EXHIBIT 2

SECTION 12.3: PERMIT REQUIREMENTS FOR MAJOR SOURCES IN

NONAT~AINMENTAREAS

12.3 Permit Requirements for Major Sources in Nonattainment Areas

12.3.1 Aoolicabilitv Procedures

1

12.3.1.1 Preconstruction Review Requirements

12.3.1.2 Construction of Major Sources or Modifications

12.3.1.3 Authority to Construct Permit Requirement

12.3.1.4 Prolects

12.3.1.5 Maior Sources with Plantwide Applicability Limitations

12.3.1.6 Existing Emission Unit Projects

12.3.1.7 Availability of Information

12.3.1.8 Secondary Emissions

12.3.2 Definitions

12.3.3 Statewide Compliance 23

12.3.4 Analysis of Alternatives 23

12.3.5 Lowest Achievable Emission Rate 23

12.3.5.1 Applicable Requirements 23

12.3.5.2 Permit Requirements to Achieve LAER 23

12.3.6 Fmissions Offset 24

12.3.6.1 Sufficiency of Reductions 24

12.3.6.2 Offset Methods 24

12.3.6.3 Restrictions on Trading Pollutants 24

12.3.6.4 Timing 25

12.3.6.5 Quantity 25

12.3.6.6 Emission Reduction Requirements 26

12.3.6.7 Location of Internal Reductions 27

12.3.6.8 Emission Reduction Credit Requirements 27

12.3.6.9 ERG Registry 28

12.3.7 Source Obligation 28

12.3.7.1 Enforcement 28

12.3.7.2 Termination 28

12.3.7.3 Compliance 28

12.3.7.4 Relaxation in Enforceable Limitations 28

12.3.8 Public Participation 29

12.3.9 Plantwide Applicability Limits (PAL) 29

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2.3.9.1 Applicability 29

2.3.9.2 Definitions 29

2.3.9.3 Permit Application Requirements 31

2.3.9.4 General Requirements for Establishing PALs 31

2.3.9.5 Public Participation Requirements for PALs 32

2.3.9.6 Setting the 10-year Actuals PAL Level 32

2.3.9.7 Part 70 Operating Permits with PALs 33

2.3.9.8 PAL Effective Period and Reopening of PAL Conditions .. ..34

2.3.9.9 Expiration of a PAL

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12~g.1ORenewal of a PAL 36

12.3.9.11 Increasing a PAL during the PAL Effectjve Period 38

12.3.9.12 Monitoring Requirements for PALs 39

12.3.9.13 Recordkeeping Requ.~ements 42

12.3.9.14 Reporting and Notification Requirements 42

12.3.9.15 Transition Requirements 43

LIST OF TABLES

Table 12.3-1. Federal Offset Ratio Requirements by Area Designation and

Pollutant 26

0

C

0

12.3.10 Potential Visibility Impacts .... 44

12.3.11 Invalidation 44

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12.3 Permit Requirements for Maior Sources in Nonattainment Areas

12.3.1 Applicability Procedures

12.3.1.1 Preconstruction Review Reguirements

The preconstruction review requirements of Section 12.3 shall apply to the

construction of any new maior stationary source or any project at an existing

maior stationary source in an area designated as nonattainment for any National Ambient Air Quality Standard under Section 107(d)(1)(B) of the Act

[42 USC ~7407(d)(1)(B)1.

12.3.1.2 Construction of Maior Sources or Modifications

The requirements of Sections 12.3.3 through 12.3.8 apply to the construction of any new major stationary source or the major modification of any existing major stationary source if the stationary source or modification is major for the reaulated NSR pollutant for which the area is designated

nonattainment under 40 CFR Part 81, except as Section 12.3 otherwise

provides.

• 12.3.1.3 Authority to Construct Permit Requirement

No new major stationary source or major modification to which the requirements of Sections 12.3.3 through 12.3.8 apply shall begin actual construction without an Authority to Construct Permit issued pursuant to Section

12.4 that states that the major stationary source or major modification will

meet those requirements.

12.3.1.4 Projects

The requirements of Section 12.3.1.4 apply to projects at major stationary

sources jn accordance with the principles set out in paragraphs (a) through

(el of Section 12.3.1.4.

~). Except as otherwise provided in Section 12.3.1.5, a project is a major

modification for a regulated NSA pollutant if it causes two (2) tyPes of

emissions increases: a significant emissions increase and a significant net emissions increase. The project is not a major modification if

it does not cause a significant emissions increase. If the project

causes a significant emissions increase, then the project is a major

modification only if it also results in a significant net emissions increase.

1k). The procedure for calculating (before beginning actual construction)

whether a significant emissions increase will occur deoends upon the

type of emissions units being added or modified as part of the pro- • ••

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ject, accordjng to paragraphs.(ç) through (e) of Section 12.3.1.4. The

procedure for calculating (before beginning actual construction)

whether a significant net emissions increase will occur at the major

stationary source is contained in the definition of net emissions increase. Regardless of any such preconstruction projections, a major

modification results if the pi~.ctcauses a significant emissions increase and a significant net emissions increase.

~). ActuaI-to-Proiected-ActuaL~pPticabiIitVTest for Projects that

Only Involve Existing Emissions Units. A significant emissions increase of a regulated NSA p~utantis projected to occur if the sum

of the difference between tl~..projectedactual emissions and the

baseline actual emissions, for each existing emissions unit, equals or

exceeds the significant amount for that pollutant.

~). Actual-to-Potential Test for Projects that Only Involve Construction of a New Emissions Unit(s). A significant emissions increase

of a regulated NSR pollutant is projected to occur if the sum of the

difference between the PTE from each new emissions unit following

completion of the project arid the baseline actual emissions of these

units before the project equals or exceeds the significant amount for

that pollutant.

~). Hybrid Test for Projects that Involve Multiple Types of Emis- •

sions Units. A significant emissions increase of a regulated NSR

pollutant is projected to occur if the sum of the emissions increases

for each emissions unit, usj~the method specified in paragraphs (c)

or (dl of Section 12.3.1.4, as applicable with respect to each emissions unit, equals or exceeds the significant amount for that pollutant.

12.3.1.5 Major Sources with Plantwide Applicability Limitations

For any major stationary source with a PAL for a regulated NSA pollutant,

the major stationary source shall comply with the requirements in Section

12.3.9.

12.3.1.6 Existing Emission Unit Projects

The provisions of this paragraph ~ppjywhen a project occurs at an existing

emissions unit at a major stationary source, other than a source with a PAL

the project is not a part of a major modification; and the owner or operator

elects to use the method specified in paragraphs (11(A) through (11(D) of the

definition of projected actual emis~ons.

f~). Before beginning actual construction of the proiect, and as a condition of the source’s Authoij~yjoConstruct Permit, the owner or 0P C1~

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erator shall document and maintain a record of the following information:

Li). A description of the project

12). Identification of the emissions unit(s) whose emissions of a

regulated NSR pollutant could be affected by the project; and

j~).A description of the applicability test used to determine that the

project is not a major modification for any regulated NSA pollutant, including the baseline actual emissions, the projected actual emissions, the amount of emissions excluded under paragraph (1 )(D) of the definition of projected actual emissions and

an explanation for why such amount was excluded, and any netting calculations, if applicable.

1k). If the emissions unit is an existing emissions unit, before beginning

actual construction, the owner or operator shall provide a copy of the

information set out in paragraph (a) of Section 12.3.1.6 to the Gontrol

Officer. Nothing in this paragraph shall be construed to require the

owner or operator of such a unit to obtain any determination from the

Control Officer before beginning actual construction, except such

owner or operator may still be subject to the requirements of Section

12.1, Section 12.4, or other applicable requirements.

Ic). The owner or operator shall monitor the emissions of any reaulated

NSA pollutant that could increase as a result of the project and that

are emitted by any emissions unit identified in paragraph (a)(2) of

Section 12.3.1.6; and calculate and maintain a record of the annual

emissions (in tpy) for a period of five (5) years following resumption

of regular operations afterthe change, or for a period of ten (10)

years following resumption of regular operations after the change if

the project increases the design capacity of, or potential to emit that

regulated NSA pollutant at, any emissions unit.

1~). If the emissions unit is an existing electric utility steam generating

unit, the owner or operator shall submit a report to the Control Officer

within sixty (60) days after the end of each calendar year during

which records must be generated under paragraph (c) of Section

12.3.1.6 setting out the unit’s annual emissions during the calendar

yearthat preceded submission of the report.

Ii). If the emissions unit is an existing emissions unit other than an electric utility steam generating unit, the owner or operator shall submit a

report to the Control Officer if the annual emissions, in toy, from the

prolect identified in paragraph (a) of Section 12.3.1.6 exceed the

baseline actual emissions (as documented and malntained,/,/1/”4

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to paragraph (a)(3) of Section 112.3.1.6), by a significant amount for

that regulated NSR poIlutar~ndif such emissions differ from the • • /

projected actual emissions ~1orto exclusion of the amount of emissions under the definition oL~piectedactual emissions) as documented and maintained pursuant to paragraph (a)(3) of Section

12.3.1.6. Such report shall be submitted to the Control Officer within

sixty (601 days after the end of such year. The reøort shall contain

the following:

in The name, address, and I:elephone number of the major stationary source

12). The annual emissions~calculated pursuant to paragraph (c)

of Section 12.3.1.6; and

j~).Any other information that the owner or operator wishes to include in the report (e.g~anexplanation as to why the emissions

differ from the preconstruction projection).

12.3.1.7 Availability of Information

The owner or operator of the sou,~.shaIlmake the information required to

be documented and maintained pursuant to Section 12.3.1.6 available for

review upon a request for insoec~onky~theControl Officer. El)

12,3.1.8 Secondary Emissions

Secondarv emissions shall not be considered in determining whether a stationarv source would qualify as a major stationary source. If a stationary

source is subject to Section 12.3 on the basis of the direct emissions from

the stationary source, the requirements of Section 12.3.6, but no other provisions of Section 12.3, must also be met for secondary emissions.

12.3.2 Definitions

Unless the context otherwise requires, the following terms shall have the

meanings set forth below for the p~j~posesof Section 12.3. When a term is

not defined in these paragraphs hall have the meaning given in Section

0, or in the Act, in that order of prioril~

j~). “Actual emissions” means the actual rate of emissions of a regulated

NSA pollutant from an em~sionsunit, as determined in accordance

with this definition.

Li). In general, actual emissions as of a particular date shall equal

the average rate, in tpy~atwhich the emissions unit actually

emitted the regulated NSA pollutant during a consecutive 24-

month period which precedes the particular date and which is

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representative of normal source operation. The Control Officer

shall allow the use of a different time period upon a determination that it is more representative of normal source operation.

Actual emissions shall be calculated using the unit’s actual operating hours, production rates, and tv~esof materials processed, stored, or combusted during the selected time period.

12). The Control Officer may presume that source-specific allowable

emissions for the unit are equivalent to the actual emissions of

the unit.

~). For any emissions unit that has not beaun normal operations on

the particular date, actual emissions shall equal the PTE of the

unit on that date.

14). This definition shall not apply for calculating whether a significant emissions increase has occurred, or for establishing a PAL

under Section 12.3.9. Instead, projected actual emissions and

baseline actual emissions shall apply for those purposes.

1k). “Allowable emissions” means 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 operating rate, hours of operation, or both) and the most

stringent of the following:

Li). Any applicable standards set forth in these AQRs and 40 CFA

Parts 60, 61, or 63

12). Any applicable emission limitation in the Nevada SIP, including

those with a future compliance date; or

~). The emissions rate specified as a federally enforceable permit

condition, including those with a future compliance date.

j~). “Baseline actual emissions” means the rate of emissions, in toy, of a

regulated NSR pollutant, as determined in accordance with paragraphs (c)(1) through (c)(4) of this definition.

in For any existing electric utility steam generating unit, baseline

actual emissions means the average rate, in tpy, at which the

unit actually emitted the pollutant during any consecutive 24-

month period selected by the owner or operator within the 5-

year period immediately preceding when the owner or operator

begins actual construction of the project. The Control Officer

shall allow the use of a different time period upon a determination that it is more representative of normal source operation.

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j.~).The average rate shall include fugitive emissions, to the

extent quantifiabI~ndemissions associated with startups

and shutdowns, except emissions from a shutdown associated with a malfunction.

If). The average rate shall be adjusted downward to exclude

any noncompliant emissions that occurred while the source

was operating above any emission limitation that was legally enforceable durina the consecutive 24-month period.

j~).The average rate shall be adjusted downward to exclude

any emissions that would have exceeded an emission limitation with which the major stationary source must comply

as of the particular date, had such m~orstationary source

been required to comply with such limitations during the

consecutive 24-month period. For the purposes of determining baseline actual emissions for contemporaneous

changes pursuant to paragraph (11(B) of the definition of

net emissions increase, the particular date is the date on

which the particular change occurred. However, if an emission limitation is ~: of a maximum achievable control

technoloav standard that the Administrator proposed or

promulgated under 40 CFR Part 63, the baseline actual

emissions need only be adjusted if the state of Nevada has

taken credit for such emissions reductions in an attainment

demonstration or maintenance plan, consistent with the requirements of 4OCF:R 51.1 65(a)(3)(ii)(G).

12). For a regulated NSR pollutant, when a project involves

multiple emissions units, only one consecutive 24-month

period must be used to determine the baseline actual

emissions for the emissions units being changed. A different consecutive 24-month period can be used for each

regulated NSR p~Lutant.

~). The average rate shall not be based on any consecutive

24-month period for which there is inadequate information

for determining annual emissions, in tpy, and for adiusting

this amount if reg~j.(edby this definition.

12). For an existing emissions unit (other than an electric utility

steam generating uni~aselineactual emissions means the

average rate, in tpy, at which the emissions unit actually emitted

the pollutant during a!3y...consecutive 24-month period selected

by the owner or operator within the 10-year period immediately

preceding either•the date the owner or operator begins actual

construction of the pr~j~çt, or the date a complete permit appli12.3-6

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cation is received by the Control Officer for a permit required

under these AQAs, whichever is earlier, except that the 10-year

period shall not include any period earlier than November 15,

1990.

~). The average rate shall include fugitive emissions to the extent quantifiable.

If). The average rate shall include emissions associated with

startups and shutdowns, except emissions from a shutdown associated with a malfunction.

~). The average rate shall be adjusted downward to exclude

any noncompliant emissions that occurred while the source

was operating above an emission limitation that was legally

enforceable during the consecutive 24-month period.

12). The average rate shall be adjusted downward to exclude

any emissions that would have exceeded an emission limitation with which the major stationary source must comply

as of a particular date, had such major stationary source

been required to comply with such limitations during the

consecutive 24-month period. For the purposes of determining baseline actual emissions for contemporaneous

changes pursuant to paragraph (11(B) of the definition of

net emissions increase, the particular date is the date on

which the particular change occurred. However, if an emission limitation is part of a maximum achievable control

technology standard that the Administrator proposed or

promulgated under 40 CFR Part 63, the baseline actual

emissions need only be adjusted if the State of Nevada

has taken credit for such emissions reductions in an attainment demonstration or maintenance plan, consistent

with the requirements of 40 GFR 51.165(a)(3)(ii)(G).

If). For a regulated NSR pollutant, when a project involves

multiple emissions units, only one consecutive 24-month

period_must be used to determine the baseline actual

emissions for all the emissions units being changed. A different consecutive 24-month period can be used for each

regulated NSA pollutant.

(fl The average rate shall not be based on any consecutive

24-month period for which there is inadequate information

for determining annual emissions, in toy, and for adjusting

this amount if required by paragraphs (2)(B) and (21(C) of

this definition.

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~). For a new emissions u~~thebaseline actual emissions for purposes of determining the emissions increase that will result from

the initial construction and operation of such unit shall equal

zero; and thereafter, for all other purposes, shall equal the unit’s

PTE.

14). For a PAL for a statior~jysource, the baseline actual emissions

shall be calculated for existing electric utility steam generating

units in accordance with the procedures contained in paragraph

(1) of this definition; for other existing emissions units, in accordance with the procedures contained in paragraph (21 of this

definition; and for a new emissions unit, in accordance with the

procedures containedj~.paragraph(3) of this definition.

j~). “Basic design parameter” means:

In Except as provided in~j’agraph(3) of this definition, for a process unit at a steam electric generating facility, the owner or operator may select as its basic design parameters either maximum hourly heat input and maximum hourly fuel consumption

rate or maximum hourly electric output rate and maximum

steam flow rate. When establishing fuel consumption specifications in terms of wej~ihtorvolume, the minimum fuel quality

based on Btu content shall be used for determining the basic (‘ )

design parameter(s) fora coal-fired electric utility steam qenerating unit.

12). Except as provided in~~ragraph(3) of this definition, the basic

design parameter(s) for any process unit that is not at a steam

electric generating fa~ji are maximum rate of fuel or heat input, maximum rate of material input, or maximum rate of product

output. Combustion process units will typically use maximum

rate of fuel input. For sources having multiple end products and

raw materials, the ovvneror operator should consider the primary product or primajyjraw material when selecting a basic

design parameter.

~). If the owner or operator believes the basic design parameter(s)

in paragraphs (1) ancL(~)of this definition is not appropriate for

a specific industry or~y~eof process unit, the owner or operator

may propose to the Control Officer an alternative basic design

parameter(s) for the source’s process unit(s). If the Control Officer approves of the use of an alternative basic design parameter(s), the Control Officer shall issue a permit that is legally enforceable that records such basic design parameter(s) and

requires the owner oi~eratorto comply with such parameter(s).

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14). The owner or operator shall use credible information, such as

results of historic maximum capability tests, design information

from the manufacturer, or engineering calculations, in establishing the magnitude of the basic design parameter(s) specified in

paragraphs (1) and (2) of this definition.

~). If design information is not available for a process unit, then the

owner or operator shall determine the process unit’s basic design parameter(s) using the maximum value achieved by the

process unit in the 5-year period immediately preceding the

planned activity.

j~). Efficienc~,,of a process unit is not a basic design parameter.

jZ). The replacement activity shall not cause the process unit to exceed any emission limitation, or operational limitation that has

the effect of constraining emissions, that applies to the process

unit and that is legally enforceable.

~). “Begin actual construction” means ingeneral, initiation of physical

on-site construction activities on an emissions unit which are of a

permanent nature. Such activities include, but are not limited to, installation of building supports and foundations, laying of underaround

pipework, and construction of permanent storage structures. With respect to a change in method of operating, this term refers to those

on-site activities other than preparatory activities which mark the initiation of the change.

ifi “Best Available Control Technology (BACT)~means an emission limitation (including a visible emissions standard) based on the maximum degree of reduction for each regulated NSA pollutant which

would be emitted from any proposed major stationary source or major modification which the Control Officer, on a case-by-case basis,

taking into account energy, environmental, and economic impacts

and other costs, determines is achievable for such source or modification through application of production processes or available

methods, systems, and techniques, including fuel cleaning or treatment or innovative fuel combustion techniques for control of such

pollutant. In no event shall application of BACT result in emissions of

any pollutant which would exceed the emissions allowed by any applicable standard under 40 CFR Part 60 or 61. If the Control Officer

determines that technological or economic limitations on the application of measurement methodology to a particular emissions unit

would make the imposition of an emissions standard infeasible, a design, equipment, work practice, operational standard or combination

thereof may be prescribed instead to satisfy the requirement for the

application of BAGT. Such standard shall, to the degree possible, set

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forth the emissions reduction achievable by implementation of such

design, equipment, work practice, or operation, and shall provide for

compliance by means which achieve equivalent results.

jg). “Building, structure, facility, or installation” means all of the pollutantemitting activities which belona to the same industrial grouping, are

located on one or more contiguous or adjacent properties, and are

under the control of the same person (or persons under common

control) except the activities of any vessel. Pollutant-emitting activities shall be considered as.2~tof the same industrial grouping if they

belong to the same major q~p(i.e., which have the same SIC or

NAIGS code) as described in either.the Standard Industrial Classification (SIC) manual, 1972, as amended by the 1977 supplement or

the North American Industay Classificatior System (NAICS) manual.

Ifl). “Categorical stationary source11 means any stationary source of air

pollutants that belongs to one of the following categories of stationary

sources:

Ifl Fossil fuel-fired steam electric plants of more than 250 million

Btu per hour heat inpI~j •

12). Coal cleaning plants (with thermal dryers)j (

1~). Kraft pulp mills:

14). Portland cement plan~j

j~). Primary zinc smelter~

.(~). Iron and steel mills

1Z). Primary aluminum ore reduction plants

~). Primary copper smelters~

1~). Municipal incinerators capable of charging more than 50 tons of

refuse per day

I1Q). Hydrofluoric, sulfuric., or nitric acid plants

iii). Petroleum refineries;.

L12). Lime plants

Li~).Phosphate rock processing plants:

11.4). Coke oven batteries;.

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Li.~).Sulfur recovery plants

L1~).Carbon black plants (furnace process):

LiZ). Primary lead smelters

Lie). Fuel conversion plants

119). Sintering plants:

L2Q). Secondary metal production plants

.(2fl Chemical process plants:

122). Fossil-fuel boilers (or combination thereof) totaling more than

250 million Btu per hour heat input

12~).Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels

124). Taconite ore processing plants

12.~).Glass fiber processing plants:

12k). Charcoal production plants: and

12Z). Any other stationary source category, which as of August 7,

1980 is being reaulated under Section 111 or 112 of the Act.

“Clean coal technology” means any technology, including technologies applied at the precombustion, combustion, or post combustion

stage, at a new or existing facility which will achieve significant reductions in air emissions of sulfur dioxide or oxides of nitrogen associated with the utilization of coal in the generation of electricity, or

process steam which was not in widespread use as of November 15,

1990.

ffi “Clean Coal Technology Demonstration Proiect” means a prolect using funds appropriated under the heading “Department of EnergyClean Coal Technology,” up to a total amount of $2.5 billion for

commercial demonstration of clean coal technology, or similar projects funded through appropriations for the EPA. The federal contribution for a qualifying project shall be at least twenty (20) percent of

the total cost of the demonstration project.

