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ADEM Proposes Significant Regulatory Fee Increases Effective October 2026

The Alabama Department of Environmental Management (ADEM) has announced proposed amendments to its fee schedule that would increase many environmental permitting and regulatory fees by approximately 25%.

The proposed changes would affect a broad range of permit and certification fees, including additive review fees, and could substantially increase costs for facilities with projects currently under development or awaiting permit submission.

Key Proposed Changes

  • 25% Increase to Most Regulatory Fees
    ADEM is proposing a 25% increase to most permit, certification, and related regulatory review fees.
  • Certain Fees Would Remain Unchanged
    Some existing fees, including Voluntary Cleanup Program (VCP) and Environmental Covenant review fees, are not proposed to increase.
  • New Fees for Previously Uncharged Services
    ADEM also proposes adding fees for certain reviews and services that historically did not carry a fee, including:

    • Air permit non-applicability reviews
    • Impoundment closure reviews
    • NPDES non-exposure certifications
  • Modified Fee Structures Based on Complexity
    Certain existing fee categories would be revised to allow ADEM to assess fees based on the level of review effort required. Examples include:

    • Large NPDES stormwater sites with multiple outfalls
    • Discharges to impaired waterbodies
  • Future Annual CPI Adjustments
    The proposal includes a mechanism for future annual fee adjustments tied to the Consumer Price Index (CPI).

Proposed Solid Waste Tipping Fee Increase

ADEM is also proposing an increase to Alabama’s solid waste disposal tipping fee:

  • From $1.00/ton ($0.25/CY)
  • To $1.30/ton ($0.32/CY)

The proposal would also allow CPI-based adjustments every five years, capped at 2% annually. If adopted, although it will follow the rulemaking schedule below, this increase would not become effective until January 1, 2027.

 

Rulemaking Schedule

Milestone Date
Public Comment Period May 20 – July 7, 2026
Public Hearing July 7, 2026
Environmental Management Commission Consideration August 14, 2026
Anticipated Effective Date October 15, 2026

 

What This Means for Regulated Facilities

Facilities currently preparing permit applications or planning projects requiring ADEM review should consider submitting applications before the proposed effective date. Once implemented, many permitting and review costs could increase by approximately 25%.

LaBella’s environmental professionals are closely monitoring the rulemaking process and are available to assist clients in evaluating how these proposed changes may affect ongoing or planned projects.

For questions regarding the proposed fee changes or assistance with permitting strategy, please contact Phillip D. Davis, PE, Senior Engineer at [email protected].