SCS Engineers periodically prepares SCS Technical Bulletins and alerts to highlight items of interest to our clients.
SCS Engineers periodically prepares SCS Technical Bulletins – short, clear summaries of rules, plans, standards, and advice. On January 2, 2026, the U.S. Environmental Protection Agency (EPA) announced that it will no longer consider the health-related monetary benefits of reducing air pollution when developing regulations. See 40 CFR Part 60 [EPA-HQ-OAR-2024-0419; FRL-11542-01-OAR], RIN 2060-AW21, New Source Performance Standards Review for Stationary Combustion Turbines and Stationary Gas Turbines.
Just because the EPA has de-emphasized health benefits in its cost-effectiveness analyses of pollution control options does not mean that facilities would be protected from liability for any health impacts they cause. In fact, there is risk that if a facility employs a less stringent level of pollution control as a result of EPA’s new policy, that choice, albeit allowed by the linked NSPS regulation, could increase the potential for more health impact lawsuits to be filed as well as to increase the facility’s liability because they chose to utilize a control technology that did not adequately reduce health impacts.
Navigating the Changing Regulatory Landscape: What the New ‘No Health Costs’ Approach Means for Industrial Clients
In our ever-evolving regulatory environment, staying ahead of policy changes is key to maintaining both compliance and strategic foresight. Recently, the EPA’s shift in its regulatory stance—specifically the decision not to factor health costs into pollution controls—has raised important considerations for the industrial sector.
From a practical perspective, this shift may influence how future air regulations—particularly those related to fine particulate matter (PM2.5) and ozone—are developed and communicated. While public health considerations remain part of the regulatory discussion, the absence of quantified health benefits in economic analyses could change how the overall impacts of new rules are presented. For regulated entities, this underscores the importance of staying engaged with both regulatory agencies and surrounding communities, and continuing to demonstrate a commitment to sound environmental stewardship as policy approaches evolve.
Understanding the Policy Shift
Traditionally, many environmental regulations have included an assessment of health-related costs and benefits. By taking those out of the equation, the EPA is essentially focusing on the economic and technical sides of compliance without formally weighing public health impacts. For industrial clients, this can translate into changes in how permitting and compliance standards are framed.
Implications for Compliance and Strategy
From a practical standpoint, this shift could mean that certain emissions controls or pollution abatement measures are viewed through a more cost-efficiency lens rather than a health-impact lens. For some facilities, that might reduce the immediate burden of justifying certain health-based mitigation steps. For others, it could lead to a re-examination of how to align with both federal requirements and community expectations.
Staying Proactive and Engaged
Even as the regulatory focus shifts, our advice to clients remains the same: stay proactive. Engaging early with regulatory agencies, understanding the broader community context, and maintaining a commitment to sustainable practices will help ensure that your projects not only meet the letter of the law but also foster long-term trust and reliability with your stakeholders.
Community Implications and Local Engagement
It’s also worth noting that while this regulatory shift focuses less on health costs, the well-being of the local community remains a priority. Industries will still need to engage with residents and local stakeholders to address concerns and demonstrate that, even in a changing regulatory landscape, maintaining trust and environmental responsibility remains key.
Potential Implications for Litigation and Facility-Level Risk
While the recent policy shift does not, by itself, create new regulatory requirements, it may have secondary implications for how air quality impacts are evaluated and challenged outside the federal rulemaking process. By placing less emphasis on monetizing public health benefits in regulatory analyses, future EPA rules may yield a narrower administrative record for health-based justifications, even where health impacts remain an underlying consideration.
In this context, challenges related to air quality impacts may increasingly occur at the facility or permit level, rather than through direct challenges to federal regulations. State agencies, local governments, community organizations, and other stakeholders may rely on state statutes, permitting programs, nuisance claims, or environmental justice frameworks to raise concerns regarding localized or cumulative impacts.
