### SUBJECT :

FROM:

TO : UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION Ill 1650 Ar c h Stree t Philadelphia, P e nnsylvania 1910 3- 2029
Approval and Promulgation of Air Quality Implementation Plans ; Vi rginia; Minor New Source Review Requirements

- Technical Support Docum e nt D av id Ta ll ey 

### (Itt Of fi ce of Perm nd State P ograms (3A P I 0) Air Prote ·

a e irector Programs (3A P I 0)

E PA i s proposing to take direct final action approve a State Impl e m entat io n Pl a n (S IP ) revision r equest s ubm itted by the Virginia Dep artm e nt of E nv iro nm e nta l Quality (VADEQ) on behalf of th e Commonwealth of Virginia on July 15 , 20 1 3. T he s ubmittal consis t s of a numb e r of ame ndm ents to V ADEQ 's minor New Source Review (NS R ) program , as we ll as a complete recodificati o n of t hose regulati ons. I. 

### Bac kg ro und On July 24, I 996 , EPA took final action to approve in part and disapprove in part a revision to the V irg ini a S IP re latin g to minor NSR permitting r equi r ements. 

### See 6 1 FR 38388. EPA d i sapproved revision s to th e public participation requirements w hi ch were, at the time , codified at Virginia R egu lati o n s (V R) sec tion 120-08-1. Spec i fica lly , E PA disapproved sections 120-08 -0lG

. l and .01G.4.b because they purported to exempt major modifications of less than I 00 tons per year (tpy) from the prescribed publi c partic ipation procedures. co ntr ary to the requireme nts of 40 CF R 51. 1 61. This left the previously ap proved S IP require m en t s of VR section 120

- 08

- 01C.4 in place to govern public participat ion. EPA approved the remainder of th e submitta l into Virgi ni a's S IP. 1 Subseq uently, on Apri l 2 1 , 2000, E PA took fi n al actio n to appro ve a revi s ion to the V irg ini a S IP wh i c h did no t r ev i se any of the s ub s tanti ve requi re ments, but incl uded reorga ni zed V A DEQ

1 It should be noted that in the interim between E P

A 's 1996 approva l of Virginia 's minor NSR S IP , and this current action , Virginia revised the applicability requir ements to match th e net emissions approach ("'netting) of major NSR. This particular revision to the VAC was never submitted to or approve d by EPA as a S IP revision. After several years, V A DE Q determined that this approach did not work well for minor NSR purpo ses . and reverted to the previous approach which dealt with the sum of emissions increases from each unit affected by the modification at hand. However, since the original swi tch to a netting approach was never approved into th e SIP, the reversion to the original sche me does not represent a revi s ion to the S IP
.regulations , recodified from th e VR-120-08-0 I format to the Virginia Adm ini strative Code (VAC) fonnat (e.g. 9VA C5 -80-10). 

### See 78 FR 21315. II. S umma ry of Acti o n Virginia 's July 15, 2013 submittal encompasses a number of revisions to Virginia 's regulations that were comp leted at the Commo nwealth level, but not sub mitted to and approved by EPA as revi sions to the Virginia S IP
. V ADEQ comp iled the various revisions and submitted them so that E PA could review th e program as a whole. Among those revisions was the evolution and recodification of VADEQ 's minor NSR program from 9VAC5 Chapter 80 sectio n s 10 and 11 to Article 6 of Part VIII of9VAC5 Chapter 80. Sections I 0 and 11 of9VAC5-80 are thus being removed from the SIP and replaced as part of this action. Add it ion ally, the s ubmittal includes revisions to 9VAC5-50 , sections 240 , 250, a'nd 260.

