79–006 

115TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 2d Session 115–508 

RELIEF FROM NEW SOURCE PERFORMANCE STANDARDS 

ACT OF 2017 

JANUARY 10, 2018.—Committed to the Committee of the Whole House on the State 

of the Union and ordered to be printed 

Mr. WALDEN, from the Committee on Energy and Commerce, 

submitted the following 

R E P O R T 

together with 

DISSENTING VIEWS 

[To accompany H.R. 453] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Energy and Commerce, to whom was referred 

the bill (H.R. 453) to deem the Step 2 compliance date for standards of performance for new residential wood heaters, new residential hydronic heaters, and forced-air furnaces to be May 15, 2023, 

having considered the same, report favorably thereon without 

amendment and recommend that the bill do pass. 

CONTENTS 

Page 

Purpose and Summary ............................................................................................ 2 

Background and Need for Legislation .................................................................... 2 

Committee Action .................................................................................................... 2 

Committee Votes ...................................................................................................... 3 

Oversight Findings and Recommendations ........................................................... 5 

New Budget Authority, Entitlement Authority, and Tax Expenditures ............. 5 

Congressional Budget Office Estimate ................................................................... 5 

Federal Mandates Statement ................................................................................. 6 

Statement of General Performance Goals and Objectives .................................... 6 

Duplication of Federal Programs ............................................................................ 6 

Committee Cost Estimate ....................................................................................... 6 

Earmark, Limited Tax Benefits, and Limited Tariff Benefits ............................. 6 

Disclosure of Directed Rule Makings ..................................................................... 6 

Advisory Committee Statement .............................................................................. 6 

Applicability to Legislative Branch ........................................................................ 6 

Section-by-Section Analysis of the Legislation ...................................................... 7 

2 

1See Final Rule, 80 FR 13671 

Changes in Existing Law Made by the Bill, as Reported ..................................... 7 

Dissenting Views ..................................................................................................... 8 

PURPOSE AND SUMMARY

H.R. 453, Relief from New Source Performance Standards Act of 

2017, was introduced by Representative Collin Peterson (D–MN) on 

January 11, 2017. 

BACKGROUND AND NEED FOR LEGISLATION

On March 16, 2015, the Environmental Protection Agency (EPA) 

finalized its Standards of Performance for New Residential Wood 

Heaters, New Residential Hydronic Heaters and Forced-Air Furnaces, which uses a two phase framework to reduce emissions.1

The first phase of this rule took effect in 2015 and has reduced 

emissions by up to 90 percent with minimal economic interruption. 

However, the second phase of this rule, ordered to take effect in 

2020, is proving to be much more burdensome for manufactures to 

implement. Manufacturers, most of which are small businesses, are 

having great difficulty designing compliant models in the short 

timeframe allowed by the EPA. As a result, some companies have 

already laid off workers, and others fear they will not be able to 

stay in business after 2020. Wood heater users, many of which are 

low-income households, face the likelihood of more expensive wood 

heaters and reduced product choice if the second phase is implemented as scheduled. To provide more flexibility to manufactures 

and to reduce the potential cost burden on wood heater users, H.R. 

453 extends by three years the deadlines for the second phase of 

New Source Performance Standards (NSPS) for new residential 

wood heaters. 

COMMITTEE ACTION

On September 13, 2017, the Subcommittee on Environment held 

a hearing on H.R. 453. The Subcommittee received testimony from: 

• Ryan Parker, President and CEO, Endicott Clay Products; 

• Vincent Brisini, Director of Environmental Affairs, Olympus Power, LLC, on behalf of Anthracite Region Independent 

Power Producers Association (ARIPPA); 

• Frank Moore, President, Hardy Manufacturing Company, 

Inc.; 

• Steve Page, President and General Manager, Sonoma 

Raceway; 

• Alexandra E. Teitz, Principal, AT Strategies, LLC, on behalf of Sierra Club; and 

• Rebecca Bascom, Professor, Penn State College of Medicine, on behalf of American Thoracic Society. 

On November 15, 2017, the Subcommittee on Environment met 

in open markup session and forwarded H.R. 453, without amendment, to the full Committee by a record vote of 12 yeas and 10 

nays. On December 6, 2017, the full Committee on Energy and 

Commerce met in open markup session and ordered H.R. 453, 

without amendment, favorably reported to the House by a record 

vote of 32 yeas and 21 nays. 

3 

COMMITTEE VOTES

Clause 3(b) of rule XIII requires the Committee to list the record 

votes on the motion to report legislation and amendments thereto. 

