A bill to provide additional time for compliance with, and coordinating of, the compliance schedules for certain rules of the Environmental Protection Agency.

Summary: Fair Compliance Act of 2011 - Requires the Administrator of the Environmental Protection Agency (EPA) to provide an extension of at least two years of the deadline to comply with any emissions standards for hazardous air pollutants from electric utility steam generating units that the Administrator may promulgate based on the proposed rule entitled "National Emission Standards for Hazardous Air Pollutants From Coal- and Oil-Fired Electric Utility Steam Generating Units and Standards of Performance for Fossil-Fuel-Fired Electric Utility, Industrial-Commercial-Institutional, and Small Industrial-Commercial-Institutional Steam Generating Units."

Requires the Administrator to: (1) provide adequate time for each state to adopt and submit state implementation plan revisions for the implementation of the emissions reductions of sulfur dioxide and nitrogen oxides from electric utility steam generating units required by the final rule entitled "Federal Implementation Plans: Interstate Transport of Fine Particulate Matter and Ozone and Correction of SIP Approvals"; and (2) extend the date by which each state shall implement such reductions until no earlier than January 1, 2015, for first phase of the emissions reductions and January 1, 2017, for the second phase.

Requires each owner or operator of such unit that is subject to any emissions standard for hazardous air pollutants to submit: (1) a draft implementation plan for the expeditious implementation of the applicable emissions reduction requirements to the Electric Reliability Organization (ERO) by July 1, 2012 for review, (2) a revised plan to the Administrator and the Secretary of Energy (DOE) by December 1, 2012, and (3) a report describing the progress made in implementing the plan to the Administrator and the Secretary by December 1, 2014, and annually thereafter.

Requires the Secretary to submit to the Administrator: (1) a final implementation plan no later than 60 days after submission of a draft plan to ERO, and (2) a report on progress on implementing emissions control measures in a manner that ensures the reliability of the local and regional electricity systems by March 31, 2015, and annually thereafter through 2018.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Fair Compliance Act of 2011''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Affected owner or operator.--The term ``affected owner 
        or operator'' means an owner or operator of an electric utility 
        steam generating unit that is subject to--
                    (A) any emissions standard for hazardous air 
                pollutants from electric utility steam generating units 
                that the Administrator may promulgate based on the 
                proposed rule entitled ``National Emission Standards 
                for Hazardous Air Pollutants From Coal- and Oil-Fired 
                Electric Utility Steam Generating Units and Standards 
                of Performance for Fossil-Fuel-Fired Electric Utility, 
                Industrial-Commercial-Institutional, and Small 
                Industrial-Commercial-Institutional Steam Generating 
                Units'' (76 Fed. Reg. 24976 (May 3, 2011)); or
                    (B) the final rule entitled ``Federal 
                Implementation Plans: Interstate Transport of Fine 
                Particulate Matter and Ozone and Correction of SIP 
                Approvals'' (76 Fed. Reg. 48208 (August 8, 2011)).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.

SEC. 3. COMPLIANCE PERIOD FOR UTILITY MACT STANDARDS.

    (a) Extension of Compliance Date.--
            (1) In general.--Notwithstanding title I of the Clean Air 
        Act (42 U.S.C. 7401 et seq.), the Administrator shall provide 
        an extension, for the period described in paragraph (2), of the 
        deadline to comply with any emissions standards for hazardous 
        air pollutants from electric utility steam generating units 
        that the Administrator may promulgate based on the proposed 
        rule entitled ``National Emission Standards for Hazardous Air 
        Pollutants From Coal- and Oil-Fired Electric Utility Steam 
        Generating Units and Standards of Performance for Fossil-Fuel-
        Fired Electric Utility, Industrial-Commercial-Institutional, 
        and Small Industrial-Commercial-Institutional Steam Generating 
        Units'' (76 Fed. Reg. 24976 (May 3, 2011)).
            (2) Description of extension period.--The period referred 
        to in paragraph (1) is a period of not less than an additional 
        2 years, as measured beginning on the final day of the 
        applicable 3-year compliance period required under section 
        112(i)(3)(A) of the Clean Air Act (42 U.S.C. 7412(i)(3)(A)).
    (b) Savings Clause.--Nothing in this section modifies, limits, or 
otherwise affects the authority to extend the compliance schedule for 
any emissions standards described in subsection (a)(1) pursuant to 
paragraph (3)(B) or (4) of section 112(i) of the Clean Air Act (42 
U.S.C. 7412(i)).

