## AIR POLLUTION CONTROL

TITLE V PERMIT TO OPERATE

Permittee : Name :

Montana

- Dakota Utilities, Co. North Western Public Service Company Northern Municipal Power Agency (Minnkota Power Cooperative, Inc.) Otter Tail Power Company



### Address : Otter Tail Power Company

215 South Cascade Street

P.O. Box 496 Fergus Falls, MN 56538

- 0496 

### Permit Number :

T5

- F84011



### Source Name :

Coyote Station



### Source Location : Sec. 10, S1⁄2 of S1⁄2 of Sec. 3 and W1⁄2 of Sec. 11, T143N,

R88W Mercer County 

### Source Type :

Power Plant (Coal)



### Expiration Date : September 17, 2018

Pursuant to Chapter 23

- 25 of the North Dakota Century Code, and the Air Pollution Control Rules of the State of North Dakota, Article 33

- 15 of the North Dakota Administrative Code (NDAC), and in reliance on statements and representations heretofore made by the pe r mittee designated above, a Title V Permit to Operate is hereby issued authorizing such permittee to operate the emissions unit(s) at the l ocation designated above. This Title V Permit to Operate is subject to all applicable rules and orders now or hereafter in effect of the North Dakota Department of Health and to any conditions specified on the following pages. All conditions are enforceab le by EPA and

citizens under the Clean Air Act unless otherwise noted.

Renewal No. 3 (Sig. Mod) : 8/15/13

Revision No. 1 (Admin.) : 9/13/13 Terry L. O’Clair, P.E.

Revision No. 2 (Admin.): 10/2/13 Director Division of Air QualityPage 2 of 3 3

PTO No. T5

- F84011

Coyote Station Title V Permit to Operate

Table of Contents

Condition Page No.

Permit Shield 3

1. Emission Unit(s) Identification 3

2. Continuous Emission Monitoring System (CEM S ) 4

3. Special Conditions 4

4. Standards 4

5. Emission Unit(s) Limits 5

6. Opacity Limits 7

7. Monitoring Requirements and Conditions 8

8. Recordkeeping Requirements 1 2

9. Reporting 1 4

10. Facility Wide Operating Conditions 1 5

11. General Conditions 2 2

12. State Enforceable Only Conditions (not Federally 2 8 enforceable)

13. Phase II Acid Rain Provisions 2 8

Attachment A

- C ompliance Assurance Monitoring (CAM) Plan

Attachment B

- Permit to Construct No. PTC10008Page 3 of 3 3

PTO No. T5

- F84011

Permit Shield

Compliance with the terms and conditions of this permit shall be deemed compliance with any applicable requirements as of the date of permit issuance, provided that:

 Such applicable requirements are included and are specifically identified in this permit; or

 The Department, in acting on the permit application or revis ion, determines in writing that other requirements specifically identified are not applicable to the source, and the determination, or a concise summary thereof, is included in this permit.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.5.f.(1)

1. Emission Un it(s) Identification :

The emission units regulated by this permit are as follows:

A. Point Sources:

Emission Unit Description Emission

Unit (EU) Emission

Point (EP) Air Pollution

Control Equipment

Unit 1 boiler li gnite

- fired cyclone with a nominal rated heat input capacity of 5,800 x

10 6 Btu/hr 1 1 Fabric Filter

and Spray Dryer Scrubber Auxiliary boiler No. 2 fuel oil

- fired with a nominal rated heat input capacity of 202 x 10 6

Btu/hr 2 2 None

Facility 1,440 hp diesel engine

- driven

emergency generator ( 1977 ) 4 * 4 None

Fire pump 225 hp emergency diesel engine (1977) 5 5 None

Scrubber 1,375 hp Kohler Model 900ROZD diesel engine

- driven emergency generator ( 1991 ) 6 * 6 None

Transfer house M2 M2 Baghouse Northside distribution building M3 M3 Baghouse Southside distribution building M4 M4 Baghouse Lime storage silo M5 M5 Baghouse Recycle fly ash silo M6 M6 Baghouse Fly ash silo M7 M7 Baghouse Lime unloading bin vent filter M9 M9 Baghouse No. 2 fuel oil tank (1,000,000 gallons) T1** T1 None No. 2 fuel oil tank (998,088 gallons) T2** T2 NonePage 4 of 3 3

PTO No. T5

- F84011

* T he potential

- to

- emit for an emergency generator engine is based on operating no more than 500

hours per year (EPA memo, September 6, 1995).

* * Insignificant or fugitive emission sources (no specific emission limit)

.

B. Fugitive Emissions Sources:

1) Inactive coal storage pile

2) 161,000 gpm cooling tower

2. Continuous Emission Monitoring System (CEM S) : Emissions from EU 1 (EP 1) are m onitored by

CEMS for the following pollutants/ p arameters: Opacity, SO 2, NO x, CO 2 and flow.

3. Special Conditions :

A. Fuel Restrictions:

1) EU 1 shall be operated using lignite coal as the primary fuel and subbituminous coal and petroleum coke as supplemental fuel s . During startup and unstable firing conditions in a cyclone boiler , No. 2 fuel oil may be utilized.

2) EU 2 shall be operated using only No. 2 fuel oil.

3) The permittee shall purchase or otherwise obtain only distillate oil containing no more than 0.0015 percent sulfur by weight for the operation of the engines (EU 4, 5 and 6)

.

4) Used oil may be burned in EU 1 as outlined in Condition 12.B

.

Fuels, other than those listed above, may be burned if approved in advance by the Department and compliance with the applicable emission limits is maintained.

Applicable Requirement : NDAC 33

- 15

- 14

- 06.5.b(1)

4. Standards : The permittee shall comply with all applicable requirements of the following subparts.

A. NDAC 33

- 15

- 12

- 02 (40 CFR 60), Subpart D

– Standards of Performance for Fossil

- Fuel

- Fired Steam Generators for Which Construction Is Commenced After August 17, 1971 (applicable to the Unit 1 boiler, EU 1 )

.

Applicable Requirement: NDAC 33

- 15

- 12, Subpart D

B. NDAC 33

- 15

- 12

- 02 (40 CFR 60), Subpart Y

– Standards of Perform ance for Coal Preparation

Plants (applicable to EU M2, M3 and M4).

Applicable Requirement: NDAC 33

- 15

- 12, Subpart YPage 5 of 3 3

PTO No. T5

- F84011

C. NDAC 33

- 15

- 22

- 03 ( 40 CFR 63 ) , Subpart ZZZZ

– National Emission Standards for Hazardous Air Pollutants for Stationary Reciprocating Internal Combustion Engines. For this subpart, EPA Region 8, not the North Dakota Department of Health, is the implementing and enforcement authority. Please send al l documentation to EPA at the address below (applicable to EU 4, 5 and 6).

U.S. EPA Region 8 1595 Wynkoop Street

Mail Code 8ENF

- AT Denver, CO 80202

- 1129

Applicable Requirement: NDAC 33

- 15

- 22

- 03, Subpart ZZZZ

D. NDAC 33

- 15

- 22

- 03 (40 CFR 63)

, Subpart UUUUU

– National Emission Standar ds for Hazardous

Air Pollutants : Coal

- and Oil

- Fired Electric Utility Steam Generating Units. Un til the North Dakota Department of Health (NDDoH) is delegated the implementing and enforcement authority

for this s ubpart, please send all req uired documentation to both NDD H at the address in Condition

11 .E and EPA at the address in Condition 4.C above (applicable to EU 1 ).

Applicable Requirement: NDAC 33

- 15

- 22

- 03, Subpart UUUUU

E

. NDAC 33

- 15

- 22

- 03 ( 40 CFR 63 )

, S ubpart DDDDD

– National Emission Standards for Hazardous Air Pollutants for Major Sources: Industrial, Commercial and Institutional Boilers and Process

Heaters. Until the North D akota Department of Health (NDD H) is delegated the implementing

and enforcem ent authority for this subpart, please send all required documentation to both

NDDoH at the address in Condition 11 .E and EPA at the address in Condition 4.C above (applicable to EU 2).