The following reflects the record votes taken during the Committee 

consideration: 

4 


Insert graphic folio 4 HR508.001

COMMITTEE ON ENERGY Ac"'D COMMERCE·· 115TH CONGRESS 

ROLL CALL VOTE# 61 

BILL: H.R. 453, Relief from New Source Perfonnance Standards Act of2017 

AMENDMENT: A motion by Mr. Walden to order H.R. 453 favorably reported to the House, without amendment. 

(Final Passage) 

DISPOSITION: AGREED TO, by a roll call vote of32 yeas and 21 nays 

SENTATIVE YEAS NAYS PRESENT I REPRESENTATIVE YEAS NAYS PRESENT 

en X Mr. Pallone X 

Mr. Barton X Mr. Rush X 

Mr. Upton X Ms. Eshoo X 

Mr. Shimkus X Mr. Engel X 

Mr. Burgess X Mr. Green X 

Mrs. Blackburn X Ms.DeGette X 

Mr. Scalise X Mr. Doyle X 

Mr. Latta X Ms. Schakowsky X 

Mrs. McMorris Rodgers X Mr. Butterfield X 

Mr. Harper X Ms. Matsui X 

Mr. Lance X Ms. Castor X 

Mr. Guthrie X Mr. Sarbanes X 

Mr. Olson X Mr. McNerney X 

Mr. McKinley X Mr. Welch X 

Mr. Kinzinger X Mr. Lujan X 

Mr. Griffith X Mr. Tonko X 

Mr. Bilirakis X Ms. Clarke X 

Mr. Johnson X Mr. Loebsack X 

Mr. Long X Mr. Schrader X 

Mr. Bucshon X Mr. Kennedy 

Mr. Flores X Mr. Cardenas X 

Mrs. Brooks X Mr. Ruiz X 

Mr. Mullin X Mr. Peters X 

Mr. Hudson X Ms.Dingell X 

Mr. Collins X 

Mr. Cramer X 

Mr. Walberg X 

Mrs. Walters X 

Mr. Costello X 

Mr. Carter 

Mr. Duncan X 

12/06/2017 

I 
5 

OVERSIGHT FINDINGS AND RECOMMENDATIONS

Pursuant to clause 2(b)(1) of rule X and clause 3(c)(1) of rule 

XIII, the Committee held a hearing and made findings that are reflected in this report. 

NEW BUDGET AUTHORITY, ENTITLEMENT AUTHORITY, AND TAX

EXPENDITURES

Pursuant to clause 3(c)(2) of rule XIII, the Committee finds that 

H.R. 453 would result in no new or increased budget authority, entitlement authority, or tax expenditures or revenues. 

CONGRESSIONAL BUDGET OFFICE ESTIMATE

Pursuant to clause 3(c)(3) of rule XIII, the following is the cost 

estimate provided by the Congressional Budget Office pursuant to 

section 402 of the Congressional Budget Act of 1974: 

U.S. CONGRESS, 

CONGRESSIONAL BUDGET OFFICE, 

Washington, DC, December 21, 2017. 

Hon. GREG WALDEN, 

Chairman, Committee on Energy and Commerce, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 453, the Relief from New 

Source Performance Standards Act of 2017. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Jon Sperl. 

Sincerely, 

KEITH HALL, 

Director. 

Enclosure. 

H.R. 453—Relief from New Source Performance Standards Act of 

2017 

H.R. 453 would delay the requirement for compliance with the 

Environmental Protection Agency’s (EPA’s) performance standards 

for new residential wood heaters, hydronic heaters, and forced-air 

furnaces from 2020 until 2023. The EPA finalized the new regulations, which primarily affect manufacturers of those heating devices, in 2015. 

Using information from the EPA about its current activities related to implementing the regulations, CBO estimates that enacting the legislation would not have a significant net effect on the 

agency’s workload or spending. CBO expects that extending the 

date would result in more resources being spent on assistance with 

compliance than on enforcement. 

Enacting H.R. 453 would not affect direct spending or revenues; 

therefore, pay-as-you-go procedures do not apply. 

CBO estimates that enacting H.R. 453 would not increase net direct spending or on-budget deficits in any of the four consecutive 

10-year periods beginning in 2028. 

H.R. 453 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act. 

6 

The CBO staff contact for this estimate is Jon Sperl. The estimate was approved by H. Samuel Papenfuss, Deputy Assistant Director for Budget Analysis. 

FEDERAL MANDATES STATEMENT

The Committee adopts as its own the estimate of Federal mandates prepared by the Director of the Congressional Budget Office 

pursuant to section 423 of the Unfunded Mandates Reform Act. 

STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

Pursuant to clause 3(c)(4) of rule XIII, the general performance 

goal or objective of this legislation is to extend by three years the 

deadlines for the second phase of New Source Performance Standards (NSPS) for new residential wood heaters. 

