PolicyBrief
S. 3836
119th CongressFeb 11th 2026
FENCES Act
IN COMMITTEE

The FENCES Act clarifies that states can avoid certain Clean Air Act penalties if air quality standards are not met due to emissions originating outside the United States.

Cynthia Lummis
R

Cynthia Lummis

Senator

WY

LEGISLATION

FENCES Act Blocks Federal Penalties for Air Pollution Blamed on Foreign Sources

The FENCES Act aims to change how the Clean Air Act treats cities and states that can't meet federal air quality standards because of pollution drifting in from outside U.S. borders. Under current rules, if a city’s smog levels are too high, they get slapped with a 'nonattainment' label, which triggers strict regulations and potential fines. This bill essentially says that if a state can prove they would have hit their clean air targets 'but for' emissions coming from a foreign country, the EPA can't officially label them as a failing area or hit them with the usual sanctions and fees.

Drawing the Line at the Border

This legislation adds a new layer of protection for state governments and local industries. Specifically, Section 2 prohibits the EPA from designating an area as 'nonattainment'—basically a regulatory 'fail' grade—if the state demonstrates that foreign emissions are the real culprit. For a logistics manager at a shipping hub or a foreman at a local factory, this could mean avoiding the sudden, expensive equipment mandates that usually kick in when a region fails air quality tests. The bill also creates an escape hatch for 'Severe' or 'Extreme' ozone areas, allowing them to dodge federal fees if they can prove the pollution came from outside the area, from an 'exceptional event' (like a wildfire), or from vehicles they have no power to regulate.

The 'But For' Burden of Proof

While this sounds like a win for local budgets, the real-world impact hinges on a tricky legal phrase: 'but for.' To get these exemptions, a state has to prove to the EPA that their air would be clean if not for the neighbors' pollution. For a family living in a border town with high asthma rates, this might feel like a technicality; the air is still hard to breathe, but the bill focuses on who gets the bill for it rather than how to fix it immediately. States still have to try to meet air standards, but the pressure of federal fines—which can reach thousands of dollars per ton of excess pollution under Section 185—would be lifted if they can point the finger elsewhere.

Accountability and the Five-Year Itch

One of the most important fine-print details is that these exemptions aren't permanent. According to the bill, states have to renew their 'foreign emissions' demonstration every five years. This creates a recurring paperwork cycle where the state must consistently show that they are doing everything within their power to control local sources, like construction dust or local power plant emissions, before they can blame the rest on international drift. It’s a move that balances regulatory relief for local businesses with a requirement that states don't just give up on clean air altogether, though it leaves a lot of room for interpretation on what counts as being 'beyond a state's control.'