1J~). “Commence,” as applied to construction of a major stationary source

or major modification, means that the owner or operator has all nec-

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essarv preconstruction approvals or permits, including an Authority to

Construct Permit, and either has: \\•• .1

Li). Begun, or caused to b~gjp,a continuous program of actual onsite construction of the source, to be completed within a reasonable time; or

12). Entered into bjndinQag~~ementsor contractual obligations1 which cannot be canceled or modified without substantial loss to the owner or operator, to undertake a program of actual construction of the source, to be completed within a reasonable

time.

ifi “Complete” means, in reference to an application for a permit, that

the application contains all of the information necessary for processing the application. Designating an application complete for purposes

of permit processing does not preclude the Control Officer from requesting or accepting anyadditional information.

j~). “Construction” means any physical change, or chanae in the method

of operation (including fabrication, erection, installation, demolition, or

modification of an emissions unit), that would result in a chance in

emissions.

jo). “Continuous Emissions Monitoring System (GEMS)” means all of the

equipment that may be required to meet the data acquisition and

availability requirements of Section 12.3, to sample, condition (if applicable), analyze, and provide a record of emissions on a continuous

basis.

12). “Continuous Emissions Rate Monitoring System (GERMS)” means

the total equipment required for the determination and recording of

the pollutant mass emissions rate (in terms of mass per unit of time).

Ip). “Continuous Parameter Monitoring System (GPMS)” means all of the

equipment necessary to meet the data acquisition and availability requirements of Section 12.3. to monitor process and control device

operational parameters and other information and to record averaq~

operational parameter value(s) on a continuous basis.

fp). “Electric Utility Steam Generating Unit” means any steam electric

generating unit that is con~Ia~ctedfor the purpose of supplying more

than one-third of its potential electric output capacity, and more than

25 MW of electrical output, to any utility power distribution system.

Any steam supplied to a steam distribution system for the purpose of

providing steam to a steam-electric generator that would produce

electrical energy for sale is also considered in determining the elec

trical energy output capaci~y..gfthe affected facility.

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~). “Emission Reduction Credit (ERG)” means a unit of emission reduction (in tpy) that has been issued by the Control Officer in accordance

with the provisions set forth in Sections 12.3.6 and 12.7.

j~). “Emissions Unit” means any part of a stationary source that emits, or

would have the potential to emit, any regulated NSA pollutant and includes an electric utility steam generating unit. For purposes of Section 12.3, there are two types of emissions units as described in

paragraphs (1) and (2) of this definition:

in A “new emissions unit~’is any emissions unit which is (or will be)

newly constructed and which has existed for less than two (2)

years from the date such emissions unit first operated. Forthe

purposes of this definition, the date an emissions unit first operated shall not be extended by any shakedown period established pursuant to paragraph (aa)(6) of Section 12.3.2.

121 An “existing emissions unit” is any emissions unit that does not

meet the requirements in paragraph (11 of this definition. A replacement unit is an existing emissions unit.

ifi “Federally Enforceable” means all limitations and conditions which

are enforceable by the Administrator.

1g.). “Federal Land Manager’ means, with respect to any lands in the

United States, the Secreta~of the Department with authority over

such lands.

~). “Fugitive Emissions” means those emissions which could not reasonably pass through a stack, chimney, vent, or other functionally

equivalent opening.

~). “Lowest Achievable Emission Rate (LAER)” means, for any source,

the more stringent rate of emissions based on the following:

Ii). The most stringent emission limitation which is contained in the implementation plan of any state for such class or category of

stationary source, unless the owner or operator of the ~rooosed

major stationary source demonstrates that such limitations are

not achievable; or

12). The most stringent emission limitation which is achieved in practice by such class or category of stationary sources. This limitation, when applied to a major modification, means the LAEA for

the new or modified emissions units within the stationary

source. In no event shall the application of the term permit a

proposed new or modified stationary source to emit any pollut- /

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ant in excess of the amount allowable under an applicable new

source standard of performance.

For purposes of this definition only, the term “any state” means

a state, the District of Columbia, the Commonwealth of Puerto

Rico, the Virgin Island~uam,and American Samoa, and includes the Gommonweai~hof the Northern Mariana Islands.

j~). “Major Modification” means any physical chance in, or chanae in the

method of operation of, a rq~jQrstationary source that would result in

a significant emissions increase of a regulated NSR pollutant and a

significant net emissions increase of that pollutant from the maior stationary source.

in Any significant emissions increase from any emissions units or

net emissions increase at a maior stationary source that is significant for volatile organic compounds shall be considered significant for ozone.

12). Any significant emissions increase from any emissions units or

net emissions increase at a major stationary source that is significant for nitrogen oxides shall be considered significant for

ozone unless EPA ha~gianteda waiver for nitrogen oxides

emissions under Section 182(f) of the Act and the waiver con- (~~)

tinues to apply.

~). A physical change or chance in the method of operation shall

not include:

~ Routine maintenance, repair, and replacement

If). Use of an alternative fuel or raw material by reason of an

order under Sections 2(a) and (b) of the Energy Supply

and Environmen~LCoordinationAct of 1974 (or any superseding legislation), or by reason of a natural gas curtailment plan pursuant to the Federal Power Act

j~).Use of an altem~~efuel by reason of an order or rule under Section 125 of the Act

12). Use of an alternafive fuel at a steam generating unit, to the

extent that the fi~jJsgenerated from municipal solid

waste

If). Use of an alternatve fuel or raw material by a stationary

source which:

12.3-14

2-132
1i). The source was capable of accommodating before

December21, 1976, unless such change would be

prohibited under any federally enforceable permit

condition which was established after December 21,

1976 pursuant to Section 12 or under regulations

approved pursuant to 40 GFR Part 51, Subpart I.

11!). The source is approved to use under any permit issued under Section 12.

IE). An increase in the hours of operation or in the production

rate, unless such change is prohibited under any federally

enforceable permit condition which was established after

December 21, 1976

~). Any change in ownership at a stationary source

fjj). The installation, operation, cessation, or removal of a

Temporary Clean Coal Technology Demonstration Project,

provided that the project complies with:

ffi The Nevada SIP; and

hi). Other requirements necessaryto attain and maintain the National Ambient Air Quality Standards during the project and after it is terminated.

hi). The installation or operation of a permanent Glean Coal

Technology Demonstration Project that constitutes repowering, provided that the project does not result in an increase in the potential to emit of any regulated pollutant

emitted by the unit. This exemption shall apply on a pollutant-by-pollutant basis; or

j~). The reactivation of a very clean coal-fired electric utility

steam generating unit.

14). This definition shall not apply with respect to a particular regulated NSA pollutant when the Major Stationary Source is complying with the requirements under Section 12.3.9 for a PAL for

that regulated NSA pollutant. Instead, the definition of PAL major modification shall apply.

L~). The fugitive emissions of a major stationary source shall not be

included in determining, for any of the purposes of Section 12.3,

whether a particular physical change or change in the method of

operation is a major modification unless the major stationary

source is a categorical stationary source or belongs to any other

__/ /7

2-133
stationary source categ~rywhich, as of August 7, 1980, was be- (~

mg_regulated under Section 111 or 112 of the Act. ‘\..

1~). “Major Stationary Source” means:

111 Any stationary source of air pollutants which emits, or has the potential to emit, 100 tpy or more of any regulated NSR pollutant except:

~). For an area desigj~tednonattainment for PM10 and classified as “serious,” a major stationary source is a stationary

source which ~ or has the potential to emit, seventy

(70) tpy or more of PM10.

If). A major stationary source is a stationary source which

emits, or has the potential to emit, fifty (50) tpy or more in

an area classified as “serious” nonattainment for CO where

stationary sources significantly contribute to ambient CO

levels, as determined under regulations issued by EPA

pursuant to the Act.

jQ). For an area designated nonattainment for ozone, a source

with the potential to emit VOC or NOx in the following

amounts shall be considered a major stationary source:

jj). ~100 toy in areas classified as “marginal” or “moderate”

Iii). 50tpy in areas classified as “serious”

j~jJ). ~25tpy in areas classified as “severe”: and

fj~). ~10 toy in areas classified as “extreme.”

12). Any physical chanae that would occur at a stationary source not

qualifying as a major stationary source under paragraph (1) of

this definition, if the change would constitute a major stationary

source by itself underp~agraph(11.

~). A major stationaiy~ourcethat is major for volatile organic

compounds shall be considered major for ozone.

If). A major stationati source that is major for nitrogen oxides

shall be considered major for ozone, unless EPA has

granted a waiver for nitrogen oxides emissions under Section 182(f) of the Act and the waiver continues to apply.

_____— C.’

12.3-16

2-134
f~).The fugitive emissions of a stationary source shall not be included in determining for any of the purposes of Section 12.3

whether it is a major stationary source, unless the source is a

categorical stationary source or belongs to any other stationary

source category which, as of August 7, 1980, was being regulated under Section 111 or 112 ofthe Act.

~). “Necessary preconstruction approvals or permits” means those permits or approvals required under air quality control laws and regulations that are part of the Nevada SIP, these AQRs, or federal air

quality control laws and regulations, including the Authority to Construct Permits issued pursuant to Section 12.4.

j~). “Net Emissions Increase” means, with respect to any regulated NSA

pollutant emitted by a major stationary source, the following:

Li). The amount by which the sum of the following exceeds zero:

~). The increase in emissions from a particular physical

change, or change in the method of operation, at a stationary source as calculated pursuant to paragraphs (a)

through (e) of Section 12.3.1.4; and

If). Any other increases and decreases in actual emissions at

the major stationary source that are contemporaneous with

the particular change and are otherwise creditable.

~fl For the purposes of calculating increases and decreases under paragraph (1)(B) of this definition,

baseline actual emissions prior to the contemporaneous project shall be determined as provided in the

definition of baseline actual emissions, except that

paragraphs (11(D) and (2)(E) of that definition shall

not apply.

Iii). Forthe purposes of calculating increases under

paragraph (11(B) of this definition, actual emissions

after the contemporaneous project shall be determined as provided in the definition of actual emissions, except as provided in paragraph (11(E) of this

definition.

liii). For the purposes of calculating increases under

paragraph (11(B) of this definition, if the Control Officer determines that there is no sufficiently representative time period of actual emissions after a contemporaneous project, pursuant to paragraph (a)(1)

of Section 12.3.2, actual emissions after the con- /

12à~/

/.

2-135
temporaneous project shall be determined as provided in the definition of projected actual emissions.

1i~). For the pq~~sesof calculating decreases under

paragraph (11(B) of this definition, actual emissions

after the contemporaneous project shall be determined as ~vided in the definition of actual emissions.

12). An increase or decrease in actual emissions is contemporaneous with the increase from the particular change only if it occurs

between the date fivej~yearsbefore construction on the particular change commences and the date that the increase from

the particular change occurs.

~). An increase or decrease in actual emissions is creditable only if

the Control Officer has not relied on it in issuing a permit for the

source under Section j~or any other regulation approved by

the Administrator pursuant to 40 CFR Part 51 or 40 CFR Part

52.21, which permit is in effect when the increase in actual

emissions from the particular change occurs.

14). An increase in actual emissions is creditable only to the extent

that the new level of actual emissions exceeds the old level. ( ‘~ \~1

L~). A decrease in actual emissions is creditable only to the extent

that:

~). The old level of actual emissions or the old level of allowable emissions, whichever is lower, exceeds the new level

of actual emissio~j

If). It is enforceable asa practical matter at and after the time

that actual construction on the particular change begins

~). The Control Officer has not relied on it in issuing any permit under Section 12 or any other regulations approved

pursuant to 40 CFR Part 51, Subpart I, nor has the state of

Nevada relied on itin demonstrating attainment or reasonable further Progress: and

12). It has approximately the same qualitative significance for

public health and welfare as that attributed to the increase

from the particular change.

~). An increase that results from a physical change at a source occurs when the emissions unit on which construction occurred (

becomes operational and begins to emit a particular pollutant.

12.3-18

2-136
Any replacement unit that requires shakedown, or any new

emissions unit that replaces an existing emissions unit and that

requires shakedown, becomes operational only after a reasonable shakedown period, not to exceed one hundred eighty (180)

days.

j~). “Nonattainment Major New Source Review (NSA) Program” means a

major source preconstruction permit program that has been approved by the Administrator and incorporated into the Nevada SIP, or

a program that implements 40 CFR Part 51, Appendix 5, Sections I

through VI. Any permit issued under such a program is a major NSA

permit.

Icc). “Permanent” means an emission reduction which is federally enforceable for the life of a corresponding increase in emissions. For

federal Emission Aeduction Credits (ERCs), emission reductions for

a stationary source are permanent if the reductions are federally enforceable and the reductions occur over the duration of the ERG rule.

~). “Potential to Emit (PTE)” means the maximum capacity of a stationary source to emit a pollutant under its physical and operational design. Any physical or operational limitation on the capacity of the

source to emit a pollutant, including air pollution control equipment

and restrictions on hours of operation or on the types or amounts of

material combusted, stored, or processed, shall be treated as part of

its design only if the limitation or the effect it would have on emissions is federally enforceable. Secondary emissions do not count in

determining the PTE of a stationary source.

~). “Predictive Emissions Monitoring System (PEMS)” means all of the

equipment necessary to monitor process and control device operational parameters and other information, and calculate and record the

mass emissions rate on a continuous basis.

jif). “Prevention of Significant Deterioration (PSD) Permit” means any

permit that is issued under a major source preconstruction permit

program that has been approved by the Administrator and incorporated into the Nevada SIP to implement the requirements of Part C,

Subchapter I of the Act.

mg). “Project” means a physical change in, or change in the method of

operation of, an existing major stationary source.

ffl~). “Projected Actual Emissions” means the maximum annual rate, in

toy, at which an existing emissions unit is projected to emit a regulated NSA pollutant in any one of the five (5) years (12-month period)

- following the date the unit resumes regular operation after the pro- /

12.3/

/

2-137
ject, or in any one of the teiilj.0) years following that date, if the pro- (‘~~~“

ject jnvolves increasing the design capacity or PTE of any emissions

unit for that regulated NSR pollutant and full utilization of the unit

would result in a siqnificant emissions increase or a significant net

emissions increase at the r~jgrstationary source.

Li). In determining the proj~gjedactual emissions (before beginning

actual construction), the owner or operator of the major stationary source:

j~). Shall consider all relevant information, including, but not

limited to, historical operational data, the company’s own

representations, the company’s expected business activity

and the companv~sj~ighest projections of business activity,

the company’s filings with the county, state or federal regulatory authorities, and compliance plans under these

AQRs

If). Shall include fugitive emissions to the extent quantifiable

~). Shall include emissions associated with startups and shutdowns, except emissions from a shutdown associated with

a malfunction: and

12). Shall exclude, only for calculating any increase in emis- ~. 2

sions that results from the particular project, that portion of

the unit’s emissions following the project that an existing

unit could have accommodated during the consecutive 24-

month period used to establish the baseline actual emissions and that are also unrelated to the particular project,

including any increased utilization due to product demand

growth.

12). In lieu of using the method set out in paragraphs (1)(A) throu~b

(11(D) of this definition, the owner or operator of the major stationary source may elect to use the emissions unit’s PTE in toy.

fjft “Regulated NSA Pollutant,” for purposes of Section 12.3, means:

Li). Nitrogen oxides or any~platileorganic compounds:

12). Any pollutant for which a National Ambient Air Quality Standard

has been promulgated and any constituents or precursors identified by the Administrator; or

~). Any pollutant that is a constituent or precursor of a general pollutant listed under paragraphs (1) or (2) of this definition, pro12.3-20

2-138
vjded that a constituent or precursor pollutant may only be regulated under NSA as part of regulation of the general pollutant.

hill “Replacement Unit” means an emissions unit for which all the criteria

listed in paragraphs (1) through (4) of this definition are met. No creditable emission reductions shall be generated from shutting down the

existing emissions unit that is replaced. The criteria are:

in The emissions unit is a reconstructed unit within the meaning of

40 GFR 60.15(b)(1), or the emissions unit completely takes the

place of an existing emissions unit.

12). The emissions unit is identical to, or functionally equivalent to,

the replaced emissions unit.

~). The replacement does not alter the basic design parameters of

the process unit.

14). The replaced emissions unit is permanently removed from the

major stationary source, otherwise permanently disabled, or

permanently barred from operation by a permit that is enforceable as a practical matter. If the replaced emissions unit is

brought back into operation, it shall constitute a new emissions

unit.

I!~). “Secondary Emissions” means emissions which would occur as a result of the construction or operation of a major stationary source or

major modification, but do not come from the major stationary source

or major modification itself. Forthe purpose of Section 12.3, secondary emissions must be specific, well defined, quantifjable, and impact the same general area as the stationary source or modification

which causes the secondary emissions. Secondary emissions include emissions from any offsite support facility which would not be

constructed or increase its emissions except as a result of the construction or operation of the maior stationary source or major modification. Secondary emissions do not include any emissions which

come directly from a mobile source, such as emissions from the tailpipe of a motor vehicle, from a train, or from a vessel.

11!). “Shutdown” means the cessation of operation of any air pollution

control equipment or process equipment for any purpose except routine phasing out of process equipment.

(mm) “Significant” means, in reference to a net emissions increase or the

potential of a source to emit any of the following pollutants, a rate of

emissions that would equal or exceed any of the following rates:

in Carbon monoxide:

2-139
1~). lOOtpy;or

If). 50 tpy in an area designated nonattainment for CO and

classified as “serious,” and where stationary sources significantly contribute to ambient GO levels as determined

under regulations issued by EPA pursuant to the Act.

12). Nitrogen oxides: 40 tpyj

~). Sulfur dioxide: 40 toy

14). Ozone:

j~). 40 toy of VOCs; or

If). 40 toy of nitrogen oxides, unless EPA has granted a waiver

for nitrogen oxides emissions under Section 182(f) of the

Act and the waiver continues to apply.

L~.). PM~:15 toy

j~). ~j~4~i Otpy of direct PM2.5 emissions or 40 toy of sulfur dioxide

emissions or 40 toy of nitrqgen dioxide emissions; and

IZ). Lead: 0.6 tpy. El)

fjj~). “Significant Emissions Increase” means, for a regulated NSA pollutant, an increase in emissions that is significant for that pollutant.

~p~).“Startup” means the settingJ~tooperation of any air pollution control

equipment or process egu~~ent for any purpose except routine

phasing in of process eguip~ent.

12~). “Stationary Source” means any building, structure, facility, or installation which emits or may ernita regulated NSA pollutant.

12~). “Surplus” means an emission reduction that has not been relied on in

any air quality program related to any SIP, that is not a Nevada SIP

requirement, that is not a i~g~iirement of a state air guality program

that has been adopted bul: is not in the Nevada SIP, is not credited in

any federal reasonable further progress or other milestone demonstration. is not a requirement of a consent decree, is not a requirement of a federal rule thati~useson reducing criteria air pollutants

or their precursors, and has not already been credited in any other air

quality program. The purpose of requiring that emissions offsets be

surplus is to prohibit double-counting of emission reductions.

12.3-22

2-140
j~). “Temporary Glean Coal Technology Demonstration Proiect” means a

Clean Coal Technology Demonstration Project that is operated for a

period of five (5) years or less, and which complies with the SIP for

the state in which the project is located and with other requirements

necessary to attain and maintain the National Ambient Air Quality

Standards during the project and after it is terminated.

12.3.3 Statewide Compliance

Prior to issuance of an Authority to Construct Permit for a new major stationary source or major modification subject to Section 12.3. the applicant

shall either demonstrate that each existing major stationary source owned

or operated by the applicant in the state of Nevada is in compliance with all

applicable emission limitations and standai~dsunder the Act or is in compliance with an expeditious schedule which is federally enforceable or contained in a court decree.

12.3.4 Analysis of Alternatives

Priorto issuance of an Authority to Construct Permit for a new major stationary source or major modification subject to Section 12.3, the applicant

shall submit an analysis of alternative sites, sizes, production processes,

and environmental control techniques for the proposed source that demonstrates, to the satisfaction of the Control Officer, that the benefits of the proposed source significantly outweigh the environmental and social costs imposed as a result of its location, construction, or modification.

12.3.5 Lowest Achievable Emission Rate

12.3.5.1 Applicable Requirements

A major stationary source or major modification shall meet each applicable

requirement.

12.3.5.2 Permit Requirements to Achieve LAER

An Authority to Construct Permit for a new major stationary source or major

modification shall contain terms and conditions sufficient to ensure that the

malor stationary source or major modification will achieve LAER in accordance with paragraphs (a) and (b) of Section 12.3.5.2:

La). A new major stationary source shall achieve LAER for each regulated NSA pollutant that it would have the potential to emit in significant amounts.

1k). A major modification shall achieve LAER for each regulated NSR p01-

lutant for which it would result in a significant net emissions increase //

2-141
at the stationary source. This requirement applies to each proposed

emissions unit at which a net emissions increase in the pollutant

would occur as a result of a physical change, or change in the

method of operation, in the emissions unit.

12.3.6 Emissions Offset

12.3.6.1 Sufficiency of Reductions

Prior to issuance of an Authority to Construct Permit for a new major stationary source or major modifjcatic~i.jheControl Officer shall make a determination that, by the time the source is to commence operation, sufficient

offsetting emissions reductions will be surrendered priorto commencing operation, such that alldwable emissions from existing sources in the nonattainment area, from new or modified sources which are not major stationary

sources, and from the proposed source or modification will be sufficiently

less than total emissions from existinci sources prior to the application for

the offset. At a minimum, this determination requires the applicant to satisfy

the offset requirements in Section 12.3.6.2.

12.3.6.2 Offset Methods

Pollutant-specific emissions shall be offset with federally enforceable ERGs

or with internal emission reductior~ El~

j~). ERGs from one or more sources may be used, alone or in combination with internal emission reductions, in order to satisfy offset requirements.

1k). Internal emission reductions used to satisfy offset requirements shall

be governed by Sections 12.3.6.3 through 12.3.6.8 and Section 12.7.

Ic). ERCs used to satisfy offseL~guirementsshall be governed by Sections 12.3.6.3 through 12.26.6, Section 12.3.6.8, and Section 12.7.