DUPLICATION OF FEDERAL PROGRAMS

Pursuant to clause 3(c)(5) of rule XIII, no provision of H.R. 453 

is known to be duplicative of another Federal program, including 

any program that was included in a report to Congress pursuant 

to section 21 of Public Law 111–139 or the most recent Catalog of 

Federal Domestic Assistance. 

COMMITTEE COST ESTIMATE

Pursuant to clause 3(d)(1) of rule XIII, the Committee adopts as 

its own the cost estimate prepared by the Director of the Congressional Budget Office pursuant to section 402 of the Congressional 

Budget Act of 1974. 

EARMARK, LIMITED TAX BENEFITS, AND LIMITED TARIFF BENEFITS

Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the Committee 

finds that H.R. 453 contains no earmarks, limited tax benefits, or 

limited tariff benefits. 

DISCLOSURE OF DIRECTED RULE MAKINGS

Pursuant to section 3(i) of H. Res. 5, the Committee finds that 

the following directed rule makings are contained in H.R. 453: 

Section 2(b): Not later than 60 days after the date of enactment of this Act, the Administrator of the Environmental Protection Agency shall make such technical and conforming 

changes to rules and guidance documents as may be necessary 

to implement the Step 2 compliance date of May 15, 2023 (as 

such term is used in the final rule entitled ‘‘Standards of Performance for New Residential Wood Heaters, New Residential 

Hydronic Heaters and Forced-Air Furnaces’’ published at 80 

Fed. Reg. 13672 (March 16, 2015)). 

ADVISORY COMMITTEE STATEMENT

No advisory committees within the meaning of section 5(b) of the 

Federal Advisory Committee Act were created by this legislation. 

APPLICABILITY TO LEGISLATIVE BRANCH

The Committee finds that the legislation does not relate to the 

terms and conditions of employment or access to public services or 

7 

accommodations within the meaning of section 102(b)(3) of the Congressional Accountability Act. 

SECTION-BY-SECTION ANALYSIS OF THE LEGISLATION

Section 1. Short title 

Section 1 provides that the Act may be cited as the ‘‘Relief from 

New Source Performance Standards Act of 2017’’. 

Section 2. Step 2 compliance date for standards of performance for 

new residential wood heaters, new residential hydronic heaters, 

and force-air furnaces 

Section 2(a) extends the deadlines for the second phase of New 

Source Performance Standards (NSPS) to May 15, 2023, for new 

residential wood heaters, new residential hydronic heaters, and 

new residential forced-air furnaces. 

Section 2(b) directs the Administrator of the Environmental Protection Agency to make technical and conforming changes to rules 

and guidance documents as necessary to implement subsection (a) 

not later than 60 days after the date of enactment of this Act. 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

This legislation does not amend any existing Federal statute. 

(8) 

1 Environmental Protection Agency, Standards of Performance for New Residential Wood Heaters, New Residential Hydronic Heaters and Forced-Air Furnaces, 80 Fed. Reg. 13672 (Mar. 16, 

2015) (Final Rule). 2Petitions from the states of New York, Connecticut, Maryland, Massachusetts, Michigan, 

New Jersey and Vermont, and the Northeast States for Coordinated Air Use Management 

(NESCAUM) to the U.S. Environmental Protection Agency for a rulemaking under 42 U.S.C. 

§ 7411(b)(1) Regarding Outdoor Wood Boilers (Aug. 11, 2005). 

DISSENTING VIEWS 

H.R. 453 delays implementation of the Step 2 emissions standards for three categories of new wood-fueled heaters: residential 

wood stoves, hydronic heaters, and forced-air furnaces. The current 

Step 2 compliance date for these appliances is 2020, which the bill 

extends until May 15, 2023. No delay of these new standards is justified, and any delay will result in a significant cost to the public’s 

health. Wood heaters are long-lived appliances; once installed, they 

operate for 25 years or more. So, any delay of the standards translates into more decades of added pollution and adverse health effects. 

During winter months in regions of the country where wood fuel 

is used predominantly, the majority of particulate matter comes 

from wood heaters. Because the emissions are released close to 

ground level at their homes, there is insufficient dispersion of particle pollution, resulting in significant human exposure. Wood 

smoke from these appliances contains considerable amounts of fine 

particle pollution and carbon monoxide, as well as benzene, formaldehyde, and other toxic pollutants, all of which are harmful to 

public health. Wood heater pollution is associated with irritation of 

the eyes and the respiratory system, increased asthma attacks, aggravation of heart or respiratory conditions, changes in lung function and premature death.1

