HBA-SEP H.C.R. 90 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.C.R. 90
By: Madden
Environmental Regulation
3/25/2001
Introduced



BACKGROUND AND PURPOSE 

Most urban areas across the country, including several in Texas, have
become or are close to becoming "ozone nonattainment areas" according to
Environmental Protection Agency standards.  Traditional air quality control
strategies have focused on emission sources within a designated attainment
area and have typically included specific controls on industrial facilities
and vehicle emissions within the area.  Strategies aimed at controlling
industrial emissions target specific industries and facilities, which must
bear the initial costs of installing emission control technologies,
although the public eventually shares in this burden as costs are passed on
to individual consumers.  While pollution control technologies can be
effective in reducing emissions, the technology that many companies are
required by the state implementation plan under the Clean Air Act (SIP) to
purchase can cause a tremendous financial strain on an individual
corporation and affect entire industries.  Some industries, including
aerospace manufacturing, agricultural chemical production, gasoline
terminals, and oil and natural gas production and refineries must purchase
costly maximum achievable control technology to be in compliance with the
SIP.  Small businesses, including dry cleaners, auto body shops, and
bakeries are not exempt and they too must bear the high costs of
compliance; some of these businesses will not be able to afford the
expensive technology and may be forced to close.  The high costs of
pollution reduction efforts affects consumers as well; many industries must
pay exorbitant prices for cleaner fuels, such as low-sulfur coal, and this
cost is inevitably passed on to those who purchase the goods.  While the
state fully intends to comply with its SIP, a comparison of the direct and
indirect costs of various strategies would enable it to more effectively
direct its efforts in this regard.  House Concurrent Resolution 90 requests
the Congress of the United States to modify the Clean Air Act to allow the
EPA to permit states to consider costs when comparing various emission
control techniques. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Concurrent Resolution 90 requests the Congress of the United States
to modify the Clean Air Act to allow the United States Environmental
Protection Agency to permit states to consider costs when comparing various
emission control techniques.