# Adopted Statement ofBasis, Specific StatutoryAuthority andPurposeI.VV. Adopted October 20, 2011 Regulation Number 3, Part A, B, C and D- addressing federal changes to the New Source Review (NSR) Program related to PM2.5 National Ambient Air Quality Standards (NAAQS), several recent Environmental Protection Agency (EPA) State Implementation Plan (SIP) actions in which EPA partially disapproved various SIP revisions, EPA's Deferral of Biogenic Sources ofC02 Emissions, other miscellaneous revisions, and typographical, grammatical and formatting errors. This Statement of Basis, Specific Statutory Authority and Purpose complies with the requirements ofthe Colorado Administrative Procedures Act, Section 24-4-103, C.R.S, and the Colorado Air Pollution Prevention and Control Act, Sections 25-7-110 and 25-7-110.5, C.R.S (the Act). Specific Statutory Authority The Colorado Air Quality Control Commission (AQCC) promulgates this regulation pursuant to the authority granted under Colorado Revised Statutes, Sections 25-7-105(1)(c), (authority to adopt a prevention of significant deterioration program); 25-7-109(1)(a) (authority to require the use ofair pollution controls); 25-7-109(2)(a) (authority to adopt emission control regulations pertaining to visible pollutants); and 25-7-114.4(1) (authority to adopt rules for the administration of permits). Basis and Purpose EPA promulgated federal changes to the New Source Review (NSR) Program, which must be incorporated into Regulation Number 3 in order to maintain consistency with the federal NSR Program related to PM2.5 National AmbientAir Quality Standards (NAAQS). Subsequently, EPA disapproved and proposed to disapprove Air Pollutant Emission Notice (APEN) exemption provisions in Regulation Number 3, associated with Colorado's September 1997, Apri12003 June 2003, July 2005, August 2006, and August 2007 SIP submittals. Also, EPA proposed its Deferral of Biogenic Sources of C02 Emissions, deferring biogenic carbon dioxide (C02) from regulation underthe federal Prevention of Significant Deterioration (PSD) and Title V Permitting Programs for three years. In addressing the above actions, several additional Regulation Number 3 provisions were identified in need of revision. Sources affected by this proposal include PM2.5 and C02 emission sources, as well as open burning sources, mobile sources, stationary internal combustion engines, emergency generators, oil and gas surface water impoundments, deaerator/vacuum pump exhaust, and air curtain destructors. PM2.5 Related Rules On February 21, 2008, the AQCC adopted revisions to Regulation Number 3, Parts A and B to identify PM2.5 as a criteria pollutant, triggering reporting and minor source permitting requirements. However, the AQCC did not make corresponding revisions to major stationary source permitting requirements under the New Source Review (NSR) Program as the EPA had not yet promulgated the associated PM2.5 implementation rules. Since that time, EPA promulgated a series of rules regarding the regulation of PM2.5 underthe NSR program. See "Implementation ofthe New Source Review (NSR) Program for Particulate Matter Less than 2.5 Micrometers (PM2.5)" 

### (73 FR 28321, May 16, 2008), "Prevention of Significant Deterioration (PSD) for Particulate Matter Less Than 2.5 Micrometers (PM2.5) -Increments, Significant Impact Levels (Sils) and Significant Monitoring Concentration (SMC)" (75 

### FR 64864, October 20, 2010), "Requirements for Preparation, Adoption, and Submittal of Implementation Plans" (76 FR 18870, April6, 2011), and "Implementation ofthe New Source Review (NSR) Program for Particulate Matter Less Than 2.5 Micrometers (PM2.5); Final Rule to Repeal Grandfather Provision" (76 

### FR 28646, May 18, 2011). The 2008 and 2010 rules, combined with the December 21, 2010 promulgation ofthe methodology to test for PM2.5, provide a complete framework establishing howto apply PM2.5 to the NSR Program. Prior to the promulgation ofthe December 2010 rules, application of PM2.5 to the NSR Program made little sense. See 75 

### FR 80118. Consequently, the AQCC chose to wait to adopt the suiteof PM2.5 implementation rules until afterthe last ofthe PM2.5 implementation rules and the 2010 PM2.5 testing methodology were finalized. The May 16, 2008 rule provided flexibility in designating PM2.5 precursor pollutants. While sulfur oxides (S02) must be treated as a PM2.5 precursor in all areas ofthe state, more flexibility is afforded to nitrogen oxides (NOx), volatile organic compounds (VOCs) and ammonia (NH3). This rule requires that NOx be presumed a PM2.5 precursor state-wide unless a state demonstrates that NOx is not a "significant contributor" to PM2.5 concentrations within any area. See 73 FR 28328. However, VOCs and NH3 are not required to be treated as PM2.5 precursors, except that high molecular weight VOCs (equal to or greaterthan 25 carbon atoms and low vapor pressure) will be addressed as a condensable particulate. See 73 FR 28329-283330. At this time, the AQCC has identified S02 and NOx as PM2.5 precursors, state-wide. Based on the limited PM2.5 modeling and monitoring data available for Colorado, the AQCC determined that there is insufficient evidence to claim eitherway that NOx emissions do ordo not contribute significantly to the concentration of PM2.5 in any area in Colorado. Without evidence to narrowthe identification of NOx as a precursorto specific areas, Colorado must identify NOx as a PM2.5 precursor state-wide. Less is known aboutVOCs and NH3 and their contribution to PM2.5 in Colorado, and so Colorado has chosen to not identify them as PM2.5 precursors at this time. EPA Partial Disapproval Actions On October 3, 2011, EPA's action granting partial disapproval and partial approval of revised Air Pollution Emission Notice (APEN) and permitting exemptions that the Commission submitted to EPA as SIP revisions in September 1997, June 2003, July 2005, August 2006, and August 2007, was published in the Federal Register. See 

### 76 FR 

### 61054. EPA partially disapproved APEN exemptions for open burning, mobile sources, stationary internal combustion engines, emergency generators, oil and gas surface water impoundments, deaerator/vacuum pump exhaust, and air curtain destructors. The basis for EPA's disapproval ofthe subject provisions and the revisions intended to address each provision are as follows: Open burning APEN exemption was corrected to reference federally enforceable Regulation Number 1 (Part A, Section II.D.1.q.). EPA commented that the change in reference from Regulation Number 1, which is part ofColorado's SIP, to Regulation Number 9, which is not part ofColorado's SIP, was not approvable. Mobile sources APEN exemption was clarified (PartA, Section II.D. 1.ppp.) and associated revisions were made to the insignificant activities list (Part C, Section II.E.3.uuu.). EPA commented that these exemptions only apply to stationary sources, not non-road engines and not sources being used for transportation purposes. Stationary internal combustion engine APEN exemption was repealed (Part A, Section II.D.1.sss.) and related revisions were made to the associated permitting exemption (Part B, Sections II.D.2.c., and II.D.2.c.(i)-(iii)) and insignificant activities list (Part C, Section II.E.3.nnn.). EPA commented that the APEN exemption should require recordkeeping and reporting. The AQCC repealed the APEN exemption and revised the permit exemption to be consistent with current SIP approved language instead of requiring additional recordkeeping and reporting. Note that while the categorical exemption is being repealed, sources may still utilize the general one and two ton APEN exemptions found in Part A, Section II.D.1.a. Emergency generatorAPEN exemption was repealed (Part A, Section II.D.1.ttt.), and related revisions were made to the associated permitting exemption (Part B, Sections II.D.2.c., and II.D.2.c.(i)-(iii)) and insignificant activities list (Part C, Section II.E.3.nnn.). EPA commented that the APEN exemption should require recordkeeping and reporting. The AQCC repealed the APEN exemption, and revised the permit exemption to be consistent with current SIP approved language instead of requiring additional recordkeeping and reporting. Note that while the categorical exemption is being repealed, sources may still utilize the general one and two ton APEN exemptions found in Part A, Section II.D.1.a.Surface water impoundment APEN exemption was clarified (Part A, Section II.D.1.uuu.) and related revisions were made to the associated permitting exemption (Part B, Section II.D.1.m.) and insignificant activities list (Part C, Section II.E.3.yyy.). EPA commented that the APEN exemption should be clarified to confirm that the exemption applied to oil and gas produced water. In addition to making this revision, the AQCC also clarified exceptions to these exemptions and insignificant activity. Deaerator/vacuum pump exhaustAPEN exemption was repealed (Part A, Section II.D.1.xxx.) and associated revisions were made to the insignificant activities list (Part C, Section II.E.3.uuu.). EPA commented that it was unclear what these activities were. The AQCC is unaware ofany source making use ofthis exemption, and thus has removed this exemption and associated insignificant activity. Air curtain destructorAPEN exemption removal (Part A, Section II.D.1.ffff.). EPA commented that because air curtain destructors meetthe SIP approved definition ofan incinerator and as such are required to submit APENs and obtain permits, that this exemption should be removed. On February 4, 2011, EPA's action granting partial approval and partial disapproval of SIP revisions submitted to EPA in April 2003 and June 2003, was published in the Federal Register. See 76 FR 6331. Those 2003 SIP revisions to Regulation Number 3 revised APEN exemptions and permitting exemptions in Regulation Number 3, Parts A and B, respectively. To address EPA's concerns, the following provisions that EPA disapproved oron which EPA otherwise provided comment, were revised or removed as follows: Stationary internal combustion engines 10 ton per year permitting exemption in attainment areas (Part B, Sections II.D.1.c., and II.D.1.c.(iii)). EPA commented that Colorado did not make the anti-backsliding demonstration necessary to increase the permitting exemption threshold from 5 tons per year to 10 tons per year. The AQCC opted to revert back to the 5 tons peryear threshold that EPA previously approved instead of making the necessary demonstration at this time. Note that this revision does not prevent any source from making use ofthe facility-wide permit exemptions found in Part B, Sections II.D.2. or II.D.3. Non-road engine state-only requirements (PartA, Sections I.B.31.c. and I.B.31.d.). EPA commented that it could not approve provisions which are identified as state-only provisions. The AQCC agrees and has further placed "(State-only Requirement)" at the beginning ofthese sections to clearly identify that they are state-only provisions. Biogenics Deferral Revisions: On June 3, 2010, EPA's "Prevention of Significant Deterioration and Title V Greenhouse Gas (GHG) Tailoring Rule," commonly called the GHG Tailoring Rule, was published in the Federal Register. See 75 FR 31514. EPA's GHG Tailoring Rule was designed to tailorthe applicability criteria that determine which stationary sources and modification projects become subject to permitting requirements for GHGs under the Prevention of Significant Deterioration (PSD) and Title V Permitting Programs ofthe Clean AirAct (CAA). On July 20, 2011, EPA's "Deferral for C02 Emissions from Bioenergy and Other Biogenic Sources Under the Prevention of Significant Deterioration (PSD) and Title V Programs," commonly called the Biogenic Deferral, was published in the Federal Register. See 76 FR 43490. Beginning July 1, 2011, EPA's Biogenic Deferral temporarily excludes biogenic C02 emissions from the definition of "subject to regulation" to allow biogenic sources ofcarbon dioxide (C02) emissions a three year deferral from the PSD and Title V permitting requirements; the three year deferral applies even ifthe source's GHG emissions exceed the threshold established in the Tailoring Rule. To maintain consistency with implementation offederal requirements associated with the Tailoring Rule and the associated Biogenic Deferral, the AQCC incorporated EPA's Biogenic Deferral into Colorado's PSD and Title V Permitting Programs, as follows:Revise the existing definition of Subjectto Regulation consistent with EPA's proposed Biogenic Deferral (Part A, Section 1.8.44.b.). Other Revisions: In addressing the above actions, the AQCC made several additional Regulation Number 3 revisions that relate to: revising the time frame for reporting the Notice of Startup to the Division from thirty days priorto fifteen days after commencing operation, which is consistent with Colorado's House Bill10-1042, as codified in 25-7-114.5(12)(a), C.R.S.; including NOx as a precursor to ozone in ozone significant monitoring concentration (SMC) and removing the total suspended solid SMC, both consistent with federal requirements; and making typographical, grammatical and formatting corrections. Additional Considerations These adopted rules are mandated by federal law and necessary to maintain EPA approval ofColorado's SIP. The revisions associated with the PM2.5 Implementation Rules and Biogenics Deferral mirror the federal requirements. While the PM2.5 Implementation Rules do allow States the opportunity to deviate from the specified PM2.5 precursor pollutants, Colorado does not have sufficient modeling and monitoring data available to support a decision to identify VOC and NH3 as PM2.5 precursors or narrowthe area in which NOx is identified as a PM2.5 precursor in Colorado. The related revisions adhere to federal requirements [as required by Sections 25-7-105(1), 25-7-201(a) and 25-7-203, and 25-7-302, C.R.S.), and therefore the provisions of Sections 25-7-110.5(5) and 110.8, C.R.S. do notapply to these revisions. With respect to EPA's SIP disapproval actions, while the AQCC must address EPA's comments, Colorado has some flexibility in addressing those comments. Here, the provisions of Sections 25-7- 110.5(5) and 110.8, C.R.S. apply to this rulemaking. Thus, the AQCC makes the following determinations only as they pertain to the SIP disapproval actions, and only where the AQCC has flexibility in addressing EPA's comments. Pursuant to 25-7-110.5(5). C.R.S., the AQCC makes the determination that: (I) EPA's SIP disapproval actions are federal requirements that may apply to this rulemaking. (II) The applicable federal requirements imposing emission reporting and permitting are performance based. While the AQCC mustaddress EPA's comments, there is some flexibility in how best to address those comments. (Ill) Regarding EPA's comments on the APEN exemptions, accurate actual emissions data for open burning sources, mobile sources, stationary internal combustion engines, emergency generators, oil and gas surface water impoundments, deaerator/vacuum pump exhaust, and air curtain destructors is limited, although more is known about the engines, generators and air curtain destructors. The AQCC concluded that the adopted rule will clarify and generally improve Colorado's inventory ofemissions from these sources in Colorado, and thus the reporting components are essential to this effort. (IV) With respect to APEN associated permitting exemption revisions, these revisions strike an appropriate balance between exempting small emission sources, ensuring that Colorado has a reasonably accurate inventory, as well as ensuring that reporting and permitting requirements are reasonably uniform and equitable. (V) The AQCC is not aware ofany timing issue that could justify changing the timeframe in which these rules are implemented. There are deadlines by which states are expected to implement federally mandated changes, with potential sanctions for failing to meetthese deadlines.(VI) The APEN and associated permitting exemption and insignificant activity requirements in question are not specifically designed with a margin for accommodation, but instead will rely on the opportunity for future revisions, as necessary, to adjust for uncertainty and future growth. (VII) The adopted revisions establish reasonable equity for sources subject to the revisions by providing the same requirements for similarly situated sources. (VIII) If revisions to the APEN and permitting exemptions and insignificant activities are not adopted, while there would be no change in cost to industry, Colorado's emissions inventory accuracy will not improve. Emissions inventories are essential tools in protecting public health and the environment. A less accurate emissions inventory may translate into a public health and welfare and environmental cost, by delaying the time necessary to improve the inventory when developing plans to address future NAAQS. (IX) The proposed revisions include no requirements that differfrom applicable federal requirements. (X) Demonstrated technology is available to comply with the particulate matter permitting requirements. Sources are already using the control devices intended to be used to comply with this rule. (XI) The adopted rules will contribute to prevention of pollution, by having sources more accurately assess emissions to determine ifAPEN reporting or permitting requirements apply. Understanding emissions is essential in preventing pollution. (XII) Because these rules are federally mandated, no alternative rules would address the requirements in question. Further, pursuant to 25-7-110.8(1), C.R.S., the AQCC makes the determination that: (I) The rule is based upon reasonably available, validated, reviewed, and sound scientific methodologies, and the AQCC has considered all information submitted by interested parties. (II) These amendments are largely administrative in nature as they relate to APEN reporting, permitting exemptions and insignificant activities. (Ill) Evidence in this record supports the finding that the rule shall bring about reductions in risks to human health and the environment thatjustify the costs to implement and comply with the rule. (IV) The rule is the most cost effective, provides the regulated community flexibility, and achieves any necessary reduction in air pollution. (V) The selected regulatory alternative will maximize the air quality benefits of regulation in the most cost-effective manner. 

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# footer noting adoption date and page numbers)

## DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT 

## Air Quality Control Commission REGULATION NUMBER 3 STATIONARY SOURCE PERMITTING AND AIR POLLUTANT EMISSION NOTICE REQUIREMENTS

5 CCR 1001-5 Outline of Regulation PARTA CONCERNING GENERAL PROVISIONS APPLICABLE TO REPORTING AND PERMITTING PARTB CONCERNING CONSTRUCTION PERMITS PARTC CONCERNING OPERATING PERMITS PART D CONCERNING MAJOR STATIONARY SOURCE NEWSOURCE REVIEW AND PREVENTION OF SIGNIFICANT DETERIORATION PARTE RESERVED FOR ENVIRONMENTAL MANAGEMENT SYSTEMS PART F REGIONAL HAZE LIMITS- BEST AVAILABLE RETROFIT TECHNOLOGY (BART) AND REASONABLE PROGRESS (RP) PARTG STATEMENTS OF BASIS, SPECIFIC STATUTORYAUTHORITY AND PURPOSE Regulation Number3 Style Guide Many provisions ofthis Regulation Number 3 have been approved by the U.S. EPAfor incorporation into Colorado's State Implementation Plan (SIP). Some provisions are currently under review by the U.S. EPA The following guide to the font styles used in this Regulation Number3 can be used to identify those provisions that have been adopted by the Air Quality Control Commission and are currently under review by the U.S. EPA 

### *Italicized textwill become effective when the U.S. EPA approves that language for incorporation into the state implementation plan *Underlined text will be effective until the U.S. EPA approves the italicized text for incorporation into the state implementation plan PARTA CONCERNING GENERAL PROVISIONS APPLICABLE TO REPORTING AND PERMITTING I. Applicability I.A. The provisions ofthis Part A shall apply statewide to all sources ofair pollutants except as otherwise provided herein. Regulation Number 3 Adopted: October20, 2011 Page 1 

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# I IThe portions ofRegulation Number3printedin italics are not effective until the date on which the 

### U.S. EPA promulgates 

### a final rule adopting the revisions to Regulation Number3 as 

### a permanentpartofthe state implementation plan. 

### All sources ofair pollutants that have previously obtained an emissions permit (priorto July 1, 1992) or a construction permit, and are subject only to the Part 8 Construction Permit Program, may choose to reapply for a new construction permit pursuantto Part 8 ofthis Regulation Number 3 in order to obtain the operational flexibility provided in Section IV. ofthis PartA, orto obtain federally enforceable limitations to limit the source's potential to emit ("synthetic minor''). Sources ofair pollutants that are subject only to the Part 8 Construction Permit Program may voluntarily apply for an Operating Permit pursuant to Part C. Pursuantto Colorado Revised Statutes Section 24-4-103 (12.5), materials incorporated by reference are available for public inspection during normal business hours, orcopies may be obtained at a reasonable cost from the Technical Secretary ofthe Air Quality Control Commission (the Commission), 4300 Cherry Creek Drive South, Denver, Colorado 80246-1530, or may be examined atthe State Publications Depository and Distribution Center. Materials incorporated by reference are those editions in existence as ofthe date ofthis regulation as promulgated or revised by the Commission and references do not include later amendments to or editions ofthe incorporated materials. 1.8. Definitions 1.8.1. Administrative PermitAmendment. 

### I.8.1.a. A permit revision that: 1.8.1.a.(i) Corrects typographical errors; 1.8.1.a.(ii) Identifies a change in the name, address, or phone number of any person identified in the permit, or provides a similar minor administrative change atthe source; 1.8.1.a.(iii) Requires more frequent monitoring or reporting by the permittee; 1.8.1.a.(iv) Allows for a change in ownership oroperational control ofa source where the Division 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 Division; 1.8.1.b. An administrative permit amendment for purposes ofthe acid rain portion ofa permit shall be governed by regulations promulgated underTitle IV ofthe Federal Act, found at Code of Federal Regulations Title 40, Part72. 1.8.2. Administrator The administrator ofthe U.S. Environmental Protection Agency (U.S. EPA). 1.8.3. Adverse Environmental Effect As a term used in the context of regulating hazardous air pollutants, any significant and widespread adverse effect, that may reasonably be anticipated, to wildlife, aquatic life, orother natural resources, including adverse impacts on populations ofendangered orthreatened species or significant degradation ofenvironmental quality over broad areas.

Regulation Number 3 Adopted: October 20,2011 Page2

### 1.8.4. Affected States All states whose air quality may be affected by issuance ofan operating permit, operating permit modification, oroperating permit renewal and that are contiguous to Colorado; and/or all states that are within fifty miles ofa permitted source. 1.8.5. Affected Unit A unit that is subject to any acid rain emissions reduction requirement oracid rain emissions limitation pursuant to Title IV ofthe Federal Act or regulations promulgated there under, in the Code of Federal Regulations Title 40, Part 72. 1.8.6. Air Pollutant Means carbon monoxide, nitrogen oxides, sulfur dioxide, PM10, PM2.5, total suspended particulates, ozone, volatile organic compounds, lead, all pollutants regulated under Section 111 ofthe Federal Act (Regulation Number 6), all hazardous air pollutants, and all class I and class II ozone depleting compounds as defined and referenced in Section 602 ofthe Federal Act. 1.8.7. Allowable Emissions The emissions rate ofa stationary source calculated using the maximum rated capacity ofthe source (unless the source is subject to federally

### enforceable, orenforceable as 

### a practicalmatter, 

### permit conditions that restrict the operating rate or hours ofoperation, or both) and the most stringent ofthe following: 1.8.7.a. The applicable standards promulgated pursuant to the Federal Act for new source performance or hazardous air pollutants; 1.8.7.b. The applicable Colorado Emission Control Regulation; or I.B. 7.c. 

### The emissions rate specified as a federally

### enforceable, or enforceable as 

### a practicalmatter, 

### permit condition, including those with 

### a future compliance date. 

### 1.8.8. Annual Actual Emissions The actual rate ofemissions ofa pollutant, excluding excess emissions from a malfunction, or startups and shutdowns associated with a malfunction. Annual actual emissions shall be calculated using the source's actual operating rates, and types of materials processed, stored, or combusted during the calendar year. 1.8.9. Applicable Requirement Means all ofthe following as they apply to emissions units in a source subject to operating permit requirements ofthis regulation (including requirements that have been promulgated or approved by the U.S. EPAthrough rulemaking atthe time of permit issuance but have future effective compliance dates); 1.8.9.a. Any term orcondition ofany construction permit issued pursuant to Part 8 ofthis Regulation Number 3, or any such term orcondition as modified by procedures authorized by the operating permit program pursuant to Parts 8 and C ofthis Regulation, or any permit issued under Part C or Part D ofthe Federal Act, except that state-only permit terms or conditions shall remain enforceable solely pursuant to state law;

Regulation Number 3 Adopted: October20, 2011 Page3 

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# I 11.8.9.b. Any standard orother requirement provided for in the state implementation plan; 1.8.9.c. Any standard orother requirement under Section 111 ofthe Federal Act (New Source Performance Standards), including Section 111(d) ofthe Federal Act (Standards of Performance for existing sources) (Regulation Number6); 1.8.9.d. Any standard orother requirement under Section 112 ofthe Federal Act (hazardous air pollutants, including any requirement concerning accident prevention under Section 112(r)(7) ofthe Federal Act) (Regulation Number 8) but not including the contents ofany risk management plan required under Section 112(r) ofthe Federal Act; 1.8.9.e. Any requirements for monitoring and compliance assurance monitoring methods and procedures to ensure compliance with permit requirements, including periodic monitoring and testing, and compliance certifications, established pursuant to Sections 504(b) or 114(a)(3) ofthe Federal Act; 1.8.9.f. Any standards orother requirement underthe Code of Federal Regulations Title 40, Part 72 (acid deposition control); 1.8.9.g. Any standard orother requirement governing solid waste incineration; 1.8.9.h. Any standard orother requirement for consumer and commercial products; 1.8.9.i. Any standard or other requirement ofthe regulations promulgated to protect stratospheric ozone underTitle VI ofthe Federal Act, exceptwhere the Administrator has determined such requirement need not be contained in an operating permit (Regulation Number 15); 1.8.9.j. Any national ambient air quality standard or increment orvisibility requirement under Part C ofTitle I ofthe Federal Act, but only as itwould apply to temporary sources permitted pursuant to Part C ofthis Regulation Number 3. 1.8.10. Carbon Dioxide Equivalent (C02e) A metric used to compare the emissions from various GHG classes based upon their global warming potential (GWP). The C02e is determined by multiplying the mass amount ofemissions (tons per year), for each GHG constituent by that gas's GWP, and summing the resultant values to determine C02e (tons peryear). The applicable GWPs codified in 40 CFR Part 98, SubpartA, Table A-1 -Global Warming Potentials are hereby incorporated by reference as in effect as of October 30, 2009, but not including later amendments. I.8.11. Commence, also Commence Construction When the owner oroperator has obtained all necessary pre-construction approvals or permits required by federal, state, or local air pollution and air quality laws and regulations and has either; (a) begun, or caused to begin, a continuous program of physical onsite construction ofthe source, or (b) entered into binding agreements orcontractual obligation that cannot be cancelled or modified without substantial loss to the owner oroperator, to undertake a program ofactual construction ofthe source to be completed within a reasonable time. The following activities do not require the owner oroperator to obtain a permit: 1) planning; 2) site clearing and grading; 3) ordering ofequipment and materials; 4) storing ofequipment; 5) setting up temporary trailers to house construction management staffand contractor personnel; 6) engineering and design; and 7) geotechnical investigation. In the event that the source does not qualify for issuance ofa permit, the owner oroperator accepts the financial risk ofcommencing these activities. Regulation Number 3 Adopted: October20, 2011 Page41.8.12. Commencement ofOperation A newsource commences operation when it first conducts the activity that it was designed and permitted for (i.e., producing cement or generating electricity). I.8.13. Construction Permit Means the same as an emission permit as required under Part 8 ofthis regulation as it existed prior to July 1, 1992, and is the permit required under Colorado Revised Statutes Section 25-7- 114.2 after July 1, 1992. 1.8.14. Continuous Emissions Monitoring System (GEMS) All ofthe equipmentthatis required to meetthe data acquisition andavailabilityrequirements of PartD ofthis Regulation orof

### a permitissuedin accordance with Parts B or

### C ofthis regulation, to sample, condition (ifapplicable), analyze, andprovide a record ofemissions on a continuous basis. I.8.15. Continuous Emissions Rate Monitoring Systems (GERMS) The total equipmentrequired forthe determination andrecording ofthe pollutantmass emissions rate (in terms ofmassperunit oftime). I.8.16. Continuous ParameterMonitoring System (CPMS) Allofthe equipmentnecessaryto meetthe data acquisition andavailabilityrequirements ofPart D ofthis Regulation, to monitorprocess andcontroldevice operationalparameters (forexample, control device secondary voltages andelectric currents) andotherinformation (forexample, gas flow rate, 02 orC02 concentrations}, and to recordaverage operationalparametervalue(s) on 

### a continuous basis. 1.8.17. Criteria pollutants Those pollutants forwhich the U.S. EPA has established national ambient air quality standards, including: carbon monoxide, nitrogen dioxide (direct emissions and as a precursorto ozone and PM2.5), sulfurdioxide (direct emissions and as a precursor to PM2.5), PM1 0, PM2.5, total suspended particulate matter, ozone, volatile organic compounds (as a precursorto ozone), and lead. For the purposes ofAir Pollutant Emission Notice reporting, criteria pollutants shall also include nitrogen oxides, fluorides, sulfuric acid mist, hydrogen sulfide, total reduced sulfur, reduced sulfur compounds, municipal waste combustor organics, municipal waste combustor metals, and municipal waste combustor acid gases. I.8.18. Designated Representative Means a responsible natural person authorized by the owners and operators ofan affected source and ofall affected units at the source, as evidenced by a certificate of representation submitted in accordance with Subpart 8 ofCode of Federal Regulations, Title 40, Part 72, to represent and legally bind each owner and operator, as a matter of law, in matters pertaining to the acid rain program. Whenever the term responsible official is used, it shall be deemed to refer to the designated representative with regard to all matters underthe acid rain program. 1.8.19. Draft Permit

Regulation Number 3 Adopted: October20, 2011 PageSMeans a proposed form ofa permitthat is released to the public for an opportunity for public comment and hearing, and for affected state review priorto the Division's final decision on a permit application. I.8.20. Existing Source An air pollutant source that has been constructed, is in operation, or has received an initial approval ofa construction permit priorto the effective date ofapplicable requirements. 1.8.21. Fugitive Dust For purposes ofthis Regulation Number3, fugitive dust means soil orother airborne particulate matter (excluding particulates produced directly during combustion) resulting from natural forces orfrom surface use or disturbance, including, but not limited to, all dustfrom agriculture, construction, forestry, unpaved roads, mining, exploration, orsimilar activities in which earth is either moved, stored, transported, or redistributed; exceptthat fugitive dust shall not include any fraction ofsuch soil or other airborne particulate matterthat is ofa size or substance to adversely affect public health orwelfare. 1.8.22. General Permit Means a single permit issued to cover numerous similar sources. 1.8.23. Greenhouse Gas (GHG) Means the aggregate group ofthe following six greenhouse gases: carbon dioxide (C02), nitrous oxide (N20), methane (CH4), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6). These gases are treated in aggregate based on the total carbon dioxide equivalent (C02e) as the pollutant GHG. See definition for carbon dioxide equivalent (C02e). 1.8.24. Indirect Source A facility, building, structure, or installation, or any combination thereof, excluding dwellings, which can reasonably be expected to cause or induce substantial mobile source activity that results in emissions ofair pollutants that might reasonably be expected to interfere with the attainment and maintenance of National AmbientAir Quality Standards. 1.8.25. Major Source Any stationary source or group ofstationary sources belonging to the same industrial grouping (see Section 1.8.43. ofthis Part A), that are located on one or more contiguous oradjacent properties and are under common control ofthe same person (or persons under common control) that: 1.8.25.a. Directly emits, or has the potential to emit considering enforceable

Regulation Number 3 Adopted: October20, 2011 controls, in the aggregate, ten tons per year or more ofany hazardous air pollutant ortwenty-five tons per year or more ofany combination of hazardous air pollutants, orsuch lesser quantity of hazardous air pollutants as may be established pursuantto the Federal Act. Emissions from any oil or gas exploration or production well (with its associated equipment) and emissions from any pipeline compressor or pump station shall not be aggregated with emissions from other similar units, whetheror not such units are in a contiguous area or under common control, to determine whether such units or stations are major sources, and in the case ofany oil or gas exploration or production well (with its associated equipment), such emissions shall not be aggregated for any purpose

Page6Regulation Number 3 

### underthis provision. Fugitive emissions shall be considered in determining whether a stationary source of hazardous air pollutants is a major source. I.B.25.b. Directly emits, or has the potential to emit, one hundred tons per year or more ofany pollutant subject to regulation. Fugitive emissions shall not be considered in determining whether a source is a major source for purposes of this Section I.B.25.b., unless the source belongs to one ofthe following categories ofstationary sources: I.B.25.b.(i) I.B.25.b.(ii) I.8.25.b.(iii) I.B.25.b.(iv) I.B.25.b.(v) I.B.25.b.(vi) I.B.25.b.(vii) Coal cleaning plants (with thermal dryers); Kraft pulp mills; Portland cement plants; Primary zinc smelters; Iron and steel mills; Primary aluminum ore reduction plants; Primary copper smelters; I.B.25.b.(viii) Municipal incinerators capable ofcharging more than 250 tons of refuse per day; I.B.25.b.(ix) I.B.25.b.(x) I.B.25.b.(xi) I.B.25.b.(xii) Hydrofluoric, sulfuric, or nitric acid plants; Petroleum refineries; Lime plants; Phosphate rock processing plants; I.B.25.b.(xiii) Coke oven batteries; I.B.25.b.(xiv) Sulfur recovery plants; I.B.25.b.(xv) Carbon black plants (furnace process); I.B.25.b.(xvi) Primary lead smelters; I.B.25.b.(xvii) Fuel conversion plants; I.B.25.b.(xviii) Sintering plants; I.B.25.b.(xix) Secondary metal production plants; I.B.25.b.(xx) Chemical process plants; I.B.25.b.(xxi) Fossil-fuel boilers (or combination thereof) totaling more than 250 million British thermal units per hour heat input; I.B.25.b.(xxii) Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels; Adopted: October20,2011 Page 7

### 1.8.25.b.(xxiii) Taconite ore processing plants; 1.8.25.b.(xxiv) Glass fiber processing plants; 1.8.25.b.(xxv) Charcoal production plants; 1.8.25.b.(xxvi) Fossil fuel-fired steam electric plants of more than 250 million British thermal units per hour heat input; or 1.8.25.b.(xxvii) Any other stationary source categories regulated by a standard promulgated as ofAugust 7, 1980 under Section 111 or 112 ofthe Federal Act, but only with respect to those air pollutants that have been regulated forthat category. 1.8.25.c. Meets any ofthe definitions of major stationary source set forth in Section II.A.24. of Part D ofthis Regulation Number 3. 1.8.26. Minor Source Any stationary source that does not qualify as a major source (as defined in Section 1.8.25. above). 1.8.27. Mobile Source Motor vehicles and other sources ofair pollution that emit pollutants while moving and that commonly do not remain at one site (one or more contiguous or adjacent properties owned or operated by the same person or by persons under common control), but does not include portable sources. 1.8.28. Modification Any physical change in, or change in the method ofoperation of, a stationary source that does not meetthe definition of major modification (as defined in Section II.A.23. of Part D ofthis regulation), and that increases the emission rate ofany pollutant for which a federal or state emission standard has been promulgated orthat results in the emission ofany such pollutant previously not emitted. The following exceptions apply: 1.8.28.a. Routine maintenance, repair, and replacement shall not be considered a physical change; 1.8.28.b. Unless previously limited by enforceable permitterms and conditions, the

Regulation Number 3 Adopted: October20, 2011 

### following shall not be considered to be a change in the method ofoperation: I.B.28.b.(i) An increase in the production rate ifsuch increase does not exceed the design capacity ofthe source and does not lead to emissions in excess ofthe emission standards; 1.8.28.b.(ii) An increase in the hours ofoperation that does not lead to emissions in excess ofthe emission standards. I.B.28.b.(iii) Use ofan alternative fuel or raw material by reason ofan order in effect under Sections 2(a) and (b) ofthe Federal Energy Supply and Environmental Coordination Act of 1974 (or any superseding legislation), a prohibition underthe Federal Power Plan and Industrial Fuel Act of

PageS

### 1978 (or any superseding legislation) or by reason ofa natural gas curtailment plan in effect pursuant to the Federal PowerAct; 1.8.28.b.(iv) Use ofan alternative fuel by reason ofan order or rule under Section 125 ofthe Federal Act; or I.8.28.b.(v) Change in ownership ofthe source. 1.8.28.c. Emissions resulting from construction and exploration shall be excluded in determining whether a modification will occur. Emissions from on-going construction, and emissions from natural gas flaring are not considered to be temporary emissions, and are included in determining whethera modification will occur. 1.8.28.d. This definition shall not be used as a definition of major modification or minor permit modification (as defined in Section I.A.2. of Part C ofthis regulation)-- these are distinct and separate definitions. 1.8.28.e. Any physical change or change in the method ofoperation at a source with an operating permit issued pursuant to Part C ofthis Regulation Number 3, that does not constitute a major modification (as defined in Part D, Section II.A.22. ofthis Regulation Number 3) and that does not trigger new source performance standards or hazardous air pollutant requirements underthe Federal Act is not considered to be a modification; exceptthat any such change shall triggerthe provisions of Part 8, Section III.D.1.a. through III.D.1.g., and Part C, Sections X.A., and Part C Sections XII

### .A orXII.B., as appropriate. forAdministrative PermitAmendment see Section I.B. 1. of Part A for Minor Permit Modification, see Section I.A.2. of Part C for Major Modification, see Section II.A.22. of Part D for Permit Modification, see Section I.A.3. of Part C for Permit Revision, see Section 1.8.34. of Part A for Significant Permit Modification, see Section I.A.7. of Part C 1.8.29. New Source A stationary air pollution source, other than an existing source; orany source that resumes operation after being inactive for more than one year after having been shut down for the purpose ofeliminating emissions that violated any applicable emission control regulation or regulation for the control of hazardous air pollutants. 1.8.30. Non-criteria Reportable Pollutants The list of pollutants set forth in Appendix 8 and those ozone-depleting compounds listed in Section 602 ofthe Federal Act. 1.8.31. Non-Road Engine

Regulation Number 3

### 1.8.31.a. Except as discussed in Section 1.8.31.b. ofthis definition, a non-road engine is an internal combustion engine: 1.8.31.a.(i) In oron a piece ofequipment that is self-propelled orserves a dual purpose by both propelling itselfand performing another function (such as garden tractors, off-highway mobile cranes and bulldozers); or

Adopted: October20, 2011 Page 9 

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### 1.8.31.b.1.8.31.a.(ii) In oron a piece ofequipmentthat is intended to be propelled while performing its function (such as lawnmowers and string trimmers); or 1.8.31.a.(iii) That, by itselfor in or on a piece ofequipment is portable or transportable, meaning designed to be and capable of being carried or moved from one location to another. Indicia oftransportability include, but are not limited to wheels, skids, carrying handles, dolly, trailer or platform. An internal combustion engine is not a non-road engine if: 1.8.31.b.(i) The engine is used to propel a motorvehicle ora vehicle used solely for competition, or is subject to standards promulgated under Section 202 ofthe Federal Act; or 1.8.31.b.(ii) The engine is regulated by a federal New Source Performance Standard promulgated under Section 111 ofthe Federal Act; or 1.8.31.b.(iii) The engine otherwise included in Section 1.8.31.a.(iii) ofthis definition remains orwill remain at a location for more than twelve consecutive months or a shorter period oftime for an engine located as a seasonal source. A location is any single site at a building, structure, facility, or installation. Any engine (or engines) that replaces an engine at a location and that is intended to perform the same orsimilarfunction as the engine replaced will be included in calculating the consecutive time period. An engine located at a seasonal source is an engine that remains at a seasonal source during the full annual operating period of the seasonal source. A seasonal source is a stationary source that remains in a single location on a permanent basis (i.e., at leasttwo years) and that operates at a single location approximately three months (or more) each year. This Section does not apply to an engine after the engine is removed from the location. 1.8.31.c. (State-only Requirements) Non-road engines not co-located at an

RegulationNumber 3 Adopted: October 20, 2011 

### existing major source An operator ofa non-road engine as defined in Section I.B.31.a.(iii), above, with a manufacturer's site-rated horsepower of 1,200 or greater, oran aggregation of such non-road engines each with a manufacturer's site-rated horsepower of 1,200 or greater, that operate more than 4,380 hours per year at the same location are subjectto the following state-only requirements: 1.8.31.c.(i) Submit an air pollutant emission notice and pay the appropriate fees pursuant to Section VI. of Part A ofthis regulation; I.B.31.c.(ii) Submit an application for a site-specific, temporary, non-road engine permit on forms supplied by the Division ifthe estimated annual actual emissions reported on the Air Pollutant Emission Notice, as required by Section 1.8.31.c.(i), are equal to or exceed one hundred tons per year or more of nitrogen oxides, 100 tons per year or more ofcarbon monoxide, orforty tons peryear or more ofsulfur dioxide. After receipt and review ofa complete application, the Division shall issue a state-only non-road engine permit containing such terms and conditions as are necessary to protectthe ambient air quality standards.