12.3.6.3 Restrictions on Trading Pollutants

j~). Pursuant to the Nevada Revised Statutes, Section 445.B.508 (21(c).

purchasing or selling credits of one type of pollutant is prohibited if

such credits would be used subsequently to produce a different type

of pollutant.

1k). For the purposes of satisfyjfl9.the offset requirements with respect to

ozone, offsetting of VOC emissions increases with NQ~emissions

decreases, or NO~emissionsincreases with VOG emissions decreases, shall not be prohibited trading.

12.3-24

2-142
Ic). For the purposes of satisfying the offset requirements with respect to

~ offsetting of PM~emissions increases with SO2or NO~emissions decreases, or 502 or NO~emissions increases with PM~decreases, shall not be prohibited trading.

12.3.6.4 Timing

j~). Internal emission reductions used to satisfy an offset requirement

must be federally enforceable at the time of issuance of the Authority

to Construct Permit containing the offset requirements.

1k). Except as provided by paragraph (c) of Section 12.3.6.4, the decrease in actual emissions used to generate EAGs or internal emission reductions must occur by no later than the commencement of

operation of the new or modified major stationary source.

Ic). Where the new facility is a replacement for a facility that is being shut

down in order to provide the necessary offsets, the Control Officer

may allow up to one hundred eighty (180) calendar days for shakedown or commissioning of the new facility before the existing facility

is required to cease operation.

12.3.6.5 Quantity

The quantity of ERCs or internal emission reductions required to satisfy offset requirements shall be determined in accordance with the following:

j~). The unit of measure for offsets, ERCs, and internal emission reductions shall be toy. All calculations and transactions shall use emission

rate values rounded to the nearest one one-hundredth (0.01) toy.

1k). The quantity of ERGs or internal emission reductions required shall

be calculated as the product of the amount of increased emissions,

as determined in accordance with paragraph (c) of Section 12.3.6.5,

and the offset ratio, as determined in accordance with paragraph (dl

of Section 12.3.6.5.

Ic). The amount of increased emissions shall be determined as follows:

in The amount of increased emissions includes fugitive emissions

in the case of all major stationary sources, including categorical

sources.

I?). When the offset requirement is triggered by the construction of a

new major stationary source, the amount of increased emissions shall be the sum of the PTE of all emissions units.

12.9f .,

//

2-143
~). When the offset requirement is triggered by a major modification

of an existing maior stationary source, the amount of increased

emissions shall be the sum of the differences between the allowable emissions aftejj!je modification and the actual emissions before the modification for each emissions unit.

(ç~). The offset ratio shall be expressed as a ratio of emissions reductions

to emissions increases.

in The following table contah~soffset ratios by designated area

and pollutant.

12). The ratios listed in TaL~ei2.3-1 shall be applied based on the

classifications contained in the table for a specific pollutant.

Table 12.3-1. Federal Offset Ratio Requirements by Area Designation and Pollutant

Area Designation — — Pollutant Offset Ratio

.. ~sjonattainment without Designation —_____________________

1:1

— VOC 1:1

.

Senous Nonattainment Area CO

— —

1:1

- EMi~ i~i

fe). The major stationary source shall be given credit for any portion of Ci.)

the NEI that was previously offset. A pre-modification PTE may only

include fugitive emissions if the fugitive emissions were included in

the emissions inventory prior to the modification.

12.3.6.6 Emission Reduction Requirements

Emission reductions used to satis!y..~noffset requirement shall meet the following requirements:

j~). Emission reductions used ito satisfy offset requirements must be real,

surplus, permanent, quantifiable, and federally enforceable.

fj~). Permitted sources whose internal emission reductions are used to

satisfy offset requirements must appropriately amend or cancel their

Authority to Construct Permit and/or Part 70 Operating Permit to reflect their new reduced PT~JpcIudingpracticably enforceable conditions to limit their PTE.

Ic). Emission reductions used to satisfy offset requirements must be surplus at the time of issuance of the Authority to Construct Permit containing the offset requirements.

U

12.3-26

2-144
12.3.6.7 Location of Internal Reductions

Internal emission reductions used to satisfy offset requirements shall occur

at the same major stationary source at which the increase in emissions occurs. Emission reductions not meeting this criterion shall meet the requirements for ERCs prescribed by Section 12.7.

12.3.6.8 Emission Reduction Credit Requirements

EAGs used to satisfy an offset requirement shall meet the following requirements:

j~). Restrictions on offsetting emissions between airshed regions:

in Except as provjded by paragraph (a)(2) of Section 12.3.6.8, offsetting emissions from a source located within an airshed region

with ERGs from a source located in a different airshed region

shall not be allowed.

12). The Control Officer may approve the use of NO~and VOC

ERCs between airshed regions for the same nonattainment

area within the Clark County boundary to satisfy NO~and VOG

offset requirements for that nonattainment area.

1k). The source owner or responsible official utilizing ERCs to satisfy offsets must demonstrate to the satisfaction of the Control Officerthat

such utilization will not significantly cause or contribute to a violation

of a National Ambient Air Quality Standard or an exceedance of a

PSD increment identified in Section 12.2.

Ic). The use of ERCs shall not provide:

in Authority for, or the recognition of, any ore-existing vested right

to emit any regulated NSA pollutant:

12). An exemption to a stationary source for emission limitations established in accordance with New Source Performance Standards pursuant to Section 14:

~). Authority for, or the recognition of, any rights that would be contrary to applicable law; or

14). An exemption to a stationary source from any other air pollution

control requirements of federal, state, or county laws, rules, and

regulations.

2-145
12.3.6.9 ERC Registry

f~). The ERG Registry and its use shall not interfere with the attainment

or maintenance of any National Ambient Air Quality Standard.

1k). The ERC Registry and its use shall assure that the use of ERGs

does not contravene applicable requirements of the Act and Nevada

Revised Statues (NRS) Ch~pj~r445B.

12.3.7 Source Obligation

12.3.7.1 Enforcement

Any owner or operator who constructs or operates a source or modification

not in accordance with the application submitted pursuant to Section 12.3 or

12.4 and any changes to the applk~ationas required by the Gontrol Officer,,

or with the terms of its Authority to Construct Permit, or any owner or operator of a source or modification sut~j~ttoSection 12.3 who begins actual

construction after the effective date of these AQRs without applying for and

receiving an Authority to Construct Permit, shall be subject to enforcement

action.

12.3.7.2 Termination

Approval to construct shall terminate if construction is not commenced El)

within eighteen (18) months after receipt of such approval, if construction is

discontinued for a period of eiqhtQ~(18) months or more, or if construction

is not completed within a reasonq~~time. The Control Officer may extend

the 18-month period upon a satisfactory showing of good cause why an extension is justified. This provision..~Q.esnot apply to the time period between

construction of the approved phases of a phased construction project; each

phase must commence constructj~nwithin eighteen (181 months of the proj~ctedand approved commence!~Dtdate.

12.3.7.3 Compliance

Approval to construct shall not relieve any owner or operator of the responsibility to comply fully with applicable provisions of the SIP and any other requirements under local, state, or federal law.

12.3.7.4 Relaxation in Enforceable Limitations

At such time that a particular stat onary source or modification becomes a

major stationary source or maior modification solely by virtue of a relaxation

in any enforceable limitation which was established after August 7, 1980, on

the capacity of the stationary source or modification otherwise to emit a p01-

lutant, then the requirements of Sections 12.3.3 through 12.3.7 shall apply

12.3-28

2-146
to the stationary source or modification as thouah construction had not yet

commenced on the stationary source or modification.

12.3.8 Public Participation

Issuance of an Authority to Construct Permit pursuant to Section 12.3 and

Section 12.4 shall be subject to the public participation requirements in Section 12.2.16.

12.3.9 Plantwide Applicability Limits (PAL)

12.3.9.1 Applicability

~). The Control Officer may approve the use of an actuals PAL for any

existing major stationary source if the PAL meets the requirements in

Sections 12.3.9.1 through 12.3.9.15. The term “PAL” shall mean “actuals PAL” throughout Section 12.3.9.

1k). Any physical change in, or change in the method of operation of, a

major stationary source that maintains its total source-wide emissions below the PAL level, meets the reguirements of Sections

12.3.9.1 through 12.3.9.14, and complies with the PAL conditions in

its Part 70 Operating Permit:

in Is not a major modification for the PAL pollutant

12). Does not have to be approved through the plan’s Nonattainment

Major NSA Program; and

~). Is not subject to the provisions in Section 12.3.7.4.

Ic). Except as provided under paragraph (b)(3) of Section 12.3.9.1, a major stationary source shall continue to comply with all applicable federal or state requirements, emission limitations, and work practice

requirements that were established prior to the effective date of the

PAL.

12.3.9.2 Definitions

Unless the context otherwise requires, the following terms shall have the

meanings set forth below for the purposes of Section 12.3.9. When a term is

not defined in these paragraphs, it shall have the meaning given in Section

12.3.2, Section 0, or in the Act.

~). “Actuals PAL for a major stationary source” means a PAL based on

the baseline actual emissions of all emissions units at the source that /

emit, or have the potential to emit, the PAL pollutant.

2-147
1k). “Allowable emissions” means allowable emissions as defined in

paragraph (b) of Section 12.3.2, except as this definition is modified

according to paragraphs (1)..~Dd(2) below:

in The allowable emissions for any emissions unit shall be calculated considering any emission limitations that are enforceable

as a practical matter on the emissions unit’s PTE.

12). An emissions unit’s PIE shall be determined using the definition

in paragraph (d)(d) of Section 12.3.2, except that the words “or

enforceable as a practical matter’ should be added after “Federally Enforceable.”

~). “Major emissions unit” means:

in Any emissions unit that emits, or has the potential to emit, 100

toy or more of the PALpgllutant in an attainment area: or

12). Any emissions unit that emits, or has the potential to emit, the

PAL pollutant in an amount that is equal to or greaterthan the

maior source threshold forthe PAL pollutant as defined by the

Act for nonattainment areas.

~). “PAL” means an emission limitation, expressed in tpy, for a pollutant

at a major stationary sourc~jbatis enforceable as a practical matter

and established source-wide in accordance with Sections 12.3.9.1

through 12.3.9.15.

f~). “PAL effective date” genera!j~meansthe date of issuance of the Part

70 Operating Permit containing the PAL conditions, or the date on

which a significant permit revision containing the PAL conditions becomes effective. However, the PAL effective date for an increased

PAL is the date any emissions unit which is part of the PAL major

modification becomes operational and begins to emit the PAL pollutant.

jf). “PAL effective period” means the period beginning with the PAL effective date and ending ten (10) years later.

Is). “PAL major modification” means, notwithstanding the definitions for

major modification and net emissions increase, any physical change

in, or change in the metho~j.operationof, the PAL source that

causes it to emit the PAL poHutant at a level equal to or greaterthan

the PAL.

Ib). “PAL pollutant” means the pQ!jutant for which a PAL is established at

a major stationary source.

12.3-30

2-148
Si). “Proiect” means a physical change in, or change in the method of

operation of, an existing stationary source.

Ii). “Significant emissions unit” means an emissions unit that emits, or

has the potential to emit, a PAL pollutant in an amount that is equal

to or greater than the significant level as defined in paragraph (m)(m)

Section 12.3.2 or in the Act, whichever is lower, for that PAL pollutant, but less than the amount that would qualify the unit as a major

emissions unit.

fj~). “Small emissions unit” means an emissions unit that emits, or has

the potential to emit, the PAL pollutant in an amount less than the

significant level as defined in paragraph (m)(m) Section 12.3.2 or in

the Act, whichever is lower, for that PAL pollutant.

12.3.9.3 Permit Application Requirements

As part of an application for a Part 70 Operating Permit requesting a PAL,

the owner or operator of a major stationary source shall submit the following

information to the Control Officer for approval:

j~). A list of all emissions units at the source designated as small, significant, or major based on their PIE. In addition, the owner or operator

of the source shall indicate which, if any, federal, state or county applicable requirements, emission limitations, or work practices apply to

each unit:

1k). Calculations of the baseline actual emissions (with supporting documentation). Baseline actual emissions are to include emissions associated not only with operation of the unit, but also emissions associated with startup, shutdown, and malfunction

~). The calculation procedures that the major stationary source owner or

operator proposes to use to convert the monitoring system data to

monthly emissions and annual emissions based on a 12-month rolling total for each month, as required by paragraph (a) of Section

12.3.9.13.

12.3.9.4 General Requirements for Establishing PALs

5~). The Control Officer may establish a PAL at a major stationary

source, provided that, at a minimum, the requirements in paragraphs

(a)(1) through (a)(7) of Section 12.3.9.4 are met.

in The PAL shall impose an annual emission limitation, in tpy, that

is enforceable as a practical matter, for the entire major stationary source. For each month during the PAL effective period after

the first twelve (12) months of establishing a PAL, the major sta-

/7

2-149
tionary source owner oLQperator shall show that the sum of the

monthly emissions from each emissions unit under the PAL for

the_previous twelve (12) consecutive months is less than the

PAL (a 12-month average, rolled monthly). For each month during the_first_eleven (1 1’LWpnths from the PAL effective date, the

major stationary source owner or operator shall show that the

sum of the preceding monthly emissions from the PAL effective

date for each emissions unit under the PAL is less than the

PAL.

12). The PAL shall be established in a Part 70 Operating Permit as a

significant permit revision.

5.~). The Part 70 Operating Permit shall contain all the requirements

of Section 12.3.9.7.

14). The PAL shall include fugitive emissions, to the extent quantifiable, from all emissions units that emit or have the potential to

emit the PAL pollutant atthe major stationary source.

j~). Each PAL shall regulate emissions of only one pollutant.

~). Each PAL shall have a PAL effective period of ten (10) years.

jfl The owner or operator of the major stationary source with a PAL ‘J

shall comply with the monitoring, recordkeeping, and reporting

requirements provided in Sections 12.3.9.12 through 12.3.9.14

for each emissions unit under the PAL through the PAL effective

period.

5k). At no time (during or after the PAL effective period) are emissions

reductions of a PAL pollutant, which occur during the PAL effective

period, creditable as decreases for purposes of offsets under Section

12.3.6 unless the level of the PAL is reduced by the amount of such

emissions reductions and such reductions would be creditable in the

absence of the PAL.

12.3.9.5 Public Participation Requirements for PALs

PALs for existing major stationary sources shall be established, renewed, or

increased throuqh the public participation procedures in Section 12.2.16.

12.3.9.6 Setting the 10-year Actuals PAL Level

5~). Except as provided in paragraph (b) of Section 12.3.9.6, the Actuals

PAL level for a major stationary source shall be established as the

sum of the baseline actuai emissions of the PAL pollutant for each

emissions unit at the source; plus an amount equal to the applicable

12.3-32

2-150
significant level for the PAL pollutant under these AQRs or under the

Act, whichever is lower. When establishing the actuals PAL level for

a PAL pollutant, only one consecutive 24-month period must be used

to determine the baseline actual emissions for all existing emissions

units. However, a different consecutive 24-month period may be

used for each different PAL pollutant. Emissions associated with

units that were permanently shut down after this 24-month period

must be subtracted from the PAL level. The Control Officer shall

specify a reduced PAL level(s) (in tons/yr) in the Part 70 Operating

Permit to become effective on the future compliance date(s) of any

applicable federal or state regulatory requirement(s) that the Control

Officer is aware of prior to issuance of the permit.

~k). For newly constructed units (which does not include modifications to

existing units) on which actual construction began after the 24-month

period, in lieu of adding the baseline actual emissions as specified in

paragraph (a) of Section 12.3.9.6, the emissions must be added to

the PAL level in an amount equal to the PTE of the units.

12.3.9.7 Part 70 Operating Permits with PALs

Contents of a Part 70 Operating Permit containing a PAL shall include the

information in paragraphs (a) through (j) of Section 12.3.9.7:

5~). The PAL Pollutant and the applicable source-wide emission limitation

in tpy

5fl). The effective date and the expiration date of the PAL conditions (PAL

effective period).

Ic). Specification in the permit that if a major stationary source owner or

operator applies to renew the PAL conditions in accordance with

Section 12.3.9.9 before the end of the PAL effective period, then the

PAL conditions shall not expire at the end of the PAL effective period.

It shall remain in effect until a revised Part 70 Operating Permit is issued by the Control Officer.

5.~). A requirement that emission calculations for compliance purposes include emissions from startups, shutdowns, and malfunctions

j~ A requirement that, once the PAL conditions expire, the major stationary source is subject to the requirements of Section 12.3.9.9:

5fl The calculation procedures that the major stationary source owner or

operator shall use to convert the monitoring system data to monthly

emissions and annual emissions based on a 12-month rolling total,

as required by paragraph (a) of Section 12.3.9.13:

//

2-151
1~). A requirement that the major stationary source owner or operator

monitor all emissions units in accordance with the provisions under

Sectjon 12.3.9.12

5fl). A requirement to retain the records required under Section 12.3.9.13

on-site. Such records may be retained in an electronic format

ifi A requirement to submit the reports required under Section 12.3.9.14

by the required deadlines; and

ffi Any other requirements that the Control Officer deems necessary to

implement and enforce the PAL conditions.

12.3.9.8 PAL Effective Period and Reopm ng of PAL Conditions

The plan shall require the information in paragraphs (a) and (b) of Section

12.3.9.8.

~). PAL Effective Period. The Control Officer shall specify a PAL effective period of ten (10) years from the date of issuance.

1k). Reopening of the PAL conditions in a Part 70 Operating Permit.

in During the PAL effect~..period.the plan shall require the Control Officer to reopen the PAL conditions in a Part 70 Operating

Permit to:

~). Correct typographicaVcalculation errors made in setting the

PAL, or reflect a more accurate determination of emissions

used to estabIist~J~pPAL:

If). Reduce the PAL if the owner or operator of the major stationary source ci~escreditable emissions reductions for

use as offsets under Section 12.3.6; or

~). Revise the PAL to reflect an increase in the PAL as provided under Section 12.3.9.11.

12). The Control Officer m.~yjeopenthe PAL conditions in a Part 70

Operating Permit for the following:

~). Reduce the PAL. to reflect newly applicable federal requirements with~~npliancedates after the PAL effective

date.

If)~Reduce the PAL consistent with any other requirement that

is enforceable a~...~..practical matter, and that the Control

12.3-34

2-152
Officer may impose on the major stationary source under

the Nevada SIP.

1~).Reduce the PAL if the Control Officer determines that a reduction is necessary to avoid causing or contributing to a

National Ambient Air Quality Standard or PSD increment

violation, or to an adverse impact on an air-quality-related

value that has been identified for a federal Class I area by

a Federal Land Manager and for which information is

available to the aeneral public.

~). Except for the permit reopening in paragraph (b)(1 1(A) of Section 12.3.9.8 for the correction of typographical/calculation errors that do not increase the PAL level, all other reopeninqs

shall be carried out as significant permit revisions to a Part 70

Operating Permit.

12.3.9.9 Expiration of a PAL

Any PAL which is not renewed in accordance with the ørocedures in Section

12.3.9.10 shall expire at the end of the PAL effective period, and the requirements in paragraphs (a) through (el of Section 12.3.9.9 shall apply.

1~). Each emissions unit (or each group of emissions units) that existed

under the PAL shall comply with an allowable emission limitation under a revised Part 70 Operating Permit established according to the

orocedures in paragraphs (a)(1) and (a)(2) of Section 12.3.9.9.

in Within the time frame specified for PAL renewals in paragraph

(b) of Section 12.3.9.10, the malor stationary source shall submit a proposed allowable emission limitation for each emissions

unit (or each group of emissions units, if such a distribution is

more appropriate as decided by the Control Officer) by distributing the PAL allowable emissions for the affected major stationary source among each of the emissions units that existed under the_PAL._If the PAL had not yet been adjusted for an

applicable requirement that became effective during the PAL effective_period, as required under paragraph (e) of Section

12.3.9.10, such distribution shall be made as if the PAL had

been adjusted.

12). The Control Officer will decide whether and how the PAL allowable emissions will be distributed and issue a revised Part 70

Operating Permit incorporating allowable limits for each emissions unit, or each group of emissions units, as the Control Officer determines is appropriate.

/

2-153
5~ Each emissions unit(s) shall comply with the allowable emission limitation on a 12-month rolling basis. The Control Officer may approve

the use of monitoring systems other than CEMS, GERMS, PEMS, or

CPMS to demonstrate compliance with the allowable emission limitation.

~). Until the Control Officer issues the revised Part 70 Operating Permit

incorporating allowable limits for each emissions unit, or each group

of emissions units, as required under paragraph (a1(2) of Section

12.3.9.9, the source shall continue to comply with a source-wide,,

multi-unit emissions cap equivalent to the level of the PAL emission

limitation.

j~). Any physical change or char~~ein the method of operation at the major stationary source will be subject to the nonattainment major NSA

requirements if such chanq~j~ieetsthe definition of major modification.

5~). The major stationary source owner or operator shall continue to

comply with any federal, state or county applicable requirements that

may have applied either during the PAL effective period or priorto

the PAL effective period ex.~ptas provided in paragraph (b)(3) of

Section 12.3.9.1.

12.3.9.10 Renewal of a PAL

5~). The Control Officer will follow the procedures specified in Sections

12.3.9.5 and 12.5 in approving any request to renew the PAL conditions in a Part 70 Operating Permit for a major stationary source, and

will provide both the proposed PAL level and a written rationale for

the proposed PAL level to the public for review and comment. During

such public review, any person may propose a PAL level for the

source for consideration by the Control Officer.

j~). Application deadline. A mE~jQLstationarvsource owner or operator

shall submit a timely application to the Control Officer to request renewal of the PAL conditions in a Part 70 Operating Permit. A timely

application is one that is submitted at least six (6) months priorto, but

not earlier than eighteen (181 months priorto, the date of expiration

of the Part 70 Operating Permit. This deadline for application submittal is to ensure that the permit will not expire before the permit is renewed. If the owner or operator of a major stationary source submits

a complete application to renew the PAL conditions in a Part 70 Operating Permit within this time period, then the PAL conditions shall

continue to be effective until the revised permit with the renewed PAL

conditions is issued. C

12.3-36

2-154
~). Application Requirements. The application to renew PAL conditions shall be incorporated in the application for renewal of the affected Part 70 Operating Permit and shall contain the information required in paragraphs (c)(1) through (c)(4) of Section 12.3.9.10:

Li). The information required in paragraphs (a) through (c) of Section 12.3.9.3

12). A proposed PAL level

5~). The sum of the PTE of all emissjons units under the PAL (with

supporting documentation); and

14). Any other information the owner or operator wishes the Control

Officer to consider in determining the appropriate level for renewing the PAL conditions.