Applicable Requirement: NDAC 33

- 15

- 22

- 03 ( 40 CFR 63 ) , Subpart DDDDD

F. In order to maintain limited

- use boiler classification as defined by 40 CFR 63 Subpart DDDDD, EU 2 shall combust no more than 1,263,943 gallons of No. 2 fuel oil per calendar year, which corresponds to an average annual capacity factor of 10 percent. Periodic tune

- ups shall be completed as specified in 40 CFR 63.7540. These requirements shall become effective at the time EU 2 must comply with 40 CFR 63 Subpart DDDDD.

Applicable Requirement: PTC 13032 and NDAC 33

- 15

- 22

- 03, Subpart DDDDD

5. Emission Unit(s) Limits :

Emission Unit Description EU EP Pollutant/

Parameter Emission Limit NDAC Applicable Requirement

Unit 1 boiler 1 1 P M 0.10 lb/10 6 Btu d

& 445 lb/hr a 33

- 15

- 12, Subpart D

& Permit to Construct (PTC) 8/9/77Page 6 of 3 3

PTO No. T5

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Emission Unit Description EU EP Pollutant/

Parameter Emission Limit NDAC Applicable Requirement

SO 2

NO

x

Opacity 1.2 lb/10 6 Btu b

& 5,335 lb/hr e

3,910 lb/hr c

See Condition (Cond.) 5.A

See Cond

. 6.A & 6.B 33

- 15

- 12, Subpart D

& PTC 8/9/77

PTC 8/9/77

33

- 15

- 12, Subparts A

& D & 33

- 15

- 03

- 02 Auxiliary boiler 2 2 P M

SO 2

NO

x

Opacity 2.9 lb/hr a &

0.40 lb/10 6 Btu a

3.0 lb/10 6 Btu e

& 102.6 lb/hr e

31.8 lb/hr a

See Cond

. 6.A PTC 8/9/77 &

33

- 15

- 05

PTC 8/9/77 &

33

- 15

- 06

PTC 8/9/77

33

- 15

- 03

- 02

Facility emergency

g enerator engine 4 4 P M

SO 2

NO

x

Opacity 2.6 lb/hr a

1.7 lb/hr a

35.6 lb/hr a

See Cond

. 6.A PTC 8/9/77

PTC 8/9/77

PTC 8/9/77

33

- 15

- 03

- 02

Fire pump emergency engine 5 5 P M

SO 2

NO

x

Opacity 1.0 lb/hr a

0.94 lb/hr a

14.1 lb/hr a

See Cond

. 6.A PTC 8/9/77

PTC 8/9/77

PTC 8/9/77

33

- 15

- 03

- 02

Scrubber emergency
generator engine 6 6 NO

x

SO 2

CO

Opacity 33.9 lb/hr a

4.3 lb/hr a

8.8 lb/hr a

See Cond

. 6.A PTC 12/7/92

PTC 12/7/92

PTC 12/7/92

33

- 15

- 03

- 02

Transfer house M2 M2 P M 1.42 lb/hr a PTC 8/9/77Page 7 of 3 3

PTO No. T5

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Emission Unit Description EU EP Pollutant/

Parameter Emission Limit NDAC Applicable Requirement Opacity See Cond

. 6.A & 6.C 33

- 15

- 12, Subparts A

& Y & 33

- 15

- 03

- 02

Northside distribution building M3 M3 P M

Opacity 5.66 lb/hr a

See Cond

. 6.A & 6.C PTC 8/9/77

33

- 15

- 12, Subparts A

& Y & 33

- 15

- 03

- 02

Southside distribution building M4 M4 P M

Opacity 4.87 lb/hr a

See Cond . 6.A & 6.C PTC 8/9/77

33

- 15

- 12, Subparts A

& Y & 33

- 15

- 03

- 02

Lime storage silo M5 M5 P M

Opacity 33.52 lb/hr a

See Cond

. 6.A 33

- 15

- 05

- 01

33

- 15

- 03

- 02

Recycle fly ash silo M6 M6 P M

Opacity 50.82 lb/hr a

See Cond

. 6.A 33

- 15

- 05

- 01

33

- 15

- 03

- 02

Fly ash silo M7 M7 P M

Opacity 33.31 lb/hr a

See Cond

. 6.A 33

- 15

- 05

- 1

33

- 15

- 03

- 02

Lime unloading bin vent

filter M9 M9 P M

Opacity 5.7 lb/hr a

See Cond

. 6.A 33

- 15

- 05

- 01

33

- 15

- 03

- 02

a (1

- hour average)

b (3

- hour rolling average). This standard does not apply during startup, shutdown and malfunction.

c (12

- month rolling average)

d (1

- hour average). This standard does not apply during startup, shutdown and malfunction.

e (3

- hour rolling average)

A. Permit to Construct No. PTC 10008 establishes a main boiler (EU 1) NOx emission limit of 0.50

lb/10 6 Btu of heat input and include s associated monitoring, recordkeeping and reporting conditions. Compliance is required no later than July 1, 2018. PTC10008 is at Attachment B and its conditions will be incorporated into the body of this permit near the da te of compliance.

Applicable Requirement: PTC 10008

6. Opacity Limits : The following are applicable requirements referred to for the various emission units

listed in Condition 5.

A. All emission units

– twenty percent (six

- minute average), except that a maximum of forty percent (six

- minute average) is permissible for not more than one six

- minute period per hour. This standard applies at all times.Page 8 of 3 3

PTO No. T5

- F84011

B. EU 1

- In addition to the opacity limit specified in Condition 6.A, twenty percent (six

- minute average), except that a maximum of twenty

- seven percent (six

- minute average) is permissible for

not more than one six

- minute period per hour. This standard does not apply during startup,

shutdown and malfunction.

C. EU M2, M3, and M4

- In addition to the opacity limit specified in Condition 6.A, twenty percent opacity (six

- minute average) or greater shall not be discharged into the atmosphere. This standard does not apply during startup, shutdown and malfunction.

Applicable Requirements: NDAC 33

- 15

- 12, Subpart s A, D and Y

, and NDAC 33

- 15

- 03

- 02

7. Monitoring Requirements and Conditions :

A. Requirements

Emission Unit Description EU Pollutant/

Parameter Monitoring

Requirement (Method) Condition

Number NDAC Applicable

Requirement

Unit 1 boiler 1 P M

SO 2

NO

x

Opacity

CO 2

Flow Compliance

Assurance Monitoring (CAM) &

Emissions Test

Continuous

Emission Monitoring System ( CEM S )

CEM S

Operations &

Maintenance (O&M)/ C O M S

CEMS

Flow Monitor 7.B.1 0 &

7.B.8

7.B.1, 7.B.3

& 7.B.4

7.B.1, 7.B.3

&

7.B.4

7.B.7/ 7.B.1, 7.B.2,

7.B.3 &

7.B.4

7.B.1, 7.B.3

& 7.B.4

7.B.1, 7.B.3

& 7.B.4 33

- 15

- 14

- 06.10

,

33

- 15

- 14

- 06.5.a.(3)(a),

33

- 15

- 12, Subpart D &

33

- 15

- 21

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 1 4

- 06.5.a

. (3)(a)

33

- 15

- 21

33

- 15

- 12, Subpart D &

33

- 15

- 21

33

- 15

- 21

Auxiliary boiler 2 P M Recordkeeping 7.B.5 33

- 15

- 14

- 06.5.a.(3)(a)Page 9 of 3 3

PTO No. T5

- F84011

Emission Unit Description EU Pollutant/

Parameter Monitoring

Requirement (Method) Condition

Number NDAC Applicable

Requirement

SO 2

NO

x

Opacity

Hours of Operation &

Gallons of

No. 2 Fuel

Oil

Combusted Recordkeeping

Emissions Test

Recordkeeping

Recordkeeping 7.B.5

7.B.6

7.B.5

7.B. 9 33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

Facility emergency

g enerator engine 4 P M

SO 2

NO

x

Opacity

Hours of Operation Recordkeeping

Recordkeeping

Emissions Test

Recordkeeping

Recordkeeping 7.B.5

7.B.5

7.B.6

7.B.5

7.B. 9 33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

Fire pump e mergency engine 5 P M

SO 2

NO

x

Opacity

Hours of Operation Recordkeeping

Recordkeeping

Emissions Test

Recordkeeping

Recordkeeping 7.B.5

7.B.5

7.B.6

7.B.5

7.B. 9 33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

Scrubber emergency

generator engine 6 NO

x

SO 2

CO

Opacity

Hours of Operation Emissions Test

Recordkeeping

Emissions Test

Recordkeeping

Recordkeeping 7.B.6

7.B. 5

7.B.6

7.B.5

7.B. 9 33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)

