HB 437

Enrolled Copy  H.B. 437
1Environmental Permitting Amendments
                                        2026 GENERAL SESSION
                                               STATE OF UTAH
                                  Chief Sponsor: David Shallenberger
                                       Senate Sponsor: Ann Millner
2
3  LONG TITLE
4  General Description:
5This bill creates a program for the expedited review of environmental permit applications.
6  Highlighted Provisions:
7This bill:
8▸ defines terms;
9▸ authorizes the Department of Environmental Quality (department) and Division of Oil,
10  Gas, and Mining (division) to make rules to:
11●   identify a permit administered by the department or division as a permit eligible for
12  expedited review;
13●   establish requirements for the expedited review process;
14●   certify a qualified reviewer;
15●   authorize a qualified reviewer to complete an expedited review of an eligible permit;
16  and
17●   establish the maximum number of days for a qualified reviewer to complete an
18  expedited review;
19▸ requires the department and division to conduct a technical review and make a final
20  administrative decision for a permit application upon completion of an expedited
21  review; and
22▸ makes technical and conforming changes.
23  Money Appropriated in this Bill:
24None
25  Other Special Clauses:
26None
27  Utah Code Sections Affected:
H.B. 437  Enrolled Copy
28   AMENDS:
2919-1-201, as last amended by Laws of Utah 2025, Chapters 121, 156
3040-6-15, as last amended by Laws of Utah 2009, Chapter 344
31   ENACTS:
3219-1-309, Utah Code Annotated 1953
3340-14-101, Utah Code Annotated 1953
3440-14-201, Utah Code Annotated 1953
3540-14-202, Utah Code Annotated 1953
3640-14-203, Utah Code Annotated 1953
3740-14-204, Utah Code Annotated 1953
38
39   Be it enacted by the Legislature of the state of Utah:
40Section 1. Section 19-1-201 is amended to read:
4119-1-201 . Powers and duties of department -- Rulemaking authority --
42   Committee -- Monitoring environmental impacts of inland port.
43   (1) The department shall:
44(a) enter into cooperative agreements with the Department of Health and Human
45Services to delineate specific responsibilities to assure that assessment and
46management of risk to human health from the environment are properly administered;
47(b) consult with the Department of Health and Human Services and enter into
48cooperative agreements, as needed, to ensure efficient use of resources and effective
49response to potential health and safety threats from the environment, and to prevent
50gaps in protection from potential risks from the environment to specific individuals
51or population groups;
52(c) enter into a cooperative agreement with each local health department that:
53(i) recognizes that the department and local health departments are the foundation for
54providing environmental health programs in this state;
55(ii) delineates the responsibilities of the department and each local health department,
56including those described in Subsection 26A-1-106(3), for the efficient delivery of
57environmental programs using federal, state, and local authorities, responsibilities,
58and resources;
59(iii) provides for the delegation of authority to local health departments for
60environmental programs, to the extent allowed by applicable law, identified in the
61plan, and requested by the local health department;
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62(iv) recognizes the authority granted to a local health department under Section
6326A-1-108;
64(v) passes through any federal, state, or other funding and resources to local health
65departments, as necessary and to the extent allowed by applicable law, for the
66efficient delivery of environmental programs; and
67(vi) is reviewed and updated annually;
68      (d) make rules, in accordance with Title 63G, Chapter 3, Utah Administrative
69Rulemaking Act, as follows:
70(i) for a board created in Section 19-1-106, rules regarding:
71(A) board meeting attendance; and
72(B) conflicts of interest procedures;[ and]
73(ii) procedural rules that govern:
74(A) an adjudicative proceeding, consistent with Section 19-1-301; and
75(B) a special adjudicative proceeding, consistent with Section 19-1-301.5; and
76(iii) for the expedited permit review process described in Subsection 19-1-309(7);
77      (e) ensure that training or certification required of a public official or public employee,
78as those terms are defined in Section 63G-22-102, complies with Title 63G, Chapter
7922, State Training and Certification Requirements, if the training or certification is
80required:
81(i) under this title;
82(ii) by the department; or
83(iii) by an agency or division within the department; and
84      (f) subject to Subsection (2), establish annual fees that conform with Title V of the Clean
85Air Act for each regulated pollutant as defined in Section 19-2-109.1, applicable to a
86source subject to the Title V program.