5~). PAL Adjustment. In determining whether and how to adjust the

PAL, the Control Officer will considerthe options outlined in paragraphs (d)(1) and (d)(21 of Section 12.3.9.10. However, in no case

may any such adjustment fail to comply with paragraph (d)(3) of Section 12.3.9.10.

in If the emissions level calculated in accordance with Section

12.3.9.5 is equal to or greater than eighty (80) percent of the

PAL level, the Control Officer may renew the PAL at the same

level without considering the factors set forth in paragraph (d)(2)

of Section 12.3.9.10; or

12). The Control Officer may set the PAL at a level that he determines to be more representative of the source’s baseline actual

emissions, or that he determines to be appropriate considering

air quality needs, advances in control technology, anticipated

economjc growth in the area, desire to reward or encourage the

source’s voluntary emissions reductions, or other factors as

specifically identified by the Control Officer in his written rationale.

5~). Notwithstanding paragraphs (d)(1 I and (d)(2) of Section

12.3.9.10:

~). If the PIE of the major stationary source is less than the

PAL, the Control Officer shall adjust the PAL to a level no

greater than the PTE of the source; and

If). The Control Officer shall not approve renewed PAL level

higher than the current PAL unless the major stationary

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2-155
source has complied with the provisions of Section

12.3.9.11.

5~). If the compliance date for a federal or state requirement that applies

to the PAL source occurs during the PAL effective period, and if the

Control Officer has not aIre~~adjusted for such requirement, the

PAL shall be adjusted at the time of the affected Part 70 Operating

Permit is renewed.

12.3.9.11 Increasing a PAL during the PAL Effective Period

~). The Control Officer may increase a PAL emission limitation only if the

major stationary source complies with the provisions in paragraphs

(a)(1)throuqh (a)(4) of Section 12.3.9.11.

in The owner or operator of the major stationary source shall submit a complete applicaflon to request an increase in the PAL

limit as a significant revision to the affected Part 70 Operating

Permit. Such application shall identify the emissions unit(s) contributing to the increase in emissions so as to cause the major

stationary source’s emissions to eaual or exceed its PAL.

12). As part of this application, the major stationary source owner or

operator shall demonstrate that the sum of the baseline actual

emissions of the small emissions units, plus the sum of the

baseline actual emissions of the significant and major emissions

units, assuming application of BAGT-equivalent controls, plus

the sum of the allowable emissions of the new or modified

emissions unit(s), exceeds the PAL. The level of control that

would result from BACT-eguivalent controls on each significant

or major emissions unit shall be determined by conducting a

new BACT analysis at the time the application is submitted, unless the emissions unit is currently required to comply with a

BACT or LAER requitement that was established within the preceding ten (10) years. In such a case, the assumed control level

for that emissions unit shall be equal to the level of BAGT or

LAER with which that emjssions unit must currently comply.

j~).The owner or operator obtains an Authority to Construct Permit

pursuant to Section 1~~forall_emissions unit(s) identified in

paragraph (a)(1) of Section 12.3.9.11, regardless of the magnitude of the emissions increase resulting from them. These

emissions unit(s) shall comply with any emissions requirements

resulting from the nonattainment Authority to Construct Permit

issuance process, even though they have also become subject

to the PAL or continue to be subject to the PAL.

12.3-38

2-156
14). The PAL conditions in a Part 70 Operating Permit shall require

thatthe increased PAL level shall be effective on the day any

emissions unit that is part of the PAL significant permit revision

becomes operational and begins to emit the PAL pollutant.

1k). The Control Officer shall calculate the new PAL as the sum of the allowable emissions for each modified or new emissions unit, plus the

sum of the baseline actual emissions of the significant and major

emissions units (assuming application of BACT-equivalent controls

as determined in accordance with paragraph (a)(2) of Section

12.3.9.11), plus the sum of the baseline actual emissions of the small

emissions units.

Ic). The PAL conditions in a Part 70 Operating Permit shall be revised to

reflect the increased PAL level pursuant to the public notice requirements of Section 12.3.9.5.

12.3.9.12 Monitoring Requirements for PALs

Ifl). General requirements.

Ii). The PAL conditions in a Part 70 Operating Permit must include

enforceable requirements for the monitoring system that accurately determines plantwide emissions of the PAL pollutant in

terms of mass per unit of time. Any monitoring system authorized for use in the PAL conditions must be based on sound science and meet generally acceptable scientific procedures for

data quality and manipulation. Additionally, the information generated by such system must meet minimum Ieaal requirements

for admissibility in a judicial proceeding to enforce the PAL conditions.

12). The PAL monitoring system must employ one or more of the

four (4) general monitoring approaches meeting the minimum

requirements set forth in paragraphs (b)(1) through (b)(4) of

Section 12.3.9.12 and must be approved by the Control Officer.

5~). Notwithstanding paragraph (a)(21 of Section 12.3.9.12, the PAL

monitoring system may also employ an alternative monitoring

approach that meets paragraph (a)(1) of Section 12.3.9.12 if

approved by the Control Officer.

14). Failure to use a monitoring system that meets the requirements

of Section 12.3.9.12 renders the PAL invalid.

5j~). Minimum performance requirements for approved monitoring approaches The following are acceptable general monitoring ~

2-157
proaches when conducted in accordance with the minimum requirements in paragraphs (c) thr~gh(i) of Section 12.3.9.12: “~‘~

fi). Mass balance calculations for activities using coatings or solvents

12). GEMS

Id.). CPMS or PEMS: and

14). Emission factors.

~). Mass Balance Calculations. An owner or operator using mass balance calculations to monito AL pollutant emissions from activities

using coatings or solvents shail meet the following requirements:

Li). Provide a demonstrated means of validating the published content of the PAL pollutant that is contained in or created by all

materials used in or at the emissions unit

12). Assume that the emissions unit emits all of the PAL pollutant

that is contained in or created by any raw material or fuel used

in or at the emissions unit, if it cannot otherwise be accounted

for in the process; and EI~

5~). Where the vendor of a material orfuel which is used in or at the

emissions unit publishes a range of pollutant content from such

material, the owner or operator must use the highest value of

the range to calculate the PAL pollutant emissions unless the

Control Officer determines there is site-specific data or a sitespecific monitoring pr~g~amto support another content within

the range.

~). CEMS. An owner or operator’using GEMS to monitor PAL pollutant

emissions shall meet the following requirements:~

Li). The CEMS must compjy..with applicable performance specifications found in 40 GFR Part 60, Appendix B; and

12). The GEMS must sam~,analyze, and record data at least

every fifteen (15) minutes while the emissions unit is operating.

j~). CPMS or PEMS. An owner or operator using CPMS or PEMS to

monitor PAL pollutant emissions shall meet the following requirements:

in The CPMS or PEMS must be based on current site-specific

data demonstrating a correlation between the monitored pa12.3-40

2-158
rameter(s) and the PAL pollutant emissions across the range of

operation of the emissions unit: and

12). Each CPMS or PEMS must sample, analyze, and record data at

least every fifteen (151 minutes, or at another, less frequent interval approved by the Control Officer while the emissions unit is

operating.

ifi Emission Factors. An owner or operator using emission factors to

monitor PAL ~oIIutantemissions shall meet the following requirements:

in All emission factors shall be adjusted, if appropriate, to account

for the degree of uncertainty or limitations in the factors’ development:

12). The emissions unit shall operate within the designated range of

use for the emission factor, if applicable: and

~). If technically practicable, the owner or operator of a significant

emissions unit that relies on an emission factor to calculate PAL

pollutant emissions shall conduct validation testing to determine

a site-specific emission factor within six (6) months of permit issuance unless the Control Officer determines that testing is not

required.

Ig). A source owner or operator must record and report maximum potential emissions without considering enforceable emission limitations or

operational restrictions for an emissions unit during any period of

time whenever there is no monitoring data unless another method for

determining emissions during such periods is specified in the Part 70

Operating Permit containing the PAL.

Ib). Notwithstanding the requirements in paragraphs (c) through (g) of

Section 12.3.9.12, where an owner or operator of an emissions unit

cannot demonstrate a correlation between the monitored parameter(s) and the PAL pollutant emissions rate at all operating points of

the emissions unit, the Control Officer shall, at the time of permit issuance:

in Establish default value(s) for determining compliance with the

PAL based on the highest potential emissions reasonably estimated at such operating point(s); or

12). Determine that operation of the emissions unit during operating

conditions when there is no correlation between monitored parameter(s) and the PAL pollutant emissions is a violation of the

PAL.

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2-159
Si). Revalidation. All data used to establish the PAL pollutant must be

revalidated through performance testing or other scientifically valid

means approved by the Control Officer. Such testing must occur at

least once every five (5) years after issuance of the Part 70 Operating Permit containing the PAL conditions.

12.3.9.13 Recordkeepinq Requirements

j~). The PAL conditions shall re~jj~ean owner or operator to retain a

copy of all records necessary to determine compliance with any requirement of Section 12.3.9 and of the PAL, including a determination of each emissions unit’s 12-month rolling total emissions, for five

(5) years from the date of s~tirecord.

Q~). The PAL conditions in a Part 7~DOperating Permit shall require an

owner or operator to retain a copy of the following records for the duration of the PAL effective period plus five (5) years:

Li). A copy of the PAL provisions in the Part 70 Operating Permit

application and any applications for revisions to the Part 70 Operating Permit; and

12). Each annual certificat~~of compliance pursuant to the conditions in the affected Part 70 Operating Permit and the data relied on in certifying the compliance.

12.3.9.14 Reporting and Notification Requirements

The owner or operator shall submit semiannual monitoring reports and

prompt deviation reports to the Control Officer, in accordance with the conditions in the affected Part 70 Operating Permit. The reports shall meet the

reguirements in paragraphs (a) through (cI of Section 12.3.9.14.

La). Semiannual Report. The semiannual report shall be submitted to

the Control Officer within tI~j!~y(30) days of the end of each reporting

period. This report shall contan the information required in paragraphs (a)(1) through (a)(7) of Section 12.3.9.14:

in The identification of owner and operator and the permit number

12). Total annual emissior~..(jntoy) based on a 12-month rolling total

for each month in thej~portingperiod.

~). All data relied upon, including, but not limited to. any quality assurance or quality control data, in calculating the monthly and

annual PAL pollutant emissions

12.3-42

2-160
14). A list of any emissions units modified or added to the major stationary source during the preceding 6-month period

1.~). The number, duration, and cause of any deviations or monitoring malfunctions (other than the time associated with zero and

span calibration checks), and any corrective action taken

5k). A notification of a shutdown of any monitoring system, whether

the shutdown was permanent or temporary, the reason for the

shutdown, the anticipated date that the monitoring system will

be fully operational or replaced with another monitoring system,

whether the emissions unit monitored by the monitoring system

continued to operate, and the calculation of the emissions of the

pollutant or the number determined by method included in the

permit, as provided by paragraph (g) of Section 12.3.9.12; and

~). A signed statement by the responsible official certifying the

truth, accuracy, and completeness of the information provided in

the report.

1k). Deviation Report. The major stationary source owner or operator

shall promptly submit reports of any deviations or exceedance of the

PAL conditions, including periods where no monitoring is available. A

report submitted pursuant to 40 CFA 70.6(a)(3)(iii)(B) shall satisfy

this reporting requirement. The deviation reports shall be submitted

within the time limits prescribed by the affected Part 70 Operating

Permit. The reports shall contain the following information:

Ii). The identification of owner and operator and the permit number

12). The PAL reguirement that experienced the deviation or that was

exceeded:

~). Emissions resulting from the deviation or the exceedance; and

f4). A signed statement by the responsible official certifying the

truth, accuracy, and completeness of the information provided in

the report.

Ic). Revalidation Results. The owner or operator shall submit to the

Control Officerthe results of any revalidation test or method within

three (3) months after completion of such test or method.

12.3.9.15 Transition Requirements

5~). The Control Officer may not issue a PAL that does not comply with

the requirements in Sections 12.3.9.1 through 12.3.9.15 after the

2-161
Administrator has approved regulations incorporating these requirements into the Nevada SIP~. “

1k). The Control Officer may supersede any PAL which was established

prior to the date of approval of the Nevada SIP by the Administrator

with a PAL that complies with the requirements of Sections 12.3.9.1

through 12.3.9.15.

12.3.10 Potential Visibility Impacts

The Control Officer shall consult with the Federal Land Manager on a oroposed maior stationary source or in~Jprmodification that may impact visibility in any Class I Area, in accordance with 40 CFR 51.307.

12.3.11 Invalidation

If any provision of Section 12.3, or the application of such provision to any

person or circumstance, is held invalid, the remainder of Section 12.3, or the

application of such provision to persons or circumstances other than those

as to which it is held invalid, shall not be affected thereby.

0

12.3-44

2-162
EXHIBIT 3

SECTION 12.4: AUTHORITY TO CONSTRUCT APPLICATION AND PERMIT

REQUIREMENTS FOR PART 70 SOURCES

12.4 AUTHORITY TO CONSTRUCT PERMIT REQUIREMENTS FOR PART 70

SOURCES 1

12.4.1 Authority to Construct Permit Reguired: Duration .~ 1

12.4.1.1 Commencement of Construction: Timing Requirements 1

12.4.2 Definitions 1

12.4.2.1 Use of Terms 1

12.4.3 Authority to Construct Permit for Part 70 Sources 5

12.4.3.1 Application Submission, Processing and Issuance

Requirements for Stationary Sources Subiect to Sections

12.2 or 12.3

12.4.3.2 Application Submission and Processing Requirements for Part

70 Sources Not Subject to Section 12.2, Section 12.3, or

Section 12.4.3.3 11

12.4.3.3 Application Submission and Processing Requirements for

Construction or Reconstruction of a Part 70 Source Subject to

a Standard under Sections 112(d), (f), or (h) of the Act (a

MACT source) 12

12.4.3.4 Authority to Construct Permit Revisions 12

12.4.3.5 Administrative Permit Revisions for Title IV Acid Rain

Sources 13

2-163

/
12.4 AUTHORITY TO CONSTRUCT PERMIT REQUIREMENTS FOR PART 70

SOURCES

12.4.1 Authority to Construct Permit R~g.yired:Duration

12.4.1.1 Commencement of Construction: Timing Requirements

j~). No person shall begin actual construction of a New Part 70 source,

or modify or reconstruct an existing Part 70 source that falls within

the preconstruction review ~IicabiIity criteria, without first obtaining

an Authority to Construct Permit from the Control Officer.

1k). If a person commences the construction, modification, or reconstruction of a Part 70 source within eighteen (181 months after the date of

issuance of an Authority to Construct Permit and construction is not

discontinued for a period greater than twelve (12) months, and provided that a timely and con~tePart 70 Operating Permit application is submitted pursuant loSection 12.5.2.1, the Authority to

Construct Permit shall rem~nin effect until a Part 70 Operating Permit is granted or denied, or the modification or reconstruction is incorporated into a Part 70 Q~’atingPermit through a permit revision.

Ic). Notwithstanding the provisions of paragraph (b) of Section 12.4.1.1, if

an existing Part 70 Operati~g.fermitwould prohibit such construction

or change in operation, the source must obtain a Part 70 permit revision pursuant to Section 12.5.2.14 before commencing operation.

12.4.2 Definitions

12.4.2.1 Use of Terms

The following definitions apply to terms used in Section 12.4. Unless the

context requires otherwise, the foHowing terms shall have the meanings set

forth for the purposes of Section 12.4. When a term is not defined, it shall

have the meaning provided in Seoflon 0, 40 CFR 70.2, the Act, or common

usage, in that order of priority.

5~). “Existing Part 70 source” means a Part 70 source that either has a

valid Part 70 Operating Permit issued prior to the effective date of

Section 12.4 or has an apphcation for a Part 70 Operating Permit

deemed complete prior to the effective date of Section 12.4.

1k). “Minor NSA significant Ieyej~’means an increase in the potential to

emit that equals or exceeds the following rates for the pollutants

listed:

0

12.4-1

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Tv~eof Air Pollutant Potentiai to Emit (tDv~

~ directly emitted 5.0

EMi~

20

20

Lead (Pbs 0.6

5

Total Reduced Sulfur (including HpS)

Ig). “Modification” or “Modify” means a project which meets any of the

preconstruction review applicability criteria in paragraph (e) of Section 12.4.2.1 or that requires a minor or significant permit revision

pursuant to Section 12.5.2.14.

5.ç~). “New Part 70 source” means a Part 70 source that is not an existing

Part 70 source.

j~). “Preconstruction review applicability criteria” means any of the followin At an existing maior stationary source, a project that will result in a “major modification” as defined in Sections 12.2 or 12.3

12). A new Part 70 source or a modification to an existing Part 70

source that is subject to Section 12.4.3.2

5~). Any proiect that is subject to a standard, limitation, or other requirement under 40 CFA Part 60:

14). Any project that is subject to a standard under 40 CFR Part 63,

including, but not limited to, construction or reconstruction that

requires preconstruction review under 40 CFR ~63.5; or

5k). For a solid waste incineration unit, a project that will result in a

modification for purposes of Section 1 29(g)(3) of the Act.

ifi “Project” means a physical change in, or change in the method of

operation of, a major stationary source.

For purposes of this definition, a physical chanae or change in the

method of operation shall not include:

jfl Routine maintenance, repair and replacement.

12.4-~’ /

2-165
12). Use of an alternative fu~orraw material by reason of any order (~

under Section 2 (a) an.~.j~) of the Energy Supply and Environmental Coordination Act of 1974 (or any superseding legislation)

or by reason of a natu~!.jiascurtailment plan pursuant to the

Federal Power Act.

~). Use of an alternative fuel by reason of an order or rule under

Section 125 of the Ad

14). Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated from municipal solid waste.

12 Use of an alternative f~Lorraw material by a stationary source

which:

~). The source was ~abIe of accommodating before January 6, 1975, unless such chance would be prohibited under

any federally enforceable permit condition which was established after January 6, 1975 pursuant to 40 CFR 52.21

or under regulations approved pursuant to 40 CFR Part 51

Subpart I; or

If). The source is ap~vedto use under any permit issued

under 40 GFA 52.21 or under regulations approved pursuant to 40 CFR P3rt51 Subpart I.

12 An increase in the hours of operation or in the production rate,

unless such change would be prohibited under any federally enforceable permit condition which was established after January

6, 1975, pursuant to 40 CFR 52.21 or under regulations approved pursuant to 40...QE:R Subpart I or 51.166.

1fl Any chanae in ownenth!p at a stationary source.

12 The installation, operation, cessation, or removal of a temporary

clean coal technology demonstration proiect, provided that the

project complies with:

~). The Nevada State Implementation Plan and:

If). Other requirements necessary to attain and maintain the

national ambienl:ah quality standards during the project

and after it is terminated.

j~).The installation or op~.@~onof a permanent clean coal technology demonstration proi~ç.that constitutes repowening, provided

that the project does not result in an increase in the potential to

12.4-3

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emit of any regulated pollutant emitted by the unit. This exemption shall apply on a pollutant-by-pollutant basis.

I1Q). The reactivation of a very clean coal-fired electric utility steam

generating unit.

jg). “Responsible official” means one of the following:

in For a corporation: a president, secretary, treasurer, or vicepresident of the corporation in charge of a principal business

function, or any other person who performs similar policy or decision-making functions for the corporation, or a duly authorized

representative of such person if the representative is responsible for the overall operation of one or more manufacturing, production, or operating facilities applying for or subiect to a permit

and either:

~). The operating facilities employ more than 250 persons or

have gross annual sales or expenditures exceeding $25

million in second quarter 1980 dollars: or

If). The delegation of authority to such representative is approved in advance by the Control Officer.

.12). For a partnership or sole proprietorship: a general partner or the

proprietor, respectively

~). For a municipality, state, federal, or other public agency: either a

orincipal executive officer or ranking elected official. For the

purposes of this definition, a principal executive officer of a federal agency includes the chief executive officer having responsibility for the overall operations of a principal geographic unit of

the agency; or

14). For Title IV affected sources:

j~).The designated representative, as defined in 40 GFR 72.2.

insofar as actions, standards, requirements, or prohibitions

under Title IV of the Act, “Acid Deposition Control.” or the

regulations promulgated there under are concerned; or

If). The responsible official as defined above for any other

purposes under Section 12.4.

1T4~/~

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12.4.3 Authority to Construct Permit for Part 70 Sources

12.4.3.1 Application Submission, Processing and Issuance Requirements for

Stationary Sources Subject to Sections 12.2 or 12.3

~). Application Requirements

An application for an Autho~yjoConstruct Permit shall be submitted

on a form provided by the Control Officer. The application shall contain the following information related to the construction or project:

Li). A description of all emissions of regulated air pollutants from all

affected emissions units and a projected operating schedule for

each emissions unit

12). An identification and a description of all points of emissions and

a_process description of all activities, including design capacity,

which may generate erTussions of the regulated air pollutants

described pursuant to~~agraph(a)(1) of Section 12.4.3.1 in

sufficient detail to establish the basis for the applicability of standards and fees

f~).The emission rates of all regulated air pollutants, including fuqitive emission rates. The emission rates must be described in

tons per year and for such shorter-term averages as are necessary to establish comphance using the applicable standard reference test method or other methodology specified in paragraph

(a)(71 of Section 12.4,3.1k

14.). A description of any new or modified air pollution control equipment to be operated at the stationary source

12 The calculations on ~th~chthe information described in Section

12.4.3.1 are based, including a fuel description and specifications

If). Citations to and a de~j~tionof all applicable requirements:

£7). The applicable test m~!iodor other methodology used for determining compliance with each applicable requirement

If). A control technology demonstration for AACT shall be submitted

for a modification to an eKisting Part 70 source that requires an

Authority to Construc~~rmit because: (i1 the modification will

increase the source’s.pg~entialto emit by an amount that is

greater than the minor NSA significant level in paragraph (b) of

Section 12.4.2.1; and.JJj)..a control technology demonstration is

not otherwise require~.~ySection 12.2 or 1 2.3.The control tech12.4-5

2-168
nology demonstration shall only apply to the pollutant exceeding

the minor NSR significant level. The application shall describe

how RACT was determined and how compliance with RACT is

to be measured, including, if applicable, material usage limits,

performance testing and continuous emissions monitoring.