The federal emissions standards for wood stoves have not been 

updated since they were first established in 1988, nearly 30 years 

ago. In March 2015, the Environmental Protection Agency (EPA) finalized the wood heaters rule update in response to a 2005 petition 

from seven states and the Northeast States for Coordinated Air 

Use Management (NESCAUM). In their petition, the parties requested that EPA list outdoor wood boilers as a category of stationary sources and promulgate standards of performance for these 

appliances under section 111 of the Clean Air Act.2 The 2015 rule 

strengthened the standards for residential wood stoves, and also 

established the first standards for products that came onto the 

market since the 1988 rule, including hydronic heaters, forced-air 

furnaces, and masonry heaters. These performance standards were 

set based on existing technology representing the ‘‘best system of 

emissions reduction’’ currently available in the industry. EPA’s 

9 

3 Environmental Protection Agency, Overview of Final Updates to Air Emissions Requirements 

for New Residential Wood Heaters (Mar. 16, 2015) (www.epa.gov/sites/production/files/2015-02/ 

documents/20150204fs-overview.pdf). 4 New York State Office of the Attorney General, Environmental Protection Bureau, Smoke 

Gets in Your Lungs: Outdoor Wood Boilers in New York State (Aug. 2005). 5 Iron Range wood-furnace factory needs room to grow, The Duluth News Tribune (Sept. 17, 

2017) (www.duluthnewstribune.com/news/4329352-iron-range-wood-furnace-factory-needs-roomgrow); Poised for growth: Lamppa Manufacturing achieves highest certification, The Timberjay 

(Aug. 23, 2017) (www.timberjay.com/stories/poised-for-growth,13580). 

2015 rule does not affect existing appliances or require anyone to 

replace their current stove or heater with a new appliance.3

Manufacturers of outdoor wood boilers have been aware of pollution problems associated with their appliances since the late 1990s. 

Outdoor wood heater installation expanded during that time in response to higher prices for conventional heating fuels. The number 

of nuisance complaints from neighbors downwind of those who installed these appliances increased along with the number of installations of these heating appliances. 

New York State issued a report in 2005 documenting the pollution and health problems associated with outdoor wood heaters. It 

found these appliances emitted far higher particle pollution than 

that produced by conventional wood stoves. And, the report found 

outdoor wood heaters to emit 1000 times more particle pollution 

than oil furnaces and 1800 times more than gas furnaces.4 As the 

numbers of complaints continued to grow, local communities adopted ordinances to regulate, restrict, and in some cases prohibit the 

installation and operation of these devices. 

EPA initiated a voluntary partnership program with manufacturers of hydronic heaters (e.g. outdoor wood heaters) in 2007, and 

then took an additional seven years before issuing proposed standards for wood heaters as required under the Clean Air Act. During 

that period the emission performance of these appliances improved 

substantially. In fact, there are currently models in each category, 

other than masonry heaters, that already meet the Step 2 standards EPA finalized in 2015. 

The additional three year delay proposed in this bill serves only 

to punish companies that invested in research and development of 

cleaner, more efficient appliances. For example, Lamppa Manufacturing, a small Minnesota manufacturer, received certification of 

its wood furnace for the Step 2 standards. In fact, the Lamppa furnace exceeds the Step 2 emissions standard by 40 percent.5 Seeing 

these developments as an opportunity to gain additional market 

share, Lamppa is planning to expand production. 

Wood heaters that meet the new emission standards will also be 

more efficient, providing more heat per unit of wood burned. Once 

in place, the greatest on-going expense for these appliances is the 

fuel cost, an important consideration for low-income households in 

the decision about whether to make the significant investment required to purchase and install these systems. Delaying improvements to these appliances will translate into decades of unnecessary, additional fuel expenditures for families that are least able to 

afford higher fuel costs, undermining the primary benefit of investing in a wood heating system. 

Manufacturers have until 2020 to produce wood heating devices 

that meet the Step 2 standards. Contrary to industry claims, EPA 

reports there are sufficient numbers of independent laboratories 

10 

6Letter from OMNI-Test Laboratories, Inc. to the Environmental Protection Agency regarding 

test lab capacity and future backlogs impacting wood heaters (Nov. 14, 2017). 

that can certify compliant wood heating appliances. Assertions of 

a testing ‘‘backlog’’ at these laboratories have also been rejected.6

The industry has been aware of the need to innovate and produce 

cleaner, more efficient products for at least 15 years. No further 

delay is necessary. H.R. 453 punishes innovative manufacturers, 

undermines consumers’ fuel economy benefits, and jeopardizes public health. 

For the reasons stated above, we dissent from the views contained in the Committee’s report. 

FRANK PALLONE, JR. 

Ranking Member. 

PAUL D. TONKO

Ranking Member, Subcommittee on Environment. 

Æ