under existing authority. (b) The Zone Administrator and any participating permitting authority shall maintain the confidentiality of any portion of the facility compliance plan requested by the Plan Applicant in conformance with existing procedures for the protection of confidential documents submitted as part of a permit application. Note: Authority cited: Sections 71035.1, 71035.2 Public Resources Code; Reference: Sections 7103 5.5, 71035.6 Public Resources Code Article 6. Reporting and Review 10419 Reports Required To Be Submitted By The Zone Administrator To The Review Panel (a) By December 31 of each year, the Zone Administrator shall submit a report to the Review Panel that states the progress of implementation of the program within the pilot permit Consolidation Zone. The reports, shall at a minimum, contain: (1) The number of facilities that have submitted a facility compliance plan and the status of that plan in the review/approval process; (2) Whether any Plan Applicant used the facility compliance plan appeal process and the outcome of that appeal; (3) Any written comments received from any party regarding the implementation of the pilot program; 19 (4) Any recommendation the Zone Administrator wishes to convey regarding the implementation of the pilot program and/or proposed changes in legislative language; and " (5) Any other information the Zone Administrator wishes to convey or which has been requested by the Review Panel. Note:- -Authority-cited: SectionO.1e0351,._710152uhlic-Resources Code; Reference: Sections 71035.10 Public Resources Code 20