Key Points:
- Budget adds hard deadlines: PADEP must now decide certain permit applications within short, fixed timeframes or they are automatically deemed approved.
- Air quality permits accelerated: Reviews must be completed in 30 days, with a limited five-day deficiency period, for a maximum 35-day window before deemed approval.
- Stormwater renewals get a clock: Renewals of NPDES stormwater construction general permits must be reviewed within 60 days or are deemed approved unless both sides agree to extend.
- Applies only to renewals: The 60-day rule does not cover new NPDES general permits, which matters for stalled development projects needing renewed coverage.
- Transparency mandate expands: All Commonwealth agencies must post permit categories, legal authority and processing timelines online, giving developers clearer insight into project timing.
The 2025-26 state budget signed into law yesterday by Pennsylvania Gov. Josh Shapiro contains a number of provisions that will require the Pennsylvania Department of Environmental Protection (PADEP) to complete its review of specific permit applications within short timeframes or have those applications deemed approved.
These new statutory deadlines should be helpful to real estate developers. In addition, the new budget increases funding for PADEP to hire new staff to get permit reviews done on time and allows PADEP to retain third-party reviewers for permit applications in specific programs.
Here is a quick review of the new requirements.
Air Quality Permits
For air quality permits (which are permits a developer must have prior to construction of any new air contamination sources, such as buildings needing generators or industrial facilities with air emissions), the new budget requires PADEP to complete its review of those applications within 30 days or the permit will be “deemed approved”. PADEP and the applicant are allowed an additional five days to address any deficiencies, with a fixed decision deadline of no more than 35 days from submission, or the permit is deemed approved.
Stormwater Construction Permits
For NPDES stormwater construction permits (which are permits needed when there is more than 1 acre of excavation as part of site development), the budget law specifically addresses PADEP’s review of renewals of NPDES general permits. An NPDES general permit for stormwater construction is one that is obtained when the amount of excavation is more than 1 acre but less than 5 acres. Also, a general permit is not appropriate when the property has environmental contamination and is being addressed in the Act 2 program, which requires an individual permit.
The new budget imposes a 60-day deadline on PADEP for reviewing renewals of NPDES general permits. After 60 days, the renewal application is “deemed approved”, unless PADEP and the applicant have agreed to extend the review time period. This provision does not apply to new NPDES general permits but just to renewal permits. Where this is likely to come up is in the context of development projects where an NPDES stormwater general permit was obtained (which has a 5 year term) but the development has stalled for one reason or another and that permit needs to be renewed because construction has not yet been completed.
Permit Data Transparency
Lastly, the new state budget requires all Commonwealth departments and agencies to maintain a list and make available on a publicly accessible website the following information relating to permits:
- The program under which each permit is issued
- The statutory and regulatory authority for each permit
- The time frame when the state agency must issue each permit
- The average time frame within which each permit is issued
Since this applies to all permits across all Commonwealth agencies, it includes not only PADEP permits, but also things like highway occupancy permits issued by PennDOT and other permits that may be needed for development projects. This last requirement doesn’t impose deadlines but is for information purposes so developers presumably will have more information available in evaluating project deadlines.
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