33

- 15

- 14

- 06.5.a.(3)(a)Page 10 of 3 3

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Emission Unit Description EU Pollutant/

Parameter Monitoring

Requirement (Method) Condition

Number NDAC Applicable

Requirement

Transfer house M2 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10

Northside distribution building M3 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10

Southside distribution building M4 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10

Lime storage silo M5 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10 Recycle fly ash silo M6 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10 Fly ash silo M7 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10 Lime unloading bin vent

filter M9 P M / Opacity CAM 7.B.1 0 33

- 15

- 14

- 06.10

B. Monitoring Conditions

1) The monitoring shall be in accordance with the following applicable requirements of Chapter 33

- 15

- 06, Chapter 33

- 15

- 12 and Chapter 33

- 15

- 21 of the North Dakota Air Pollution Control Rules. Emissions are calculated using 40 CFR 75, Appendix F and 40 CFR 60, Appendix A.

a) Section 33

- 15

- 06

- 04 of the North Dakota Air Pollution Control Rules, Monitoring Requirements.

b) 40 CFR 60, Subpart A, Section 60.13, Monitoring Requirements.

c) 40 CFR 60, Subpart D, Section 60.45, Emission and Fuel Monitoring.

d) Section 33

- 15

- 21

- 09 of the North Dakota Air Pollution Control Rules, Monitoring Requirements.

2) Within one year of issuance of this permit, the permittee shall conduct a performance evaluation of the opacity continuous emission monitoring system. For the performance evaluation, conformance with the specification for calibration error, Section 13.3 Field Audit Performance Specifications, paragraph (2) Calibration Error of 40 CFR 60, Appendix B, Performance Specification 1 must be demonstrated. The procedures of Section 8.1, paragraph (3)(ii) Calibration Check of 40 CFR 60, Appendix B, Performance Specification 1 shall be used to determine conformance with the specification for

calibration error.

A second performance evaluation shall take place no s ooner than two years or later than three years from the date of the first performance evaluation.

3) The Department may require additional performance audits of the CEM S

.Page 11 of 3 3

PTO No. T5

- F84011

4) When a failure of a continuous emission monitoring system occurs, an alternative method, acceptable to the Department, for measuring or estimating emissions must be undertaken as soon as possible. The provisions outlined in 40 CFR 75, Subpart D for data substitution are considered an acceptable method. Timely repair of the emission monitoring system

must be made.

5) For purposes of compliance monitoring, for EU 2, 4, 5 and 6, burning of fuels as outlined in Conditions 3.A.2 and 3.A.3 shall be considered credible evidence of compliance with any applicable opacity, particulate and SO 2 emission limit. However, results from tests conducted in accordance with the test methods in 40 CFR 50, 51, 60, 61, or 75 will take precedence over burning fuels as outlined in Conditions 3.A.2 and 3.A.3 for evidence of compliance or noncompliance with a ny applicable opacity, particulate, SO 2 , and CO emission limit, in the event of enforcement action.

6) To provide a reasonable assurance of compliance, an emissions test for EU 4, 5 or 6 shall

be conducted to measure NO

x and CO emissions, as applicable, w hen the emissions unit has operated more than 500 hours in a calendar year. For EU 2, an emissions test shall be

conducted to measure NO

x emissions when the emissions unit has operated more than 500 hours in a calendar year and has combusted more than 720 ,000 gallons of No. 2 fuel oil in a calendar year. The test shall be conducted using, at a minimum, a portable analyzer with quality assurance procedures equivalent to Conditional Test Methods 22 and/or 30 as

outlined in EPA ’ s Emission Measurement Center or the Department ’ s Standard Operating Procedures, Use of Portable Analyzer for Title V Semi

- Annual Testing. A test shall consist of three runs, with each run at least 20 minutes in length.

7) The permittee shall maintain and operate air pollution contro l equipment in a manner consistent with good air pollution control practice for minimizing emissions. The

manufacturer ’ s recommended Operations and Maintenance (O&M) procedures, or a

site

- specific O&M procedure (developed from the manufacturer ’ s recommend ed O&M procedures), shall be followed to assure proper operation and maintenance of the equipment. The permittee shall have the O&M procedures available on site and provide the Department with a copy when requested.

8) Any time within one year of permit expiration, the permittee shall conduct an emissions test to measure particulate emissions, using EPA Test Methods in 40 CFR 60, Appendix A. A test shall consist of three runs, with each run at least one hour in length. Other test methods may be used pro vided they are approved, in advance, by the Department.

9 ) A log shall be kept of the hours of operation. For EU 2, a record of gallons of No. 2 fuel oil combusted shall also be kept.

1 0 ) EU 1, M2, M3, M4, M5, M6, M7 and M9 are subject to Compliance Ass urance Monitoring (CAM) requirements with respect to particulate matter. The CAM plan is in Attachment A of this permit. The permittee shall conduct the monitoring, recordkeeping and reporting as required by the applicable subparts of 40 CFR 64.Page 12 of 3 3

PTO No. T5

- F84011

8. Recordkeeping Requirements :

A. The permittee shall maintain compliance monitoring records for all emission units as outlined in Table 1 (Monitoring Records), that include the following information.

1) The date, place (as defined in the permit) and time of sampling or measurement.

2) The date(s) testing was performed.

3) The company, entity, or person that performed the testing.

4) The testing techniques or methods used.

5) The results of such testing.

6) The unit load and operating conditions that e xisted at the time of sampling or measurement.

Applicable Requirement : NDAC 33

- 15

- 14

- 06.5.a.(3)(b)[1]

B. In addition to requirements outlined in Condition 8.A, recordkeeping for EU 1 (Unit 1 main stack) shall be in accordance with the following applicab le requirements of Chapter 33

- 15

- 06, Chapter

33

- 15

- 12 and Chapter 33

- 15

- 21 of the North Dakota Air Pollution Control Rules:

1) Section 33

- 15

- 06

- 05 of the North Dakota Air Pollution Control Rules, Reporting and Recordkeeping Requirements.

2) 40 CFR 60, Subpart A, Section 60.7, Notification and Recordkeeping.

3) Section 33

- 15

- 21

- 09 of the North Dakota Air Pollution Control Rules and Recordkeeping Requirements.

Table 1

Monitoring Records

Emission Unit Description EU Pollutant/

Parameter Compliance Monitoring Record

Unit 1 boiler 1 P M

SO 2

NO

x

Opacity

CO 2 CAM Data &

Emissions Test Data

CEM S Data

CEM S Data

C O M S Data & O&M Data

CEM S DataPage 13 of 3 3

PTO No. T5

- F84011

Emission Unit Description EU Pollutant/

Parameter Compliance Monitoring Record

Flow Flow Monitor Data

Auxiliary boiler 2 P M

SO 2

NO

x

Opacity

Hours of Operation

& Gallons of Fuel Type of Fuel Usage

Type of Fuel Usage

Emissions Test Data

Type of Fuel Usage

Hours of Operation & Gallons of

Fuel Data
Facility emergency
generator engine 4 P M

SO 2

NO

x

Opacity

Hours of Operation Type of Fuel Usage

Type of Fuel Usage

Emissions Test Data

Type of Fuel Usage

Hours of Operation Data

Fire pump emergency engine 5 P M

SO 2

NO

x

Opacity

Hours of Operation Type of Fuel Usage

Type of Fuel Usage

Emissions Test Data

Type of Fuel Usage

Hours of Operation Data

Scrubber emergency
generator engine 6 NO

x

SO 2

CO

Opacity

Hours of Operation Emissions Test Data

Type of Fuel Usage

Emissions Test Data

Type of Fuel Usage

Hours of Operation Data

Transfer house M2 P M / Opacity CAM Data

Northside distribution building M3 P M / Opacity CAM DataPage 14 of 3 3

PTO No. T5

- F84011

Emission Unit Description EU Pollutant/

Parameter Compliance Monitoring Record

Southside distribution building M4 P M / Opacity CAM Data

Lime storage silo M5 P M / Opacity CAM Data

Recycle fly ash silo M6 P M / Opacity CAM Data

Fly ash silo M7 P M / Opacity CAM Data

Lime unloading bin vent

filter M9 P M / Opacity CAM Data

C. The permittee shall retain records of all required monitoring data and support information for a period of at least five years from the date of the monitoring sampling, measurement, report, or application. Support information includes all maintenance reco rds and all original strip

- chart recordings/computer printouts for continuous monitoring instrumentation, and copies of all reports required by the permit.

