Title V Air Fees Set to Increase

Over the past year, a number of stakeholders (including MAA) took part in series of workgroups to discuss adequate funding of EGLE’s Air Quality Division Title V program as required by the federal Clean Air Act.  
 
We are pleased to announce that new air emissions fee legislation is on its way to the Governor’s desk.  Although not perfect, the compromise legislation includes a new state appropriation, which ultimately averted the need for an additional $2 million in fee increases on Michigan employers. 
  
This legislation extends the state’s current Air Quality Fee sunset to October 1, 2023; expands the number of facilities subject to the air fee facility charge; and increases the fee amount for emissions for any facility that falls under EPA’s title V air program.
 
So, what does this mean for the aggregate industry???
As you may recall your annual air fee is comprised of a facility charge and emissions charge (Annual Fee = Facility Charge + Emissions Charge)
 
Facility Charge
Depending on your amount of fee subject emissions your facility charge will be as follows:  (note that the facility charge for 2019 was a flat rate of $1,750)
60 or more tons of fee subject emissions - $2,500
6 or more tons and less than 60 tons - $2,000
less than 6 tons - $1,795
 
Emissions Charge
Emission Charge increased from $51.15/ton to $53.00/ton
 
The good news is that Michigan companies have a great success story to tell about the amount of emissions reductions they’ve achieved over many years. However, that success has led to an increase in the fees assessed because less emissions means less revenue. 
 
If you have any questions, please contact the MAA office at 517-381-1732