(a) Except as provided by Subsection (b), a district shall without a hearing renew or approve an application to renew an operating permit before the date on which the permit expires, provided that:
(1) the application, if required by the district, is submitted in a timely manner and accompanied by any required fees in accordance with district rules; and
(2) the permit holder is not requesting a change related to the renewal that would require a permit amendment under district rules.
(b) A district is not required to renew a permit under this section if the applicant:
(1) is delinquent in paying a fee required by the district;
(2) is subject to a pending enforcement action for a substantive violation of a district permit, order, or rule that has not been settled by agreement with the district or a final adjudication; or
(3) has not paid a civil penalty or has otherwise failed to comply with an order resulting from a final adjudication of a violation of a district permit, order, or rule.
(c) If a district is not required to renew a permit under Subsection (b)(2), the permit remains in effect until the final settlement or adjudication on the matter of the substantive violation.