RE: Request for BACT/Permit information
Jim Swaney t o : Shaheerah Kelly 12/02/2009 06:07 PM

History: This message has been replied to and forwarded.

Shaheerah,
Here is the information you are looking for.
Insituform - the equipment did not pass their source test (tested 7/1/02), and they replaced it with 3 smaller boilers that were permit exempt. Also, BACT Guideline 1.1.1 has been rescinded, as it has not been updated since the passage of District Rule 4320.
Kaiser Foundation Hospital - all units are in operation and have passed their source tests. Copies of the Permits to Operate are attached. Note that BACT Guideline 1.1.5 has also been rescinded, as it has not been updated since the passage of District Rule 4320.
Dynamis - the equipment was never installed. Instead they installed a 10.0 MMBtu/hr dryer under the same BACT guideline at 0.011 lb NOx/MMBtu, which has passed it's source tests. Copy of this permit is also attached. Please note that while this unit has the same permit number, that is due to transfer of ownership of part of the facility and then back - it was originally approved as C-4071-10-0.
Central Valley Meat Co - the application was denied, and they have not re-applied.
Let me know if you have any other questions.

Jim Swaney, P.E. Permit Services Manager Valley Air District (559) 230-6000 (559) 230-6061 fax
www

. valleyair

. org

From: Dave Warner Sent: Wednesday, December 02, 2009 10:02 A M To: Kelly.Shaheerah@epamail.epa.gov; Jim Swaney Subject: Re: Request for BACT / Permit information


### Jim, p lease help Kelly.

### Thanks, Dave

On Dec 2, 2009, at 8:54 AM, " Kelly

. Shaheerah @ epamail

. epa

. gov " < Kelly

. Shaheerah @ epamail

. epa

. gov > wrote:

Hi, Dave.
I'm seeking information on whether the units listed below are currently achieving the NOx limits that are associated with them. I obtained this information from the SJVUAPCD BACT guidelines for external combustion at http :// www

. valleyair

. org / busind / pto / bact / bactchidx

. htm . Also, I would like to obtain the current ATCs for these units. Can you let me know how I may do so? Your assistance on this is greatly appreciated. Thanks.

Insituform Technologies NOx= 20.0 ppmvd @ 3% O2 (0.024 lb/MMBtu/hr) Propane-fired boiler, 8.4 mmbtu/hr Low NOx burner system, ATC #: C-3524-3-0, Project #: C-1001106 Date of Determination: 11/22/2000

Kaiser Foundation Hospital, NOx= 15.0 ppmvd @ 3% O2 Boilers, 12.5 MMBtu/hr for 3 boilers & 7.0 MMBtu/hr for 2 boilers Ultra-low NOx burner system for the primary fuel ATC # N-7192-3-0 though '-7-0; Project N-1052075 Date of Determination: 12/15/2005

Dynamis-Sangar Power and Feed NOx= 0.15 lb NOx/MMBtu Auxiliary Burner Dryer for Hydromulch (TM) Manufacturing System, 14.7 mmbtu/hr Low NOx burner ATC #: C-445-10-0, Project #: C-990515 Date of Determination: 3/14/2000

Central Valley Meat Co NOx= natural gas fired with LPG as a backup fuel; 9.0 ppmvd @ 3% O2 (0.011 lb-NOx/MMBtu) Blood Meal Processing Ring Dryer Burner, 3.0 MMBtu/hr Ultra low NOx burner system ATC # C-2282-6-0 Date of Determination: 10/19/2006

************************************ Shaheerah Kelly Air Division (AIR-3) U S EPA Region 9 75 Hawthorne Street San Francisco, CA 94105Phone: 415-947-4156 Fax: 415-947-3579

email: kelly

. shaheerah @ epa

. gov

# San Joaquin Valley Air Pollution Control District

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-6-0 : Dec 2 2009 5:50PM -- SWANEYJ PERMIT UNIT: N-7192-6-0 EXPIRATION DATE: 05/31/2011 EQUIPMENT DESCRIPTION: 7.0 MMBTU/HR CLEAVER BROOKS MODEL FLX 200-70-150ST NATURAL GAS/DIESEL-FIRED BOILER WITH A PROFIRE MODEL NTH ULTRA LOW NOX BURNER AND INDUCED FLUE GAS RECIRCULATION SYSTEM (BOILER #4) 

# PERMIT UNIT REQUIREMENTS

1. Only one of the units permitted under permits N- 7192-6 and N-7192-7 shall be operated at any time. [District Rules 2201 and 4102]
2. No air contaminant shall be released into the at mosphere which causes a public nuisance. [District Rule 4102] 3. No air contaminant shall be discharged into the atmosphere for a period or periods aggregating more than three minutes in any one hour which is as dark as, or dar ker than, Ringelmann 1 or 20% opacity. [District Ru le 4101]
4. Particulate matter emissions shall not exceed 0. 1 grains/dscf in concentration. [District Rule 4201 ] 5. The unit shall only be fired on PUC-regulated natural gas as the primary fuel and diesel as the bac k-up fuel. [District Rule 2201]
6. Sulfur content of diesel shall not exceed 0.0015 % by weight. [District Rule 2201] 7. The unit shall be fired on diesel fuel only duri ng natural gas curtailment for no more than 160 cum ulative hours in a calendar year plus 48 hours per calendar year for e quipment testing. [District Rules 2201, 4306 and 41 02] 8. If the unit is fired on back-up fuel for a perio d exceeding 48 cumulative hours in a calendar year, the permittee shall monitor and record the stack concentration of NOx at least once during that year using an APCO approve d portable NOx analyzer. Monitoring for back-up fuel NOx emiss ions shall not be required when the unit is operati ng on primary fuel, i.e. the unit need not be fired on back-up fu el solely to perform monitoring. [District Rule 430 6] 9. Back-up fuel NOx emission readings shall be take n with the unit operating either at conditions repr esentative of normal operations or conditions specified in the pe rmit-to-operate. The analyzer shall be calibrated, maintained, and operated in accordance with the manufacturer's spec ifications and recommendations or a protocol approv ed by the APCO. Emission readings taken shall be averaged ov er a 15 consecutive-minute period by either taking a cumulative 15 consecutive-minute sample reading or by taking a t least five readings, evenly spaced out over the 1 5 consecutiveminute period. [District Rule 4306] 10. The permittee shall maintain records of: (1) th e date and time of back-up fuel NOx measurements, ( 2) the measured back-up fuel NOx concentration (in ppmv or lb/MMBtu ) corrected to 3% O2, (3) make and model of exhaust gas analyzer, (4) exhaust gas analyzer calibration reco rds, and (5) a description of any corrective action taken to maintain the emissions within the acceptable range. [Distric t Rule 4306] 11. When fired on natural gas, NOx emissions shall not exceed 15.0 ppmvd @ 3% O2 referenced as NO2. [D istrict Rules 2201 and 4306] 12. When fired on natural gas, CO emissions shall n ot exceed 50 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 13. When fired on natural gas, VOC emissions shall not exceed 0.0042 lb/MMBtu referenced as CH4. [District Rule 2201] 14. When fired on natural gas, SOx emissions shall not exceed 0.00285 lb/MMBtu referenced as SO2. [Dis trict Rule 2201]Permit Unit Requirements for N-7192-6-0 (continued ) Page 2 of 3