### Th~**~ubmittal** also includes revisions to the requirements for public participation under 9VAC5-80 , Article 6 which correct the deficiencies which were the reason for EPA ' s previously mentioned 1996 disapproval actio n . The revision s (a

nd in particular the deleti ons) are in accordance with section llO( l) of the Clean A ir Act (CAA) because they will not interfere with any applicab le requirement concerning attainment and reaso nable further progress , or any other applicable CAA requirement. Following is a table of the revisions includ ed in the Jul y 15 , 2013 submittal, and a discussion of the substantive impacts of those revisions on VA DEQ 's minor NS R program.
9VACS -50 New and Modified S t ationary So urc es Article 4 Standards of P e rformanc e for Sta tionary Sources (Rule 5

- 4) Section D esc ription Stat u s 5-50-240 Applicability and designation 

### Subsection A is revised to clarify the of affected facility applicability of the provi s ions of Article 4 to be consistent with the other changes being made to the minor NSR program. 

### Sub section C added to exempt HAP sources only to the extent they are subject to 9VAC5

- 60. Th e exe mption does not extend to other properties of the exempted pollutant s which may require regulation under 9V AC5-40 or 9V AC5-50. 5-50-250 Definitions Subsections A

- C are revised. The BACT definiti on under 

### Subsection Cis revised to allow for the co n sideration of additional factors when establishing BACT under the minor NSR program. Additionally, the definition of LAER is deleted because it is duplicative with the definition in 9V AC5-80-20 I 0

. 5-50-260 Sta nd ard for stationary Subsections A- D are revi sed to require BACT sources for a ll units subject to the minor NSR program , and to require that BACT be established no longer than 18 months before commencement of

### 5-80-1100

5

- 80-1105 construction

. 

### 9 VAC 5 , Chapter 80 Permits for Stationary Sources [Part VIII] Article 6- Permits for New and Modified Stationary Sources

Applicab ili ty

Pennit exempt ions Subsections A-M are revised and re-codified. 

### Subsection A is revised such that reconstruction of an emission unit by the rep l acement of so me of its compo nents is treated the same as a modification of the unit. Such changes are no longer exempt if the potential to emit (PTE) is not increased , and w ill only be exempt if the emissions increase w ill be less than the exempt emission r ates at an existing source. 

### Subsection C is revised to allow otherw i se exempt sources to opt into permit review. 

### Subsection D is r ev ised to clarify role of fugitive emissions in minor NSR applicability. Fugitives are counted to the extent possible. A source may be exempt from minor NSR requirement s if fugitives are the only emissions that cause a source to be subject to minor NSR

. 

### Subsection G is added to clarify that exemption from minor NSR does not exempt a so urce from major NSR and v i ce versa. 

### Subse ction I is revised to incorporate prov is ions for the regulation of HAPs consistent w ith the federal requi rements of parts 61 and 63

. 

### Subsection M i s revised to address condensable PM2.s emissions. All other r ev is ions are nonsubstantive. Revised and re-codified. 

### Subsection A 1 b adds an exemption for vegetative waste recycling/mulching operations. 

### Subsection A 1 c 

### revises the criteria fo r th e portable unit exemption. 

### Subsection A 1 e adds an exemption for an alternative fuel or raw material provided the source demonstrates that emissions will decrease and the use does not otherwise require perm it review. 

### Subsection A 2 a adds exemptio n for replacement units unless there is in increase in potential to emit. 

### Subse ction A 2 b 

### revises permit requirements related to stack height changes

. . 

### Subsection A 4 adds record keeping r equirements for owners of exempted facilities to demonstrate the basis for the exemption. 

### Subsection B 1 clarifies which units can qualify for the fue l burning equipment exemption. 

### Subsection B 2 adds exemptions forengines/ turbines which do not exceed 500 hours of operation per year and meet other s izin g criteria

. 

### S ubsec tion B 4 thr o ug h 9 deletes emiss i on rate ba sed exemptions for VOC coating operations. R e tai n s r e maining exemptions with edi torial changes o nl y. 

### S ubsection B 11 clarifi es sawm ill exemption c riteri a and expands exempt ion to planing m i ll s . 

### Subsec ti

o n B 1 2 adds exemption for exhaust flares at natural gas and coal bed methane wells. 

### S ubsecti on B 13 adds exemption for process testing and remed iation projects that r e main in existence for less than a year. 