Page 101.8.31.c.(iii) The operator ofa non-road engine that is exempt based on hours ofoperation orthe annual emissions thresholds described above, must maintain sufficient records to verify that the engine orengines are exempt from the state-only reporting and permit requirements. Such records shall be made available for Division review upon request. 1.8.31.d. (State-only Requirements) Non-road engines co-located at an existing major source of nitrogen oxides and sulfur dioxide An operator ofa non-road engine oraggregation ofengines each with a manufacturer's site-rated horsepower of 1,200 or greater, and are non-road engines under Section 1.8.31.a.(iii) ofthis definition, are subject to the following state-only requirements: 1.8.31.d.(i) Submit an air pollutant emission notice and pay the fees required by Section VI. ofthis Part; I.8.31.d.(ii) Submit an application for a site-specific, temporary, state-only non-road engine permit on forms supplied by the Division ifthe estimated annual actual emissions reported on the air pollutant emission notice, as required by Section 1.8.29.d.(i), are equal to or exceed forty tons per year or more of nitrogen oxides, one hundred tons per year or more of carbon monoxide, orforty tons peryear or more ofsulfur dioxide. After receipt and review ofa complete application, the Division shall issue a temporary state-only non-road engine permit containing such terms and conditions as are necessary to protect the ambient air quality standards. 1.8.31.d.(iii) The operator ofa non-road engine that is 1,200 horsepower or greater, but is exempt on the basis ofthe annual emissions thresholds described above, must maintain sufficient records to verify that the engine or engines are exemptfrom the state-only reporting and permit requirements. Such records shall be made available for Division review upon request. 1.8.32. Operating Permit Unless the context suggests otherwise, any permit or group of permits covering an operating permit source that is issued, renewed, amended or revised pursuant to Part C ofthis Regulation Number3. 1.8.33. Operating Permit Source Any source subject to the permitting requirements of Part C ofthis regulation. 1.8.34. Permit Revision Any permit modification, minor permit modification, or administrative permit amendment. 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 underany other applicable requirement. 1.8.35. Pollution Prevention Any activity that through process changes, product reformulation or redesign, orsubstitution of less polluting raw materials, eliminates or reduces the release ofair pollutants (including fugitive emissions) and other pollutants to the environment priorto recycling, treatment, ordisposal. This Regulation Number 3 Adopted: October20, 2011 Page 11definition does not include recycling (other than certain "in-process recycling" practices), energy recovery, treatment, or disposal. 1.8.36. Portable Source A source such as, but not limited to, asphalt batch plants and aggregate crushers that commonly and by usual practice is moved from one site to another. A source will not be considered portable if it remains on one site for more than two years. 1.8.37. Potential to Emit The maximum capacity ofa stationary source to emit a pollutant under its physical and operational design. Any physical oroperational limitation on the capacity ofthe source to emit a pollutant, including air pollution control equipment and restrictions on hours ofoperation oron the type or amount of material combusted, stored, or processed, shall be treated as part of its design ifthe limitation orthe effect itwould have on emissions is state enforceable and federally enforceable. Secondary emissions do not count in determining the potential to emit ofa stationary source. 1.8.38. Predictive Emissions Monitoring System (PEMS) Allofthe equipmentnecessary to monitorprocess andcontroldevice operationalparameters (for example, control device secondary voltages andelectric currents) andotherinformation (for example, gas flow rate, 02 orC02 concentrations), andcalculate andrecord the mass emissions rate (forexample, lb/hr) on a continuous basis. 1.8.39. Regulated Air Pollutant Nitrogen oxides or any volatile organic compounds, except as listed in the definition of negligibly reactive volatile organic compounds in the Common Provisions regulation; any pollutant for which a national or state ambient air quality standard has been promulgated; any pollutant that is subjectto any standard promulgated under Section 111 ofthe Federal Act (Regulation Number 6); any class I or II substance subject to a standard promulgated under or established by Title VI ofthe Federal Act; any pollutant subject to a standard promulgated under Section 112 orother requirements established under Section 112 ofthe Federal Act, including Sections 112(g), 

### U), and (r) ofthe Federal Act; and any pollutant subject to a standard promulgated pursuant to Colorado Revised Statutes Section 25-7-109.3(5)(a), (state-only hazardous air pollutants listed in Section 25-7-109.3(5)(a) are subject to state enforcement only and do nottrigger enforcement by the Administrator or by citizens under Section 304 ofthe Federal Act.) Once a source becomes subjectto the operating permit requirements, regulated air pollutants must be addressed in the permit application and in the permit. 1.8.40. Responsible Official One ofthe following: 1.8.40.a. For a corporation: a president, secretary, treasurer, or vice president of

Regulation Number 3 Adopted: October20, 2011 the corporation in charge ofa principal business function, or any other person who performs similar policy ordecision making functions for the corporation, or a duly authorized representative ofsuch person ifthe representative is responsible forthe overall operation ofone or more manufacturing, production, oroperating facilities applying for or subject to a permit and either:

Page 12

### I.B.40.a.(i) The facilities employ more than two hundred and fifty persons or have gross annual sales or expenditures exceeding twenty-five million dollars (in second quarter 1980 dollars); or I.B.40.a.(ii) The delegation ofauthority to such representative is approved in advance by the Division; I.B.40.b. For a partnership orsole proprietorship: a general partner orthe proprietor, respectively; I.B.40.c. For a municipality, state, federal, orother public agency; either a principal executive officer, or ranking elected official. Forthe purposes ofthis section, a principal executive officer ofa federal agency includes the chief executive officer having responsibility for the overall operations ofa principal geographic unit ofthe agency; or I.B.40.d. For affected sources: I.B.40.d.(i) The designated representative in so far as actions, standards, requirements, or prohibitions underTitle IV ofthe Federal Act orthe regulations, found at Code of Federal Regulations Title 40, Part 72, promulgated there underare concerned; and I.B.40.d.(ii) The designated representative underTitle IV ofthe Federal Act orthe Code of Federal Regulations Title 40, Part 72 for any other purposes underthe Code of Federal Regulations Title 40, Part 70. 1.8.41. Schedule ofcompliance A schedule of required measures, including an enforceable sequence ofactions oroperations, leading to compliance with an applicable state implementation plan, emission standard, emission limitation, emission prohibition, or emission control regulation. 1.8.42. State-only Condition Means any standard, term orcondition that is not required by Part C ofthis regulation (Title V Operating Permits), Part D ofthis regulation (major New Source Review), Title Ill (hazardous air pollutants) or Section 111 (New Source Performance Standards) ofthe Federal Act, is not required to be federally enforceable to participate in the early reductions program, is not required to create a federally enforceable emissions limitation in order to create a synthetic minor source (as defined in Section I.A. ofthis Part), or is otherwise more stringent than a requirement under the Federal Act. 1.8.43. Stationary Source Any building, structure, facility, or installation, or any combination thereof belonging to the same industrial grouping that emits or may emit any air pollutant subject to regulation underthe Federal Act, that is located on one or more contiguous oradjacent properties and that is owned or operated by the same person or by persons undercommon control. Those emissions resulting directly from an internal combustion engine fortransportation purposes orfrom a non-road engine as defined in Section 1.8.29. ofthis Part shall not be considered a stationary source. Building, structures, facilities, equipment, and installations shall be considered to belong to the same industrial grouping ifthey belong to the same major groups (i.e., have the same two-digit codes) as described in the Standard Industrial Classification Manual, 1987, but not later amendments. See National Technical Information Service, Order Number PB 87-100012. The manual is Regulation Number3 Adopted: October20, 2011 Page 13

### available for examination atthe office ofthe Director ofthe Air Pollution Control Division, Department of Public Health and Environment, 4300 Cherry Creek Drive South, Denver, Colorado 80246-1530. for Affected Source see Section I.A.1. of Part C for Existing Source, see Section 1.8.20. of PartA for Indirect Source, see Section 1.8.24. of PartA for Major Source, see Section 1.8.25. of Part A for Major Stationary Source, see Section II.A.26. of Part D for Minor Source, see Section 1.8.26. of Part A for Mobile Source, see Section 1.8.27. of Part A for New Source, see Section 1.8.29. of PartA for Portable Source, see Section 1.8.36. of Part A for Temporary Source, see Section 1.8.45. of PartA 1.8.44. Subject to Regulation For any air pollutant, that the pollutant is subject to either a provision in the Federal Act, ora nationally-applicable regulation codified by the Administrator in Subchapter C of40 CFR Chapter I ofthe Federal Act, that requires actual control ofthe quantity ofemissions ofthe pollutant, and that such a control requirement has taken effect and is operative to control, limit or restrict the quantity ofemissions ofthat pollutant released from the regulated activity, except that: 1.8.44.a. GHG shall not be subject to regulation except as provided in Sections 1.8.44.d. through f. ofthis PartA. 1.8.44.b. For purposes of Section 1.8.44.c. through e., the term C02e ofthis Part A, shall represent an amount ofGHG emitted, and shall be computed as follows: 1.8.44.b.(i) Multiplying the mass amount ofemissions (tpy}, for each ofthe six GHGs in the pollutant GHG, by the gas's associated GWP published atTable A-1 to SubpartA of Part 98 of40 CFR as in effect October 30, 2009, which is hereby incorporated by reference, but not including later amendments. For purposes ofthis paragraph, priorto July21. 2014, the mass ofthe greenhouse gas carbon dioxide shall not include carbon dioxide emissions resulting from the combustion or decomposition of non-fossilized and biodegradable organic material originating from plants. animals. or micro-organisms {including products. by-products. residues and waste from agriculture. forestry and related industries as well as the non-fossilized and biodegradable organic fractions of industrial and municipal wastes. including gases and liquids recovered from the decomposition of non-fossilized and biodegradable organic material). 1.8.44.b.(ii) Sum the resultant value from Section 1.8.44.b.(i) ofthis PartA,

Regulation Number3 

### for each gas to compute a tpy C02e. 1.8.44.c. The term emissions increase as used in Sections 1.8.44.d. through e. of this PartA, shall mean that both a significant emissions increase (as calculated using the procedures in Section II.A.22 of Part D) and a significant net emissions increase (as defined in Sections II.A.26, and II.A.42 of Part D) occur. Forthe pollutant GHG, an emissions increase shall be based on tpy C02e, and shall be calculated assuming the pollutant GHG is a regulated NSR pollutant, and significant is defined as 75,000 tpy C02e instead ofapplying the value in Section II.A.42.b. of Part D.

Adopted: October 20,2011 Page 14!' 

### I.B.44.d. Beginning January 2, 2011, the pollutant GHG is subject to regulation concerning major stationary source new source review and prevention of significant deterioration if: I.B.44.d.(i) The stationary source is a new major stationary source for a regulated NSR pollutant that is not GHG, and also will emit orwill have the potential to emit 75,000 tpy C02e or more; or I.B.44.d.(ii) The stationary source is an existing major stationary source for a regulated NSR pollutant that is not GHG, and also will have an emissions increase ofa regulated NSR pollutant, and an emissions increase of 75,000 tpy C02e or more. I.B.44.e. Beginning July 1, 2011, in addition to the provisions in Section I.B.44.d. of Part A, the pollutant GHG shall also be subject to regulation if: I.B.44.e.(i) Concerning operating permits (Sections I through XIV of Part C), at a new or existing stationary source that will emit or have the potential to emit 100,000 tpy C02e; or I.B.44.e.(ii) Concerning major stationary source new source review and prevention ofsignificant deterioration and operating permits: I.B.44.e.(ii)(A) At a new stationary source that will emit or have the potential to emit 100,000tpy C02e; or I.B.44.e.(ii)(B) At an existing stationary source that will emit or have the potential to emit 100,000 tpy GG2-EC02e, when such stationary source undertakes a physical change or change in the method of operation that will result in an emissions increase of75,000 tpy C02e or more. I.B.44.f. Ifthere is a change in federal law that supersedes, orthe District ofColumbia Circuit Court ofAppeals orthe United States Supreme Court directs or issues an order, which limits or renders ineffective the regulation ofGHG emissions at stationary sources underthe New Source Review Prevention ofSignificant Deterioration(PSD) or Title V provisions ofthe Federal Act the regulation, GHG emissions underthe corresponding programs in this Regulation Number 3 shall be limited or rendered ineffective to the same extent. I.B.45. Temporary Source A source in operation for not more than two years in duration unless the Division determines that a longertime period is appropriate. I.B.46. Uncontrolled Actual Emissions The annual emission rate corresponding to the annual process rate listed on the Air Pollutant Emission Notice form, without consideration ofany emission control equipment or procedures. The Division may allow a source to forego calculating or estimating its uncontrolled actual emissions of hazardous air pollutants upon a showing by the source and a determination by the Division that the creation ofsuch data is unreasonably costly, technically impractical or not reasonably related to information necessary for making regulatory decisions with respect to that source. The Division's final determination may be appealed to the Commission by the source. Regulation Number3 Adopted: October20, 2011 Page 15 

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# i1.8.47. Wet Screening Operations A screening operation at a nonmetallic mineral processing plant that removes unwanted material or that separates marketable fines from the product by a washing process that is designed and operated at all times such thatwater is an integral part ofthe process and the product is saturated with water. Screens that use spray bars for the purposes ofdustcontrol are not included in this definition. 

### II. Air Pollutant Emission Notice (APEN) Requirements II

### .A. Air Pollutant Emission Notices for New, Modified, and Existing Sources Except as specifically exempted in Section II.D., no person shall allow emission ofair pollutants from, or construction, modification oralteration of, any facility, process, oractivity which constitutes a stationary source, except residential structures, from which air pollutants are, or are to be, emitted unless and until an Air Pollutant Emission Notice and the associated Air Pollutant Emission Notice fee has been filed with the Division with respect to such emission. Each such notice shall specify the location atwhich the proposed emission will occur, the name and address ofthe persons operating and owning such facility, the nature ofsuch facility, process oractivity, an estimate ofthe quantity and composition ofthe expected emission and other information as required in the currentAir Pollutant Emission Notice form. II.B. General 11.8.1. Emission Estimate The Air Pollutant Emission Notice shall include an estimate ofthe annual actual emissions, including emission controls. The emissions estimate shall be based upon actual test data or, in the absence ofsuch data, upon estimations acceptable to the Division. The following alternative estimate methods, in order ofdescending acceptability, are acceptable to the Division: 11.8.1.a. Mass balance calculations ora published, verifiable emission factor, whichever is best applied to the source; or 11.8.1.b. Other engineering calculations. Stack testing or emission monitoring will not be required solely to meetthe Air Pollutant Emission Notice reporting requirements. An owner oroperator shall provide ajustification to the Division for not using any methods that are higher on the listthan the method the owner oroperator proposes to use. Ifnone ofthe above methods are available orapplicable to the source, an appropriate method will be determined on a case-by-case basis by the Division, taking into account the provisions of Section II.C.2. ofthis PartA. The Division shall make available to all air pollution control authority offices appropriate forms on which the information required by this section shall be submitted. 11.8.2. Air Pollutant Emission Notice Term An Air Pollutant Emission Notice is valid for a period offive years. The five-year period recommences when a revised Air Pollutant Emission Notice is received by the Division. 11.8.3. APEN Applicability

RegulationNumber3 Adopted: October 20, 2011 Page 16Forthe purposes ofAir Pollutant Emission Notice applicability, a source will be considered to be an individual emission point, orgroup of points pursuant to Section 11.8.4. ofthis Part

### A 11.8.3.a. Criteria Pollutants For criteria pollutants, Air Pollutant Emission Notices are required for: each individual emission point in a nonattainment area with uncontrolled actual emissions ofone ton per year or more ofany individual criteria pollutant (pollutants are not summed) for which the area is nonattainment; each individual emission point in an attainment or attainment/maintenance area with uncontrolled actual emissions oftwo tons peryear or more ofany individual criteria pollutant (pollutants are not summed); each individual emission point with uncontrolled actual emissions of lead greaterthan one hundred pounds per year, regardless ofwhere the source is located. 11.8.3.b. Non-criteria Reportable Pollutants For non criteria reportable pollutants, Air Pollutant Emission Notices are required for each individual emission point with uncontrolled actual emissions that exceed the de minimis levels as determined following the procedures setforth in Appendix 

### A 11.8.4. Source Grouping Grouping of multiple emission points on a single Air Pollutant Emission Notice shall be allowed as often as possible, provided the overall goals of receiving accurate and verifiable emissions information are not compromised. The following guidelines shall be used to delineate occasions when grouping can be allowed. These are intended to be used as guidelines only, and specific questions regarding grouping should be directed to the Division. Multiple pieces ofequipment or processes from a single facility may be grouped orassociated together and reported on one single Air Pollutant Emission Notice provided the individual sources ofemissions meetthe following guidelines: 11.8.4.a.All ofthe aggregated sources have identical source classification codes and emission factors for criteria pollutants; 11.8.4.b. Each ofthe aggregated sources share a similar location within the facility; 11.8.4.c. Similar sources regulated underthe New Source Performance Standards (Regulation Number 6) and non-New Source Performance Standard sources should not be grouped; 11.8.4.d. None ofthe individual sources is required to monitor emissions through the use ofcontinuous emission monitors; 11.8.4.e. Each ofthe individual emission points has fuel usage, production, and a consumption level, which are indistinguishable from the other points, which have been grouped on the Air Pollutant Emission Notice; 11.8.4.f. None ofthe individual sources grouped on the Air Pollutant Emission Notice has previously been issued its own separate emissions permit.

Regulation Number 3 Adopted: October20,2011 The Division maintains its authority to require individual separate Air Pollutant Emission Notices for any process oractivity.

Page 17The Division may allow a source to deviate from this emission point grouping criteria upon a showing that an alternative is reasonable and will not compromise the overall goals of receiving accurate and verifiable emissions information. 

### 11.8.5. Air Pollutant Emission Notices and revised Air Pollutant Emission Notices shall be based on calendar years (January through December). 

### 11.8.6. The emissions noted on the currentAir Pollutant Emission Notice on file with the Division shall be used for emission fee calculations as described in Section VI. of this Part

### A II.C. Revised Air Pollutant Emission Notices II.C.1. A revised Air Pollutant Emission Notice shall be filed: II.C.1.a.Annually whenever a significant change (as defined in Section II.C.2.) in annual actual emissions occurs; or II.C.1.b.Whenever there is a change in the owner or operator ofany facility, process, or activity; or II.C.1.c. Whenever new control equipment is installed, orwhenever a differenttype of control equipment replaces an existing type ofcontrol equipment (revised Air Pollutant Emission Notices are not required for routine maintenance, repair, or replacement ofcontrol equipment; or II.C.1.d.Whenever a permit limitation must be modified; or II.C.1.e. Before the Air Pollutant Emission Notice expires. II.C.1.f. A revised Air Pollutant Emission Notice is not required wheneverthe location ofa portable facility, process, oractivity is changed, however, the owner oroperator ofsuch source mustfile a relocation notice. Such notice shall be received by the Division at leastten days priorto the change in location. Alternatively, the owner or operator ofa portable source may request written approval from the Division to report multiple relocations. Relocation forms are available atthe Division offices. II.C.1.g.A revised Air Pollutant Emission Notice is not required for emergency or backup generators that are ancillary to the main units at electric utility facilities, and that have a permit under Parts C or D ofTitle I, orTitle V ofthe Federal Act. II.C.1.h.A revised Air Pollutant Emission Notice is not required for emergency or backup generators for electric power generating facilities that are not ancillary to a main unit at an electric utility facility, and that have a permit containing limits on the physical oroperational capacity ofthe source to emit a pollutant such that the source is not considered to be a major stationary source as defined in Section II.A.24. of Part D ofthis Regulation Number 3. Ifan owner or operator ofsuch a source chooses to file a revised Air Pollutant Emission Notice, the Air Pollutant Emission Notice shall list the average ofthe annual actual emissions for the preceding three years. II.C.2. Significant change, for the purposes ofthis section means:

Regulation Number 3 Adopted: October 20,2011 Page 18

### II.C.2.a. For any non-criteria reportable pollutant ifthe emissions increase by fifty percent orfive tons per year, whichever is less, above the level reported on the last Air Pollutant Emission Notice submitted to the Division. II.C.2.b. For criteria pollutants: II.C.2.b.(i) For sources emitting less than one hundred tons per year, a change in annual actual emissions offive tons peryear or more, above the level reported on the lastAir Pollutant Emission Notice submitted to the Division, ofany such air pollutant; or II.C.2.b.(ii) Forvolatile organic compound and nitrogen oxides sources in ozone nonattainment areas emitting less than one hundred tons of volatile organic compound and nitrogen oxides per year, a change in annual actual emissions ofone ton per year or more orfive percent, whichever is greater, above the level reported on the last Air Pollutant Emission Notice submitted to the Division; or II.C.2.b.(iii) For sources emitting one hundred tons per year or more, a change in annual actual emissions offive percent orfifty tons per year or more, whichever is less, above the level reported on the last Air Pollutant Emission Notice submitted to the Division, ofany such air pollutant; or II.C.2.b.(iv) A change in annual actual emissions, above the level reported on the lastAir Pollutant Emission Notice submitted to the Division, offifty pounds of lead. II.C.3. Timeframe for Revised Air Pollutant Emission Notice submittals II.C.3.a. Revised Air Pollutant Emission Notices shall be submitted no later than within thirty days before the five-year term expires. II.C.3.b.Owners or operators ofsources that are required to obtain a permit revision must file a revised Air Pollutant Emission Notice along with a request for permit revision. A revised permit must be obtained before the change atthe source occurs. II.C.3.c. Sources submitting revised Air Pollutant Emission Notices to inform the Division of a change in annual actual emission rates must do so by April 30 ofthe following year (e.g., a change in emissions in calendar year 1993 must be reported by April 30, 1994). II.C.3.d.Air Pollutant Emission Notices for changes in control equipment must be submitted before the change occurs); except for control equipment at condensate storage tanks located at oil and gas exploration and production facilities subject to the requirements in Regulation Number 7, Section XII. Forthis control equipment, a revised APEN shall be filed once per year, as specified in Section II.C.3.c. of Part A, ifany control equipment is added or ifcontrol equipment is relocated or removed. II.D. Exemptions from Air Pollutant Emission Notice Requirements II.D.1. Notwithstanding the exemptions contained in Section II.D.1., Air Pollutant Emission Notices must be filed for all emission units specifically identified in the applicability section ofany subpart of Part A of Regulation Number6 (New Source Performance Regulation Number3 Adopted: October 20, 2011 Page 19 \

j

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# l tStandards) and/or Regulation Number 8 (Hazardous Air Pollutants), Parts A,C,D, and 

### E. However, Air Pollutant Emission Notices need not be filed forwet screening operations subject to Subpart 

### 000 ofthe New Source Performance Standards ifthe exemption in Section II.D.1.cccc. is applicable. Stationary sources having emission units that are exemptfrom the requirementto file an Air Pollutant Emission Notice must nevertheless comply with all requirements that are otherwise applicable specifically to the exempted emission units, including, but not limited to: Title V, Prevention of Significant Deterioration, nonattainment New Source Review, opacity limitations, odor limitations, particulate matter limitations and volatile organic compounds controls. An applicant may not omit any information regarding APEN exempt emission units in any permit application ifsuch information is needed to determine the applicability ofTitle V (Part C ofthis Regulation Number 3), Prevention of Significant Deterioration (Section VI., Part D ofthis Regulation Number 3), or nonattainment New Source Review (Section V., Part D ofthis Regulation Number 3). The following sources are exemptfrom the requirement to file Air Pollutant Emission Notices because by themselves, or cumulatively as a category, they are deemed to have a negligible impact on air quality. II.D.1.a.lndividual emission points in nonattainment areas having uncontrolled actual emissions ofany criteria pollutant of less than one ton peryear, and individual emission points in attainment orattainment/maintenance areas having uncontrolled actual emissions ofany criteria pollutant of less than two tons per year, and each individual emission point with uncontrolled actual emissions of lead less than one hundred pounds per year, regardless ofwhere the source is located. II.D.1.b.lndividual emission points of non criteria reportable pollutants having uncontrolled actual emissions less than the de minimis levels as determined following the procedures setforth in Appendix 

### A. II.D.1.c. Air conditioning orventilating systems not designed to remove air pollutants generated by or released from other processes or equipment. II.D.1.d. Fireplaces used for recreational purposes, inside oroutside. II.D.1.e. Fires and equipment used for noncommercial cooking offood for human consumption, or cooking offood for human consumption at commercial food service establishments, except for char broilers and wood fired equipment (but not including campfires) in PM10 nonattainment areas. Charbroiler shall mean a cooking device in a commercial food service establishment, either gas fired or using charcoal or other fuel, upon which grease drips down upon an open flame, charcoal or embers. II.D.1.f. Safety flares used to indicate dangerto the public. II.D.1.g.Agricultural operations such as farming, cultivating, harvesting, seasonal crop drying, grain handling operations that are below New Source Performance Standards de minimis levels (including milling and grain elevator operations), and animal feeding operations that are not housed commercial swine feeding facilities as defined in Regulation Number2, Part B. This exemption does notapply to an agricultural operation that: (1) is a major source (as defined in Section I.

### 8.25. of this part); (2) meets or exceeds the storage capacity thresholds ofa federal New Regulation Number 3 Adopted: October20, 2011 Page 20Source Performance Standard (Regulation Number6, Part A); or (3) participates in the early reduction program ofthe Federal Act, Section 112. Ancillary operations such as fueling stations located at farms or ranches are not exempt from Air Pollutant Emission Notice and permit requirements unless otherwise below the de minimis emission levels contained in this regulation, and are not exempt from other applicable regulation promulgated by the Commission. II.D.1.h. Emissions from, orconstruction, oralteration of residential structures, including all buildings orother structures used primarily as a place of residence, and including home heating devices. II.D.1.i. Laboratories and research & developmentfacilities: II.D.1.i.(i) Noncommercial (in house) experimental and analytical laboratory equipment that is bench scale in nature including quality control/quality assurance laboratories, process support laboratories, environmental laboratories supporting a manufacturing or industrial facility, and research and development laboratories. II.D.1.i.(ii) Research and development activities that are ofa small pilot scale and that process less than ten thousand pounds oftest material per year; II.D.1.i.(iii) Small pilot scale research and development projects less than six months in duration with controlled actual emissions less than five hundred pounds ofany criteria pollutant orten pounds ofany non criteria reportable pollutant. II.D.1.j. Disturbance ofsurface areas for purposes of land development, that do not exceed twenty-five contiguous acres and that do not exceed six months in duration. (This does not include mining operations or disturbance of contaminated soil). II.D.1.k. Each individual piece offuel burning equipment, otherthan smokehouse generators and internal combustion engines, that uses gaseous fuel, and that has a design rate less than or equal to five million British thermal units per hour. (See definition offuel burning equipment, Common Provisions Regulation). 11.0.1.1. Internal combustion engines powering portable drilling rigs. II.D.1.m. Exemption Repealed II.D.1.n.Chemical storage tanks or containers that hold less than five hundred gallons, and that have an annual average daily throughput of less than twenty-five gallons. II.D.1.o. Unpaved public and private roadways, exceptfor haul roads located within a stationary source site boundary. II.D.1.p.Sanding ofstreets and roads to abate traffic hazards caused by ice and snow. II.D.1.q.Open burning activities, except that all reporting and permitting requirements that apply to such operations must be followed (see Regulation Number

### 91).

Regulation Number 3 Adopted: October20,2011 Page 21 

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### II.D.1.r. Brazing, soldering, orwelding operations, exceptthose that use lead based compounds. All welding that occurs strictly for maintenance purposes is exempt. II.D.1.s. Street and parking lot striping. II.D.1.t. Battery recharging areas. II.D.1.u.Aerosol can usage. II.D.1.v. Sawing operations, that is ancillary to facility operations, and is not part ofthe production process. II.D.1.w. The process ofdemolition and re bricking offurnaces and kilns. This does not include subsequent operation ofsuch furnaces or kilns. II.D.1.x. Road and lot paving operations at commercial and industrial facilities, except that asphalt and cement batch plants require Air Pollutant Emission Notices and permits, unless exempt under some other section. II.D.1.y.Adhesive use that is not related to production. II.D.1.z. Fire training activities. II.D.1.aa. Caulking operations that are not part ofa production process. II.D.1.bb. Landscaping and site housekeeping devices equal to or less than ten horsepower in size (lawnmowers, trimmers, snow blowers, etc.). II.D.1.cc. Fugitive emissions from landscaping activities (e.g., weeding, sweeping). II.D.1.dd. Landscaping use of pesticides, fumigants, and herbicides. II.D.1.ee. Exemption Repealed II.D.1.ff. Emergency events such as accidental fires. II.D.1.gg. II.D.1.hh. Smoking rooms and areas. Plastic pipe welding. II.D.1.ii. Vacuum cleaning systems used exclusively for industrial, commercial, or residential housekeeping purposes. II.D.1.jj. Beauty salons. II.D.1.kk. Operations involving acetylene, butane, propane and other flame cutting torches. 11.0.1.11. Pharmacies. II.D.1.mm. Chemical storage areas where chemicals are stored in closed

Regulation Number 3 Adopted: October20, 2011 

### containers, and where total storage capacity does notexceed five thousand gallons. This exemption applies solely to storage ofsuch chemicals. This exemption does not apply to transfer ofchemicals from, to, or between such containers. Page22

### II.D.1.nn. Architectural painting, roofcoating material and associated surface preparation (except for sandblasting and except for volatile organic compound emissions, associated with surface preparation, above Air Pollutant Emission Notice de minimis levels) for maintenance purposes at industrial or commercial facilities. II.D.1.oo. Emissions that are not criteria (as defined in Section 1.8.17. ofthis part) or non-criteria reportable pollutants (as defined in Section 1.8.30. ofthis part) (These emissions include methane, ethane, and carbon dioxide). II.D.1.pp. II.D.1.qq. Janitorial activities and products. Grounds keeping activities and products. II.D.1.rr. Sources ofodorous emissions that do not utilize emission control equipment for control ofodorous emissions. This exemption applies to the odor emissions only. All other emissions are subject to other exemptions set forth in this regulation. This exemption does not exempt any source from the requirements of Regulation Number2. II.D.1.ss. Truck and carwash units. II.D.1.tt.Office emissions, including cleaning, copying, and restrooms. II.D.1.uu. Exemption Repealed II.D.1.vv. Electrically operated curing ovens, drying ovens and similar activities, articles, equipment, or appurtenances. This exemption applies to the ovens only, and not to the items being dried in the ovens. II.D.1.ww. Equipment used exclusively for portable steam cleaning. II.D.1.xx. Blast cleaning equipment using a suspension ofabrasive in water and any exhaust system or collector serving them exclusively. II.D.1.yy. Commercial laundries (except dry cleaners) that do not burn liquid or solid fuel. II.D.1.zz. Storage ofbutane, propane, or liquefied petroleum gas in a vessel with a capacity of less than sixty thousand gallons, provided the requirements of Regulation Number 7, Section IV. are met, where applicable. II.D.1.aaa. Storage tanks ofcapacity less than forty thousand gallons of lubricating oils or used lubricating oils. II.D.1.bbb. Venting ofcompressed natural gas, butane or propane gas cylinders, with a capacity ofone gallon or less. II.D.1.ccc. Fuel storage and dispensing equipment in ozone attainment areas

Regulation Number3 Adopted: October 20, 2011 

### operated solely for company owned vehicles where the daily fuel throughput is no more than four hundred gallons per day that is calculated as an annual average. Sources in an ozone attainment/maintenance area must utilize Stage 1 vapor recovery on all tanks greater than 550 gallons capacity, as required by Regulation Number 7, in order to take this exemption.

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### II.D.1.ddd. Exemption Repealed II.D.1.eee. Indirect sources are exempt until a permit regulation specific to indirect sources is promulgated by the Commission. II.D.1.fff. Storage tanks meeting all ofthe following criteria: II.D.1.fff.(i) and II.D.1.fff.(ii) Annual throughput is less than four hundred thousand gallons;

The liquid stored is one ofthe following: II.D.1.fff.(ii)(A) Diesel fuels 1 D, 2 D, or4 6; II.D.1.fff.(ii)(B) Fuel oils #1 through #6; II.D.1.fff.(ii)(C) Gas turbine fuels 1 GT through 4 GT; II.D.1.fff.(ii)(D) oil/water mixtures with a vapor pressure equal to or lower than that ofdiesel fuel (Reid Vapor Pressure of0.025 pounds per square inch absolute). II.D.1.ggg. Each individual piece offuel burning equipment that uses gaseous fuel, and that has a design rate less than or equal to ten million British thermal units per hour, and that is used solely for heating buildings for personal comfort. II.D.1.hhh. Natural gas vehicle fleet fueling facilities. II.D.1.iii. Electric motors driving equipment at non-commercial machining shops. II.D.1.jjj. II.D.1.kkk. Recreational swimming pools. Forklifts. II.D.1.111. Oil and gas exploration and production operations (well site and associated equipment) shall provide written notice to the Colorado Oil and Gas Conservation Commission of proposed drilling locations prior to commencement ofsuch operations. Air Pollutant Emission Notices are not required until after exploration and/or production drilling, workovers, completions, and testing are finished. If production will result in reportable emissions, the owner or operator shall file an Air Pollutant Emission Notice with the Division within thirty days after the well completion or recompletion report and log is filed with the appropriate state orfederal agency. If production will not occur, or production will not result in reportable emissions, the owner oroperator shall submitwritten notice to the Division indicating that the well was plugged, orthat emissions are otherwise not reportable. If production will result in reportable emissions, the owner oroperator shall file an Air Pollutant Emission Notice with the Division within thirty days afterthe report offirst production is filed with the appropriate state or federal agency but no laterthan ninety days following the first day of production. II.D.1.mmm. Handling equipment and associated activities for glass that is destined

Regulation Number3 Adopted: October 20, 2011 

### for recycling.

Page 24

### II.D.1.nnn. Fugitive emissions of hazardous air pollutants that are natural constituents of native soils and rock (not added orconcentrated by chemical or mechanical processes) from under ground mines orsurface mines unless such source is a major source ofhazardous air pollutants under Part C of Regulation Number 3. II.D.1.ooo. The use of pesticides, fumigants, and herbicides when used in accordance with requirements established underthe federal Insecticide, Fungicide and Rodenticide Act as established by the U.S. EPA (United States Code Title 7, Section 136 et seq.). II.D.1.ppp. Ventilation ofemissions from mobile sources operating within a tunnel, garage, or building that are not operating for transportation purposes and are subject to stationary source requirements. II.D.1.qqq. Non-asbestos demolition. II.D.1.rrr. Sandblast equipmentwhen the blast media is recycled and the blasted material is collected, including small sandblast glove booths. II.D.1.sss. Stationary Internal Combustion Engines that meet the following specifications: II.D.1.sss.(i) Less than or equal to 175 horsepowerthat operate less than 1,450 hours per year; or II.D.1.sss.(ii) Greater than 175 horsepowerand less than or equal to 300 horsepowerthat operate less than 850 hours per year; or II.D.1.sss.(iii) Greater than 300 horsepower and less than or equal to 750 horsepmver that operate less than 340 hours per year. Exemption Repealed II.D.1.ttt. Emergency power generators that: II.D.1.ttt.(i) Have a rated horsepower of less than 260; or II.D.1.ttt.(ii) Operate no more than 250 hours per year and have a rated horsepowerof less than 737; or II.D.1.ttt.(iii) Operate no more than 100 hours per year and have a rated horsepower of less than 1

### ,840. Exemption Repealed II.D.1.uuu. Surface water storage impoundment ofAGt-non-potable water and storm water evaporation ponds. with the, exceptions of-oil and gas production wastewater impoundments (including produced water tanks) containing equal to or more than one percent by volume crude oil on an annual average, and commercial facilities that accept oil and gas production wastewater for processing. II.D.1.vvv. Non-potable water pipeline vents. II.D.1.www. II.D.1.xxx.

Regulation Number 3 Adopted: October20, 2011 

### Steam vents and safety release valves. Deaerator/vacuum pump exhausts.Exemption Repealed

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### II.D.1.yyy. Seal and lubricating oil systems for steam turbine electric generators. II.D.1.zzz. Venting of natural gas lines for safety purposes. II.D.1.aaaa. Chemical Storage Tanks II.D.1.aaaa.(i) Sulfuric acid storage tanks notto exceed ten thousand five hundred gallons capacity.**II.D.1.~aaa.(ii)** 

### Sodium hydroxide storage tanks. II.D.1.bbbb. Containers, reservoirs, ortanks used exclusively for dipping operations that contain no organic solvents for coating objects with oils, waxes, greases, or natural or synthetic resins. II.D.1.cccc. Wet screening operations notwithstanding the applicability ofthe New Source Performance Standards included in the Code of Federal Regulations, Title 40, Part 60, Subpart 

### 000. II.D.1.dddd. Non-road engines as defined in Section I.**8.29~.** 

### ofthis PartA, except certain non-road engines subjectto state-only air pollutant emission notice and permitting requirements pursuantto Section**1.8.2-B~.c.** 

### ofthis part. II.D.1.eeee. Exemption Repealed**II.D.1.ffff~** 

### Exemption RepealedAir Curtain Destructors burning only yard waste, wood waste, and clean lumber, or any mixture thereofgenerated as a result of projects

### to reduce the risk ofwildfire and are not located at a commercial or industrial facility.• A.ir curtain incinerators that are considered incinerators as defined by the Common Provisions do not meetthis exemption. II.D.2. An Air Pollutant Emission Notice must be filed for all incinerators. II.D.3. Air Pollutant Emission Notices are required for emergency and backup generators that are ancillary to the main units at electric utility facilities however, these units may be included on the same Air Pollutant Emission Notice as the main unit. II.D.4. Any person may request the Division to examine a particular source category or activity for exemption from Air Pollutant Emission Notice or permit requirements. II.D.4.a.Such requests shall be made separately from the permit application review procedure. II.D.4.b. Such requests shall include documentation indicating that emissions from the source category or activity have a negligible impact on air quality and public health in Colorado, based on, but not limited to, the following criteria.