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-6-0 : Dec 2 2009 5:50PM -- SWANEYJ 15. When fired on natural gas, PM10 emissions shall not exceed 0.0076 lb/MMBtu. [District Rule 2201] 16. When fired on diesel fuel, NOx emissions shall not exceed 140.0 ppmvd @ 3% O2 referenced as NO2. [ District Rules 2201 and 4306] 17. When fired on diesel fuel, CO emissions shall n ot exceed 90 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 18. When fired on diesel fuel, VOC emissions shall not exceed 0.027 lb/MMBtu referenced as CH4. [Distr ict Rule 2201] 19. When fired on diesel fuel, SOx emissions shall not exceed 0.00155 lb/MMBtu referenced as SO2. [Dis trict Rule 2201] 20. When fired on diesel fuel, PM10 emissions shall not exceed 0.025 lb/MMBtu. [District Rule 2201] 21. The permittee shall monitor and record the stac k concentration of NOx, CO, and O2 at least once ev ery month (in which a source test is not performed) using a portable emission monitor that meets District specifications. Monitoring shall not be required if the unit is not in operati on, i.e. the unit need not be started solely to per form monitoring. Monitoring shall be performed within 5 days of rest arting the unit unless monitoring has been performe d within the last month. [District Rules 4305 and 4306]
22. If either the NOx or CO concentrations correcte d to 3% O2, as measured by the portable analyzer, e xceed the allowable emissions concentration, the permittee sh all return the emissions to within the acceptable r ange as soon as possible, but no longer than 1 hour of operation af ter detection. If the portable analyzer readings c ontinue to exceed the allowable emissions concentration after 1 hour of operation after detection, the permittee shall n otify the District within the following 1 hour and conduct a certified source test within 60 days of the first exceedance . In lieu of conducting a source test, the permittee may stipulate a violation has occurred, subject to enforcementaction. The permittee must then correct the violation, show com pliance has been re-established, and resume monitoring procedures. If the deviations are the result of a qualifying breakdown condition pursuant to Rule 110 0, the permittee may fully comply with Rule 1100 in lieu of performi ng the notification and testing required by this co ndition. [District Rules 4305 and 4306] 23. All alternate monitoring parameter emission rea dings shall be taken with the unit operating eitherat conditions representative of normal operations or conditions s pecified in the Permit to Operate. The analyzer sh all be calibrated, maintained, and operated in accordance with the man ufacturer's specifications and recommendations or aprotocol approved by the APCO. Emission readings taken shal l be averaged over a 15 consecutive-minute period b y either taking a cumulative 15 consecutive-minute sample re ading or by taking at least five (5) readings, even ly spaced out over the 15 consecutive-minute period. [District Ru les 4305 and 4306] 24. The permittee shall maintain records of: (1) th e date and time of NOx, CO, and O2 measurements, (2 ) the O2 concentration in percent and the measured NOx and C O concentrations corrected to 3% O2, (3) make and m odel of exhaust gas analyzer, (4) exhaust gas analyzer cali bration records, and (5) a description of any corre ctive action taken to maintain the emissions within the acceptable ran ge. [District Rules 4305 and 4306]
25. All emissions measurements shall be made with t he unit operating either at conditions representati ve of normal operations or conditions specified in the Permit to Operate. No determination of compliance shall be established within two hours after a continuous period in which fuel flow to the unit is shut off for 30 minutes o r longer, or within 30 minutes after a re-ignition as defined in Sectio n 3.0 of District Rule 4306. [District Rules 4305 a nd 4306] 26. Source testing to measure natural gas-combustio n NOx and CO emissions from this unit shall be cond ucted at least once every twelve (12) months. After demonstrating compliance on two (2) consecutive annual source te sts, the unit shall be tested not less than once every thirty-six (36) months. If the result of the 36-month source test demonstrates that the unit does not meet the applicable emission limits, the source testing frequency shall revert to at least once every twelve (12) months. [District Rules 4305 and 4306] 27. Source testing shall be conducted using the met hods and procedures approved by the District. The District must be notified at least 30 days prior to any compliance s ource test, and a source test plan must be submitte d for approval at least 15 days prior to testing. [District Rule 1081 ] 28. NOx emissions for source test purposes shall be determined using EPA Method 7E or ARB Method 100 o n a ppmv basis. [District Rules 4305 and 4306]Permit Unit Requirements for N-7192-6-0 (continued ) Page 3 of 3

These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-6-0 : Dec 2 2009 5:50PM -- SWANEYJ 29. CO emissions for source test purposes shall be determined using EPA Method 10 or ARB Method 100. [ District Rules 4305 and 4306] 30. Stack gas oxygen (O2) shall be determined using EPA Method 3 or 3A or ARB Method 100. [District Ru les 4305 and 4306] 31. For emissions source testing, the arithmetic av erage of three 30-consecutive-minute test runs shal l apply. If two of three runs are above an applicable limit the test c annot be used to demonstrate compliance with an app licable limit. [District Rules 4305 and 4306]
32. The results of each source test shall be submitted to the District within 60 days thereafter. [Dis trict Rule 1081] 33. The permittee shall monitor and record the cumu lative annual hours of operation when fired on dies el during natural gas curtailment and testing. [District Rules 2201, 4305, and 4306]
34. All records shall be maintained and retained on -site for a minimum of five (5) years, and shall be made available for District inspection upon request. [District Rules 1 070, 4305, and 4306]

# San Joaquin Valley Air Pollution Control District

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-5-1 : Dec 2 2009 5:50PM -- SWANEYJ PERMIT UNIT: N-7192-5-1 EXPIRATION DATE: 05/31/2011 EQUIPMENT DESCRIPTION: 12.5 MMBTU/HR CLEAVER BROOKS MODEL FLX 200-1250-160 HW NATURAL GAS/DIESEL-FIRED BOILER WITH A PROFIRE MODEL NTH ULTRA LOW NOX BURNER AND INDUCED FLUE GAS RECIRCULATION SYSTEM (BOILER #3) 