Applicable Requirement: NDAC 33

- 15

- 14

- 06

- 5.a.(3)(b)[2]

D. Recordkeeping for EU 1, M2, M3, M4, M5 , M6, M7 and M9 shall be in accordance with 40 CFR 64, Section 64.9

- Reporting and Recordkeeping Requirements paragraph (b) General Recordkeeping Requirements.

Applicable Requirement: NDAC 33

- 15

- 14

- 05.10 (40 CFR 64 )

9. Reporting :

A. Reporting for EU 1, M2, M3, M4, M5, M6, M7 and M9 shall be in accordance with NDAC

33

- 15

- 14

- 06.10 (40 CFR 64, Section 64.9)

- Reporting and Recordkeeping Requirements, Paragraph (a) General Reporting Requirements.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.10 (40 CFR 64)

B. For EU 1 , reporting shall be in accordance with the following applicable requirements of Chapter

33

- 15

- 06, Chapter 33

- 15

- 12 and Chapter 33

- 15

- 21 of the North Dakota Air Pollution Control

Rules.

1) Section 33

- 15

- 06

- 05 of the North Dakota Air Pollution Cont rol Rules, Reporting and Recordkeeping Requirements.

2) 40 CFR 60, Subpart A, Section 60.7, Notification and Recordkeeping. (Note: This condition also applies to EU M2, M3 and M4.)

3) Section 33

- 15

- 21

- 09 of the North Dakota Air Pollution Control Rules, Reporting and Recordkeeping Requirements.Page 15 of 3 3

PTO No. T5

- F84011

4) Quarterly excess emissions reports for EU 1 shall be submitted by the 30th day following the end of each calendar quarter. Excess emissions are defined as emissions which exceed

the emission limits for E U 1 as outlined in Condition 5. Excess emissions shall be reported for the following:

Parameter Reporting Period

SO 2 lb/10 6 Btu 3

- hour rolling average

SO 2 lb/hr 3

- hour rolling average

NO

x lb/hr 12

- month rolling average Opacity % 6

- minute average

C. For emission units where the method of compliance monitoring is demonstrated by either an EPA Test Method or a portable analyzer test, the test report shall be submitted to the Department within 60 days after completion of the test.

Applicable Requirement: NDAC 33

- 15

- 14

- 06

- 5.a.(6)(e)

D. The permittee shall submit a semi

- annual monitoring report for all monitoring records required under Condition 8 on forms supplied or approved by the Department. All instances of deviations from the permit mus t be identified in the report. A monitoring report shall be submitted within 45 days after June 30 and December 31 of each year.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.5.a(3)(c)[1] and [2]

E. The permittee shall submit an annual compliance certific ation report within 45 days after December 31 of each year on forms supplied or approved by the Department.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.5.c(5)

F. The permittee shall submit an annual emission inventory report on forms supplied or approved b y the Department. This report shall be submitted by March 15 of each year. Insignificant units/activities listed in this permit do not need to be included in the report.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.5.a(7) and NDAC 33

- 15

- 23

- 04

10

. Facility Wide Operating Conditions :

A. Ambient Air Quality Standards :

1) Particulate and gases . The permittee shall not emit air contaminants in such a manner or amount that would violate the standards of ambient air quality listed in Table 1 of NDAC

33

- 15

- 02 at any place beyond the premises on which the source is located.

2) Radioactive substan ces . The permittee shall not release into the ambient air any radioactive substances exceeding the concentrations specified in NDAC 33

- 10.Page 16 of 3 3

PTO No. T5

- F84011

3) Other air contaminants . The permittee shall not emit any other air contaminants in

concentrations that would be injurious to human health or well

- being or unreasonably interfere with the enjoyment of property or that would injure plant or animal life.

4) Disclaimer . Nothing in any other part or section of this permit may in any manner be construed as authorizing or legalizing the emission of air contaminants in such manner that would violate the standards in Paragraphs 1), 2) and 3) of this condition.

Applicable Requirement: NDAC 33

- 15

- 02

- 04

B. Fugitive Emissions : The release of fugitive emissions shall comply with the applicable requirements in NDAC 33

- 15

- 17.

Applicable Requirement: NDAC 33

- 15

- 17

C. Open Burning : The permittee may not cause, conduct, or permit open burning of refuse, trade waste, or other combustible material, except as provided for in sec tion 33

- 15

- 04

- 02 and may not conduct, cause, or permit the conduct of a salvage operation by open burning. Any permissible open burning under NDAC 33

- 15

- 04

- 02 must comply with the requirements of that section.

Applicable Requirement: NDAC 33

- 15

- 04

D. Asbestos Renovation or Demolition : Any asbestos renovation or demolition at the facility shall comply with emission standard for asbestos in NDAC 33

- 15

- 13.

Applicable Requirement: NDAC 33

- 15

- 13

- 02

E

. Rotating Pumps and Compressors : All rotating pumps and compressors handling volatile organic compounds must be equipped and operated with properly maintained seals designed for their specific product service and operating conditions.

Applicable Requirement: NDAC 33

- 15

- 07

- 01.5

F

. Shutdown s /Malfunction/ Continuous Emission Monitoring System Failure :

1 ) Maintenance Shutdowns. In the case of shutdown of air pollution control equipment for necessary scheduled maintenance, the intent to shut down such equipment shall be reported

to t he D epartment at least twenty

- four hours prior to the planned shutdown provided that the air contaminating source will be operated while the control equipment is not in service. Such prior notice shall include the following:

a ) Identification of the spec ific facility to be taken out of service as well as its location and permit number.Page 17 of 3 3

PTO No. T5

- F84011

b ) The expected length of time that the air pollution control equipment will be out of

service.

c ) The nature and estimated quantity of emissions of air pollutants likely to be emitted during the shutdown period.

d ) Measures, such as the use of off

- shift labor and equipment, that will be taken to minimize the length of the shutdown period.

e ) The reasons that it would be impossible or impractical to shutdown the source operation during the maintenance period.

f ) Nothing in this subsection shall in any manner be construed as authorizing or legalizing the emission of air contaminants in excess of the rate allowed by this article or a permit issued pursuant to this article

.

Applicable Requirement: NDAC 33

- 15

- 01

- 13.1

2) Malfunctions

.

a ) When a malfunction in any installation occurs that can be expected to last longer than twenty

- four hours and cause the emission of air contaminants in violation of

this article or oth er applicable rules and regulations, the person responsible for such installation shall notify the D epartment of such malfunction as soon as possible during normal working hours. The notification must contain a statement giving all pertinent facts, includ ing the estimated duration of the breakdown. The department shall be notified when the condition causing the malfunction has been

corrected.

b ) Immediate notification to the department is required for any malfunction that

would threaten health or welfare , or pose an imminent danger. During normal working hours the D epartment can be contacted at 701

- 328

- 5188. After hours the department can be contacted through the twenty

- four

- hour state radio emergency

number 1

- 800

- 472

- 2121. If calling from out of state , the twenty

- four

- hour

number is 701

- 328

- 9921.

c ) Unavoidable M alfunction. The owner or operator of a source who believes any

excess emissions resulted from an unavoidable malfunction shall submit a written report to the D epartment which includes evidence that:

[ 1 ] The excess emissions were caused by a sudden, unavoidable breakdown of technology that was beyond the reasonable control of the owner or operator.Page 18 of 3 3

PTO No. T5

- F84011

[ 2 ] The excess emissions could not have been avoided by better operation and

maintenance , did not stem from an activity or event that could have been foreseen and avoided, or planned for.

[ 3 ] To the extent practicable, the source maintained and operated the air pollution control equipment and process equipment in a manner consistent with goo d practice for minimizing emissions, including minimizing any bypass emissions.

[ 4 ] Any necessary repairs were made as quickly as practicable, using off

- shift labor and overtime as needed and possible.

[ 5 ] All practicable steps were taken to minimize the potential impact of the excess emissions on ambient air quality.