For facility owners and operators, this underscores the importance of maintaining robust, defensible compliance programs. Adherence to permit conditions remains essential, but facilities may also benefit from enhanced documentation of operational controls, emissions performance, monitoring data, and responsiveness to community or regulator inquiries. In some cases, voluntary risk-management measures or early engagement during permitting and modification processes may help reduce the likelihood that disputes will escalate into enforcement actions or litigation.
Technical Takeaway for Facility Owners
As federal rulemaking places less emphasis on quantified health benefits, risk management increasingly shifts to the facility level. Facility owners should assume that:
Compliance with permit limits remains necessary but may not be sufficient to deter challenges.
Facility-specific emissions data, monitoring records, and operational documentation will play a larger role in defending permits and responding to third-party claims.
Early coordination during permitting, modifications, and renewals—particularly for PM₂.₅ and ozone-related sources—can reduce downstream legal and community-driven risk.
If you’d like to understand your facilities risk or further investigate O&M program assessment, please get in touch with our experts at SCS Engineers.
Meet our Author:John Tsun, National Practice Leader – Industrial Clean Air Act Services, SCS Engineers.
Advancing solutions to the environmental challenges of data centers
Already numbering over 5000 and growing rapidly, US data centers house vast concentrations of networked computer servers supporting data science, artificial intelligence, cryptocurrency, and our overall use of the internet. Major environmental concerns include direct emissions of air pollutants from routine and emergency power generation, cooling systems, noise, increased water use, zoning issues, waste management, energy transmission, and new power plant construction. States and local agencies seek to reduce local impacts and resolve land-use conflicts while still promoting economic development.
The Dulles Technology Corridor or “Data Center Alley” in northern Virginia is one of the world’s leading data center markets, with over 25 million square feet of data center operations that handle an estimated 70% of the world’s internet traffic — and is the perfect place to hold our first conference on this emerging topic.
Discover technical pathways to more efficient, lower-impact data centers.
The technical program will focus on efforts to reduce adverse environmental and public health impacts of data centers and improve data center sustainability and energy efficiency. Environmental professionals, consultants, local and state managers, and researchers should attend to discover new solutions to reduce the environmental burden of this challenging industry.
SCS Engineers Presents Navigating Environmental Permitting Challenges for Data Center Development
Data center projects face a range of environmental permitting challenges that demand early coordination among developers, consultants, and regulatory agencies. Key factors include air permits for backup generators, stormwater and wastewater management, and compliance with local land use and noise requirements. Through proactive planning and ongoing engagement with regulators, project teams can deliver timely, compliant, and environmentally responsible results. Presenters include, John Tsun, David Greene, and Sean Gordon.
SCS Engineers presents an overview of a live webinar titled “Phased by Design: Aligning Data, Dollars, and Decisions in Planning,” which focuses on a case study from the City of High Point, North Carolina. The webinar demonstrates how a phased, financially grounded procurement process can lead to more targeted, practical, and cost-effective outcomes in waste management planning, with broader applications for municipalities and utilities.
Case Study and Key Speakers
The City of High Point adopted a phased approach, sequencing its planning process first to diagnose financial and operational challenges, which then inform subsequent decisions, resulting in a more focused scope and budget. This contrasts with traditional broad RFPs, which often yield generic, overly comprehensive proposals.
The webinar features Melinda King, Assistant Public Works Director of High Point, NC, who has extensive experience managing public works divisions, including landfill and environmental services. Melinda led the RFP effort in the case study. Vita Quinn, a national expert on utility finance and rate studies at SCS, also presents, sharing expertise on financial sustainability solutions and utility rate design across various services, including solid waste and recycling.
Importance of the Phased Approach
Procurement teams often create RFPs under time pressure, without close collaboration with the utility or the department that needs the project. This can lead consultants to respond to poorly defined scopes, resulting in expensive and broad plans that are difficult to implement. A phased approach begins with procurement and realistic expectations, enabling more precise consultant bids, sharper solutions, and easier plan execution.
Target Audience and Applicability
While the case study centers on solid waste management, the phased procurement process applies to any business, municipality, utility, or public works department seeking improved planning and procurement outcomes.