# PERMIT UNIT REQUIREMENTS

1. Only two of the units permitted under permits N- 7192-3, N-7192-4 and N-7192-5 shall be operated sim ultaneously. [District Rules 2201 and 4102]
2. No air contaminant shall be released into the at mosphere which causes a public nuisance. [District Rule 4102] 3. No air contaminant shall be discharged into the atmosphere for a period or periods aggregating more than three minutes in any one hour which is as dark as, or dar ker than, Ringelmann 1 or 20% opacity. [District Ru le 4101]
4. Particulate matter emissions shall not exceed 0. 1 grains/dscf in concentration. [District Rule 4201 ] 5. The unit shall only be fired on PUC-regulated natural gas as the primary fuel and diesel as the bac k-up fuel. [District Rule 2201]
6. Sulfur content of diesel shall not exceed 0.0015 % by weight. [District Rule 2201] 7. The unit shall be fired on diesel fuel only duri ng natural gas curtailment for no more than 160 cum ulative hours in a calendar year plus 48 hours per calendar year for e quipment testing. [District Rules 2201, 4306 and 41 02] 8. If the unit is fired on back-up fuel for a perio d exceeding 48 cumulative hours in a calendar year, the permittee shall monitor and record the stack concentration of NOx at least once during that year using an APCO approve d portable NOx analyzer. Monitoring for back-up fuel NOx emiss ions shall not be required when the unit is operati ng on primary fuel, i.e. the unit need not be fired on back-up fu el solely to perform monitoring. [District Rule 430 6] 9. Back-up fuel NOx emission readings shall be take n with the unit operating either at conditions repr esentative of normal operations or conditions specified in the pe rmit-to-operate. The analyzer shall be calibrated, maintained, and operated in accordance with the manufacturer's spec ifications and recommendations or a protocol approv ed by the APCO. Emission readings taken shall be averaged ov er a 15 consecutive-minute period by either taking a cumulative 15 consecutive-minute sample reading or by taking a t least five readings, evenly spaced out over the 1 5 consecutiveminute period. [District Rule 4306] 10. The permittee shall maintain records of: (1) th e date and time of back-up fuel NOx measurements, ( 2) the measured back-up fuel NOx concentration (in ppmv or lb/MMBtu ) corrected to 3% O2, (3) make and model of exhaust gas analyzer, (4) exhaust gas analyzer calibration reco rds, and (5) a description of any corrective action taken to maintain the emissions within the acceptable range. [Distric t Rule 4306] 11. When fired on natural gas, NOx emissions shall not exceed 15.0 ppmvd @ 3% O2 referenced as NO2. [D istrict Rules 2201 and 4306] 12. When fired on natural gas, CO emissions shall n ot exceed 50 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 13. When fired on natural gas, VOC emissions shall not exceed 0.0042 lb/MMBtu referenced as CH4. [District Rule 2201] 14. When fired on natural gas, SOx emissions shall not exceed 0.00285 lb/MMBtu referenced as SO2. [Dis trict Rule 2201]Permit Unit Requirements for N-7192-5-1 (continued ) Page 2 of 3

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-5-1 : Dec 2 2009 5:50PM -- SWANEYJ 15. When fired on natural gas, PM10 emissions shall not exceed 0.0076 lb/MMBtu. [District Rule 2201] 16. When fired on diesel fuel, NOx emissions shall not exceed 140.0 ppmvd @ 3% O2 referenced as NO2. [ District Rules 2201 and 4306] 17. When fired on diesel fuel, CO emissions shall n ot exceed 90 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 18. When fired on diesel fuel, VOC emissions shall not exceed 0.027 lb/MMBtu referenced as CH4. [Distr ict Rule 2201] 19. When fired on diesel fuel, SOx emissions shall not exceed 0.00155 lb/MMBtu referenced as SO2. [Dis trict Rule 2201] 20. When fired on diesel fuel, PM10 emissions shall not exceed 0.025 lb/MMBtu. [District Rule 2201] 21. The permittee shall monitor and record the stac k concentration of NOx, CO, and O2 at least once ev ery month (in which a source test is not performed) using a portable emission monitor that meets District specifications. Monitoring shall not be required if the unit is not in operati on, i.e. the unit need not be started solely to per form monitoring. Monitoring shall be performed within 5 days of rest arting the unit unless monitoring has been performe d within the last month. [District Rules 4305 and 4306]
22. If either the NOx or CO concentrations correcte d to 3% O2, as measured by the portable analyzer, e xceed the allowable emissions concentration, the permittee sh all return the emissions to within the acceptable r ange as soon as possible, but no longer than 1 hour of operation af ter detection. If the portable analyzer readings c ontinue to exceed the allowable emissions concentration after 1 hour of operation after detection, the permittee shall n otify the District within the following 1 hour and conduct a certified source test within 60 days of the first exceedance . In lieu of conducting a source test, the permittee may stipulate a violation has occurred, subject to enforcementaction. The permittee must then correct the violation, show com pliance has been re-established, and resume monitoring procedures. If the deviations are the result of a qualifying breakdown condition pursuant to Rule 110 0, the permittee may fully comply with Rule 1100 in lieu of performi ng the notification and testing required by this co ndition. [District Rules 4305 and 4306] 23. All alternate monitoring parameter emission rea dings shall be taken with the unit operating eitherat conditions representative of normal operations or conditions s pecified in the Permit to Operate. The analyzer sh all be calibrated, maintained, and operated in accordance with the man ufacturer's specifications and recommendations or aprotocol approved by the APCO. Emission readings taken shal l be averaged over a 15 consecutive-minute period b y either taking a cumulative 15 consecutive-minute sample re ading or by taking at least five (5) readings, even ly spaced out over the 15 consecutive-minute period. [District Ru les 4305 and 4306] 24. The permittee shall maintain records of: (1) th e date and time of NOx, CO, and O2 measurements, (2 ) the O2 concentration in percent and the measured NOx and C O concentrations corrected to 3% O2, (3) make and m odel of exhaust gas analyzer, (4) exhaust gas analyzer cali bration records, and (5) a description of any corre ctive action taken to maintain the emissions within the acceptable ran ge. [District Rules 4305 and 4306]
25. All emissions measurements shall be made with t he unit operating either at conditions representati ve of normal operations or conditions specified in the Permit to Operate. No determination of compliance shall be established within two hours after a continuous period in which fuel flow to the unit is shut off for 30 minutes o r longer, or within 30 minutes after a re-ignition as defined in Sectio n 3.0 of District Rule 4306. [District Rules 4305 a nd 4306] 26. Source testing to measure natural gas-combustio n NOx and CO emissions from this unit shall be cond ucted at least once every twelve (12) months. After demonstrating compliance on two (2) consecutive annual source te sts, the unit shall be tested not less than once every thirty-six (36) months. If the result of the 36-month source test demonstrates that the unit does not meet the applicable emission limits, the source testing frequency shall revert to at least once every twelve (12) months. [District Rules 4305 and 4306] 27. Source testing shall be conducted using the met hods and procedures approved by the District. The District must be notified at least 30 days prior to any compliance s ource test, and a source test plan must be submitte d for approval at least 15 days prior to testing. [District Rule 1081 ] 28. NOx emissions for source test purposes shall be determined using EPA Method 7E or ARB Method 100 o n a ppmv basis. [District Rules 4305 and 4306]Permit Unit Requirements for N-7192-5-1 (continued ) Page 3 of 3

These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-5-1 : Dec 2 2009 5:50PM -- SWANEYJ 29. CO emissions for source test purposes shall be determined using EPA Method 10 or ARB Method 100. [ District Rules 4305 and 4306] 30. Stack gas oxygen (O2) shall be determined using EPA Method 3 or 3A or ARB Method 100. [District Ru les 4305 and 4306] 31. For emissions source testing, the arithmetic av erage of three 30-consecutive-minute test runs shal l apply. If two of three runs are above an applicable limit the test c annot be used to demonstrate compliance with an app licable limit. [District Rules 4305 and 4306]
32. The results of each source test shall be submitted to the District within 60 days thereafter. [Dis trict Rule 1081] 33. The permittee shall monitor and record the cumu lative annual hours of operation when fired on dies el during natural gas curtailment and testing. [District Rules 2201, 4305, and 4306]
34. All records shall be maintained and retained on -site for a minimum of five (5) years, and shall be made available for District inspection upon request. [District Rules 1 070, 4305, and 4306]

