February 11, 2010 Placer County APCD 502 - 1 Rules and Regulations 

### RULE 502 NEW SOURCE REVIEW
Adopted 11-12-74 (Amended 05-24-77, 06-19-79, 09-21-93, 11-03-94, 08-09-01, 12-09-04, rescinded and re-adopted 2-11-10)

CONTENTS

100 GENERAL

101 PURPOSE

102 APPLICABILITY

103 PUBLIC NOTIFICA TION REQUIREMENTS

200 DEFINITIONS

201 ACTUAL EMISSIONS 202 ACTUAL EMISSIONS REDUCTIONS (AER)

203 ACTUAL INTERRUPTION S OF ELECTRICAL POWER

204 ALLOWABLE EMISSIONS
205 AMBIENT AIR QUALITY STANDARDS 206 BASELINE ACTUAL EMISSIONS (BAE) 207 BEST AVAILABLE CONTROL TECHNOLOGY (BACT)

208 CALIFORNIA ENVIRONMEN TAL QUALITY ACT (CEQA)

209 CARGO CARRIERS

210 CONSTRUCTION

211 CONTIGUOUS PROPERTY

212 COST-EFFECTIVE

213 EMERGENCY ENGINES

214 EMERGENCY USE

215 EMISSION DECREASE 216 EMISSION REDUCTION CREDITS (ERCs)

217 EMISSIONS LIMITATION

218 EMISSIONS UNIT

219 FUGITIVE EMISSIONS
220 FUNCTIONALLY EQUI VALENT EMSSION UNIT

221 HALOGENATED HYDROCARBONS 222 HAZARDOUS AIR POLLUTANT (HAP) 223 HISTORIC ACTUAL EMISSIONS (HAE)

224 IDENTICAL EMISSION UNIT

225 LAKE TAHOE AIR BASIN

226 MAJOR STATIONARY SOU RCE – SACRAMENTO AIR BASIN

227 MAJOR STATIONARY SOURCE – MOUNTAIN COUNTIES AIR BASIN

228 MAJOR MO DIFICATION

229 MODIFICATION

230 MOUNTAIN COUNTIES AIR BASIN

231 NONATTAINMENT POLLUTANT

232 NSR REGULATED POLLUTANT

233 PM2.5

234 PM10
235 PORTABLE EQUIPMENT 236 POTENTIAL TO EMIT (PTE)

237 PRECURSOR

238 PREVENTION OF SIGNIFIC ANT DETERIORATION (PSD)

239 PRIORITY RESERVE BANK

240 PROPOSED EMISSIONS
241 QUARTERLY
242 QUARTERLY EMISSION LIMITATIONFebruary 11, 2010 Placer County APCD 502 - 2 Rules and Regulations 243 REACTIVE ORGANIC COMPOUND

244 RECONSTRUCTED SOURCE

245 REDUCED SULFUR COMPOUNDS
246 REPLACEMENT EQUIPMENT

247 SACRAMENTO VALLEY AIR BASIN

248 SIGNIFICANT

249 SIGNIFICANT EMISSIONS INCREASE 250 STATIONARY SOURCE (SOURCE OR FACILITY)

251 STATIONARY SOURCE PTE

252 SURPLUS

253 TEMPORARY SOURCE

254 TOTAL REDUCED SULFUR COMPOUNDS

300 STANDARDS

301 EMISSION AND OFFSET CALCULATIONS
302 REQUIREMENT TO APPLY BEST AVAILABLE CONTROL TECHNOLOGY
303 OFFSET REQUIREMENTS
304 MAJOR SOURCE ADMINISTRATIVE REQUIREMENTS

305 GENERAL PROVISIONS

400 APPLICATION PROCESSING

401 REQUIREMENT TO SUBMIT APPLICATION
402 COMPLETE APPLICATION REQUIREMENT

403 PRELIMINARY DECISION

404 TIMING FOR FINAL ACTION

405 AUTHORITY TO CONSTRUCT AND PERMIT TO OPERATE CONTENT

406 PUBLICATION AND PUBLIC COMMENT

407 PUBLIC INSPECTION 408 DENIAL, FAILURE TO MEET STANDARDS 409 DENIAL, FAILURE TO MEET CEQA 410 ISSUANCE, PERMIT TO OPERATE

500 ADDITIONAL PROVISIONS FOR POWER PLANTS

600 MONITORING AND RECORDS

601 RECORDKEEPINGFebruary 11, 2010 Placer County APCD 502 - 3 Rules and Regulations 100 GENERAL

101 PURPOSE: The purpose of this rule is to provide for the review of new and modified stationary air pollution sources and to provide mechanisms, including emission offsets, by

which authorities to construct for such sour ces may be granted without interfering with the attainment or maintenance of ambient air quality standards.

102 APPLICABILITY: This rule shall apply to all new stationary sources and emissions units and all modifications to existing stationary sources and emissions units that, after construction, emit or may emit any NSR regulated pollutant within the District.

This rule shall not apply to prescribed burnin g of forest, agriculture or range land; open burning in accordance with District Regulati on 3, OPEN BURNING; road construction, or any non-point source common to timber harvesting or agricultural practices.

The regulations in effect at the time any app lication for an Authority to Construct for a new or modified source is deemed complete shall apply to that source except when a new federal requirement not yet incorporated into this Rule applies to the new or modified

source.

103 PUBLIC NOTIFICATION REQUIREMENTS: If the project is for a new or modified stationary source or emissions unit for wh ich offsets are require d pursuant to Section 303.1, the public notice requirements shall apply.

200 DEFINITIONS: The following definitions apply for all terms used in this Rule. If a term is not defined below, then the definitions provided in Rule 102, DEFINITIONS, and Rule 504, EMISSIONS REDUCTION CREDITS, apply in that hierarchical order.

201 ACTUAL EMISSIONS: Emissions having occurred from a source, based on source test and actual fuel consumption or process data, or monitoring data. If source test or monitoring data is not available, other appropriate, APCO-approved, emission factors may be used. Fugitive emissions associated with the emissions unit shall be included in

the actual emissions of the emissions unit.

202 ACTUAL EMISSIONS REDUCTIONS (AER): The decrease of actual emissions, compared to Baseline Actual Emissions, fr om an emissions unit. AER shall be real, enforceable, quantifiable, surplus, and permanent.

203 ACTUAL INTERRUPTIONS OF ELECTRICAL POWER: When electrical service is interrupted by an unforeseeable event.

204 ALLOWABLE EMISSIONS: The emissions rate of a stationary source calculated using the maximum rated capacity of the source ( unless the source is subject to federally enforceable limits which restrict the operati ng rate, hours of operation, or both) and the most stringent of the following:

204.1 Any applicable standards set forth in these regulations and 40 CFR Part 60, 61,
or 63;

204.2 Any applicable emission limitation in the State Implementation Plan (SIP), including those with a future compliance date; or

204.3 The emissions rate specified as a federally enforceable permit condition, including those with a future compliance date.February 11, 2010 Placer County APCD 502 - 4 Rules and Regulations 205 AMBIENT AIR QUALITY STANDARDS: There are both State and federal ambient air quality standards. For the purpose of submitta l to the U.S. Environmental Protection Agency for inclusion in the California State Impl ementation Plan all references in this rule to Ambient Air Quality Standards shall be interpreted as National Ambient Air Quality

Standards.