[ 6 ] The excess emissions are not part of a recurring pattern that may have been caused by inadequate operation or maintenance, or inadequate design of the malfunctioning equipment.

The rep ort shall be submitted within thirty days of the end of the calendar quarter in which the malfunction occurred or within thirty days of a written request by the department, whichever is sooner.

The burden of proof is on the owner or operator of the source to provide sufficient information to demonstrate that an unavoidable equipment

malfunction occurred. The D epartment may elect not to pursue enforcement action after considering whether excess emissions resulted from an unavoidable equipment malfunction. The D epartment will evaluate, on a case

- by

- case basis, the information submitted by the owner or operator to determine whether to pursue enforcement action.

Applicable Requirement: NDAC 33

- 15

- 01

- 13.2

3 ) Continuous E mission M onitoring S ystem F ailure s . When a failure of a continuous emission monitoring system occurs, an alternative method for measuring or estimating emissions must be undertaken as soon as possible. The owner or operator of a source that

uses an alternative method shall have the burd en of demonstrating that the method is accurate. Timely repair of the emission monitoring system must be made. The provisions of this subsection do not apply to sources that are subject to monitoring requirements in Chapter 33

- 15

- 21 (40 CFR 75, Acid Rain Program).

Applicable Requirement: NDAC 33

- 15

- 01

- 13. 3

G

. Noncompliance Due to an Emergency : The permittee may seek to establish that noncompliance with a technology

- based emission limitation under this permit was due to anPage 19 of 3 3

PTO No. T5

- F84011

emergency. To do so, the per mittee shall demonstrate the affirmative defense of emergency through properly signed, contemporaneous operating logs, or other relevant evidence that:

1) An emergency occurred and that the permittee can identify the cause(s) of the emergency;

2) The permitted facility was at the time being properly operated;

3) During the period of the emergency the permittee took all reasonable steps to minimize levels of emissions that exceeded the emissions standards, or other requirements in this permit; and

4) The permittee submitted notice of the emergency to the Department within one working day of the time when emission limitations were exceeded longer than 24

- hours due to the emergency. This notice must contain a description of the emergency, any steps take n to mitigate emissions, and corrective actions taken. Those emergencies not reported within one working day, as well as those that were, will be included in the semi

- annual report.

5) In any enforcement proceeding, the permittee seeking to establish the occurrence of an emergency has the burden of proof.

a) Technology

- based emission limits are those established on the basis of emission reductions achievable with various control measures or process changes (e.g., a New Source Performance Standard) rather than those established to attain a health based air quality standard.

b) An “ emergency ” means any situation arising from sudden and reasonably unforeseeable events beyond the control of this source, including acts of God, which requires immediate correct ive action to restore normal operation, and that causes this source to exceed a technology

- based emission limitation under this permit, due to unavoidable increases in emissions attributable to the emergency. An emergency shall not include noncompliance t o the extent caused by improperly designed equipment, lack of preventative maintenance, careless or improper operation, or operator error.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.5.g

H

. Air Pollution from Internal Combustion Engines : The permittee shall comply with all applicable requirements of NDAC 33

- 15

- 08

- 01

– Internal Combustion Engine Emissions

Restricted.

Applicable Requirement: NDAC 33

- 15

- 08

- 01

I

. Prohibition of Air Pollution :

1) The permittee shall not permit or cause air pollution, as defined in NDAC 33

- 15

- 01

- 04.Page 20 of 3 3

PTO No. T5

- F84011

2) Nothing in any other part of this permit or any other regulation relating to air pollution shall in any manner be construed as authorizing or legalizing the creation or maintenance of air pollution.

Applicable Requirement: NDAC 33

- 15

- 01

- 15

J

. Performance Tests :

1) The Department may reasonably require the permittee to make or have made tests, at a reasonable time or interval, to determine the emission of air contaminants from any source, for the purpose of determining whether the permittee is in violation of any standard or to satisfy other requirements of NDCC 23

- 25. All tests shall be made and the results calculated in accordance with test procedures approved or specified by the Department including the North Dakota Department of Health Emission Testing Guideline. All tests shall be conducted by reputable, qualified personnel. The Department shall be given a copy of the test results in writing and signed by the person responsible for the tests.

2) The Department ma y conduct tests of emissions of air contaminants from any source. Upon request of the Department, the permittee shall provide necessary holes in stacks or ducts and such other safe and proper sampling and testing facilities, exclusive of

instruments and s ensing devices, as may be necessary for proper determination of the

emission of air contaminants.

Applicable Requirement: NDAC 33

- 15

- 01

- 12

3) Except for sources subject to 40 CFR 63, the permittee shall notify the Department by submitting a Proposed Te st Plan, or its equivalent, at least 30 calendar days in advance of any tests of emissions of air contaminants required by the Department. The permittee shall notify the Department at least 60 calendar days in advance of any performance testing required u nder 40 CFR 63. If the permittee is unable to conduct the performance test on the scheduled date, the permittee shall notify the Department as soon as practicable when conditions warrant, and shall coordinate a new test date with the Department.

Failure to give the proper notification may prevent the Department from observing the test. If the Department is unable to observe the test because of improper notification, the test results may be rejected.

Applicable Requirements: NDAC 33

- 15

- 14

- 06. 5.a(3)(a), NDAC 33

- 15

- 12

- 02 Subpart A (40 CFR 60.8), NDAC 33

- 15

- 13

- 01.2 Subpart A (40 CFR 61.13), NDAC 33

- 15

- 22

- 03 Subpart A (40 CFR 63.7 )

K

. Pesticide Use and Disposal : Any use of a pesticide or disposal of surplus pesticides and empty pesticide contai ners shall comply with the requirements in NDAC 33

- 15

- 10.

Applicable Requirements: NDAC 33

- 15

- 10

- 01 and NDAC 33

- 15

- 10

- 02Page 21 of 3 3

PTO No. T5

- F84011

L

. Air Pollution Emergency Episodes : When an air pollution emergency episode is declared by the Department, the permittee shall co mply with the requirements in NDAC 33

- 15

- 11.

Applicable Requirements: NDAC 33

- 15

- 11

- 01 through NDAC 33

- 15

- 11

- 04

M

. Stratospheric Ozone Protection : The permittee shall comply with any applicable standards for recycling and emissions reduction pursuant t o 40 CFR 82, Subpart F, except as provided for MVACs in Subpart B:

1) Persons opening appliances for maintenance, service, repair, or disposal must comply with the required practices pursuant to Section 82.156.

2) Equipment used during the maintenance, s ervice, repair, or disposal of appliances must comply with the standards for recycling and recovery equipment pursuant to Section

82.158.

3) Persons performing maintenance, service, repair, or disposal of appliances must be certified by an approved technician certification program pursuant to Section 82.161.

4) Persons owning commercial or industrial process refrigeration equipment must comply with the leak repair requirements pursuant to Section 82.156.

Applicable Requirement: 40 CFR 82

N

. Chemi cal Accident Prevention : The permittee shall comply with all applicable requirements of Chemical Accident Prevention pursuant to 40 CFR 68. The permittee shall comply with the requirements of this part no later than the latest of the following dates:

1) Three years after the date on which a regulated substance is first listed under this part; or

2) The date on which a regulated substance is first present above a threshold quantity in a

process.

Applicable Requirement: 40 CFR 68

O

. Air Pollution Contr ol Equipment : The permittee shall maintain and operate air pollution control equipment in a manner consistent with good air pollution control practice for minimizing emissions. The manufacturer’s recommended Operations and Maintenance (O&M) procedures,

o r a site

- specific O&M procedure developed from the manufacturer’s recommended O&M procedures, shall be followed to assure proper operation and maintenance of the equipment. The permittee shall have the O&M procedures available onsite and provide the Depar tment with a copy when requested.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.5.b(1)Page 22 of 3 3

PTO No. T5

- F84011

P

. Prevention of Significant Deterioration of Air Quality (40 CFR 52.21 as incorporated by NDAC Chapter 33

- 15

- 15) : If this facility is classified as a major stationary source under the Prevention of Significant Deterioration of Air Quality (PSD) rules, a Permit to Construct must be obtained from the Department for any project which meets the definition of a “major modification” under 40 CFR 52.21(b)(2).