# San Joaquin Valley Air Pollution Control District

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-4-1 : Dec 2 2009 5:50PM -- SWANEYJ PERMIT UNIT: N-7192-4-1 EXPIRATION DATE: 05/31/2011 EQUIPMENT DESCRIPTION: 12.5 MMBTU/HR CLEAVER BROOKS MODEL FLX 200-1250-160 HW NATURAL GAS/DIESEL-FIRED BOILER WITH A PROFIRE MODEL NTH ULTRA LOW NOX BURNER AND INDUCED FLUE GAS RECIRCULATION SYSTEM (BOILER #2) 

# PERMIT UNIT REQUIREMENTS

1. Only two of the units permitted under permits N- 7192-3, N-7192-4 and N-7192-5 shall be operated sim ultaneously. [District Rules 2201 and 4102]
2. No air contaminant shall be released into the at mosphere which causes a public nuisance. [District Rule 4102] 3. No air contaminant shall be discharged into the atmosphere for a period or periods aggregating more than three minutes in any one hour which is as dark as, or dar ker than, Ringelmann 1 or 20% opacity. [District Ru le 4101]
4. Particulate matter emissions shall not exceed 0. 1 grains/dscf in concentration. [District Rule 4201 ] 5. The unit shall only be fired on PUC-regulated natural gas as the primary fuel and diesel as the bac k-up fuel. [District Rule 2201]
6. Sulfur content of diesel shall not exceed 0.0015 % by weight. [District Rule 2201] 7. The unit shall be fired on diesel fuel only duri ng natural gas curtailment for no more than 160 cum ulative hours in a calendar year plus 48 hours per calendar year for e quipment testing. [District Rules 2201, 4306 and 41 02] 8. If the unit is fired on back-up fuel for a perio d exceeding 48 cumulative hours in a calendar year, the permittee shall monitor and record the stack concentration of NOx at least once during that year using an APCO approve d portable NOx analyzer. Monitoring for back-up fuel NOx emiss ions shall not be required when the unit is operati ng on primary fuel, i.e. the unit need not be fired on back-up fu el solely to perform monitoring. [District Rule 430 6] 9. Back-up fuel NOx emission readings shall be take n with the unit operating either at conditions repr esentative of normal operations or conditions specified in the pe rmit-to-operate. The analyzer shall be calibrated, maintained, and operated in accordance with the manufacturer's spec ifications and recommendations or a protocol approv ed by the APCO. Emission readings taken shall be averaged ov er a 15 consecutive-minute period by either taking a cumulative 15 consecutive-minute sample reading or by taking a t least five readings, evenly spaced out over the 1 5 consecutiveminute period. [District Rule 4306] 10. The permittee shall maintain records of: (1) th e date and time of back-up fuel NOx measurements, ( 2) the measured back-up fuel NOx concentration (in ppmv or lb/MMBtu ) corrected to 3% O2, (3) make and model of exhaust gas analyzer, (4) exhaust gas analyzer calibration reco rds, and (5) a description of any corrective action taken to maintain the emissions within the acceptable range. [Distric t Rule 4306] 11. When fired on natural gas, NOx emissions shall not exceed 15.0 ppmvd @ 3% O2 referenced as NO2. [D istrict Rules 2201 and 4306] 12. When fired on natural gas, CO emissions shall n ot exceed 50 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 13. When fired on natural gas, VOC emissions shall not exceed 0.0042 lb/MMBtu referenced as CH4. [District Rule 2201] 14. When fired on natural gas, SOx emissions shall not exceed 0.00285 lb/MMBtu referenced as SO2. [Dis trict Rule 2201]Permit Unit Requirements for N-7192-4-1 (continued ) Page 2 of 3

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-4-1 : Dec 2 2009 5:50PM -- SWANEYJ 15. When fired on natural gas, PM10 emissions shall not exceed 0.0076 lb/MMBtu. [District Rule 2201] 16. When fired on diesel fuel, NOx emissions shall not exceed 140.0 ppmvd @ 3% O2 referenced as NO2. [ District Rules 2201 and 4306] 17. When fired on diesel fuel, CO emissions shall n ot exceed 90 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 18. When fired on diesel fuel, VOC emissions shall not exceed 0.027 lb/MMBtu referenced as CH4. [Distr ict Rule 2201] 19. When fired on diesel fuel, SOx emissions shall not exceed 0.00155 lb/MMBtu referenced as SO2. [Dis trict Rule 2201] 20. When fired on diesel fuel, PM10 emissions shall not exceed 0.025 lb/MMBtu. [District Rule 2201] 21. The permittee shall monitor and record the stac k concentration of NOx, CO, and O2 at least once ev ery month (in which a source test is not performed) using a portable emission monitor that meets District specifications. Monitoring shall not be required if the unit is not in operati on, i.e. the unit need not be started solely to per form monitoring. Monitoring shall be performed within 5 days of rest arting the unit unless monitoring has been performe d within the last month. [District Rules 4305 and 4306]
22. If either the NOx or CO concentrations correcte d to 3% O2, as measured by the portable analyzer, e xceed the allowable emissions concentration, the permittee sh all return the emissions to within the acceptable r ange as soon as possible, but no longer than 1 hour of operation af ter detection. If the portable analyzer readings c ontinue to exceed the allowable emissions concentration after 1 hour of operation after detection, the permittee shall n otify the District within the following 1 hour and conduct a certified source test within 60 days of the first exceedance . In lieu of conducting a source test, the permittee may stipulate a violation has occurred, subject to enforcementaction. The permittee must then correct the violation, show com pliance has been re-established, and resume monitoring procedures. If the deviations are the result of a qualifying breakdown condition pursuant to Rule 110 0, the permittee may fully comply with Rule 1100 in lieu of performi ng the notification and testing required by this co ndition. [District Rules 4305 and 4306] 23. All alternate monitoring parameter emission rea dings shall be taken with the unit operating eitherat conditions representative of normal operations or conditions s pecified in the Permit to Operate. The analyzer sh all be calibrated, maintained, and operated in accordance with the man ufacturer's specifications and recommendations or aprotocol approved by the APCO. Emission readings taken shal l be averaged over a 15 consecutive-minute period b y either taking a cumulative 15 consecutive-minute sample re ading or by taking at least five (5) readings, even ly spaced out over the 15 consecutive-minute period. [District Ru les 4305 and 4306] 24. The permittee shall maintain records of: (1) th e date and time of NOx, CO, and O2 measurements, (2 ) the O2 concentration in percent and the measured NOx and C O concentrations corrected to 3% O2, (3) make and m odel of exhaust gas analyzer, (4) exhaust gas analyzer cali bration records, and (5) a description of any corre ctive action taken to maintain the emissions within the acceptable ran ge. [District Rules 4305 and 4306]
25. All emissions measurements shall be made with t he unit operating either at conditions representati ve of normal operations or conditions specified in the Permit to Operate. No determination of compliance shall be established within two hours after a continuous period in which fuel flow to the unit is shut off for 30 minutes o r longer, or within 30 minutes after a re-ignition as defined in Sectio n 3.0 of District Rule 4306. [District Rules 4305 a nd 4306] 26. Source testing to measure natural gas-combustio n NOx and CO emissions from this unit shall be cond ucted at least once every twelve (12) months. After demonstrating compliance on two (2) consecutive annual source te sts, the unit shall be tested not less than once every thirty-six (36) months. If the result of the 36-month source test demonstrates that the unit does not meet the applicable emission limits, the source testing frequency shall revert to at least once every twelve (12) months. [District Rules 4305 and 4306] 27. Source testing shall be conducted using the met hods and procedures approved by the District. The District must be notified at least 30 days prior to any compliance s ource test, and a source test plan must be submitte d for approval at least 15 days prior to testing. [District Rule 1081 ] 28. NOx emissions for source test purposes shall be determined using EPA Method 7E or ARB Method 100 o n a ppmv basis. [District Rules 4305 and 4306]Permit Unit Requirements for N-7192-4-1 (continued ) Page 3 of 3