### S ubsect io n B 14 adds an exemption for ope n pit i ncinerators subject to th e open burning regs a t 9V ACS-130-1 0

. 

### S u bsect ion B I 5 add s an exe mption for sma ll swine and poultry incinerators on farms. 

### Subsect io n C 1 revises and clarifies exemption identification criteria and adds a number of pollutant based exempt ion s. 

### S ubsection C 2 allows sources exe mpted under PM 10and PM 2

.s to be exempted for particu late matter; allows u se of particulate matter exempt ion threshold if PM 10 and PM 2

.s em ission levels cannot be determined. 

### S u bsection C 3 adds provisions to exempt a so urce from minor NSR if the uncontrolled emissions increase is due solely to fugit ive emissions. 

### S u bsection D 1 revises the exemption criteria such that the addition of a new e mission s unit at a so urce will be cons idered a modification and thus subject to more restrictive exemption thresholds. 

### S u bsec tion E is not in the SIP. 

### S ubsection F adds provisions to exe mpt affected sources from the minor NSR program consistent with federal hazardous air pollutant new source review program. Additionally , a number of provisions under the former 9VACS-80 -11 have been deleted as part of the recodification , either in an attempt to simplify implementation of th e minor NSR program , or because they were duplicative of the new provisions under 9VACS-80-11 00. All other revisions a re non-substantive. 5-80-1110 Definitions Revised and re-codified. Several ofthe definitions under Subsec ti on Care revised to be cons i stent with the major NSR program , yet

### allow the mi n or NSR program to funct ion without undue re liance on the p rov i sions of the major NSR program . T he defi ni t io n s at paragrap h 5 under " R egu lated air pollutant , " and the definition of " Toxic pollutant " are excl uded. 5

- 80-1120 General Revised and re-codified , except the former paragraph C.1 (b) relating to hazardous a ir pollutants wh ich conti nues to be excl uded. Revisions are administrative. 5-80-1130 R eserved Exc luded from S IP. 5-80-1 1 40 App licatio n s Rev i sed and re-codified subsections A-E. Rev isions are administr at ive. 5

- 80

- 1150 Application i nformation Rev ised and re-cod i fied s u bsections A-C. required Revis i ons are administrative

. 5-80-1160 Action on permit application Revised and re-codified Subsections A

- G. The l atte r portion of Subsections 0 (beginning with "

... direct consideration by the board

. .. ") is excluded. Revisions are administrat i ve . 5

- 80 -1 170 Public part ic ipation Revised and re - codified subsections A-E , and 

### H. Subsections F and G are excluded

. Note : Subsection 0.2 is not currently in the SIP- it is a new add i ti on w hi ch corrects the inappropriate exemption from publ ic partic i pat ion requirements for major modifications under 100 tons/ year whi ch was the basis for the earlier disapproval action. Other rev is io n s are primarily admin istrat ive. 5

- 80 -1 180 Standards and conditions for Revised and re - codified Subsectio ns A-0. The granting permits portion of Subsect ion A 1 pertaining to hazardous air pollutant sources as prescribed under 9VAC5

- 60 is excluded. Revisions are primarily admin i strative

. 5

- 80

- 1190 Applicat ion review and R evised and re - codified parag r aphs 1 , 3, and 4. analysis P aragraph 2 is excluded

. Rev is io n s are admin istrative. 5

- 80

- 1200 Comp li ance determ ination Revised and re - codified Subsect ions A , and C

- G. and verification by Paragraph B is 

### re m ove d. Rev is i ons are performance testing otherwise administrative. 5

- 80

- 1210 P ermit invalidation , Rev ised and re-codified Subsections A-N. susp e nsion , revocation and Revisions are administrative

. enforcement 5-80-1220 Existence of perm it no Revised and re - codified

. Revisions are defense administrative. 5

- 80-1230 Compliance w it h local Revised and re - codified. Revisions are zoning administrative. 5

- 80-1240 Transfer of permits Rev i sed and r e -codified. Revisions aread mini s trative. 5-80-1250 