206 BASELINE ACTUAL EMISSIONS (BAE):

206.1 "Baseline Actual Emissions" are the ac tual emissions for the existing emissions unit averaged over the cons ecutive two (2) year perio d immediately preceding the date of the application. If the last two years are unrepresentative of normal source operations as determined by t he APCO, then any other 2 consecutive year period during the last five year s which the APCO determines represents normal source operations may be used.

206.2 If, at any time during the 2 year peri od, actual emission s exceeded allowable emission levels, then actual emissions sha ll be reduced to reflect emission levels that would have occurred if the unit were in compliance with all applicable

limitations and rules.

206.3 Where an emissions unit has been in operation for less than 2 years, a shorter averaging period of at least 12 months ma y be used, provided that the averaging period is representative of the full operat ional history of the emissions unit. If less than 12 months has passed since the date of issuance of the Permit to Operate then Actual Emissions shall be us ed as the Baseline Actual Emissions.

207 BEST AVAILABLE CONTROL TECHNOLOGY (BACT): The most stringent emission limitation or control technique of the following:

207.1 Achieved in practice for such category and class of source; or

207.2 Contained in any SIP ap proved by the EPA for such category and class of source. A specific limitation or control technique shall not apply if the owner of the proposed emissions unit demonstrates to the satisfaction of the APCO that such a limitation or control techniqu e is not presently achievable; or

207.3 Contained in an applicable federal Ne w Source Performance Standard; or

207.4 Any other emission limitation or control technique, including process and equipment changes of basic or control equipment, found by the APCO to be cost effective and technologically feasible for such class or cate gory of sources.

208 CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA): The California Environmental Quality Act, Public Reso urces Code, Section 21000, et seq.

209 CARGO CARRIERS: Cargo carriers are trains dedicated to a specific source.

210 CONSTRUCTION: Means any physical change or change in the method of operation (including fabrication, erection, installation, demolition, or modification of an emissions unit) which would result in a change in actual emissions.

211 CONTIGUOUS PROPERTY: Two or more parcels of land with a common point or boundary or separated solely by a public r oadway or other public right-of-way.

212 COST-EFFECTIVE: A cost per unit of emissions reduction which is lower than or equivalent to the maximum unit costs of the same emissions reduction through the use ofFebruary 11, 2010 Placer County APCD 502 - 5 Rules and Regulations Best Available Control Technology, calculated in current year dollars, in accordance with methodology and criteria specified in guidelines developed by the District.

213 EMERGENCY ENGINES: A stationary engine that meets the criteria specified below:

213.1 It is installed for the primary purpose of providing electrical power or mechanical work for emergency use and is not the so urce of primary power at the facility;

and

213.2 It is operated to provide electrical power or mechanical work during any emergency use; and

213.3 It is operated no more than 100 hours per year for maintenance and testing, emissions testing or initial start-up testing. Diesel engines may be further limited by the California Air Res ources Board’s Airborne Toxic Control Measure for Stationary Compression Engines in Section 93115.6(a)).

214 EMERGENCY USE: The providing of electrical power or mechanical work during any of the following events.

214.1 The failure or loss of all or part of normal electrical power service or normal natural gas supply to the facility, or t he failure of a facility’s internal power distribution system:

214.1.1 Which is caused by any reason other than the adherence to a contractual obligation the owner or operator has with a third party or any other party; and

214.1.2 Which is demonstrated by the owner or operator, to the APCO’s satisfaction, to have been beyond t he reasonable control of the owner
or operator.

214.2 The pumping of water or sewage to prevent or mitigate a flood or sewage

overflow.

214.3 The pumping of water for fire suppression or protection.

214.4 The powering of ALSF-1 or ALSF-2 airport runway lights under category II or III

weather conditions.

214.5 The pumping of water to maintain pressure in the water distribution system for the following reasons:

214.5.1 A pipe break that substantia lly reduces water pressure; or

214.5.2 High demand on the water supply system due to high use of water for fire suppression; or

214.5.3 The breakdown of electric-p owered pumping equipment at sewage

treatment facilities or wa ter delivery facilities.

214.6 The emergency operation of ski lifts during an actual interruption of normal electrical power service to the facility.

215 EMISSION DECREASE: Any modification that would result in an emission decrease of

actual emissionsFebruary 11, 2010 Placer County APCD 502 - 6 Rules and Regulations 216 EMISSION REDUCTION CREDITS (ERC): Reductions of actual emissions from

emission units that are certified by an air district in accordance with that district’s rules and are issued by the air district in the form of ERC certificates.

217 EMISSIONS LIMITATION: One or more practically enforceable permit conditions specific to an emissions unit that restri cts its maximum emissions, at or below the

emissions associated with the maximum desi gn capacity; and that is contained in the latest Authority to Construct or enforceable by the latest Permit to Operate for the

emission unit.

Emissions limitations should be stated in a manner consistent with testing procedures. They may be expressed as an enforceable desi gn, operational, or equipment standard.

218 EMISSIONS UNIT: An identifiable operation or piec e of process equipment such as an article, machine, or other contrivance which controls, emits, may emit, or results in the emissions of any air pollutant direct ly or as fugitive emissions.

219 FUGITIVE EMISSIONS: Those emissions that could not reasonably pass through a stack, chimney, vent, or other functionally equivalent opening.

220 FUNCTIONALLY EQUIVALENT EMISSION UNIT: An emission unit that serves the identical function as the unit being replaced . The maximum rating and the potential to emit any pollutant shall not be greater from the functionally equivalent emission unit than the replaced unit. The emission increase from any such replacement shall not result in a major modification.

