2020 Environmental Real Estate Issues

EPA’s Office of Inspector General (OIG) issued a report criticizing EPA’s oversight of the Texas Commission on Environmental Quality (TCEQ) and California’s South Coast Air Quality Management District (South Coast). OIG said that TCEQ and South Coast failed to properly identify and regulate certain air pollution sources, partly due to EPA’s poor oversight.

SM-80 Sources
OIG’s report concerned the largest group of synthetic-minor (SM) sources. SM sources have the potential to emit in excess of the major source threshold but voluntarily agree to enforceable permit limits less than the threshold. A key subset of SM sources are SM-80 sources, those with enforceable permits at more than 80% but less than 100% of the major source threshold.

Inspection Every Five Years
According to OIG, EPA’s policy requires an inspection of each SM-80 source every five years. However, neither TCEQ nor South Coast have a program to inspect SM-80 sources. OIG found that 27 of the South Coast and 11 of the TCEQ SM-80 sources went more than five years without an inspection.

Clarification and Coordination
Among OIG’s recommendations are that EPA clarify its guidance and coordinate with the state agencies to ensure they adopt SM-80 programs consistent with EPA policy. The report noted that coordination with TCEQ by EPA Region 6 may present special challenges. Texas correctly asserts that EPA’s published regulations do not require SM-80 programs and EPA’s guidance “does not impose legally binding requirements.”

To access the report and a one-page summary The EPA Did Not Ensure that Two of the Largest Air Oversight Agencies Identified and Inspected Potentially Significant Sources of Air Pollution | Office of Inspector General OIG (epaoig.gov)

Texas Environmental SuperConference Is This Week!
I hope to see many of you in Austin.