Saving Time and Money on Waste Industry and Utility RFPs
Attendees will learn how to:
Consider financial and operational drivers before issuing an initial RFP to ensure informed procurement rather than speculative efforts.
Use an early feasibility analysis phase to scope risks and reduce cost exposure while enhancing bidder differentiation.
Design phased implementations, so each step logically builds on the previous, refining scope and budget accordingly.
Tailor procurement to reduce planning costs and clarify implementation pathways.
Takeaways and Additional Information
Participants will gain a repeatable procurement framework that integrates financial analysis, operational feasibility, and long-term strategy into a phased project roadmap. They will also better understand how to structure scopes that protect budgets while attracting innovative consultant solutions.
The webinar encourages questions during and after the session and offers certificates of attendance on request for the live session. For those unable to attend live, a recording is available upon RSVP.
SCS Engineers is proud to participate in the 2027 National Brownfields Training Conference, taking place May 25–28, 2027, in Salt Lake City, Utah. As the nation’s largest event focused on environmental revitalization and economic redevelopment, the conference brings together leaders and practitioners dedicated to transforming contaminated sites into community assets.
With decades of experience supporting brownfields assessment, cleanup, and redevelopment projects nationwide, SCS Engineers partners with public and private stakeholders to deliver practical, sustainable solutions. Our team brings deep expertise in environmental engineering, remediation, solid waste, redevelopment planning, and regulatory compliance—helping communities move projects from vision to reality.
Join us in Salt Lake City to connect with SCS Engineers’ professionals, learn from our project experience, and explore how strategic brownfields solutions can drive economic growth, environmental stewardship, and long-term community success. More info coming soon!
Join SCS Engineers at the 2026 Orphan, Idle & Marginal Wells California Conference in Bakersfield, California. The conference is a solutions-focused forum that brings together regulators, industry experts, technology innovators, and community stakeholders from across the state and beyond. As California sharpens its focus on environmental protection and infrastructure resilience, this event creates space for collaboration to shape the next phase of well decommissioning. Thousands of orphaned and idle wells pose serious environmental, financial, and public health risks. A unified, strategic approach is more urgent than ever. For the second consecutive year, leaders will gather in Bakersfield to help identify and advance solutions.
The 2026 Orphan, Idle & Marginal Wells California Conference will explore evolving regulations, funding opportunities, and AI-driven tools that transform how teams identify, prioritize, and safely close wells. Building on the national Orphan, Idle & Marginal Wells series—launched in Texas in 2023 and continued in California in 2025—the event returns to Bakersfield to address regional challenges, showcase leading remediation practices, and explore scalable solutions for both onshore and offshore sites.
Join SCS Engineers February 2–4 for the SWANA Florida Winter Conference and Hinkley Center Research Forum, hosted at the Marriott Sanibel Harbour Resort in Fort Myers, FL. This annual event brings together solid waste professionals from across Florida to exchange ideas, earn continuing education credits, and explore industry trends.
This year’s theme “Harboring Innovation: Exploring What’s Next in the Solid Waste Industry” sets the stage for forward-thinking discussions and meaningful connections.
SCS Engineers team members will be actively participating in the SWANA Florida Winter Conference, contributing leadership insights and engaging discussions.
Jason Timmons Tuesday, February 3, 2026 | 8:30 a.m. – 9:15 a.m. Welcome & SWANA Florida Chapter Updates An overview of chapter initiatives, priorities, and what’s ahead for the SWANA Florida community.
Laila Al-Khalaf & Kelly Milbrandt Tuesday, February 3, 2026 | 2:00 p.m. – 2:30 p.m. YPs: Engage, Recruit, and Retain A focused session on strategies to attract, develop, and retain the next generation of solid waste professionals.
We’re proud to support knowledge-sharing, leadership development, and the future of the solid waste industry through active participation in this year’s conference. Register now!
