Shane Young

Facility Manager

Sierra Pacific Industries-Anderson Division

19758 Riverside Avenue

Anderson, CA 96007

Re: Final Permit Decision for Sierra Pacific Industries-Anderson Division, PSD Permit

No. SAC 12-01

Dear Mr. Young:The United States Environmental Protection Agency (EPA) Region 9 is hereby providing you

with notice of its final permit decision granting PSD Permit No. SAC 12-01 to Sierra Pacific

Industries for the Sierra Pacific Industries-Anderson Division (SPI-Anderson) facility. The

permit authorizes the construction and operation of a new 31 megawatt biomass and natural gasfired cogeneration unit and auxiliary equipment at the SPI-Anderson facility in Anderson,

California.On February 19, 2013, EPA Region 9 issued an earlier decision on this permit application. After

petitions for review ofthat decision were filed with EPA’s Environmental Appeals Board (EAB),

the EAB remanded the permit to EPA Region 9 in part and directed EPA Region 9 to reopen thepermit proceedings to hold a public hearing, issue a final permit decision and respond to any new

comments received during the hearing. See In. re Sierra Pacific Industries (Anderson Processing

Facility), PSD Appeal Nos. 13-01 to 13-04, slip op. at 67 (EAB July 18, 2013).

In addition, we revised the PSD permit by including requirements for greenhouse gas emissions,as requested by SPI, and made changes to certain other conditions in the PSD permit to address

minor technical issues we identified since February 2013. We published notifications regardingthe opportunity for public comment on this proposed PSD permit on November 8, 2013, and weheld a public hearing on December 10, 2013. We accepted public comments on the proposedPSD permit from November 8, 2013 until January 10, 2014.

On April 25, 2014, we issued the final PSD permit, our responses to public comments, and other

key documents relevant to the final PSD permit. In our correspondence and notificationsregarding the final PSD permit, we stated that the final permit decision will become effective 30

days after the service of notice ofthe decision unless our decision is appealed to the EAB

pursuant to 40 CFR 124.19. Three petitions were submitted to the EAB. On June 5, 2014, theEAB dismissed these petitions for review ofthe final PSD permit decision for lack of

jurisdiction.

Pnnred on Recycled Paper
Public notice ofthis final agency action will be published in the Federal Register pursuant to40 CFR 124.19(l)(3). Pursuant to section 307(b)(1) ofthe Clean Air Act, 42 U.S.C. §

7607(b)(l), judicial review ofthis final permit decision, to the extent it is available, may besought by filing a petition for review in the United States Court of Appeals for the Ninth Circuit

within 60 days of publication of notice ofthis final permit decision in the Federal Register.If you have any questions regarding this matter, please contact Shaheerah Kelly ofthe PermitsOffice at (415) 947-4156 or kelly.shaheerahepa.gov.

Sincerely,

Director, Air Division

cc: Tony Jaegel, Sierra Pacific Industries-Anderson Division (by email)

William Sloan, Esq., Morrison & Foerster (by email)

Eric Aibright, ENVIRON International Corporation (by email)Ross Bell, Shasta County Air Quality Management District (by email)

John Waidrop, Shasta County Air Quality Management District (by email)Robert Fletcher, California Air Resources Board

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