Except as provided in § 2-402 of this subtitle, the Department may adopt regulations that require a permit or registration before a person constructs, modifies, operates, or uses a source that may cause or control emissions into the air.

The Department may not require a permit or registration for: Any machinery or equipment that normally is used in a mobile manner; Any boiler used exclusively to operate steam engines for farm and domestic use; The construction of a generating station constructed by a person that is required to obtain a certificate of public convenience and necessity under §§ 7–207 and 7–208 of the Public Utilities Article and regulations adopted by the Public Service Commission; Actual construction of buildings, apart from any possible emission producing machinery housed in the buildings; Any parking garage; or Any parking lot.

The Department, by regulation, shall require and collect a fee for each permit issued under § 2–401 of this subtitle. In adopting the regulations under this section, the Department shall consult with industry to determine that the permit fee is reasonable and directly related to the actual cost of the permitting and regulatory activity, and does not exceed a certain dollar amount. The amount of the fees shall cover: The reasonable cost of reviewing and acting on the application for the permits; The reasonable costs incurred in implementing and enforcing the terms and conditions of the permits, exclusive of any court costs or other costs associated with any enforcement actions; and The costs identified in § 502(b)(3) of the Clean Air Act Amendments of 1990. Fees assessed and collected under this section shall be used exclusively for the development and administration of the permit program under this subtitle. The fee established under this section may not exceed $200 per ton of regulated emissions. For purposes of calculating fees under this section, carbon dioxide emissions shall be excluded. The fee established under this section may be adjusted to reflect changes in the Consumer Price Index.

This section applies to the following activities: Construction of a new source; Replacement of components of an existing permitted source, if the fixed capital cost of the replacement components exceeds one–half of the fixed capital cost that would be required to construct a new source comparable in process to the existing source; and Modification of an existing permitted source by making a physical or operational change to the source that will result in a significant net increase in emissions of any pollutant from that source. Before accepting an application for a permit subject to subsection (c) of this section, the Department shall require the applicant to submit documentation: That demonstrates that the proposal has been approved by the local jurisdiction for all zoning and land use requirements; or That the source meets all applicable zoning and land use requirements. Paragraph (1) of this subsection does not apply to any application for a permit to construct at an existing source unless the existing source is a nonconforming use. The Department shall comply with the provisions in subsection (d) of this section before issuing a permit for the activities listed in subsection (a) of this section at: Any source which is required to obtain a permit to operate under regulations adopted under this subtitle; Any source which is subject to federal standards under 40 C.F.R. Part 61 (National Emission Standards for Hazardous Air Pollutants) or 40 C.F.R. 52.21 (Prevention of Significant Deterioration); or Any source that will, after control, discharge 25 tons or more per year of a pollutant regulated under this title in the areas of Baltimore City designated by the United States Post Office as zip code numbers 21225, 21226, and 21230. On receipt of an application for a permit subject to subsection (c) of this section, the Department shall give notice immediately or require the applicant to give notice immediately of the application to: The governing body of each county or municipal corporation in which any portion of the source is located or is proposed to be located; The governing body of each county or municipal corporation within one mile of the property line of the source or the proposed location of the source; Each member of the General Assembly representing any part of a county in which any portion of the source is located or proposed to be located; and Each member of the General Assembly representing any part of each county within one mile of the property line of the source or the proposed location of the source. In addition to the requirements under paragraph (1) of this subsection, before issuing a permit subject to subsection (c) of this section, the Department shall: Comply with the provisions of Title 1, Subtitle 6 of this article; and Conduct any public hearing required by Title 1, Subtitle 6 of this article. In addition to the requirements under paragraphs (1) and (2) of this subsection, before issuing a permit to construct a source described in subsection (c)(3) of this section, the Department shall require at the expense of the applicant the preparation of an ambient air quality impact analysis regarding the proposed construction. Before issuing a permit for the activities listed in subsection (a) of this section at any source which is subject to federal standards under 40 C.F.R. Part 60 (New Source Performance Standards), the Department shall: Comply with the provisions of subsection (d) of this section; or Electronically post a notice of an application for the permit on the Department’s website in accordance with § 1–602(b)(1) of this article; Give notice to the chief executive of any county or municipal corporation in which any portion of the source is located or is proposed to be located; and Receive comments from the public on the permit application. The provisions of this section do not apply to any permit to construct control equipment on an existing source or to any permit to operate.

Except for an applicant who elects to proceed under subsection (d) of this section, a final decision by the Department on the issuance, renewal, or revision of an operating permit issued pursuant to Title V of the federal Clean Air Act Amendments of 1990 is subject to judicial review by any person who: Meets the threshold standing requirements under federal constitutional law; and Participated in a public participation process through the submission of written or oral comments, unless an opportunity for public participation was not required by statute or regulation. Judicial review shall be on the administrative record before the Department and limited to objections raised during the public comment period, unless the petitioner demonstrates: That the objections were not reasonably ascertainable during the comment period; or That grounds for the objections arose after the comment period. Unless otherwise required by statute, a petition for judicial review by a person who meets the requirements of subsection (a) of this section shall be filed with the circuit court for the county in which any party resides or has a principal place of business. An applicant for an air quality operating permit may seek judicial review in accordance with Title 10, Subtitle 2 of the State Government Article. Except for an applicant as described in paragraph (1) of this subsection, a person is not entitled to a contested case hearing regarding Title V operating permits.