These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-4-1 : Dec 2 2009 5:50PM -- SWANEYJ 29. CO emissions for source test purposes shall be determined using EPA Method 10 or ARB Method 100. [ District Rules 4305 and 4306] 30. Stack gas oxygen (O2) shall be determined using EPA Method 3 or 3A or ARB Method 100. [District Ru les 4305 and 4306] 31. For emissions source testing, the arithmetic av erage of three 30-consecutive-minute test runs shal l apply. If two of three runs are above an applicable limit the test c annot be used to demonstrate compliance with an app licable limit. [District Rules 4305 and 4306]
32. The results of each source test shall be submitted to the District within 60 days thereafter. [Dis trict Rule 1081] 33. The permittee shall monitor and record the cumu lative annual hours of operation when fired on dies el during natural gas curtailment and testing. [District Rules 2201, 4305, and 4306]
34. All records shall be maintained and retained on -site for a minimum of five (5) years, and shall be made available for District inspection upon request. [District Rules 1 070, 4305, and 4306]

# San Joaquin Valley Air Pollution Control District

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-3-1 : Dec 2 2009 5:49PM -- SWANEYJ PERMIT UNIT: N-7192-3-1 EXPIRATION DATE: 05/31/2011 EQUIPMENT DESCRIPTION: 12.5 MMBTU/HR CLEAVER BROOKS MODEL FLX 200-1250-160 HW NATURAL GAS/DIESEL-FIRED BOILER WITH A PROFIRE MODEL NTH ULTRA LOW NOX BURNER AND INDUCED FLUE GAS RECIRCULATION SYSTEM (BOILER #1) 

# PERMIT UNIT REQUIREMENTS

1. Only two of the units permitted under permits N- 7192-3, N-7192-4 and N-7192-5 shall be operated sim ultaneously. [District Rules 2201 and 4102]
2. No air contaminant shall be released into the at mosphere which causes a public nuisance. [District Rule 4102] 3. No air contaminant shall be discharged into the atmosphere for a period or periods aggregating more than three minutes in any one hour which is as dark as, or dar ker than, Ringelmann 1 or 20% opacity. [District Ru le 4101]
4. Particulate matter emissions shall not exceed 0. 1 grains/dscf in concentration. [District Rule 4201 ] 5. The unit shall only be fired on PUC-regulated natural gas as the primary fuel and diesel as the bac k-up fuel. [District Rule 2201]
6. Sulfur content of diesel shall not exceed 0.0015 % by weight. [District Rule 2201] 7. The unit shall be fired on diesel fuel only duri ng natural gas curtailment for no more than 160 cum ulative hours in a calendar year plus 48 hours per calendar year for e quipment testing. [District Rules 2201, 4306 and 41 02] 8. If the unit is fired on back-up fuel for a perio d exceeding 48 cumulative hours in a calendar year, the permittee shall monitor and record the stack concentration of NOx at least once during that year using an APCO approve d portable NOx analyzer. Monitoring for back-up fuel NOx emiss ions shall not be required when the unit is operati ng on primary fuel, i.e. the unit need not be fired on back-up fu el solely to perform monitoring. [District Rule 430 6] 9. Back-up fuel NOx emission readings shall be take n with the unit operating either at conditions repr esentative of normal operations or conditions specified in the pe rmit-to-operate. The analyzer shall be calibrated, maintained, and operated in accordance with the manufacturer's spec ifications and recommendations or a protocol approv ed by the APCO. Emission readings taken shall be averaged ov er a 15 consecutive-minute period by either taking a cumulative 15 consecutive-minute sample reading or by taking a t least five readings, evenly spaced out over the 1 5 consecutiveminute period. [District Rule 4306] 10. The permittee shall maintain records of: (1) th e date and time of back-up fuel NOx measurements, ( 2) the measured back-up fuel NOx concentration (in ppmv or lb/MMBtu ) corrected to 3% O2, (3) make and model of exhaust gas analyzer, (4) exhaust gas analyzer calibration reco rds, and (5) a description of any corrective action taken to maintain the emissions within the acceptable range. [Distric t Rule 4306] 11. When fired on natural gas, NOx emissions shall not exceed 15.0 ppmvd @ 3% O2 referenced as NO2. [D istrict Rules 2201 and 4306] 12. When fired on natural gas, CO emissions shall n ot exceed 50 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 13. When fired on natural gas, VOC emissions shall not exceed 0.0042 lb/MMBtu referenced as CH4. [District Rule 2201] 14. When fired on natural gas, SOx emissions shall not exceed 0.00285 lb/MMBtu referenced as SO2. [Dis trict Rule 2201]Permit Unit Requirements for N-7192-3-1 (continued ) Page 2 of 3