Regulation Number 3 Adopted: October20, 2011 

### II.D.4.b.(i) Emissions from the source or activity are below the Air Pollutant Emission Notice or permit emission de minimis levels set forth in this Regulation Number 3; or II.D.4.b.(ii) The existing Division emission inventory is sufficientto indicate that the source or activity has a negligible impact; or Page 26

### II.D.4.b.(iii) For permit exemptions, criteria in Sections II.D.4.b.{i) and/or II.D.4.b.(ii), above, are met, and the source oractivity has no applicable requirement that applies to it, and the Division finds that monitoring or record keeping are not necessary. II.D.4.b.(iv) Exemptions shall not be granted for any source oractivity that is subject to any federal applicable requirement. The Division shall determine on a case-by-case basis ifsources oractivities subject to state only regulations may be granted an exemption. II.D.4.c. None ofthe activities submitted as exemption requests to the Division may be taken by a source until the Commission has duly adopted the exemptions as revisions to this Regulation Number 3 and the U.S. EPA has approved the exemption requests. II.D.5. Commercial (for hire) laboratories whose primary responsibilities are to perform qualitative or quantitative analysis on environmental, clinical, geological, forensic, or process samples may estimate emissions for purposes ofAir Pollutant Emission Notice reporting based upon a mass balance calculation utilizing inventory and purchase records ofsolvents and reagents. Such laboratories may, attheir discretion, group emission points ifsuch grouping meets the grouping criteria outlined in this regulation. All inert samples are exempt from Air Pollutant Emission Notice reporting. Emissions from samples subjected to analysis provided to such laboratories for analysis and testing, and by-products that result from sample testing, are exemptfrom Air Pollutant Emission Notice reporting, provided such samples subjected to analysis are less than five gallons for liquids, or five pounds for solids. II.D.6. Research and development activities that do not fall within the small scale exemption in Section II.D.1.i. may estimate emissions for purposes ofAir Pollutant Emission Notice reporting based upon either a mass balance calculation utilizing inventory and purchase records, or best engineering judgment. Such facilities may file an Air Pollutant Emission Notice or revised Air Pollutant Emission Notice on an annual basis by April 30 ofthe year following the project's conclusion for each project that is not exempt under Section II.D.1.i., irrespective ofSection II.C., herein (revised Air Pollutant Emission Notice requirements), such Air Pollutant Emission Notices shall be filed on a per project basis and shall be based on controlled actual emissions. 

### Ill. Administrative Permit Amendment Procedures 

### III.A. An application for an administrative permit amendment shall be prepared on forms supplied by the Division. 111.8. Within sixty calendar days after receipt ofa complete application for an administrative permit amendment the Division shall issue its final determination on such application in accordance with the following: 111.8.1. Deny the application for an administrative permit amendment; or 111.8.2. Grantthe application and incorporate any such changes into the permit providing such permit revisions are made pursuant to this Part A, Section Ill. Ill.C. A source may implement the changes addressed in the application for an administrative amendment immediately upon submittal of request, subject to the final determination of the Division.

Regulation Number3 Adopted: October 20, 2011 Page 27

### Ill.D. As required underthe Federal Act, the Division shall transmitto the Administrator a copy of each revised permit made pursuantto an administrative permit amendment under this provision. Ill

### .E. No public notice or review by affected states shall be necessary for permit revisions made pursuantto administrative amendment procedures. Ill.F. Administrative permit amendments for purposes ofthe acid rain portion ofa permit shall be governed by regulations promulgated underTitle IV ofthe Federal Act, found atCode of Federal Regulations Title 40, Part 72. 

### IV. Operational Flexibility 

### IV.A. Alternative operating scenarios No permit revision is required for reasonably anticipated operating scenarios identified by the source in its application for a permit and approved by the Division, provided the permit contains terms and conditions that: IV.A.1. Require the source, contemporaneously with making a change from one operating scenario to another, to record in a log atthe permitted facility a record ofthe scenario under which it is operating; IV.A.2. Ensure that the terms and conditions ofeach such alternative scenario meet all applicable requirements ofthe state and Federal Act. IV.A.3. Extend the permit shield to all operating permitterms and conditions under each such operating scenario. IV.B. Trading based on the permit If allowed by the applicat,le state implementation plan, no permit revision shall be required under any approved economic incentives, marketable permits, emissions trading and other similar programs or processes for changes in emissions that are provided for in the permit. The permit applicant must request such provisions to be included in its permit, and ifapproved by the Division, the permit shall contain terms and 'conditions that: IV.B.1. For operating permits, include all terms required under Section V.C. of Part C; IV.B.2. Ensure that changes resulting from such increases and decreases in emissions meet all applicable requirements underthe state and Federal Acts; IV.B.3. Extend the permitshield to all operating permitterms and conditions that allow such increases and decreases in emissions. IV.C. Emissions trading under permit caps No permit revision shall be required where an applicant requests, and the Division approves such request, for a permit containing terms and conditions allowing for the trading ofemissions increases and decreases in the permitted facility. Procedures for such changes are:**~V.C.1.** 

### For operating permits, the permit shall contain terms and conditions required pursuant to Section V.C. of Part C;

Regulation Number3 Adopted: October 20, 2011 Page 28

## v. IV.C.2. The permit applicant shall include in its application proposed replicable procedures and permit terms that ensure the emissions trades are quantifiable; IV.C.3. Any emissions units forwhich emissions are not quantifiable orforwhich there are no replicable procedures to enforce the emissions trades shall not be included in this provision allowing emissions trading without permit revision; IV.C.4. The source shall comply with all other applicable requirements. IV.C.S. The source shall provide a minimum ofseven days written notification in advance ofthe proposed changes to the Division and to the Administrator. The notice must be received by the Division no laterthan seven days in advance ofthe proposed changes. The source and the Division shall attach each such notice to their copy ofthe relevant permit. The notice shall contain: IV.C.S.a. When the change will occur; IV.C.S.b. A description ofthe changes in emissions that will result and how these increases and decreases in emissions will comply with the terms and conditions ofthe permit; IV.C.S.c. The permit shield shall extend to all operating permit terms and conditions that allow such increases and decreases in emissions. IV.C.6. A source shall be allowed to make such change proposed in its notice on the day following the last day ofthe advance notice described in Section IV.C.S. above, ifthe Division has not responded nor objected to such changes on or before that day. Certification And Trading Of Emission Reduction Credits Offset And Netting Transactions 

### V.A. Purpose This section establishes procedures for the recording ofcertified emissions reductions and fortheir use in emission credit transactions. These procedures are intended to: V.A.1. Promote economic development and lowerthe cost of meeting pollution control requirements while assuring ambient air quality progress and continued air quality maintenance; and V.A.2. Encourage development of innovative pollution control methods and technologies. V.B. Scope This section applies to any pollutant regulated underthe Colorado Air Quality Control Act orthe regulations promulgated there under in all attainment, attainment/maintenance, and nonattainment areas ofthe state. This section does not apply to emissions trading under permit caps in Section IV.C. of Part 

### A V.C. Definitions V.C.1. Alternative compliance methods means the use ofemissions reductions credits to meet emissions control requirements in lieu ofan applicable control technique guidance method or reasonably available control technology.

Regulation Number 3 Adopted: October20,2011 Page 29 

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# lV.C.2. Bubble lets existing sources (or groups ofsources) increase emissions atone operation in exchange for compensating extra decreases in emissions at another operation. The net result must be equivalent to or betterthan would have been accomplished using conventional source specific controls. V.C.3. Certified emissions reduction means a reduction in emissions belowthe baseline that has been certified by the Division in accordance with the criteria of Section V.E., and that may then be used in an emission credit transaction. V.C.4. Criteria pollutant means an air pollutantfor which a National Ambient Air Quality Standard has been promulgated. V.C.5. Emission credit transaction means the use ofcertified emission reduction credits in a bubble, netting oroffsettransaction or as an alternative compliance method. V.C.6. Major stationary source means major stationary source as defined in Section II.A.24. of Part D ofthis regulation. V.C.7. Net emissions increase means net emissions increase as defined in Section II.A.26. of Part D ofthis regulation. V.C.8. Netting is designed to exempt modifications ofexisting major stationary sources from new source review requirements ifthe resultant impact does not exceed any ofthe significant values found in the definition ofsignificant in Section II.A.42. of Part D ofthis regulation. V.C.9. Non-inventoried source means any source that has not been recorded on the Division's emission inventory system. V.C.1 0. Offset means a transaction in which a certified emissions reduction is used either to avoid causing a violation ofan increment in an attainment orattainment/maintenance area, to meetthe requirements of Section V.A.3. of Part D ofthis regulation, regarding the maintenance of reasonable further progress towards attainment ofthe National Ambient Air Quality Standards in nonattainmentareas, orto avoid contributing to visibility or other air quality related values impairment in a Class I area. V.C.11. Registry means the Division's record ofthe certification and use ofemissions reductions. V.C.12. Significant means significant as defined in Section II.A.42. of Part D ofthis regulation. V.C.13. Surplus means emission reductions not required by current regulations, relied on for state implementation plan planning purposes, and not used to meet any other regulatory requirement. V.C.14. Open Dust means solid or other air borne particulate matter (excluding particulates produced directly during combustion) resulting from natural forces orfrom surface use or disturbance, including, but not limited to, all dustfrom agriculture, construction, forestry, unpaved roads, mining, exploration, orsimilar activities in which earth is either moved, stored, transported or redistributed. V.C.15. Baseline emissions are equal to the product ofthe: V.C.15.a. Emission Rate (ER), specified in terms of mass emission per unit of

Regulation Number3 Adopted: October20, 2011 production orthroughput (e.g., pounds sulfur dioxide per million British thermal units or pounds ofvolatile organic compounds perweight ofsolids applied);

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### V.C.15.b. Average hourly capacity utilization (CU) e.g., millions of British thermal units per hour orweight ofsolids applied per hour; and V.C.15.c. Number of hours ofoperation (H) during the relevant time period i.e., baseline emissions 

### = ER x CU x H. Net baseline emissions for a bubble are the sum ofthe baseline emissions ofall sources involved in the trade. V.D. Procedure for Certification of Emissions Reductions and Approval ofTransactions V.D.1. The owner oroperator ofa source may request the Division to certify any emissions reduction anticipated to occur after the effective date ofthis section, provided the owner oroperator files his application priorto the occurrence ofthe reduction, at a time at which the source is emitting the baseline emissions ofthe subject pollutant. Sources that shutdown prior to the application to bank or trade have zero emissions, and therefore no credit is available. V.D.2. Upon receiving an application for certification, the Division may require the applicant to submit all data and calculations necessary to verify the baseline emissions or the reduction ofemissions below the base level including, but not limited to, documentation ofoperating hours and inputs. The Division may also require the applicant to perform source tests to establish the baseline emissions orthe reduction ofemissions belowthe baseline emissions. The Division shall not certify reductions anticipated to occur after the effective date ofthis regulation until the reductions have occurred and been verified. V.D.3. The Division shall maintain an emissions reduction registry, in which it shall maintain a record ofall certified emissions reductions, and ofthe use ofcertified emissions reductions in emission credit transactions. The information contained in such registry shall include the name and address ofthe owner oroperatorofthe source creating the emissions reduction, the location ofthe source, its stack parameters, the temperature and velocity of its plume, particle size, the existence ofany hazardous pollutants, daily and seasonal emission rates, and any otherdata that might reasonably be necessary to evaluate future use. V.D.4. Ifthe Division determines that certification should be granted it shall modify the permit of the applicant to provide that the allowable emissions are equal to the level ofcurrent emissions utilized in the calculation ofthe emissions reduction. The owner oroperator of a source not required to obtain a permit by provisions of law otherthan this section shall be required to apply for and accept a permit as a condition ofobtaining a certified emissions reduction. Such permits shall contain only those conditions necessary to ensure the enforcement ofthe emissions limitations applicable to the source as a result ofcertification of its emissions reduction. V.D.S. The amount ofthe emissions reduction to be certified and entered in the registry shall be calculated as follows: V.D.S.a. For any emissions reduction that has occurred in an attainment or attainment/maintenance area, the amount ofthe certified emissions reduction shall be 90 percent ofthe amount by which emissions have been reduced below the baseline emissions. V.D.S.b. For any emissions reduction that has occurred in a nonattainment area, the amount ofthe certified emission reduction shall be 80 percent ofthe amount by which emissions have been reduced below the baseline emissions.

Regulation Number 3 Adopted: October20, 2011 Page 31 

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## IV.D.S.c.For bubbles in nonattainment areasthat need, but lack, approved demonstrations of attainment, i.e., areas with unapproved state implementation plans, a greater discount may betaken. This discountwill be based on the area's total baseline emissions, the target emissions for attainment, the emissions for the projected attainmentyear and the reductions needed to achieve attainment. These values are dynamic and so the discountvalue may change from year to year butwill never be less than 20 percent. These transactions will require a state implementation plan revision. V.D.6. An application may be filed for approval ofthe use ofa certified emissions reduction in an emissions credit transaction simultaneously with the filing of a certification application, or within seven years after certification has been granted. Ifthe transaction would require the modification of permits held by more than one person, the application shall bejointly submitted by all potentially affected permittees. The Commission shall determine whetherto approve all bubble and alternative compliance method transactions, or any offset transactions that, pursuantto Section V.H., require a state implementation plan revision. The Division shall determine whether to approve all netting transactions, or any offsettransactions forwhich no state implementation plan revision is required. The Commission may approve the use ofa certified emissions reduction credit as an alternative compliance method in lieu ofa specified control technique guidance method or reasonable available control technology. V.D.7. Applications for certification ofemissions reductions and approval oftransactions shall be made on forms provided by the Division. Any source applying for approval of an alternative compliance method transaction shall submitto the Division a construction permit application in accordance with Regulation Number 3, Part 8, Section Ill. forthe construction or modification, reflecting the source and proposed use ofthe emissions credit. The application shall contain information sufficient to demonstrate thatthe criteria set forth in Section V.F. ofthis Part A are metas well as the criteria for approval ofthe state implementation plan revision. The Division shall review the application and prepare its preliminary analysis in accordance with Regulation Number 3, Part 8, Section 111.8. The source requesting approval forthe transaction and the state implementation plan revision should be granted, and shall provide with its petition, a copy ofthe preliminary analysis ofthe Division. The Division shall not grant initial approval ofany such application until the Commission has approved the transaction, the source has metthe conditions placed on the transaction by the Commission, and the requirements ofall other applicable regulations are met. V.D.8. Where the owner or operator ofa source requests a state implementation plan revision pursuant to this Section V., the Commission shall set a hearing on the proposed revision to be held in accordance with the procedures set forth in Colorado Revised Statutes Section 25-7-119. With respect to applications for certification ofemissions reductions, orfor approval ofany netting transactions, or offsettransactions within the Division's jurisdiction under Section V.H.2., the same time limitations for emission permits asfound in Part 8 Section 111.8. ofthis regulation shall apply. V.D.9. Applicants for certification ofan emissions reduction, orfor approval of any emission credit transaction, shall be assessed fees for time spent by Division personnel in evaluating such applications in accord with the criteria for assessment of emissions permitfees setforth in Section VI.C. ofthis PartA. Where more than one person applies for approval of a transaction, all such persons shall bejointly liable forthe fees assessed. Applicants shall be responsible for paying such fees regardless ofwhetherthe Division approves or denies an application. The costs of Division review ofany emissions modeling or other information necessary forthe Division to formulate recommendations to the Commission regarding any proposed emission credit transaction shall be included RegulationNumber3 Adopted: October 20, 2011 Page 32

### in the costs attributed to the permit application for the source(s) seeking approval ofthe transaction and shall be paid by the source regardless ofwhetherthe emission credit transaction is approved. V.D.1 0. The state shall not utilize a certified emissions reduction in making demonstrations of attainment, or reasonable further progress toward attainment ofthe National Ambient Air Quality Standards, within seven years afterthe date ofcertification, orat any time after an application for use ofthe certified emissions reduction in a transaction has been approved. Where no application has been filed forthe approval ofthe use ofa certified emissions reduction within seven years after certification was granted, the state shall subsequently utilize the reduction in making demonstrations ofattainment, or reasonable further progress towards attainment ofthe National AmbientAir Quality Standards. This seven-year period shall be tolled during any time in that there is a pending application before the Division orthe Commission for approval ofa bubble, netting, oroffset transaction based on the certified emissions reduction. V.D.11. Applications for approval oftransactions involving PM1 0 (fine particulates for Prevention ofSignificant Deterioration increment consumption), sulfur dioxide, carbon monoxide, lead, and oxides of nitrogen (where visibility impacts are ofconcern}, shall be subject to the following ambient air quality modeling requirements: V.D.11.a. De minimis: In general modeling is not required to determine the ambient equivalence oftrades in which applicable net baseline emissions do not increase and in that the sum ofthe emissions increases, looking only atthe increasing sources, 15 tons per year for PM10, 40 tons per year for sulfur dioxide, 100 tons per year for carbon monoxide, 40 tons per year for nitrogen oxide (where visibility impacts are ofconcern), or 0.6 tons per year for lead, after applicable control requirements. For purposes of Prevention ofSignificant Deterioration any increase in PM10 should be modeled. V.D.11.b. Level 1: In general, modeling to determine ambient equivalence is not required if: V.D.11.b.(i) The trade does not result in an increase in applicable net baseline emissions; V.D.11.b.(ii) The relevant sources are located in the same immediate vicinity (within 250 meters) ofeach other; V.D.11.b.(iii) An increase in baseline emissions does not occur atthe source with the lowereffective plume height, as determined underthe U.S. EPA approved and Division accepted guidelines, as interpreted in the Code of Federal Regulations Title 40, Subpart 52.343. V.D.11.b.(iv) No complex terrain is within the area ofsignificant impact (see Figure 1) ofthe trade or 50 kilometers, whichever is less; V.D.11.b.(v) Stacks with increasing baseline emissions are sufficiently tall to avoid possible downwash situations, as determined by good engineering practice; V.D.11.b.(vi) The trade does not involve open dust sources. V. D.11.c. Level II: Bubble trades that are neither De minimis nor Level I may

Regulation Number 3 Adopted: October20, 2011 

### nevertheless be evaluated for approval based on modeling to determine ambient

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# IRegulation Number 3 Adopted: October 20, 2011 equivalence limited solely to the impacts ofthe specific emission sources involved in the trade, if: V.D.11.c.(i) There is no increase in applicable net baseline emissions; V.D.11.c.(ii) Ifthe potential change in emissions before and after the trade will not cause a significant increase in pollutant concentrations at any receptor for an averaging time specified in an applicable ambient air quality standard; and V.D.11.c.(iii) Such an analysis does not predict any increase in ambient concentrations in a Class I or Category I area. However, a bubble will not be approved under Level II where evidence clearly indicates the bubble would create a new violation ofan ambient standard or Prevention of Significant Deterioration increment orwould delay the planned removal ofan existing violation. The change in concentration from the before-trade case to the after-trade case must, in general, be modeled using refined models for each appropriate averaging time for the relevant national ambient air quality standards for each receptor, using the most recent full year of meteorological data. Othertechniques may be approved where sources show they equally well protect national ambient air quality standards, applicable Prevention of Significant Deterioration increments, and visibility. For example, in limited circumstances conservative screening models may be acceptable in lieu of refined models. In such cases, use ofa full year of meteorological data may not be necessary. Such screening models may be acceptable where: (A) the screening model shows thatall the emissions from the stack(s) with increasing emissions would not produce exceedances of the Level II significance values; (B) the stack parameters atthe stack(s) with increasing emissions do not change; and (C) the screening model shows that the increase in emissions atthe increasing stack(s) would not produce exceedances ofthese significantvalues. In determining significant impactfor Level II bubble trades, the Division will use the following significance values to identify trades whose potential ambient impact need not be further evaluated before approval: 8-micrograms/cubic meter (1Jg/m3) for any twenty-four hour period for PM10; 4-micrograms/cubic meter (1Jg/m3) for any annual arithmetic mean for PM10; 13-micrograms/cubic meter (1Jg/m3) for any twenty-four hour period for sulfur dioxide; 46-micrograms/cubic meter (1Jg/m3) for any three-hour period for sulfur dioxide; 3-micrograms/cubic meter (1Jg/m3) for any annual period for sulfur dioxide; 575-micrograms/cubic meter (1Jg/m3) for any eight-hour period for carbon monoxide;

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### 2,300-micrograms/cubic meter (f.lg/m3) for any one-hour period for carbon monoxide; 0.1 micrograms/cubic meter (f.lg/m3) for any three-month period for lead. Except that: V.D.11.c.(iii)(A) For offset transactions, significant impact shall be determined by the values found in the table ofsignificant values in Section VI.D.2. of Part D ofthis regulation. V.D.11.c.(iii)(B) Only process fugitive emissions vented through stacks may be approved in a Level II analysis. V.D.11.c.(iii)(C) Trades involving open dust sources may not be approved in a Level II analysis. V.D.11.c.(iii)(D) Trades involving complex terrain cannot be approved with a Level II analysis. V.D.11.d. LEVEL Ill full dispersion modeling considering all sources affecting the trade's area of impact is required to determine ambient equivalence ifapplicable net baseline emissions will increase as a result ofthe trade, or ifthe trade cannot meet criteria for approval under De Minimis, Levell or Level II. V.D.11.e. Approved Models: Modeling: Only U.S. EPA-approved models may be used in banking transactions. Use of non-guideline models will be allowed once they have been approved according to the requirements ofSection VIII.A.1. of Part A ofthis regulation. V.D.12. Following the certification ofan emissions reduction, ifthe Division determines that certification was granted on the basis offraud or material misstatement oromission, the Division shall revoke certification ofthe reduction. Certification shall be revoked only after the owners oroperators ofthe affected sources have received notice and, if requested, a hearing has been conducted. In such cases the Division shall also modify the permit ofthe source that has used the emissions reduction, so that the permit will contain all conditions that would have applied ifthe emissions reduction had not been certified initially. V.E. Criteria for Certification of Emissions Reductions An emissions reduction shall be certified for use in an emission credit transaction, provided it meets the following criteria: V.E.1. The emissions reduction shall be surplus. Surplus reductions are those below the baseline emissions. The baseline emissions shall be determined as follows: V.E.1.a.ln attainment and attainment/maintenance areas, the baseline emissions shall be a source's actual emissions ofthe subject pollutant, orallowable emissions whichever is lower, for the three baseline factors. Reasonably Available Control Technology shall be as set forth in the State implementation plan forthe source. Where Reasonably Available Control Technology has not been determined in the state implementation plan forthe source, it shall be determined by the Division.

Regulation Number 3 Adopted: October20,2011 Page 35V.E.1.b.ln nonattainment areas forwhich there is a demonstration ofattainmentofthe National Ambient Air Quality Standards approved by the U.S. EPAthe baseline emissions shall be actual emissions, provided, however, the baseline emissions shall not exceed reasonably available control technology as defined in the state implementation plan orthe level ofemissions used by the state in making a demonstration ofattainment. V.E.1.c.ln nonattainment areas for which there is nota demonstration ofattainment of National AmbientAir Quality Standards approved by the U.S. EPA, the baseline emissions shall be the lower of: 1) the actual emissions, 2) allowable emissions underthe state implementation plan or 3) allowable emissions ifthe source is subjectto Reasonably Available Control Technology. V.E.1.d. Emission rate, capacity utilization and hours ofoperation must be used to compute pre-trade and post-trade emission levels. Baseline must be established on an annual basis and for all other averaging periods consistentwith the relevant National AmbientAir Quality Standards and Prevention of Significant Deterioration increments. V.E.2. No emissions reduction shall be certified ifthe Division has relied upon the occurrence of the reduction in demonstrating attainment ofthe National AmbientAir Quality Standards or reasonable further progress towards attainment, or in establishing a baseline concentration. V.E.3. Each certified reduction ofa pollutant's emissions shall be quantified in the same unit of measurement used in the standard or regulation applicable to the pollutant. V.E.4. In attainment and attainment/maintenance areas, reductions at major stationary sources that commenced construction after January 1, 1975 may be able to qualify for credit whether such reductions occurred before orafterthe Prevention of Significant Deterioration baseline triggering date. Other emission reductions (e.g., at minor sources) cannot qualify for creditwhere the Prevention of Significant Deterioration baseline date is or has been triggered and such reductions occurred prior to the trigger date, unless these reductions are not assumed in the Prevention of Significant Deterioration baselines. Since banked emission reduction credits must be considered to be "In the Air'' for all planning purposes, ifthe baseline date is triggered before banked credits are actually used, such banked credits will be considered as part ofthe baseline and will not consume incrementwhen used in an emissions trade. In attainment and attainment/maintenance areas where the Prevention of Significant Deterioration baseline has not been triggered as ofthe date the permitting authority takes relevant final action on the trading transaction, reductions below current state implementation plan or permit limits generally may be used without special restrictions in bubble or banking transactions, provided they are otherwise creditable and there is assurance that National AmbientAir Quality Standards will not be violated due to any potential increase in actual emissions. However, reductions at sources other than major stationary sources on which construction commenced before January 1, 1975 may not be used to balance increases at such pre 1975 major sources. V.E.5. Emission reductions achieved by shutting down an existing source orcurtailing production oroperating hours below baseline levels may be generally credited ifsuch reductions are permanent, quantifiable, and federally enforceable, and ifthe area has an U.S. EPA-approved attainment plan. In addition, the shutdown orcurtailment is creditable only if it occurred on or after the date specified for this purpose in the plan, and if such date is on or after the date ofthe most recent emissions inventory used in the Regulation Number 3 Adopted: October 20, 2011 Page 36plan's demonstration ofattainment. Where the plan does not specify a cutoffdate for shutdown credits, the date ofthe most recent emissions inventory or attainment demonstration, as the case may be, shall apply. However, in no event may credit be given for shutdowns that occurred prior to August 7, 1977. For purposes ofthis section a permitting authority may choose to consider a prior shutdown or curtailment to have occurred afterthe date of its most recent emissions inventory, ifthe inventory explicitly includes as current existing emissions the emissions from such previously shutdown or curtailed sources. V.E.5.a.Such reductions may be credited in the absence ofan approved attainment demonstration only ifthe shutdown or curtailment occurred on or afterthe date the new source permit application is filed, or, ifthe applicant can establish that the proposed new source is a replacement for the shutdown or curtailed source, and the cutoffdate provisions of Section A, above, are met. V.E.6. No emission reduction credits are allowed from mobile sources unless those sources are subject to ambient impact and newsource review permitting. V.E.7. Reductions down to compliance levels may notqualify for emission reduction credit. V.E.8. Ifan existing source commits to switch to a cleaner fuel at some future date, emission reduction credit is allowable only ifa permit is conditioned to require use ofa specified alternative control measure that would achieve the same degree ofemission reduction should the source switch back to a dirtierfuel at some later date. The Division will ensure that adequate long-term supplies ofthe newfuel are available before granting the reduction credit. V.E.9. Emission reductions otherwise required by the Federal Act shall not be creditable as emission reductions. Incidental emission reductions that are not otherwise required by the Federal Act are creditable as emission reductions ifsuch emission reductions meet the requirements ofSection V. of Part D ofthis regulation, ifapplicable and this Section V. V.E.10. The total tonnage of increased emissions, in tons peryear, resulting from a major modification that must be offset in accordance with Section 173 ofthe Federal Act**sha~** be determined by summing the difference between the allowable emissions (as defined in Section I.B.7. ofthis part) afterthe modification and the actual emissions (as defined in Section II.A.1. of Part D) before the modification for each emissions unit. V.F. Criteria forApproval ofall Transactions The use ofan emissions reduction in an emission credit transaction shall be approved only ifit meets the following criteria: V.F.1. The transaction shall involve like pollutants. Fortoxic orvolatile organic compound pollutants, the trade should involve the same degrees oftoxicity or photochemical reactivity or else a greater reduction may be required. Newor modified majorsources of a PM10 precursor can only obtain offsets from emissions reductions in that same PM10 precursoror in PM 10. New or modified majorsources of PM10 can only obtain offsets from emissions reductions in PM1 0. The offsets must be greaterthan one for one and represent a net air quality benefit in the area the source is proposing to locate or modify. (See exception in Section V.H.8.) V.F.2. No transaction shall be approved if it will result in an increased concentration, atthe point of maximum impact, of hazardous air pollutants. Regulation Number 3 Adopted: October 20,2011 Page 37 

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# IV.F.3. Where a significant fraction ofa criteria pollutant stream has been listed as hazardous by the Commission under Regulation Number 8 orthe U.S. EPA under United States Code, Title 42, Section 7412 but has not yet been regulated, emissions containing that pollutant from sources within two hundred and fifty meters ofeach other may only be traded against each otheron a greaterthan one for one basis that assures a net decrease in emissions ofthe hazardous pollutant. V.F.4. Hazardous and non-hazardous emissions ofthe same criteria pollutant may be traded against each other, provided the total emissions containing the hazardous pollutantfrom the sources involved in the transaction are required to decrease as a result ofthe transaction. V.F.5. No transaction may be approved that is inconsistentwith any standard established by the Federal Act, the state Act orthe regulations promulgated under either, orto circumvent New Source Performance Standards requirements or Best Available Control Technology although the Commission may approve a transaction using a certified emissions reduction credit in lieu ofa specified control technique guidance method or reasonably available control technology. V.F.6. No transaction shall be approved unless either: V.F.6.a.The source at which the emissions reduction occurred and the source using the emissions reductions are in the same nonattainment area or Prevention of Significant Deterioration baseline area; or V.F.6.b.The emissions reduction is to be used as an offsetto meetthe requirements of Section V.A.3. of Part D ofthis regulation, and the conditions ofthat section are metfor the use ofan offset obtained from a source outside the nonattainment area. V.F.7. Emission reduction credits may not be used to meet applicable technology based requirements for new sources such as New Source Performance Standards, Best Available Control Technology, or LowestAchievable Emission Rate, although the Commission may approve a transaction using a certified emissions reduction credit in lieu ofa specified control technique guidance method or reasonably available control technology. V.F.8. Trades Involving Open Dust: Sources of particulate emissions may be approved through case by case state implementation plan revisions based on modeled demonstrations of ambient equivalence. Sources proposing such trades must commit, as part ofthe trade's approval, to: V.F.8.a. Undertake a post approval monitoring program to evaluate the impact oftheir control efforts, and V.F.8.b. Make further enforceable reductions if post trade monitoring indicates initial open dust controls do not produce the predicted air quality results. V.F.9. The federal land manager must be notified ifan emissions trade will take place within one hundred kilometers ofa Prevention of Significant Deterioration Class I area. Notification must occur early enough in the review process to allow at least thirty days forthe submittal ofcomments before the trade will be approved by the reviewing authority. Where a bubble within fifty kilometers ofa Prevention of Significant Deterioration Class I area is submitted as a case-by-case state implementation plan revision, the Division may Regulation Number 3 Adopted: October20,2011 Page 38

### call for additional technical support, beyond the applicable requirements ofthe modeling screen ifdeemed necessary to protect air quality in the Class I area. V. F.10. Effect on Trades ofSubsequently-Discovered Clean AirAct Problems: Revisitation Considerations

- Ifambient violations are discovered in an area where the Division has approved a trade, or ifother violations ofthe act are discovered in that area, sources in the trade should be aware that they are potentially subject to requirements for additional emission reductions, justas are all other sources in the area. V.F.11. Forvolatile organic compound and nitrogen oxide trades, pound for pound trades will be considered equal in ambient effect where all sources involved in the trade are in the same control strategy demonstration area (nonattainment area) or ifoutside that area are sufficiently close to show an equal effect. V.F.12. For volatile organic compound trades involving surface coating, the emissions must be calculated on a solids applied basis and should specify the maximum time period over which the emissions may be averaged, not to exceed twenty-four hours. V.F.13. The following trades require a state implementation plan revision: V.F.13.a. PM10, sulfur dioxide, carbon monoxide or lead trades requiring full-scale dispersion modeling under Level Ill; V.F.13.b. PM10, sulfur dioxide, carbon monoxide or lead trades where complex terrain is within the area ofthe source's significant impact orfifty kilometers, whichever is less, unless the trade does not result in a modification ofeffective stack heights and the trade otherwise qualifies as De minimis or Level 

### I. The area ofsignificant impact can be determined from Figure 1; V.F.13.c. Open Dust Trades; V.F.13.d. Level II trades involving process fugitive PM10, sulfur dioxide, carbon monoxide or lead emissions not discharged through stacks; V.F.13.e. Trades involving Emission Reduction Credits from mobile sources (see Section V.E.7.); V.F.13.f. Trades involving sources that are subject ofa notice ofviolation (NOV), noncompliance penalty action or the filing ofajudicial complaint; V.F.13.g. Interstate trades; V.F.13.h. Volatile organic compound trades with averaging times longerthan twenty-four hours; V.F.13.i. Trades involving work practice and equipment standards; V.F.13.j. Trades involving negotiated Reasonably Available Control Technology baselines; V.F.13.k. Trades affecting areas that need but lack approved demonstrations of

V.F.13.1.

Regulation Number 3 Adopted: October20,2011 

### attainment. Emission credit transactions used as an alternative compliance method.

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### V.F.14. No emission credit transaction shall be approved unless the terms ofthe transaction are incorporated in permits applicable to the originating (as applicable) and receiving emissions sources. V.F.15. Emission credit transactions that require a state implementation plan revision shall be considered by the Commission on a case-by-case basis. The source requesting approval ofthe transaction hasthe burden ofdemonstrating that all the criteria ofthis Section V.F., are met and ofdemonstrating that all applicable requirements for approval ofthe state implementation plan revision has been met. V.G. Bubble Transactions V.G.1. An owner or operator ofan existing source may apply to the Commission for approval of a state implementation plan revision establishing a bubble. The bubble shall establish new emissions limitations for two or more facilities or operations within the source. V.G.2. The Commission shall not approve a bubble unless it meets the criteria for approval of Section V.F., and the Division has first certified an emissions reduction at a facility or operation included in the bubble. V.G.3. As part ofthe certification process, the amount ofallowable emissions shall be reduced atthe facility or operation where the emissions reduction has occurred in accord with Section V.D.5. As part ofthe bubble approval, the Commission mayapprove an increase in the total allowable emissions atthe otherfacilities oroperations covered by the bubble, by an amount notto exceed the amount ofthe subject certified emissions reduction. V.G.4. As part ofthe bubble approval, the Commission may extend compliance deadlines otherwise required by Commission regulations forvolatile organic compounds or carbon monoxide emissions, provided the following criteria are met: V.G.4.a. The applicant must demonstrate to the satisfaction ofthe Commission that reasonable further progress toward the attainment ofthe National Ambient Air Quality Standards underthe state implementation plan shall be maintained either by: V.G.4.a.(i) Achievement ofemissions reductions earlier than otherwise

· required by certain facilities or operations covered by the bubble; or V.G.4.a.(ii) Temporary use ofa certified emissions reduction to assure reasonable further progress toward attainment ofthe National Ambient Air Quality Standards. V.G.5. Ifsubsequent to the approval ofa bubble, the Commission promulgates new regulations or amends existing regulations applicable to a source forwhich the bubble has been approved, the source shall be required to meetthe new oramended regulations, irrespective ofthe bubble, by eitherfurther reducing emissions or using certified emissions reductions as offsets. V.G.6. Bubble applications in areas that require but lack approved demonstrations ofattainment, i.e., non approved state implementation plans, must be accompanied by assurances of consistency with ambient progress and air quality planning goals specified below: · V.G.6.a. The resulting emission limits comply with the reduction requirements of

Regulation Number 3 Adopted: October 20, 2011 

### Section V.D.5.c., and the baseline requirements of Section V.E.;

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### V.G.6.b. The bubble emission limits will be included in any newstate implementation plan and associated control strategy demonstration; V.G.6.c. The bubble will not constrain the Division's ability to obtain any additional emission reductions needed to expeditiously attain and maintain ambient air quality standards; V.G.6.d. The Division is making reasonable efforts to develop a complete approvable state implementation plan and intends to adhere to the schedule for such development (including dates for completion ofemission inventory and subsequent increments ofprogress) stated in or with the letter formally submitting the bubble. V.G.7. Bubbles should not increase applicable net baseline emissions. Ordinarily, bubbles may not result in an increase in applicable net baseline emissions. Such a bubble would require a case-by-case state implementation plan revision, and may only be approved based upon a combined Level Ill and Level II modeling analysis (i.e., an analysis sufficient to show that all applicable requirements ofa full LevellII analysis are met, and that the bubble would not result in any exceedance ofsignificance values specified for a Level II analysis at any receptor for any averaging time specified in an applicable ambient air quality standard). V.G.S. Bubbles should not increase emissions of hazardous ortoxic air pollutants. V.H. Offset Transactions V.H.1. The owner or operator of a source at which an emissions reduction has occurred, and the owner or operator ofanother source who wishes to use the emissions reduction as an offset, may apply for approval ofan offset transaction. In such transactions certified emissions reductions may be applied to avoid causing a violation ofan increment in an attainment or attainmenUmaintenance area, or to meet the requirements ofSection V.A.3. of Part D ofthis regulation. A certified emissions reduction may not be used as an offset for the purpose ofcomplying with an existing applicable emissions control regulation, except for Reasonably Available Control Technology. V.H.2. The Division shaH determine whether to approve an offset transaction in the following cases: V.H.2.a. Where the source using the emissions reduction would be allowed to increase emissions by less than one hundred tons per year. V.H.2.b. Where the transaction involves volatile organic compounds oroxides of nitrogen emissions. V.H.2.c.Where the transaction involves sulfur dioxide, PM10 or carbon monoxide emissions, and all sources involved in the transaction are within two hundred and fifty meters ofone another. V.H.3. Any proposed offset transaction, otherthan those referred to in Section V.H.2., shall be treated as a request to the Commission for a state implementation plan revision. V.H.4. Sources of PM10 precursors, sulfur dioxide, nitrogen oxide and carbon monoxide must seek offsets within reasonably close proximity. Sources of nitrogen oxide and volatile organic compounds may seek offsets over a greater area. However, for widely dispersed and volatile organic compound trades, a higher offset may be required. Regulation Number 3 Adopted: October 20, 2011 Page 41

### V.H.S. Ifthe applicant has used his best efforts in seeking the required emission offsets butwas unsuccessful, the source may petition for use ofsome portion ofgrowth allowance. The petition must state the emission increase will not interfere with Reasonably Further Progress and the petitioner is willing to enter into an enforceable program to provide the required emission offset at some future time. V.H.6. In the absence ofan approved attainment demonstration, banked Emission Reduction Credits from shutdowns or curtailments may be used for offsets only ifthe criteria stated in Section V.E.S.b. of PartA ofthis regulation are met. V.H.7. In nonattainment areas with approved demonstrations, banked Emission Reduction Credits may be used for offsets in any trade provided the criteria stated in Section V.E.S.a. of Part A ofthis Regulation are met. V.H.8. lnterpollutant offsets (other than those offsets discussed above) may be approved by U.S. EPA on a case-by-case basis provided thatthe applicant demonstrates, on the basis of U.S. EPA-approved methods where possible, thatthe emissions increases from the new or modified source will not cause orcontribute to a violation ofan ambient air quality standard. A source's permit application that includes such an interpollutant offset proposal shall not be approved by the Division until there has been an opportunity for public hearing on the proposed emissions trade and until written approval has been received from the U.S. EPA. V.I. Netting Transactions V.l.1. Netting may exempt modifications ofexisting major sources from certain pre-construction permit requirements under new source review, so long as there is no significant net emission increase, as net emissions increase is defined in Section II.A.26. of Part D of this regulation. By netting out, the modifications is not considered major and therefore not subjectto pre-construction permit requirements for major modifications as follows: V.l.1.a. Section VI. of Part D ofthis regulation, for prevention ofsignificant deterioration; V.l.1.b. Visibility analysis; and V.l.1.c. Section V.A. of Part D ofthis regulation, for nonattainment new source review. V.l.2. The Division shall grant such an exemption ifthe emissions reduction qualifies as an Emission Reduction Credit under Regulation Number5 meets the criteria in Section V.E., for certification, and the difference between the amount ofthe certified emissions reduction, and the amount of new pollutants to be emitted from the new or modified facility, does not constitute a significant increase of pollutants. V.l.3. An increase of pollutants shall be considered significant if it equals or exceeds the amounts specified in the definition ofsignificant in Part D ofthis regulation. 