1~). If applicable, a description of how performance testing will be

conducted, including test methods and a ~eneraIdescription of

testing protocols

LW). If applicable, the information necessary to establish a basic design parameter

Iii.). If applicable, a description of how the permittee proposes to

comply with the compliance assurance monitoring requirements

in 40 CFR Part 64, including a olan describing how the applicant

will comply with the monitoring design criteria in 40 CFR 64.3

and

112). If any information or data in the application is proposed to be

treated as confidential, a demonstration of compliance with the

Certification of Confidentiality procedures in Section 12.6.1.

1j~).If the applicant wishes to be subject to the enhanced public participation procedures in Section 12.2.16.6, a declaration to that

effect.

1k). Additional Application Requirements for Sources Subject to

Section 12.2 (Major Source PSD)

If the new or modified Part 70 source is subject to the Prevention of

Significant Deterioration preconstruction review provisions of Section

12.2, the application shall also contain the following:

in The control technology review required by Section 12.2.9

12). The source impact analysis required by Section 12.2.10

j~).The air quality analysis required by Section 12.2.12

141 The source information required by Section 12.2.13

If). The additional impact analyses required by Section 12.2.14; and

If). Any other information that the Control Officer determines is

necessary to process the application in accordance with Section

12.2 or Section 12.3.

__/ /2’

2-169
Ic). Additional Application Requirements For Sources Subject to

Section 12.3 (Major Source Nonattainment NSR~

If the new or modified Part 70 source is subject to the nonattainment

area preconstruction revie~Q~3)viSiOnSof Section 12.3, the application shall also contain the following:

Li). The statewide compliance demonstration required by Section

12.3.3~

.12). The alternatives analysis required by Section 12.3.4:

f~.). The LAER demonstration and draft permit conditions required to

ensure compliance with LAER required by Section 12.3.5.2

14). An air impact analysis including dispersion modeling:

If). The information necessary to demonstrate that the applicant

has satisfied or will satis~the emissions offset requirements in

Section 12.3.6; and

If). Any other informationjj~~t the Control Officer determines is

necessary to process the application in accordance with Section

12.2 or Section 12.3.

Ig). Application Processing Procedures

Any application for a new or modified Part 70 source subject to paragraph (a) of Section 1 2.4.3.1 shall be processed in accordance with

the following procedures:

in Within one hundred 1100) days after the date of receipt of an

application for an Authority to Construct Permit, the Control Officer shall determine if the application is complete. If substantial

additional information is required, the Control Officer shall determine that the appjjcation is incomplete and return the application to the applicant. If substantial additional information is not

required, the Control Officer shall determine the application to

be complete.

Unless the Control Officer determines that the application is incomplete within one hundred (100) days after the date of receipt

of the application, the official date of submittal of the application

shall be deemed to he the date on which the Control Officer determines that the apphcation is complete or the 101st day after

the date of receipt, whichever is earlier. Within one year after

the date the application is determined to be complete, the Con- (~

12.4-7

2-170
trol Officer shall initiate the public participation procedures in

Section 12.2.16.

12). If, afterthe date the application is determined to be complete,

the Control Officer discovers that additional information is required to act on the appljcatjon, the. Control Officer may request

additional information necessary to determine whether the prooosed project will comply with all of the applicable requirements

set forth in Section 12.2 or Section 12.3, as applicable. The applicant must provide in writing any additional information that the

Control Officer requests within the time specified in the written

request of the Control Officer. Any delay in the submittal of the

requested information may result in a corresponding delay in the

action of the Control Officer on the application or a determination of incompleteness.

j~). Permit Content

An Authority to Construct Permit issued pursuant to Section 12.4

shall contain each of the following conditions:

in The permittee shall retain records of all required monitoring and

performance demonstration data and supporting information for

five (5) years after the date of the samole collection, measurement, report, or analysis. Supporting information includes all records regarding calibration and maintenance of the monitoring

equipment, all original strip-chart recordings for continuous

monitoring instrumentation, and if applicable, all other records

required to be maintained pursuant to 40 CFR 64.9(b).

12). Each of the conditions and requirements of the permit is severable and, if any are held invalid, the remaining conditions and

requirements continue in effect

~). The permittee shall comply with all conditions contained in the

permit. Any noncompliance constitutes a violation and is

grounds for:

~). An action for noncompliance

If). Revocation and reissuance or the termination of the permit

by the Control Officer; or

I~).The reopening or revising of the permit by the permittee as

directed by the Control Officer.

/

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14). The need to halt or reduce activity to maintain compliance with (7 ~

the conditions of the permit is not a defense to noncompliance

with any condition of th~ermit

If). The Control Officer ma~j~?vise, revoke and reissue, reopen and

revise, or terminate the~~rmit for cause:

If). The permit does not convey any property rights or any exclusive

privilege:

£7). The permittee shall provide the Control Officer, within a reasonable time, with any information that the Control Officer requests

in writing to determine whether cause exists for revising, revoking and reissuing, or terminating the permit, or to determine

compliance with the conditions of the permit. Upon request, the

permittee shall also fu~hto the Control Officer copies of records required to be k~pj..bythe permit or, for information

claimed to be confidential, the permittee may furnish such records directly to the Administrator along with a claim of confidentiality

If). The permittee shall allow the Control Officer, or any authorized

representative of the Control Officer, upon presentation of credentials, to enter the r~ffnittee’spremises where the sourcej~ (

located or emissions related activity is conducted and to:

~). Have access to and copy, during normal business hours.

any records that are kept pursuant to the conditions of the

permit

If). Insoect any facilities, equipment (including monitoring and

air pollution control equipment), practices, or operations

regulated or required under the permit

1~).Sample or monit.~,..substancesor parameters to determine

compliance with the conditions of the permit or applicable

requirements; and

LQ). Document alleged violations using devices such as cameras or video eq~ment.

j~).A responsible official of the source shall certify that, based on

information and belief formed after a reasonable inquiry, the

statements made in q~y..documentrequired to be submitted by

any condition of the permit are true, accurate, and complete C

2-172
LW). The permit must contain:

~). All applicable requirements, emission limits, and standards, provided, however, that applicable requirements

that are not required by the Act or implementing federal

regulations, and that are not in the Nevada SIP, may be included in the permit but shall be specifically designated as

being not federally enforceable and not enforceable by a

citizen’s suit pursuant to the Act, and shall be designated

as “county only requirements.” Terms and conditions so

designated are not subject to the requirements that apply

to permit review by EPA and affected states

If). Monitoring, recordkeepinq, and reporting requirements sufficient to meet the requirements of 40 CFR Part 64 or

paragraph (dl of Section 12.5.2.6, as deemed necessary

by the Control Officer

~Q).Such other conditions as necessary to demonstrate compliance with the requirements in Section 12.2 or Section

12.3 for construction, subject to those sections.

lii.). The permittee shall maintain documentation of the records required by paragraph (a) of Section 12.2.1.6 or paragraph (a) of

Section 12.3.1.6, if applicable.

112). The permittee shall report start of construction, construction interruptions exceeding nine (9) months, and completion of construction. The report shall be given to the Control Officer not

later than fifteen (15) working days after occurrence of the

event

Li?). The permittee shall provide written notification of the actual date

of commencing operation, received by the Control Officer, within

fifteen (15) calendar days after such date:

£14). The permittee shall provide separate written notification for commencing operation for each unit of phased construction, which

may involve a series of units commencing operation at different

times:

Li.~).A source that is a new Part 70 source or a major modification to

an existing Part 70 source shall, within sixty (60) days after

achieving the maximum rate of production of the new source or

modification, but not later than one hundred eighty (180) days

after commencing operation, conduct performance tests and

furnish the Control Officer a written report of the results of the

tests. The Control Officer may require such testing to occur

z

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sooner than the 180 d~~yj.imit if there are adequate grounds to (

do so. The performance tests required by the Authority to Construct Permit shall be conducted in accordance with the applicable test method and Section 12.8; and

jj.~).The permittee shall post the permit in a location which is clearly

visible and accessible to the facility’s employees and representatives of the department

(17) The permittee shall pay~fees assessed pursuant to Section 18.

12.4.3.2 ~~ppIicationSubmission and Processing Requirements for Part 70

Sources Not Subject to Section 12.2, Section 12.3, or Section 12.4.3.3

~). In order to obtain an Authorityjo Construct Permit, the owner or operator of a proposed new Part 70 source that is not subiect to Section

12.2 or Section 12.3, or the owner or operator of an existing Part 70

source proposing a modification that increases the source’s potential

to emit by an amount equal to or greaterthan the minor NSA significant level in paragraph (b) of Section 12.4.2.1, but that is not a major

modification under Section 122 or Section 12.3, shall submit an application on a form prescribed by the Control Officer.

Ii). The application shall contain the information specified in paragraph (al of Section 12.4.3.1 and a “Control Technology Review” that meets the requirements of Section 12.2.9, except that

Reasonably AvaiIable..~ntrolTechnology (RACT) shall be the

technology standard instead of Best Available Control Technology. The applicant shall also include a demonstration that the

new Part 70 source or modification does not cause an exceedance of the ambient air quality standards in Section 11 or

an exceedance of ambient air increments specified in Section

12.2.3.

12). The determination of completeness and the procedures for

processing the applica~onshall be those in paragraph (dl of

Section 12.4.3.1.

u.). The public participatipra.procedures specified in Section 12.1.5.3

shall apply to a permit revision processed under Section

12.4.3.2(a).

14). The contents of the Authority to Construct Permit issued pursuant to Section 12.4.3.~)shall be those in Section 12.4.3.1(e).

1k). In order to obtain an Authority to Construct Permit, the owner or

operator of an existinq.f~rt70 source that is proposing a modifi- (

cation that increases the source’s potential to emit by an amount ‘~-~---~‘

12.4-11

2-174
less than the minor NSR significance level in paragraph (b) of

Section 12.4.2.1 shall comply with the minor revision process

listed in Section 12.5.2.14, including the application procedures

listed in paragraph (a)(3) of Section 12.5.2.14.

12.4.3.3 Application Submission and Processing Requirements for Construction or Reconstruction of a Part 70 Source Subject to a Standard under

Sections 112(d). (0. or (h) of the Act (a MACT source)

In addition to any other applicable application requirements in Section 12.4,

if a new Part 70 source, or the reconstruction of an existing Part 70 source

that creates a “new affected source” or “reconstructed affected source” that

is a major source under 40 CFR Part 63, the owner or operator shall comply

with the application requirements under 40 CFR 63.5 and paragraph (a) of

Section 12.4.3.1. The Authority to Construct Permit for such source shall

comply with the requirements in 40 CFR 63.5(e).

12.4.3.4 Authority to ConstructPermit Revisions

f~). An Authority to Construct Permit shall only be revised administratively or as a significant permit revision.

111 An administrative permit revision is a permit revision that:

~). Corrects typographical errors

If). Identifies a change in the name, address, or phone number

of any person identified in the permit, or provides a similar

minor administrative change

~Q).Requires more frequent monitoring or reporting by the

permittee

j~).Allows for a change in ownership or operational control of

a source where the Control Officer determines that no

other change in the permit is necessary, 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 Control Officer and the permit transfer procedures specified in

Section 12.12 are complied with; or

~). Incorporates any other type of change which the Administrator has determined to be similar to those in paragraphs

(a)(ll(A) through (a)(1)(D) of Section 12.4.3.4.

12). An administrative permit revision may be made by the Control

Officer consistent with the following:

/7

2-175
~). The Control Officer shall take no more than thirty (30) days (~

from receipt of a ~g~iestfor an administrative permit revision to take final action on such request, and may incorporate the revision without providing notice to the publjc or

affected states provided that the revised permit designates

any such permit revisions as having been made pursuant

to Section 12.4.3~4~

If). The Control Officier shall provide a copy of the revised

permit to the Administrator.

~). The source may ~plementthe changes addressed in the

request for an administrative revision immediately upon

submittal of the r~g~est. However, if the Control Officer determines that the change does not qualify as an administrative revision, the source may be subject to enforcement

proceedings for violation of any existing permit terms and

conditions.

1~). A significant permit revision to an Authority to Construct Permit

is any revision to the ~1jnit that is not an administrative permit

revision.

j~).A significant permit revision shall be subject to the same

application, determination of completeness, processing

procedures, puhj~participation,notification, and timetables as the original Authority to Construct Permit, except

that the scope of the procedures shall be limited to the revision and issues relevant to that revision and the procedures specified ~paraqraphs(cI and (dl of Section

12.5.2.18 do not ap~iv~

j~). From and after the date ol commencing operation, an Authority to

Construct Permit shall only..k~~revised pursuant to the procedures for

revising a Part 70 Operati~g.fermitin Sections 12.5.2.13 and

12.5.4.14.

12.4.3.5 Administrative Permit Revisiol~jorTitle IV Acid Rain Sources

Administrative permit revisions tq..p~rmitconditions qovemed by the Federal

Clean Air Act Title IV Acid Rain F~qramshall comply with 40 CFR Part 72,

as incorporated by reference in Section 21.

12.4-13

2-176
EXHIBIT 4

SECTION 12.5: PART 70 OPERATING PERMIT REQUIREMENTS

12.5 PART 70 OPERATING PERMIT REQUIREMENTS 1

12.5.1 Definitions 1

12.5.2 Part 70 Operating Permit Reguirements 4

12.5.2.1 Permit Applications: Timely and Complete Applications 4

12.5.2.2 Permit Applications: Duty to Supplement or Correct Application6

12.5.2.3 Permit Applications: Standard Requirements 7

12.5.2.4 Permit Applications: Certification 10

1 2.5.2.5 Permit Applications: Insignificant Activities and Emissions 10

1 2.5.2.6 Permit Content: Standard Requirements 14

1 2.5.2.7 Permit Content: Federally Enforceable Requirements 21

12.5.2.8 Permit Content: Compliance Aequirements 21

12.5.2.9 Permit Content: Permit Shield 23

12.5.2.10 Permit Issuance: Action on Application 24

12.5.2.11 Permit Renewal and Expiration 25

12.5.2.12 Permit Revision: Changes that Do Not Require a Permit

Revision 26

12.5.2.13 Permit Revision: Administrative Permit Revision 27

12.5.2.14 Permit Revisions: Minor and Significant 28

12.5.2.15 Permit Revision: Reopening for Cause 32

12.5.2.16 Permit Revision: Reopenings for Cause by EPA 33

12.5.2.17 Public Participation 34

12.5.2.18 Permit Review by EPA and Affected States 35

12.5.2.19 Temporary Sources 37

12.5.2.20 Part 70 General Permit 37

//

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12.5 PART 70 OPERATING PERMIT REQUIREMENTS

12.5.1 Definitions

The following definitions a~~lvto defined terms used in Section 12.5. Unless

the context requires otherwise, the following terms shall have the meanings

set forth for the purposes of Section 12.5. When a term is not defined,j~

shall have the meaning provided in Section 0, Section 12.4, 40 CFR 70.2~

the Act, or common usage, in thai order of priority.

~). “Deviation” means a variation from any permit terms, including terms

that establish emission limitations, operating conditions, or work

practice standards, and those terms intended to show compliance

with those limitations, conditions, or standards, including monitoring,

recordkeeping, and reporti~jequirementS.A deviation is not necessarily a violation.

1k). “Exempt Source” means that the following source categories are exempted from the obliqationjQobtain a Part 70 Operating Permit:

(1) Any source that has obtained a voluntarily accepted emission

limit, pursuant to Section 12.1.7, to avoid having to obtain a Part

70 Operating Permit, unless a Part 70 Operating Permit is required by some other provision or requirement of the Act El)

(2) Any source that would be required to obtain a permit solely because it is subject to Section 14.1(b)(621 of these AQRs, “Standards of PertormancejQr New Residential Wood Heaters” (40

CFR 60.530, Subpart AAA); or

(3) Any source that would be required to obtain a permit solely because it is subject to Section 13.1(bl(8l of these AQRs, “Emission

Standard for Asbestos” (40 CFR 61.145, Subpart Ml.

Ic). “Existing Part 70 source” means a Part 70 source that either has a

valid Part 70 Operating Permit issued prior to the effective date of

Section 12.5 or has an application for a Part 70 Operating Permit

deemed complete prior to the effective date of Section 12.5.

~). “Minor NSR significant levels” means an increase in the potential to

emit that would equal or exceed the following rates for the pollutants

listed:

Type of Air Pollutant Potential to Emit (t~v~

~ directly emitted 5.0

EMi~

Co

12.5-1

2-178
22

20

20

Lead (Pb~

Total Reduced Sulfur (including H2S)

~). “Modification” or “Modify” means a project which meets any of the

preconstruction review applicability criteria in paragraph (g) of Section 12.5.1 or that requires a minor or significant permit revision pursuantto Section 12.5.2.14.

j~). “New Part 70 source” means a Part 70 source that is not an existing

Part 70 source.

fg). “Preconstruction review applicability criteria” means any of the followin At an existing major stationary source, a project that will result in a major modification as defined in Section 12.2 or 12.3

12). A new Part 70 source or a modification to an existing Part 70

source that is subject to Section 12.4.3.2

~). Any project that is subject to a standard, limitation, or other requirement under 40 CFR Part 60

14). Any project that is sublect to a standard under 40 CFR Part 63,

including, but not limited to, construction or reconstruction that

requires preconstruction review under 40 CFR 63.5; or

If). For a solid waste incineration unit, a project that will result in a

modification for purposes of Section 1 29(g)(3) of the Act.

1k). “Project” means a physical chanae in, or change in the method of

operation of, a major stationary source.

For purposes of this definition, a physical change or change in the

method of operation shall not include:

in Routine maintenance, repair and replacement.

12). Use of an alternative fuel or raw material by reason of any order

under Section 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.

2-179
~.). Use of an alternative fu~bvreason of an order or rule under

Section 125 of the Act.

14). Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated from municipal solid waste.

If). Use of an alternative fuel or raw material by a stationary source

which:

~). The source was ~able of accommodating before January 6, 1975, unless such change would be prohibited under

any federally enforceable permit condition which was established after Janua~6, 1975 pursuant to4O CFR 52.21

or under regulations approved pursuant 1040 CFR Part 51

Subpart I; or

If). The source is ap~~,edto use under any permit issued

under 40 CFR 5221 or under regulations approved pursuant to 40 CFR Part 51 Subpart I.

If). An increase in the hours of operation or in the production rate,

unless such change would be prohibited under any federally enforceable permit condition which was established after January

6, 1975, pursuant to 40 CFR 52.21 or under regulations approved pursuant to 4OCFR Part 51, Subpart I.

£7). Any change in ownership at a stationary source.

If). The installation, operation, cessation, or removal of a temporary

clean coal technolo~vdemonstration project, provided that the

project complies with~:

j~).The Nevada State implementation Plan and

If). Other requirements necessary to attain and maintain the

national ambient air quality standards during the project

and after it is terrrilnated.

j~). The installation or operation of a permanent clean coal technology demonstration pl2j~.ctthat constitutes repowerinq, provided

that the project does not result in an increase in the potential to

emit of any requlated...~lutantemitted by the unit. This exemption shall apply on a pollutant-by-pollutant basis.

LW). The reactivation of a very clean coal-fired electric utility steam

generating unit. C

12.5-3

2-180
jj). “Responsible official” means one of the following:

in For a corporation: a president, secretary, treasurer, or vicepresident of the corporation in charge of a principal business

function, or any other person who performs similar policy or decision-making functions for the corporation, or a duly authorized

representative of such person if the representative is responsible for the overall operation of one or more manufacturing, production, or operating facilities applying for or subject to a permit

and either:

j~).The operating facilities employ more than 250 persons or

have gross annual sales or expenditures exceeding $25

million in second quarter 1980 dollars: or

If). The delegation of authority to such representative is approved in advance by the Control Officer.

12). For a partnership or sole proprietorship: a general partner or the

proprietor, respectively:

~). For a municipality, state, federal, or other public agency: either a

principal executive officer or ranking elected official. For the

purposes of this definition, a principal executive officer of a federal agency includes the chief executive officer having responsibility for the overall operations of a principal geographic unit of

the agency; or

14). For Title IV affected sources:

~). The designated representative, as defined in 40 CFR 72.2,

insofar as actions, standards, requirements, or prohibitions

under Title IV of the Act, “Acid Deposition Control,” or the

regulations promulgated there under are concerned: or

If). The responsible official as defined above for any other purposes under Section 12.5.

12.5.2 Part 70 Operating Permit Requirements

12.5.2.1 Permit Applications: Timely and Complete Applications

For each Part 70 source, the owner or operator shall submit a timely and

complete permit application. A pre-application conference may be held at

the request of the owner or operator of the Part 70 source to assist a source

in submitting a complete permit application.

Ia). Timely application.

/7’

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111 A timely application fora source applying for a Part 70 Operating Permit for the first time is one that is submitted within twelve

(12) months after the source becomes subiect to the permit program. If a source submits a timely application under this provision, it may continue op~atingunder its Authority to Construct

Permit until final action is taken on its application for a new Part

70 Operating Permit.

12). For purposes of permit renewal, a timely application is a complete application that is submitted at least six (6) months and not

greater than eighteen (18) months prior to the date of permit expiration. If a source submits a timely application underthis provision, it may continue operating under its current Part 70 Operating Permit until final action is taken on its application for a

renewed Part 70 Operatin9 Permit.

j~). A timely application for an existing Part 70 source that has obtained an Authority to Construct Permit is one that is submitted

within twelve (121 months after commencing operation of the

modification or reconstruction authorized by the permit, or on or

before such earlier date that the Control Officer may establish.

However, where an existing Part 70 Operating Permit would

prohibit such construction or change in operation, the source

must obtain a Part 70~rmitrevision pursuant to Section

12.5.2.14 before commencing operation.