221 HALOGENATED HYDROCARBONS: For the purposes of this rule, halogenated hydrocarbons are the following:

221.1 1,1,1-trichloroethane 221.2 methylene chloride 221.3 2,2-dichloro-1,1,1-trifluoroethane (HCFC-123) 221.4 2-chloro-1,1,1,2-tetrafluoroethane (HCFC-124) 221.5 trichlorofluoromethane (CFC-11) 221.6 dichlorodifluoromethane (CFC-12) 221.7 1,1,1-trichloro-2,2,2- trifluoroethane (CFC-113) 221.8 1-chloro-1,1-difluoro-2-chloro-2,2-difluoroethane (CFC-114) 221.9 chloropentafluoroethane (CFC-115) 221.10 pentafluoroethane (HFC-125) 221.11 1,1,2,2-tetrafl uoroethane (HFC-134) 221.12 tetrafluoroethane (HFC-134a) 221.13 1,1-dichloro-1-fluoroethane (HCFC-141b) 221.14 1-chloro-1,1-difluoroethane (HCFC-142b) 221.15 1,1,1-trifluoroethane (HFC-143a) 221.16 chlorodifluoromethane (HCFC-22) 221.17 trifluoromethane (HFC-23) 221.18 1,1-difluoroethane (HFC-152a) 221.19 The following four classes of perfluorocarbon compounds: a. Cyclic, branched, or linear, completely fluorinated alkanes. b. Cyclic, branched, or linear, co mpletely fluorinated ethers, with no

unsaturations. c. Cyclic, branched, or linear, comp letely fluorinated tertiary amines

with no unsaturations. d. Sulfur-containing perfluorocarbons with no unsaturations and with sulfur bonds only to carbon and fluorine.

e. Perfluorocarbon co mpounds will be assume d to be absent from a product or process unless a manufacturer or facility operatorFebruary 11, 2010 Placer County APCD 502 - 7 Rules and Regulations identifies the specific individual compounds (from the broad classes of perfluorocarbon compounds) and the amounts present in the product or process and provides a validated test method which can be used to quantify the specific compounds.

222 HAZARDOUS AIR POLLUTANT (HAP): Any air pollutant listed pursuant to Section 112(b) of the Federal Clean Air Act as amen ded in 1990 (42 U.S.C. Section 7401 et seq.).

223 HISTORIC ACTUAL EMISSIONS (HAE): Historic Actual Emissions shall be calculated for each pollutant.

223.1 For a new emissions unit Historic Actual Emissions are equal to zero.

223.2 For an existing emissions unit, Historic Actual Emissions equals either, in hierarchical order;

223.2.1 The practically enforceable potential to emit (PTE) limit contained in the most recent Authority to Construct or Permit to Operate, if actual emissions are at least 80% of the permitted PTE limit, or

223.2.2 The practically enforceable PTE limit contained in the most recent Authority to Construct or Permit to Operate, if the emission unit was fully offset for any emission increases incurred since September 21, 1993, within the 5 year period prior to t he date of application for the current project, or

223.2.3 The Baseline Actual Emissions.

224 IDENTICAL EMISSION UNIT: A replacement emissions unit which is the same as the original unit in all respects except for serial number.

225 LAKE TAHOE AIR BASIN: Established pursuant to Section 39606 of the Health & Safety Code of the State of California and as described in Title 17, California Code of Regulations, Section 60113 (b), the basin in cludes that portion of Placer County within the drainage area naturally tributary to Lake Tahoe including said Lake, plus that area in the vicinity of the head of the Truckee Ri ver described as follows: commencing at the point common to the aforementioned drainage area crest line and the line common to Townships 15 North and 16 North, Mount Di ablo Base and Meridian (M.D.B. & M.), and following that line in a westerly direction to the northwest corner of Section 3, Township 15 North, Range 16 East, (M.D.B. & M.), thence south along the west line of Sections 3 and 10, Township 15 North, Range 16 East, M.D.B. & M., to the intersection with the drainage crest line, thence following the said drainage area boundary in a southwesterly, then northeasterly direction to and along t he Lake Tahoe Dam, thence following the said drainage area crest line in a northeasterly, t hen northwesterly direction to the point of beginning. This Air Basin is delineated on an official map on file at the California Air Resources Board Headquarters Office.

226 MAJOR STATIONARY SOURCE – SACRAMENTO AIR BASIN: A stationary source which emits or has the potential to emit: 25 tons per year (tpy) or more of nitrogen oxides or reactive organic compounds, or 100 tpy or more of sulfur oxides, or PM2.5. In addition, any physical change occurring at a stat ionary source not otherwise qualifying as a major stationary source, which would consti tute a major stationary source by itself, makes the source a major stationary source.

227 MAJOR STATIONARY SOURCE – MOUNTAIN COUNTIES AIR BASIN: A stationary source which emits or has the potential to emit 25 tons per year (tpy) or more of nitrogenFebruary 11, 2010 Placer County APCD 502 - 8 Rules and Regulations oxides or reactive organic compounds. In ad dition, any physical change occurring at a stationary source not otherwise qualifying as a major stationary source, which would constitute a major stationary source by itself, makes the source a major stationary

source.

228 MAJOR MODIFICATION: A modification to a major stationary source in the Sacramento

or Mountain Counties Air Basins which result s in a significant emissions increase of the pollutant for which the source is classified as a major stationary source. For nitrogen oxides and reactive organic compounds, the increase shall be aggregated with all other increases and decreases in potential to emit ov er the period of the four consecutive years before the application for modification, plus the calendar year of the most recent application.

229 MODIFICATION: Any physical change, change in method of operation (including change in fuel characteristics), addition to, or any change in hours of operation, or change in production rate of, which:

229.1 For an emissions unit: would necessitate a change in permit conditions, permit equipment description, or emissions limitation.

229.2 For a stationary source: is a modificati on of any emissions unit, or addition of any

new emissions unit.

229.3 Unless previously limited by a permit condition and that permit condition must be changed, the following shall not be considered a modification:

229.3.1 A change in ownership.

229.3.2 Routine maintenance and repai r, or an identical replacement.

229.3.3 The addition of a contin uous emission monitoring system.

229.3.4 The replacement of air pollution control equipment with new control equipment if the actual emissions of the new equipment are less than or equal to those from the original piece of equipment and the replacement is not a major modification under the United States Environmental Protection Agency (EPA) regulations promulgated pursuant to Title I of the Federal Clean Air Act, including 40 CFR Part 51.

229.3.5 Use of an alternative fuel or ra w material by reason of an order under Sections 2(a) and (b) of the Energy Supply and Environmental Coordination Act of 1974 (or any superseding legislation), or by reason of a natural gas curtailment plan pursuant to the Federal Power Act.

229.3.6 Use of an alternative fuel by reas on of an order or rule under Section 125

of the Act.

229.4 A reconstructed stationary source or emissions unit shall be treated as a new stationary source or emissions unit, not as a modification.

230 MOUNTAIN COUNTIES AIR BASIN: Established pursuant to Section 39606 of the Health & Safety Code of the State of Califor nia and as described in Title 17, California Code of Regulations, Section 60111 (I), t he Mountain Counties Air Basin includes all of Placer County except that portion included in the Lake Tahoe Air Basin, defined by 17 CCR 60113(b), and that portion included in the Sacramento Valley Air Basin, defined by 17 CCR 60106(k).February 11, 2010 Placer County APCD 502 - 9 Rules and Regulations 231 NONATTAINMENT POLLUTANT: Any pollutant as well as any precursors of such pollutants which have been designated "nona ttainment" by the U.S. Environmental Protection Agency as codified in 40 CFR 81.305, or which has been designated nonattainment by the California Air Resource s Board pursuant to Section 39607 of the Health and Safety Code for specific air basins in Placer County.