### VI. Fees VI.A. General VI.A.1. Every person required to obtain a Construction orOperating Permit or to file an Air Pollution Emission Notice shall pay fees as set forth in the following sections. Such fees shall be charged to recover the direct and indirect costs incurred by the Division in processing permit applications, issuing permits, and in conducting a compliance monitoring and enforcement program. Such fees shall apply without regard to whether a RegulationNumber 3 Adopted: October 20,2011 Page42

### permit is issued, denied, withdrawn, or revoked. Fees shall be charged as indicated in Section VI.D. ofthis part. VI.B. Permit Processing Fees VI.B.1. Applicants for a permit shall be assessed total fees that shall be partially determined at the time that the Division makes its decision whether to issue preliminary approval ofthe permit and partially at the time the Division makes its decision whether to issue final approval. VI.B.2. The partial fee collected at the time the Division makes its decision whetherto issue preliminary approval ofthe permit shall include the costs associated with the preliminary engineering evaluation, modeling, and analysis of impact on ambient air quality, notice and publication requirements, and such other costs as are required for the aforementioned activities incurred by the Division up to the time ofthe decision of whether to issue preliminary approval. VI.B.3. The final fee collected at the time the Division makes its decision ofwhetherto issue final approval shall include the balance ofthe total ofall costs associated with enforcement of any terms and conditions ofthe emission permit, the supervision ofcompliance testing, notice and publication requirements, and such other costs as are required forthe processing, issuance, and administration ofthe permit. VI.B.4. Ifthe Division requires more than thirty hours to process an application, the Division shall inform the owner oroperator ofthe source and provide an estimate ofwhat the actual charges may be, prior to commencing with processing ofthe application, unless the owner or operatorwaives this requirement in writing. VI.B.5. All permit processing fees assessed must be received within thirty days ofthe date of receipt ofthe written request therefore. All fees collected underthis regulation shall be made payable to the Colorado Department of Public Health and Environment. Construction permits shall not be issued until all such assessed fees have been paid. Permits issued in accordance with Part C ofthis regulation may be issued upon approval by the Division ofa fee payment schedule. VI.C. Annual Emissions Fees VI.C.1. As used in this Section VI., in accordance with Colorado Revised Statute Section 25-7- 114.7, regulated air pollutant means: VI.C.1.a. A volatile organic compound; VI.C.1.b. Each hazardous air pollutant; VI.C.1.c. Each pollutant regulated under Section 111 ofthe Federal Act (New Source Performance Standards); VI.C.1.d. Each pollutant for which a National AmbientAir Quality Standard has been promulgated, except for carbon monoxide; and VI.C.1.e. Each pollutant regulated under Section 25-7-109, except GHG ofthe state Act. VI.C.1.f. The term regulated air pollutant does not include fugitive dust as defined

Regulation Number3 Adopted: October20, 2011 

### in Section 1.8.21. ofthis PartA, orany fraction thereof.

Page 43 

# I rVI.C.2. Every owner or operator of an air pollution source required to file an Air Pollutant Emission Notice shall pay a nonrefundable annual emissions fee as setforth in Section VI.D.1. ofthis Part

### A. VI.C.3. All annual emissions fees assessed must be received within sixty days ofthe date of issuance ofthe written request therefore. All fees collected underthis regulation shall be made payable to the Colorado Department of Public Health and Environment. VI.C.4. In no event shall an owner oroperator ofa source pay more than a fee based upon total annual emissions offour thousand tons of each regulated air pollutant per source. VI.D. Fee Schedule VI.D.1. Annual emission fees and permit processing fees shall be charged in accordance with and in the amounts and limits specified in the provisions of Colorado Revised Statutes Section 25-7-114.7. Annual emission fees for regulated pollutants shall be $22.90 per ton. Annual emission fees for hazardous air pollutants shall be $152.90 perton. GHG is exemptfrom the requirement to pay annual emission fees. VI.D.2. Air Pollutant Emission Notice filing fees shall be charged in accordance with and in the amounts and limits specified in the provisions ofColorado Revised Statutes Section 25-7- 114.1. 

### VII. Confidential Information or Data Contained in Air Pollutant Emission Notices, Permit Applications, or Reports Submitted Pursuantto Part C, Section V.C.6. VII.A. Upon written requestto the Division, any person filing an Air Pollutant Emission Notice or permit application, or submitting reports pursuant to Regulation Number 3, Part C, Sections V.C.6. or V.C.7., may request that information contained in such an Air Pollutant Emission Notice, permit application, or report relating to secret processes or methods of manufacture or production be kept confidential. Thewritten request must identify the basis for the claim thatthe information relates to secret processes or methods of manufacture or production. All information claimed as confidential must be segregated from the rest ofthe Air Pollutant Emission Notice, permit application, or report when submitted, with each page clearly marked as "Confidential," "Trade Secret," or other similar marking. VII

### .B. The Division will evaluate confidentiality claims based on the written request. The burden of establishing that the information relates to secret processes or methods of manufacture or production is on the claimant. Emission data, as defined in Colorado Revised Statutes Section 25-7-103(11.5), shall not be entitled to confidential treatment notwithstanding this Section VII., or any other lawto the contrary. In no event shall an Operating Permit orthe compliance certifications submitted pursuant to Section 111.8.8. of Part C ofthis Regulation Number 3 be entitled to confidential treatment. Ifthe Division determines that information requested to be kept confidential is not entitled to confidential treatment, it shall provide written notice ofthis

. determination at leastthree working days prior to making such information available to the public. VII.C. A request for confidential treatment of information ordata submitted to the Division shall be deemed a limited waiver by the applicant ofthe time constraints contained in Section 111.8. of Part 8, or Section IV. of Part C ofthis regulation. Therefore, any delay in the processing ofa permit application resulting from the Division's being required to give notice under Section Vll.8., hereof, shall not be considered in determining whether the time constraints setforth in this regulation have been met. VIII. Technical Modeling and Monitoring Requirements

Regulation Number 3 Adopted: October20, 2011 Page44

### VIII.A. Air Quality Models VIII.A.1.AII estimates ofambient concentrations required underthis Regulation Number 3 shall be based on the applicable air quality models, databases, and other requirements generally approved by U.S. EPA and specifically approved by the Division. Ifa non-U.S. EPA approved model, such as a wind tunnel study, is proposed, the nature and requirements ofsuch a model should be outlined to the Division at a pre-application meeting. The application will be deemed incomplete until there has been an opportunity for a public hearing on the proposed model and written approval ofthe U.S. EPA has been received. VJII.B. Monitoring VJII.B.1.AII monitoring must be performed in accordance with U.S. EPA accepted procedures as approved by the Division. VJII.B.2.An owner oroperator may submit a monitoring program for a proposed source or modification to the Division for review. Within sixty days after such submittal, the Division shall: VJII.B.2.a. Approve the monitoring program; or VIII.B.2.b. Specify the changes necessary for approval; otherwise, the monitoring program shall be deemed approved. VJII.C. Stack Heights This regulation sets limits for the maximum stack height credit to be used in ambient airquality modeling for the purpose ofsetting an emission limitation and calculating the air quality impact of a source. It does not limit the actual physical stack height for any source. The following shall not be considered in determining whether an emission limitation is met: VIII.C.1. Stack height in excess ofgood engineering practice; or VJII.C.2. Any otherdispersion technique exceptthat the provisions ofthis Section VIII.C. shall not apply to stack heights in existence or dispersion techniques implemented before December 31, 1970. Sources that were constructed, reconstructed, orfor which major modifications were carried out after December 31, 1970, and that are emitting pollutants from such stacks, or using such dispersion techniques, shall be subject to the provisions ofthis section. VIJI.D. Definitions as used in Section VIII.C. VIII.D.1. Stack in existence means that the owner oroperator had: VIII.D.1.a. Begun, orcaused to begin, a continuous program of physical on site construction ofthe stack; or VIII.D.1.b. Entered into binding agreements orcontractual obligations that could not

Regulation Number 3 Adopted: October20, 2011 

### be cancelled or modified without substantial loss to the owner oroperator, to undertake a program ofconstruction ofthe stack to be completed in a reasonable time.

Page45

### VIII.D.2. Dispersion Technique means any technique that attempts to affectthe

VIII.D.3.concentration ofa pollutant in the ambient air by using that portion ofa stack that exceeds good engineering practice stack height, varying the rate ofemission ofa pollutant according to atmospheric conditions.orambient concentrations ofthat pollutant, or by increasing final exhaustgas plume rise by manipulating source process parameters, exhaust gas parameters, orcombining exhaust gases from several existing stacks into one stack; or other selective handling ofexhaust gas streams so as to increase the exhaust gas plume rise. The preceding sentence does not include: VIII.D.2.a. The reheating ofa gas stream, following use ofa pollution control system, for the purpose of returning the gas to the temperature atwhich it was originally discharged from the facility generating the gas stream; VIII.D.2.b. The merging ofexhaust gas streams where: VIII.D.2.b.(i) The source owner or operator demonstrates that the facility was originally designed and constructed with such mergtd gas streams; VIII.D.2.b.(ii) After July 8, 1983, such merging is part ofa change in operation at the facility that includes the installation of pollution controls and is accompanied by a net reduction in the allowable emissions ofa pollutant. This exclusion from the definition ofdispersion techniques shall apply only to the emission limitation for the pollutant affected by such change in operation; or VIII.D.2.b.(iii) Before July 8, 1985, such merging was part ofa change in operation atthe facility that included the installation ofemissions control equipment orwas carried out for sound economic or engineering reasons. Where there was an increase in the emissions limitation or, in the event that no emission limitation was in existence prior to the merging, the reviewing agency shall presume that merging was significantly motivated by intent to gain emissions creditfor greater dispersion. Absent a demonstration by the source owner or operatorthat merging was not significantly motivated by such intent, the reviewing agency shall deny creditfor the effects ofsuch merging in calculating the allowable emissions forthe source; VIII.D.2.c. Smoke management in agricultural or silvicultural prescribed burning programs; VIII.D.2.d. Episodic restrictions on residential wood burning and open burning; or VIII.D.2.e. Techniques that increase final exhaust gas plume rise where the resulting allowable emissions ofsulfur dioxide from the facility do not exceed five thousand tons per year. Good Engineering Practice Stack Height means the greater of: VIII.D.3.a. 65 meters; or VIII.D.3.b. For stacks in existence on January 12, 1979 and for which the owner or operator had obtained all applicable pre-construction permits or approvals required, Hg 

### = 2.5H, provided the owner or operator produces evidence thatthis equation was actually relied on in establishing an emission limitation; and Regulation Number 3 Adopted: October 20, 2011 Page46

### VIII.D.4.VIII.D.3.c. Forall other stacks, Hg = H 

### + 1.5L where: VIII.D.3.c.(i) Hg =good engineering practice stack height measured from the ground level elevation at the base ofthe stack; VIII.D.3.c.(ii) H =heightof nearby structure(s) measured from the ground level elevation at the base ofthe stack; VIII.D.3.c.(iii) L =lesserdimension (height or projected width) of nearby structure(s) provided that the reviewing agency may require the use ofa field study orfluid model to verify Good Engineering Practice stack height for the source; or VIII.D.3.d. The height demonstrated by a fluid model ora field study approved by the reviewing agency, which ensures that the emissions from a stack do not result in excessive concentrations ofany air pollutant as a result ofatmospheric downwash, wakes, oreddy effects created by the source itself, structures, or terrain obstacles. Nearby as applied to good engineering practice is: VIII.D.4.a. For purposes ofapplying the formulae provided in Sections VIII.D.3.b. and VIII.D.3.c. in the definition ofgood engineering practice stack height means that distance up to five times the lesser ofthe height orthe width dimension ofa structure, but not greaterthan 0.8 kilometers (1/2 mile), and VIII.D.4.b. For conducting demonstrations in Section VIII.D.3. in the definition of good engineering practice means not greaterthan 0.8 kilometers (1/2 mile), except that the portion ofa terrain feature may be considered to be nearbythat falls within a distance of up to ten times the maximum height ofthe feature, notto exceed two miles ifsuch feature achieves a height 0.8 kilometers from the stack that is at least forty percent ofthe good engineering practice stack height determine by the formula ortwenty-six meters, whichever is greater. VIII.D.5. Excessive concentrations for the purpose ofdetermining good engineering practice, stack height in a fluid model orfield study, means: VIII.D.S.a. For sources seeking credit for stack height exceeding that established by

Regulation Number 3 Adopted: October 20, 2011 

### the formulae, a maximum ground level concentration due to emissions from a stack due in whole or part to downwash, wakes, and eddy effects produced by nearby structures or nearby terrain features that individually is at leastforty percent in excess ofthe maximum concentration experienced in the absence of such downwash, wakes, oreddy effects and that contributes to a total concentration due to emissions from all sources that is greaterthan an ambient airquality standard. For sources subject to the prevention ofsignificant deterioration program, an excessive concentration alternatively means a maximum ground level concentration due to emissions from a stack due in whole or part to downwash, wakes, oreddy effects produced by nearby structures or nearby terrain features that individually is at least forty percent in excess ofthe maximum concentration experienced in the absence ofsuch downwash, wakes, oreddy effects and greaterthan a prevention ofsignificant deterioration increment. The allowable emission rate to be used in making demonstrations shall be prescribed by the new source performance standard that is applicable to the source category unless the owner or operator demonstrates that this emission rate is infeasible. Where such demonstrations are approved by the

Page47 f 

# I [i 

### l 

# f 

# I

I

# I

! 

# I

### Division, an alternative emission rate shall be established in consultation with the source owner oroperator; VIII.D.5.b. For sources seeking credit after October 1, 1983 for increases in existing

APPENDIX A 

### stack heights up to the heights established by the formulae, either: VIII.D.5.b.(i) A maximum ground level concentration due in whole or part to downwash, wakes oreddy effects as provided in Section VIII.D.5.a. above, except thatthe emission rate specified by any applicable state implementation plan (or, in the absence ofsuch a limit, the actual emission rate) shall be used; or VIII.D.5.b.(ii) The actual presence ofa local nuisance caused by the existing stack, as determined by the Division; and VIII.D.5.b.(iii) For sources seeking credit after January 12, 1979 for a stack height determined using the formula, where the Division requires the use ofa field study orfluid model to verify good engineering practice stack height; for sources seeking stack height credit after November 9, 1984 based on the aerodynamic influence ofcooling towers; and for sources seeking credit after December 31, 1970 based on the aerodynamic influence ofstructures not adequately represented by the formulae: a maximum ground level concentration due in whole or partto downwash, wakes or eddy effects that is at leastforty percent in excess ofthe maximum concentration experienced in the absence ofsuch downwash, wakes oreddy effects.

Method For Determining De Minimis Levels For Non-Criteria Reportable Pollutants 

### The following procedures must be followed in orderto determine the appropriate de minimis (minimum) reporting level for each pollutant that is emitted from each emission point at a contiguous site. Ifyou do notwish to use the three-scenario approach at yourfacility, you may elect to use Scenario 1for all emission points. Definitions 

### Release Point- the lowest height above ground level from which the pollutants are emitted to the atmosphere. Property Boundary- the distance from the base ofthe release point to the nearest property boundary. Point

- an individual emission point or a group of individual emission points reported on one Air Pollutant Emission Notice as provided for in Part A, Section 

### 11.8.4. Methodology 

### To determine the de minimis level for a single pollutant being emitted from a point (single or grouped). STEP 1: 

### Determine which ofthe three scenarios below applies to the emission point. Ifdifferent scenarios can be applied to the same emission point, use the highest numbered scenario that applies. In the case of

Regulation Number 3 Adopted: October20, 2011 Page48

### grouped emission points, use the lowest scenario number (for the entire group) that applies to any ofthe single emission points within the group. Scenario 1: Release point less than 10 meters or property boundary less than 100 meters; Scenario 2: Release point equal to or greaterthan 10 meters, but less than 50 meters, or property boundary equal to or greaterthan 100 meters, but less than 500 meters; or Scenario 3: Release point equal to or greaterthan 50 meters, or property boundary equal to orgreaterthan 500 meters. STEP 2: Use Appendix B to identify which ofthe three bins (Bin A, B, or C) the chemical is listed under. Ifthe pollutant is not listed, it does not have to be reported unless it is included in a chemical compound group. STEP 

### 3: Use the table below to determine the de minimis level. All values are in pounds peryear.

Scenario 

### 1 Scenario 

### 2 Scenario 

### 3 Chemical Bin De Minimis De Minimis De Minimis Bin A 50 125 250 Bin B 500 1250 2500 Bin C 1000 2500 5000 STEP4: Repeat the above steps for each pollutant emitted from each emission point (single or grouped). One Air Pollutant Emission Notice must be filed for each emission point that emits one or more chemicals above the de minimis level. APPENDIXB Non-criteria Reportable Pollutants (Sorted by BIN) Note: HAP means federal, orfederal and state hazardous air pollutant HAPs means state-only hazardous air pollutant 

# ICAS

Regulation Number3 Adopted: October 20, 2011 

# IToxics 

# IBIN

Page 49HAP 79345 HAP 79005 HAP 75354

HAP 57147 HAP 120821 HAP 96128 HAP 122667 HAP 106887 HAP 75558 HAP 106990 HAP 542756 HAPs 55981 HAP 106467 HAPs 7644410 HAP 123911 HAP 1746016 HAP 88062 HAP 94757

HAP 51285 HAP 121142 HAP 584849 91087 HAP 532274 HAP 79469 HAP 119937

Regulation Number 3 Adopted: October20, 2011 1,1 ,2,2-Tetrachloroethane A 1,1 ,2-Trichloroethane A 1,1-Dichloroethylene (Vinylidene A chloride) 1,1-Dimethyl hydrazine A 1,2,4-Trichlorobenzene A 1,2-Dibromo-3-chloropropane A 1,2-Diphenylhydrazine A 1,2-Epoxybutane A 1,2-Pro_pylenimine_(2-Meth_yl aziridinel A 1,3-Butadiene A 1,3-Dichloropropene A 1,4-Butanediol dimethanesulphonate A 1A-Dichlorobenzene A 1,4-Dichloro-2-butene A 1,4-Dioxane (1 ,4-Diethyleneoxide) A 2,3,7,8-TCDD (Dioxin) A 2,4,6-Trichlorophenol A 2,4-D, salts and esters (2,4- A Dichlorophenoxyacetic acidj 2,4-Dinitrophenol A 2,4-Dinitrotoluene A 2,4-Toluene diisocyanate A 2,6-Toluene diisoc_yanate A 2-Chloroaceto_Q_henone A 2-Nitro_Qro_Q_ane A 3,3'-Dimeth_yl benzidine A

Page SOHAP 91941 HAP 119904 HAP 101144 HAP 101779 HAP 534521 HAP 92671 HAP 75070 HAP 75058 HAP 107028 HAP 79061 HAP 79107

HAP 107131 HAPs 1402682 116063 HAPs 309002 107186 HAP 107051 20859738 HAP 62533 HAP 0 86884 HAP 0 HAP 1332214 HAP 71432 HAP 92875

Regulation Number 3 Adopted: October20,2011 3,3-Dichlorobenzidene 3,3-Dimethoxybenzidine**4,4-Meth~lene** bis**12-chloroanilin~** 4,4-Methylenedianiline 4,6-Dinitro a-cresol, and salts 4-Aminobiphenyl Acetaldehyde Acetonitrile Acrolein Acrylamide Acrylic acid

Acrylonitrile Aflatoxins Aldicarb (Temik)_ Aldrin Allyl alcohol Allyl chloride Aluminum phos_Q_hide Aniline Antimony compounds ANTU (alpha-naphthylthiourea) Arsenic compounds Asbestos Benzene Benzidine (p-Diamino diphenyl) A A A A A A A A A A A

A A A A A A A A A A A A A A

Page 51 

# t 

# IHAP 98077 HAP 100447

HAP 0 HAP 542881 HAP 117817

7726956 HAP 75252 HAP 0 HAP 156627 HAP 133062 1563662 HAP 75150 HAP 56235 HAP 120809 HAP 133904

HAP 57749 HAP 7782505 HAP 79118 HAP 108907 107073 HAP 67663 HAP 107302 HAP 126998 HAP 0

Regulation Number 3 Adopted: October20, 2011 Benzotrichloride A Benzyl chloride, A (Chloromethyl)benzene Beryllium comp_ounds A Bischloromethyl ether A Bis(2-ethylhexyl) phthalate (DEHP) A (Dioctyl phthalate) Bromine A Bromoform A Cadmium compounds A Calcium cyanamide A Captan A Carbofuran A Carbon disulfide A Carbon tetrachloride A Catechol A Chloramben (3-amino-2,5-dichloro A benzoic acid) Chlordane A Chlorine A Chloroacetic acid A Chlorobenzene A Chloroethanol A Chloroform (Trichloromethane) A Chloromethyl methyl ether A Chloroprene (2-Chloro-1 ,3-butadiene) A Chromium compounds (incl. 6+ A compounds, etc.)

Page 52HAP 0

HAP 0 HAP 1319773 4170303 123739 HAP 98828 HAP 0 HAP 3547044

8065483 HAP 334883 19287457 HAP 111444

HAP 62737 141662 HAPs 60571 HAP 111422 115264 60515 HAP 77781 HAP 68122 78342 152169 298044 115297 72208 Regulation Number 3 Adopted: October20,2011 Cobalt compounds (as cobalt metal A dust and fumes) Coke Oven Emissions A Cresylic acid/Cresols A Crotonaldehyde A Crotonaldehyde (E) A Cumene A Cyanide com_2_ounds A DOE A (Dichlorodiphen:tldichloroethylenej Demeton A Diazomethane A Diborane A Dichloroethyl ether (Bis(2- A chloroethyl)etherj Dichlorvos A Dicrotophos A Dieldrin A Diethanolamine A Dimefox A Dimethoate A Dimethyl sulfate A Dimetl}ylformamide A Dioxathion A**Di~hos_phoramide,** octameti!YI A Disulfoton A Endosulfan A Endrin A

Page 53HAP 106898

563122 HAP 140885 HAP 106934

HAP 107062

HAP 151564 HAP 75218 HAP 96457 22224926 115902 HAP 0 944229 HAP 50000 110009 HAP 0 HAP 76448 HAP 118741 HAP 87683 HAP 77474 HAP 67721 HAP 822060 HAP 302012 HAP 7647010 HAP 7664393 7783064 Regulation Number 3 Adopted: October 20, 2011 Epichlorohydrin (1-Chloro-2,3- A epoxypropane) Ethion A Ethyl acrylate A Ethylene dibromide (1 ,2- A Dibromoethane) Ethylene dichloride (1 ,2- A Dichloroethane) Ethylene imine (Aziridine) A Ethylene oxide A Ethylene thiourea A Fenaminophos (Fenamiphos) A Fensulfothion A Fine mineral fibers A Fonofos A Formaldehyde A Furan A Glycol ethers A Hej:>_tachlor A Hexachlorobenzene A Hexachlorobutadiene A Hexachlorocyclopentadiene A Hexachloroethane A Hexamethylene-1,6-diisocyanate A Hydrazine A Hydrochloric acid (Hydrogen chloride) A Hydrogen fluoride (Hydrofluoric acid} A Hydrogen sulfide A

Page 54

### 465736 

## HAP 78591 4098719 

## HAP 0



## HAP

- 

## HAP 0 950107 

## HAP 0 126987 10265926 950378 

## HAP 72435 86500 

## HAP 74839 

## HAP 74873 

## HAP 60344 

## HAP 74884 

## HAP 624839 74931 

## HAP 75092 

## HAP 101688 7786347 505602 

## HAP 121697 

## HAP 0 Regulation Number 3 Adopted: October20,2011 lsodrin 

## A lsophorone 

## A lsophorone diisocyanate 

## A Lead compounds (except elemental 

## A lead) Lindane (all isomers of 

## A hexachlorocyclohexane) Manganese compounds 

## A Mephosfolan 

## A Mercurycom_Q_ounds 

## A Methacrylonitrile 

## A Methamidophos 

## A Methidathion 

## A Methoxychlor 

## A Methyl azinphos 

## A Methyl bromide (Bromomethane) 

## A 

# I

Methyl chloride (Chloromethane) 

## A Methyl hydrazine 

## A Methyl iodide_ilodomethane} 

## A Methyl isocyanate 

## A Methyl mercaptan (Methanethiol) 

## A Methylene chloride (Dichloromethane) 

## A Methylene diphenyl diisocyanate (MDI) 

## A Mevinphos 

## A Mustard gas (Dichlorodiethyl sulfide) 

## A N,N-Diethyl aniline {N,N- 

## A Dimethylaniline) Nickel compounds (incl. nickel 

## A

Page 5554115 7697372 HAP 98953 HAPs 55185 HAP 62759 HAPs 924163 HAP 90040 HAP 95534 1910425 2074502 HAP 56382 298000 HAP 82688

HAP 87865 HAP 127184

HAPs 122601

298022 HAP 75445 HAP 7803512 HAP 7723140 HAP 1336363

HAP 0 HAP 57578 HAP 114261 Regulation Number 3 Adopted: October 20,2011 subsulfide) Nicotine A Nitric acid A Nitrobenzene A N-Nitrosodiethylamine A N-Nitrosodimethylamine A N-Nitroso-di-n-but}'lamine A o-Anisidine A a-Toluidine A Paraquat A Para_quat methosulfate A Parathion A Parathion-methyl A Pentachloronitrobenzene A (Quintobenzene) Pentachlorophenol A Perchloroethylene A (Tetrachloroethylene) Phenyl glyceryl ether (3 phenoxy 1,2 A propanediol) Phorate A**Pho~g_ene** A Phosphine A Phosphorous A Polychlorinated biphenyls (PCBs) A (Aroclors) Polycylic Organic Matter A Propiolactone, beta A Propoxur (Baygon) A

Page 56HAP 78875

HAP 75569 HAP 106445 HAP 91225 HAP 106514 HAP 0 HAP 0 62748 131522 57249 3689245 13494809 107493 13071799 509148



# - 108985 HAP 8001352 HAP 121448 HAP 1582098 HAP 593602 HAP 75014 81812 129066 1314847 HAP 1120714 Regulation Number 3 Adopted: October20, 2011 Propylene dichloride (1 ,2- Dichloropropane) Propylene oxide p_-Cresol Quinoline Quinone Radionuclides (including radon) Selenium compounds Sodium fluoroacetate Sodium pentachlorophenate Strychnine Sulfotef>_ Tellurium TEPP (Tetraethyldithiopyrophosphate) Terbufos Tetranitromethane Thallium compounds Thiophenol (Phenyl mercaptan) Toxaphene (Camphechlor) Triethylamine Trifluralin Vinyl bromide Vinyl chloride Warfarin Warfarin sodium Zinc phosphide 1,3-Propane sultone A

A A A A A A A A A A A 

### A A A A A A A A A A A A A 

### B

Page57 

# f J 

# iHAP 95807 HAPs 132274 HAPs 60153493

HAP 60355 7664417 HAPs 115286 HAPs 108171262

HAP 510156

HAPs 117102 HAPs 2646175 1464535 HAP 64675 1642542 HAP 60117 HAP 79447 HAPs 2475458 HAP 51796 HAP 75343

144490 HAP 680319 55914 HAPs 64091914

16752775 79221 Regulation Number 3 Adopted: October20, 2011 2,4-Toluene diamine B 2-Biphenylol sodium salt B 3-(N-Nitrosomethylamine) B (Propionitrile) Acetamide B Ammonia B Chlorendic acid B Chlorinated paraffins (C12, 60% B chlorine) Chlorobenzilate (ethyl-4,4'- B dichlorobenzilate) Chrysazin (Dorbane) B Cl Solvent Orange 2 B Diepoxybutane B**Dieth~l** sulfate B Diethylchlorophosphate B Dimethyl aminoazobenzene B Dimethyl carbamo_yl chloride B Disperse Blue 1 B Ethyl carbamate (Urethane) B Ethylidene dichloride (1,1- B Dichloroethane) Fluoracetic acid B Hexamethylphosphoramide B lsofluorphate B Ketone, 3-pyridyi-3-(N-methyi-N- B nitrosoamine) propyl Methomyl B Methyl chloroformate B

Page 58HAP 108101

HAPs 78988 HAP 108394 HAP 91203 HAPs



### - HAP 59892 HAP 684935 23135220 HAP 95487 732116 HAP 85449 107448 7664939 77816 110576 HAP 71556

HAP 540841 540885 HAP 95954 HAP 53963 HAP 92933 HAP 100027 HAP 98862 814686 54626

Regulation Number3 Adopted: October20, 2011 Methyl isobutyl ketone (MIBK) B (Hexane) Methylgly_oxal B m-Cresol B Naphthalene B Nitrilotriacetic acid, Ca-, Na-, K salts B N-Nitrosomorpholine B**N-nitroso-N-met~urea** B Oxamyl B a-Cresol B Phosmet B Phthalic anhydride B Sarin B Sulfuric acid B Tabun B Trans 1,4-dichlorobutene B 1,1,1-Trichloroethane (Methyl 

# c chloroform) 2,2,4-Trimethylpentane 

# c Tertiary Butyl Acetate 

# c 2,4,5-Trichlorophenol 

# c 2-Acetylaminofluorene 

# c 4-Nitrobiphenyl 

# c 4-Nitrophenol 

# c Acetophenone 

# c Acrylyl chloride 

# c Aminopterin 

# c

Page 5978535 3734972 88051 1397940 HAP 92524 534076 10294345 28772567 HAP 63252 HAP 463581 786196 470906 24934916 3691358 1982474 21923239 56724 5836293 535897 675149 66819 108918 919868 10311849 HAP 132649 HAP 84742

Regulation Number 3 Adopted: October20,2011 Amiton 

# c Amiton oxalate 

# c Aniline,2,4,6-Trimethyl 

# c Antimycin A 

# c BiQ_henyl 

# c Bis(chloromethyl)ketone 

# c Boron trichloride 

# c Bromodiolone 

# c Carbaryl 

# c Carbonyl sulfide 

# c Carbophenothion 

# c Chlorfenvinfos 

# c Chlormephos 

# c ChloroQhacinone 

# c Chloroxuron 

# c Chlorthiophos 

# c Coumaphos 

# c Coumatetralyl 

# c Crimidine 

# c Cyanuric fluoride 

# c Cyclohexamide 

# c Cy_clohexylamine 

# c Demeton-s-methyl 

# c Dialifor 

# c Dibenzofurans 

# c Dibutyl_phthalate 

# c

Page 60149746 HAP 131113 75183 2524030 99989 644644 1420071 82666 541537 2778043 13194484 2642719 HAP 100414 538078 HAP 75003 107153 371620 HAP 107211 542905 122145 4301502 7782414 640197 359068 23422539 2540821

Regulation Number3 Adopted: October20, 2011 Dichlorometh_ylphenylsilane 

# c Dimethyl phthalate 

# c Dimethyl sulfide (Methyl sulfide) 

# c Dimethylphosphorochloridothioate 

# c Dimethyl-p-phenylenediamine 

# c Dimetilan 

# c Dinoterb 

# c Diphacinone 

# c Dithiobiuret 

# c Endothion 

# c Ethoprophos (Ethoprop) 

# c Ethyl azinphos 

# c Ethyl benzene (Phenylethane) 

# c Ethyl bis 12-chloroethyl)amine 

# c Ethyl chloride (Chloroethane) 

# c Ethylene diamine 

# c Ethylene fluorohydrin 

# c Ethylene_glycol 

# c Ethylthiocyanate 

# c Fenitrothion 

# c Fluenetil 

# c Fluorine 

# c Fluoroacetamide 

# c Fluoroacetyl chloride 

# c Formotanate hydrochloride 

# c Formothion 

# c

Page6117702577 21548323 3878191 4835114 HAP 110543 HAP 123319 297789 108236 625558 119380

21609905 HAP 108316 HAP 67561 2032657 624920 556616 HAP 80626 3735237 78944 315184 HAP 1634044 HAP 108383 1122607 991424 HAPs 615532 2497076 Regulation Number 3 Adopted: October20, 2011 Formparanate 

# c Fosthietan 

# c Fuberidazole 

# c Hexameth_ylenediamine, N,N-dibutyl 

# c Hexane 

# c Hydroquinone 

# c lsobenzan 

# c Isopropyl chlorformate 

# c lso!)ropyl formate 

# c lsopropylmethylpyrazolyl 

# c dimethylcarbamate (lsolan) Leptophos 

# c Maleic anhydride 

# c Methanol (Methyl alcohol)_ 

# c Methiocarb 

# c Methyl disulfide 

# c Methyl isothiocyanate 

# c Methyl methacrylate 

# c Methyl phenkapton 

# c Methyl vinyl ketone (3-butene-2-one) 

# c Mexacarbate 

# c MTBE (Methyl tertiary butyl ether) 

# c m-Xylene 

# c Nitrocyclohexane 

# c Norbormide 

# c N-nitroso-N-methylurethane 

# c Oxydisulfoton 

# c

Page 62

# -

HAP 95476 79210 HAP 108952 64006

947024 13171216 110894 23505411 2631370 106967 HAP 123386 140761 53558251 HAP 106503 HAP 106423 60413 HAP 100425 HAP 96093 7446119 297972

79196 HAP 7550450 HAP 108883 HAP 79016 Regulation Number3 Adopted: October20, 2011 Ozone depleting compounds (CFC, 

# c etcj o-Xylene 

# c Peracetic acid 

# c Phenol 

# c Phenol,3-(1-methylethyl)- 

# c methylcarbamate Phosfolan 

# c Phosphamidon 

# c Piperidine 

# c Pirimifos-ethyl 

# c Promecarb 

# c Propargyl bromide 

# c Propionaldehyde 

# c Pyridine, 2-meth'[l-5-vin_yl 

# c Pyriminil 

# c p-Phenylenediamine 

# c _2-X_ylene 

# c Strychnine sulfate 

# c Styrene 

# c Styrene oxide 

# c Sulfurtrioxide 

# c Thionazin (0,0-Diethyl-0-(2- 

# c _pyraziny_!}phos_phorothioatetl_ Thiosemicarbizide 

# c Titanium tetrachloride 

# c Toluene 

# c TrichloroethyleneJTCEl 

# c

Page 63555771 2001958 HAP 108054 HAP 1330207 28347139 HAP



## -

- HAPs



### -



## -

HAP 0 HAP 0 HAP 0 HAP 0 HAP 0

HAP 0

HAP 0 HAP 0 HAP 0 HAP 0 HAP 0

HAP 0 HAP 0 HAP 0

HAP 0 Regulation Number 3 Adopted: October20, 2011 Tris(2-chloroethyl)amine 

# c Valinomycin 

# c Vinyl acetate 

# c Xylene (and mixed isomers) 

# c Xylylene dichloride 

# c Lindane (all isomers of A hexachlorocyclohexane) Thallium compounds A Nitrilotriacetic acid, Ca-, Na-, K salts 

### 8 Ozone depleting compounds (CFC, 

# c etc.) Antimony compounds A Arsenic compounds A Beryllium compounds A Cadmium compounds A Chromium compounds (incl. 6+ A compounds, etc.) Cobalt compounds (as cobalt metal A dust and fumes) Coke Oven Emissions A Cyanide compounds A Fine mineral fibers A Glycol ethers A Lead compounds (except elemental A lead) Manganese compounds A Mercury compounds A Nickel compounds (incl. nickel A subsulfide) Polycyclic Organic Matter A Page64HAP 0 HAP 0 HAP 50000 HAP 51285 HAP 51796 HAP 53963 540885 54115 54626 HAPs 55185 55914 HAPs 55981 HAP 56235 HAP 56382 56724 HAP 57147 57249 HAP 57578 HAP 57749 HAP 59892 HAP 60117 HAP 60344 HAP 60355 60413 60515 HAPs 60571