On December 11, 2025, the U.S. Environmental Protection Agency (EPA), Office of Air and Radiation (OAR), launched a new webpage entitled the Clean Air Act Resource for Data Centers. The site centralizes regulatory data, modeling tools, and permitting guidance. Designed to accelerate data center construction, the OAR staff is also available for case-by-case consultations with permit authorities and developers. The website has three primary categories:
Regulator Resources: Focuses on power sources, a major concern for planning data centers and AI infrastructure. Common sources of primary and backup power are subject to New Source Performance Standards (NSPS) for certain air emissions and National Emission Standards for Hazardous Air Pollutants (NESHAP).
Air Permitting Resources: Aggregates guidance documents and historical interpretation letters to see how EPA has handled similar permitting requests in the past, offering a clearer picture of statutory obligations under New Source Review (NSR) requirements and federal regulations.
Modeling Guidance: Provides access to the EPA’s “Guideline on Air Quality Models,” offering technical methods for demonstrating Clean Air Act (CAA) and NO2 National Ambient Air Quality Standard (NAAQS) compliance during planning.
The EPA initiative aims to help businesses and communities navigate federal air quality rules, specifically under the Clean Air Act (CAA) requirements that EPA acknowledges are essential for pollution control. Officials stated the webpage will be updated continuously as the agency moves to reform industry guidance for data center developers.
The EPA did not specify what it intends to change, but said it will clarify how the regulations apply to modern facilities. The administration contends that streamlined development will ultimately protect consumers from rising electricity rates and cost-of-living increases.
According to the Georgetown Law Review, Bloomberg, and Utility Dive, communities and states that allow data center growth are experiencing substantial increases in utility costs, up to 267% over five years [1].
While it is not unusual for local taxpayers to cover part of the infrastructure costs, many consumers were unaware of just how substantial those costs are for data centers [2].
According to the Georgetown Law Review, there is currently no concise federal framework for regulating data center development, leaving regulation largely up to the individual states. However, a bill introduced by Senators Whitehouse and Fetterman, the Clean Cloud Act of 2025, would amend the Clean Air Act to set emissions standards for servers and other equipment used in data centers or crypto-mining facilities, and to require data collection on energy consumption. The Senate read the proposed bill and then referred it to the Committee on Environment and Public Works [3].
Electrical systems and ongoing energy systems account for the lion’s share of capital expenses and operational costs. There is a cost of land, but companies are now seeking to use Brownfields to obtain parcels closer to urban areas with more infrastructure.
The environmental impacts discussed here affect air quality because the massive amounts of electricity data centers consume to crunch data and keep systems cool are primarily generated by fossil fuels. Total global consumption of electrical power by data centers is anticipated to jump, with AI-optimized centers expected to see demand quadruple; AI’s share of data center power could rise from 5-15% to 35-50% by 2030 [4].
Our dependence is driving up carbon emissions and exacerbating global warming issues. Developing greener cooling methods for data centers will help minimize environmental impacts on air quality and reduce strains on local water resources for cooling [5]. That’s where SCS Engineers can help.
For more than five decades, SCS Engineers has helped industrial and infrastructure clients navigate complex environmental challenges — from permitting and regulatory compliance to energy, water, and air quality solutions. Our experience spans power generation, advanced manufacturing, resource recovery, and large-scale infrastructure projects, where we help transform operational challenges into cost-effective, sustainable outcomes. This depth of industrial expertise demonstrates that the U.S. can continue to lead in technology and innovation while responsibly protecting natural resources.
As your state or community looks toward supporting the U.S.’s technology future, know that there is an environmental engineering, consulting, and construction firm that finds a way to sustain business growth and protect our environment. Reach out to one of our Energy Management Professionals. We’re happy to help.
Join industry professionals in Roanoke, Virginia, for a half-day seminar on Friday, March 13 at Hotel Roanoke. This event will feature the latest regulatory, policy, and technological updates impacting the solid waste, landfill, landfill gas, and sustainable materials management industries. This program delivers practical insights from experienced practitioners and regulators to help attendees stay current on evolving requirements, emerging technologies, and industry best practices.
Full event attendance provides four (4) CPE/T contact hours applicable toward Virginia DPOR Class I & II license renewal.