232 NSR REGULATED POLLUTANT: A pollutant for which an Ambient Air Quality Standard has been established by the EPA or by the California Air Re sources Board (ARB), and the precursors to such pollutants, including, but not limited to, reactive organic compounds (ROC), nitrogen oxides (NOx), su lfur oxides (SOx), PM10, PM2.5, carbon monoxide (CO) and lead.

233 PM2.5: Particulate matter with an aerodynamic diameter smaller than or equal to a

nominal 2.5 microns.

234 PM10: Particulate matter with an aerodynamic diameter smaller than or equal to a

nominal 10 microns.

235 PORTABLE EQUIPMENT: Equipment that is periodically relocated and is not operated more than a total of 180 days at any one location in the District within any continuous twelve (12) month period.

236 POTENTIAL TO EMIT (PTE): The maximum physical and operational design capacity to emit an air pollutant. Any limitation on the physical or operational design capacity, including emission control devices and restrict ions on hours of operation, or on the type, or amount of material combusted, stored, or processed, may be considered as part of the design only if the limitation, or the effect it would have on emissions, is incorporated into the Authority to Construct as a federally enf orceable permit condition. Fugitive emissions

associated with the emissions unit or stati onary source shall be included in the potential

to emit of the emissions unit or stationary source.

237 PRECURSOR: A pollutant that, when emitted into the atmosphere, may undergo either a chemical or physical change which then prod uces another pollutant for which an Ambient Air Quality Standard has been adopted, or whose presence in the atmosphere will

contribute to the violation of one or more Ambient Air Quality Standards. The following precursor-secondary air contaminant relationshi ps shall be used for the purposes of this

rule:

Precursor Secondary Air Contaminant Reactive Organic Compound a. Photochemical oxidants (Ozone) b. Organic fraction of PM10 Nitrogen Oxides a. Nitrogen dioxide

b. Nitrate fraction of PM10

c. Nitrate fraction of PM2.5 d. Photochemical oxidants (Ozone)

Sulfur Oxides a. Sulfur dioxide

b. Sulfates

c. Sulfate fraction of PM10

d. Sulfate fraction of PM2.5

238 PREVENTION OF SIGNIFIC ANT DETERIORATION (PSD): A federal permitting program for new and modified major stationary sources of air pollution for pollutants that do not exceed National Ambient Air Quality Standards.

239 PRIORITY RESERVE BANK: A depository for preserving emission reduction credits pursuant to Rule 505, PRIORITY RESERVE.February 11, 2010 Placer County APCD 502 - 10 Rules and Regulations 240 PROPOSED EMISSIONS: Emissions based on the potential to emit for the new or modified emissions unit which will be incorporated into the permit as legally and practically enforceable permit conditions.

241 QUARTERLY: Calendar quarters beginning January 1, April 1, July 1, and October 1.

242 QUARTERLY EMISSION LIMITATION: One or a combination of permit conditions specific to an emissions unit that restrict s its maximum emissions, in pounds per quarter, at or below the emissions associated with the maximum design capacity. A quarterly

emissions limitation must be:

242.1 Contained in the latest Authority to Cons truct or enforceable by the latest Permit to Operate for the emissions unit, and

242.2 Enforceable on a quarterly basis.

243 REACTIVE ORGANIC COMPOUND: For the purposes of this rule, reactive organic compound (ROC) has the same definition as volatile organic compound (VOC) in Rule 102, DEFINITIONS.

244 RECONSTRUCTED SOURCE: Any stationary source or emissions unit undergoing physical modification where the fixed capita l cost of the new components exceeds 50 percent of the fixed capital cost of a co mparable entirely new st ationary source or emissions unit. Fixed capital cost means that capital needed to provide all the depreciable components. A reconstructed sour ce shall be treated as a new stationary

source or emissions unit.

245 REDUCED SULFUR COMPOUNDS: The sulfur compounds hydrogen sulfide, carbon disulfide and carbonyl sulfide.

246 REPLACEMENT EMISSION UNIT : An emissions unit for wh ich all the criteria listed below are met. No creditable emission reductions shall be generated from shutting down the existing emissions unit that is replaced unless:

246.1 The emissions unit is a reconstructed unit within the meaning of 40 CFR 60.15(b)(1), or the emissions unit comp letely takes the place of an existing emissions unit, or

246.2 The emissions unit is an identical em ission unit or a functionally equivalent emission unit, or

246.3 The replacement does not alter the basic design parameters of the process unit,

and

246.4 The replaced emissions unit is perman ently removed from the stationary source, otherwise permanently disabled, or pe rmanently barred from operation by a permit that is enforceable as a practical ma tter. If the replaced emissions unit is brought back into operation, it shall constitute a new emissions unit.

247 SACRAMENTO VALLEY AIR BASIN: Established pursuant to Section 39606 of the Health & Safety Code of the State of Califor nia and as described in Title 17, California Code of Regulations, Section 60106(k), the basin includes that portion of Placer County which lies west of Range 9 east, Mount Diablo Base and Meridian (M.D.B. & M.).

248 SIGNIFICANT: In reference to an emissions increase or the potential of a source to emit any of the following pollutants, a rate of em issions that would equal or exceed any of the following rates:February 11, 2010 Placer County APCD 502 - 11 Rules and Regulations 248.1 Carbon monoxide: 100 tpy;

248.2 Nitrogen oxides: 40 tpy;

248.3 Sulfur dioxide: 40 tpy;

248.4 Ozone: 40 tpy of VOCs or 40 tpy of nitrogen oxides;

248.5 PM10: 15 tpy

248.6 PM2.5: 10 tpy of direct PM2.5 emissions or 40 tpy of sulfur dioxide emissions or 40 tpy of nitrogen oxide emissions

248.7 Lead: 0.6 tpy.

249 SIGNIFICANT EM ISSIONS INCREASE: For a regulated NSR pollutant, an increase in emissions that is significant for that pollutant.

250 STATIONARY SOURCE (SOURCE OR FACILITY): Any building, structure, facility, or emissions unit that emits or may emit any NSR regulated pollutant directly or as fugitive

emissions.

250.1 Building, structure, facility, or emi ssions unit includes all pollutant emitting

activities which:

250.1.1 belong to the same industrial grouping, and;

250.1.2 are located on one property or on two or more contiguous properties, and;

250.1.3 are under the same or common ownership, operation, or control or which are owned or operated by entities which are under common control.

250.2 Pollutant emitting activities shall be c onsidered as part of the same industrial grouping if:

250.2.1 they belong to the same two digi t standard industrial classification code under the system described in the 198 7 Standard Industrial Classification

Manual , or;

250.2.2 they are part of a common prod uction process. (Common production process includes industrial proces ses, manufacturing processes and any connected processes involving a common material.)

250.3 The emissions of cargo carriers associ ated with the stationary source shall be

considered emissions from the stationar y source to the extent that emission reductions from these cargo carriers are proposed as offsets.