Regulation Number 3 Adopted: October20,2011 Radionuclides (including radon) A Selenium compounds A Formaldehyde A 2,4-Dinitrophenol A Ethyl carbamate (Urethane) B 2-Acetylaminofluorene 

# c Tertiary Butyl Acetate 

# c Nicotine A Aminopterin 

# c N-Nitrosodiethylamine A lsofluorphate B 1,4-Butanediol dimethanesuiQ_honate A Carbon tetrachloride A Parathion A Coumaphos 

# c 1,1-Dimethyl hydrazine A Strychnine A Propiolactone, beta A Chlordane A N-Nitrosomorpholine B Dimethyl aminoazobenzene B Methyl hydrazine A Acetamide B Strychnine sulfate 

# c Dimethoate A Dieldrin A

Page 65HAP 62533 HAP 62737 62748 HAP 62759 HAP 63252 64006

HAP 64675 66819 HAP 67561 HAP 67663 HAP 67721 HAP 68122 HAP 71432 HAP 71556

72208 HAP 72435 HAP 74839 HAP 74873 HAP 74884 74931 HAP 75003 HAP 75014 HAP 75058 HAP 75070 HAP 75092

Regulation Number 3 Adopted: October 20, 2011 Aniline A Dichlorvos A Sodium fluoroacetate A N-Nitrosodimethylamine A Carbaryl 

# c Phenol,3-(1-methylethyl)- 

# c methylcarbamate Diethyl sulfate B Cyclohexamide 

# c Methanol(Meth_yl alcohol) 

# c Chloroform (Trichloromethane) A Hexachloroethane A Dimethylformamide A Benzene A 1,1,1-Trichloroethane (Methyl 

# c chloroform) Endrin A Methoxychlor A Methyl bromide (Bromomethane) A Methyl chloride (Chloromethane) A Methyl iodide (lodomethane) A Methyl mercaptan (Methanethiol}_ A Ethyl chloride (Chloroethane)_ 

# c Vinyl chloride A Acetonitrile A Acetaldehyde A Methylene chloride (Dichloromethane) A

Page 66HAP 75150 75183 HAP 75218 HAP 75252 HAP 75343

HAP 75354

HAP 75445 HAP 75558 HAP 75569 HAP 76448 HAP 77474 HAP 77781 77816 78342 78535 HAP 78591 HAP 78875

78944 HAPs 78988 HAP 79005 HAP 79016 HAP 79061 HAP 79107 HAP 79118 79196 Regulation Number 3 Adopted: October20, 2011 Carbon disulfide A Dimethyl sulfide {Methyl sulfide) 

# c Ethylene oxide A Bromoform A Ethylidene dichloride (1, 1- 

### 8 Dichloroethane) 1,1-Dichloroethylene (Vinylidene A chloride) Phosgene A 1,2-Propylenimine (2-Methyl aziridine) A Propylene oxide A Heptachlor A Hexachlorocyclopentadiene A Dimethyl sulfate A Tabun 

### 8 Dioxathion A Amiton 

# c lsophorone A Propylene dichloride (1 ,2- A DichloroQro_panel Methyl vinyl ketone (3-butene-2-one)_ 

# c Methylglyoxal 

### 8 1,1 ,2-Trichloroethane A Trichloroethylene (TCE) 

# c Acrylamide A Acrylic acid A Chloroacetic acid A Thiosemicarbizide 

# c

Page 6779210 79221 HAP 79345 HAP 79447 HAP 79469 HAP 80626 81812 82666 HAP 82688

HAP 84742 HAP 85449 86500 86884 HAP 87683 HAP 87865 88051 HAP 88062 HAP 90040 91087 HAP 91203 HAP 91225 HAP 91941 HAP 92524 HAP 92671 HAP 92875 HAP 92933 RegulationNumber 3 Adopted: October 20, 2011 Peracetic acid 

# c Methyl chloroformate B 1,1 ,2,2-Tetrachloroethane A Dimethyl carbamoyl chloride B 2-Nitropropane A Methyl methac_r:ylate 

# c Warfarin A Diphacinone 

# c Pentachloronitrobenzene A (Quintobenzene) Dibutyl phthalate 

# c Phthalic anhydride B Methyl azinphos A ANTU (alpha-naphthylthiourea) A Hexachlorobutadiene A Pentachlorophenol A Aniline,2,4,6-Trimethyl 

# c 2,4,6-Trichlorophenol A o-Anisidine A 2,6-Toluene diiso9'anate A Naphthalene B Quinoline A 3,3-Dichlorobenzidene A BiQ_henyl 

# c 4-Aminobiphei}YJ A Benzidine (p-Diamino diphenyl) A 4-Nitrobiphenyl 

# c

Page68HAP 94757

HAP 95476 HAP 95487 HAP 95534 HAP 95807 HAP 95954 HAP 96093 HAP 96128 HAP 96457 HAP 98077 HAP 98828 HAP 98862 98873

HAP 98953 99989 HAP 100027 HAP 100414 HAP 100425 HAP 100447

HAP 101144 HAP 101688 HAP 101779 HAP 106423 HAP 106445

Regulation Number 3 Adopted: October20,2011 2,4-D, salts and esters (2,4- A Dichlorophenoxyacetic acid) o-Xylene 

# c o-Cresol B a-Toluidine A 2,4-Toluene diamine B 2,4,5-Trichlorophenol 

# c Styrene oxide 

# c 1,2-Dibromo-3-chloropropane A Ethylene thiourea A Benzotrichloride A Cumene A Acetophenone 

# c Benzal chloride B [(Dichloromethyl)benzene; benzylidenechloride] Nitrobenzene A Dimethyl-p-phenylenediamine 

# c 4-Nitrophenol 

# c Ethyl benzene (Phenylethane) 

# c Styrene 

# c Benzyl chloride, A (Chloromethyl)benzene 4,4-Methylene bis (2-chloroaniline) A Methylene diphenyl diisocyanate_(MDI) A 4,4-Methylenedianiline A p-Xylene 

# c p-Cresol A

Page 69HAP 106467 HAP 106503 HAP 106514 HAP 106887 HAP 106898

HAP 106934

106967 HAP 106990 HAP 107028 HAP 107051 HAP 107062

107073 HAP 107131 107153 107186 HAP 107211 HAP 107302 107448 107493 HAP 108054 HAP 108101

108236 HAP 108316 HAP 108383

Regulation Number3 Adopted: October 20, 2011 1,4-Dichlorobenzene A p-Phenylenediamine 

# c Quinone A 1,2-Epoxybutane A Epichlorohydrin (1-Chloro-2,3- A epoxypropane) Ethylene dibromide (1 ,2- A Dibromoethane) Propargyl bromide 

# c 1,3-8utadiene A Acrolein A Allyl chloride A Ethylene dichloride (1 ,2- A Dichloroethane) Chloroethanol A Acrylonitrile A Ethylene diamine 

# c Allyl alcohol A Ethylene glycol 

# c Chloromethyl methyl ether A Sarin 8 TEPP (Tetraethyldithiopyrophosphate) A Vinyl acetate 

# c Methyl isobutyl ketone (MI8K) 8 _(Hexone) Isopropyl chlorformate 

# c Maleic anhydride 

# c m-Xylene 

# c

Page 70HAP 108394 HAP 108883 HAP 108907 108918 HAP 108952 108985 110009 HAP 110543 110576 110894 HAP 111422 HAP 111444

HAP 114261 115264 HAPs 115286 115297 115902 116063 HAPs 117102 HAP 117817

HAP 118741 119380

HAP 119904 HAP 119937 HAP 120809 Regulation Number3 Adopted: October20, 2011 m-Cresol 8 Toluene 

# c Chlorobenzene A Cyclohexylamine 

# c Phenol 

# c Thiophenol (Phenyl mercaptan) A Furan A Hexane 

# c Trans 1,4-dichlorobutene 8 PiR_eridine 

# c Diethanolamine A Dichloroethyl ether (8is(2- A chloroethyl)ether) Propoxur (8aygon) A Dimefox A Chlorendic acid 8 Endosulfan A Fensulfothion A Aldicarb(Temik) A Chrysazin (Dorbane) 8 8is(2-ethylhexyl) phthalate (DEHP) A (Dioctyl phthalate) Hexachlorobenzene A lsopropylmethylpyrazolyl 

# c dimethylcarbamate (lsolan) 3,3-Dimethoxybenzidine A 3,3'-Dimethyl benzidine A Catechol A

Page 71HAP 120821 HAP 121142 HAP 121448 HAP 121697

122145 HAPs 122601

HAP 122667 HAP 123319 HAP 123386 123739 HAP 123911 126987 HAP 126998 HAP 127184

129066 HAP 131113 131522 HAPs 132274 HAP 132649 HAP 133062 HAP 133904

140761 HAP 140885 141662

Regulation Number 3 Adopted: October20,2011 1,2,4-Trichlorobenzene A 2,4-Dinitrotoluene A Triethylamine A N,N-Diethyl aniline {N,N- A Dimethylaniline) Fenitrothion 

# c Phenyl glyceryl ether (3 phenoxy 1,2 A _pro_panediol) 1,2-Diphenylhydrazine A Hydroquinone 

# c Propionaldehyde 

# c Crotonaldehyde (E) A 1,4-Dioxane (1 ,4-Diethyleneoxide) A Methacrylonitrile A Chloroprene (2-Chloro-1 ,3-butadiene) A Perchloroethylene A (Tetrachloroethylene) Warfarin sodium A Dimethyl phthalate 

# c Sodium pentachlorophenate A 2-Biphenylol sodium salt B Dibenzofurans 

# c Captan A Chloramben (3-amino-2,5-dichloro A benzoic acid) Pyridine, 2-methyl-5-vinyl 

# c Ethyl acrylate A Dicrotophos A

Page 72144490 149746 HAP 151564 152169 HAP 156627 297789 297972

298000 298022 298044 HAP 302012 HAPs 309002 315184 HAP 334883 3590(38 371620 HAP 463581 465736 470906 505602 509148 HAP 510156

HAP 532274 534076 HAP 534521

Regulation Number3 Adopted: October20, 2011 Fluoracetic acid B Dichloromethylphenylsilane 

# c Ethylene imine (Aziridine) A Diphosphoramide, octameth_yl A Calcium**~yanamide** A lsobenzan 

# c Thionazin (0,0-Diethyl-0-(2- 

# c pyrazinyl)phosphorothioate) Parathion-methyl A Phorate A Disulfoton A Hydrazine A Aldrin A Mexacarbate 

# c Diazomethane A Fluoroacetyl chloride 

# c Ethylene fluorohydrin 

# c Carbonyl sulfide 

# c lsodrin A Chlorfenvinfos 

# c Mustard gas (Dichlorodiethyl sulfide) A Tetranitromethane A Chlorobenzilate (ethyl-4,4'- B dichlorobenzilate) 2-Chloroacetophenone A Bis(chloromethyl)ketone 

# c 4,6-Dinitro a-cresol, and salts A

Page 73535897 538078 HAP 540841 541537 HAP 542756 HAP 542881 542905 555771 556616 563122 HAP 584849 HAP 593602 HAPs 615532 HAP 624839 624920 625558 640197 644644 675149 HAP 680319 HAP 684935 732116 786196 814686 HAP 822060 919868

Regulation Number 3 Adopted: October20, 2011 Crimidine 

# c Ethyl bis (2-chloroethyl)amine 

# c 2,2,4-Trimethylpentane 

# c Dithiobiuret 

# c 1,3-Dichloropropene A 8ischloromethtl ether A Ethylthiocyanate 

# c Tris(2-chloroethyl)amine 

# c Methyl isothiocyanate 

# c Ethion A 2,4-Toluene diisocyanate A Vinyl bromide A N-nitroso-N-methylurethane 

# c Methyl isocyanate A Meth_yl disulfide 

# c Isopropyl formate 

# c Fluoroacetamide 

# c Dimetilan 

# c Cyanuric fluoride 

# c Hexamethyjphosphoramide 8 N-nitroso-N-methyJurea 8 Phosmet 8 Carbophenothion 

# c Acrylyl chloride 

# c Hexamethylene-1,6-diisocyanate A Demeton-s-methyl 

# c

Page 74HAPs 924163 944229 947024 950107 950378 991424 HAP 1120714 1122607 1314847 HAP 1319773 HAP 1330207 HAP 1332214 HAP 1336363

1397940 HAPs 1402682 1420071 1464535 1563662 HAP 1582098 HAP 1634044 1642542 HAP 1746016 1910425 1982474 2001958 2032657 Regulation Number 3 Adopted: October20, 2011 N-Nitroso-di-n-butylamine Fonofos Phosfolan Mephosfolan Methidathion Norbormide 1,3-Propane sultone**Nitro~yclohexane** Zincphosphide Cresylic acid/Cresols Xylene (and mixed isomers) Asbestos Polychlorinated biphenyls (PCBs) (Aroclors) Antimycin A Aflatoxins Dinoterb Diepoxybutane Carbofuran Trifluralin MTBE (Methyl tertiary butyl ether) Diethylchlorophosphate 2,3,7,8-TCDD (Dioxin) Paraquat Chloroxuron Valinomycin Methiocarb A A 

# c A A 

# c B 

# c A A 

# c A A



# c A 

# c B A A 

# c B A A 

# c c c

Page 75 

# i I 

# I 

# I 

# I I 

# t f 

# I t i t

# I l2074502 HAPs 2475458 2497076 2524030 2540821 2631370 2642719 HAPs 2646175 2778043 HAP 3547044

3689245 3691358 3734972 3735237 3878191 4098719 4170303 4301502 4835114 5836293 7446119 HAP 7550450 HAPs 7644410 HAP 7647010 HAP 7664393 7664417 Regulation Number 3 Adopted: October20,2011 Paraquat methosulfate A Disperse Blue 1 B Oxydisulfoton 

# c Dimethylphosphorochloridothioate · 

# c Formothion 

# c Promecarb 

# c Ethyl azinphos 

# c Cl Solvent Orange 2 B Endothion 

# c DOE A f_DichlorodiQhenyjdichloroethylene) Sulfotep A Chlorophacinone 

# c Amiton oxalate 

# c Methyl phenkapton 

# c Fuberidazole 

# c lsophorone diisocyanate A Crotonaldehyde A Fluenetil 

# c Hexamethylenediamine, N,N-dibutyl 

# c Coumatetralyl 

# c Sulfurtrioxide 

# c Titanium tetrachloride 

# c 1,4-Dichloro-2-butene A Hydrochloric acid (Hydrogen chloride) A Hydrogen fluoride (Hydrofluoric acid) A Ammonia B

Page 76

### 7664939 7697372 HAP 

### 7723140 7726956 7782414 HAP 

### 7782505 7783064 7786347 HAP 

### 7803512 HAP 

### 8001352 8065483 10265926 10294345 10311849 13071799 13171216 13194484 13494809 16752775 17702577 19287457 20859738 21548323 21609905 21923239 22224926

Regulation Number3 Adopted: October20, 2011 Sulfuric acid Nitric acid Phosphorous Bromine Fluorine Chlorine Hydrogen sulfide Mevinphos Phosphine Toxa(>_heneJCamphechlor) Demeton Methamidophos Boron trichloride Dialifor Terbufos Phosphamidon Ethoprophos (Ethoprop) Tellurium Methomyl Formparanate Diborane Aluminum phosphide Fosthietan Leptophos Chlorthiophos Fenaminophos (Fenamiphos) B A A A 

# c A A A A A A A 

# c c A 

# c c A B 

# c A A 

# c c c A

Page 77 

# I l 1 ! 

# I !

# I i 

# ! I**~** 

# i l r 

# f



# i f**~** 

# I ! 

## f 

# I t 

# ! 

# I k 

# ! I l

# I

!

# I23135220 Oxamyl 

### 8 23422539 Formotanate hydrochloride 

# c 23505411 Pirimifos-ethyl 

# c 24934916 Chlorme_phos 

# c 28347139 Xyly:lene dichloride 

# c 28772567 Bromodiolone 

# c 53558251 Pyriminil 

# c HAPs 60153493 3-(N-Nitrosomethylamine) 

### 8 (Propionitrile) HAPs 64091914 Ketone, 3-pyridyi-3-(N-methyi-N- 

### 8 nitrosoamino) pro_mtl HAPs 108171262 Chlorinated paraffins (C12, 60% 

### 8 chlorine) PARTS CONCERNING CONSTRUCTION PERMITS 

### I. Applicability I.A. The provisions ofthis Part 

### 8 shall apply statewide. All sources that did not commence construction or operation prior to February 1, 1972, are required to have a construction permit except as specified in Section II. 

### II. General Requirements For Construction Permits II.A. General Considerations II.A.1. Except where specifically authorized by the terms ofthis Regulation Number 3, no person shall commence construction ofany stationary source or modification ofa stationary source without first obtaining or having a valid construction permit from the Division. II.A.2. Any permit that has been issued pursuant to a prior regulation ofthe Commission, with respect to a project orthe operation thereof, shall continue in full force and effectforthe purpose forthat itwas originally issued, unless this current regulation no longer requires such permit, in that case the permit can be rescinded upon request ofthe owner or operator ofthe permitted source. II.A.3. Any orders ordecisions ofthe Division shall be final upon issuance, according to Section III.F.3. ofthis Part B. II.A.4. Construction permits for criteria pollutants, GHG and hazardous air pollutants shall be issued based on the production/process rate requested in the Air Pollutant Emission Notice submitted with the permit application or as requested in the application. The emission rate associated with the requested production/process rate shall be a permit condition. For permits to limitthe potential to emit criteria, pollutants, GHG or hazardous Regulation Number3 Adopted: October20, 2011 Page 78air pollutants the Division may modify the production/process rate, hours ofoperation or other requested permit conditions in orderto create state-only orfederally and practically enforceable permit conditions; provided, however, that the applicant may decline to accept such modifications and elect instead to forego limits on its potential to emit or pursues any right ofappeal orother available alternative. Fordetails regarding permits to limit the potential to emit hazardous air pollutants see Regulation Number8, Part E, Section IV. ff.A.5. Construction permits are required for hazardous air pollutants if: ff.A.5.a. The source is subject to Colorado Maximum Achievable Control Technology or GenerallyAvailable Control Technology; or II.A.5.b.The source is subject to Federal National Emission Standards for HazardousAir Pollutants; or ff.A.5.c. The source is subject to Federal Maximum Achievable Control Technology or Generally Available Control Technology standards; or ff.A.5.d. The source is subject to Regulation Number8, PartE, where the more specific requirements of Regulation Number8, Part E, take precedence over requirements in this regulation. ff.A.6. Owners oroperators ofsources that have valid operating permits in accordance with Part C ofthis regulation mayconstruct or modify such source without obtaining a construction permit priorto construction or modification, provided the construction or modification qualifies for a minor permit modification orfor operational flexibility, and the applicable provisions as setforth in Sections X., XI., orXII. of Part Care met. In addition, all applicable requirements that are related to construction permit approval and that are set forth in Sections fff.D.1.a. through fff.D.1.g. ofthis Part 

### 8 remain in effect. II

### .A7. A source that is voluntarily applying for a permit to create state-only orfederally enforceable permit conditions, as appropriate, to.fimit the potential to emit criteria, pollutants, GHG or hazardous air pollutants may request to obtain such limits in a construction permit. II.B. Transfer orAssignment ofOwnership Iftransfer orassignment ofownership oroperation ofan air pollution emission source permitted pursuant to this Part 8 is anticipated, the prospective owner oroperator shalf applyto the Division on Division supplied administrative permit amendment forms for reissuance ofthe existing permit. Section Iff. of Part A ofthis regulation governs the administrative permit amendment procedures required for transfer or assignment ofownership. In accordance with the provisions ofthis section, the permit shalf be reissued upon completion ofthe transfer or assignment ifthe applicant certifies that no change is contemplated that might constitute a new or modified air pollution source. In no event shalf the newowner or operator ofa source that was subject to the requirements ofthese regulations priorto the transfer orassignment be relieved ofthe obligation to comply with such requirements by reason ofa transfer. Such transfers are subject to all applicable permit processing and inspection fees. Ifa company is changing its name only, the owner oroperatorshalf apply to the Division, on Division supplied administrative permit amendmentforms, for reissuance ofthe existing permit. Section Iff. of Part A, governs the administrative permit amendment procedures required for identifying a change in name. If all other procedures and information as stated in the fast submitted Air Pollutant Emission Notice(s) Regulation Number 3 Adopted: October20,2011 Page 79remains unchanged, only one Air Pollutant Emission Notice need be submitted for each stationary source, indicating the name change. No administrative permit amendment fortransfer orassignment of ownership ofa source shall be complete until a written agreement containing a specific date fortransfer of permit, responsibility, coverage and liability between the current and new permittee is received by the Division. II.C. Portable Sources A permitted portable source (e.g., asphalt plants, crushers, etc.) shall have its permit number permanently and prominently displayed on each major component ofequipmentthat is a part ofthat portable source. II.D. Exemption from Construction Permit Requirements None ofthe exemptions listed below in Sections li.D.1. through II.D.4. shall apply ifa source is subjectto PartA of Regulation Number 6 (New Source Performance Standards) and/or Regulation Number 8 (Hazardous Air Pollutants), Parts A,C, D, and 

### E. Permit exemptions taken underthis section do notaffect the applicability ofthe regulations to the source. An applicant may not omit any information regarding APEN or permit exempt emission units in any application ifsuch information is needed to determine the applicability ofTitle V (Part C ofthis Regulation Number 3), Prevention of Significant Deterioration (Section VI. of Part D ofthis Regulation Number 3), or Nonattainment New Source Review (Section V. of Part D ofthis Regulation Number 3). II.D.1. The following sources are exempt because by themselves or cumulatively as a category are deemed to have a negligible impact on air quality: II.D.1.a.Those sources exempted from the filing ofAir Pollutant Emission Notices in Section II.D. of PartA, ofthis regulation. II.D.1.b. Containers, reservoirs, ortanks used exclusively for dipping operations for coating objects with oils, waxes, greases, or natural orsynthetic resins containing no organic solvents. ll.D.1.c. Stationary Internal Combustion Engines that: II.D.1.c.(i) Are P.Qower portable drilling rigs; or II.D.1.c.(ii) Are emergency power generators that operate no more than two hundred and fifty hours per year; or II.D.1.c.(iii) Have uncontrolled actual emissions 

### iA7 II.D.1.c.(iii)(A) Nonattainl"(lent areas of less than five tons per year or manufacturer's site-rated horsepower of less than**fifty~** 11.0.1.c.(iii)(B) Attainment orattainment/maintenance areas ofless than ten tons per yearor manufacturer's site rated horsepower of less than one hundred

. .:. II.D.1.d.The collection, transmission, liquid treatment, and solids treatment processes at domesticwastewater treatmentworks, ortreatmentfacilities thattreat only domestic type wastewater, exceptfor combustion processes.

RegulationNumber3 Adopted: October20, 2011 Page SOII.D.1.e. Each individual piece offuel burning equipment, otherthan smokehouse generators, that uses gaseous fuel, and that has a design rate less than or equal to ten million British thermal units per hour. II.D.1.f. Gasoline stations located in ozone attainment areas, exceptfor stations located in the Denver 1-hourozone attainmenUmaintenance area. II.D.1.g.Surface mining activities that mine seventy thousand tons orfewer of product material peryear. A fugitive dust control plan is required for such sources. Crushers, screens and other processing equipment activities are not included in this exemption. II.D.1.h.Composting piles, however, all odor requirements of Regulation Number2 must be met. II.D.1.i. Commercial and product quality control laboratory equipment. II.D.1.j. Fires and equipment used for noncommercial cooking offood for human consumption and for cooking offood for human consumption at commercial food service establishments. II.D.1.k. Petroleum industry flares, not associated with refineries, combusting natural gas containing no hydrogen sulfide except in trace (less than five hundred parts per million weight) amounts, approved by the Colorado Oil and Gas Conservation commission and having uncontrolled emissions ofany pollutant of less than five tons per year. 11.0.1.1. Crude oil truck loading equipment at exploration and production sites where the loading rate does not exceed 10,000 gallons ofcrude oil per day averaged on an annual basis. Condensate truck loading equipment at exploration and production sites that splash fill less than 6750 barrels ofcondensate per year orthat submerge fill less than 16308 barrels ofcondensate peryear. Crude oil or condensate loading truck equipment at crude oil production sites where the loading rate does not exceed 10,000 gallons per day averaged over any thirtyday period. II.D.1.m. Oil and gas production wastewater impoundments (including produced water tanks), containing less than one percent by volume crude oil on an annual average, with the exception of--fGf-commercial facilities that accept oil and gas production wastewater for processing. II.D.1.n.Crude oil storage tanks with a capacity of40,000 gallons or less. 11.0.2. Facilities located in a nonattainment area for any criteria pollutant for which the area is nonattainment; with total facility uncontrolled actual emissions (potential emissions at actual operating hours) that are less than the following amounts: II.D.2.a.Two tons per year volatile organic compounds. II.D.2.b.One ton per year PM10. II.D.2.c. One ton per year PM2.5. II.D.2.d. Five tons per year total suspended particulate.

Regulation Number3 Adopted: October20, 2011 Page 81II.D.2.e. Five tons per year carbon monoxide. II.D.2.f. Five tons per year sulfur dioxide. II.D.2.g. Five tons per year nitrogen oxides. II.D.2.h.Two hundred pounds peryear lead. For purposes ofcalculating total facility uncontrolled actual emissions, only those individual (or grouped) emission points requiring Air Pollutant Emission Notices are to be considered. 11.0.3. Facilities located in attainment orattainment/maintenance areas for all criteria pollutants with total facility uncontrolled actual emissions less (potential emissions atactual operating hours) than the following amounts: II.D.3.a. Five tons per year volatile organic compounds. II.D.3.b. Five tons per year PM10. II.D.3.c. Five tons peryear PM2.5. II.D.3.d.Ten tons per year total suspended particulate. II.D.3.e.Ten tons per year carbon monoxide. II.D.3.f. Ten tons per year sulfurdioxide. II.D.3.g.Ten tons per year nitrogen oxides. II.D.3.h.Two hundred pounds per year lead. For purposes ofcalculating total facility uncontrolled actual emissions, only those individual (or grouped) emission points requiring Air Pollutant Emission Notices are to be considered. 11.0.4. Facilities that emit any other criteria pollutant that is not listed in Sections 11.0.2. and 11.0.3., above (fluorides, sulfuric acid mist, hydrogen sulfide, total reduced sulfur, reduced sulfurcompounds, and municipal waste combustor emissions), with total facility uncontrolled actual emissions ofsuch pollutants that are less than two tons peryear. 11.0.5. When a facility thatwas previously exemptfrom permit requirements exceeds one ofthe permit de minimis levels stated in Sections 11.0.2. through 11.0.4., above, due to the addition of new emission points, the Division will issue either a facility-wide permit for all non-grandfathered emission units above Air Pollutant Emission Notice de minimis levels, or individual emission permits for those emission units. 11.0.6. All incinerators require a permit as stated in Regulation Number1, Section 111.8.1. 11.0.7. Oil and gas exploration and production operations that are addressed under Section 11.0.1.111. ofthis Regulation Number 3, Part A, and that are required to obtain a construction permit, are not required to file an application for a construction permit until they are required to file an Air Pollutant Emission Notice, as setforth in Section 11.0.1.111. The application shall include a list ofall applicable requirements, and howthe requirements will be met until a construction permit is issued.

Regulation Number 3 Adopted: October 20, 2011 Page82II.D.8. Any person may request the Division to add source categories to the permit exemption list, in accordance with the procedures setforth in Section II.D.4. of PartA ofthis regulation. II.D.9. Sources with a valid operating permit are not required to obtain a construction permit prior to commencing construction or modification, as setforth in Section II.A.6. ofthis Part B. 

### Ill. Construction Permit Review Procedures III.A. Option for Pre Application Meeting Priorto submitting an application for a permit, an applicant may request and, ifso requested, the Division shall grant, a pre-application meeting with the applicant. At such meeting, the Division shall advise the applicant ofthe applicable permit requirements, including the information, plans, specifications and the data required to be furnished with the permit application. Ill.B. Application for a Construction Permit 111.8.1. An application for a Construction Permit shall be prepared on forms currently supplied by the Division. 111.8.2. Applications for Construction Permits, and modifications to Construction Permits, must include an Air Pollutant Emission Notice. 111.8.3. Applications shall be signed by a person legally authorized to acton behalfofthe applicant. The applicant shall furnish all information and data required by the Division to evaluate the permit application and to make its preliminary analysis in accordance with Section 111.8.5. ofthis part. 111.8.4. An application for a Construction Permit will not be deemed to be complete until all information and data required to evaluate the application have been submitted to the Division. Within sixty calendar days after the receipt ofan application orany supplemental information timely requested by the Division, the Division will give notice to the applicant ifand in what respect the application is incomplete. Ifthe Division fails to notify an applicant that the application is incomplete within sixty calendar days of receipt ofthe original application or receipt ofthe requested supplemental information, the application shall be deemed to have been complete as ofthe day of receipt by the Division ofthe application orthe last submitted supplemental information, whichever is later. 111.8.5. Exceptfor applications for sources subject to the requirements of Section VI. of Part D of this regulation (Prevention of Significant Deterioration), the Division shall prepare its preliminary analysis within sixty calendar days after receipt ofa complete permit application. The preliminary analysis allows the Division to determinewhether the new source will, at date ofcommencement ofoperation, comply with: 111.8.5.a. All applicable emission control regulations, 111.8.5.b. Applicable regulations forthe control of hazardous pollutants, III.B.5.c. Requirements ofthe nonattainment and attainment programs (Sections

Regulation Number 3 Adopted: October20,2011 V. and VI. of Part D), and

Page83

### III.B.S.d. Any applicable ambient air quality standards and all applicable regulations. The preliminary analysis shall indicate what impact, ifany, the new source will have (as ofthe projected date ofcommencement ofoperation) on all areas (attainment, attainmenUmaintenance, nonattainment, unclassifiable), within the probable area of influence ofthe proposed source. Ifso requested on the permit application form, a copy ofthis preliminary analysis shall be forwarded to the applicant postmarked no laterthan fifteen calendar days afterthe completion ofthe preliminary analysis. When the preliminary analysis includes modeling, the model used shall be an appropriate one given the topography, meteorology and other characteristics ofthe region that the source will impact. Use ofany non-guideline model requires U.S. EPA approval under Section VIII.A. of Part A ofthis regulation. Ill.C. Public Comment and Hearing Requirements III.C.1. The following sources, unless exempted in Section III.C.2., below, are subject to public comment: III.C.1.a. Sources with projected controlled annual emissions ofany pollutantfor which an ambient air quality standard has been designated, where such emissions will be greaterthan twenty five tons per year ifthe source is located in a nonattainment area, fifty tons per year ifthe source is located in an attainment area, or two hundred pounds per year of lead (for any area ofthe state). III.C.1.b. Sources forwhich preliminary analysis indicates a possible violation of

III.C.1.c.Commission Regulation Number2 (odor emissions). For hazardous air pollutants if: III.C.1.c.(i) The source is subject to Federal National Emission Standards for Hazardous Air Pollutants, III.C.1.c.(ii) The source is subject to Federal orColorado Maximum Achievable Control Technology or Generally Available Control Technology standards, or III.C.1.c.(iii) The source is voluntarily applying for permit conditions to limit the source's potential to emit hazardous air pollutants. III.C.1.d. Sources subject to Sections V. orVI. of Part D ofthis regulation that are attempting to obtain a federally enforceable limit on the potential to emit ofthe source in order to avoid other requirements. III.C.1.e. Sources submitting an application for a BART determination or BART alternative pursuant to Regulation Number 3, Part F. III.C.2. The following sources are generally not required to be subject to public comment, unless the Division determines that public comment is warranted pursuant to Section III.C.3. below: III.C.2.a. Sources ofsix months duration or less, exceptthat public comment shall

Regulation Number 3 Adopted: October 20,2011 

### be required for all major sources of hazardous pollutants without regard to the duration ofthe operation ofsuch source unless specifically exempted below.

Page84

### III.C.2.b. Demolition projects, even ifasbestos materials are present, provided that all the requirements of Regulation Number 8 are followed for any and all materials suspected ofcontaining asbestos. III.C.2.c. Construction or modification ofsources in accordance with the minor modification and operational flexibility provisions of Sections X., XI., and XII. of Part C ofthis regulation are subject to the public participation requirements of Part C. III.C.3. Sources for which a permit is required, but for which public comment is not required by Sections III.C.1., III.C.2.a., or III.C.2.b., above, are exemptfrom public comment requirements unless the Division determines that public comment is warranted. In making such determinations, the Division shall take into consideration the duration ofthe operation, its location, the nature and projected amount ofemissions, anticipated public concern, and other relevant factors. III.C.4. When public comment is required by Section III.C.1., orwhen the Division determines, pursuant to Section III.C.3., that an application warrants public comment, the Division shall, within fifteen calendar days after the preparation ofthe preliminary analysis, cause public notice ofthe application to be published in a newspaper ofgeneral distribution in the area in which the proposed project or activity is orwill be located, and by such other means necessary to assure notice to the affected public, that may include posting ofsuch notice on the publicly accessible portion ofthe Division's web site, and cause a copy of the application, the preliminary analysis and the draft permit to be filed with the county clerk for each county in which the source is, orwill be located. The Division shall send written orelectronic notice to persons requesting notice of permit applications for the type ofsource orgeographic area. For sources applying for a permit to limit the potential to emit criteria pollutants orfederal hazardous air pollutants, the Division shall send a copy ofthe public notice and the draft permit to the U.S. EPA Administrator for comment. The Division shall also send a copy ofthe final permit approval to the U.S. EPAAdministrator for comment. The newspaper notice and the Division's web site notice shall contain all of the following information in Sections III.C.4.a. through III.C.4.e., below: III.C.4.a. The location and nature ofthe proposed project or activity for which a construction permit application has been filed. III.C.4.b. The locations where the application and preliminary analysis are available for public inspection. III.C.4.c. That comments concerning the ability ofthe proposed project oractivity to comply with the applicable standards and regulations ofthe Commission are solicited from any interested person. III.C.4.d. That the Division will receive and consider public comments for thirty calendar days after such publication. III.C.4.e. The Division's preliminary determination ofapproval, conditional approval, or disapproval ofthe application. III.D. Construction Permit Review Requirements III.D.1. Requirements applicable to all construction permit applications (except that processing timeframes ofcombined construction/operating applications shall be as set forth in Part C, Section IV., ofthis Regulation Number 3). Within thirty calendar days following the completion ofthe Division's preliminary analysis for applications not subject to the public Regulation Number 3 Adopted: October 20, 2011 Page 85

### comment, within thirty calendar days following the period for public comment for applications subject to public comment, or ifa public comment hearing is held, within thirty calendar days following such hearing, the Division shall grant the permit if it finds that: III.D.1.a. The proposed source or activity will meet all applicable emission control regulations and regulations for the control of hazardous air pollutants; III.D.1.b. As applicable, the proposed source or activity will meet the requirements ofthe attainment program as outlined in Section V. of Part D ofthis regulation, if any; III.D.1.c. The proposed source or activity will not cause an exceedance ofany National Ambient Air Quality Standards; III.D.1.d. The source or activity will meet any applicable ambient air quality standards and all applicable regulations; III.D.1.e. As applicable, the proposed source or modification will meet the requirements ofthe prevention ofsignificant deterioration program ofSection VI. of Part D ofthis regulation. [Provided however, that the Division shall not deny a permit for failure ofthe proposed source to meet any applicable requirement ofthe state implementation plan where (1) there is pending an application for a revision to the state implementation plan pursuant to Colorado Revised Statute, Section 25-7-305 (Alternative Emission Reduction) that, if adopted, would require the Division to grant the permit and (2) the applicant waives the time constraints on the Division to act on its application until the Commission has issued its final decision on the request for a state implementation plan revision and the U.S. EPA has acted on the proposed revision to the state implementation plan. In such circumstances, the Division shall delay its decision on the permit application until after final action on the request for revision ofthe state implementation plan (including action by the U.S. EPA)]; III.D.1.f.The fees required in Section VI. of PartA ofthis regulation have been paid; III.D.1.g. Permit approval shall not relieve any owner or operator ofthe responsibility to comply fully with applicable provisions ofthe state implementation plan and any other requirements under local, state, orfederal law. III.D.2. RACT Requirements for new or modified Minor Sources (including new or modified minor emissions units at major stationary sources) ofvolatile organic compounds, carbon monoxide, nitrogen oxides, sulfur dioxide, and PM10 in nonattainment and attainment/maintenance areas: III.D.2.a. Minor sources in designated nonattainment or attainment/maintenance areas that are otherwise not exempt pursuant to Section II.D. ofthis Part, shall apply Reasonably Available Control Technology for the pollutants for which the area is nonattainment or attainment/maintenance. III.D.2.b. In the Denver Metropolitan PM10attainment/maintenance area, for any

Regulation Number3 Adopted: October20, 2011 

### new minor source with a potential to emit forty tons per year or more of nitrogen oxides or sulfur dioxide, or a modification ofan existing minor source with a net