If this facilit y is classified as a major stationary source under the PSD rules and the permittee elects to use the method specified in 40 CFR 52.21(b)(41)(ii)(a) through (c) for calculating the projected actual emissions of a proposed project, then the permittee shall c omply with all applicable requirements of 40 CFR 52.21(r)(6).

Applicable Requirement: NDAC 33

- 15

- 15

- 01.2

11

. General Conditions :

A. Annual Fee Payment : The permittee shall pay an annual fee, for administering and monitoring compliance, which is deter mined by the actual annual emissions of regulated contaminants from the previous calendar year. The Department will send a notice, identifying the amount of the annual permit fee, to the permittee of each affected installation. The fee is due within sixt y days following the date of such notice. Any source that qualifies as a “ small business ” may petition the Department to reduce or exempt any fee required under this section. Failure to pay the fee in a timely manner or submit a certification for exempti on may cause this Department to initiate action to revoke the permit.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.5.a(7) and NDAC 33

- 15

- 23

- 04

B. Permit Renewal and Expiration : This permit shall be effective from the date of its issuance for a fixed per iod of 5 years. The permittee ’ s right to operate this source terminates with the expiration of this permit unless a timely and complete renewal application is submitted at least six months, but no more than eighteen months, prior to the date of permit expiration. The Department shall approve or disapprove the renewal application within sixty days of receipt. Unless the Department requests additional information or otherwise notifies the applicant of incompleteness, the application shall be deemed complete. For timely and complete ren ewal applications for which the Department has failed to issue or deny the renewal permit before the expiration date of the previous permit, all terms and conditions of the permit, including any permit shield previously granted shall remain in effect until the renewal permit has been issued or denied. The application for renewal shall include the current permit number, description of any permit
revisions and off

- permit changes that occurred during the permit term, and any applicable requirements that were p romulgated and not incorporated into the permit during the permit term.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.4 and NDAC 33

- 15

- 14

- 06.6

C. Transfer of Ownership or Operation : This permit may not be transferred except by procedures allowed in Chapter 33

- 15

- 14 and is to be returned to the Department upon the destruction or change of ownership of the source unit(s), or upon expiration, suspension or revocation of this permit. A change in ownership or operational control of a source is treated as an administrativePage 23 of 3 3

PTO No. T5

- F84011

permit amendment if no other change in the permit is necessary and provided that a written agreement containing a specific date for transfer of permit responsibility, coverage, and liability between the current and new permittee has been submitted to the Department.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.6.d

D. Property Rights : This permit does not convey any property rights of any sort, or any exclusive privile ge.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.5.a(6)(d)

E. Submissions :

1) Reports, test data, monitoring data, notifications, and r equests for renewal shall be

submitted to:

North Dakota Department of Health Division of Air Quality
918 E Divide Av enue, 2 nd Floor Bismarck, ND 58501

- 1947

2) Any document submitted shall be certified as being true, accurate, and complete by a responsible official.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.4.d

F. Right of Entry : Any duly authorized officer, employee or agent of the North Dakota Department of Health may enter and inspect any property, premise or place listed on this permit or where records are kept concerning this permit at any reasonable time for the purpose of ascertaining the state of compl iance with this permit and the North Dakota Air Pollution Control Rules. The Department may conduct tests and take samples of air contaminants, fuel, processing material, and other materials which affect or may affect emissions of air contaminants from an y source

. The Department shall have the right to access and copy any records required by the Department ’ s rules and to inspect monitoring equipment located on the premises.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.5.c(2) and NDAC 33

- 15

- 01

- 06

G. Comp liance : The permittee must comply with all conditions of this permit. Any noncompliance with a federally

- enforceable permit condition constitutes a violation of the Federal Clean Air Act. Any noncompliance with any State enforceable condition of this pe rmit constitutes a violation of NDCC Chapter 23

- 25 and NDAC 33

- 15. Violation of any condition of this permit is grounds for enforcement action, for permit termination, revocation and reissuance or modification, or for denial of a permit renewal applicatio n. Noncompliance may also be grounds for assessment of penalties under the NDCC 23

- 25. It shall not be a defense for a permittee in an enforcement action that it would have been necessary to halt or reduce the permitted activity in order to maintain comp liance with the conditions of this permit.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.5.a(6)(a) and NDAC 33

- 15

- 14

- 06.5.a(6)(b)Page 24 of 3 3

PTO No. T5

- F84011

H. Duty to Provide Information : The permittee shall furnish to the Department, within a reasonable time, any information that the Department may request in writing to determine whether cause exists for modifying, revoking and reissuing, or terminating the permit, or to determine compliance with the permit. Upon request, the permittee shall also furnish to the Department copies of records that the permittee is required to keep by this permit, or for information claimed to be confidential, the permittee may furnish such recourse directly to the Department along with a claim of confidentiality. The permittee, upon becoming aware th at any relevant facts were omitted or incorrect information was submitted in the permit application, shall promptly submit such supplementary facts or corrected information. The permittee shall also provide additional information as necessary to address a ny requirements that become applicable to the source after the date a complete renewal application was submitted but prior to release of a draft permit.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.5.a(6)(e) and NDAC 33

- 15

- 14

- 06.4.b

I. Reopening for Cause : The Department will reopen and revise this permit as necessary to remedy deficiencies in the following circumstances:

1) Additional applicable requirements under the Federal Clean Air Act become applicable to the permittee with a remaining permit term of three or more years. Such a reopening shall be completed not later than eighteen months after promulgation of the applicable requirement. No such reopening is required if the effective date of the requirement is later than the expiration date of this permit.

2) The Department or the United States Environmental Protection Agency determines that this permit contains a material mistake or inaccurate statements were made in establishing the emissions standards or other terms or conditions of this p ermit.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.6.f(1)(c)

3) The Department or the United States Environmental Protection Agency determines that the permit must be revised or revoked to assure compliance with the applicable requirements.

4) Reopeni ngs shall not be initiated before a notice of intent to reopen is provided to the permittee by the Department at least 30 days in advance of the date that this permit is to be reopened, except that the Department may provide a shorter time period in the ca se of an emergency. Proceedings to reopen and issue this permit shall follow the same procedures as apply to initial permit issuance and shall affect only those parts of this permit for which cause to reopen exists. Such reopening shall be made as expedi tiously as practicable.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.6.f

J. Permit Changes : The permit may be modified, revoked, reopened, and reissued or terminated for cause. The filing of a request by the permittee for a permit modification, revocatio n and reissuance, or termination, or of a notification of planned changes or anticipated noncompliance does not stay any permit condition.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.5.a(6)(c)Page 25 of 3 3

PTO No. T5

- F84011

K. Off

- Permit Changes : A permit revision is not required for changes that are not addressed or prohibited by this permit, provided the following conditions are met:

1) No such change may violate any term or condition of this permit.

2) Each change must comply with all app licable requirements. 3) Changes under this provision may not include changes or activities subject to any requirement under Title IV or that are modifications under any provision of Title I of the
Federal Clean Air Act.

4) A Permit to Construct under NDA C 33

- 15

- 14

- 02 has been issued, if required.

5) Before the permit change is made, the permittee must provide written notice to both the Department and Air Program (8P

- AR), Office of Partnerships & Regulatory Assistance, US EPA Region 8, 1595 Wynkoop Stre et, Denver, CO 80202

- 1129, except for changes that qualify as insignificant activities in Section 33

- 15

- 14

- 06. This notice shall describe each change, the date of the change, any change in emissions, pollutants emitted, and any applicable requirement that would apply as a result.

6) The permittee shall record all changes that result in emissions of any regulated air pollutant subject to any applicable requirement not otherwise regulated under this permit, and the emissions resulting from those changes. T he record shall reside at the permittee ’ s facility.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.6.b(3)

L. Administrative Permit Amendments : This permit may be revised through an administrative permit amendment, if the revision to this permit accomplishes one of the following:

1) Corrects typographical errors.

2) Identifies a change in the name, address or phone number of any person identified in this permit, or provides a similar minor administrative change at the source.

3) Requires more frequent monitoring or reporting by the permittee.

4) Allows for a change in ownership or operational control of the source where the Department determines that no other change in the permit is necessary, provided that a written agreement containing a specific dat e for transfer of permit responsibility, coverage and liability between the current and new permittee has been submitted to the Department.

