150SOUTHNINTH STREET EL CENTRO, CA92243-2850

July 10,2012

Gerardo Rios Chief, Air Permits Office EPA Region IX 75 Hawthorne Street San Francisco, CA 94105
Dear Mr. Rios: TELEPHONE: (760) 482-4606 FAX: (760) 353-9904

Your office has requested that the District provide certain clarifications regarding District Rule 904, Prevention of Significant Deterioration (PSD) Permit Program, and explain how the District will implement its rules to ensure that its PSD program satisfies the requirements of 40 CFR 51.166 and that the District provide further confirmation and explanation concerning the District's authority, personnel, and funding to implementthe PSD. The District is providing the attached details about its intentions with respect to implementation of the PSD program in Imperial County upon EPA's approval of District Rule 904 intothe SIP. Should you have any questions please do not hesitate to call the office at (760) 482- 4606.

Brad Poiriez Air Pollution Control Officer

ANEQUALOPPORTUNITYIAFFIRMATIVEACTION EMPLOYERImperial County APCD -Rule 904 -Prevention ofSignificant Deterioration (PSD) Permit Program 1. Requested Clarifications Concerning CertainRequirements of40 CFR51.166

a. PermitProcessing Procedures and Public Participation District Rule 201, Section A specifies that any person const:J.ucting, erecting, installing, modifYing, or replacing any article, machine, equipment or cont:J.·ivance, the use ofwhich may emit or control air contaminants, shall frrst obtain written authorization for such construction from the Air Pollution Control Officer; therefore, any source required to comply with Rule 904 is also required to obtain an Authority to Construct permit from this office and comply with District's rules and regulations. The guidelines for processing an Authority to Construct application are specified inRule 206. BothDistrict rules are SIP approved. Beloware clarifications ofspecificprovisions inthe District Rules that assure thatpublic participation and the permit processing requirements for PSD programs contained in 40 CFR 51.166(q)

- Public Participation and other procedural commitments are adequately addressed. 

### A 40 CFR 51.166(q)(l)- The reviewing authority shall notifYall applicants within a specifiedtimeperiodas to the completeness of the application orany deficiency in the application or information submitted. In the event of such a deficiency, the date ofreceipt ofthe application shall be the date on which the reviewing authority receivedall requiredinformation. These requirements are met by District Rule 206, Section A.2 which is a SIPapprovedrulethat specifies thatthe APCO shall determine whether an application is complete not later than 30 days after receipt ofthe application and requires the APCO to notifY the applicant in writing when the application is determined complete. 

### B 40 CFR 51.166(q)(2)- Within one year after receipt ofa complete application, the reviewing authority shall meet the requirements of40 CFR 51.166(q)(2)(i) through (viii). This requirement is met by District Rule 206, Sections C.4, which is a SIPapproved rule that applies to permit applications in the District and requires the APCO to take final action with 180 days ofa complete application, or within 180 days (or one year if the District is the lead agency) after the designated lead agency has approved the Project underthe CaliforniaEnvironmental Quality Act. b. Additional Reguirements 40 CFR 51.166(p )(1) requires the reviewing authority to provide to EPA a copy ofeach
Page IIpermit application relating to a major stationary source or major modification and notice ofevery actionrelatedto the considerationofa PSDpermit. 

### 40 CFR 51.166(p)(l)

- Notice to EPA. The plan shall provide that the reviewing authorityshalltransmitto theAdministratora copy of eachpermitapplication relating to a majorstationary source or major modification andprovide notice to theAdministrator of everyaction relatedto the consideration of suchpermit. This requirement is met to a certain extent by Section F ofRule 904, which requires the District to provide EPA notice of the preliminary determination and to make the application and final determination materials available for public review, which presumablyincludes EPA. This letteris confirmationthatthe District commits to provideEPA a copy ofeachpermit applicationrelating to a PSD major stationary source or PSD major modification, and to provide EPA notice of every action related to the consideration of such permit, as required by 51.166(p)(1). Additionally, the District commits to incorporate the provisions in40 CFR51.166(p)(1) the nexttime Rule 904 is openfor revisions.
2. Program Transfer

Page 12 Pursuantto Section 110(a)(2)(E)(i) ofthe Clean Air Act, belowis a written statement and citations to demonstrate that the District has adequate personnel, funding, and authority under State and/or local lawto implementthe PSD programwithintheDistrict. The Districthas the primaryresponsibility for regulating air pollution from all stationary sources within Imperial County (see California Health & Safety Code (H&SC) sections 39002 and 40000). The California Air Resources Board oversees the District activities and regulates mobile sources ofairpollution. Under State law, the District is required to adoptrulesto achieve ambient air quality standards andto enforce theprovisions oflocal, State and federal air quality laws (see H&SC section4000l(a)). The District'spermittingprogram (which is authorizedbyH&SC section 42300 andmust meet the requirements of section 42301), as approved by EPA, currently implements requirements from both the California and federal Clean Air Acts. District Rule 201, Permits Required, was approved by EPA on May 9, 2011. Rule 201 specifies that any person constructing, erecting, installing, modifYing, or replacing any article, machine, equipment or contrivance, the use ofwhich may emit or control air contaminants, shall first obtain a preconstruction permit from the District. Rule 207, New Source Review, requires new stationary sources and modifications to be constructed utilizing the Best Available Control Technology (BACT) and to provide emissions offsets. Rule 207 was approvedbyEPA onNovember 10, 1980,45 Fed Reg. 74480. The District is not delegated by EPA to implement the PSD program. However, on December 20, 2011, the District adopted Rule 904, PSD Permit Program which, ifPage 13 

### approved by EPA, will allow the District to administer the PSD permit program for sources located in Imperial County. The PSD permit program was developed by the United States Congress to prevent significant environmental impacts on attainment or unclassified areas from major industrial sources ofair pollution. Upon approval ofthe PSD program, the District is authorized by state law to enforce its rules, regulations and orders, including conditions that will be contained on District-issued PSD permits (see H&SC §§

### 40752(b); 41513; 42402-42403). The District's personnel is comprised of approximately 25 allocated positions which includes experienced and capable engineers, and field inspectors. The District staffhas experience processing applications for Major facilities and Title V sources, as well as enforcing all conditions in these permits. The District currently has approximately 800 facilities under permit, this includes thirteen Title V sources and a wide range ofminor source types such as: manufacturing, service stations, hay compressing, dry cleaning, milling, sandblasting, aggregate, combustion, and waste disposal, to name a few. There are currently no stationary sources in Imperial County holding a PSD permit. However, there is a potential for new sources to be subject to PSD permitting requirements in the future due to Greenhouse Gas emissions. The District has adequate personnel to accommodate a potential incremental increase in workload. According to Regulation III rules, the District will charge the applicants ofall PSD permits anhourly fee which could be used to hire additional engineering staffto help process these applications, inthe event thatwe underestimatedthe associated workload. Accordingly, the District has adequate legal authority, personnel and funding to implement and enforce the PSDprogram.