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-3-1 : Dec 2 2009 5:49PM -- SWANEYJ 15. When fired on natural gas, PM10 emissions shall not exceed 0.0076 lb/MMBtu. [District Rule 2201] 16. When fired on diesel fuel, NOx emissions shall not exceed 140.0 ppmvd @ 3% O2 referenced as NO2. [ District Rules 2201 and 4306] 17. When fired on diesel fuel, CO emissions shall n ot exceed 90 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 18. When fired on diesel fuel, VOC emissions shall not exceed 0.027 lb/MMBtu referenced as CH4. [Distr ict Rule 2201] 19. When fired on diesel fuel, SOx emissions shall not exceed 0.00155 lb/MMBtu referenced as SO2. [Dis trict Rule 2201] 20. When fired on diesel fuel, PM10 emissions shall not exceed 0.025 lb/MMBtu. [District Rule 2201] 21. The permittee shall monitor and record the stac k concentration of NOx, CO, and O2 at least once ev ery month (in which a source test is not performed) using a portable emission monitor that meets District specifications. Monitoring shall not be required if the unit is not in operati on, i.e. the unit need not be started solely to per form monitoring. Monitoring shall be performed within 5 days of rest arting the unit unless monitoring has been performe d within the last month. [District Rules 4305 and 4306]
22. If either the NOx or CO concentrations correcte d to 3% O2, as measured by the portable analyzer, e xceed the allowable emissions concentration, the permittee sh all return the emissions to within the acceptable r ange as soon as possible, but no longer than 1 hour of operation af ter detection. If the portable analyzer readings c ontinue to exceed the allowable emissions concentration after 1 hour of operation after detection, the permittee shall n otify the District within the following 1 hour and conduct a certified source test within 60 days of the first exceedance . In lieu of conducting a source test, the permittee may stipulate a violation has occurred, subject to enforcementaction. The permittee must then correct the violation, show com pliance has been re-established, and resume monitoring procedures. If the deviations are the result of a qualifying breakdown condition pursuant to Rule 110 0, the permittee may fully comply with Rule 1100 in lieu of performi ng the notification and testing required by this co ndition. [District Rules 4305 and 4306] 23. All alternate monitoring parameter emission rea dings shall be taken with the unit operating eitherat conditions representative of normal operations or conditions s pecified in the Permit to Operate. The analyzer sh all be calibrated, maintained, and operated in accordance with the man ufacturer's specifications and recommendations or aprotocol approved by the APCO. Emission readings taken shal l be averaged over a 15 consecutive-minute period b y either taking a cumulative 15 consecutive-minute sample re ading or by taking at least five (5) readings, even ly spaced out over the 15 consecutive-minute period. [District Ru les 4305 and 4306] 24. The permittee shall maintain records of: (1) th e date and time of NOx, CO, and O2 measurements, (2 ) the O2 concentration in percent and the measured NOx and C O concentrations corrected to 3% O2, (3) make and m odel of exhaust gas analyzer, (4) exhaust gas analyzer cali bration records, and (5) a description of any corre ctive action taken to maintain the emissions within the acceptable ran ge. [District Rules 4305 and 4306]
25. All emissions measurements shall be made with t he unit operating either at conditions representati ve of normal operations or conditions specified in the Permit to Operate. No determination of compliance shall be established within two hours after a continuous period in which fuel flow to the unit is shut off for 30 minutes o r longer, or within 30 minutes after a re-ignition as defined in Sectio n 3.0 of District Rule 4306. [District Rules 4305 a nd 4306] 26. Source testing to measure natural gas-combustio n NOx and CO emissions from this unit shall be cond ucted at least once every twelve (12) months. After demonstrating compliance on two (2) consecutive annual source te sts, the unit shall be tested not less than once every thirty-six (36) months. If the result of the 36-month source test demonstrates that the unit does not meet the applicable emission limits, the source testing frequency shall revert to at least once every twelve (12) months. [District Rules 4305 and 4306] 27. Source testing shall be conducted using the met hods and procedures approved by the District. The District must be notified at least 30 days prior to any compliance s ource test, and a source test plan must be submitte d for approval at least 15 days prior to testing. [District Rule 1081 ] 28. NOx emissions for source test purposes shall be determined using EPA Method 7E or ARB Method 100 o n a ppmv basis. [District Rules 4305 and 4306]Permit Unit Requirements for N-7192-3-1 (continued ) Page 3 of 3

These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-3-1 : Dec 2 2009 5:49PM -- SWANEYJ 29. CO emissions for source test purposes shall be determined using EPA Method 10 or ARB Method 100. [ District Rules 4305 and 4306] 30. Stack gas oxygen (O2) shall be determined using EPA Method 3 or 3A or ARB Method 100. [District Ru les 4305 and 4306] 31. For emissions source testing, the arithmetic av erage of three 30-consecutive-minute test runs shal l apply. If two of three runs are above an applicable limit the test c annot be used to demonstrate compliance with an app licable limit. [District Rules 4305 and 4306]
32. The results of each source test shall be submitted to the District within 60 days thereafter. [Dis trict Rule 1081] 33. The permittee shall monitor and record the cumu lative annual hours of operation when fired on dies el during natural gas curtailment and testing. [District Rules 2201, 4305, and 4306]
34. All records shall be maintained and retained on -site for a minimum of five (5) years, and shall be made available for District inspection upon request. [District Rules 1 070, 4305, and 4306]

# San Joaquin Valley Air Pollution Control District

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: ALGONQUIN POWER SANGER LLC/DYNA FIBE RS Location: 1125 MUSCAT AVE,SANGER, CA 93657-4000 C-445-10-0 : Dec 2 2009 6:01PM -- SWANEYJ PERMIT UNIT: C-445-10-0 EXPIRATION DATE: 05/31/2011 EQUIPMENT DESCRIPTION: 10.0 MMBTU/HR NATURAL GAS-FIRED DRYER EQUIPPED WITH POWER FLAME MODEL NVC6-G-30 ULTRA LOW NOX BURNER AND FLUE GAS RECIRCULATION (FGR)



# PERMIT UNIT REQUIREMENTS

1. No air contaminant shall be released into the at mosphere which causes a public nuisance. [District Rule 4102] 2. No air contaminant shall be discharged into the atmosphere for a period or periods aggregating more than three minutes in any one hour which is as dark as, or darker than, Ringelmann 1 or 20% opacity. [District Ru le 4101]
3. Particulate matter emissions shall not exceed 0. 1 grains/dscf in concentration. [District Rule 4201 ]
4. All emissions measurements shall be made with th e unit operating either at conditions representativ e of normal operations or conditions specified in the Permit to Operate. No determination of compliance shall be established within two hours after a continuous period in which fuel flow to the unit is shut off for 30 minutes o r longer, or within 30 minutes after a re-ignition as defined in Sectio n 3.0 of District Rule 4309. [District Rule 4309] 5. Source testing to measure NOx and CO emissions f rom this unit when fired on natural gas shall be co nducted at least once every 24 months. [District Rules 2201 and 4309 ] 6. For emissions source testing, the arithmetic ave rage of three 30-consecutive-minute test runs shall apply. If two of three runs are above an applicable limit the test c annot be used to demonstrate compliance with an app licable limit. [District Rule 4309] 7. The permittee shall monitor and record the cumul ative annual hours of operation on each fuel other than PUC quality natural gas during periods of natural gas curtailme nt and equipment testing. [District Rule 4309] 8. A non-resettable, totalizing mass or volumetric fuel flow meter to measure the amount of natural ga s combusted in the unit shall be installed, utilized and maintained. [ District Rule 2201] 9. The NOx emissions for each unit that is operated during periods of PUC quality natural gas curtailm ent shall be recorded, corrected to dry stack conditions, and ad justed using the oxygen correction factor. NOx emi ssions shall be reported in ppmv. [District Rule 4309] 10. NOx emissions for source test purposes shall be determined using EPA Method 7E or ARB Method 100 o n a ppmv basis. [District Rule 4309] 11. CO emissions for source test purposes shall be determined using EPA Method 10 or ARB Method 100. [ District Rule 4309] 12. Stack gas oxygen (O2) shall be determined using EPA Method 3 or 3A or ARB Method 100. [District Ru le 4309] 13. Source testing shall be conducted using the met hods and procedures approved by the District. The District must be notified at least 30 days prior to any compliance s ource test, and a source test plan must be submitte d for approval at least 15 days prior to testing. [District Rule 1081 ]
14. The results of each source test shall be submitted to the District within 60 days thereafter. [Dis trict Rule 1081] 15. All test results for NOx and CO shall be report ed in ppmv @ 19% O2 (or no correction if measured above 19% O2), corrected to dry stack conditions. [District Rule 4 309]Permit Unit Requirements for C-445-10-0 (continued ) Page 2 of 2