14). In order to be deemed a timely application, the application must

also meet the complete application provisions listed in paragraph (b) of Section 12.5.2.1.

1k). Complete application.

Ii). To be deemed complete, an application must provide all information necessary to evaluate the subject source and its application and to determine all applicable requirements, including the

emission rates information required by paragraph (a)(3) of Section 12.4.3.1. Applications for permit revisions need supply only

such information as is related to the proposed change. A responsible official shall certify the submitted information consistent with Section 12.5.2.4.

12). Unless the Control Officer notifies the source in writing within sixty (60) days of rec~piof the application that an application is

not complete, such appi~cationshall be deemed to be complete.

j~).A completeness determination shall not be required for a minor

permit revision.

12.5-5

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14). If, while processing an application that has been determined or

deemed to be complete, the Control Officer determines that additional information is necessary to evaluate or take final action

on that application, the Control Officer may request such information in writing and set a reasonable deadline for a response.

Failure to provide the information requested in a timely manner

may result in a determination that the application is incomplete.

If). The submittal of a complete application shall not affect the requirement that any source shall have an Authority to Construct

Permit issued pursuant to Section 12.4.3 priorto construction.

Ic). Area source-specific requirements.

U). If a regulation promulgated by the administrator under Section

111 or 112 of the Act (42 U.S.C. 7411 or 7412) requires area

sources to submit an application for a Part 70 Operating Permit,

each area source covered by the requirement must submit an

application in accordance with that regulation.

1~~!). Confidential Information. Claims of confidentiality as to information

submitted to EPA shall be made pursuant to applicable federal requirements in 40 CFR Part 2. Claims of confidentiality as to information submitted to the department shall be made pursuant to Section

12.6. In the case where a source has submitted information to the

Control Officer under a claim of confidentiality that also must be

submitted to EPA, the Control Officer shall either submit the information to EPA or require the source to submit a copy of such information directly to EPA.

~). Late applications. An application submitted after the deadlines established for timeliness shall be accepted for processing, but shall not

be considered a timely application. Submitting an application shall

not relieve a source of any enforcement actions resulting from submitting a late application.

12.5.2.2 Permit Applications: Duty to Supplement or Correct Application

Any applicant who fails to submit any relevant facts, or who has submitted

incorrect information in a permit application, shall, upon becoming aware of

such_failure_or_incorrect submittal, promptly submit such supplementary

facts or corrected information. In addition, an applicant shall provide additional information as necessary to address any requirements that become

applicable to the source after the date it filed a complete application but

prior to release of a draft permit. A responsible official shall certify the additional information consistent with the requirements of Section 12.5.2.4.

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12.5.2.3 Permit Applications: Standard R~g!1irements

Information as described below for~~chemissions unit at a Part 70 source

shall be included in the application,~~cept for insignificant activities. The

application shall be submitted on a form provided by the Control Officer.

fe). Identifying information, including company name, company address,

plant name and address if different from company name and address, owner’s name and ag~t,and telephone number and name of

the responsible official, plant site manager, or contact

1k). A description of the source’~~.p~ocesses and products by Standard

Industrial Classification Cod~jSlC)or the North American Industry

Classification System (NAIC~1,including any associated with each

alternate scenario identifiecLky the source

~). The following emjssions-rel~dinformation:

Ii.). The potential to emit of all air pollutants for which the source is

major, and the potential to emit of all regulated air pollutants, including HAPs, from ar]y~missionsunit, except for insignificant

activities

12). Identification and descr~tionof all points of emissions described

in paragraph (c’i(l) of Section 12.5.2.3 in sufficient detail to establish the basis for an air impact analysis and applicability of

applicable requiremer~j

j~). Emissions rates in tor~peryear, including fugitive emission

rates, and in such tenrns as are necessary to establish compliance with applicable ~pirements,consistent with the results of

performance tests conducted pursuant to the source’s Part 70

Operating Permit or the source’s Authority to Construct Permit~

whichever is more cu~~j

14). The following information to the extent it is needed to determine

or regulate emissions,: fuels, fuel use, raw materials, production

rates, and operating schedules

If). Identification and de~çjjptionof air pollution control equipment

and compliance monitoring devices or activities: and

If). Limitations on sourcQQperation affecting emissions or any work

practice standards, where applicable, for all regulated air pollutants and HAPs at the Part 70 source.

Ic!). Other information requirecj.ky any applicable requirement. incIudinci~ C~I:

12.5-7

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Ii). Information related to stack height limitations developed pursuant to Section 12.2.7.3; and

12). The calculations on which the information in paragraphs (c)(1)

through (c)(6) of Section 12.5.2.3 is based.

j~). The following air pollution control requirements:

in Citation and description of all applicable requirements, and

12). Description of or reference to any applicable test method for determining compliance with each applicable requirement.

ifi Other specific information that may be necessary to implement and

enforce applicable requirements or to determine the applicability of

such requirements

jg). An explanation of any proposed exemptions from otherwise applicable requirements

1k). If alternative operating scenarios are to be identified in the permit

pursuant to paragraph (j) of Section 12.5.2.6, such information as is

necessary for the Control Officer to define those scenarios and determine the applicable requirements for each proposed scenario:

fj). If emissions trading is proposed, the legal authority for the trading

and a description of the proposed conditions for determining compliance with the trading requirements, including replicable procedures

that ensure that the emissions trades are quantifiable and enforceable.

jj). A compliance plan that contains all of the following:

in A description of the compliance status of the source with respect to all applicable requirements

12). A compliance statement and compliance schedule, as follows:

j~).For applicable requirements with which the source is in

compliance, a statement that the source will continue to

comply with such requirements

If). For applicable requirements that will become effective during the permit term, a statement that the source will meet

such requirements on a timely basis. A statement that the

~ effec~vedunnQthePemtt!~,,,,///

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satisfy this provisj~unless a more detailed schedule is

expressly require~..~.ythe applicable requirement; and

j~).A schedule of compliance for any emissions unit at the

source that will not be in compliance with any applicable

requirement at the time of permit issuance. Such a schedule shall include a schedule of remedial measures, including an enforceable sequence of actions with milestones,

leading to compliance with the applicable requirements.

This compliance schedule shall resemble and be at least

as stringent as that contained in any judicial consent decree or administr~Lveorder to which the source is subject.

Any such schedule of compliance shall be supplemental to,

and shall not sanction noncompliance with, the applicable

requirements on which it is based.

I?). A schedule for submission of certified progress reports no less

than eve~six (6) months for sources reguired to have a schedule of compliance to remedy a violation.

14). The compliance plan content requirements specified in paragraphs (j)(1l through (jl(3) of Section 12.5.2.3 shall apply and be

included in the “acid rain” portion of a compliance plan for a Title ,—~.

IV affected source, except as specifically superseded by regulalions promulgated under Title IV of the Act, “Acid Deposition

Control,” with regard to the schedule and methods the source

will use to achieve corn~iancewith the acid rain emission limitations.

j~). Requirements for compliance certification, including all of the followingi

Li). A certification of com~ncewith all applicable requirements by

a responsible official consistent with Section 12.5.2.4 of the

AQRs and Section 1 i4~)(3)of the Act, “Enhanced Monitoring

and Compliance Certification”

12). A statement of methods used for determining compliance, including a description of monitoring, recordkeeping, and reporting requirements and test method; and

j~).A statement indicatir~gj!jesource’s compliance status with any

applicable enhanced monitoring and compliance certification requirements of the Act

Q). For acid rain portions of permit applications and compliance plans~

submit a current EPA Acid Rain Permit Application or New Unit Exemption form, as applicable.

N 12.5-9

2-186
Q~). If a PAL is requested, the information required by Section 12.2.19 for

establishing a PAL.

12.5.2.4 Permit Applications: Certification

Any application form, report, or compliance certification submitted pursuant

to Section 12.5 shall contain certification by a responsible official of truth,

accuracy, and completeness. This certification, and any other certification

required under Section 12.5, shall state that, based on information and belief formed after reasonable inquiry, the statements and information in the

document are true, accurate, and complete.

12.5.2.5 Permit Applications: Insignificant Activities and Emissions

An application may not omit information needed to determine the applicability of, or to impose, any applicable requirement.

f~). The following types of activities and emissions units may be presumptively omitted from a permit application for a Part 70 Operating

Permit. Certain of these listed activities include qualifying statements

intended to exclude many similar activities:

in Combustion emissions from propulsion of mobile sources

12). Air-conditioning units used for human comfort that do not have

applicable requirements under Title VI of the Act:

~). Ventilating units used for human comfort that do not exhaust air

pollutants into the ambient air from any manufacturing/industrial

or commercial process

14). Noncommercial food preparation

If). Consumer use of office equipment and products, not including

printing establishments or businesses primarily involved in ~hotographic reproduction

If). Janitorial services and consumer use of janitorial products

£7). Internal combustion engines used for landscaping purposes

If). Laundry activities, except for dry-cleaning and steam boilers:

f~). Bathroom/toilet vent emissions

~ ~~:rQ5r~~(backup) electrical generators at residential loca-

/7”

2-187
•fJJ.). Tobacco smoking rooms and areas

112). Blacksmith forges

jj~).Plant maintenance ancL~.pkeepactivities (e.g., groundskeeping,

general repairs, cleanii~g~painting, welding, plumbing, re-tarring

roofs, installing insulat~L1and paving . parking lots), provided

these activities are not conducted as part of a manufacturing

process, are not related to the source’s primary business activity, and not otherwise triggering a permit revision Cleaning and

painting activities qualj~~jtsinsignificant activities if they are not

subject to VOC or HAP control requirements. Asphalt batch

plant owners/operators must still get a permit if otherwise required.

114). Repair or maintenanc op activities not related to the source’s

primary business activj~y~. not including emissions from surface

coating or degreasing (solvent metal cleaning) activities, and not

otherwise triggering a .2~imitrevision

Li.~).Portable electrical generators that can be moved by hand from

one location to anothE~

L1Q). Hand-held equipment for buffing, polishing, cutting, drilling, saw- (~)

mg, grinding, turning, or machining wood, metal, or plastic:

liZ). Brazing, soldering, and welding equipment, and cutting torches related to manufacturing and construction activities that do not

result in emission of HAP metals

Li.~).Air compressors and ~umaticaIly operated equipment, including hand tools

jj~).Batteries and battery charging stations, except at batterv manufacturing plants

12P). Storage tanks, vesse~~~tnd containers holding or storing liquid

substances that will not emit any VOCs or HAPs

IZfl Storage tanks, reseneoirs, and pumping and handling equipment

of any size containinq..~aps.vegetable oil, grease, animal fat4

and nonvolatile aqueous salt solutions, provided appropriate lids

and covers are utilize.c!j

122). Equipment used to mix and package soaps, vegetable oil,

grease, animal fat, and nonvolatile aqueous salt solutions, provided appropriate lids and covers are utilized~ C

12.5-11

2-188
q

.(2~).Drop hammers or hydraulic presses for forging or metalworking:

124). Equipment used exclusively to slaughter animals, but not including other equipment at slaughterhouses, such as rendering

cookers, boilers, heating plants, incinerators, and electrical

power generating equipment

12k). Vents from continuous emissions monitors and other analyzers:

I2~).Natural gas pressure regulator vents, excluding venting at oil

and gas production facilities

12Z). Hand-held applicator equipment for hot melt adhesives with no

VOCs in the adhesive formulation

I2~).Equipment used for surface coating, painting, dipping, or spraying operations, except those that will emit VOCs or HAPs

12Q~).çQ~lasers, used only on metals and other materials which do

not emit HAPs in the process

~Q).Consumer use of paper trimmers/binders

~fl Electric or steam-heated drying ovens and autoclaves, but not

the emissions from the articles or substances being processed

in the ovens or autoclaves or the boilers delivering the steam

1~).Salt baths using nonvolatile salts that do not result in emissions

of any regulated air pollutants

~). Laser trimmers using dust collection to prevent fugitive emissions

~4).Bench-scale laboratory equipment used for physical or chemical

analysis, but not lab fume hoods or vents

.Q~).Routine calibration and maintenance of laboratory equipment or

other analytical instruments

~). Equipment used for quality control/assurance or inspection purposes, including sampling equipment used to withdraw materials for analysis:

1~7).Hydraulic and hydrostatic testing equipment

.(~).Environmental chambers not using HAP gases

j~).Shock chambers //~

//

2-189
f4Q). Humidity chambers

141). Solar simulators

~4~). Fugitive emissions related to movement of passenger vehicles,

provided the emissions are not counted for applicability purposes and any reguired fugitive dust control plan or its equivalent is submitted

~4~).Process water fiItratior~stemsand demineralizers

144.). Demineralized water tanks and demineralizer vents

I4.~).Boiler water treatment operations, not including cooling towers

14Q). Oxygen scavenging (deaerationl of water

I4Z). Ozone generators

I4~.).Fire suppression syste~~sj

149). Emergency road flaresj

IfQ). Steam vents and safe~y.~lief valves

Iffl Steam leaksi

If2). Steam cleaning operations; and

1.~?.).Steam sterilizers.

1k). Any person may petition the Control Officer for a rule to be adopted

under the procedures in Section 2 to add an activity or emission unit

to this list of insignificant activities and emissions which may be excluded from a Part 70 Operating Permit application. The petition shall

include the following information:

Li). A complete description of the activity or emission to be added to

the Ii~t

12). A complete description of all air contaminants that may be emitted by the activity or emission, including emission rate, air pollution control equipment, and calculations used to determine

emissions; and

~). An explanation of why the activity or emission should be exempted from the application requirements for an operating permE

- 12.5-13

2-190
.(ç). The Control Officer shall review, on a case-by-case basis, insignificant activities for an individual Part 70 source that are listed in the

application but do not require a detailed description. No activity with

the potential to emit greater than two (2) tpy of any criteria pollutant,

five (5) tpy of a combination of criteria pollutants, five hundred (500)

pounds ~eryear of any HAP, or one (1) tpy of a combination of HAPs

shall be eligible to be determined an insignificant activity under Section 12.5.2.5.

12.5.2.6 Permit Content: Standard Requirements

Each Part 70 Operating Permit shall include the following elements:

~). Emission limitations and standards, including those operational requirements and limitations that assure compliance with all applicable

requirements at the time of permit issuance or that become effective

within the term of the permit:

in The permit shall specify, and reference the origin of and authority for, each term or condition, and identify any difference in form

as compared to the applicable requirement upon which the term

or condition is based.

12). Where an applicable requirement is more stringent than an applicable requirement of regulations promulgated under Title IV of

the Act, “Acid Deposition Control,” both provisions shall be incorporated into the permit.

~). If the Nevada SIP allows a determination of an alternative emissions limit at a Part 70 source, equivalent to that contained in

the SIP, to be made during the permit issuance, renewal, or significant revision process, and the Control Officer elects to use

such process, any permit containing such equivalency determination shall contain provisions to ensure that any resulting

emissions limit has been demonstrated to be quantifiable, accountable, enforceable, and based on replicable procedures.

1k). All terms and conditions of any Authority to Construct Permit, to the

extent that such terms and conditions apply to operations. The permit

shall identify those terms and conditions and the authority upon

which_they_are based, and shall contain a statement that any

changes to any such terms and conditions must be processed in accordance with the applicable permit revision procedures in Section

12.4, 12.5.2.13 or 12.5.2.14 and applicable SIP requirements

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Ic). Permit duration.

Lfl The Control Officer shall issue permits for a fixed term of five (5)

years in the case of “acid rain” sources, and for a term not to

exceed five (5) years in the case of all other sources.

12). Notwithstanding paragraph (c)(1) of Section 12.5.2.6, the Control Officer shall issue p~mitsfor solid waste incineration units

combusting municipal waste and subject to a standard under

Section 129(e) of the Act shall be issued for a period not to exceed twelve (121 years and shall review such permits at least

every five (5) years.

j~).A condition or requirement in a Part 70 Operating Permit that incorporates conditions from an Authority to Construct Permit derived from Sections 1 2.2 or 12.3 requirements shall remain in effect and enforceable after expiration or termination of the Part

70 Operating Permit in which they are containeth

~). Monitoring and related recordkeepjnq and reporting requirements.

Li). Each permit shall contain the following requirements with respect to monitoring

f~).All monitoring and analysis procedures or test methods re- )

gujred under applicable monitoring and testing requirements, incIudinQ4~CFR Part 64, and any other procedures and methods that may be promulgated pursuant to

Sections 11 4(a)(~.)..pr504(b) of the Act. If more than one

monitoring or testing requirement applies, the permit may

specify a streamlined set of monitoring or testing provisions provided the specified monitoring or testing is adequate to assure compliance at least to the same extent as

the monitoring or testing applicable requirements that are

not included in 1!~permitas a result of such streamlining

If). Where the applicable requirement does not require periodic testing or instrumental or non-instrumental monitoring,

compliance monitoring may consist of recordkeeping designed to serve asmonitoring or periodic monitoring sufficient to yield reliable data from the relevant time period

that are representative of the source’s compliance with the

permit. Such monitoring requirements shall assure use of

terms, test methods, units, averaging periods, and other

statistical conventions consistent with the applicable requirement. Recordkeeping provisions may be sufficient to

meet the requirements of this paragraph: and

12.5-15

2-192
~Q).As necessary, requirements concerning the use, maintenance, and, where appropriate, installation of monitoring

equipment or methods.

12). With respect to recordkeepjng, the permit shall incorporate all

applicable recordkeeping requirements and require, where applicable, the following:

~). Records of required monitoring information that include the

following:

jj). The date, place as defined in the permit, and time of

sampling or measurements

fifl The dates analyses were performed

Illil The company or entity that performed the analyses

Qy). The analytical techniques or methods used

Ix). The results of such analyses; and

~). The operating conditions as existing at the time of

sampling or measurement.

If). Retention of records of all required monitoring data and

support information for a period of at least five (5) years

from the date of the monitoring sample, measurement, report, or application. Support information includes all calibration and maintenance records and all original strip-chart

recordings for continuous monitoring instrumentation, and

copies of all reports required by the permit.

~). For sources that contain emissions units subject to 40 CFR Part

64 (Compliance Assurance Monitoring, or CAM), the following

~eneraIterms and conditions shall become terms and conditions of the permit:

j~).The perrnittee shall install, calibrate, maintain, and operate

a monitoring system according to the manufacturer’s specifications or other written procedures that provide adequate

assurance that the system would reasonably be expected

to function in accordance with the requirements in 40 CFR

64.7.

If). At all times, the permittee shall properly maintain the monitoring system, including, but not limited to, maintaining

125~V

2-193
parts if necessaryjQ~routine repairs of the monitoring system.

j~).The permittee shall collect data at all required intervals

during emissions unit operation, except for, as applicable,

monitoring malfunctions, repairs associated with monitoring malfunctions, I required quality assurance or control

activities, as follows:

1i). Data recorded during monitoring malfunctions, repairs assoQ~iedwith malfunctions, and required

quality assurance or control activities shall not be

used for p~j~osesof CAM.

Q~). The permittee shall maintain records of the beginning date and time, ending date and time, and

cause (including unknown cause, if applicable) for

monitorinQc!Qwntime incidents (other than downtime

associate(L~jthzero and span or other daily calibration check~jfapplicable].

fjj~ The perrmttee shall use all data collected during all

periods other than those identified in paragraph

(d)(3)(C)(i)...Qf Section 12.5.2.6 in assessing the OP

eration of~control device and associated control

system.

~jy). A monitorj~g..malfunction is any sudden, infrequent,

not reasonably preventable failure of the monitoring

to provide valid data. Monitoring failures caused in

part by poor maintenance or careless operation are

not malfu~jonsand shall be considered deviations.

1Q). All incidents of r~nitoringdowntime recorded under paragraph (d)(3)(C)fl)...gi Section 12.5.2.6 shall be reported pursuant to paraqra~~~(d)(4l of Section 12.5.2.6.

1~). The permittee shall comply with the requirements of an

approved CAM ~lity improvement elan, if reguired by the

Control Officer.

14). With respect to reporting, the permit shall incorporate all applicable reporting reathrements, includjnq those in 40 CFR 64.9(a).

if applicable, and require all of the following:

1~). Submittal of repQ~ciof any required monitoring every six

(61 months, or more frequently if specified by an applicable (

requirement or ~ Control Officer. All instances of de12.5-17

2-194
viations from permit requirements, including monitoring

downtime, must be clearly identified in such reports. All

required monitoring reports submitted must be certified by

a responsible official pursuant to section 12.5.2.4:

If). Reporting of deviations from permit requirements, including

those attributable to malfunction, startup, or shutdown. Deviations shall be reported promptly. All reports of

deviations shall identify the probable cause of the deviations and any corrective actions or preventative measures

taken. “Promptly,” for purposes of reporting, shall mean as

follows:

fJ). A deviation caused by excess emissions shall be

reported according to the requirements of Section

25.6.1.

11!). A deviation from a permit requirement that poses a

potential imminent and substantial danger to public

health, safety, or the environment, if violated, shall

be reported according to the requirements of Section 25.6.2; and

fjjj). All other deviations shall be reported within six (6)

months of the date the permittee first learns of the

deviation.

~Q).Written Report of Deviations. A written report must be

submitted at the time specified in paragraph (d)(4)(B) of

Section 12.5.2.6. This form does not provide an exemption

from reporting all malfunctions or emergencies, which shall

be reported according to Section 25.6. All deviation reports

submitted must be certified by a responsible official.

If). Claims of confidentiality shall be governed by Section 12.6.

1.~). Acid Rain Allowances. For Title IV affected sources, a permit condition prohibiting emissions exceeding any allowances that the source

lawfully holds under Title IV of the Act or the regulations promulgated

thereunder:

in No permit revision shall be required for increases in emissions

that are authorized by allowances acquired pursuant to the Acid

Rain Program, provided that such increases do not require a

permit revision under any other applicable requirement.