### General Permits Added S ub sec tion s A-D. Added provisions for G e ne ra l Permit s. 5-80-1255 Action to comb in e permit Added S ub sec ti o n s A-E. Revis ion s are terms and conditions admini s trati ve . 5 -80-1260 Actions to change permits Added S ub sec ti o n s A-C. Revisions are adm ini s tra ti ve. 5-80-1270 Adm ini strative permit Added Subsectio n s A-B. R evis ion s are ame ndm e nt s adm ini s tr ative. 5-80- 1280 Minor permit amendments Added S ub se ctions A -G. R ev isions are admini s tra tive. 5-80- 1290 Significant amendment Add e d S ub se ctions A-E. R ev i s ions are procedure s administ r a tiv e. 5-80- 1300 R eo pening for cause Added S ub sections A-C. Revisions are admini s trative.



### 9V AC S-50 New a nd Mo difi ed Statio n a Arti c le 4 Sta n da rd s of P e r fo rm a n ce f o r Sta ti ona ul e 5 -4) As detailed in the tabl e above , 9VAC5-50-240 ha s be e n rev i sed to maintain cons i ste nc y with rev is io n s in the new Article 6; to clarify w hich emiss io n s unit s are s ubj ec t to the minor NSR reg ulation s; and to app ropriately exempt hazardou s a ir po llut ant s (HAPs) re g ulated und er 9VAC5-60. consistent w ith 40 CFR 51.166. Add iti o na ll y, a number of revisions hav e been made to th e best availab le control technology ( BA CT) require m e nts under V i r g inia 's minor NSR pro g ram. The definition of BACT under 9VAC5-50-250 has been revised to provide for the conside rati o n of additional factors 

### in determinin g BACT (e.g. nature and amount of e mi ss i o n s , co ntrol efficiencies across industry so urce types , e t c.)

. 9VAC5 -50-260 has been re v i se d to re quire BACT de term inations for all em iss io n s unit s su bject to the minor NSR program, and to re quire th at for phased constructi on proje c t s, BA C T mu st be revi ewe d within 18 month s of co n s tru ct ion of eac h individual phase. 9VAC5-50-260 has also been re vised to require BACT for all e mi ss ions units wh ich are subject to th e min o r NSR program. These changes ha ve be e n made in order to s impli fy the minor NSR prog ram , and are appropriate and meet the fed e r al r e quire me nt s of parts 5 1

. 160 and 51.161 , and CAA secti o n II O(a)(2)(C). Add i tionall y, the re v i s io n s are in accordance wi th section 11 0(1) of th e C lea n Air Act (CAA) because the y wi ll not inte rf e r

e with any applicable requirement co nce rnin g atta inme nt and reasonable further progre ss, o r any other applicable CAA requirement. EPA d oes no t reasonabl y expect the se minor NS R c hange s to imp act N AAQS attai nm e nt w ithin Virg ini a as emissions impact s as explained by Virg inia in it s submittals is expected to be minimal.



### A r t icl e 

### 6- P e rmi ts fo r New a nd Mod ifi ed S t a ti on a

### Generally , the new Article 6 regulations represent a recodification of the minor NSR program from section 10 and 11 of 9V AC5 -80

. Sections 10 and II are being deleted from the SIP because they are largely duplicative with the new provisions. In addition , the deficiency related to the public participation requirements identified in EPA ' s 1 996 disapproval action has been corrected

. Therefore , the previously approved public participation requirements under VR 120- 08-0 1 are being removed from the SIP as well. Additionally , as discussed in more detail below, the revisions include new regulations designed to confer federa l enforceability upon Virginia's program for regulating HAPs (consistent with 40 CFR parts 61 and 63) and the removal of provisions which were inadvertently included in the S IP by EPA's 1 996 approval, and which inappropriately conferred federal enforceabil ity upon Virginia ' s state
- only enforceable provis ion s for regulating toxic air pollutants. V irginia ' s definition of"toxic air pollutant" is more broad than the federal "hazardous air po llutant , " and by inadvertently applying the minor N SR program to the former , Virg inia ' s S IP went beyond what VADEQ intended. Specifically , the requirements of sections 11001 , 11 