SEC. 4. COMPLIANCE PERIOD FOR CROSS-STATE AIR POLLUTION RULE.

    (a) Extension of Compliance Date.--Notwithstanding title I of the 
Clean Air Act (42 U.S.C. 7401 et seq.), the Administrator shall--
            (1) provide adequate time for each State to adopt and 
        submit plan revisions under section 110 of that Act (42 U.S.C. 
        7410) for the implementation of the emissions reductions of 
        sulfur dioxide and nitrogen oxides from electric utility steam 
        generating units required by the final rule entitled ``Federal 
        Implementation Plans: Interstate Transport of Fine Particulate 
        Matter and Ozone and Correction of SIP Approvals'' (76 Fed. 
        Reg. 48208 (August 8, 2011)); and
            (2) extend the date by which each State shall implement the 
        emissions reductions required by the rule described in 
        paragraph (1) until not earlier than--
                    (A) January 1, 2015, for first phase of the 
                emissions reductions; and
                    (B) January 1, 2017, for the second phase of the 
                emissions reductions.
    (b) Savings Clause.--Nothing in this section modifies the effective 
date, or otherwise modifies, limits, or affects the emissions reduction 
requirements, established by the rule described in subsection (a)(1).

SEC. 5. EXPEDITIOUS IMPLEMENTATION OF EMISSIONS REDUCTIONS.