5) Incorporates into the Title V permit the requirements from a Permit to Construct when the

review was substantial ly equivalent to Title V requirements for permit issuance, renewal, reopenings, revisions and permit review by the United States Environmental Protection Agency and affected state review, that would be applicable to the change if it were subject

to review as a permit modification and compliance requirements substantially equivalent to Title V requirements for permit content were contained in the Permit to Construct.Page 26 of 3 3

PTO No. T5

- F84011

6) Incorporates any other type of change which the Administrator of the United States

Envir onmental Protection Agency has approved as being an administrative permit amendment as part of the Department ’ s approved Title V operating permit program.

Applicable Requirement: NDAC 33

- 15

- 14

- 06 .6.d

M. Minor Permit Modification : This permit may be rev ised by a minor permit modification, if the proposed permit modification meets the following requirements:

1) Does not violate any applicable requirement.

2) Does not involve significant changes to existing monitoring, reporting, or recordkeeping require ments in this permit.

3) Does not require or change a case

- by

- case determination of an emission limitation or other standard, or a source

- specific determination for temporary sources of ambient impacts, or a visibility or increment analysis.

4) Does not seek to establish or change a permit term or condition for which there is no corresponding underlying applicable requirement and that the source has assumed to avoid an applicable requirement to which the source would otherwise be subject. Such terms

and conditions include a federally enforceable emissions cap assumed to avoid classification as a modification under any provision of Title I of the Federal Clean Air Act; and alternative emissions limit approved pursuant to regulations promulgated under

Secti on 112(i)(5) of the Federal Clean Air Act.

5) Are not modifications under NDAC 33

- 15

- 12, 33

- 15

- 13, and 33

- 15

- 15 or any provision of

Title I of the Federal Clean Air Act.

6) Are not required to be processed as a significant modification.

Applicable Requi rement: NDAC 33

- 15

- 14

- 06.6.e(1)

N. Significant Modifications :

1) Significant modification procedures shall be used for applications requesting permit modifications that do not qualify as minor permit modifications or as administrative
amendments. Ever y significant change in existing monitoring permit terms or conditions and every relaxation of reporting or recordkeeping permit terms or conditions shall be considered significant. Nothing therein shall be construed to preclude the permittee from making changes consistent with this subsection that would render existing permit compliance terms and conditions irrelevant.

2) Significant permit modifications shall meet all Title V requirements, including those for applications, public participation, review b y affected states, and review by the United States Environmental Protection Agency, as they apply to permit issuance and permit

re new al. The Department shall complete review of significant permit modifications within nine months after receipt of a complet e application.Page 27 of 3 3

PTO No. T5

- F84011

Applicable Requirement: NDAC 33

- 15

- 14

- 06.6.e(3)

O. Operational Flexibility : The permittee is allowed to make a limited class of changes within the permitted facility that contravene the specific terms of this permit without applying for a permit revision, provided the changes do not exceed the emissions allowable under this per mit, are not Title I modifications and a Permit to Construct is not required. This class of changes does not include changes that would violate applicable requirements; or changes to federally

- enforceable permit terms or conditions that are monitoring, re cordkeeping, reporting, or compliance certification requirements.

The permittee is required to send a notice to both the Department and Air Program (8P

- AR), Office of Partnerships & Regulatory Assistance, US EPA Region 8, 1595 Wynkoop Street, Denver, CO 80202

- 1129, at least seven days in advance of any change made under this provision. The notice must describe the change, when it will occur and any change in emissions, and identify any permit terms or conditions made inapplicable as a result of the change. The permittee shall attach each notice to its copy of this permit. Any permit shield provided in this permit does not apply to changes made under this provision.

Applicable Requirement: NDAC 33

- 15

- 14

- 06.6. b(2)

P. Relationship to Other Requirements : Nothing in this permit shall alter or affect the following:

1) The provisions of Section 303 of the Federal Clean Air Act (emergency orders), including the authority of the administrator of the United States E nvironmental Protection Agency

under that section.

2) The liability of an owner or operator of a source for any violation of applicable requirements prior to or at the time of permit issuance.

3) The ability of the United States Environmental Protection Agency to obtain information from a source pursuant to Section 114 of the Federal Clean Air Act.

4) Nothing in this permit shall relieve the permittee of the requirement to obtain a Permit to

Construct.

Applicable Requirements: NDAC 33

- 15

- 14

- 06.3 and NDAC 33

- 15

- 14

- 06.5.f(3)(a), (b) and (d)

Q. Severability Clause : The provisions of this permit are severable, and if any provision of this permit, or the application of any provision of this permit to any circumstance, is held invalid, the application of such provision to other circumstances, and the remainder of this permit, shall not be affected thereby.

Applicable Requirement: NDAC 33

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R. Circumvention : The permittee shall not cause or permit the installation or use of any device of any means which conceals or dilutes an emission of air contaminants which would otherwise violate this permit.

Applicable Requirement: NDAC 33

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12. State Enforceable Only Conditions (not Federally enforceable) :

A. General Odor Restriction : The permittee shall not discharge into the ambient air any objectionable odorous air contaminant which exceeds the limits established in NDAC 33

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Applicable Requirement: NDAC 33

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B

. Used Oil Combustion : Burning of used oil in EU 1 is allowed subject to the following:

1) The burning of used oil shall comply with NDAC Sections 33

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- 600 through

33

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- 689

- Standards for the Management of Used Oil

- and other applicable rules, regulations, and ordinances.

2) Only oil which contains less t han 50 ppm PCB may be burned. Burning of oil which contains PCB is only allowed for used oil generated by Otter Tail Power Company, its associated electric system, or its associated mining facilities.

3) D ebris contaminated with mineral oil dielectric fl uid which contains less than 50 ppm PCB may be burned during periods of stable load.

4 ) The annual emission inventory reports required by Condition 9.F shall include the amount

of used oil burned.

Applicable Requirements: NDAC 33

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- 06.5.b(1)

13. Pha se II Acid Rain Provisions :

Affected Source Unit : Coyote Station
Oris Plant Code: 8222

Boiler ID: B1

This section incorporates the definition of terms in NDAC Chapter 33

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.

A. Permit Requirements

1) The designated representative of each affected source and each affected unit at the source

shall:Page 29 of 3 3

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a) Submit a complete Acid Rain permit application (including a compliance plan) under 40 CFR 72 in accordance with the deadlines specified in NDAC

33

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- 06.4 and 40 CFR 72.30, including application for permit renewal; and

b) Submit in a timely manner any supplemental information that the North Dakota Department of Health, Division of Air Quality determines is necessary in order to review an Acid Rain permit ap plication and issue or deny an Acid Rain permit.

2) The owners and operators of each affected source and each affected unit at the source shall:

a) Operate the unit in compliance with a complete Acid Rain permit application including any application for permit renewal or a superseding Acid Rain permit issued by the North Dakota Department of Health, Division of Air Quality and

b) Have an Acid Rain permit.

Applicable Requirement: NDAC 33

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- 08.1

B. Monitoring Requirements

1) The owners and operator s and, to the extent applicable, designated representative of each affected source and each affected unit at the source shall comply with the monitoring requirements as provided in 40 CFR 75 and 76.

2) The emissions measurements recorded and reported in a ccordance with 40 CFR 75 shall be used to determine compliance by the unit with the Acid Rain emissions limitations and emissions reduction requirements for sulfur dioxide and nitrogen oxides under the Acid Rain Program.

3) The requirements of 40 CFR 75 s hall not affect the responsibility of the owners and operators to monitor emissions of other pollutants or other emissions characteristics at the unit under other applicable requirements of the Federal Clean Air Act and other provisions of the operating pe rmit for the source.

Applicable Requirement: NDAC 33

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C. Sulfur Dioxide Requirements

1) The owners and operators of each source and each affected unit at the source shall:

a) Hold allowances, as of the allowance transfer deadline, in the units compliance subaccount (after deductions under 40 CFR 73.34(c)) not less than the total annual emissions of sulfur dioxide for the previous calendar year from the unit; and

b) Comply with the applicable Acid Rain emissions limitation s for sulfur dioxide.

2) Each ton of sulfur dioxide emitted in excess of the Acid Rain emissions limitations for sulfur dioxide shall constitute a separate violation of the Federal Clean Air Act.Page 30 of 3 3

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3) Allowances shall be held in, deducted from, or transfer red among Allowance Tracking System accounts in accordance with the Acid Rain Program.