These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: ALGONQUIN POWER SANGER LLC/DYNA FIBE RS Location: 1125 MUSCAT AVE,SANGER, CA 93657-4000 C-445-10-0 : Dec 2 2009 6:01PM -- SWANEYJ 16. All records shall be maintained and retained on -site for a minimum of five (5) years, and shall be made available for District inspection upon request. [District Rules 1 070 and 4309] 17. Emissions from the natural gas-fired unit shall not exceed any of the following limits: 0.96 ppmvd NOx @ 19% O2 (equivalent to 0.011 lb-NOx/MMBtu), 0.00285 lb-SOx/MMBtu, 0.0076 lb-PM10/MMBtu, 42 ppmvd CO @ 19% O2 (equivalent to 0.2924 lb-CO/MMBtu), or 0.0055 lb-VO C/MMBtu. If measured O2 concentration is greater t han 19%, the corrected NOx or CO concentration is equal to t he measured NOx or CO concentration. [District Rule s 2201 and 4309] 18. The unit shall only be fired on PUC quality nat ural gas. [District Rules 2201 and 4309]
19. Permittee shall maintain records which demonstr ate the unit is fired exclusively on PUC quality na tural gas. [District Rule 4309] 20. The permittee shall monitor and record the stac k concentration of NOx, CO, and O2 at least once ev ery month (in which a source test is not performed) using a portable emission monitor that meets District specifications. Monitoring shall not be required if the unit is not in operati on, i.e. the unit need not be started solely to per form monitoring. Monitoring shall be performed within 5 days of rest arting the unit unless monitoring has been performe d within the last month. [District Rule 4309]
21. If either the NOx or CO concentrations correcte d to 19% O2 (or no correction if measured above 19% O2), as measured by the portable analyzer, exceed the allow able emissions concentration, the permittee shall r eturn the emissions to within the acceptable range as soon as possible, but no longer than 1 hour of operation a fter detection. If the portable analyzer readings continue to exceed t he allowable emissions concentration after 1 hour o f operation after detection, the permittee shall notify the District within the following 1 hour and conduct a certified source test within 60 days of the first exceedance. In lieu of conduc ting a source test, the permittee may stipulate a v iolation has occurred, subject to enforcement action. The permi ttee must then correct the violation, show complian ce has been reestablished, and resume monitoring procedures. If the deviations are the result of a qualifying break down condition pursuant to Rule 1100, the permittee may fully comp ly with Rule 1100 in lieu of performing the notific ation and testing required by this condition. [District Rule 4309] 22. All alternate monitoring parameter emission rea dings shall be taken with the unit operating eitherat conditions representative of normal operations or conditions s pecified in the Permit to Operate. The analyzer sh all be calibrated, maintained, and operated in accordance with the man ufacturer's specifications and recommendations or aprotocol approved by the APCO. Emission readings taken shal l be averaged over a 15 consecutive-minute period b y either taking a cumulative 15 consecutive-minute sample re ading or by taking at least five (5) readings, even ly spaced out over the 15 consecutive-minute period. [District Ru le 4309] 23. The permittee shall maintain records of: (1) th e date and time of NOx, CO, and O2 measurements, (2 ) the O2 concentration in percent and the measured NOx and C O concentrations corrected to 19% O2 (or no correction if measured above 19% O2), (3) make and model of exhau st gas analyzer, (4) exhaust gas analyzer calibrati on records, and (5) a description of any corrective action take n to maintain the emissions within the acceptable r ange. [District Rule 4309] 24. Combined natural gas consumption for this dryer , the 49 MW turbine listed under C-4071-8, the 19.9 5 MMBtu/hr boiler listed under C-4071-11, and the 16.8 MMBtu/hr boiler listed under C-4071-9, calculated on a twe lve consecutive month rolling basis, shall not exceed 1 ,386 MMScf/year. [District Rule 2201] 25. Annual emissions from this dryer, the 49 MW turbine listed under C-4071-8, the 19.95 MMBtu/hr boil er listed under C-4071-11, and the 16.8 MMBtu/hr boiler listed unde r C-4071-9, calculated on a twelve consecutive mont h rolling basis, shall not exceed any of the following: NOx ( as NO2) - 31,086 lb/year; SOx (as SO2) - 3,960 lb/y ear; PM10 - 14,289 lb/year; CO - 122,760 lb/year; or VOC - 21,5 76 lb/year. Records of annual natural gas consumpt ion for these units shall be maintained to enforce these emission s limits. [District Rule 2201]

# San Joaquin Valley Air Pollution Control District

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-7-0 : Dec 2 2009 5:50PM -- SWANEYJ PERMIT UNIT: N-7192-7-0 EXPIRATION DATE: 05/31/2011 EQUIPMENT DESCRIPTION: 7.0 MMBTU/HR CLEAVER BROOKS MODEL FLX 200-70-150ST NATURAL GAS/DIESEL-FIRED BOILER WITH A PROFIRE MODEL NTH ULTRA LOW NOX BURNER AND INDUCED FLUE GAS RECIRCULATION SYSTEM (BOILER #5) 

# PERMIT UNIT REQUIREMENTS

1. Only one of the units permitted under permits N- 7192-6 and N-7192-7 shall be operated at any time. [District Rules 2201 and 4102]
2. No air contaminant shall be released into the at mosphere which causes a public nuisance. [District Rule 4102] 3. No air contaminant shall be discharged into the atmosphere for a period or periods aggregating more than three minutes in any one hour which is as dark as, or dar ker than, Ringelmann 1 or 20% opacity. [District Ru le 4101]
4. Particulate matter emissions shall not exceed 0. 1 grains/dscf in concentration. [District Rule 4201 ] 5. The unit shall only be fired on PUC-regulated natural gas as the primary fuel and diesel as the bac k-up fuel. [District Rule 2201]
6. Sulfur content of diesel shall not exceed 0.0015 % by weight. [District Rule 2201] 7. The unit shall be fired on diesel fuel only duri ng natural gas curtailment for no more than 160 cum ulative hours in a calendar year plus 48 hours per calendar year for e quipment testing. [District Rules 2201, 4306 and 41 02] 8. If the unit is fired on back-up fuel for a perio d exceeding 48 cumulative hours in a calendar year, the permittee shall monitor and record the stack concentration of NOx at least once during that year using an APCO approve d portable NOx analyzer. Monitoring for back-up fuel NOx emiss ions shall not be required when the unit is operati ng on primary fuel, i.e. the unit need not be fired on back-up fu el solely to perform monitoring. [District Rule 430 6] 9. Back-up fuel NOx emission readings shall be take n with the unit operating either at conditions repr esentative of normal operations or conditions specified in the pe rmit-to-operate. The analyzer shall be calibrated, maintained, and operated in accordance with the manufacturer's spec ifications and recommendations or a protocol approv ed by the APCO. Emission readings taken shall be averaged ov er a 15 consecutive-minute period by either taking a cumulative 15 consecutive-minute sample reading or by taking a t least five readings, evenly spaced out over the 1 5 consecutiveminute period. [District Rule 4306] 10. The permittee shall maintain records of: (1) th e date and time of back-up fuel NOx measurements, ( 2) the measured back-up fuel NOx concentration (in ppmv or lb/MMBtu ) corrected to 3% O2, (3) make and model of exhaust gas analyzer, (4) exhaust gas analyzer calibration reco rds, and (5) a description of any corrective action taken to maintain the emissions within the acceptable range. [Distric t Rule 4306] 11. When fired on natural gas, NOx emissions shall not exceed 15.0 ppmvd @ 3% O2 referenced as NO2. [D istrict Rules 2201 and 4306] 12. When fired on natural gas, CO emissions shall n ot exceed 50 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 13. When fired on natural gas, VOC emissions shall not exceed 0.0042 lb/MMBtu referenced as CH4. [District Rule 2201] 14. When fired on natural gas, SOx emissions shall not exceed 0.00285 lb/MMBtu referenced as SO2. [Dis trict Rule 2201]Permit Unit Requirements for N-7192-7-0 (continued ) Page 2 of 3