### 05F , and 1170A are being added, and paragraph 1200B is being deleted from the SIP. These revisions are appropriate and meet the federal requ irements of parts 51.160 and 51.161 , and CAA section 11 O(a)(2)(C). Additionally , the revisions (and in part icular the deletions) are in accordance w ith section 11 0(1) of the Clean Air Act (CAA) because they will not interfere with any applicable requirement concerning attainment and reasonab le further progress , or any other applicable CAA requirement , particularly as some provisions are simply deleted as duplicative of other requirements in the Virginia Code. The unit reconstruction requirements of 9VAC5-80-11 00 have been revised to evaluate applicability for the reconstruction of an emissions unit via the replacement of some of its components in the same manner as any other modification. Additionally, provisions have been added to a ll ow sources to opt into permit review , and to clarify applicability of fugitive emissions. Provisions have been added to sections 80 -1 1 OOM , 11 

### 05C and D , and II 00 C to regulate fine particulate matter w ith an aerodynamic diameter less than 2

. 5 micrometers (PM2

.s) in a manner consistent with federal requirements , particularly related

. to the condensab le fraction of PM2

.s . 9V AC5-80- 11 05 contains the exemptions formerly codified at secti on 80-11

. Many of the revisions to these exempt ions are adm ini strative or c larifying in nature. However, there are some additions and deletions as well. New exemptions include but are not limi ted to those for mulch recycling operations , replacement units where the potential to emit (PTE) does not increase, eng in es and turbines which do not exceed 500 hours per year of operati on, and exhaust flares at natural gas and coal be methane extraction wells. Additionally , the emission-rate based exemption for VOC coating operations , and the provisions which prohibit the exemption of certain New Source Performance Standards (NSPS) and National Emission Standards for Hazardous A ir Pollutants (NESHAP) sources have been deleted. Exemption thresho ld s for PM2.s have been added , below which minor NSR wi ll not apply. The new (and existing) exemptions exist because VADEQ considers the associated emi ss ions to be de minimis, and not worth the administrative effort required to issue permits. As a safeguard , however , provisions have been added to state that any exemption from the minor NSR requirem e nts does not create an exemption from major NSR. All such sources would becons ide r ed em iss ion s so urce s for purposes of determining major so urce status under Virginia 's S IP approved major NSR program . The definition s under 9VAC5 -8 0 -111 0 have been revi sed to m ake th e minor NS R program more compatible with the m ajor NS R program. Additional revisions of note include: t he addition of provisions for ensuri n g th at perm it terms relating to emiss ions caps are practically enforceable (9VAC5-80 -Il80B , C

. and D ); criteria relating to invalidati on of permits due to delays in cons tru ction (9 VACS -8 0-121 OB); criteria for iss uance of ge ne ra l pe rmit s (9V ACS -80-1250); provi s io n s re latin g to permit modifications (9V AC5 -80-1 260 thr o ug h 1 300); as we ll as several n o n- s ub s ta nti ve , clarify in g revis ions. A ll of th e n ew and revised provisions of 9VA C5- 80 Article 6 mee t the federal re quirements of parts 5 1.160 and 5 1.161, and CAA secti on ll0(a) (2)

. Additiona ll y , the revisions (and in p articul ar th e d e let ions) are in acco rdanc e with sec tion 11 0(1) of th e C le an A ir Act (CAA) becau se th ey wi ll not interfere w ith any applicable requirement concerning attainment and r easona bl e fu rther pro g ress, or any other applicable CAA r e quire me nt. EP A finds V irg ini a's co nclu s io n r egard ing de minimu s emissions imp ac ts r easo nab le .


### III. Reco mmended Agency Acti on Th e s ubmitte d regulations meet the requirements of the C lean Air Act and i ts implementin g regulation s. l recommend that Virgi ni a ' s Jul y 15 , 20 13 s ubmittal be app roved as a r ev i s ion to the Virg ini a SIP.