4) An allowance shall not be deducted in order to comply with the requirements under Condition 13.c.(1)(a) of this permit prior to the calendar year for which the allow ance was allocated.

5) An allowance allocated by the Administrator under the Acid Rain Program is a limited authorization to emit sulfur dioxide in accordance with the Acid Rain Program. No provision of the Acid Rain Program, the Acid Rain permit applica tion, this permit, or the written exemption under 40 CFR 72.7 and 72.8 and no provision of law shall be construed to limit the authority of the United States to terminate or limit such authorization.

6) An allowance allocated by the Administrator under th e Acid Rain Program does not constitute a property right.

Applicable Requirement: NDAC 33

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D. Nitrogen Oxides Requirements

NO

x Emission Limitation : The owner or operator shall not discharge, or allow to be discharged,

from Boiler ID B1 emissions of NO

x to the atmosphere in excess of 0.86 lb/10 6 Btu of heat input on an annual average basis. The owner/operator shall also comply with the duty under 40 CFR 76.9(d) to reapply for an NO

x compliance plan prior to expiration of this permit and requirements under 40 CFR 76.13 for calculating excess NO

x emissions.

Applicable Requirements: 40 CFR 76.6(a)(2), 40 CFR 76.9(d), 40 CFR 76.13, NDAC

33

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E. Ex cess Emissions Requirements

1) The designated representative of an affected unit that has excess emissions of SO 2 in any calendar year shall submit a proposed offset plan, to the Administrator as required under 40 CFR 77, with a copy to the North Dakota D epartment of Health, Division of Air Quality.

2) The owners and operators of an affected unit that has excess emissions of NO

x or SO 2 in any calendar year shall:

a) Pay to the Administrator without demand the penalty required, and pay to the

Administrato r upon demand the interest on that penalty, as required by 40 CFR 77;

and

b) Comply with the terms of an approved offset plan for SO 2 , as required by 40 CFR

77.

Applicable Requirement: NDAC 33

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F. Recordkeeping and Reporting Requirements

1) Unless otherwise provided, the owners and operators of the source and each affected unit at the source shall keep on

- site at the source each of the following documents for a period of 5 years from the date the document is created. This pe riod may be extended for cause, at any time prior to the end of 5 years, in writing by the Administrator of the U.S. EPA or the North Dakota Department of Health, Division of Environmental Engineering, Air Pollution Control Program:

a) The certificate of representation for the designated representative for the source and

each affected unit at the source and all documents that demonstrate the truth of the statements in the certificate of representation, in accordance with 40 CFR 72.24; provided that the cer tificate and documents shall be retained on

- site at the source beyond such 5

- year period until such documents are superseded because of the submission of a new certificate of representation changing the designated representative;

b) All emissions monitori ng information, in accordance with 40 CFR 75;

c) Copies of all reports, compliance certifications, and other submissions and all records made or required under the Acid Rain Program; and,

d) Copies of all documents used to complete an Acid Rain permit ap plication and any other submission under the Acid Rain Program or to demonstrate compliance with the requirements of the Acid Rain Program.

2) The designated representative of an affected source and each affected unit at the source

shall submit the report s and compliance certifications required under the Acid Rain Program, including those under 40 CFR 72, Subpart I, NDAC 33

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75.

Applicable Requirement: NDAC 33

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G. Liability

1) Any person who knowingly violates any requirement or prohibition of the Acid Rain Program, a complete Acid Rain permit application, this Acid Rain Permit, or a written exemption under 40 CFR 72.7 or 72.8, including any requirement for the payment of any penalty owed to the United States, shall be subject to enforcement pursuant to Section 113(c) of the Federal Clean Air Act.

2) Any person who knowingly makes a false, material statement in any record, submission, or report under the Acid Rain Program shall be subject to criminal en forcement pursuant to Section 113(c) of the Federal Clean Air Act and 18 U.S.C. 1001.

3) No permit revision shall excuse any violation of the requirements of the Acid Rain Program that occurs prior to the date that the revision takes effect.Page 32 of 3 3

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4) Each affe cted source and each affected unit shall meet the requirements of the Acid Rain Program.

5) Any provision of the Acid Rain Program that applies to an affected source (including a provision applicable to the designated represented of an affected source) sh all also apply to the owners and operators of such source and of the affected units at the source.

6) Any provision of the Acid Rain Program that applies to an affected unit (including a provision applicable to the designated representative of an affected unit) shall also apply to the owners and operators of such unit. Except as provided under 40 CFR 72.44 (Phase II repowering extension plan) and 40 CFR 76.11 (NO

x averaging plans), and except with regard to the requirements applicable to units with a comm on stack under 40 CFR 75 (including 40 CFR 75.16, 75.17 and 75.18), the owners and operators and the designated representative of one affected unit shall not be liable for any violation by any other affected unit of which they are not owners or operators o r the designated representative and that is located at a source of which they are not owners or operators or the designated representative.

7) Each violation of a provision of NDAC 33

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- 10 and 40 CFR 72, 73, 75, 76, 77 and 78 by a n affected source or affected unit, or by an owner or operator or designated representative of such source or unit, shall be a separate violation of the Federal
Clean Air Act.

Applicable Requirement: NDAC 33

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- 08.1 and 33

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H. Effect on Other Authorities

No provision of the Acid Rain Program, an Acid Rain permit application, this Acid Rain permit condition, or a written exemption under 40 CFR 72.7 or 72.8 shall be construed as:

1) Except as expressly provided in Title IV of the Federal Clean Air Act, exempting or excluding the owners and operators and, to the extent applicable, the designated representative of an affected source or affected unit from compliance with any other provision of the Federal Clean Air Act, including the provisio ns of Title I of the Federal Clean Air Act relating to applicable National Ambient Air Quality Standards or State Implementation Plans;

2) Limiting the number of allowances a unit can hold; provided, that the number of allowances held by the unit shall no t affect the source's obligation to comply with any other provisions of the Federal Clean Air Act,

3) Requiring a change of any kind in any State law regulating electric utility rates and charges, affecting any State law regarding such State regulation, o r limiting such State regulation, including any prudence review requirements under such State law;

4) Modifying the Federal Power Act or affecting the authority of the Federal Energy Regulatory Commission under the Federal Power Act; or,Page 33 of 3 3

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5) Interfering w ith or impairing any program for competitive bidding for power supply in a State in which such program is established.

Applicable Requirement: NDAC 33

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- 08.1 and 33

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I. Permit Shield

Each affected unit operating in accordance with this perm it which is issued in compliance with Title IV of the Federal Clean Air Act, as provided in 40 CFR 72, 73, 75, 77 and 78, and the regulations implementing Section 407 of the Federal Clean Air Act, shall be deemed operating in compliance with the Acid Rain Program, except as provided in 40 CFR 72.9(g)(6). The permit shield does not take effect until the effective date of the acid rain permit.

Applicable Requirements: NDAC 33

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J. Reopening for Cause

In addition to any reasons for reopening for cause previously stated in this permit, the Department will reopen and revise this permit as necessary to remed e deficiencies in the following

circumstances: I f additional requirements

, including excess em issio ns requirements, become applicable to an affected source under Title IV of the Federal Clean Air Act or the regulations promulgated there under. Upon approval by the administrator of the United States Environmental

Protection Agency, excess emissions offset plans shall be deemed to be incorporate d into the permit.

Applicable Requirements : NDAC 33

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- 06.6.f (1)(b) and 40 CFR 70.7(f)(1)(ii)Attachment A Title V Permit to Operate No. T5

- F84011 Compliance Assurance Monitoring (CAM) Plan
for Particulate Matter Control

EU EU Description Air Pollution Control Equipment

1 Unit 1 Fabric Filter (Baghouse) ( EP 1 )

M2 Transfer House Baghouse ( EP M2)

M3 Northside Distribution

Building Baghouse ( EP M3)

M4 Southside Distribution

Building Baghouse ( EP M4)

M5 Lime Storage Silo Baghouse ( EP M5)

M6 Recycle Fly Ash Silo Baghouse ( EP M6)

M7 Fly Ash Silo Baghouse ( EP M7)

M9 Lime Unloading Bin Vent

Filter Baghouse ( EP M9)Attachment B Title V Permit to Operate No. T5

- F84011
Permit to Construct No. PTC10008