    (a) Implementation Plan.--
            (1) Development.--In accordance with subsection (b), each 
        affected owner or operator shall develop a plan for the 
        expeditious implementation of the applicable emissions 
        reduction requirements specified in sections 3 and 4.
            (2) Submission.--Not later than December 1, 2012, each 
        affected owner or operator shall submit to the Administrator 
        and the Secretary the implementation plan developed under 
        paragraph (1).
    (b) Requirements.--In developing an implementation plan under 
subsection (a)(1), an affected owner or operator shall--
            (1) include all electric utility steam generating units 
        under the common control of the affected owner or operator;
            (2) designate the units within the plan that are scheduled 
        for permanent retirement or continued operation through the 
        planning period ending on December 31, 2018;
            (3) in accordance with subsection (c), provide a schedule 
        that establishes--
                    (A) in the case of each unit designated for 
                permanent retirement under paragraph (2), the proposed 
                date by which the unit will permanently cease all 
                operations to generate electricity; and
                    (B) in the case of each unit designated for 
                continued operation under paragraph (2), the 
                intermediate milestones and the final completion date 
                for the implementation of the control measures that are 
                necessary to achieve compliance with the applicable 
                emissions reductions requirements specified in sections 
                3 and 4; and
            (4) in accordance with subsection (d), ensure that the 
        implementation plan does not impair or threaten to impair the 
        reliability of the local or regional electricity system.
    (c) Elements of Schedule.--The schedule required under subsection 
(b)(3) shall contain each of the following elements:
            (1) In the case of each unit designated for retirement 
        under subsection (b)(2), a proposed date for the permanent 
        cessation of all operations to generate electricity in 
        accordance with a schedule that--
                    (A) is as expeditious as practicable; but
                    (B) provides sufficient time for the implementation 
                of any mitigation measures that may be necessary to 
                ensure the reliability of the local or regional 
                electricity system.
            (2) In the case of each unit designated for continued 
        operation under subsection (b)(2)--
                    (A) a description of the control measures that the 
                affected owner or operator plans to implement in order 
                to comply with the applicable emissions reduction 
                requirements specified in sections 3 and 4;
                    (B) intermediate milestones (which may include 
                applying for permits and regulatory approvals, 
                completing phases of the engineering design, placing 
                orders for control equipment, commencing construction, 
                and benchmarks for completion of major phases of 
                construction) that the affected owner or operator plans 
                to meet in order to ensure the expeditious 
                implementation of each control measure identified under 
                subparagraph (A); and
                    (C) a proposed date for completion of each control 
                measure identified under subparagraph (A).
    (d) Procedures for Ensuring Electric Reliability.--
            (1) Review of draft plan.--
                    (A) In general.--Not later than July 1, 2012, each 
                affected owner or operator shall submit a draft 
                implementation plan to the Electric Reliability 
                Organization (as defined in section 215(a) of the 
                Federal Power Act (16 U.S.C. 824o(a)) (referred to in 
                this section as ``ERO'').
                    (B) Scope of review.--ERO, in consultation with 
                appropriate regional reliability organizations, shall--
                            (i) review each implementation plan 
                        submitted under subparagraph (A);
                            (ii) assess--
                                    (I) the feasibility of the 
                                implementation of the combined plans 
                                for the region; and
                                    (II) the impacts of the combined 
                                schedules contained in those plans on 
                                the reliability and adequacy of the 
                                bulk power system; and
                            (iii) recommend any revisions to the 
                        schedules contained in the implementation plans 
                        to provide adequate time for the implementation 
                        of any mitigation measures that may be 
                        necessary to ensure the reliability and 
                        adequacy of the bulk electric system.
            (2) Modification of draft plan.--
                    (A) Consultation.--
                            (i) In general.--ERO shall consult with 
                        each affected owner or operator that submits a 
                        draft implementation plan under paragraph 
                        (1)(A).
                            (ii) Revisions.--Based on the consultation 
                        under clause (i), ERO and the affected owner or 
                        operator shall develop any revisions to the 
                        schedule contained in the draft plan of the 
                        affected owner or operator that may be 
                        necessary to address the recommendations 
                        developed by ERO during the review of the draft 
                        plan.
                    (B) Finalization of draft plan.--The consultations 
                under this paragraph shall be completed as 
                expeditiously as practicable to facilitate timely 
                submission of the plans in accordance with subsection 
                (a)(2).
    (e) Issuance and Implementation of Final Plans.--
            (1) Publication.--Not later than 60 days after the date of 
        submission of a draft plan to ERO under subsection (d)(1)(A), 
        the Secretary shall publish and submit to the Administrator the 
        final implementation plan.
            (2) Implementation.--Not later than March 31, 2015, and 
        annually thereafter through 2018, the Secretary shall submit to 
        the Administrator an annual report that describes the progress 
        made during the reporting period on the expeditious 
        implementation of the necessary emissions control measures in a 
        manner that ensures the reliability of the local and regional 
        electricity systems.
    (f) Annual Reports.--
            (1) Requirement.--Not later than December 1, 2014, and 
        annually thereafter, each affected owner or operator that has 
        submitted an implementation plan under subsection (a)(2) shall 
        submit to the Administrator and the Secretary a report 
        describing the progress made during the reporting period in 
        implementing the plan, including--
                    (A) all milestones achieved; and
                    (B)(i) any deviations from the intermediate 
                milestones established by the schedule contained in the 
                plan; and
                    (ii) all measures carried out to resume 
                implementation according to that schedule.
            (2) Adjustments to implementation plan.--If an affected 
        owner or operator determines that an adjustment to any 
        retirement date or the final date for completion of any control 
        measure is necessary, the affected owner or operator--
                    (A) may submit to the Administrator and the 
                Secretary a request for a modification of the schedule 
                contained in the implementation plan; and
                    (B) shall develop, review, and obtain approval of 
                the modified schedule in the same manner as the initial 
                implementation plan established under this section.