Join industry professionals in Richmond, Virginia, for a half-day seminar on Thursday, March 12 at the Virginia Crossings Hotel & Conference Center. This event will feature the latest regulatory, policy, and technological updates impacting the solid waste, landfill, landfill gas, and sustainable materials management industries. This program delivers practical insights from experienced practitioners and regulators to help attendees stay current on evolving requirements, emerging technologies, and industry best practices.
Full event attendance provides four (4) CPE/T contact hours applicable toward Virginia DPOR Class I & II license renewal.
This Frequently Asked Questions blog contains two sections: the first related to the California Air Resources Board’s (CARB) regulatory development for the Corporate Greenhouse Gas Reporting (SB 253) and the Climate-Related Financial Risk Disclosure Programs (SB 261). The second FAQ section concerns only SB 261 reporting.
What is the purpose of the draft regulation posted by the California Air Resources Board (CARB) on December 9, 2025? The draft regulation aims to implement California’s climate disclosure programs, specifically SB 253 (Corporate Greenhouse Gas Reporting) and SB 261 (Climate-Related Financial Risk Disclosure). It outlines requirements and processes for organizations subject to these laws.
What is the public comment period for the regulation? The 45-day public comment period will begin on December 26, 2025, and conclude on February 9, 2026.
How will stakeholders be notified of any updates before formal publication? If CARB makes revisions or updates to any documents in the rulemaking package before formal publication, they will update their rulemaking webpage and notify stakeholders directly who sign up for their listserve at https://public.govdelivery.com/accounts/CARB/subscriber/new.
What topics are covered in the draft regulation? The draft regulation covers definitions of exempt organizations, the provisions for calculating, paying, and collecting fees for each program, and alternative definitions of the fiscal year for SB 253 reporting of corporate greenhouse gas emissions.
Which organizations are required to comply with SB 253 and SB 261? Organizations not listed as exempt in the draft regulation must comply with the reporting and disclosure requirements specified under SB 253 and SB 261. As of December 15, 2025, non-profits, government entities, California-regulated insurance companies, companies in the business of insurance in other states, businesses with only teleworking employees in CA, and businesses with only wholesale electricity transactions in CA are exempt.
Where can stakeholders find updates and further information? Stakeholders can visit CARB’s rulemaking webpage for the latest updates, documents, and notifications regarding the regulation.
California Climate-Related Financial Risk Reporting (SB 261) FAQs
Do I need to post my Climate-Related Financial Risk Report (CRFRR) online by January 1, 2026, to comply with Senate Bill (SB) 261? No, the California Air Resources Board (CARB) issued an Enforcement Advisory on December 1, 2025 (see Enforcement Advisory) to inform covered companies that enforcement of SB 261 (specifically Health and Safety Code section 38533) is paused due to a court injunction. Covered companies are not required to submit or post climate-related financial risk reports by the January 1, 2026, deadline or while the appeal is pending. CARB will not enforce this deadline and will provide further guidance, including a possible alternate reporting date, after the appeal is resolved.
What is the current status of the legal proceedings? On November 18, 2025, the Ninth Circuit Court of Appeals granted an injunction in the case, Chamber of Commerce v. Sanchez, halting enforcement of SB 261 until the appellate proceedings are resolved. The appeal is scheduled for argument on January 9, 2026, which is notably after the legislative January 1, 2026, reporting deadline.
Can entities submit reports voluntarily during this period? Yes, entities may choose to report voluntarily. CARB opened a docket for voluntary submissions of the link to company reports on December 1, 2025. It will be open until July 1, 2026. See Climate-Related Financial Risk Reports (SB 261) Docket
What should we do in the meantime? Together with other stakeholders, we recommend a ‘No Regrets’ approach and continuing the work to complete the CRFRR for your firm. While voluntary reporting is an option, several organizations have already done so by posting on their websites. This ensures you are prepared to submit promptly if and when the program is reinstated.
Please take a look below for links to the notice of public hearing, staff report, and proposed regulatory text, along with contact information for subject-matter experts if you need any more help.
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