12). No limit shall be placed on the number of allowances held by

the source. The source may not, however, use allowances as a

/

2-195
defense to noncompliance with any other applicable requirement.

f~).Any such allowance shall be accounted for according to the

procedures establishec!Jn regulations promulgated under Title

IV of the Act.

jf). A severability clause to ensure the continued validity of the various

permit requirements in the event of a challenge to any portions of the

permit

kg). Standard provisions statingjj~pfollowirig~

Li). The perniittee must cqjnply with all conditions of the Part 70

Operating Permit. Any...p~rmitnoncompliance may constitute a

violation of these AQ9~jJevadalaw, and the Act, and is

grounds for any of the following: enforcement action; permit

termination: revocatioa.~j1dre-issuance: revision: or denial of a

permit renewal application.

12). The need to halt or reduce activity is not a defense. 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 orderto maint~icompIiancewith the conditions of this

permit.

j~). The permit may be revised, revoked, reopened, and reissued, or

terminated for cause. The filing of a request by the permittee for

a permit revision, revocation and re-issuance, or termination, or

of a notification of planned changes or anticipated noncompliance, does not stay any permit condition.

14). The permit does not convey any property rights of any sort, or

any exclusive pnivileq~

If). The permittee shall furnish to the Control Officer, within a reasonable time, any information that the Control Officer may request in writing to determine whether cause exists for revisinQ

revoking and reissuhig~orterminating the permit, or to determine compliance with the permit. Upon request, the permittee

shall also furnish to the Control Officer copies of records required to be kept by the permit or, for information claimed to be

confidential, the perrnittee may furnish such records directly to

the Administratoralc~g~witha claim of confidentiality.

If). On a timely basis, th~p.ermitteeshall meet all applicable re- —

guirements that become effective during the permit term C

12.5-19

2-196
ffl). Emission Fee. A provision to ensure that the source pays fees consistentwith Section 18

Iii Emissions Programs. A provision stating that no permit revision

shall be required, under any approved economic incentives, marketable permits, emissions trading, and other similar programs or prócesses, for changes that are provided for in the permit

Ii). Alternative Operating Scenarios. Terms and conditions for reasonably anticipated operating scenarios identified by the source in its

application as approved by the Control Officer. Such terms and conditions:

in Shall require the source, contemporaneously with making a

change from one operating scenario to another, to record in a

log at the permitted facility a record of the scenario under which

it is operating

12). Shall extend the permit shield to all terms and conditions under

each such operating scenario; and

~). Must ensure that the terms and conditions of each such alternative scenario meet all applicable requirements and the requirements of Section 12.5.

fl~). Emissions Trading. Terms and conditions, if the permit applicant

requests them, for the trading of emissions increases and decreases

in the permitted facility, to the extent that the applicable requirements

and the Nevada SIP provide for trading such increases and decreases without a case-by-case approval by the Control Officer and

the trading is necessary solely for the purpose of complying with a

federally enforceable emissions cap that is established in the permit

independent of any otherwise applicable requirements. Such terms

and conditions:

in Shall include all terms required to determine compliance, including replicable procedures and permit terms that ensure that

emissions trades are quantifiable and enforceable

12). Shall extend the permit shield to all terms and conditions that allow such increases and decreases in emissions; and

j~).Shall ensure that the terms and conditions meet all applicable

requirements and that the permitting of affected sources occurs

in accordance with the deadlines in Title IV of the Act and the

regulations promulgated thereunder.

2-197
ffi Any application form, reporL~compliance certification submitted

pursuant to these AQRs shall contain certification by a responsible

official of truth, accuracy, and completeness. This certification and

any other certification required under this part shall state that, based

on information and belief formed after reasonable inquiry, the statements and information in the document are true, accurate, and complete: and

jjj~). The permit shall specify that any person who has been issued a

permit under Section 12.5 shall post such permit in a location which

is clearly visible and accessible to the facility’s employees and representatives of the departmei~j~

12.5.2.7 Permit Content: Federally Enforceable Requirements

~). Except as provided in paragraph (b) of Section 12.5.2.7, all terms

and conditions in a Part 7QQQeratinq Permit, including any provisions designed to limit a source’s PTE, are enforceable by EPA and

by citizens pursuant to a citizen’s suit filed under the Act.

1k). Notwithstanding paragraph~)of Section 12.5.2.7. applicable requirements that are not redllAjLed by the Act or implementing federal

regulations shall be included in the permit, but shall be specifically

designated as being not federally enforceable and not enforceable by ( “)

a citizen’s suit pursuant to the Act and shall be designated as

“county-only requirements.” Terms and conditions so designated are

not subject to the requirements that apply to permit review by EPA

and affected states.

Ic). The Control Officer shall determine which conditions are “county-only

requirements” in each Part 70 Operating Permit.

12.5.2.8 Permit Content: Compliance Regj~irements

All Part 70 Operating Permits shall contain all of the following elements with

respect to compliance:

j~). Compliance certification, testing, monitoring, reporting, and recordkeening requirements sufficient to assure compliance with the terms

and conditions of the pem~it.Any document, including any report, required to be submitted pursuant to Section 12.5.2 shall contain a certification by a responsible official that meets the requirements of Section 12.5.2.4

1k). Inspection and entry requkrements that require that, upon presentation of credentials and other documents as may be required by law,

the permittee shall allow the Control Officer or an authorized repre12.5-21

2-198
sentative to enter the permittee’s premises where a Part 70 source is

located or emissions related activity is conducted and to:

in Have access to and copy any records that must be kent under

the conditions of the permit

12). Inspect any facilities, equipment (including monitoring and air

pollution control equipment), practices, or operations regulated

or required under the permit

1~). Sample or monitor substances or parameters for the purpose of

assuring compliance with the permit or applicable requirements

and

14). Document alleged violations using devices such as cameras or

video equipment.

~). A schedule of compliance consistent with paragraph (j) of Section

12.5.2.3 and 40 CFR 70.5(c)(8)

~). Progress reports consistent with an applicable schedule of compliance to be submitted semiannually, or at a more frequent period if

specified in the applicable requirement or by the Control Officer.

Such progress reports shall contain all of the following:

Ii). Dates for achieving the activities, milestones, or compliance required in the schedule of compliance, and dates when such activities, milestones, or compliance were achieved: and

12). An explanation of why any dates in the schedule of compliance

were not or will not be met, and any preventive or corrective

measures adopted.

~). Requirements for compliance certification with terms and conditions

contained in the permit, including emission limitations, standards, or

work practices. Permits shall include all of the following:

Li). Annual submission of compliance certification, or more frequently if specified in the applicable requirement or by the Control Officer

12). In accordance with paragraph (d) of Section 12.5.2.6, a means

for monitoring the compliance of the source with its emission

limitations, standards, and work practices:

~). A requirement that the compliance certification include all of the

following (provided that the identification of applicable informa-

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tion may reference the.p~rmitor previous reports, as applicable)~

~). The identification of each term or condition of the permit

that is the basis of the certification

If). The identification.Qfjhe methods or other means used by

the owner or operator for determining the compliance status with each term and condition during the certification period. The methods and means shall include, at a minimum,

the monitoring and related recordkeeping and reporting requirements described in 40 CFR 70.6(a)(3). If necessary

the owner or operator also shall identify any other material

information that must be included in the certification to

com~lvwith Section 11 3(c)(21 of the Act, which prohibits

knowingly makuig...~jalsecertification or omitting material

information:

SQ). The status of compliance with the terms and conditions of

the permit for the period covered by the certification, including whether compliance during the period was continuous or intermJj~.nt.The certification shall be based on

the method or means designated in paragraph (e)(3)(B) of

Section 12.5.2.8. The certification shall identify each deviation and take it into account in the compliance certification. /

The certification shall also identify, as possible exceptions

to compliance, a~y.periodsduring which compliance is required and in which an excursion or exceedance (as defined under 40 CFR Part 64) occurred; and

jQ). Such other facts as the Control Officer may require to determine the compliance status of the source.

14). A requirement that all compliance certifications be submitted to

EPA as well as to the Control Officer.

ifi Such additional requirements as may be specified pursuant to Section 1 14(a)(3) of the Act~EnhancedMonitoring and Compliance Certification,” and Section 504(b) of the Act, “Monitoring and Analysis.”

12.5.2.9 Permit Content: Permit Shield

j~). Except as otherwise provided in Section 12.5.2.9, the Control Officer

may include in each Part 70 Operating Permit a permit shield provision stating that compliance with the conditions of the permit shall be

deemed compliance with any applicable requirements as of the date

of permit issuance, provided t

12.5-23

2-200
Li). Such applicable requirements are included and are specifically

identified in the permit; or

12). The Control Officer, in acting on the permit application or revision, determines in writing that other requirements specifically

identified are not applicable to the source, and the permit includes the determination or a concise summary thereof.

1k). A Part 70 Operating Permit that does not expressly state that a permit shield exists shall be presumed not to provide such a shield.

1~). Nothing in this paragraph or in any operating permit shall alter or affect any of the following:

in The provisions of Section 303 of the Act, “Emergency Orders,”

including the authority of the Administrator under that section:

12). The applicable reguirements of the Acid Rain Program, consistent with Section 408(a) of the Act

1~). The ability of the Control Officer to obtain information from a

source, and the ability of EPA to obtain information from a

source, under Section 114 of the Act, “Inspection, Monitoring,

and Entrv”; and

14). 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.

12.5.2.10 Permit Issuance: Action on Application

1~). A permit, permit revision, or renewal may be approved only if all of

the following conditions have been met:

Li). The Control Officer has received a complete application for a

permit, permit revision, or permit renewal, except that a complete application need not be received before a Part 70 general

permit is issued pursuant to Section 12.5.2.20:

12). Except for revisions qualifying as administrative or minor permit

revisions under Section 12.5.2.13 or paragraphs (a) and (b) of

Section 12.5.2.14, the Control Officer has complied with the applicable requirements for public participation in Section

12.5.2.17

~). The Control Officer has complied with the requirements for notifying and responding to EPA and affected states under paragraph (b) of Section 12.5.2.18

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/2~

2-201
14). The conditions of the permit provide for compliance with all ap- (

plicable requirements and the requirements of Section 12.5: and \~.“

If). EPA has received a cqQy..of the proposed permit or permit revision and any notices r~g~iredunder paragraphs (a) and (b) of

Section 12.5.2.18, and has not objected to issuance of the permit under paragraph (ç)..~jSection 12.5.2.18 within the time period specified therein.

1k). Except as provided under m~g~Iationspromulgated under Title IV of

the Act for the permitting ol Title IV affected sources under the Acid

Rain Program, the Control Officer shall take final action on each

permit application, including~jequestfor permit revision or renewal,

within eighteen (18) months after receiving a complete application.

Ic). The Control Officer shall provide a statement that sets forth the legal

and factual basis for the dr~permitconditions, including references

to the applicable statutory or regulatory provisions or conditions in an

applicable Authority to Construct Permit. The Control Officer shall

send this statement to EPA akrng with each proposed Part 70 Operating Permit and to any ot1~Q[personwho requests it.

~). Upon issuance of a Part 70 Operating Permit or revision to that permit, any Authority to Construct Permit issued for an emissions unit ( “~

subiect to that permit or revision is terminated for that emissions unit. “~— -‘

However, the terms and conditions of the Authority to Construct

Permit remain in effect, in accordance with paragraph (b) of Section

12.5.2.6.

~). The submittal of a complete application shall not affect the requirement that any source hav€~.preconstructionpermit under Title I of

the Act.

12.5.2.11 Permit Renewal and Expiration

~). Permits being renewed are subject to the same procedural requirements, including those forp~Iicparticipation and affected state and

EPA review, that apply to ~iitialpermit issuance.

1k). Permit expiration terminates the source’s right to operate unless a

timely and complete renewal application has been submitted.

Ic). If a timely and complete renewal application is submitted and the

Control Officer fails to issue or deny the renewal permit before the

end of the term of the curr~.permit, then all of the terms and conditions of the current permitJ~çludingthe permit shield, shall remain in ~

effect until renewal or denial.

12.5-25

2-202
~). Except as provided in parigraph (b) of Section 12.5.2.12 and paragraphs (a) and (b) of Section 12.5.2.14, no Part 70 source may operate after the time that it is required to submit a timely and complete

application under Section 12.5.2 except in compliance with a permit

issued thereunder, If a Part 70 source submits a timely and complete

application for permit issuance (including for renewal), the source’s

failure to have a Part 70 Operating Permit is not a violation of Section

12.5 until the Control Officer takes final action on the permit application. This protection shall cease to apply if, subsequent to the completeness determination, the applicant fails to submit, by the deadline

specified in writing by the Control Officer, any additional information

identified as being needed to process the application.

12.5.2.12 Permit Revision: Changes that Do Not Require a Permit Revision

j~). A Part 70 source may make changes that are not addressed or prohibited by the permit without a permit revision, unless such chances

are subject to any requirements under Title IV of the Act or are modifications under any provisions of Title I of the Act.

in Each such change shall meet all applicable requirements and

shall not violate any existing permit term or condition.

12). Sources must provide at least seven (7) days’ written notice to

the Control Officer and EPA of each such change, except for

changes that qualify as insignificant under Section 12.5.2.5.

Such written notice shall describe each such change, including

the date, any change in emissions, pollutants emitted, and any

applicable requirements that would apply as a result of the

change.

j~).The chanae shall not qualify for a permit shield.

14). The permittee shall keep a record describing changes made at

the source that result in emissions of a regulated air pollutant

subject to an applicable requirement, but not otherwise regulated under the permit, and the emissions resulting from those

changes.

1k). A Part 70 source may make changes without requiring a permit revision if the changes are defined as Section 502(b)(10) chanaes under

the Act, are not modifications under any provisions of Title I of the

Act, and do not exceed the emissions allowable underthe permit

(whether expressed in the permit as a rate of emissions or in terms of

total emissions). For each such change, the written notification required by paragraph (a)(2) of Section 12.5.2.12 shall apply. The

change shall not qualify for a permit shield

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12.5.2.13 Permit Revision: Administrative.~rmitRevision (

La). An administrative permit revjsjon is a permit revision that:

in Corrects typographical err~~j

12). Identifies a change in the name, address, or phone number of

any person identified in the permit, or provides a similar minor

administrative change at the source

~.). Requires more frequent monitoring or reporting by the permitIQ~i

14). Allows for a chance in ownership or operational control of a

source if the Control Officer determines that no other chanae in

the permit is necessary~,providedthat 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 Control Officer and the permit transfer

procedures in Section 12.12 have been complied with

If). Incorporates into the permit the terms and conditions of an Authority to Construct Permit for a modification if the terms and

conditions were subject to the procedures prescribed by Section

12.2.16.6; or

If). Incorporates into the permit the terms and conditions in an Authority to Construct Permit issued pursuant to Sections 12.4.3.3

or 12.4.3.4 if the terms and conditions were adopted under the

procedures prescribed by Section 12.2.16.6.

1k). Administrative permit revisions for purposes of the “acid rain” portion

of the permit shall be governed by regulations promulgated under Title IV of the Act.

EQ). Administrative Permit Revisions Procedures. An administrative

permit revision may be made by the Control Officer consistent with

the following:

11). The Control Officer shall take no more than sixty (60) days from

receipt of a request for an administrative permit revision to take

final action on such regr~est,and may incorporate such changes

without providing notice to the public or affected states, provided

that the Control Officer designates any such permit revisions as

having been made pursuant to an administrative permit revision.

12). The Control Officer shaH submit a copy of the revised permit to

EPA.

12.5-27

2-204
~). The source may implement the changes addressed in the request for

an administrative revision immediately upon submittal of the request.

~). The Control Officer shall, upon taking final action for an administrative permit revision, allow coverage by the permit shield for administrative permit revisions made pursuant to paragraph (a)(5) of Section

12.5.2.13 which meet the relevant requirements of paragraph (c) of

Section 12.5.2.13 and paragraph (c) of Section 12.5.2.14 for significant permit revisions.

12.5.2.14 Permit Revisions: Minor and Significant

A significant permit revision is any revision to a Part 70 Operating Permit

that cannot be accomplished under the Section 12.5.2.14 provisions for minor or administrative permit revisions. Any permit revision for purposes of

the “acid rain” portion of the permit shall be governed by regulations promulgated by the Administrator under Title IV of the Act and shall require a significant permit revision.

j~). Minor Permit Revision Procedures.

in Criteria. Minor permit revision procedures may be used onlyfor

those permit revisions that:

~ Do not violate any applicable requirement, including any

provision of the Nevada SIP (including specific control

strategies)

If). Do not involve significant changes to existing monitoring,

reporting, or recordkeeping requirements in the permit:

IQ1 Do not require or change a case-by-case determination of

an emission limitation or other standard, or a sourcespecific determination for temporary sources of ambient

impacts, or a visibility or increment analysis

jQ). Do 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 term or condition would include

a federally enforceable emissions cap assumed to avoid

classification as a modification under any provision of Title

I of the Act, or an alternative emissions limit approved pursuant to regulations promulgated under Section 112(i)(5) of

the Act, “Early Reduction”

/

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1g.). Are not modifications under any provision of Title I of the

Act; and

ffi). Are not modifications subject to paragraph (a)(8) of Section

12.4.3.1.

12). Emissions Trading. Minor permit revision procedures may be

used for permit revisions involving the use of economic incentives, marketable permits, emissions trading, and other similai

approaches, to the extent that such minor Part 70 Operating

Permit revision procedures are explicitly provided for in the Nevada SIP or an applicable requirement.

~,). Application. A permittee shall submit a standard application

form provided by the department requesting a minor permit revision. The form shall include all of the following~

~). A description of the change, the emissions resulting from

the change, and any new applicable requirements that will

apply if the change occurs

If). The source’s sugg~steddraft minor permit revision language

IQ). Certification by a responsible official that the proposed revision meets the criteria for a minor permit revision; and

LQ). The information the Control Officer needs in order to notify

EPA and affecte~tates.

14.). EPA and Affected State Notification. Within five (51 working

days of receipt of a complete minor permit revision application,

the Control Officer shall notify EPA and affected states of the

requested permit revision.

If). Timetable for Approval. The Control Officer may not issue a

final permit revision a~p.rovaluntil after EPA’s 45-day review period or until EPA has notified the Control Officer that EPA will

not object to issuance of the permit revision, whichever is first.

Within ninety (90) days of the Control Officer’s receipt of a complete application under minor permit revision procedures or fifteen (151 days after the end of EPA’s 45-day review period under this paragraph, whichever is later, the Control Officer shall:

1~). Issue the permit revision as proposed

If). Deny the permit revision C

12.5-29

2-206
IQ). Determine that the requested revision does not meet the

minor permit revision criteria and should be reviewed under the significant revision procedures; or

112). Revise the draft minor permit revision and transmit to EPA

the new proposed revision. Transmittal to EPA initiates the

approval process described in paragraph (a) of Section

12.5.2.18.

If). Source’s Ability to Make a Change. A Part 70 source may

make the change proposed in its minor permit revision application thirLv (30) days after it files such application. After the

source makes the change allowed by the preceding sentence,

and until the Control Officer takes any of the actions specified in

paragraphs (a)(5)(A) through (a)(5)(D) of Section 12.5.2.14, the

source must comply with both the applicable requirements

øromuI~atedby EPA governing the chanae and the proposed

permit terms and conditions. During this time period, the source

need not com~Ivwith the existing permit terms and conditions it

seeks to modify. However, if the source fails to comply with its

proposed permit terms and conditions during this time period,

the existing permit terms and conditions it seeks to modify may

be enforced against it.

~fl Permit Shield. A permit shield shall not extend to minor permit

revisions.

1k). Group Processing of Minor Permit Revisions. Consistent with this

paragraph, the Control Officer may modify the procedure outlined in

paragraph (a) of Section 12.5.2.14 to process groups of a source’s

applications for certain modifications eligible for minor permit revision

Processing.

in Criteria. Group processing of modifications may be used only

for those permit revisions:

j~).That are minor permit revisions: and

If). That collectively are below the following threshold levels:

ten (10) percent of the emissions allowed by the permit for

the emissions unit for which the change is requested,

twenty (20) percent of the applicable definition of major

stationary source in Sections 12.2, 12.3, and 12.5, or five

(5) tpy, whichever is less.

12). Application. An application requesting the use of group processing procedures shall include the following:

/~

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2-207

7
j~).A description of the change, the emissions resulting from (~

the change, and any new applicable requirements that

will apply if the chance occurs:

If). The source’s su9g~steddraft permit revision language

IQ). Certification by a responsible official that the proposed revision meets the criteria for use of group processing

procedures, anda request that such procedures be used:

~Q).A list of the source’s other pending applications awaiting

group processim~jrnda determination of whether the requested revisio~gqregatedwith these other applications, equals or exceeds the threshold set under paragraph (b)(1)(B) of Section 12.5.2.14

Li.). Certification th~Uijesource has notified EPA of the proposed revision. Such notification need only contain a brief

description of the requested revision; and

If). Completed fomr~sfor the Control Officer to use to notify

EPA and affected states of the revisions for which group

processing is s~ghL

~). EPA and Affected State Notification. On a quarterly basis or

within five (5) business days of receipt of an application demonstrating that the aqgrqg~j.eof a source’s pending applications

equals or exceeds the threshold level set under paragraph

(b)(1)(B) of Section 12.5.2.14, whichever is earlier, the Control

Officer shall notify EPA and affected states of the reguested

permit revisions.

f4). Timetable for Issuance. The provisions of paragraph (a)(5) of

Section 12.5.2.14 shall apply to modifications eligible for group

processing, except that the Control Officer shall take one of the

specified actions withj~..gnehundred eighty (180) days of receipt

of the application or fifteen (15) days after the end of EPA’s 45-

day review period under paragraph (cI of Section 12.5.2.18,

whichever is later.

If). Source’s Ability to Make a Change. The provisions of paragraph (a)(6) of Section 12.5.2.14 shall apply to modifications

eligible for group processinci.

If). Permit Shield. Revisions eligible for group processing shall not

be entitled to the permit shield. (__

—I

12.5-31

2-208
Ic). Significant Permit Revision Procedures.

in Criteria. Significant permit revision procedures shall be used for

applications requesting permit modifications that do not qualify

as minor permit revisions or as administrative permit revisions,

including the creation of a PAL pursuant to Section 12.2.19. At a

minimum, every 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 herein shall be construed to preclude the permittee from making chanaes consistent with this part that would

render existing permit compliance terms and conditions irrelevant.