87  (2)(a) A fee established under Subsection (1)(f) is in addition to a fee assessed under
88      Subsection [(6)(i)] (3)(i) for issuance of an approval order.
89      (b) In establishing a fee under Subsection (1)(f), the department shall comply with
90Section 63J-1-504 that requires a public hearing and requires the established fee to be
91submitted to the Legislature for the Legislature's approval as part of the department's
92annual appropriations request.
93      (c) A fee established under this section shall cover the reasonable direct and indirect
94costs required to develop and administer the Title V program and the small business
95assistance program established under Section 19-2-109.2.
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96      (d) A fee established under Subsection (1)(f) shall be established for all sources subject
97to the Title V program and for all regulated pollutants.
98      (e) An emission fee may not be assessed for a regulated pollutant if the emissions are
99already accounted for within the emissions of another regulated pollutant.
100      (f) An emission fee may not be assessed for any amount of a regulated pollutant emitted
101by any source in excess of 4,000 tons per year of that regulated pollutant.
102      (g) An emission fee shall be based on actual emissions for a regulated pollutant unless a
103source elects, before the issuance or renewal of a permit, to base the fee during the
104period of the permit on allowable emissions for that regulated pollutant.
105      (h) The fees collected by the department under Subsection (1)(f) and penalties collected
106under Subsection 19-2-109.1(3) shall be deposited into the General Fund as the Air
107Pollution Operating Permit Program dedicated credit to be used solely to pay for the
108reasonable direct and indirect costs incurred by the department in developing and
109administering the program and the small business assistance program under Section
11019-2-109.2.
111   (3) The department may:
112      (a) investigate matters affecting the environment;
113      (b) investigate and control matters affecting the public health when caused by
114environmental hazards;
115      (c) prepare, publish, and disseminate information to inform the public concerning issues
116involving environmental quality;
117      (d) establish and operate programs, as authorized by this title, necessary for protection of
118the environment and public health from environmental hazards;
119      (e) use local health departments in the delivery of environmental health programs to the
120extent provided by law;
121      (f) enter into contracts with local health departments, in addition to a cooperative
122agreement required under Subsection (1)(c), or others to meet responsibilities
123established under this title;
124      (g) acquire real and personal property by purchase, gift, devise, and other lawful means;
125      (h) prepare and submit to the governor a proposed budget to be included in the budget
126submitted by the governor to the Legislature;
127      (i) in accordance with Section 63J-1-504, establish a schedule of fees that may be
128assessed for actions and services of the department that are reasonable, fair, and
129reflect the cost of services provided;
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130      (j) for an owner or operator of a source subject to a fee established by Subsection (3)(i)
131who fails to timely pay that fee, assess a penalty of not more than 50% of the fee, in
132addition to the fee, plus interest on the fee computed at 12% annually;
133      (k) prescribe by rule reasonable requirements not inconsistent with law relating to
134environmental quality for local health departments;
135      (l) perform the administrative functions of the boards established by Section 19-1-106,
136including the acceptance and administration of grants from the federal government
137and from other sources, public or private, to carry out the board's functions;
138      (m) upon the request of a board or a division director, provide professional, technical,
139and clerical staff and field and laboratory services, the extent of which are limited by
140the money available to the department for the staff and services; and
141      (n) establish a supplementary fee, not subject to Section 63J-1-504, to provide service
142that the person paying the fee agrees by contract to be charged for the service to
143efficiently use department resources, protect department permitting processes,
144address extraordinary or unanticipated stress on permitting processes, or make use of
145specialized expertise.
146  (4) In providing service under Subsection (3)(n), the department may not provide service in
147      a manner that impairs another person's service from the department.