Page 86emissions increase offorty tons peryear or more of nitrogen oxides or sulfur dioxide, the source will install Reasonably Available Control Technology. Ill.E. PermitTerms and Conditions The Division shall include such terms and conditions in any permit as it deems necessary for the proposed project or activity to qualify for the permit. Ill.F. Denial or Revocation ofthe Construction Permit III.F.1. Ifthe Division determines that a source cannot comply with the provisions of Part B, Section Ill.D., ofthis regulation, the Division shall issue its written denial ofthe permit application stating the reasons for such denial. Any Division denial ofa permit shall become final upon mailing ofthe denial notice to the applicant by certified mail. The applicant may appeal the Division's final denial ofa permit as provided in Section III.F.3., below. III.F.2. Any applicant for a construction permit shall advise the Division in writing ofany refusal to accept any permit condition imposed by the Division within twenty calendar days after receipt ofthe permit. Such refusal shall be deemed a denial ofthe permit application. III.F.3. Ifthe Division denies a permit, imposes conditions upon a permitthat are contested by the applicant, revokes a permit, or requires a permitfrom a source that may qualifyfor an exemption, the applicant or owner or operator ofa source may request a hearing before the Commission for review ofthe Division's action. The request for a hearing must be filed with the Commission within thirty days afterthe issuance ofthe permit, denial or revocation. The hearing shall be heard in accordance with the provisions of Section 1.6.0. ofthe Commission's procedural rules, Colorado Revised Statute Sections 25-7- 114.5(8), and 25-7-119, (Colorado Air Pollution Prevention and Control Act) and Section 24-4-105, (State Administrative Procedure Act). III.F.4. Initial Approval Expiration III.F.4.a. An initially approved permit shall expire ifthe owner oroperator ofthe source forwhich the permitwas issued: (i) does not commence construction or operation ofthe source within eighteen months after eitherthe date of issuance ofthe permit orthe date on which such construction oractivity was scheduled to commence as setforth in the permit, whichever is later; (ii) discontinues construction for a period ofeighteen months or more; or (iii) does not complete construction within a reasonable time ofthe estimated completion date. III.F.4.b. Upon a showing of good cause by the permittee, the Division may grant extensions ofthe permit notto exceed eighteen months per extension. Construction or operation shall commence or be resumed within a reasonable period oftime from the granting ofthe extension. In determining what constitutes good cause or a reasonable period oftime, the Division shall considerthe degree ofconstruction already completed, the amount invested or legally committed to the project, whether an extension would prevent (e.g., through reservation ofa Prevention Significant Deterioration increment) economic development in the affected area, general economic conditions, the health ofthe community as it affects the ability ofthe permittee to proceed, and other relevant factors. The Division shall notify the Commission ofany requested extensions and the reason given for each request. Ill.G. Final Permit Approval Regulation Number 3 Adopted: October20, 2011 Page 87

### III.G.1. Unless prior and mutually acceptable arrangements have been made, the applicant shall not commence the operation ofa stationary source for which a construction permit has been issued or reinstated without giving give notice to the Division, within**~fifteen** 

### calendar days (fifteen calendar days for portable sources) priorafter-te-_the date on which commencement ofoperation wi-ll-take.§ place. III.G.2. Within 180 calendar days after commencement ofoperation, the source shall demonstrate to the Division compliance with the terms and conditions ofthe initial approval construction permit. The Division may inspect the source to determine whether or not the operating·terms and conditions ofthe initial approval construction permit have been satisfied. Atthe end of 180 days, the Division must revoke the construction permit; or, continue the construction permit if applicable; or, notify the owner or operator that the source has demonstrated compliance with the construction permit. III.G.3. Before final approval ofthe permit is granted, the Division may require the applicant to conduct and pay for performance tests in accordance with methods approved by the Division. A test protocol shall be submitted to the Division for review and approval at least thirty days priorto testing. The Division may monitor such tests and may, at its expense, conduct its own performance tests. III.G.4. For sources that submit an application for an operating permit pursuant to Part C ofthis Regulation Number 3, including any application for a permit modification or permit renewal, prior to issuance ofa final approval construction permit, upon demonstration by the source ofcompliance with all terms and conditions ofthe construction permit or a satisfactory final approval inspection, as required pursuant to this Section III.G., the Division may elect to either issue a final approval construction permit orallow the initial approval construction permit to continue in full force and effect. The Division shall provide written notice to the permittee of its election. III.G.5. Ifthe Division determines that the terms and conditions ofthe permit have been satisfied, the Division shall issue in writing its final permit approval to the applicant, orshall incorporate the terms and conditions into an operating permit issued in accordance with Part C ofthis regulation. Otherwise, the Division shall revoke the permit. III.G.6. Final approval may be issued at the same time as initial approval for temporary sources ofduration ofone month or less. III.G.7. Prior to issuance offinal approval, the applicant shall furnish: III.G.7.a. An operating and maintenance plan for all control equipment and control practices; and III.G.7.b. A proposed record keeping format for demonstrating compliance on an ongoing basis. Ill.H. Permit Cancellation Whenever an owner or operatorwishes to cancel a permit, the owner or operator shall notify the Division, using forms provided by the Division. 111.1. General Construction Permits 111.1.1. The Division may issue a general construction permit covering numerous similar sources to a source that would otherwise be required to obtain a construction permit pursuant to this Part B. Any general construction permit shall comply with all applicable Regulation Number3 Adopted: October20, 2011 Page 88requirements, including notice and opportunity for public participation where warranted for such sources. The Division may issue a general construction permit in accordance with one or more ofthe following considerations: 111.1.1.a. The control equipment utilized by the sources; 111.1.1.b. The design characteristics ofthe sources; 111.1.1.c. The operational variability ofthe sources; 111.1.1.d. The location ofthe sources. 111.1.2. A source shall not perform any ofthe following without first obtaining a valid general construction permit from the Division pursuant to this provision, ora valid construction permit as otherwise required pursuant to Section Ill. ofthis Part B: 111.1.2.a. Commence construction or modify any building, facility, structure, or installation; 111.1.2.b. Install any machine, equipment, orother device; 111.1.2.c. Commence the conduct ofany such activity; 111.1.2.d. Commence performance ofany combinations thereof; or 111.1.2.e. Commence operations ofany ofthe same thatwill ordo constitute a new stationary source. 111.1.3. Administration 111.1.3.a. General construction permits may be issued, modified, revoked and reissued, or terminated in accordance with the provisions ofthis regulation. 111.1.3.b. Sources shall submit applications to be covered underthe general construction permit on forms provided by the Division. 111.1.3.c. Individual Permit Requirements

Regulation Number 3 Adopted: October20, 2011 111.1.3.c.(i) The Division may require any source authorized by a general construction permit to apply for and obtain an individual permit. Cases where an individual permit may be required include, but are not limited to, the following: 111.1.3.c.(i)(A) A change has occurred in the availability of control technology or practices forthe control orabatement ofair pollutants applicable to the source; or 111.1.3.c.(i)(B) Circumstances have changed since the time ofthe request to be covered so that the source is no longer appropriately controlled under the general construction permit. 111.1.3.c.(ii) Any source authorized by a general construction permit may request to be excluded from the coverage ofthe general construction permit by applying for an individual permit, as provided for underthis regulation, Parts A and B.

Page 89111.1.3.c.(iii) When the Division issues an individual permit to a source otherwise subject to a general construction permit, the applicability ofthe general construction permit to the individual permittee is automatically terminated on the effective date ofthe individual permit. 111.1.3.c.(iv) A source excluded from a general construction permit solely because it already has an individual permit may request that the individual permit be revoked, and that it be covered by the general construction permit. Upon revocation ofthe individual permit, the general construction permit shall apply to the source. 111.1.3.c.(v) In determining whether an individual permit is required, the Division may considerthe compliance history and current compliance status ofthe source. 111.1.4. The Division shall review the application and certify or deny the request based on criteria specified in the general construction permit established by the Division forthat type of source. 111.1.5. General construction permits shall include conditions necessary to ensure the sources will meet all applicable requirements. 111.1.6. General construction permits issued by the Division may include the following requirements, as appropriate and as specified in each permit: 111.1.6.a. An operating and maintenance plan for all control equipment and control practices; 111.1.6.b. A record keeping format for demonstrating compliance; 111.1.6.c. Monitoring methods to assure compliance; and 111.1.6.d. Alternative operating scenarios that include specific monitoring, record keeping, and reporting methods thatwill assure compliance with the permit conditions. 111.1.7. All general construction permits shall undergo statewide public notice. Ifa source wants to be covered under a general construction permit, the source must apply within the time period specified in the public notice. 

### PARTC CONCERNING OPERATING PERMITS 

### I. Applicability The provisions ofthis Regulation Number 3, Part C shall apply statewide to all sources ofair pollutants that are required to obtain an operating permit as specified in Section II. The provisions ofthis Part C shall also apply, except as otherwise provided herein, to those minor sources ofair pollutants that voluntarily choose to obtain an operating permit. I.A. DEFINITIONS I.A.1. Affected Source (acid deposition program) A source ofair pollutants that includes one or more fossil fuel fired combustion devices subject to emission reduction requirements or limitations underTitle IVofthe Federal Act, Code of Federal Regulations Title 40, Part 72, or underthe state Act. Regulation Number 3 Adopted: October20, 2011 Page 90

### I.A.2. Minor Permit Modification Any revisions to an operating permit issued by the Division that meets the criteria of Sections X. orXI. ofthis Part C. I.A.3. Permit Modification Any revision to an operating permit issued by the Division that cannot be accomplished under the administrative permit amendment procedures set forth in Section Ill. of PartA ofthis regulation, orthe minor permit modification procedures setforth in Sections X. orXI. ofthis Part C. A permit modification for purposes ofthe acid rain portion ofa permit shall be governed by regulations promulgated underTitle IV ofthe Federal Act, found at Code of Federal Regulations, Title 40, Part 72. I.A.4. Permit Shield Where a source operates in compliance with all operating permit terms and conditions, the source shall be deemed in compliance with the state and Federal Acts where the permit includes all applicable requirements ofsuch acts, specifically states that other identified provisions are not applicable, and states that the permit shield applies. The permit shield does not apply to terms and conditions that become applicable to the source subsequent to permit issuance. The permit shield shall not alteroraffect the provisions ofColorado Revised Statutes Sections 25-7-112 or 25-7-113, Section 303 ofthe Federal Act, the applicable requirements ofthe acid rain program, consistent with Section 408(a) ofthe Federal Act, or the ability ofthe Administratorto obtain information from a source pursuant to Section 114 ofthe Federal Act; nor shall the permit shield affect the liability ofan owner oroperator ofa source for any violation ofapplicable requirements priorto orat the time of permit issuance. I.A.5. Renewal ofan Operating Permit The process by which a permit is reissued atthe end of its term. I.A.6. Section 502(b)(10) Changes Changes that contravene an express permit term. Such changes do not violate applicable requirements or contravene federally enforceable permit terms and conditions that are monitoring (including test methods), record keeping, reporting, or compliance certification requirements. I.A.7. Significant Permit Modification All operating permit modifications that do not qualify as minor permit modifications oras administrative permit amendments. At a minimum, a significant permit modification shall include: I.A.7.a. Any change that causes a significant increase in the rate ofemissions as described by any permit term orcondition; I.A.7.b. Any change that is considered a modification underTitle I ofthe Federal Act; I.A.7.c. Any change that requires orchanges a case-by-case determination ofan emission limitation orother standard; I.A.7.d. Any change that requires orchanges a source specific determination for temporary sources ofambient impacts; I.A.7.e. Any change that requires orchanges a visibility or increment analysis; Regulation Number 3 Adopted: October 20, 2011 Page91

### I.A.7.f. Every significant change in existing monitoring permit terms orconditions; and I.A.7.g. Every relaxation of reporting or record keeping permit terms orconditions. I.A.7.h. Every change that seeks to establish orchange 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 terms and conditions include: I.A.7.h.(i) A federally enforceable emissions cap assumed to avoid classification as a modification under any provision ofTitle I ofthe Federal Act; and I.A.7.h.(ii) An alternative emissions limit approved pursuant to regulations promulgated under Section 112(i)(5) ofthe Federal Act I.A. 7.i. The establishmentof

### a Plant-wide ApplicabilityLimitation (PAL) in accordance with Section XVII. ofPartD ofthis regulation. 

### 4!.A.7.j. All significant permit modifications shall be processed using the procedures set forth in Part C of Regulation Number 3 for combined Construction\Operating Permit issuance. Such source may choose to obtain a construction permit pursuant to Part B and shall subsequently meetthe operating permit requirements of Part C. 

### II. General Requirements for Operating Permits 

### II.A. General Considerations II.A.1. Exceptwhere specifically authorized by the terms ofthis Regulation Number 3, Part C, no person shall operate any ofthe following sources without first obtaining an operating permit in accordance with the provisions ofthis regulation. II.A.1.a.Any affected source; II.A.1.b.Any major source; with the exception ofthose sources thatwould be major based only on total suspended particulates emissions II.A.1.c. Any source required to have a permit pursuant to the prevention ofsignificant deterioration program of Part C, Title I, ofthe Federal Act; II.A.1.d.Any source required to have a permit pursuant to the program for the attainment and maintenance of national ambient air quality standards or Part D ofTitle I of the Federal Act; and II.A.1.e.Any solid waste incineration unit that is a distinct operating unit ofany facility that combusts any solid waste material from commercial or industrial establishments or the general public (including single residences, hotels, and motels). Such term does not include: (1) incinerators orother units required to have a permit under United States Code Title, 42, Section 6925 ofthe Solid Waste Disposal Act; (2) materials recovery facilities (including primary or secondary smelters) which combust waste for the primary purpose of recovering metals; (3) qualifying small power production facilities, as defined in United States Code Title 16, Section 769(17){C), orqualifying cogeneration facilities, as defined in United States Code Title 16, Section 796(18)(8), ofthe Federal PowerAct, that burn Regulation Number 3 Adopted: October 20,2011 Page92homogenous waste for the production ofelectric energy or in the case of qualifying cogeneration facilities that burn homogeneouswaste forthe production ofelectric energy and steam orforms of useful energy (such as heat) that are used for industrial, commercial, heating, orcooling purposes; or (4) aircurtain incinerators provided that such incinerators only burn wood wastes, yard wastes and clean lumberand that such air curtain incinerators comply with any applicable opacity limitations. Operating permits for solid waste incineration units shall be obtained within thirty-six months of promulgation ofa newsource performance standard applicable to such units, or by November 15, 1994, whichever is later. II.A.1.f. Any source designated by the Administrator and the Commission as requiring an operating permit. II.A.1.g.A source is not required to obtain an operating permit solely because it is subject to regulation or requirements pursuant to Section 112(r) ofthe Federal Act. II.A.2. Any construction permit that has been issued pursuant to Regulation Number3, Part B, with respect to a source that is subject to the operating permit requirements ofthis Part C, shall continue in full force and effect until such time as the operating permit is issued for such source, ifthe source has filed a timely and complete operating permit application. Ifa complete operating permit application has been timely filed with the Division by the source in accordance with the provisions of Section Ill., below, the source will not be subject to an enforcement action for operating the source without an operating permit. No source subject to an operating permit may operate afterthe time it is required to file a timely and complete application except in compliance with a previously issued operating permit and as set forth in Section II.B., below. A previously issued construction permit shall not constitute a defense for operating a source in violation ofthe requirement to have an operating permit.

. II.A.3. Any orders ordecisions ofthe Division shall be final upon issuance. II.B. Application Shield A timely and complete application for an operating permit underthe provisions ofthis Part C shall operate as a defense to an enforcement action forthe source's failure to have an operating permit until the Division orthe Commission makes a final determination on the permit application. This defense to an enforcement action shall not apply if, subsequent to the completeness determination required by Section IV.B.1. ofthis Part C, the applicant fails to submit by the deadline specified in writing by the Division any additional information identified as necessary to process the application, orto otherwise supplement its application in accordance with the provisions of Sections IV.B.3. and IV.B.4. ofthis Part C. This defense to an enforcement action shall not be available to an applicant that files a fraudulent application. Permit expiration terminates the source's right to operate unless a timely and complete renewal application has been submitted to the Division. II.C. Transfer orassignment ofownership Iftransfer orassignment ofownership or operation ofan air pollution emission source permitted pursuant to the operating permit requirements ofthis Part C of Regulation Number 3 is anticipated, the prospective owner oroperator shall apply to the Division, on Division supplied administrative permit amendment forms, for reissuance ofthe existing permit. PartA, Section Ill. governs the administrative permit amendment procedures required for transfer orassignment ofownership ofa source subject to the operating permit requirements. No administrative permit amendment shall be complete until a written agreement containing a specific date fortransfer of permit, responsibility, coverage, and liability between the current and new permittee has been submitted to the Division. Regulation Number 3 Adopted: October 20, 2011 Page93II.D. Portable Sources A portable source that conducts the same orsimilartype activity at multiple temporary locations throughoutthe state may be issued a single operating permit underthis Part C, provided that the operation involves at least one change in location ofthe source during the five year permit term. Portable sources must notify the Division at leastten days in advance ofeach change in location. The owner or operator ofa portable source must demonstrate that all applicable requirements will be met at all locations atwhich the source will operate before an operating permit authorizing operations atthe multiple locations will be issued. Sources subject to the acid rain provisions ofTitle IVofthe Federal Act shall not constitute portable sources. II.E. InsignificantActivities and Exemptions from Operating Permit Requirements Sources that are otherwise required to obtain an operating permit are not required to include insignificant activities from the following list in their operating permit applications, except as otherwise provided below. None ofthe exemptions listed below, including emission de minimis levels, shall apply if by taking such exemption a source would avoid any specific federal or state applicable requirement, including, but not limited to, New Source Performance Standards, Regulation Number7, Prevention ofSignificant Deterioration (Section VI., Part D ofthis Regulation Number 3), nonattainment New Source Review requirements (Section V. Part D ofthis Regulation Number3), Title Ill, National Emission Standards for Hazardous Air Pollutants, Title V, and Colorado Maximum Achievable Control Technology or Generally Available Control Technology. (Ifthe potential to emit, taking into account full design rate and continuous operation, triggers Prevention of Significant Deterioration or New Source Review requirements, the source must submit an Air Pollutant Emission Notice and apply for the appropriate permit, or must apply for a permit to limit**~he** physical oroperational capacity ofthe source such that the source is not considered to be a major source as defined in Section 1.8.25. of PartA ofthis regulation.). Sources otherwise required to obtain an operating permit are required to include a list of insignificant activities in their permit applications ifthe insignificant activities are listed in Sections II.E.1. and II.E.2., or marked with an asterisk in Section II.E.3. The asterisk denotes an insignificant activity source category based on the size ofthe activity, emissions levels from the activity orthe production rate ofthe activity. The owner oroperator of individual emission points marked with an asterisk in Section II.E.3., below, must maintain sufficient record keeping verifying that the exemption applies. Such records shall be made available for Division review upon request. The following sources are exemptfrom the requirement to obtain an operating permit pursuant to this Part C: II.E.1. Sources subjectto regulation or requirements pertaining to standards of performance for new residential wood heaters pursuant to Regulation Number 6; or II.E.2. Sources subject to regulation or requirements pertaining to national emissions standards for hazardous air pollutants for asbestos in the course ofdemolition and renovation pursuant to Regulation Number8. II.E.3. Certain categories ofsources and activities which are considered to be insignificant contributors to air pollution as listed below. A source solely comprised ofone or more of these activities are not required to obtain an operating permit pursuantto this regulation, unless the source's emissions trigger the major source threshold as defined in Section 1.8.25. of PartA ofthis Regulation Number3 (definition of major source): II.E.3.a. *Individual emission points in nonattainment areas having uncontrolled actual emissions ofany criteria pollutant (as defined in Section 1.8.17. of Part A ofthis Regulation Number 3) of less than one ton peryear, and individual emission Regulation Number 3 Adopted: October20, 2011 Page94

### points in attainment orattainment/maintenance areas having uncontrolled actual emissions ofany criteria pollutant of less than two tons per year, and each individual emission point with uncontrolled actual emissions of lead less than one hundred pounds per year, regardless ofwhere the source is located. II.E.3.b.lndividual emission points of non criteria reportable pollutants having uncontrolled actual emissions less than the de minimis levels as determined following the procedures set forth in Appendix 

### A. II.E.3.c. Air conditioning orventilating systems not designed to remove air pollutants generated by or released from other processes orequipment. II.E.3.d. Fireplaces used for recreational purposes, inside oroutside. II.E.3.e. Fires and equipment used for noncommercial cooking offood for human consumption, orcooking offood for human consumption at commercial food service establishments, except for char broilers and wood fired equipment (but not including campfires) in PM10 nonattainment areas. Charbroiler shall mean a cooking device in a commercial food service establishment, either gas fired or using charcoal orother fuel, upon which grease drips down upon an open flame, charcoal orembers. II.E.3.f. Flares used to indicate dangerto the public. II.E.3.g.Agriculture operations such as farming, cultivating and harvesting, seasonal crop drying, grain handling operations that are below New Source Performance Standards de minimis levels (including milling and grain elevatoroperations), and animal feeding operations that are not housed commercial swine feeding facilities as defined in Regulation Number2, Part B. This exemption does not apply to an agricultural operation that: (1) is a major source (Regulation Number 3, Part A, Section 1.8.25.); (2) meets orexceeds the storage capacity thresholds ofa federal New Source Performance Standards (Regulation Number6, Part A); or (3) participates in the early reduction program ofthe Federal Act, Section 112. Ancillary operations such as fueling stations located at farms or ranches are not exempt from Air Pollutant Emission Notice and permit requirements unless otherwise below the de minimis emission levels contained in this regulation, and are not exempt from other applicable regulations promulgated by the Commission. II.E.3.h. Emissions from, orconstruction, or alteration of residential structures, including all buildings orother structures used primarily as a place of residence, and including home heating devices. II.E.3.i. Research laboratories

Regulation Number 3 Adopted: October20, 2011 

### II.E.3.i.(i) Noncommercial (in house) experimental and analytical laboratory equipment that is bench scale in nature including quality control/quality assurance laboratories, process support laboratories, environmental laboratories supporting a manufacturing or industrial facility, and research and development laboratories. II.E.3.i.(ii) *Research and development activities that are ofa small pilot scale and that process less than ten thousand pounds oftest material per year;

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### II.E.3.i.(iii) *Small pilot scale research and development projects less than six months in duration with controlled actual emissions less than five hundred pounds ofany criteria pollutant orten pounds ofany non criteria reportable pollutant. II.E.3.j. *Disturbance ofsurface areas for purposes of land development, that do not exceed twenty-five contiguous acres and that do not exceed six months in duration. (This does not include mining operations or disturbance of contaminated soil). II.E.3.k. *Each individual piece offuel burning equipment, other than smokehouse generators and internal combustion engines, that uses gaseous fuel, and that has a design rate less than orequal to five million British thermal units per hour. (See definition offuel burning equipment in the Common Provisions Regulation). II.E.3.1. Internal combustion engines powering portable drilling rigs. II.E.3.m. *Petroleum industry flares, not associated with refineries, combusting natural gas containing no hydrogen sulfide except in trace amounts (less than five hundred parts per million weight), approved by the Colorado Oil and Gas Conservation Commission and having uncontrolled emissions ofany pollutant of less than five tons per year. II.E.3.n. *Chemical storage tanks orcontainers that hold less than five hundred gallons, that have an annual average throughput less than twenty-five gallons per day, and are not associated with either oil and gas production wastewater or commercial facilities that accept oil production wastewaterfor processing. II.E.3.o. Unpaved public and private roadways, except for haul roads located within a stationary source site boundary. II.E.3.p. Sanding ofstreets and roads to abate traffic hazards caused by ice and snow. II.E.3.q. Open burning activities, exceptthat all reporting and permitting requirements that apply to such operations must be followed (see Regulation Number 9). II.E.3.r. Brazing, soldering, orwelding operations that use lead based compounds. All welding that occurs strictly for maintenance purposes is exempt. II.E.3.s. Street and parking lot striping. II.E.3.t. Battery recharging areas. II.E.3.u.Aerosol can usage. II.E.3.v. Sawing operations that are ancillary to facility operations and are not part ofthe production process. II.E.3.w. The process ofdemolition andre-bricking offurnaces and kilns. This does not include subsequent operation ofsuch furnaces or kilns. II.E.3.x. Road and lot paving operations at commercial and industrial facilities, except that asphalt and cement batch plants require Air Pollutant Emission Notices and permits, unless exempt under some other section.

Regulation Number 3 Adopted: October20, 2011 Page 96

### II.E.3.y. Adhesive use that is not related to production. II.E.3.z. _Fire training activities. II.E.3.aa._--Caulking operations that are not part ofa production process. II.E.3.bb_.--*Landscaping and site housekeeping devices equal to or less than ten horsepower in size (lawnmowers, trimmers, snow blowers, etc.). II.E.3.cc._--Fugitiveemissions from landscaping activities (e.g., weeding, sweeping). II.E.3.dd._--Landscaping use of pesticides, fumigants, and herbicides. II.E.3.ee._--*Crude oil loading truck equipment at exploration and production sites where the loading rate does not exceed 10,000 gallons ofcrude oil per day averaged on an annual basis. Condensate truck loading equipment at exploration and production sites that splash fill less than 6750 barrels of condensate per year orthat submerge fill less than 16308 barrels ofcondensate per year. II.E.3.ff. Emergency events such as accidental fires. II.E.3.gg._--Smoking rooms and areas. II.E.3.hh._--Piastic pipe welding. II.E.3.ii. Vacuum cleaning systems used exclusively for industrial, commercial, or residential housekeeping purposes. II.E.3.jj. Beauty salons. II.E.3.kk._--Operations involving acetylene, butane, propane and other flame cutting torches. II.E.3.11. Pharmacies. II.E.3.mm._--*Chemical storage areas where chemicals are stored in closed containers, and where total storage capacity does not exceed five thousand gallons. This exemption applies solely to storage ofsuch chemicals. This exemption does not apply to transfer ofchemicals from, to, or between such containers. II.E.3.nn._--Architectural painting, roof coating material and associated surface preparation (except for sandblasting and except for volatile organic compound emissions, associated with surface preparation, above Air Pollutant Emission Notice de minimis levels) for maintenance purposes at industrial or commercial facilities. II.E.3.oo._--Emissions ofair pollutants that are not criteria or non-criteria reportable pollutants (see Sections 1.8.17. and 1.8.30. of Part A ofthis regulation). These emissions include methane, ethane and carbon dioxide. II.E.3.pp._-Janitorial activities and products. II.E.3.qq._--Grounds keeping activities and products. Regulation Number 3 Adopted: October 20, 2011 Page97

### II.E.3.rr.Sources ofodorous emissions that do not utilize emission control equipmentfor control ofodorous emissions. This exemption applies to the odor emissions only. All other emissions are subject to other exemptions set forth in this regulation. This exemption does not exempt any source from the requirements of Regulation Number 2. II.E.3.ss._--Truckand carwash units. II.E.3.tt. Office emissions, including cleaning, copying, and restrooms. II.E.3.uu._--*Oil production wastewater (produced water tanks), containing less than one percent by volume annual average crude oil, except for commercial facilities that acceptoil production wastewater for processing. II.E.3.vv._--Eiectrically operated curing ovens, drying ovens and similar activities, articles, equipment, or appurtenances. This exemption applies to the ovens only, and notto the items being dried in the ovens. II.E.3.ww._--Equipment used exclusively for portable steam cleaning. II.E.3.xx._--Biast-cleaning equipment using a suspension ofabrasive in water and any exhaust system or collector serving them exclusively. II.E.3.yy._--Commerciallaundries (except dry cleaners) that do not burn liquid or solid fuel. II.E.3.zz._--Storageof butane, propane, or liquefied petroleum gas in a vessel with a capacity of less than sixty thousand gallons, provided the requirements of Regulation Number 7, Section IV. are met, where applicable. II.E.3.aaa._--Storagetanks ofcapacity less than forty thousand gallons of lubricating oils orwaste lubricating oils. II.E.3.bbb._--*Venting ofcompressed natural gas, butane or propane gas cylinders, with a capacity ofone gallon or less. II.E.3.ccc._--*Fuel storage and dispensing equipment in ozone attainment areas operated solely for company-owned vehicles where the daily fuel throughput is no more than four hundred gallons per day, averaged annually. Sources in an ozone attainmenUmaintenance area must utilize Stage 1vapor recovery on all tanks greaterthan five hundred and fifty gallons capacity, as required by Regulation Number 7, in orderto take this exemption. II.E.3.ddd._--*Crude oil storage tanks with a capacity of40,000 gallons or less. II.E.3.eee._--lndirectsources are exempt until a (permit) regulation specific to indirect sources is promulgated by the Commission. II.E.3.fff._---*Storagetanks meeting all ofthe following criteria:

Regulation Number 3 Adopted: October20,2011 

### II.E.3.fff.(i) and II.E.3.fff.(ii) Annual throughput is less than four hundred thousand gallons;

The liquid stored is one ofthe following:

Page98II.E.3.fff.(ii)(A) Diesel fuels 1-D, 2-D, or4-6; II.E.3.fff.(ii)(B) Fuel oils #1

- #6; II.E.3.fff.(ii)(C) As turbine fuels 1

- GT through 4- GT; II.E.3.fff.(ii)(D) An oil/water mixture with a vapor pressure less than or equal to that ofdiesel fuel (Reid vapor pressure of .025 psia). II.E.3.ggg._--Each individual piece offuel burning equipmentthat uses gaseous fuel, and that has a design rate less than or equal to ten million British thermal units per hour, and that is used solely for heating buildings for personal comfort. II.E.3.hhh._--Natural gasvehicle fleet fueling facilities. II.E.3.iii. Electric motors driving equipment at non-commercial machining shops. II.E.3.jjj.Recreational swimming pools. II.E.3.kkk._--Forklifts. II.E.3.111. Handling equipment and associated activities for glass that is destined for recycling. II.E.3.mmm._-Containers, reservoirs, ortanks used exclusively for dipping operations, that contain no organic solvents, for coating objects with oils, waxes, greases, or natural orsynthetic resins. II.E.3.nnn._--Stationarv Internal Combustion Engines that: II. E.3.nnn.(i) Are power portable drilling rigs: or II. E.3.nnn.(ii) Are emergency power generators that operate no more than two hundred fifty hours peryear; or II. E.3.nnn.(iii) Have uncontrolled actual emissions less than five tons peryear or manufacturer's site-rated horsepower of less than fifty Emergency power generators that: II.E.3.nnn.(i) Have a rated horsepmver of less than 260 or; II.E.3.nnn.(ii) *Operate no more than 250 hours per year and have a rated horsepovt'er of less than 737; or II.E.3.nnn.(iii) *Operate no more than 100 hours per year and have a rated horsepower of less than 1,840. II.E.3.ooo._--Thecollection, transmission, liquid treatment, and solids treatment processes at domesticwastewater treatment works, ortreatment facilities that treat only domestictype wastewater, except for combustion processes. II.E.3.ppp._--Gasoline stations located in ozone attainment areas.

Regulation Number3 Adopted: October 20, 2011 Page99 

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### II.E.3.qqq._--*Surface mining activities that mine seventy thousand tons or fewer of product material per year. A fugitive dust control plan is required for such sources. Crushers, screens and other processing equipment activities are not included in this exemption. II.E.3.rrr._--Composting piles, however, all odor requirements of Regulation Number 2 must be met. II.E.3.sss._--Fugitiveemissions of hazardous air pollutants that are natural constituents of native soils and rock (not added or concentrated by chemical or mechanical processes) from under-ground mines orsurface mines unless such source is a major source of hazardous air pollutants under Part C ofthis Regulation Number 3. II.E.3.ttt._ The use of pesticides, fumigants, and herbicides when used in accordance with requirements established underthe federal Insecticide, Fungicide and Rodenticide Act as established by the U.S. EPA (United States Code Title 7, Section 136 et seq.). II.E.3.uuu._--Ventilation ofemissions from mobile sources operating within a tunnel, garage, or building that are not operating for transportation purposes and are subject to stationary source requirements

.. II.E.3.vvv._--Non-asbestos demolition. II.E.3.www._-Sandblastequipmentwhen the blast media is recycled and the blasted material are collected. II.E.3.xxx._--Stationary internal combustion engines: II.E.3.xxx.(i) *Less than or equal to 175 horsepowerwhich operate less than 1,450 hours per year. II.E.3.xxx.(ii) *Greaterthan 175 horsepower and less than or equal to 300 horsepowerwhich operate less than 850 hours per year. II.E.3.xxx.(iii) *Greater than 300 horsepower and less than or equal to 750 horsepower which operate less than 340 hours per year. II.E.3.yyy._--Surfacewater storage impoundment of non-potable water and storm water evaporation ponds, with the exceptions of impoundment of-oil and gas production wastewater (including produced watertanks) containing equal to or more than one percent by volume crude oil on an annual average, and commercial facilities that accept oil and gas production wastewaterfor processing. II.E.3.zzz._--Non-potablewater pipeline vents. II.E.3.aaaa._-Steamvents and safety release valves. II.E.3.bbbb._ Deaerator/vacuum pump exhausts.Exemption Repealed. II.E.3.cccc._-Seal and lubricating oil systems for steam turbine electric generators. II.E.3.dddd._-Venting of natural gas lines for safety purposes. Regulation Number 3 Adopted: October20, 2011 Page 100

### II.E.3.eeee._-Chemical storage tanks II.E.3.eeee.(i) *Sulfuric acid storage tanks not to exceed ten thousand five hundred gallons capacity. II.E.3.eeee.(ii) *Sodium hydroxide storage tanks. II.E.3.ffff._--Wetscreening operations notwithstanding the applicability ofthe New Source Performance Standards included in the Code of Federal Regulations, Title 40, Part 60, Subpart 

### 000. II.E.3.gggg._-*Anycondensate storage tank with a production rate of730 barrels per year or less orcondensate storage tanks that are manifold togetherwith a production rate of730 barrels per year or less that are owned and operated by the same person, and are located at exploration and production sites. II.F. Sources that are not required by this Part C to obtain an operating permit may elect to apply for, and may be issued, an operating permit. Any such permit issued must contain terms and conditions sufficient to satisfy the requirements ofthis regulation. II.G. All federally enforceable terms and conditions in an operating permit, including any provisions designed to limit a source's potential to emit, are enforceable by the Administrator, as well as citizens pursuant to United States Code Title 42, Section 7604. 

### Ill. Operating Permit Application Requirements 

### III.A. Option for pre application meeting Priorto submitting an application for a permit an applicant may request and, ifso requested, the Division shall grant, a pre application meeting with the applicant. At such meeting, the Division shall advise the applicant ofthe applicable permit requirements, including the information, plans, specifications and the data required to be furnished with the permit application, based on the best information available from the applicant atthe time. Failure ofthe Division to identify all requirements and information does not exempt the source from compliance with applicable requirements orthese regulations. 111.8. Application for operating permit and combined construction/operating permit applications 111.8.1. An application for an operating permit shall be prepared on forms supplied by the Division that meet all the requirements ofthe Federal Act. Applicants shall submit sufficient copies oftheir applications for provision ofcopies to the Administrator, affected states and county clerks as required by Sections V.8.5., VI., and IX. ofthis Part C. 111.8.2. Each source required to obtain an operating permit pursuant to Section Ill. ofthis Part C, for the first time, shall submit an application for such a permit no laterthan twelve months afterthe source becomes subject to the operating permit requirement. A source that becomes subject to the operating permit program by operation of law, such as the adoption of new legal requirements, shall submit an application for an operating permit within twelve months ofthe effective date ofsuch new legal requirements unless otherwise specified by the requirements. A new source oran existing source that modifies in a way that renders it newly subject to the operating permit requirements, shall submit a complete application for an operating permit within twelve months of commencing operation, except as otherwise provided herein. Modifications made to a source with an operating permit, through a permit issued under Part B ofthis regulation shall apply for a modification to their operating permitwithin twelve months ofstartup. A

Regulation Number 3 Adopted: October20,2011 Page 101new source (including any significant modification), shall meetthe applicable requirements of Part B. III.B.3. Reserved. III.B.4. Reserved. III.B.5. All other major sources existing on January 1, 1995 shall submit their operating permit applications unless otherwise notified by the Division. III.B.6. Each source subjectto an operating permit shall submit an application for renewal ofthe operating permit at leasttwelve months, but not more than eighteen months, prior to the expiration ofthe operating permit. All ofthe provisions governing the application for and issuance ofoperating permits are applicable to applications for renewal ofoperating permits, exceptthat an application for permit renewal may address only those portions of the permit that require revision, supplementing, ordeletion, incorporating the remaining permitterms by reference from the previous permit. A copy ofany materials incorporated by reference must be included with the application. The Division may choose to issue a draft renewal or proposed renewal permit specifying only those portions thatwill be revised, supplemented, or deleted, incorporating the remaining permit terms by reference. All requirements for compliance plans, compliance schedules and compliance certifications found in Sections III.B.7., III.B.8., and III.C.8. through III.C.13. ofthis Part C, are applicable to the entire operating permit upon renewal. III.B.7. A source required to obtain a construction permit pursuant to Part B ofthis Regulation Number 3 may submit an application for a combined construction permit and operating permit on a standard application form supplied by the Division priorto commencing construction, modification, installation orcommencement ofany activities oroperations for which a construction permit is required pursuantto Part B. In accordance with the provisions of Part B, a source applying for a combined construction/operating permit cannot construct before issuance ofa permit. III.B.8. Applications shall be signed by a responsible official who shall also sign the compliance certification on the application. The compliance certification shall include: (a) a certification ofcompliance with all applicable requirements; (b) a statement of methods used for determining compliance, including a description of monitoring, record keeping, and reporting requirements and test methods; (c) a schedule for submission of compliance certifications during the permit term not less than annually, or more frequently as specified by the terms and conditions ofthe permit; (d) a statement indicating the source's compliance status with any applicable compliance assurance monitoring and compliance certification requirements; (e) ifapplicable to a source, a statement indicating the source has properly registered its risk management plan required pursuant to Section 112(r) ofthe Federal Act. Compliance certifications for state only conditions shall be separate from compliance certifications required underthe Federal Act, and shall only be required for sources ofsuch state only conditions seeking the operational flexibility provisions of Sections X., XI., and XII. ofthis Part C. Sources seeking protection under the terms ofthe permit shield for such state only conditions, orsources ofstate only conditions are otherwise required to obtain an operating permit pursuantto the state Act. III.B.9. Each application form, report and compliance certification submitted pursuant to this regulation shall contain a certification by a responsible official ofthe truth, accuracy and completeness ofsuch form, report orcertification stating that, based on information and beliefformed after reasonable inquiry, the statements and information in the document are true, accurate and complete.