12). Significant permit revisions shall meet all requirements for issuance and renewal of a Part 70 Operating Permit under Sections

12.5.2.10 and 12.5.2.11, including those for applications, public

participation, review by affected states, and review by EPA, as

they apply to permit issuance and permit renewal. The Control

Officer shall complete review on the majority of significant permit revisions within nine (9) months after receipt of a complete

application.

12.5.2.15 Permit Revision: Reopening for Cause

~). Each Part 70 Operating Permit shall include provisions specifying the

conditions under which the permit will be reopened prior to the expiration of the permit. A permit shall be reopened and revised under

any of the following circumstances:

Li). New applicable requirements become applicable to a Part 70

source that is a major stationary source under Section 12.2,

Section 12.3, or 40 CFR 70.3(a)(1I with a remaining permit term

of three (31 or more years. Such a reopening shall be completed

not later than eighteen (18) months after promulgation of the

applicable requirement. No such reopening is required if the effective_date of the requirement is later than the date on which

the permit is due to expire unless the original permit or its terms

and conditions has been extended pursuant to paragraph (c) of

Section 12.5.2.11

I?). Additional requirements (including excess emissions requirements) become applicable to an affected source under the Acid

Rain Program. Upon approval by the Administrator, excess

emissions offset plans shall be deemed to be incorporated into

the permit:

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/7
~,). The Control Officer or EPA determines that the permit contains

a material mistake or that inaccurate statements were made in

establishing the emissions standards or other terms or conditions of the permit; or

14). The Administrator or the Control Officer determines that the

permit must be revised orrevoked to assure compliance with

the applicable requirements.

1k). PAL conditions are to be revised under Section 12.3.9.8 or paragraph (b) of Section 12.2.19.8

~). Proceedings to reopen and issue a permit shall follow the same procedures as apply to initial permit issuance, and shall affect only those

parts of the permit for which cause to reopen exists. Such reopening

shall be made as expeditio~yas practicable.

~). Reopenings under paraqra~j’a)(1)of Section 12.5.2.15 shall not be

initiated before a notice of such intent is provided to the source by

the Control Officer at least thirty (30) days in advance of the date that

the permit is to be reopened, except that the Control Officer may provide a shorter time period in the case of an emergency.

12.5.2.16 Permit Revision: Reopenings for Cause by EPA

~). The Control Officer shall, within ninety (901 days after receipt of notification that EPA finds that cause exists to terminate, revise, or revoke and reissue a permit, forward to EPA a proposed determination

of termination, revision, or revocation and reissuance, as appropriate.

The Control Officer may reg~sta 90-day extension if a new or revised permit application is necessary or if the Control Officer determines that the permittee must submit additional information.

1k). The Administratorwill review the proposed determination from the

permitting authority within nine~(90) days of receipt.

j~). The Control Officer shall have ninety (90) days from receipt of an

EPA objection to resolve the objection and to terminate, revise, or revoke and reissue the permit in accordance with the Administrator’s

objection.

.(ç~). If the Control Officer fails to submit a proposed determination pursuant to paragraph (a) of Section 12.5.2.16, or fails to resolve the Administrator’s objection pursuant to_paragraph (b) of Section

12.5.2.16, the Administrator will terminate, modify, or revoke and reissue the permit after takin.gj!~efollowing actions:

12.5-33

2-210
in Providing at least thirty (30) days’ notice to the permittee in writing of the reasons for any such action. This notice may be given

during the procedures in paragraphs (a) through (c) of Section

12.5.2.16; and

12). Providing the permittee an opportunity for comment on the Administrator’s proposed action and an opportunity for a hearing.

12.5.2.17 Public Participation

The Control Officer shall provide for public notice, comment, and an opportunity for a hearing on initial permit issuance, significant revisions, reopenings for cause, and renewals in accordance with the following procedures.

1~). Notice shall be given by publication in a newspaper of general circulation in the area where the source is located; to persons on a mailing list developed by the Control Officer, including those who request

in writing to be on the list; and by other means if necessary to assure

adequate notice to the affected public.

1k). The notice shall identify the Part 70 source; the name and address of the permittee; the activity or activities involved in the permit action;

the emissions change involved in any permit revision; the name, address, and telephone number of a person from whom interested persons may obtain additional information, including copies of the permit

draft, the application, all relevant supporting materials (including any

compliance plan or compliance and monitoring certifications), and all

other materials available to the Control Officer that are relevant to the

permit decision: a brief description of the comment procedures: and

the time and place of any hearing that may be held, including a

statement of procedures to request a hearing, unless a hearing has

already been scheduled.

Ic). The Control Officer shall provide such notice and opportunity for participation by affected states as provided for by Section 12.5.2.18.

f~ç~). Timing. The Control Officer shall provide at least thirty (30) days for

public comment and shall give notice of any public hearing at least

thirty (30) days in advance of the hearing.

1~). The Control Officer shall keep a record of the commenters and also

of the issues raised during the public participation process, and such

records shall be available to the public and to EPA.

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12.5.2.18 Permit Review by EPA and Affected States

j~). Transmission of InformationJQJEPA.

1J.). The Control Officer shall provide to EPA a copy of each permit

application, including any application for permit revision, each

proposed permit, and each final operating permit, unless the

Administrator has waived this requirement for a category of

sources, including any class, type, or size within such category~

The applicant may be ~gpiredby the Control Officer to provide

a copy of the permit application, including the compliance plans

directly to EPA. Upon ~g,~ementwith EPA. the Control Officer

may submit to EPA a permit application summary form and any

relevant portion of the permit application and compliance plan,,

in place of the complet~permitapplication and compliance plan.

To the extent practicable, the preceding information shall be

provided in a computer-readable format compatible with EPA’s

national database management system.

12). The Control Officer shall keep for five (5) years such records

and submit to EPA such information as EPA may reasonably

require to ascertain whether the Operating Permit Program

complies with the requirements of the Act or of 40 CFR Part 70.

1k). Review by Affected State! ~- ~

in The Control Officer sh,~jLgivenotice of each draft permit to any

affected state on or before the time thatthe Control Officer provides this notice to the public under paragraph (a) of Section

12.5.2.17, except to the extent that paragraphs (a) or (b) of Section 12.5.2.14 requires the timing of the notice to be different.

12). The Control Officer, as part of the submittal of the proposed

permit to EPA, or as soon as possible after the submittal for minor permit revision ap.~ation,shall notify EPA and any affected state in writing of any refusal by the Control Officerto accept all recommendations for the proposed permit that the

affected state submitted during the public or affected state review period. The notice shall include the Control Officer’s reasons for not accepting any such recommendation. The Control

Officer is not required to accept recommendations that are not

based on applicable requirements or the provisions of Section

12.5.2.

Ic). EPA Obiection

in If EPA obiects to the issuance of a permit in writing within forty

five (45) days of receipt of the proposed permit and all neces12.5-35

2-212
sary supporting information, then the Control Officer shall not issue the permit.

12). Failure of the Control Officer to do any of the following shall

constitute grounds for an objection by EPA:

~). Comply with paragraph (a) or (b) of Section 12.5.2.18

If). Submit any information necessary to adequately review the

proposed permit; or

,(Q). Process the permit under the procedures in Section

12.5.2.17.

1~). If the Control Officer fails, within ninety (90) days after the date

of an objection by EPA, to revise and submit a proposed permit

in response to the objection, EPA may issue or deny the permit

in accordance with the requirements of the federal program

promulgated under 40 CFR Part 71.

~). Public Petitions to EPA. If EPA does not object in writing under

paragraph (c) of Section 12.5.2.18, any person may petition EPA. under the provisions of 40 CFR 70.8(d) within sixty (60) days after the

expiration of EPA’s 45-day review period to make such objection. If

EPA objects to the permit as a result of a petition, the Control Officer

shall not issue the permit until EPA’s objection has been resolved,

except that a petition for review does not stay the effectiveness of a

permit or its requirements if the permit was issued after the end of

the 45-day review period and prior to an EPA obiection. Any such petition shall be based only on objections to the permit that were raised

with reasonable specificity during the public comment period provided for in Section 12.5.2.17, unless the petitioner demonstrates

that it was impracticable to raise such objections within such period,

or unless the grounds for such objection arose after such period. It

the Control Officer has issued a permit prior to receipt of an EPA objection under this paragraph, EPA may modify, terminate, or revoke

such permit consistent with the procedures in 40 CFR 70.7(g), except

in unusual circumstances, and the Control Officer may thereafter issue only a revised permit that satisfies EPA’s objection. In any case,

the source will not be in violation of the requirement to have submitted a timely and complete application.

~). Prohibition on Default Issuance. The Control Officer shall not issue

an operating permit, including a permit renewal or revision, until affected states and EPA have had an opportunity to review the proposed permit as required under Section 12.5.2.18.

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12.5.2.19 Temporary Sources

~). The Control Officer may issue a single permit authorizing emissions

from similar operations by the same source owner or operator at multiple temporary locations. The operation must be temporary and involve at least one (11 chanq~gflocation during the term of the permit. No acid rain source or a source subject to the provisions of

Section 112 of the Act shall be permitted as a temporary source.

Permits for temporary sources shall include the following:

in Conditions that will assure compliance with all applicable requirements at all authorized locations

12). Requirements that the owner or operator notify the Control Officer at least ten (10) d~y~Jnadvance of each change in location:

and

1~). Conditions that assure compliance with all other provisions of

Section 12.

12.5.2.20 Part 70 General Permit

j~). The Control Officer may, after notice and opportunity for public participation provided under 4OCFR Part 70.7(h), issue a Part 70 general permit covering numei~similar Part 70 sources.

1k). Any general permit shall comply with all requirements applicable to

other Part 70 Operating Perm s and shall identify criteria by which

sources may qualify for thq.~g~neral permit. To sources that qualify,

the Control Officer shall giant the conditions and terms of the general

permit. Notwithstanding the shield provisions of Section 12.5.2.9, the

source shall be subject to enforcement action for operation without a

Part 70 Operating Permit if the source is later determined not to qualify for the conditions and terms of the general permit. General permits shall not be authorize~,jgraffected sources under the Acid Rain

Program unless otherwise~gvidedin regulations under Title IV of

the Act.

Ic). Part 70 sources that woukLg~alifyfor a general permit must apply to

the Control Officerfor cove~~geunder the terms of the general permit, or must apply for an individual Part 70 Operating Permit. The

Control Officer may, in the~..g~neral permit, provide for applications

which deviate from the reciukements of Section 12.5.2.3, provided

that such applications meet the requirements of Section 12.5.2.20

and include all information necessary to determine qualification of.

and to assure compliance with, the general permit. Without repeating ~

the public participation procedures required under Section 12.5.2.17k (

the Control Officer may grant a source’s request for authorization to

12.5-37

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operate under a general permit, but such a grant shall not be a final

permit action for purposes of judicial review.

,(çj). If the Administrator does not obiect within forty-five (45) days after

receiving a proposed Part 70 general permit which covers stationary

Sources that would otherwise be required to apply for individual Part

70 Operating Permits, the general permit becomes effective at the

end of the 45-day period. If the Administrator objects to the general

permit, the Part 70 general permit becomes effective only when the

objection is resolved.

~). After the effective date of a Part 70 general permit, the owner or operator of any stationary source that meets the criteria set forth in the

Part 70 general permit may request authority to operate under the

Part 70 general permit. The request must be in writing and must include all information required by the Part 70 ~eneralpermit.

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EXhIBIT 5

25.1 Operation of any plant or equipment which causes EMISSIONS of air

contaminants in excess of limits set by these Regulations is in violation of

these Regulations unless:

25.1.1 Such EMISSIONS resulted from a Malfunction. In determining whether or not

a Malfunction has occurrod, the CONTROL OFFICER, HEARINC OFFICER, or

HEARINC BOARD may utilizo the following guidelines: The burden of proof

shall bo upon the OPERATOR.

1) The air pollution control oguipmont, process equipment, or

proceceoe involved in the incident, woro at all timoc maintained and

operated in a manner reasonably consistent with good practice for

minimizing omiccionc;

2) Repairs were made in an expeditious fashion when tho OPERATOR

know or should have known that applicablO emission limitations were

being oxcoedod. The OPERATOR must have employed his boct

efforts to use off-shift labor and overtime to ineuro that such ropairc

were mado as expoditioucly as possible;

3) The amount and duration of tho excess EMICCIONC were minimized in

a manner reasonably coneictont with good practico during periods of

such emissions;

4) Tho excess EMISSIONS wore not part of an historical pattern indicative

of inadoquato design;

5) No additional course of action othor than that actually takon could

roasonably have been implemented by tho OPERATOR.

25.1.2.1 Exceptions:

25.1 .2.2 For those chemical processes specified in Subsection 26.1.2.7 a

malfunction under these rogulationc shall not provide a defence for any

EMISSION in excess of the limit established for Subsection 26.1.2.7 (4).

~-

Amended 07/01/04

CC Air QualityRegulations

SECTION 25- UPSET/BREAKDOWN. MALFUNCTIONS

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25.1.3 If the EMISSIONS resulted from an-UPSET/BREAKDOWN the OPERATOR shall

provide to the CONTROL OmcEn-a-wntten explanation of the cause of the

UPSET/BREAKDOWN. If the OrEa~roFIdemonstrates to the satisfaction of the

CoNTRoL OFFICER that the EMI66I~NEwere the result of a Malfunction, then

no further action shall be taken ~y-1theCONTROL OFFICER. If the CoNTROL

OFFICER is not satisfied that the—EMISsIoN resulted from a Malfunction, he

may issue a citation to the OPERMOR to appear before tho HEARING OFFICER

or HEARING BOARD or he may requice corrective action.

25.1.1 UPsET/BREAKDOWN, Scheduled Maintenance, or Malfunction under these

Regulations shall not provide a defense for any release of excess air

contaminants

(1) which causes or significantly contributes to a violation of any air

quality standard listed in Section 11 of these regulations, or

(2) which causes or significaritly.contributoe to

(a) an intense cloud equivalent to a visual range less than five (5)

miles as meaewred~by an integrating nepholometer or

equivalent instrument~-oc

(b) a discernible plume-emanating from the stationary source and

extending horizontally at or near ground level beyond the (~~

property line of the-stationary source to a publicly accessible

area

25.1.1.1 In the event that the release of excess air contaminants is associated with

an intense cloud, the CONTROL-QVFIGER shall demonstrate with available

data that the release itself caused-or significantly contributed to the intensity

of the cloud.

26.2 Reporting and Consultation:

25.2.1 UPSET/BREAKDOWNS or EMERGENCIES, as defined in Section 0 shall be

reported to the CONTROL Omosi~-withinone (1) hour of the onset of the

UPSET/BREAKDOWN.

25.2.2 Tho OPERATOR shall consult with the CoNTRoL OFFICER to devise actions

ck’ninnod to minimize the impact-el-excess EMISSIONS.

History: Amended: March 27, 1980; September 3, 1981; April 21, 1983; July 8, 1985; November 18, 1993; December

19, 1996; April 9, 2001; June 3, 2003; July 1, 2004.

‘mended 07/01/04 25-2

\Air Quality Regulations

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SECTION 25: AFFIRMATIVE DEFENSE FOR EXCESS EMISSIONS DUE TO

MALFUNCTIONS, STARTUP. AND SHUTDOWN

25.1 Applicability 1

25.2 Affirmative Defense for Malfunctions 1

25.3 Affirmative Defense for Startup and Shutdown 2

25.4 Affirmative Defense for Malfunctions During Scheduled Maintenance 3

25.5 Demonstration of Reasonable and Practicable Measures 3

25.6 Reporting of Excess Emissions 3

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25.1 Applicability

25.1.1 Section 25 establishes affirmative defenses for certain emissions in excess

of an emission standard or limitation and applies to all emission standards

or limitations except for the followin.g..~andardsor limitations:

~ Promulgated pursuant to Sections 111 or 112 of the Act

~ Promulgated pursuant to Tifles IV or VI of the Act:

~ Contained in any Prevention of Significant Deterioration Authority to

Construct Permit or Nonattainment Area New Source Review (NSA)

Authority to Construct Permit issued directly by EPA: or

~ Included in an Authority to Construct Permit in order to satisfy the

requirements of Section 12.:2.10.

25.2 Affirmative Defense for Malfunctions

25.2.1 Emissions in excess of an applicable emission limitation due to a

malfunction shall constitute a violation. The owner or operator of a source

with emissions in excess of an applicable emission limitation due to

malfunction has an affirmative defense to a civil or administrative

enforcement proceeding based on that violation, other than a iudicial action

seeking iniunctive relief, if the owner or operator of the source has complied ‘~j

with the reporting requirements of Section 25.6 and has demonstrated all of

the following:

~ The excess emissions resuited from a sudden and unavoidable

breakdown of process equipment or air pollution control equipment

beyond the reasonable control of the operator:

~ The air pollution control eqq~p~ent, process equipment, or processes

were at all times maintained and operated in a manner consistent

with good practice for minimizing emissions

~ If repairs were required, thEL~pairswere made in an expeditious

fashion when the applicable emission limitations were being

exceeded. Off-shift labor and overtime were utilized where

practicable to ensure that the repairs were made as expeditiously as

possible. If off-shift labor and overtime were not utilized, the owner or

operator satisfactorily demq~ratedthat the measures were

impracticable:

~ The amount and duration of the excess emissions (including any

bypass operation) were mirurnized to the maximum extent practicable

during periods of such emissio~

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f~ All reasonable steps were taken to minimize the impact of the excess

emissions on ambient air quality;

The excess emissions were not part of a recurring pattern indicative

of inadequate design, operation, or maintenance:

1g~ During the period of excess emissions there were no exceedances of

the relevant ambient air quality standards established in Section 11

that could be attributed to the emitting source:

Q~ The excess emissions did not stem from any activity or event that

could have been foreseen and avoided, or planned, and could not

have been avoided by better operations and maintenance practices:

Q1 All emissions monitoring systems were kept in operation if at all

practicable: and

ifi The owner or operator’s actions in response to the excess emissions

were documented by contemporaneous records.

25.3 Affirmative Defense for Startup and Shutdown

25.3.1 Except as provided in Section 25.3.2; and unless otherwise provided for in

the applicable requirement, emissions in excess of an applicable emission

limitation due to startup and shutdown shall constitute a violation. The

owner or operator of a source with emissions in excess of an applicable

emission limitation due to startup and shutdown has an affirmative defense

to a civil or administrative enforcement proceeding based on that violation,

other than a iudicial action seeking iniunctive relief, if the owner or operator

of the source has complied with the reporting requirements of Section 25.6

and has demonstrated all of the following:

~ The excess emissions could not have been prevented through

careful and prudent planning and design:

~ If the excess emissions were the result of a bypass of control

equipment, the bypass was unavoidable to prevent loss of life,

personal iniury, or severe damage to air pollution control equipment,

production equipment, or other property:

~ The source’s air pollution control equipment, process equipment, or

processes were at all times maintained and operated in a manner

consistent with good practice for minimizing emissions:

~ The amount and duration of the excess emissions (including any

bypass operation) were minimized to the maximum extent practicable

during periods of such emissions:

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All reasonable steps were taken to minimize the impact of the excess

emissions on ambient air gu~!j~y.j

ifi During the period of excess emissions there were no exceedances of

the relevant ambient air guajjj~standardsestablished in Section 11

that could be attributed to the emittinq source

~ All emissions monitoring systems were kept in operation if at all

practicable: and

~ The owner or operator’s actions in response to the excess emissions

were documented by conteI~~poraneousrecords.

25.3.2 If excess emissions occur due to a malfunction during routine startup and

shutdown, then those instances shall be treated as other malfunctions

subject to Section 25.2.

25.4 Affirmative Defense for Malfunctions During Scheduled Maintenance

If excess emissions occur due to a malfunction during scheduled maintenance.

then those instances will be treated as other malfunctions subject to Section

25.2.

25.5 Demonstration of Reasonable and Practicable Measures El)

For an affirmative defense under Section 25, the owner or operator of the source

shall demonstrate. through submission of the data and information required by

Section 25.6. that all reasonable and practicable measures within the owner or

operator’s control were implemented to~ventthe occurrence of the excess

emissions.

25.6 Reporting of Excess Emissions

25.6.1 The owner or operator of any source required to obtain a permit under

Section 12 shall report to the Con~[Officer emissions in excess of an

applicable requirement or the emisskn limits prescribed by the permit. The

report shall be in two (2) parts:

f~ Notification by telephone, Iacsimile or electronic mail within twentyfour (24) hours of the time the owner or operator first learns of the

excess emissions

~ Written notification by submission of an excess emission report

containing the information j~uiredby Section 25.6.3 within seventytwo (72) hours of the notification required by paragraph (a) above~

0

25~3

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25.6.2 The owner or operator of any source required to obtain a permit under

Section 12 shall report to the Control Officer emissions that are in excess of

an applicable requirement or emission limit that pose a potential imminent

and substantial danger to public health, safety or the environment as soon

as possible, but in no case later than twelve (12) hours after the deviation is

discovered, with a written report submitted within two (2) days of the

occurrence.

25.6.3 An excess emission report shall contain the following information:

~ The identity of each stack or other emission point where the excess

emissions occurred

f.~ The magnitude of the excess emissions expressed in the units of the

applicable emission limitation and the operating data and calculations

used in determining the magnitude of the excess emissions

~ The time and duration or expected duration of the excess emissions:

~ The identity of the equipment from which the excess emissions

emanated:

~ The nature and cause of the emissions:

.~fl The steps taken if the excess emissions were the result of a

malfunction, to remedy the malfunction and the steps taken or

planned to prevent the recurrence of the malfunctions:

~ The steps that were or are being taken to limit the excess emissions

and

~Jfl If the source’s permit contains procedures governing source

operation during periods of startup or malfunction and the excess

emissions resulted from startup or malfunction, a list of the steps

taken to comply with the permit procedures.

25.6.4 In the case of continuous or recurring excess emissions, the notification

requirements of Sections 25.6.1 and 25.6.2 shall be satisfied if the source

provides the required notification after excess emissions are first detected

and includes in the notification an estimate of the time the excess emissions

will continue. Excess emissions occurring after the estimated time period or

changes in the nature of the emissions as originally reported shall require

additional notification pursuant to Sections 25.6.1 and 25.6.2.

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