148  (5)(a) As used in this Subsection (5):
149(i) "Environmental impacts" means:
150(A) impacts on air quality, including impacts associated with air emissions; and
151(B) impacts on water quality, including impacts associated with storm water
152runoff.
153(ii) "Inland port" means the same as that term is defined in Section 11-58-102.
154(iii) "Inland port area" means the area in and around the inland port that bears the
155environmental impacts of destruction, construction, development, and operational
156activities within the inland port.
157(iv) "Monitoring facilities" means:
158(A) for monitoring air quality, a sensor system consisting of monitors to measure
159levels of research-grade particulate matter, ozone, and oxides of nitrogen, and
160data logging equipment with internal data storage that are interconnected at all
161times to capture air quality readings and store data; and
162(B) for monitoring water quality, facilities to collect groundwater samples,
163including in existing conveyances and outfalls, to evaluate sediment, metals,
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164organics, and nutrients due to storm water.
165(b) The department shall:
166(i) develop and implement a sampling and analysis plan to:
167(A) characterize the environmental baseline for air quality and water quality in the
168inland port area;
169(B) characterize the environmental baseline for only air quality for the Salt Lake
170International Airport; and
171(C) define the frequency, parameters, and locations for monitoring;
172(ii) establish and maintain monitoring facilities to measure the environmental impacts
173in the inland port area arising from destruction, construction, development, and
174operational activities within the inland port;
175(iii) publish the monitoring data on the department's website; and
176(iv) provide at least annually before November 30 a written report summarizing the
177monitoring data to:
178(A) the Utah Inland Port Authority board, established under Title 11, Chapter 58,
179Part 3, Port Authority Board; and
180(B) the Legislative Management Committee.
181Section 2. Section 19-1-309 is enacted to read:
18219-1-309 . Expedited permit review process -- Requirements for qualified
183   reviewer -- Rulemaking.
184   (1) As used in this section:
185(a) "Eligible permit" means a permit:
186(i) enforced by the department; and
187(ii) identified for expedited review in department rule under Subsection (7)(a).
188(b) "Expedited review" means a review of an eligible permit that:
189(i) is performed by a qualified reviewer;
190(ii) is completed within the number of days established by department rule under
191Subsection (7)(d); and
192(iii) concludes with the issuance of a preliminary permit decision.
193(c) "Permit" means any of the following issued under this title:
194(i) a permit;
195(ii) a plan;
196(iii) a license; or
197(iv) an administrative authorization made by a director.
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198      (d) "Preliminary permit decision" means a recommendation to the department by a
199qualified reviewer under expedited review to:
200(i) approve a permit application for final technical review and approval;
201(ii) deny a permit application; or
202(iii) return the permit application to the applicant with a description of the permit
203application's deficiencies.
204      (e) "Qualified reviewer" means a professional engineer, land surveyor, geologist,
205landscape architect, or other licensed professional certified by the department to
206review an application for an eligible permit under this section.
207  (2)(a) The department may certify a qualified reviewer to perform an expedited review
208      of an eligible permit.
209      (b) The department may certify an individual as a qualified reviewer of an eligible
210permit if the individual meets the following requirements:
211(i) holds an active professional license in a field related to the eligible permit;
212(ii) has at least five years of environmental permitting experience;
213(iii) has not been convicted of, or pleaded guilty to:
214(A) an environmental crime, or a similar or related criminal offense under federal
215or state law; or
216(B) a crime involving fraud, theft by deception, forgery, or a similar or related
217criminal offense under federal or state law;
218(iv) has not had a professional license revoked or suspended by a national or state
219licensing board within the previous 10 years; and
220(v) any other requirement established by the department.
221  (3)(a) An applicant for an eligible permit may request an expedited review of the
222      applicant's permit application.
223      (b) An applicant that requests expedited review shall, in a form and manner determined
224by the department:
225(i) submit a written request to the department for an expedited review of the
226applicant's permit application;
227(ii) pay all costs associated with the expedited review; and
228(iii) submit a completed application to a qualified reviewer.