PERMIT UNIT REQUIREMENTS CONTINUE ON NEXT PAGE These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-7-0 : Dec 2 2009 5:50PM -- SWANEYJ 15. When fired on natural gas, PM10 emissions shall not exceed 0.0076 lb/MMBtu. [District Rule 2201] 16. When fired on diesel fuel, NOx emissions shall not exceed 140.0 ppmvd @ 3% O2 referenced as NO2. [ District Rules 2201 and 4306] 17. When fired on diesel fuel, CO emissions shall n ot exceed 90 ppmvd @ 3% O2. [District Rules 2201 an d 4306] 18. When fired on diesel fuel, VOC emissions shall not exceed 0.027 lb/MMBtu referenced as CH4. [Distr ict Rule 2201] 19. When fired on diesel fuel, SOx emissions shall not exceed 0.00155 lb/MMBtu referenced as SO2. [Dis trict Rule 2201] 20. When fired on diesel fuel, PM10 emissions shall not exceed 0.025 lb/MMBtu. [District Rule 2201] 21. The permittee shall monitor and record the stac k concentration of NOx, CO, and O2 at least once ev ery month (in which a source test is not performed) using a portable emission monitor that meets District specifications. Monitoring shall not be required if the unit is not in operati on, i.e. the unit need not be started solely to per form monitoring. Monitoring shall be performed within 5 days of rest arting the unit unless monitoring has been performe d within the last month. [District Rules 4305 and 4306]
22. If either the NOx or CO concentrations correcte d to 3% O2, as measured by the portable analyzer, e xceed the allowable emissions concentration, the permittee sh all return the emissions to within the acceptable r ange as soon as possible, but no longer than 1 hour of operation af ter detection. If the portable analyzer readings c ontinue to exceed the allowable emissions concentration after 1 hour of operation after detection, the permittee shall n otify the District within the following 1 hour and conduct a certified source test within 60 days of the first exceedance . In lieu of conducting a source test, the permittee may stipulate a violation has occurred, subject to enforcementaction. The permittee must then correct the violation, show com pliance has been re-established, and resume monitoring procedures. If the deviations are the result of a qualifying breakdown condition pursuant to Rule 110 0, the permittee may fully comply with Rule 1100 in lieu of performi ng the notification and testing required by this co ndition. [District Rules 4305 and 4306] 23. All alternate monitoring parameter emission rea dings shall be taken with the unit operating eitherat conditions representative of normal operations or conditions s pecified in the Permit to Operate. The analyzer sh all be calibrated, maintained, and operated in accordance with the man ufacturer's specifications and recommendations or aprotocol approved by the APCO. Emission readings taken shal l be averaged over a 15 consecutive-minute period b y either taking a cumulative 15 consecutive-minute sample re ading or by taking at least five (5) readings, even ly spaced out over the 15 consecutive-minute period. [District Ru les 4305 and 4306] 24. The permittee shall maintain records of: (1) th e date and time of NOx, CO, and O2 measurements, (2 ) the O2 concentration in percent and the measured NOx and C O concentrations corrected to 3% O2, (3) make and m odel of exhaust gas analyzer, (4) exhaust gas analyzer cali bration records, and (5) a description of any corre ctive action taken to maintain the emissions within the acceptable ran ge. [District Rules 4305 and 4306]
25. All emissions measurements shall be made with t he unit operating either at conditions representati ve of normal operations or conditions specified in the Permit to Operate. No determination of compliance shall be established within two hours after a continuous period in which fuel flow to the unit is shut off for 30 minutes o r longer, or within 30 minutes after a re-ignition as defined in Sectio n 3.0 of District Rule 4306. [District Rules 4305 a nd 4306] 26. Source testing to measure natural gas-combustio n NOx and CO emissions from this unit shall be cond ucted at least once every twelve (12) months. After demonstrating compliance on two (2) consecutive annual source te sts, the unit shall be tested not less than once every thirty-six (36) months. If the result of the 36-month source test demonstrates that the unit does not meet the applicable emission limits, the source testing frequency shall revert to at least once every twelve (12) months. [District Rules 4305 and 4306] 27. Source testing shall be conducted using the met hods and procedures approved by the District. The District must be notified at least 30 days prior to any compliance s ource test, and a source test plan must be submitte d for approval at least 15 days prior to testing. [District Rule 1081 ] 28. NOx emissions for source test purposes shall be determined using EPA Method 7E or ARB Method 100 o n a ppmv basis. [District Rules 4305 and 4306]Permit Unit Requirements for N-7192-7-0 (continued ) Page 3 of 3

These terms and conditions are part of the Facility -wide Permit to Operate. Facility Name: KAISER FOUNDATION HOSPITAL Location: 4509 DALE RD,MODESTO, CA 95356 N-7192-7-0 : Dec 2 2009 5:50PM -- SWANEYJ 29. CO emissions for source test purposes shall be determined using EPA Method 10 or ARB Method 100. [ District Rules 4305 and 4306] 30. Stack gas oxygen (O2) shall be determined using EPA Method 3 or 3A or ARB Method 100. [District Ru les 4305 and 4306] 31. For emissions source testing, the arithmetic av erage of three 30-consecutive-minute test runs shal l apply. If two of three runs are above an applicable limit the test c annot be used to demonstrate compliance with an app licable limit. [District Rules 4305 and 4306]
32. The results of each source test shall be submitted to the District within 60 days thereafter. [Dis trict Rule 1081] 33. The permittee shall monitor and record the cumu lative annual hours of operation when fired on dies el during natural gas curtailment and testing. [District Rules 2201, 4305, and 4306]
34. All records shall be maintained and retained on -site for a minimum of five (5) years, and shall be made available for District inspection upon request. [District Rules 1 070, 4305, and 4306]