251 STATIONARY SOURCE PTE: The sum of the PTE for each emission unit which has been issued a Permit of Operate, Authority to Construct or for which an application has been submitted. Any fugitive emissions from su ch emission units shall be included in this

calculation.February 11, 2010 Placer County APCD 502 - 12 Rules and Regulations 252 SURPLUS: The amount of emission reductions that are, at the time of generation of an Emissions Reduction Credit (ERC ), not otherwise required by f ederal, state, or local law, not required by any legal settl ement or consent decree, and not relied upon to meet any requirement related to the California State Im plementation Plan (SIP). However, emission reductions required by a state statute that provides that t he subject emission reductions shall be considered surplus may be considered surplus for purposes of this Rule if those reductions meet all other applicable requirements.

Examples of federal, state, and local laws, an d of SIP-related requirements, include, but are not limited to, the following:

252.1 The federally-approved California SIP;

252.2 Other adopted state air quality laws and regulations not in the SIP, including but not limited to, any requirement, regulation, or measure that: (1) the District or the state has included on a legally-required and publicly-available list of measures that are scheduled for adoption by the District or the State in the future; or (2) is the subject of a public notice distributed by the District or the State regarding an intent to adopt such revision;

252.3 Any other source- or source-category specific regulatory or permitting requirement, including, but not limited to, Reasonable Available Control Technology (RACT), New Source Performance Standards (NSPS), National Emission Standards for Hazardous Air Pollutants (NESHAP), Best Available Control Measures (BACM), Best Available Control Technology (BACT), and the Lowest Achievable Emission Rate (LAER); and

252.4 Any regulation or supporting documentati on that is required by the federal Clean

Air Act but is not contained or referenced in 40 C.F.R. Part 52, including but not limited to: assumptions used in attainment and maintenance demonstrations (including Reasonable Further Prog ress demonstrations and milestone demonstrations), including any proposed c ontrol measure identified as potentially contributing to an enforceable near-t erm emissions reduction commitment; assumptions used in conformity demonstrations; and assumptions used in

emissions inventories.

253 TEMPORARY SOURCE: Temporary emission sources such as pilot plants, and portable

facilities which will be terminated or loca ted outside the Distri ct after less than a cumulative total of 90 days of operation in any 12 continuous months.

254 TOTAL REDUCED SULFUR COMPOUNDS: The sulfur compounds hydrogen sulfide, methyl mercaptan, dimethyl sulfide and dimethyl disulfide.

300 STANDARDS

301 EMISSION AND OFFSET CALCULATIONS: The following provisions shall be used to

calculate emission increases and decreases from all new and modified emissions units located at a stationary source.

301.1 BACT – Emissions Increase: The emissions increase for each emissions unit related to the project for the purpose s of determining BACT applicability shall be calculated as the proposed emissions minus the Baseline Actual Emissions. Calculations shall be performed separ ately for each emissions unit for each calendar quarter.February 11, 2010 Placer County APCD 502 - 13 Rules and Regulations 301.2 Offsets - Emissions Increase or Decrease: The emissions increase or decrease for each emissions unit related to the project for the purposes of determining Offset applicability shall be calculated as the proposed emissions, minus the

Historic Actual Emissions. Emission in creases or decreases shall be calculated for each emission unit and the project as a whole.

301.3 Project Emissions: If a project consists of more than one emission unit, the total emissions from all emissions units shall be summed for each pollutant to determine the emissions increase for the pr oject. The project includes the entire scope of the preconstruction application for a new or modified stationary source.

301.4 Calculation Periods: The emissions increase or decrease for a project shall be calculated on a daily, quarterly and annual basis for each pollutant.

301.5 Potential To Emit - Stationary Sources: The potential to emit of a new or modified stationary source shall be calculat ed as the sum of the potential to emit, including fugitive emissions, for all emissions units, based on emission limitations established by current Permits to Operate, Authorities to Construct where permits to operate have not been issued, and the pending application.

301.6 Quantity of Offsets Required For New Major Sources or Major Modifications: If offsets are required pursuant to Section 303.2, the quantity of offsets to be provided shall be determined by calculating the emission increase for the project and applying the appropriate offset ratio based on pollutant and location as specified in Section 303.3. The calculat ions shall be performed separately for each pollutant and each emissions unit for each calendar quarter.

301.7 Quantity of General (State) Offsets Required: If offsets are required pursuant to Section 303.1, the quantity of offset s to be provided shall be determined as

follows:

301.7.1 If offsets have already been provided by a stationary source for a particular pollutant, then multiply the emission increase calculated for the project by the appropriate offset ratio based on pollutant and location as specified in Section 303.3, or

301.7.2 If no offsets have been provided prev iously by a stationary source for a particular pollutant, then subtract the o ffset threshold specified in Section 303.1 for that pollutant from the stat ionary source PTE and multiply the value by the appropriate offset ratio based on pollutant and location as specified in Section 303.3.

301.8 Quantity of Offsets Required For A Modi fication That Makes An Existing Source A Major Stationary Source: When the proposed modification will make an existing minor source a new major source, offsets required shall be calculated as the sum of proposed PTE for all emissions units installed after September 21, 1993 based on current permits to operate and Authority to Constructs where permits to operate have not been issued, plus the pending application, minus offsets supplied since September 21, 1993. Calculations shall be performed separately for each pollutant and each emissions unit for each calendar quarter. The offset ratios of Section 303.3 shall be applied to determine the ERCs required.

302 REQUIREMENT TO APPLY BEST AVAILABLE CONTROL TECHNOLOGY: An applicant shall apply Best Available Control Technology (BACT) to a new emissions unit or modification of an existing emissions unit, except cargo carriers, if the change would result in an increase in quarterly emissions of a NSR regulated pollutant from the new orFebruary 11, 2010 Placer County APCD 502 - 14 Rules and Regulations modified emissions unit and if the PTE of t he new or modified emissions unit equals or exceeds the levels specified below.

Pollutant lb/day Reactive organic compounds 10 Nitrogen oxides 10

Sulfur oxides 80

PM10 80

PM2.5 80

Carbon monoxide 550

Lead 3.3 Vinyl chloride 5.5

Sulfuric acid mist 38 Hydrogen sulfide 55 Total reduced sulfur compounds 55 Reduced sulfur compounds 55

303 OFFSET REQUIREMENTS

303.1 General Requirement to Provide Offsets: An applicant whose facility is located in the Sacramento Valley Air Basin or the Mountain Counties Air Basin shall provide offsets for a NSR regulated pollutant if t he potential to emit of a new or modified source exceeds either of the threshold quantities listed below:

Pollutant Pounds per quarter Tons per year Reactive organic compounds 5,000 10 Nitrogen oxides 5,000 10 Sulfur oxides 13,750 27.5 PM10 7,500 15 PM2.5 7,500 15 Carbon monoxide 49,500 99

303.2 Major Source or Major Modification Requirement to Provide Offsets : An applicant whose facility is located in the Sacramento Valley Air Basin or the Mountain Counties Air Basin, and whose pr oject emissions will result in a new major source or major modification, shall provide offsets for each NSR regulated pollutant that constitutes a major source or major modification.