229  (4)(a) The department may establish a process for a qualified reviewer to complete an
230      expedited review of a permit application for an eligible permit.
231      (b) A qualified reviewer shall perform an expedited review:
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232(i) subject to all standards, technical specifications, scope of review, and other
233requirements as determined by the department;
234(ii) on a timeline established by the department; and
235(iii) in accordance with all applicable federal and state laws and regulations.
236(c) A qualified reviewer may not perform an expedited review for an applicant of an
237eligible permit if the qualified reviewer:
238(i) has performed services for the applicant within three years of the date of
239submission of the permit application; or
240(ii) has any financial or business interest with the applicant.
241(d) A qualified reviewer shall submit a preliminary permit decision to the department at
242the completion of an expedited review, including:
243(i) an analysis of the basis for the recommendation; and
244(ii) supporting documentation, as determined by the department.
245   (5)(a) The department shall conduct a final technical review and make a final
246administrative decision for a permit application upon completion of an expedited
247review.
248(b) To make a final administrative decision on a permit application, the department shall:
249(i) review a preliminary permit decision for the permit application;
250(ii) conduct a final technical review of the permit application; and
251(iii)(A) approve the permit application;
252(B) deny the permit application; or
253(C) return the permit application to the applicant with a description of the permit
254application's deficiencies.
255   (6) Except as otherwise provided in this title, a permit applicant may appeal the
256department's final administrative decision as provided in Section 19-1-301.5.
257   (7) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
258department shall make rules to establish:
259(a) the requirements for identifying a permit as an eligible permit;
260(b) the requirements for expedited review;
261(c) the requirements for certifying a qualified reviewer;
262(d) the maximum number of days for a qualified reviewer to complete an expedited
263review;
264(e) the maximum number of days for the department to make a final administrative
265decision upon completion of an expedited review; and
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266      (f) public comment requirements in accordance with federal and state law.
267Section 3. Section 40-6-15 is amended to read:
26840-6-15 . Division created -- Functions -- Director of division -- Qualifications of
269  program administrators.
270  (1) There is created within the Department of Natural Resources the Division of Oil,
271      Gas, and Mining.
272  (2) The division shall implement the policies and orders of the board and perform all other
273      duties delegated by the board.
274  (3) The director of the Division of Oil, Gas, and Mining shall be appointed by the director
275      of the Department of Natural Resources with the concurrence of the Board of Oil, Gas,
276      and Mining.
277  (4) The director shall be the executive and administrative head of the Division of Oil, Gas,
278      and Mining and shall be a person experienced in administration and knowledgeable in
279      the extraction of oil, gas, and minerals.
280  (5) Within the division, the person administering the oil and gas program shall have the
281      technical background to efficiently administer that program.
282  (6) [The] Within the division, the person administering the mining program shall have the
283      technical background to efficiently administer that program.
284Section 4. Section 40-14-101 is enacted to read:
285CHAPTER 14. Expedited Permit Review
286Part 1. General Provisions
28740-14-101 . Definitions.
288     As used in this chapter:
289  (1) "Board" means the Board of Oil, Gas, and Mining created in Section 40-6-4.
290  (2) "Division" means the Division of Oil, Gas, and Mining created in Section 40-6-15.
291  (3) "Eligible permit" means a permit:
292      (a) enforced by the division; and
293      (b) identified for expedited review in board rule under Section 40-14-203.
294  (4) "Expedited review" means a review of an eligible permit that:
295      (a) is performed by a qualified reviewer;
296      (b) is completed within the number of days established by board rule under Section
29740-14-203; and
298      (c) concludes with the issuance of a preliminary permit decision.
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299   (5) "Permit" means any of the following issued under this title:
300(a) a permit;
301(b) a plan;
302(c) a license; or
303(d) an administrative authorization made by the director.