Regulation Number 3 Adopted: October 20, 2011 Page 102

### III.C. Complete applications The applicant shall furnish all information and data required by the Division to evaluate the permit application and to make its preliminary analysis in accordance with Section IV. ofthis Part C including, but not limited to: III.C.1. Identifying information, including company name and address (or plant name and address ifdifferent from the company name), owner's name and agent, and telephone number and name of plant site manager/contact; III.C.2. A description ofthe source's processes and products (by standard industrial classification code) including any associated with alternate scenarios identified by the source; III.C.3. The following emission-related information: III.C.3.a. All emissions of pollutants for which the source is major, and all emissions of regulated air pollutants. A permit application shall describe all emissions of regulated air pollutants emitted from any emissions unit, except where such units are exempted under Section II.

### E. ofthis Part C, and all additional information related to the emissions of pollutants sufficient to verify which requirements are applicable to the source and other information necessary to collect any permit fees owed pursuant to Section VI. of PartA ofthis regulation; III.C.3.b. Identification and description ofall points ofemissions described in Section III.C.3.a., above, in sufficient detail to establish the basis for fees and applicability of requirements ofthe Federal Act; III.C.3.c. Emissions rate in tons per year and in such terms as are necessary to establish compliance consistent with the applicable standard reference test method; III.C.3.d. The following information to the extent it is needed to determine or regulate emissions: fuels, fuel use, raw materials, production rates, and operating schedules; III.C.3.e. Identification and description ofair pollution control equipment and compliance monitoring devices or activities; III.C.3.f. Limitations on source operation affecting emissions or any work practice standards, where applicable, for all regulated air pollutants atthe source; III.C.3.g. Other information required by any applicable requirement, including information related to stack height limitations developed pursuant to United States Code Title 42, Section 7423 (Part A, Section VIII. ofthis Regulation Number 3); and III.C.3.h. Calculations on which the information required in Sections III.C.3.a. through III.C.3.g. are based. III.C.4. The following air pollution control requirements: III.C.4.a. Citation and description ofall applicable requirements, and

Regulation Number 3 Adopted: October20,2011 Page 103III.C.4.b. Description of, or reference to, any applicable test method for determining compliance with each applicable requirement. III.C.S. Other specific information that may be necessary to implement and enforce other applicable requirements ofthe Federal Act or ofthis Section Ill., orto determine the applicability ofsuch requirements. III.C.6. An explanation ofany proposed exemptions from otherwise applicable requirements. III.C.7. Additional information as determined to be necessary by the Division to define alternative operating scenarios identified by the source pursuant to Section IV.A. of Part A ofthis regulation, orto define permit terms and conditions implementing Section XII. ofthis Part 

### C. III.C.8. A compliance plan which contains: (a) a description ofthe compliance status ofthe source with respect to all applicable requirements; (b) for applicable requirements with which the source is in compliance, a statementthatthe source will continue to comply with such requirements; (c) for applicable requirements thatwill become effective during the permit term, a statement that the source will meetthe requirements on a timely basis; and (d) for requirements for which the source is notanticipated to be in compliance atthe time of permit issuance, a narrative description of howthe source will achieve compliance with such requirements. III.C.9. A compliance schedule which contains: (a) for applicable requirements with which the source is in compliance, a statementthat the source will continue to comply with such requirements; or (b) for applicable**requirem~nts** thatwill become effective during the permit term, a statement that the source will meetthe requirements on a timely basis. A statement that the source will meet in a timely manner applicable requirements that become effective during the permitterm shall satisfy the provision, unless a more detailed schedule is expressly required by the applicable requirement; and (c) a schedule ofcompliance for sources that are not anticipated to be in compliance atthe time of permit issuance. This schedule shall include a schedule ofenforceable remedial milestones, leading to compliance with any applicable requirements for which the source will be in noncompliance atthe time of permit issuance. This compliance schedule shall be at least as stringent as that contained in anyjudicial consent decree oradministrative orderto which the source is subject. Any such schedule ofcompliance shall be supplemental to, and shall not sanction noncompliance with, the applicable requirements on which it is based. III.C.10.Aschedule for submission of progress reports no less frequently than everysix months for sources required having a schedule ofcompliance to remedy a violation. III.C.11.The compliance plan content requirements specified in this section shall apply and be included in the acid rain portion ofa compliance plan for an affected source, except as specifically superseded by regulations promulgated underTitle IVofthe Federal Act, Code of Federal Regulations Title 40, Part 72, with regard to the schedule and method(s) the source will use to achieve compliance with the acid rain emissions limitations. III.C.12. Data necessary to allow the Division to determine whether the source complies with: III.C.12.a. III.C.12.b.

RegulationNumber 3 Adopted: October20, 2011 All applicable emission control regulations; Applicable regulations for the control of hazardous air pollutants;

Page 104

### III.C.12.c. Requirements ofthe nonattainment and attainment programs, Sections V. and VI. of Part D ofthis regulation; and III.C.12.d. Any applicable ambient air quality standards (fortemporary sources and new or modified sources applying for a combined construction/operating permit only). When the data includes modeling, the model used shall be an appropriate one given the topography, meteorology, and other characteristics ofthe region that the source will impact; and III.C.12.e. All applicable regulations. III.C.13.Copies ofAir Pollutant Emission Notices on file with the Division indicating production/process rates forwhich the operating permit is to be evaluated, or, ifAir Pollutant Emission Notice(s) have not been previously filed, a new Air Pollutant Emission Notice(s) shall be submitted in accordance with PartA, Section II. The Air Pollutant Emission Notice fee will not be charged for submission ofcopies ofcurrent Air Pollutant Emission Notice(s) previously filed with the Division. III.D. Operating Permit Renewal In submitting an application for renewal ofan operating permit issued underthese regulations, a source may identify terms and conditions in its previous permit that remain unchanged and incorporate by reference those portions of its existing permit and the permit application and any permit amendments or modification applications that describe products, processes, operations, and emissions to which those terms and conditions apply. The source must identify specifically and list which portions of its previous permit and/or applications that are incorporated by reference. In addition, a renewal application must contain: Ill.D.1. Information for those products, processes, operations, and emissions, in accordance with the provisions ofthis Part C, that: III.D.1.a. Are not addressed in the existing permit; III.D.1.b. Are subject to applicable requirements that are not addressed in the existing permit; or III.D.1.c. Are permit terms and conditions that differfrom those in the existing permit. III.D.2. A compliance plan, schedule, and certification requirements forthe entire permit in accordance with this Part C. Ill.E. A major source may comply with this section through any one ofthe following methods: III.E.1. The source may obtain a single permit for all relevant emission points located within a contiguous oradjacent area under common control (whether or not falling underthe same two digit standard industrialized code); III.E.2. The source may obtain separate permits for separate emission points or groups of emission points, or III.E.3. The Division may issue a permit covering one or more emission points eligible for coverage under a general permit and the source may obtain a separate permit or permits for emission points not eligible for such coverage.

Regulation Number 3 Adopted: October20,2011 Page 105Ill.F. The acid rain portions of permit applications shall be made on nationally standardized forms pursuant to regulation promulgated by the Administrator at Code of Federal Regulations Title 40, Part 72. 

### IV. Processing OfApplications IV.A. Standards for application determinations The Division shall evaluate operating permit applications and combined construction/operating permit applications. The evaluation of permit applications shall consider, forthe construction permit portion, whether operation ofthe proposed new source at the date ofstart-up, and for operating permits whether the permitted emissions, will comply with all applicable emissions control regulations, regulations forthe control of hazardous air pollutants, applicable ambient air quality standards and regulations, requirements for the prevention ofsignificant deterioration ofair quality that is better than the National Ambient Air Quality Standards, and nonattainment and attainment/maintenance area requirements. The submittal of a complete application shall not affectthe requirement that any source have a construction permit pursuantto Part 8 ofthis Regulation Number 3, except as otherwise required herein. IV.B. Completeness determinations IV.8.1. An application for an operating permit ora combined construction permit/operating permit, will not be deemed to be complete until all information and data required to evaluate the application have been submitted to the Division. Within sixty calendar days afterthe receipt ofan application orany supplemental information requested by the Division, the Division will give notice to the applicant ifand in what respectthe application is incomplete. Ifthe Division fails to notify an applicant that the application is incomplete within sixty calendar days of receipt ofthe original application or receipt ofthe requested supplemental information, the application shall be deemed to have been complete as of the day of receipt by the Division ofthe application orthe last submitted supplemental information, whichever is later, forthe purposes specified in Section II.B. ofthis Part C (concerning the application shield). Nothing herein precludes the Division from requesting further information aboutthe source in order to process the permit application. Ifthe Division concludes thatthe application is not complete, it shall inform the applicant ofthe additional information that must be submitted priorto consideration ofthe application. No completeness determination shall be required for applications for administrative or minor permit modification procedures under Section Ill. of PartA ofthis regulation, or Sections X. and XI. ofthis Part C. IV.B.2. The Division shall review each application submitted to determinewhether it is complete. An application shall be deemed to be complete when it contains the information required by Sections Ill.B., Ill.C., and Ill.D. ofthis Part C in sufficient detail forthe Division to evaluate the subject source and the permit application, to determine all applicable requirements and to calculate all applicable fees. IV.B.3. A source shall supplement its permit application to correct or update information provided in its initial submission as soon as it becomes aware ofany omissions or incorrect information submitted orto address changes made to the source after submission ofthe application, but prior to public notice as provided in Section VI. ofthis Part C. IV.B.4. A source shall supplement its permit application to address any requirements that become applicable to the source afterthe date the source submitted its application, but prior to issuance ofa draft permit. IV.C. Permit application processing timeframes

Regulation Number 3 Adopted: October20, 2011 Page 106For operating permit applications, orfor combined construction and operating permit applications, the Division shall approve ordisapprove the permit application within eighteen months of receipt ofa complete application. Permit processing timeframes for operating permit applications for affected sources under the acid rain provisions shall be governed by Code of Federal Regulations Title 40, Part 72. Ifa timely and complete application is filed, but the Division fails to issue or deny a renewal operating permit priorto expiration ofthe operating permit for which a source is seeking renewal, the previously issued operating permit, and all ofits terms and conditions, shall not expire until the renewal operating permit is issued and any previously extended permit shield continues in full force and operation. To the extent feasible, applications shall be acted upon in the order received except that priority shall be given to taking final action on applications for construction or modification underTitle I, Parts C and Part D, ofthe Federal Act. Final action on such applications shall be taken within twelve months following receipt ofa complete application. IV.D. Requests for additional information If, after an application is deemed complete, the Division determines that additional information is necessary to evaluate ortake final action on an application, the Division shall request necessary information in writing and set a reasonable deadline for response. Additional information submitted within the deadline will be evaluated by the Division. Ifthe applicant fails to provide the requested information or does not meet the deadline, the source's ability to operate without a permit shall terminate on the date of the deadline as provided in Section II.B. ofthis Part C. 

### V. Operating Permit Issuance, Renewals And Modifications VA Except as provided below, the Division shall not issue, reissue or renew an operating permit until the source has obtained a final approval construction permitfor all emission units pursuant to Regulation Number 3, Part 8, Section III.G. However, nothing in this section shall preclude the Division from issuing, reissuing, or renewing an operating permit ifthe holder ofan initial approval construction permit has not commenced operation ofthe newconstruction or modification authorized by that construction permit. When the source has not demonstrated compliance with the terms ofan initial approval construction permit as required pursuant to Regulation Number3, Part 8, Section Ill.G., or has not obtained a final approval construction permit as required above, the Division may issue, reissue or renew an operating permit underthe following circumstances: V.A.1. Ifthe source has not demonstrated compliance underthe provisions of Regulation Number 3, Part 8, Section Ill.G., and the source is not anticipated to be in compliance at the time ofthe operating permit issuance with any ofthe terms orconditions ofthe initial approval construction permit, the operating permit must contain a compliance plan and compliance schedule that meets the requirements ofthis Part C, Sections III.C.8., III.C.9., and III.C.10., with respect to those permit term(s). In that instance, the deviation reporting required underthis Part C, Section V.C.7.b. may, at the Division's discretion, serve as the demonstration required pursuant to Regulation Number3, Part 8, Section Ill.G. and no final approval construction permitwill be issued; or V.A.2. Ifthe source has not demonstrated compliance underthe provisions of Regulation Number 3, Part 8, Section Ill.G., and the source anticipates being in compliance atthe time ofthe operating permit issuance with all ofthe terms orconditions ofthe initial approval construction permit, the Division can electto allowthe initial approval construction permit to continue in full force and effect pursuant Regulation Number3, Part 8, Section III.G.4. In that instance, the first deviation report after permit issuance as required underthis Part C, Section V.C.7.b. may, atthe Division's discretion, serve as the

Regulation Number 3 Adopted: October20,2011 Page 107demonstration required pursuant to Regulation Number 3, Part B, Section Ill.G., and no final approval construction permitwill be issued; or V.A.3. Ifthe source has demonstrated compliance underthe provisions of Regulation Number 3, Part B, Section Ill.G. but notyet received a final approval construction permit, the Division may, at its discretion, electto either issue a final approval construction permit or allowthe initial approval construction permit to continue in full force and effect. The Division shall provide written notice to the permittee of its election. V.B. An operating permit, permit modification or permit renewal shall be issued only upon a determination by the Division that the following criteria have been met: V.8.1. The Division has received a complete application for a permit, permit modification, or permit renewal; V.B.2. Public comment and hearing requirements, exceptfor modifications qualifying for minor permit modification procedures oradministrative permit revisions; V.B.3. Requirements for notifying and responding to affected states pursuant to Section IX. of this Part C. This section is not applicable to minor sources thatvoluntarily apply for an operating permit for purposes of Sections X., XI., and XII., unless the source is required to have federally enforceable emissions limitations to be considered a minor source, nor to major sources ofColorado-only Hazardous Air Pollutants subject to the operating permit requirements solely due to state-only conditions underthe state Act; V.B.4. Permit conditions provide for compliance with all applicable requirements and the requirements ofthis Regulation Number 3; and V.B.5. The Administrator has received a copy ofthe proposed permit and has not objected to its issuance within forty-five days of receipt ofthe proposed permit and all necessary supporting information. This section is not applicable to minor sources that voluntarily apply for an operating permitfor purposes of Sections X., XI., and XII., unless the source is required to have federally enforceable emissions limitations to be considered a minor source, norto major sources ofColorado-only Hazardous Air Pollutants subjectto the operating permit requirements solely due to state only conditions underthe state Act. V.B.6. The Administrator's objection to permit issuance shall be based on a determination that the proposed permitwill not be in compliance with applicable requirements or requirements ofCode of Federal Regulations Title 40, Part 70. Any such objection shall include a statement ofthe Administrator's reasons for objecting and a description ofthe terms and conditions that the permit must include to respond to the objection. Failure of the Division to do any ofthe following shall also constitute grounds for an objection by the Administrator: V.B.6.a.failure to comply with the provisions of Section V.F. ofthis Part C for submission ofcopies of permit applications, proposed permits, and final permits to the Administrator; V.B.6.b. Failure to comply with the provisions of Section IX. ofthis Part C for review by affected states; V.B.6.c. Failure to submit any information to the Administrator necessary to review adequately the proposed permit; or

Regulation Number 3 Adopted: October20, 2011 Page 108

### V.B.6.d. Failure to comply with the provisions of Section VI. ofthis Part C for public participation. V.B.7. Ifthe Division fails, within ninety days after an objection by the Administrator, to revise and submit a proposed permit in response to the objection, the Administratorwill issue or denythe permit in accordance with the requirements ofthe federal program promulgated under Title V ofthe Federal Act. V.B.8. The permit applicant has paid all applicable hourly fees as set forth in Part A, Section VI. ofthis Regulation Number3. V.C. An operating permit shall contain, at a minimum, the following: V.C.1. Emissions limitations and standards, including those operational requirements and limitations that assure compliance with all applicable requirements atthe time of permit issuance, including: V.C.1.a. The permit shall specify and reference the origin ofand authority for each term and condition, and identify any difference in form as compared to the applicable requirement upon which the term or condition is based; and V.C.1.b. The permit shall state that, where an applicable requirement ofthe Federal Act is more stringent than an applicable requirement of regulations promulgated underTitle IV ofthe Federal Act, Code of Federal Regulations Title 40, Part 72, both provisions shall be incorporated into the permit and shall be federally enforceable; and V.C.1.c.lfallowed by the state implementation plan, an alternative emissions limitation that is at least as stringent as an applicable requirement may be substituted for an applicable requirement as a permit term or condition, so long as the permit containing such equivalency determination contains provisions to ensure that any resulting emissions limitation is quantifiable, accountable, enforceable and based on replicable procedures. · V.C.2. The permit term shall be five years. V.C.3. The effective date and termination date ofthe permit shall be specifically identified in the permit. V.C.4. A statement ofall monitoring and related record keeping and reporting requirements shall be specifically identified in the permit. V.C.5. Each permit shall contain the following requirements with respect to monitoring: V.C.5.a. All emissions monitoring and analysis procedures ortest methods required underthe applicable requirements, including any required procedures and methods for compliance assurance monitoring and compliance certification requirements; · V.C.5.b. Where the applicable requirement does not require periodic testing or

Regulation Number 3 

### instrumental or non-instrumental monitoring, periodic monitoring, or record keeping, sufficient to yield reliable data forthe relevant time period that are representative ofthe source's compliance with the permit as required to be reported pursuant to Section V.C.16.e. ofthis Part C. Such monitoring

Adopted: October 20,2011 Page 109

### requirements shall assure use ofterms, test methods, units, averaging periods, and other statistical conventions consistent with the applicable requirements. V.C.S.c.As necessary, requirements concerning the use, maintenance and, where appropriate, installation of monitoring equipment or methods. V.C.6. Each permit shall incorporate all applicable record keeping requirements and require, where applicable, the following: V.C.6.a. Records of required monitoring information, which includes the following: V.C.6.a.(i) Date, place, as defined in the permit, and time ofsampling or measurements; V.C.6.a.(ii) V.C.6.a.(iii) V.C.6.a.(iv) V.C.6.a.(v) Date(s) on which analyses were performed; The company or entity that performed the analysis; The analytical techniques or methods used; The results ofsuch analysis; and V.C.6.a.(vi) The operating conditions as existing atthe time ofsampling or measurement. V.C.6.b. The retention of records ofall required monitoring data and support information for a period ofat least five years from the date ofthe monitoring sample, measurement, report orapplication. Support information, for this purpose, includes all calibration and maintenance records and all original strip chart recordings for continuous monitoring instrumentation, and copies ofall reports required by the permit. The applicant may, with the Division's approval, maintain any ofthe above records in a computerized form. Sources must retain records of all required monitoring data and support information for the most recent twelve month period, as well as compliance certifications forthe past five years on site at all times. A source shall make available for Division review all other records ofrequired monitoring data and support information required to be retained by a source upon forty-eight hours advance notice by the Division. V.C.6.c.A permittee may request confidential treatment for information in any report submitted under this section pursuant to the limitations and procedures set forth in Section VII. of Part A ofthis Regulation Number 3. V.C.7. Each permit shall incorporate all applicable reporting requirements, and shall require the following: V.C.7.a. Submittal ofall reports ofany required monitoring at least every six

Regulation Number3 

### months except as otherwise required on a more frequent basis pursuant to compliance assurance monitoring rules orother applicable requirements. The Division may approve alternative reporting formats and schedules proposed by an applicant consistent with the requirements ofthis section, allowing for coordination with other reporting requirements for that source. All instances of deviations from any permit requirements must be clearly identified in such reports. All required reports must be certified by a responsible official consistent with Section 111.8.8. ofthis Part C;

Adopted: October 20, 2011 Page 110

### V.C.7.b. Prompt reporting ofdeviations from permit requirements, including those attributable to upset conditions as defined in the permit, the probable cause of such deviations, and any corrective actions or preventive measures taken. Each permit shall contain a definition of prompt reporting in relation to the degree and type of deviation likely to occurand the applicable requirements. Generally "prompt" reporting shall entail reporting as required in Section V.C.7.a., above, requiring submission of reports ofdeviations from permit requirements at least every six months, except as otherwise specified by the Division in the permit. Prompt reporting, for this purpose, does not constitute an exception to the requirements of Section VII. relating to reporting ofemergency events for the purpose ofavoiding enforcement actions. V.C.8. A permit condition prohibiting emissions exceeding any allowances that the source lawfully holds underTitle IV ofthe Federal Act orthe regulations promulgated there under at Code of Federal Regulations Title 40, Part 72. V.C.9. State only permit terms and conditions shall be listed separately on the operating permit. All procedural requirements ofthis Part C may apply to such state only conditions, except as otherwise required by the state Act, in orderfor sources to obtain the permit shield and all operational flexibility provisions. The permit shall also contain a specific designation as not being federally enforceable any state only terms and conditions included in the permit that are not required underthe Federal Act or underany of its applicable requirements. A source may choose to obtain a separate construction permit pursuant to Part B for such state only requirements, except as otherwise required underthe state Act; V.C.1 0. A severability clause that demands the continued validity ofthe various permit requirements in the event ofa challenge to any portion ofthe permit; V.C.11. Provisions stating the following permit terms and conditions: V.C.11.a. The permittee must comply with all conditions ofthe permit issued under this Part C. Any permit noncompliance relating to federally enforceable terms or conditions constitutes a violation ofthe Federal Act, as well as the state Act and this regulation. Any permit noncompliance relating to state only terms or conditions constitutes a violation ofthe state Act and this regulation, shall be enforceable pursuant to state law, and shall not be enforceable by citizens under Section 304 ofthe Federal Act. Any such violation ofthe Federal Act, the state Act or regulations implementing either statute is grounds for enforcement action, for permit termination, revocation and reissuance or modification orfor denial ofa permit renewal application. V.C.11.b. It shall not be a defense for a permittee in an enforcement action ora consideration in favor ofa permittee in a permit termination, revocation or modification action oraction denying a permit renewal application that itwould have been necessary to halt or reduce the permitted activity in orderto maintain compliance with the conditions ofthe permit; V.C.11.c. The permit may be modified, revoked, reopened, and reissued, or terminated for cause. The filing ofany request by the permittee for a permit modification, revocation and reissuance, ortermination, orany notification of planned changes or anticipated noncompliance does not stay any permit condition, except as provided in Sections X. and XI. ofthis Part C; V.C.11.d. The permit does not convey any property rights ofany sort, orany

Regulation Number 3 Adopted: October20, 2011 

### exclusive privilege;

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### V.C.11.e. The permittee shall furnish to the Division, within a reasonable time specified by the Division, any information that the Division may request in writing to determine whether cause exists for modifying, revoking and reissuing, or terminating the permit orto determine compliance with the permit. Upon request, the permittee shall also furnish to the Division copies of records required to be kept by the permittee, including information claimed to be confidential. Any information subject to a claim ofconfidentiality shall be specifically identified and submitted separately from information not subject to the claim; V.C.12. A requirement that the permittee shall pay to the Division all applicable fees required by the state Act and regulations. V.C.13. A provision that no permit revision shall be required under any approved economic incentives, marketable permits, emissions trading and other similar programs or processes for changes that are specifically provided for in the permit; V.C.14. Terms and conditions for reasonably anticipated operating scenarios identified by the source in its application for a permit and approved by the Division, in accordance with Section IV.A. of PartA ofthis regulation. V.C.15. Terms and conditions, ifthe permit applicant requests them, for the trading ofemissions increases and decreases in the permitted facility, in accordance with Section IV.8. of Part 

### A V.C.16. The following elements with respect to compliance: V.C.16.a. Consistentwith Sections 111.8.7., 111.8.8., III.C.8. through III.C.13., and V.C.4. through V.C.7. ofthis Part C, compliance, certification, testing, monitoring, reporting, and record keeping requirements sufficientto assure compliance with the terms and conditions ofthe permit. Any document (including reports) required by an operating permit shall contain a certification by a responsible official that meets the requirements of Section 111.8.8. ofthis Part C; V.C.16.b. Inspection and entry requirements that require, upon presentation of credentials and other documents as may be required by law, the permittee shall allow the Division or any authorized representative to perform the following: V.C.16.b.(i) Enter upon the permittees premises where an operating permit source is located, oremissions-related activity is conducted, orwhere records must be kept underthe terms ofthe permit; V.C.16.b.(ii) Have access to, and copy, at reasonable times, any records that must be kept underthe conditions ofthe permit; V.C.16.b.(iii) Inspect at reasonable times any facilities, equipment (including monitoring and air pollution control equipment), practices, oroperations regulated or required under the permit. The permittee shall provide, as part of its permit application, a list ofany specialized safety equipment which may be necessary for use by an inspector; and V.C.16.b.(iv) Any sampling or monitoring ofsubstances or parameters at reasonable times for the purpose ofassuring compliance with the permit or applicable requirements; V.C.16.c. A schedule ofcompliance consistentwith Section Ill.C. ofthis Part C; Regulation Number 3 Adopted: October 20, 2011 Page 112Regulation Number 3

### V.C.16.d. Progress reports consistentwith an applicable schedule ofcompliance and Section Ill.C. ofthis Part C, to be submitted at least semiannually orata more frequent period ifso specified in the applicable requirement or by the Division. Such progress reports shall contain the following: V.C.16.d.(i) Dates for achieving the activities, milestones, or compliance required in the schedule for compliance, and dates when such activities, milestones, or compliance were achieved; and V.C.16.d.(ii) An explanation ofwhy any dates in the schedule ofcompliance were not orwill not be met, and any preventive or corrective measures adopted. V.C.16.e. Requirements for compliance certification with terms and conditions contained in the permit, including emission limitations, standards, orwork practices. Permits shall include each ofthe following: V.C.16.e.(i) The frequency (which shall not be less than annually orsuch more frequent periods as specified in the applicable requirement or by the Division) ofsubmission ofcompliance certifications; V.C.16.e.(ii) In accordance with Sections V.C.4. through V.C.7. ofthis Part C, a means of monitoring the compliance ofthe source with its emissions limitations, standards and work practices; V.C.16.e.(iii) A requirement that the compliance certification include the following: V.C.16.e.(iii)(A) The identification ofeach permit term and condition that is the basis ofthe certification; V.C.16.e.(iii)(B) The compliance status; V.C.16.e.(iii)(C) Whether compliance was continuous or intermittent; V.C.16.e.(iii)(D) The method(s) used for determining the compliance status ofthe source, currently and over the reporting period, consistent with Sections V.C.4. through V.C.7. ofthis Part C; and whether the data collection using the methods referenced for compliance certification provide continuous or intermittent data; and V.C.16.e.(iii)(E) Such other facts as the Division may require to determine the compliance status ofthe source. V.C.16.e.(iv) A requirement that all compliance certifications shall be submitted to the Administrator as well as to the Division. This requirement shall not apply to sources subject to the operating permit requirements solely due to state only conditions pursuant to the state Act; V.C.16.e.(v) Any additional requirements for compliance assurance monitoring and compliance certification; V.C.16.e.(vi) Such other provisions as the Division may require.

Adopted: October20,2011 Page 113V.C.17. Ifa source is required to develop and register a risk management plan pursuant to Section 112{r) ofthe Federal Act, the permit shall only referto such plan and state the source's compliance with such registration requirement. The content ofthe risk management plan will not be incorporated as a permit term. V. D. The permit shield shall extend to applicable requirements that are included and specifically identified in the permit. Upon request, the Division shall include in the permit a determination identifying specific requirements that do not apply to the source. The source shall specify in its permit application for such a determination the requirements as to which the determination is requested. The permit shall state thatthe permit shield applies to any requirements so identified. A request for a determination to extend the shield to requirements deemed applicable to the source may be made either in the original permit application or in a subsequent application for a permit modification. V.E. Ifthe Division denies a permit, imposes conditions on a permit that are contested by the applicant, revokes a permit, or requires a permit from a source that may qualify for an exemption, the applicant or owner or operator ofthe source may request a hearing before the Commission in accordance with the Commission's Procedures forAdjudications. The request for a hearing must be filed with the Commission within thirty days afterthe issuance ofthe permit, denial or revocation. The hearing shall be held in accordance with Colorado Revised Statute Sections 25- 7-119 and 24-4-105 and the Commission's Procedures for Adjudications. V.F. The Division shall submitto the Administrator a copy of each permit application (including any application for permit modification), each proposed permit, and each final operating permit. 

### VI. Public Participation Requirements VI.A. Exceptfor modifications qualifying for administrative permit amendments, minor permit modification procedures and operational flexibility provisions, as described in Sections X., XI., and XII. ofthis Part C, Sections Ill. and IV. of PartA, and except for applications for coverage under general operating permits as described in Section VIII. ofthis Part C, all permit proceedings, including initial permit issuance, significant modifications, re-openings and renewals, and are subject to public notice, comment and opportunity for public hearing requirements. A minor source voluntarily applying for an operating permit is not subject to the public participation requirements ofthis Part C unless the source is required to have a federally enforceable emission limitation to be considered a (synthetic) minor source. Minor sources that are not synthetic minors and majorsources of Colorado-only Hazardous Air Pollutants subjectto the operating permit requirements solely due to state-only conditions shall be subjectto the public participation requirements where warranted in accordance with the provisions of Part B ofthis Regulation Number 3. VI.B. The Division shall, within fifteen calendar days afterthe preparation ofthe preliminary analysis, cause public notice ofthe application to be published in a newspaper of general distribution in the area in which the proposed project oractivity is orwill be located, and by such other means if necessary to assure notice to the affected public, which may include posting ofsuch notice on the publicly accessible portion ofthe Division's web site, and cause a copy ofthe preliminary analysis and application to be filed with the county clerk for each county in which the source is orwill be located. The Division shall send written or electronic notice to the applicant, to persons requesting notice of permit applications for the type ofsource or geographic area and to affected states. The newspaper notice shall contain the information listed below in VI.B.1. through VI.B.9. The Division's web site notice shall contain all the following information in Sections VI.B.1. through VI.B.15.: VI.B.1. The name and address ofthe permittee;

Regulation Number 3 Adopted: October20,2011 Page 114Vl.8.2. The name and address ofthe affected facility; Vl.8.3. The Division's name and address; Vl.8.4. The activity or activities proposed in the permit application; Vl.8.5. The emissions change involved in any permit modification; Vl.8.6. The name, address, and telephone number ofa Division staffcontact from whom interested persons may obtain additional information, including copies ofthe permit draft, the application, all relevant supporting materials, the compliance plan, the monitoring and compliance certification report, and all other materials available to the Division that are relevant to its permit decision; Vl.8.7. Information regarding scheduling ofany public comment hearing ifone is requested; Vl.8.8. Thatthe Division will receive and consider public comments forthirty calendar days after such publication; Vl.8.9. The Division's preliminary determination ofapproval, conditional approval, ordisapproval ofthe application; VI.8.10.That any interested person may submit a written request for a public comment hearing to be held by the Commission to receive comments regarding the concerns listed in Sections Vl.8.11. through V1.8.15., below, the sufficiency ofthe preliminary analysis, and whetherthe Division should approve ordeny the permit application. Any written request for a public comment hearing must be submitted to the Division within thirty days of publication; VI.8.1O.a. Written requests for a public comment hearing shall be directed to the Air Pollution Control Division's office at 4300 Cherry Creek Drive South, Denver, Colorado 80246-1530; VI.8.10.b.

.Requests shall: (i) identify the individual or group applying; (ii) state his or her address and phone number; (iii) state the reasons forthe request; (iv) state the manner in which the person is affected by the proceedings; and (v) provide an explanation ofwhy the person's interests are not already adequately represented. Vl.8.11.That comments concerning the ability ofthe proposed activity to comply with applicable requirements are solicited from any interested person; Vl.8.12.That comments are solicited on the air quality impacts ofthe source or modification; Vl.8.13.That comments are solicited on alternatives to the source or modification; Vl.8.14.That comments are solicited on the control technology required; VI.8.15.That comments are being solicited on any other appropriate air quality considerations. VI.C. Within fifteen calendar days after the preparation ofthe preliminary analysis forthose applications subject to the requirements ofthis Part C, the Division shall forward to the applicant written notice ofthe applicant's right to a public comment hearing with respect to the application pursuant to Section 1.7.0. ofthe Commission's procedural rules.

Regulation Number 3 Adopted: October20, 2011 Page 115VI.D. A public comment hearing request pursuant to Section VI.B. ofthis Part C must be transmitted by the Division to the Commission, along with the complete permit application, the preliminary analysis, the draft permit, and any written comments received by the Division within five days after the end ofthe thirty-day comment period. At leastthirty days priorto the date set forthe public comment hearing, the notice of public comment hearing, the preliminary analysis and the draft permit shall be posted on the Division's web site. No substantive revisions shall be made to the draft permit during the thirty days priorto the public comment hearing. The applicant may submit, within ten days following the close ofthe public comment period, a response to any comments made. Nothing herein shall impede the Division's ability to meet required processing timeframes or other required time periods contained in this regulation. VI

### .E. The Commission shall hold a public comment hearing within sixty days of its receipt ofthe request for a hearing pursuant to Section VI.B. orVI.C. ofthis Part C, unless such greatertime is agreed to by the applicant and the Division. The Division shall appear atthe public comment hearing in orderto present the permit application. At leastthirty days prior to such hearing, notice thereof shall be mailed by the Commission to the applicant, and to any interested person who submitted a request for a public hearing, printed in a newspaper ofgeneral distribution in the area ofthe proposed source or modification, and submitted for public review with the county clerk for each county in which the source or modification is orwill be located. VI. F. The Division shall maintain a record ofthe commenter and ofthe issues raised during the public comment and public hearing process for a period offive years. VI.G. The Division shall notify the Administrator and any affected state, in writing, ofany refusal to accept all recommendations forthe proposed permitthatthe affected state submitted during the public or affected state review period, as well as reasons for such refusal. VI.H. Ifthe Administrator does not object in writing to the issuance ofany proposed permitwithin fortyfive days of receipt ofthe proposed permit, any person may petition the Administratorwithin sixty days ofexpiration ofthe Administrator's forty-five day review period to make such objection. Any such petition shall be based only on objections to the permitthat were raised with reasonable specificity during the public comment period as provided for in Section VI.B. ofthis Part C, unless the petitioner demonstrates that itwas impracticable to raise such objections within that period, or unless the grounds for such objection arose after such period VI. H.1. A petition for review does not stay the effectiveness ofa permit or its requirements ifthe permitwas issued afterthe end ofthe forty-five day review period and prior to an U.S. EPA objection. VI.H.2. If, pursuantto a petition filed underthis Section VI.H., the U.S. EPAobjects to the issuance of a permit prior to its issuance, the Division shall not issue the permit until the U.S. EPA's objection has been resolved. VI.H.3. If, pursuant to a petition filed underthis Section VI.H., the U.S. EPAobjects to the issuance ofa permit after it has been issued by the Division, the Administrator may modify, terminate, or revoke such permit and the Division may thereafter issue only a revised permit that satisfies the U.S. EPA's objection. VI.H.4. In no event will any proceeding underthis Section VI.H. cause a source to be in violation ofthe requirement to have submitted a timely and complete application. VII. Emergency Provisions VILA An emergency means any situation arising from sudden and reasonably unforeseeable events beyond the control ofthe source, including acts ofgod, which situation requires immediate Regulation Number 3 Adopted: October 20,2011 Page 116corrective action to restore normal operation, and that causes the source to exceed a technology based emission limitation underthe permit, due to unavoidable increases in emissions attributable to the emergency. An emergency shall not include noncompliance to the extent caused by improperly designed equipment, lack of preventative maintenance, careless or improper operation, or operatorerror. VII.B. An emergency constitutes an affirmative defense to an action broughtfor noncompliance with such technology-based emission limitations ifthe conditions ofSection VII.C. are met. In any enforcement proceeding, the permittee seeking to establish the occurrence ofan emergency has the burden of proof. VII.C. The affirmative defense for an emergency shall be demonstrated through properly signed, contemporaneous operating logs, or other relevant evidence that: VII.C.1. An emergency occurred and that the permittee can identify the cause(s) ofthe emergency; VII.C.2. The permitted facility was atthe time being properly operated; VII.C.3. During the period ofthe emergency, the permittee took all reasonable steps to minimize levels ofemissions that exceeded the emission standards, or other requirements in the permit; and VII.C.4. The permittee submitted oral notice ofthe emergency to the Division no laterthan noon ofthe nextworking day following the emergency, and followed by written notice within one month ofthe time when emission limitations were exceeded due to the emergency. This notice fulfills the requirement of Section V.C.?.b. ofthis Part C. This notice must contain a description ofthe emergency, any steps taken to mitigate emissions, and corrective actions taken. VII.C.S. This provision is in addition to any emergency or upset provision contained in any applicable requirement. VIII. General Operating Permits VIII

### .A The Division may, after notice and opportunity for public participation provided under Section VI. ofthis Part C, issue a general permit covering numerous similar sources that would otherwise be required to obtain an operating permit pursuant to this Part C. Any general permit shall comply with all requirements applicable to other operating permits and shall identify criteria bywhich sources may qualify forthe general permit. For sources that qualify, the Division shall grantthe conditions and terms ofthe general permit. Notwithstanding the permit shield, a source shall be subject to enforcement action for operation without an operating permit ifthe source is later determined notto qualify forthe conditions and terms ofthe general permit. General permits are not authorized for affected sources underthe acid rain program unless otherwise provided in regulations promulgated underTitle IVofthe Federal Act. A general permit may be issued forthe following purposes: VIII.A.1.To establish terms and conditions to implement applicable requirements for a source category; VIII.A.2.To establish terms and conditions to implement applicable requirements in lieu of reopening the permitto incorporate additional applicable requirements pursuant to Section XIII ofthis Part C;

Regulation Number 3 Adopted: October20, 2011 Page 117VIII.A.3.To establish terms and conditions for new requirements that apply to sources with existing permits, so long as no terms or conditions ofthe existing permit are being violated; VIII.A.4.To establish federally enforceable caps on emissions from sources in a specified category. VIII.A.5.The Division may issue a general permit if itfinds that: VIII.A.5.a. There are several permittees, permitapplicants, or potential permit applicants who have the same or substantially similar operations, emissions, activities, orfacilities; VIII.A.5.b. The permittees, permit applicants, or potential permit applicants emitthe same type of regulated air pollutants; VIII.A.5.c. The operations, emissions, activities, orfacilities are subject to the same or similar standards, limitations, and operating requirements; and VIII.A.5.d. The operations, emissions, activities, orfacilities are subjectto the same or similar monitoring, record keeping, and reporting requirements. VIII.B. A general permit developed underthis section shall identify criteria by which sources may qualify forthe general permit. After a general permit has been developed, any eligible source may submit an application to be covered underthe permit. VIII.C. An application for coverage under a general permit shall identify the source and provide information sufficient to demonstrate that it falls within the source category covered by the general permit, togetherwith all information necessary to determine qualification for, and to assure compliance with, the general permit including a compliance plan in accordance with Section Ill.C.