303.3 Location of Offsets and Offset Ratios : The applicable offset ratio shall be determined based on the location of the new or modified stationary source required to provide offsets and the distan ce to the location of the emission offsets, as indicated in the following table.

Offset Ratio Offset Ratio

Location of Offset NOx and

ROC Other

Pollutants

Same Source 1.0 to 1.0 1.0 to 1.0

Within 15-Mile radius and

within the same air basin 1.3 to 1.0 1.2 to 1.0

Greater than 15-Miles but

within 50-Mile radius within

the same air basin 1.5 to 1.0 1.5 to 1.0

Greater than 50-Mile radius

and within the same air basin Greater than

1.5 to 1.0 Greater than

1.5 to 1.0February 11, 2010 Placer County APCD 502 - 15 Rules and Regulations 303.3.1 The APCO may impose, based on the air quality analysis, a higher

offset ratio such that the new or modified stationary source will not prevent or interfere with the attain ment or maintenance of any ambient air quality standard.

303.3.2 Applicants providing offsets obt ained pursuant to Rule 505, PRIORITY RESERVE, shall be subject to an offs et ratio of 1.2 to 1.0 for all pollutants, except NOx and VOC, at a ll distances. The offset ratio for NOx and VOC offsets obtained pursuant to Rule 505, PRIORITY RESERVE, shall be subject to an offset ratio of 1.3 to 1.0 at all

distances.

303.4 General Offset Provisions

303.4.1 All offsets shall be real, su rplus, enforceable, quantifiable and
permanent.

303.4.2 All offsets provided for major s ources and major modifications shall be surplus at the time ERCs are surrendered to the District.

303.4.3 All offsets shall be surrendered to t he District prior to the initial startup of the new or modified source, and the offsets shall be maintained throughout the operation of the new or modified source which is the beneficiary of the offsets.

303.4.4 Offsets can only come from air basins with the same or worse air quality designations than that of t he stationary source requiring the

offsets.

303.4.5 In no case shall halogenated hydr ocarbons, exempt compounds or any other compound excluded from t he definition of reactive organic compounds, be used as offsets for reactive organic compounds.

303.4.6 For sources which have provided full offsets of total suspended particulate (TSP), the PM10 emissions from an existing stationary

source shall be recalculated from the TSP emission increases and decreases which have occurred since December 31, 1976, using PM10 emission factors. When PM10 emission factors do not exist, it

shall be assumed that 50% of the TSP is PM10.

303.5 Timing of Quarterly Emission Offsets: Sufficient offsets shall be provided, from the same calendar quarter as the proposed emission increase, with the following exceptions:

303.5.1 Emission reductions of reactive organic compounds or nitrogen oxides during the quarters starting April 1 or July 1 may be used to offset emission increases of the same pollutants during any calendar quarter.

303.5.2 Emission reductions of carbon mo noxide during the quarters starting January 1 or October 1 may be used to offset emission increases of carbon monoxide during any calendar quarter.

303.5.3 Emission reductions of PM10 or PM2.5 during the quarters starting January 1 or October 1 may be used to offset emission increases of PM10 or PM2.5 during any calendar quarter.February 11, 2010 Placer County APCD 502 - 16 Rules and Regulations 303.5.4 Emission reductions of sulfur oxid es during any quarter may be used to

offset emission increases of sulfur oxides during any calendar quarter.

303.6 Interpollutant Offsets

303.6.1 The APCO may approve interpollu tant offsets for precursor pollutants on a case by case basis, provi ded that the applicant demonstrates, through the use of an air quality model, that the emission increases

from the new or modified source will not cause or contribute to a violation of an ambient air quality standard.

303.6.2 Interpollutant offsets between PM10 and PM10 precursors are allowed only if PM10 precursors contribute signi ficantly to the PM10 levels that

exceed the PM10 ambient standards.

303.6.3 PM10 emissions shall not be allowed to offset nitrogen oxides or reactive organic compound emissions in ozone nonattainment areas,

nor be allowed to offset sulfur oxide emissions in sulfate nonattainment

areas.

303.6.4 The interpollutant offset ratios for PM2.5 shall be: NOx to PM2.5 -

100:1 and SOx to PM2.5 – 40:1.

303.6.5 EPA and ARB must concur with al l proposed interpo llutant offsets ratios prior to use.

303.7 Intra-District Offsets

303.7.1 ERCs generated in another distri ct may be used to offset emission increases in Placer County.

303.7.2 If the ERC generating source an d the source with the proposed emissions increase are not in the same air basin, both of the following requirements must be met:

a. The ERC generating source must be located in an upwind district that is classified, pursuant to Health and Safety Code Section 40910 et seq., as being in the same or a worse nonattainment

status than the downwind distri ct where the stationary source with the proposed emission increases will be located.

b. The stationary source at which the emission increases are to be

offset must be located in a downwind district that is overwhelmingly impacted, as det ermined pursuant to Health and Safety Code Section 39610, by emissions transported from the upwind district where the ERC generating source is located.

303.7.3 Any offset credited to a stationary source in one district using offsets

obtained from reductions at a stationar y source in another district shall be approved by a resolution adopted by the governing boards of both the upwind and downwind districts, after taking into consideration the impact of the offset on air quality, public health, and the regional economy. The District’s governing board may delegate to the APCO the Board’s authority to appr ove the offsets credited.February 11, 2010 Placer County APCD 502 - 17 Rules and Regulations 303.7.4 For ERCs generated in another di strict, the District may adjust the value of such credits to reflect any District require ments that would have applied if the credits had been generated within the District.

303.8 Emission Reductions, Shutdowns, and Curtailments: Actual emission reductions from an internal shutdown or curtailment of a permitted emission unit may be credited for the purposes of providing internal offsets provided:

303.8.1 The crediting of emission reductions from source shutdowns and curtailments comply with the curr ent U.S. Environmental Protection Agency emissions trading policy and applicable federal regulations;

and

303.8.2 Emissions reductions are ensured by practically enforceable emission

limitations contained in the Perm it to Operate, or the permanent surrender or cancellation of the Permit to Operate; and

303.8.3 If the shutdown emission unit is being replaced with a new or modified emission unit, the APCO may allow a maximum of 90 days as a shakedown period for simultaneous operation of the existing and the

new or modified emission unit.

303.9 Exemptions From Offset Requirements

303.9.1 Offsets shall not be required for temporary sources or portable equipment, if the emissions from such units do not constitute a major source or major modification to a major source.

303.9.2 Offsets shall not be required for an emergency engine which is used exclusively for testing, maint enance and emergency use, if the emissions from the emergency engine, excluding emergency use, do not exceed the offset limit by itself.