304   (6) "Preliminary permit decision" means a recommendation to the division by a qualified
305reviewer under expedited review to:
306(a) approve a permit application for final technical review and approval;
307(b) deny a permit application; or
308(c) return the permit application to the applicant with a description of the permit
309application's deficiencies.
310   (7) "Qualified reviewer" means a professional engineer, land surveyor, geologist, landscape
311architect, or other licensed professional certified by the division to review an application
312for an eligible permit under this chapter.
313Section 5. Section 40-14-201 is enacted to read:
314Part 2. Expedited Permit Review Process
31540-14-201 . Qualified reviewer -- Certification -- Conflict of interest.
316   (1) The division may certify a qualified reviewer to perform an expedited review of an
317eligible permit.
318   (2) The division may certify an individual as a qualified reviewer of an eligible permit if the
319individual meets the following requirements:
320(a) holds an active professional license in a field related to the eligible permit;
321(b) has at least five years of oil, gas, and mining permitting experience;
322(c) has not been convicted of, or pleaded guilty to:
323(i) an environmental crime, or a similar or related criminal offense under federal or
324state law; or
325(ii) a crime involving fraud, theft by deception, forgery, or a similar or related
326criminal offense under federal or state law;
327(d) has not had a professional license revoked or suspended by a national or state
328licensing board within the previous 10 years; and
329(e) any other requirement established by the division.
330   (3) A qualified reviewer may not perform an expedited review for an applicant of an
331eligible permit if the qualified reviewer:
332(a) has performed services for the applicant within three years of the date of submission
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333of the permit application; or
334      (b) has any financial or business interest with the applicant.
335Section 6. Section 40-14-202 is enacted to read:
33640-14-202 . Expedited review request -- Preliminary permit decision.
337  (1)(a) An applicant for an eligible permit may request an expedited review of the
338      applicant's permit application.
339      (b) An applicant that requests expedited review shall, in a form and manner determined
340by the division:
341(i) submit a written request to the division for an expedited review of the applicant's
342permit application;
343(ii) pay all costs associated with the expedited review; and
344(iii) submit a completed application to a qualified reviewer.
345  (2)(a) The division may establish a process for a qualified reviewer to complete an
346      expedited review of a permit application for an eligible permit.
347      (b) A qualified reviewer shall perform an expedited review:
348(i) subject to all standards, technical specifications, scope of review, and other
349requirements as determined by the division;
350(ii) on a timeline established by the division; and
351(iii) in accordance with all applicable federal and state laws and regulations.
352  (3) A qualified reviewer shall submit a preliminary permit decision to the division at the
353      completion of an expedited review, including:
354      (a) an analysis of the basis for the recommendation; and
355      (b) supporting documentation, as determined by the division.
356Section 7. Section 40-14-203 is enacted to read:
35740-14-203 . Final permit decision by division -- Appeal.
358  (1)(a) The division shall conduct a final technical review and make a final administrative
359      decision for a permit application upon completion of an expedited review.
360      (b) To make a final administrative decision on a permit application, the division shall:
361(i) review a preliminary permit decision for the permit application;
362(ii) conduct a final technical review of the permit application; and
363(iii)(A) approve the permit application;
364(B) deny the permit application; or
365(C) return the permit application to the applicant with a description of the permit
366application's deficiencies.
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367   (2) Except as otherwise provided in this title, a permit applicant may appeal the division's
368final administrative decision as provided in Section 40-8-13.1.
369Section 8. Section 40-14-204 is enacted to read:
37040-14-204 . Rulemaking authority.
371      In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
372   board shall make rules to establish:
373   (1) the requirements for identifying a permit as an eligible permit;
374   (2) the requirements for expedited review;
375   (3) the requirements for certifying a qualified reviewer;
376   (4) the maximum number of days for a qualified reviewer to complete an expedited review;
377   (5) the maximum number of days for the division to make a final administrative decision
378upon completion of an expedited review; and
379   (6) public comment requirements in accordance with federal and state law.
380Section 9. Effective Date.
381   This bill takes effect on May 6, 2026.
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