Whenever the Public Service Commission notifies the Secretary of an application for a certificate of public convenience and necessity under § 7–207 of the Public Utilities Article, the Secretary shall prepare a recommendation in connection with the permit or registration required by this subtitle and the issues the Public Service Commission must consider under § 7–207 of the Public Utilities Article relating to climate change. The recommendation shall be presented at the hearing required by § 7–207 of the Public Utilities Article. The recommendation shall identify the requirements of all applicable federal and State environmental laws and standards and shall recommend and evaluate various methods and conditions for compliance. If a person files an application for an operating permit under this subtitle simultaneously with an application for a certificate, the Department shall consolidate its procedures for the issuance of the operating permit with the Public Service Commission’s proceedings for issuance of the certificate and shall issue the operating permit simultaneously with the certificate unless consolidation would be inconsistent with the procedures set forth in the federal Clean Air Act. The Department shall incorporate into the initial operating permit the conditions of the certificate which relate to air quality control. Subject to judicial review as provided under Title 3, Subtitle 2 of the Public Utilities Article, the decision of the Public Service Commission in connection with a certificate of public convenience and necessity or a filing under § 7–206 of the Public Utilities Article is binding on the Secretary. When a person that is required to obtain a certificate of public convenience and necessity applies for an operating permit for a generating station under this subtitle, the person shall send a copy of the application, at the time of filing, to the Public Service Commission. The Department shall consolidate procedures for the issuance of the operating permit with procedures of the Public Service Commission for the approval of the installation of pollution control equipment or a change in the method of operation unless consolidation would be inconsistent with the procedures set forth in the federal Clean Air Act. Before issuing an operating permit which requires the installation of pollution control equipment or a change in the method of operation of the generating station or unit to any person required to obtain a certificate of public convenience and necessity, the Secretary shall notify the applicant and the Public Service Commission and request that the Public Service Commission institute a hearing as required by § 7–206 of the Public Utilities Article. In addition to the notification, the Secretary shall file the record of the operating permit proceeding and the Department’s reasons for requiring the installation of pollution control equipment or change in method of operation. The Commission shall conduct the hearing required by subsection (e) of this section in the manner set forth in §§ 7–205 and 7–207 of the Public Utilities Article. The Department shall incorporate the Commission’s order rendered in accordance with § 7–206 of the Public Utilities Article. Except as provided in subsection (h) of this section, the Secretary shall consult with the Public Service Commission concerning the impact of any operating permit, order or injunction on the supply and cost of electricity in this State before issuing any operating permit, issuing any order, or seeking any injunction under this subtitle that: Significantly impacts the supply of electricity from a generating station owned or operated by any person required to obtain a certificate of public convenience and necessity; or Significantly affects the cost of electricity provided by any person that is required to obtain a certificate of public convenience and necessity. The Secretary need not consult with the Commission before issuing an order or seeking an injunction if the Secretary concludes that the delay during consultation could harm public health or the environment. If the Secretary does not consult with the Commission before the issuance of the order or of the seeking of an injunction, the Secretary shall consult with the Commission as soon thereafter as practicable. The failure of the Department or the Public Service Commission to comply with this section is not a defense to an action against a person to enforce, to obtain, or to punish for noncompliance with any permit, certificate, order, or injunction. The Secretary may adopt regulations to carry out the provisions of this section. The Secretary may not require a permit nor require the payment of a permit fee in violation of the federal Clean Air Act.

Except as provided in §§ 10–14A–03 and 10–14B–03 of the State Government Article, the owner of an incinerator for the disposal of solid waste as defined in § 7–201 or § 9–101 of this article may not operate or cause the incinerator to be operated unless the owner certifies to the Department that any person operating the incinerator has completed a course of instruction, approved by the Department, in the proper and safe operation of the incinerator. An operator of an incinerator who meets the requirements of subsection (a) of this section shall be present at all times the incinerator is in operation. The Department shall adopt regulations to implement the provisions of this section. The Department shall, at a minimum, conduct quarterly inspections of an incinerator that accepts more than 50 tons per day of special medical waste, as defined in Title 26, Subtitle 13, Chapter 11 of the Code of Maryland Regulations, and may undertake other activities as necessary to determine whether the operation of the incinerator meets the requirements of the air quality permit issued under this title. The Department shall, at a minimum, require the holder of a permit to incinerate special medical waste that accepts more than 50 tons of special medical waste per day to: Sample stack emissions under normal operating conditions at least one time per year for dioxin and heavy metals, including barium, cadmium, chromium, lead, nickel, mercury, zinc, arsenic, selenium, and vanadium; and Provide the test report to the Department. The holder of the permit shall pay the Department for the cost of the inspection and any other activity conducted under subsection (d) of this section.