303.9.3 Offsets shall not be required for increases in carbon monoxide emissions if the applicant, using an Air Quality Model approved by the APCO, demonstrates that the increase in ambient concentration does not exceed 500 micrograms per cubic meter, 8 hour average, at or beyond the property line of the stationary source.

303.9.4 The requirement to provide offsets shall not apply to the following:

a. Relocation of emissions units solely within only one air basin within the District, and the relocation does not result in any increase in potential to emit.

b. Replacement emissions units, provided the replacement does not constitute a major source or major modification.

c. Modifications necessary to comply with any regulations contained in Regulation 2 – PROHIBITIONS, or in the SIP, unless the modification will result in a major modification. This provision does not apply to changes in production rate, hours of operation, or any other change or modification not required for compliance with Regulation 2 or the SIP.

d. If requested by the APCO, the applicant shall demonstrate through the use of an air quality model that the emissionFebruary 11, 2010 Placer County APCD 502 - 18 Rules and Regulations increases from the new or modi fied source will not cause or contribute to a violation of an ambient air quality standard.

304 MAJOR SOURCE ADMINISTRATIVE REQUIREMENTS: The following administrative requirements shall apply to any new major source or major modification regulated by the rule. Power plants over 50 megawatts shall be subject to the additional requirements of

Section 500.

304.1 Alternative Siting: The applicant shall prepare an analysis functionally equivalent to the requirements of Division 13 of the Public Resources Code (California Environmental Quality Act-CEQA). The Di strict will not issue an Authority to Construct unless the APCO has concluded, based on the information included in the Alternative Siting Analysis that the benefits of the proposed source significantly outweigh the environmental and social cost imposed as a result of its location, construction, or modification.

304.2 Certification of Compliance: The owner or operator of the proposed new or

modified source has certified that all ex isting major stationary sources owned or operated by such person (or by any entity controlling, controlled by, or under common control with such person) in California which are subject to emission limitations are in compliance, or on an expeditious schedule for compliance, with all applicable emission limitations and standards.

304.3 Potential Visibility Impacts: The APCO shall consult with the Federal Land Manager on a proposed major stationary source or major modification that may impact visibility in any Class 1 Area, in accordance with 40 CFR 51.307.

305 GENERAL PROVISIONS

305.1 Air Quality Models : All estimates of ambient concentrations required pursuant to this rule shall be based on applicable air quality models, databases, and other requirements specified in 40 CFR Part 51, Appendix W (“Guideline on Air Quality Models”). Where an air quality model s pecified in 40 CFR Part 51, Appendix W (“Guideline on Air Quality Models”) is in appropriate, the model may be modified or another model substituted. Such a modification or substitution of a model may be made on a case-by-case basis or, where appropriate, on a generic basis. Written approval from the United States Environmental Protection Agency (EPA) must be obtained for any modification or substitution. In addition, use of a modified or substituted model must be subj ect to notice and opportunity for public

comment.

305.2 Ambient Air Quality Standards: In no case shall emissions from the new or modified stationary source prevent or interfere with the attainment or maintenance of any applicable ambient air quality standard. The Air Pollution Control Officer (APCO) may require the use of an air quality model to estimate

the effects of a new or modified stationar y source. The analysis shall estimate

the effects of the new or modified stati onary source, and verify that the new or modified stationary source will not prevent or interfere with the attainment or maintenance of any ambient air quality st andard. In making this determination

the APCO shall take into account the mi tigation of emissions through offsets pursuant to this rule and the impacts of transported pollutants on downwind pollutant concentrations. The APCO may impose, based on an air quality analysis, offset ratios greater than the requirements of Section 303.2.

400 APPLICATION PROCESSINGFebruary 11, 2010 Placer County APCD 502 - 19 Rules and Regulations 401 REQUIREMENT TO SUBMIT APPLICATION: Any person building, erecting, altering or replacing any article, machine, equipment or other contrivance, the use of which may cause, eliminate, reduce, or control the issu ance of air contaminants, shall first obtain

authorization for such construction from the APC O as specified in this rule. Exemptions from this requirement are listed in Rule 501, GENERAL PERMIT REQUIREMENTS. The application shall be submitted on fo rms supplied by the District.

402 COMPLETE APPLICATION REQUIREMENT: The APCO shall determine whether an application is complete no later than 30 days afte r receipt of the application, or after such longer time period that the applicant and the APCO have agreed to in writing.

If the APCO determines that the application is not complete, the applicant shall be notified in writing of the decision specifying the information required. Upon receipt of any re submittal of the application, a new 30-day period to determine completeness shall begin. Completeness of an application or a re -submitted application shall be evaluated on the basis of the information requirements set fo rth in District regulations as they exist on the date on which the application or re-submi tted application was received, or when the
CEQA-related information which satisfies the requirements of the District's CEQA Guidelines has been received, whichever is later.

The APCO may, during the processing of the a pplication, request an applicant to clarify, amplify, correct, or otherwise supplement t he information submitted in the application.

403 PRELIMINARY DECISION: Following acceptance of an application as complete, the APCO shall perform the evaluations required to determine compliance with all applicable District rules and regulations and make a pr eliminary written decision as to whether an Authority to Construct should be appro ved, conditionally approved, or denied.

The decision shall be based on the Section 300 standards in force on the date the application is deemed complete, except when a new federal requirement not yet incorporated into this Rule applies to the new or modified source.

When the District is the CEQA Lead Agenc y for a project, the APCO shall not issue a preliminary decision until the draft Environmental Impact Report or Negative Declaration is available for public review. The decision shall be supported by a succinct written analysis. For projects requiring offsets, the APCO shall transmit its preliminary written decision and analysis to the California Air Re sources Board and the U.S. Environmental Protection Agency for a 45 day review period.

404 TIMING FOR FINAL ACTION

404.1 The APCO shall not take final action for any project for which an Environmental Impact Report (EIR) or a Negative Declarat ion is being prepared until a final EIR for that project has been certified or a Negative Declaration for that project has been approved, and the APCO has considered the information in that final EIR or Negative Declaration.

The APCO shall take final action on the application within whichever of the following periods of time is longer:

404.1.1 Within 180 days after the certificat ion of the final EIR or approval of the Negative Declaration, or

404.1.2 Within 180 days of the date on which the application was determined complete by the APCO.February 11, 2010 Placer County APCD 502 - 20 Rules and Regulations 404.2 Except as provided in Section 103, th e APCO shall provide written notice of the final action to the applicant, any commenter s, the U.S. Environmental Protection Agency, and the California Air Resources Board.

405 AUTHORITY TO CONSTRUCT AND PERMIT TO OPERATE CONTENT: Each Authority to Construct and/or Permit to Operate issued by the APCO shall include the following minimum terms and conditions:

405.1 A provision stating that the emis sion unit shall be operated in a manner consistent with the application used to determine compliance with this rule.

405.2 The following emissions limitati ons shall be included, if applicable:

405.2.1 BACT emission limitations if required by Section 302. Such condition(s) shall be expressed in a manner consistent with testing procedures, such as ppmv NOx, g/liter VOC, or lbs/hr.

405.2.2 A quarterly emissions limitation for each offset pollutant, if offsets are required pursuant to Section 303.

405.2.3 An emission limitation (daily, monthly, or quarterly) shall be contained in the Authority to Construct and Permit to Operate for all NSR pollutants for which offsets are not being provided pursuant to Section 303, or when required to be consistent with ambient air quality standards.

405.3 Design, Operational, or Equipment Standards: If the APCO determines that technological or economic limitatio ns on the application of measurement methodology to a particular class of s ources would make the imposition of a numerical emission standard infeasible, the APCO may instead prescribe a design, operational, or equipment standard. In such cases, the District shall

make its best estimate as to the emission rate that will be achieved and shall specify that rate in required submission s to the U.S. Environmental Protection Agency. Any Authority to Construct or permit issued without an enforceable

numerical emission standard must contai n enforceable conditions which assure that the design characteristics or equipment will be properly maintained, or that the operational conditions will be properly performed, so as to continuously achieve the assumed degree of control.

406 PUBLICATION AND PUBLIC COMMENT: If a proposed project is required to provide offsets pursuant to Section 303, within ten ca lendar days following a preliminary decision, the APCO shall publish in at least one newspape r of general circulation in the District a notice stating the preliminary decision of t he APCO, noting how the pertinent information can be obtained, and inviting written public comment for a 30-day period following the date of publication.

407 PUBLIC INSPECTION: Except as provided in Section 103, the APCO shall make available for public inspection at the District 's office the information submitted by the applicant and the APCO’s analysis no later than the date the notice of the preliminary decision is published. Information submitted which contains trade secrets shall be

handled in accordance with Section 6254.7 of the California Government Code and

relevant sections of the Califor nia Administrative Code. Further, all such information shall be transmitted no later than the date of public ation to the California Air Resources Board and the U.S. Environmental Protection Agency regional office, and to any party which requests such information.February 11, 2010 Placer County APCD 502 - 21 Rules and Regulations 408 DENIAL, FAILURE TO MEET STANDARDS: The APCO shall deny any Authority to Construct or Permit to Operate if the APCO finds that the subject of the application would not comply with the standards set forth in Distri ct, state, or federal rules or regulations.

409 DENIAL, FAILURE TO MEET CEQA: The APCO shall deny any Authority to Construct or Permit to Operate if the APCO finds t hat the subject of the application would not comply with the standards set forth in CEQA.

410 ISSUANCE, PERMIT TO OPERATE: The APCO shall issue a Permit to Operate an emissions unit subject to the requirements of th is rule after determining that all conditions specified in the Authority to Construct have been complied with or will be complied with by the dates specified on the Authority to Co nstruct. Such applicable conditions shall be contained in the Permit to Operate. Where a new or modified stationary source is, in whole or in part, a replacement for an exis ting stationary source on the same property, the APCO may allow a maximum of 90 days as a shakedown period for simultaneous operation of the existing stationary source and the new source or replacement.

500 ADDITIONAL PROVISIONS FOR POWER PLANTS: This Section shall apply to power plants with maximum ratings equal to, or in excess of 50 megawatts proposed to be constructed in the District and for which a Notice of Intention (NOI) or Application for Certification (AFC) has been accepted by the California Energy Commission.

501 Within 14 days of receipt of a Notice of Int ention, the APCO shall notify the California Air Resources Board and the California Energy Commission of the District's intent to participate in the Notice of Intention proceedi ng. If the District chooses to participate in the Notice of Intention proceeding, the APC O shall prepare and submit a report to the California Air Resources Board and the California Energy Commission prior to the conclusion of the non-adjudicatory hearing sp ecified in Section 25509.5 of the California Public Resources Code. That report shall include, at a minimum:

501.1 A preliminary specific definition of Best Available Control Technology for the proposed facility;

501.2 A preliminary discussion of whether there is substantial likelihood that the requirements of this rule and all other Di strict regulations can be satisfied by the proposed facility;

501.3 A preliminary list of conditions which th e proposed facility must meet in order to comply with this rule or any ot her applicable District regulation.

The preliminary determinations contained in the report shall be as specific as possible

within the constraints of the information contained in the Notice of Intention.

502 Upon receipt of an Application for Certification for a power plant, the APCO shall conduct a determination of compliance review. This determination shall consist of a review identical to that which would be performed if an application for an Authority to Construct had been received for the power plant. If the in formation contained in the Application for Certification does not meet the requirements of this rule, the APCO shall, within 20 calendar days of receipt of the Application for Certification, so inform the California Energy Commission, and the A pplication for Certification sh all be considered incomplete and returned to the applicant for re-submittal.

503 The APCO shall consider the Application for Certification to be equivalent to an application for a permit to construct during the determination of compliance review, and shall apply all provisions of this rule whic h apply to applications for an Authority to

Construct.February 11, 2010 Placer County APCD 502 - 22 Rules and Regulations 504 The APCO may request from the applicant any information necessary for the completion of the determination of compliance review. If the APCO is unable to obtain the information, the APCO may petition the presid ing Commissioner of the California Energy Commission for an order directing the applicant to supply such information.

505 Within 180 days of accepting an Application for Certification as complete, the APCO shall make a preliminary decision on:

505.1 Whether the proposed power plant meets the requirements of this rule and all other applicable District regulations, and;

505.2 In the event of compliance, what perm it conditions will be required including the specific Best Available Control Techno logy requirements and a description of required mitigation measures.

The preliminary written decision of this Section shall be treated as a preliminary decision under Section 403 of this Rule, and shall be finalized by the APCO only after being subject to the public notice and comment requirements of Sections 406 and 407. The

APCO shall not issue a determination of co mpliance for the power plant unless all requirements of this rule are met.

506 Within 240 days of the filing date, the APC O shall issue and submit to the California Energy Commission a determination of complia nce or, if such a determination cannot be issued, shall so inform the California Energy Commission. A determination of compliance shall confer the same rights and privileges as an Authority to Construct only when and if the California Energy Commission approves th e Application for Certification, and the California Energy Commission certificate incl udes all requirements of the conditions contained within the determination of compliance.

507 Any applicant receiving a certificate from t he California Energy Commission pursuant to this Section and in compliance with all cond itions of the certif icate shall be issued a Permit to Operate by the APCO.

600 MONITORING AND RECORDS

601 RECORDKEEPING: The following records shall be maintained for two years. Records shall be provided to the APCO upon request.

601.1 Emergency Engines: Records of hours of operat ion for maintenance purposes and for actual interruptions of electrical power. Such records shall include the date and hours of operation, as well as the reason for operation.

601.2 Portable and Temporary Equipment: Records of operating location(s) and corresponding dates of operation.