## a. ofthis Part C. VIII.D. A final action approving a requestfor coverage under a general permit shall not be subjectto judicial review. A source may seekjudicial review ofa final action denying coverage under a general permit. VIII.E. Ifsome, but not all, ofa source's operations, activities, and emissions are eligible for coverage under one or more general permits, the source may apply for and receive coverage underthe general permits for the operations, activities, and emissions that are so eligible. Ifthe source is required under Section II. ofthis Part C to obtain an operating permit addressing the remainder of its operations, activities, and emissions, it may apply for, and receive, an operating permitthat addresses specifically those items not covered by general permits. In such a case, the source's operating permitshall identify all operations, activities, and emissions that are subjectto general permits and incorporate those general permits by reference. VIII.F. Sources thatwould qualify for a general permit must apply to the Division for coverage underthe terms ofthe general permit or mustapply for an operating permit under Section Ill. ofthis Part C. without repeating the public participation procedures required under Section VI. ofthis Part C, the Division may grant a source's request for authorization to operate under a general permit. Such a grant shall not be a final permit action for purposes ofjudicial review. VIII.G. Upon granting ofthe general permit by the Division, the source must keep a copy ofthe permit on-site at all times.

Regulation Number 3 Adopted: October20, 2011 Page 118

### VIII.H. A general operating permit shall not be issued to a major source where issuance ofa general permitwould cause a violation ofany applicable requirement in any other operating permit held by the source, orwhere issuance ofa general operating permit operates to allow the source to avoid a modification underTitle I ofthe Federal Act. VIII.I. A source may commence operations underthe general operating permit sixty days after submitting its application for a general operating permit unless notified by the Division within that time period that additional information is required to determine whether the source qualifies for a general operating permit. Nothing herein precludes the Division from requesting additional information after sixty days have elapsed since the source's submission ofa general operating permit application. VIII.J. The application shield shall become effective upon the source's submission ofa complete application, in accordance with Section II.B. ofthis Part C. VIIJ.K. The permit shield shall become effective upon issuance ofthe general operating permit by the Division. VIII.L. The general operating permits, as developed by the Division, shall be required to undergo review by the Administrator, affected states and the public, as set forth in Sections V. B., VI., and IX. of this Part C every five years. 

### IX. Review 

### By Affected States IX.A. The Division shall give notice ofeach draft-operating permit to any affected state on or before the time that the Division provides public notice under Section VI. ofthis Part C, except where the requirements for timing of notices are different pursuant to Sections X., X.I., and XII. ofthis Part 

### C. IX.B. The Division shall notify the U.S. EPA and any affected state in writing ofany refusal by the Division to accept all recommendations forthe proposed permit that the affected state submitted during the public oraffected state review period. Said notice will include the Division's reasons for not accepting any such recommendation. The Division is not required to accept recommendations that are not based on applicable requirements. 

### X. Minor Permit Modification Procedures X.A. Minor permit modification procedures may be used only for those permit modifications that: X.A.1. Do notviolate any applicable requirement; X.A.2. Do not involve significant changes to existing monitoring, reporting, or record keeping requirements in a permit; X.A.3. Do not require orchange a case-by-case determination ofan emission limitation orother standard or a source-specific determination fortemporary sources ofambient impacts, or a visibility or increment analysis; X.A.4. Do not seek to establish or change a permit term orcondition 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 terms and conditions include: X.A.4.a.A federally enforceable emissions cap assumed to avoid classification as a modification under any provision ofTitle I ofthe Federal Act, including but not Regulation Number 3 Adopted: October20,2011 Page 119

### limited to modifications under Part 2 ofthe state Act (prevention ofsignificant deterioration), Part 3 ofthe state Act (attainment), or New Source Performance Standards (Regulation Number 6); X.A.4.b.An alternative emissions limit approved pursuant to regulations promulgated under Colorado Revised Statute Section 25-7-109.3 or Section 112(i)(5) ofthe federal Act (Regulation Number 8); X.A.5. Are accepted excepted from the definition of permit modification in Section I.A.3. of Part 

### C. X.A.6. Are not otherwise required by the Division to be processed as a significant modification. X.B. Notwithstanding Sections X.A.5.and XI. (group processing criteria), minor permit modification procedures may be used for permit modifications involving the use ofeconomic incentives, marketable permits, emissions trading, and other approved approaches, to the extentthat such minor permit modification procedures are otherwise provided for in the state implementation plan promulgated pursuant to the state Act. X.C. An application for a minor permit modification shall be prepared on forms supplied by the Division. X.D. Applications shall meetthe requirements ofan application for an operating permit as set forth in Commission Regulation Number 3, Part C, Section Ill., and be signed by a responsible official. The applicant shall furnish all information and data required by the Division to evaluate the minor permit modification application, and shall include the following: X.D.1. A description ofthe change, the emissions resulting from the change, and any new applicable requirements thatwill apply ifthe change occurs; X.D.2. The sources suggested draft permit; X.D.3. Certification by a responsible official that the proposed modification meets the criteria for use of minor permit modification procedures and a request that such procedures be used; and X.D.4. Completed forms supplied by the Division for the Division to use to notify the Administrator and affected states. X.D.5. Data necessary to allow the Division to determine whetherthe source complies with: X.D.5.a. All applicable emission control regulations; X.D.5.b. Applicable regulations for the control of hazardous air pollutants; X.D.5.c. Requirements ofthe nonattainment and attainment programs (Sections V. and VI. of Part D ofthis regulation); and X.D.5.d. Any applicable ambient air quality standards and all applicable regulations. When the data includes modeling, the model used shall be an appropriate one given the topography, meteorology, and other characteristics of the region, which the source will impact; X.D.6. Copies ofAir Pollutant Emission Notice(s) on file with the Division indicating production/process rates for which the operating permit is to be evaluated, or, ifAir Regulation Number 3 Adopted: October20,2011 Page 120

### Pollutant Emission Notice(s) have not been previously filed, a newAir Pollutant Emission Notice(s) shall be submitted in accordance with Part A, Section II. The Air Pollutant Emission Notice fee will not be charged for submission ofcopies ofcurrent Air Pollutant Emission Notice(s) previously filed with the Division. X.

### E. An application for a minor permit modification will not be deemed to be complete until all information and data (including any required ambient air impact analysis in accordance with Section VIII. of PartA) required to evaluate the application have been submitted to the Division. X.F. Within five working days of receipt ofa complete minor permit modification application, the Division shall send a copy ofthe notice completed pursuant to Section X.D.4., above, to the Administrator. X.G. Within five working days of receipt ofa complete minor permit modification application, the Division shall send a copy ofthe notice completed pursuant to Section X.D.4., above, to affected states. Notice to affected states shall not be required for minor sources that voluntarily apply for an operating permit to obtain the operational flexibility set forth in this Part C. The Division shall notify the Administrator and any affected state ofany refusal by the Division to accept all recommendations for the proposed revised permit underthe minor permit modification procedures that the affected state submitted during its review period. The Division shall include in such notice its reasons for not accepting any such recommendation. The Division is not required to accept recommendations that are not based on applicable requirements underthe state or Federal Act. Notice to affected states and to the Administrator is not required for minor modifications involving state only conditions. X.H. Within ninety calendardays of receipt ofa complete application for minor permit modification, or fifteen calendar days afterthe end ofthe Administrator's forty five day review period, whichever is later, the Division shall: X.H.1. Issue the minor permit modification as proposed; X.H.2. Deny the minor permit modification application; X.H.3. Determine that the requested modification does not meetthe minor permit modification criteria and should be reviewed underthe significant modification procedures; or X.H.4. Revise the draft minor permit modification and transmit to the Administrator the new proposed minor permit modification as required in this Regulation Number 3, Part C, Section V.B.5. X.l. A source shall be allowed to make the changes proposed in its application for minor permit modification immediately after it files such application. Ifthe source elects to make such changes, and until the Division issues its final determination in accordance with Sections X. H.1. through X.H.4., above, the source must comply with both the applicable requirements governing the change and the proposed permit terms and conditions. During this time, the source does not need to comply with existing permit terms and conditions it seeks to modify, but ifthe source fails to comply with its proposed permit terms and conditions during this period, the existing permit terms and conditions it seeks to modify shall be fully enforceable by the Division. X.J. The permit shield shall not extend to minor permit modifications. X.K. A permit modification for purposes ofthe acid rain portion ofa permit shall be governed by regulations promulgated underTitle IVofthe Federal Act, found at Code of Federal Regulations Title 40, Part 72.

Regulation Number 3 Adopted: October20,2011 Page 121

### XI. Procedures For Group Processing Of Minor Permit Modification Applications XI.A. Group processing ofapplications for modifications eligible for minor permit modification processing may be used only for those permit modifications that: XI.A.1. Meetthe requirements of Part C, Sections X.A.1. through X.A.6., above, for minor permit modification procedures; and XI.A.2. That collectively is belowthe lowestthreshold level as set forth below: XI.A.2.a. Ten percent ofthe emissions allowed by the permitforthe emissions unit for which the change is requested; or XI.A.2.b. Twenty percent ofthe applicable definition of major source; or XI.A.2.c. Five tons per year, whichever is less. XI.B. An application shall be filed with the Division for each change the source proposes to make, describing the change and the new emissions resulting from the change and notifying the Division that the source intends to request group processing ofsuch minor modification applications in accordance with Section XI.C.4., below. An application for group processing of minor permit modifications shall be prepared on forms supplied by the Division. XI.C. Applications shall meetthe requirements ofan application for an operating permit as setforth in Commission Regulation Number 3, Part C, Section Ill., and be signed by a responsible official. The applicant shall furnish all information and data (including any required ambient air impact analysis in accordance with Section VIII. of PartA ofthis regulation) required by the Division to evaluate the minor permit modification application and shall include the following: XI.C.1. A description ofthe change, the emissions resulting from the change, and any new applicable requirements that will apply ifthe change occurs; XI.C.2. The sources suggested draft permit; XI.C.3. Certification by a responsible official that the proposed modification meets the criteria for use ofgroup processing procedures and a requestthat such procedures be used; XI.C.4. A list ofthe source's other pending applications awaiting group processing, and a determination ofwhetherthe requested modification, aggregated with these other applications, equals or exceeds the threshold set under Sections XI.A.2.a. through XI.A.2.c. ofthis Part C; XI.C.5. Certification by a responsible official that the source has notified the U.S. EPA ofthe proposed modification. Such notification need only contain a brief description ofthe requested modification; XI.C.6. Copies ofAir Pollutant Emission Notice(s) on file with the Division indicating production/process rates forwhich the operating permit is to be evaluated, or, ifAir Pollutant Emission Notice(s) have not been previously filed, a new Air Pollutant Emission Notice(s) shall be submitted in accordance with PartA, Section II. The Air Pollutant Emission Notice fee will not be charged for submission ofcopies ofcurrent Air Pollutant Emission Notice(s) previously filed with the Division. XI.C.7. Completed forms forthe permitting authority to use to notify the Administrator and affected states. Notice to affected states is not required for minor sources voluntarily Regulation Number3 Adopted: October 20,2011 Page 122applying for an operating permit to obtain the operational flexibility setforth in this Part

## c. Notice to affected states and the Administrator is not required for group processing of minor modifications involving state only conditions. XI.C.8. As provided for in the state implementation plan, minor permit modifications made pursuant to this Section XI. will nottrigger the procedural requirements otherwise applicable for modifications pursuant to Part B ofthis regulation. XI.D. On a quarterly basis, orwithin five business days of receipt ofan application demonstrating that the aggregate ofa source's pending applications equals orexceeds the thresholds setforth in Section XI.A.2., whichever is earlier, the Division shall promptly notify the Administrator and affected states. A source shall only be allowed to aggregate its increased emissions caused by changes made in accordance with this Section XI. during each five-year permitterm, exceptthat any aggregation ofemissions that equals or exceedsthethresholds setforth in Section A.2. shall trigger the procedural requirements setforth in this Section XI. All aggregation ofemissions not addressed through the procedures set forth in this Section XI. shall be incorporated into the operating permit upon renewal. The Division shall promptly notify the Administrator and any affected state ofany refusal bythe Division to accept all recommendations forthe proposed revised permit underthe group processing of minor permit modifications that the affected state submitted during its review period. The Division shall include in such notice the reasons for not accepting any such recommendation. The Division is not required to accept recommendations that are not based on applicable requirements underthe state or Federal Acts. XI.E. Within one hundred and eighty calendar days of receipt ofa complete application for group processing of minor permit modifications underthis Section XI., orfifteen calendardays afterthe end ofthe Administrator's forty-five days review period, whichever is later, the Division shall: XI.E.1. Issuethe minor permit modification as proposed; XI.E.2. Deny the minor permit modification application; XI.E.3. Determine that the requested modifications do not meet the minor permit modification criteria and should be reviewed underthe significant modification procedures; or XI.E.4. Revise the draft minor permit modification and transmit to the Administrator the new proposed minor permit modification. XI. F. A source shall be allowed to make the changes proposed in its application for group processing of minor permit modifications immediately after it files such application. Ifthe source elects to make such changes, and until the Division issues its final determination in accordance with Sections XI.E.1. through XI.E.4. above, the source must comply with both the applicable requirements governing the change and the proposed permitterms and conditions. During this time, the source does not need to comply with existing permit terms and conditions it seeks to modify, but ifthe source fails to comply with its proposed permit terms and conditions during this period, the existing permit terms and conditions it seeks to modify shall be fully enforceable by the Division. XI.G. The permit shield shall not extend to minor permit modifications made pursuant to the group processing procedures in this Section XI. XII. Operational Flexibility XII.A. Section 502(b)(10) changes Regulation Number3 Adopted: October20,2011 Page 123

### XII.A.1. No permit revision is necessary for changes within a permitted facility, ifthe changes are accepted excepted from the definition ofmodification in Part A, Section 1.8.28. ofthis Regulation Number 3, and the changes do not exceed the emissions allowable underthe permit, whether expressed therein as a rate ofemissions or in the terms oftotal emissions, and provided that notice is provided to the Division as setforth below: XII.A.1.a. For each such change, the facility shall provide the Administrator and the Division with a minimum of seven days' written notification in advance ofthe proposed changes. The notice must be received by the Division no laterthan seven days in advance ofthe proposed changes. The source, the Division, and the Administrator shall attach each such notice to their copy ofthe relevant permit; XII.A.1.b. For each such change, the written notification required above shall include a brief description ofthe change within the permitted facility, the date on which the change will occur, any change in emissions, and any permit term or condition that is no longer applicable because ofthe change; XII.A.1.c. A source shall be allowed to make such change proposed in its notice on the day following the last day ofthe advance notice described in this section if the Division has not responded nor objected to the proposed change on or before that day; and XII.A.1.d. The permit shield shall not apply to any changes made pursuant to this section. If subsequent changes cause the facility's operations and emissions to revert to those anticipated in the operating permit, the permittee resumes compliance with the terms and conditions ofthe permit, and has provided the Division and Administrator with a minimum ofseven days advance notice ofsuch changes in accordance with the provisions of Section XII.A.1.a., above, the permit shield may be reinstated in accordance with the terms and conditions stated in the operating permit. XII.A.2. Changes made pursuantto this Section XII.A. shall be incorporated into the operating permit atthe time of renewal, atwhich time the permit shield shall apply. XII.B. Off Permit Changes No permit revision shall be necessary for changes within a permitted facility, not otherwise addressed or prohibited in the permit or in the provisions ofthis Section XII.B., governing off permit changes. This provision shall apply to changes, which are accepted from the definition of permit modification in Section I.A.3. ofthis Part C, or ifsuch changes are subjectto requirements ofTitle IV ofthe Federal Act (acid rain program). As provided for in the state implementation plan, changes made pursuant to this Section XII.B. shall nottriggerthe procedural requirements contained in Part B ofthis regulation for obtaining a construction permit. XII.B.1. Each such change shall meet all applicable requirements and shall notviolate any existing permitterm orcondition. XII.B.2. The source must provide contemporaneous written notice to the permitting authority and the Administrator ofeach such change, exceptfor changes that have been determined to be insignificant by the Commission pursuantto regulation. Such written notice shall describe each such change, including the date, any change in emissions, pollutants emitted, and any applicable requirement thatwould apply as a result ofthe change. A revised Air Pollutant Emission Notice shall be submitted in accordance with the

Regulation Number 3 Adopted: October 20,2011 Page 124provisions of Part

### A, Section II., along with the written notice required in this Section XII.B.2. XII.B.3. The permit shield shall not apply to any such change made pursuant to this Section XII.B. XII.B.4. The source shall keep a record describing changes made atthe source that result in emissions ofa regulated air pollutant subject to an applicable requirement, but not otherwise regulated underthe permit, and the emissions resulting from those changes, including any other data necessaryto show compliance with applicable ambient air quality standards. XII.B.S. Changes made pursuant to this Section XII.B. shall be incorporated into the operating permit atthe time of renewal. XIII. Reopening For Cause Of Permits Issued Pursuant To Part C XIII.A A permit issued pursuant to Part C ofthis Commission Regulation Number 3, shall be reopened and revised under any ofthe following circumstances: XIII.A.1.Additional applicable requirements become applicable to a majorsource with a remaining permit term ofthree or more years. Such reopening shall be completed no laterthan eighteen months after promulgation ofthe applicable requirement. No such reopening is required ifthe effective date ofthe requirement is laterthan the date on which the permit is due to expire, unless the original permit orany of its terms and conditions has been extended, or ifa general permit is obtained to address the new requirement pursuant to Section VIII.A.2. ofthis Part C; XIII.A.2.Additional requirements (including excess emissions requirements) become applicable to an affected source underthe acid rain program. Upon approval by the Administrator, excess emissions offset plans shall be deemed to be incorporated into the permit; XIII.A.3.The Division orthe Administrator determines that the permit contains a material mistake orthat inaccurate statements were made in establishing the emissions standards orother terms or conditions ofthe permit; XIII.A.4.The Division orthe Administrator determines that the permit must be revised or revoked to assure compliance with the applicable requirements; XIII.AS.Permit reopening and reissuance shall be processed using the procedures setforth in Sections Ill., IV., and V. ofthis Part C for permit issuance and permit renewal; XIII.AS.Proceedings to reopen and reissue permits affect only those parts ofthe permit forwhich cause to reopen exists; and XIII.A?.Reopening underthis section of Part C shall not be initiated before notice ofsuch intent is provided to the source by the Division at leastthirty days in advance ofthe date that the permit is to be reopened. The Division may provide a shortertime period within which to give notice in the case ofan emergency. XIII.B. The Division shall extend the permit shield to those parts ofthe permit that have been changed pursuant to the reopening and reissuance proceedings ofthis section of Part C. XIII.C. A source may choose to have its operating permit renewed during any proceeding for reopening the permit underthis section, provided a complete application is submitted pursuant to Part C.

Regulation Number3 Adopted: October20,2011 Page 125

### XIV. Compliance Assurance Monitoring The regulations promulgated by the U.S. EPA listed in Section XIV.A.1., below, are hereby incorporated by reference by the Commission and made a partofthe Colorado Commission regulations. Materials incorporated by reference are those in existence as ofthe date indicated and do not include later amendments. The material incorporated by reference is available for public inspection during regular business hours atthe Office ofthe Commission, located at4300 Cherry Creek Drive South, Denver, Colorado 80246-1530, or may be examined at any state publications depository library. Parties wishing to inspect these materials should contact the Technical Secretary ofthe Commission, located atthe office ofthe Commission. XIV.A.1. Air Pollution Control, Monitoring, Operating Permits, Reporting and Record Keeping Requirements: Compliance Assurance Monitoring, Code of Federal Regulations Title 40, Parts 64 and 70.6, October 22, 1997 (62 FR 54900). Air Pollution Control, Monitoring, Operating Permits, Reporting and Record keeping Requirements: Compliance Assurance Monitoring, Code of Federal Regulations Title 40, Parts 64, 70.6 and 71.6, October 22, 1997 (62 FR 54900). 

### PART D CONCERNING MAJOR STATIONARY SOURCE NEW SOURCE REVIEW AND PREVENTION OF SIGNIFICANT DETERIORATION 

### I. Applicability I.A. General Applicability I.A.1. This Part D shall apply to any new orexisting major stationary source. Any new major stationary source or major modification, to which the requirements ofthis Part D apply, shall not begin actual construction in a nonattainment, attainment, or unclassifiable area unless a permit has been issued containing all applicable state and federal requirements. I.A.2. Exceptas otherwise providedin Section XV. ofthis PartD, andconsistent with the definition ofmajormodification (Section II.A.22. ofthis part), 

### a projectis 

### a major modification for

### a regulated NSRpollutantifitcauses two types ofemissions increases

### a significant emissions increase (as defined in Section I/.A.43. ofthis part), and

### a significantnet emissions increase (as definedin Sections II.A.26. and I/.A.42. ofthis part). The projectis not

### a majormodification ifit does notcause 

### a significant emissions increase. Ifthe projectcauses

### a significant emissions increase, then the projectis 

### a majormodification onlyifitalso results in 

### a significant netemissions increase. I.A.3. The procedure forcalculating (before beginning actual construction) whether

### a significant emissions increase (i.e., the firststep ofthe process) will occurdepends upon the type of 

### emissions units being constructedormodified, according to Sections 1.8.1. through 1.8.3. ofthis part. The procedure forcalculating (before beginning actual construction) whether 

### a significant net emissions increase will occurat the majorstationarysource (i.e., the secondstep ofthe process) is contained in the definition ofNet Emissions Increase (Section II.A.26. ofthis part). Regardless ofanysuchpreconstruction projections, 

### a major modification results ifthe project causes 

### a significantemissions increase and

### a significant netemissions increase. 

### 1.8. Applicability Tests 

### 1.8.1. Actual-to-projected-actualapplicabilitytest forprojects that onlyinvolve existing emissions units. Regulation Number 3 Adopted: October 20, 2011 Page 126A significantemissions increase of

### a regulatedNSRpollutantisprojectedto occurifthe sum of the difference between the projectedactualemissions (as definedin Section II.A.36. ofthispart) andthe baseline actualemissions (as definedin Sections II.A.4.a. andI/.A.4.b. ofthispart, as applicable), foreach existing emissions unit, equals orexceeds the significantamountforthat pollutant (as definedin Section II.A.42. ofthis part). 

### 1.8.2. Actual-to-potentialtest forprojects thatonlyinvolve construction of

### a newemissions unit(s). · A significantemissions increase of

### a regulatedNSRpollutantis projectedto occurifthe sum of the difference between the potentialto emit (as definedin Section 1.8.35. ofPartA ofthis regulation) from each newemissions unitfollowing completion ofthe projectand the baseline actualemissions (as definedin Section II.A.4. ofthispart) ofthese units before the projectequals orexceeds the significantamountforthatpollutant (as definedin Section /I.A.42. ofthispart). 

### 1.8.3. Hybrid test forprojects thatinvolve multiple types ofemissions units. A significantemissions increase of

### a regulated NSRpollutantisprojectedto occurifthe sum of the emissions increases foreach emissions unit, using the methods specifiedin Sections I.B. 1. through 1.8.3. ofthispartas applicable with respect to each type ofemissions unit, equals or exceeds the significantamountforthatpollutant (as definedin Section /I.A.42. ofthispart). 

### I.8.4. An owneroroperatorof

### a majorstationarysource who conducts the actual-to-projectedactual test

### for aprojectthatrequires 

### a minorpermitmodification in accordance with Section X ofPart

### C, requires 

### a significantpermitmodification in accordance with Section I.A.3. ofPart

### C, 

### a modification as definedin Section 1.8.26. ofPartA orthatrequires 

### a minorsource permit underPart8 shallsubmit

### a permitapplication including: I.B.4.a. Allcalculations andsupporting documentation usedto determine baseline actual emissions ofeach emissions unitaffectedbythe project; 

### 1.8.4.b. Allcalculations andsupporting documentation usedto determineprojectedactual emissions ofeach existing emissions unitaffectedbythe project; 

### I.

### 8.4.c. A determination ofthatportion ofeach existing unit's emissions following the projectthat the unitcouldhave accommodatedduring the consecutive twentyfourmonthperiodusedto establish the baseline actual emissions andthatare unrelated to the project, including anyincreased utilization due to product demandgrowth; and, 

### 1.8.4.d. Anyotherinformation requestedbythe Division thatmaybe neededto determine if

### a majormodification will occurateach emissions unitaffectedbythe project. The information submittedin accordance with Section I.B.4.a. through I.B.4.d., above, shallbe incorporatedinto an appendix to the majorstationarysource's Title V Operating permitoras

### a permitnote in the construction permit. The requirement that the owneroroperatorof

### a majorstationarysource who conducts the actual-to-projected-actualtest for

### a projectthatrequires 

### a minorpermitmodification submitinformation in accordance with Sections 1.8.4.a. through 1.8.4.d., as set outin this Subsection 1.8.4., shallnotbe federally enforceable andshallnotbe incorporatedinto the state implementation plan.

Regulation Number 3 Adopted: October20,2011 Page 127I.

### C. Foranymajorstationarysource requesting, oroperating under, 

### a Plant-wide Applicability Limitation (as defined in Section /I.A.32.) fora regulated NSRpollutant, the majorstationary source shall comply with the requirements ofSection XV. ofthis part. 

### II. Definitions II.A. The following definitions apply specifically to the provisions contained in this Part D. II.A.1. Actual Emissions The actual rate ofemission ofa regulated NSR pollutant from an emissions unit, determined as follows: II.A.1.a.Actual emissions as of a particular date shall equal the average rate, in tons per year, atwhich the unit actuallyemitted the pollutant during a two-year consecutive twenty-fourmonth period that precedes the particular date and is representative of normal unit operation. A different period may be used if it is more representative of normal unit operation. Actual emissions shall be calculated using the unit's actual operating hours, production rates, and types of materials processed, stored or combusted or actual emission data during the selected time period; II.A.1.b.The Division may presume that source-specific allowable emissions forthe unit are equivalentto the actual emissions ofthe unit only ifactual emissions cannot be determined pursuant to Section II.A.1.a., above; II.A.1.c. For any emissions unit (other than an electric utility steam generating unit) that has not begun normal operations on the particular date, actual emissions shall equal the potential to emitofthe unit on that date. II.A.1.d. This definition shall notapplyforcalculating whethera significantemissions increase has occurred, orforestablishing a PAL underSection XV. ofPartD of this regulation. Instead, Sections /I.A.36. and II.A.4. ofthis partshallapplyfor these purposes. II.A.1.e. For an electric utility steam generating unit (otherthan a new unit orthe replacement ofan existing unit) actual emissions ofthe unit following the physical or operational change shall equal the representative actual annual emissions of the unit, provided the source owner oroperator maintains and submits to the Division on an annual basis, for a period offive years from the date the unit resumes regular operation. information demonstrating thatthe physical or operational change did not result in an emissions increase. A longer period, not to exceed ten years, may be required by the Division if it determines such a period to be more representative of normal source post change operations. II.A.2. Actuals PAL Fora majorstationarysource, means a PAL basedon the baseline actualemissions (as defined in Section II.A.4. ofthis part) ofallemissions units (as defined in the Common Provisions regulation) at the source thatemitorhave the potential to emit the PAL pollutant. II.A.3. Air Quality Related Value Any value of an area that may be affected by a change in air quality. Examples include flora, fauna, soil, water, visibility, cultural, and odor. Regulation Number 3 Adopted: October 20,2011 Page 128

### II.A.4. BaselineActualEmissions The rate ofemissions, in tonsperyear, of

### a regulated NSRpollutant, as determinedin accordance with Sections II.A.4.a. through II.A.4.d. below. 

### II.A.4.a. Foranyexisting electric utilitysteam generating unit (as definedin Section /I.A. 14. ofthispart}, baseline actual emissions means the average rate, in tons peryear, at which the unitactuallyemittedthe pollutantduring anyconsecutive twenty-fourmonthperiodselectedbythe owneroroperatorwithin the five year periodimmediatelypreceding when the owneroroperatorbegins actual construction ofthe project. The Division shallallowthe use of

### a different time period upon 

### a determination thatitis more representative ofnormalsource operation. 

### II.A.4.a.(i) The average rate shallinclude fugitive emissions to the extent quantifiable, andemissions associated with startups, shutdowns, and malfunctions. 

### II.A.4.a.(ii) The average rate shallbe adjusteddownward to exclude anynoncompliantemissions thatoccurred while the source was operating above anyemission limitation that was legallyenforceable during the consecutive twenty-fourmonth period. 

### II.A.4.a.(iii) For

### a regulated NSRpollutant, when 

### a projectinvolves multiple emissions units, onlyone consecutive twenty-fourmonth periodmaybe used to determine the baseline actual emissions forthe emissions units being changed. A different consecutive twenty-fourmonthperiodcan be usedforeach regulatedNSRpollutant. 

### II.A.4.a.(iv) The average rate shallnotbe basedon anyconsecutive twenty-four monthperiodfor which there is inadequate information fordetermining annualemissions, in tons peryear, andforadjusting this amountif requiredbySection II.A.4.a.(ii). /I.A. 4.b. Foran existing emissions unit (otherthan an electric utilitysteam generating unit}, baseline actualemissions means the average rate, in tonsperyear, at which the emissions unitactuallyemittedthe pollutantduring anyconsecutive twenty-fourmonth periodselectedbythe owneroroperatorwithin the ten year periodimmediatelypreceding eitherthe date the owneroroperatorbegins actual construction ofthe project, orthe date 

### a complete permitapplication is received bythe Division for

### a permitrequired underthis PartD, exceptthat the ten year periodshallnotinclude anyperiodearlierthan November 15, 1990.

Regulation Number3 Adopted: October20, 2011 

### II.A.4.b.(i) The average rate shallinclude fugitive emissions to the extent quantifiable, andemissions associated with startups, shutdowns, and malfunctions. 

### II.A.4.b.(ii) The average rate shallbe adjusted downward to exclude anynoncompliantemissions thatoccurred while the source was operating above an emission limitation that was legallyenforceable during the consecutive twenty-fourmonth period. 

### II.A.4.b.(iii) The average rate shallbe adjusteddownward to exclude any emissions that wouldhave exceededan emission limitation with which the majorstationarysource mustcurrentlycomply, had the major

Page 129stationarysource been required to comply with such limitations during the consecutive twenty-fourmonth period. However, ifan emission limitation is part of

### a maximum achievable control technologystandard containedin Part E ofRegulation Number8, the baseline actual emissions needonlybe adjustedifthe State has taken creditforsuch emissions reductions in an attainmentdemonstration ormaintenance plan. II.A.4.b.(iv) Fora regulated NSRpollutant, when a projectinvolves multiple emissions units, onlyone consecutive twenty-fourmonth periodmustbe used to determine the baseline actual emissions forthe emissions units being changed. A different consecutive twenty-fourmonth periodcan be used foreach regulated NSRpollutant. II.A.4.b.(v) The average rate shall notbe basedon anyconsecutive twenty-four month period for which there is inadequate information fordetermining annual emissions, in tons peryear, andforadjusting this amountif required underSections ll.A.4.b. (ii) and I/.A.4.b. (iii) ofthis part. ll.A.4.c. For

### a newemissions unit, the baseline actual emissions forpurposes of determining the emissions increase that will result from the initial construction andoperation ofsuch unitshall equalzero; and thereafter, forallotherpurposes, shall equal the unit'spotential to emit (as defined in Section 

### 1.8.35. ofPartA of this regulation). II.A.4.d. Fora PAL fora majorstationarysource, the baseline actual emissions shallbe calculated forexisting electric utilitysteam generating units in accordance with the procedures containedin Section I/.A.4.a., for otherexisting emissions units in accordance with the procedures containedin Section ll.A.4.b., andfor

### a new emissions unitin accordance with the procedures containedin Section I/.A.4.c. liAS. Baseline Area II.A.5.a. Any intrastate area (and every partthereof) designated as attainment or unclassifiable under Sections 107(d)(1)(G8).(ill or 

### (elii) ofthe Federal Act in which the major source or major modification establishing the minor source baseline datewould construct orwould have an air quality impactfor the pollutantforwhich the baseline date is established. as follows: equal to or greater than one microgram/cubic meterfH.1.J!g/m3) (annual average) for S02. N02, or PM1 0; or equal to or greaterthan 0.3 ug/m3) {annual average) ofthe pollutant forwhich the minorsource baseline date is establishedfor PM2.5. II.A.5.b. Area redesignations under Section 107(d)(1)(.Q8).® or 

### (eill) ofthe Federal Act cannot intersect or be smallerthan the area of impact ofany major stationary source or major modification that: II.A.5.b.(i) Establishes a minor source baseline date, or II.A.5.b.(ii) Is subject to this Part D, and would be constructed in the same state as the state proposing the redesignation. II.A.5.c. Any baseline area established originally for the total suspended particulate increments shall remain in effect and shall apply for purposes ofdetermining the amount of available PM1 0 increments, exceptthat such baseline area shall not

Regulation Number3 Adopted: October 20, 2011 Page 130remain in effect ifthe permit authority rescinds the corresponding minor source baseline date in accordance with Section II.A.25.c. II.A.6. Baseline Concentration The ambient concentration level that exists in the baseline area atthe time ofthe applicable minor source baseline date. A baseline concentration is determined for each pollutant for which a minor source baseline date is established and shall include: II.A.6.a. The actual emissions representative ofsources in existence on the applicable minor source baseline date, except as otherwise provided in this definition; and II.A.6.b. The allowable emissions from major stationary sources that commenced construction before the major source baseline date, butwere not in operation by the applicable minor source baseline date. II.A.6.c. The following will not be included in the baseline concentration and will affectthe applicable maximum allowable increase(s): II.A.6.c.(i) Actual emissions from any major stationary source on which construction commenced afterthe major source baseline date; and II.A.6.c.(ii) Actual emission increases and decreases at any stationary source occurring after the minor source baseline date. II.A.7. Begin Actual Construction Initiation ofphysical on-site construction activities on an emissions unit thatare ofa permanent nature. Such activities include, butare notlimited to, installation ofbuilding supports and foundations, laying ofundergroundpipe work, andconstruction of permanentstorage structures. With respect to a change in the method ofoperation, this term refers to those on-site activities otherthan preparatoryactivities thatmark the initiation ofthe change. II.A.8. Best Available Control Technology (BACT) An emission limitation (including a visible emissions standard) based on the maximum degree of reduction ofeach regulated NSR pollutant thatwould be emitted from any proposed major stationary source or major modification that the Division or Commission, 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 ortreatment or innovative fuel combustion techniques for control ofsuch pollutant. In no event shall application ofthe best available control technology result in emissions ofany pollutant that would exceed emissions allowed by the applicable standards in the Code of Federal Regulations, Title 40, Parts 60 and 61 (Regulation Number 6, PartA, and Regulation Number 8, PartA) as in effect on the effective date ofthis clause, but not including later amendments, unless such amendments are specifically incorporated by reference in accordance with the provisions ofColorado Revised Statutes Section 24-4-103 (12.5). Information as to the availability ofsuch standards may be obtained from the Director, Air Pollution Control Division, Colorado Department of Public Health and Environment, 4300 Cherry Creek Drive South, Denver, Colorado 80246-1530. Ifthe Division or Commission determines that technological or economic limitations on the application of measurement methodology to a particular emissions unit would make the imposition ofan emissions standard infeasible, it may instead prescribe designs, equipment, work practices, operational standards or combination thereof, to satisfy the requirement forthe Regulation Number 3 Adopted: October20, 2011 Page 131application of best available control technology. Such standard shall, to the degree possible, set forth the emissions reduction achievable by implementation ofsuch design, equipment, work practice oroperation and shall provide for compliance by means that achieve equivalent results. II.A.9. Clean Coal Technology Any technology, including technologies applied atthe pre-combustion; combustion, or postcombustion stage, at a new or existing facility thatwill achieve significant reductions in air emissions ofsulfurdioxide oroxides of nitrogen associated with the utilization ofcoal in the generation ofelectricity, or process steam which was not in widespread use as of November 15, 1990. II.A.10. Clean Coal Technology Demonstration Project A project using funds appropriated underthe heading "Department of Energy-Clean Coal Technology," up to a total amount of$2.5 billion for commercial demonstration ofclean coal technology, orsimilar projects funded through appropriations forthe U.S. EPA The federal contribution for a qualifying project shall be at least twenty percent ofthe total cost ofthe demonstration project. II.A.11. Complete In reference to an application for a major NSR permit, an application that contains all the information necessary for processing the application. Designating an application complete for purposes of permit processing does not preclude the Division from requesting oraccepting any additional information. II.A.11.a. At a minimum, a complete application for a permit to construct a major source or major modification subject to the requirements ofthis Part D shall include: II.A.11.a.(i) All monitoring data required pursuant to this regulation and an analysis of ambient air quality in accordance with Section VI.A.3. ofthis part; II.A.11.a.(ii) The impact analysis required by Section VI.A.2. ofthis part, a written summary ofthe data inputs to the model, and a topographic presentation ofthe resultant concentrations ofeach pollutant modeled for each applicable ambient standard or Prevention ofSignificant Deterioration incrementwithin the impact area ofthe source; II.A.11.a.(iii) A report ofthe regulatory status ofthe model pursuant to Section VIII.A.1. of Part A; II.A.11.a.(iv) A demonstration that the proposed technological system ofcontinuous emission reduction that is to be used will enable such source to comply continuously with the standards of performance that are to apply to such source and that the emission inputs to the model for the impact analysis are equivalent to the emissions allowed by such standards of performance; II.A.11.a.(v) A description ofthe devices or systems that will be installed to monitorthe emissions ofeach pollutant that will be emitted in significant amounts, maintaining such devices orsystems, and the schedule and format for reporting the results ofsuch emission monitoring to the Division;

Regulation Number3 Adopted: October20, 2011 Page 132II.A.11.a.(vi) The additional impact analysis required by Section VI.A.6. ofthis part, any demonstration offacts needed to establish a claim by the applicant to qualifyfor any exemption or exclusion under Section VI.B. ofthis part; II.A.11.a.(viifA schedule ofconstruction in accordance with Section III.G.2. of Part B; II.A.11.a.(viii) An additional copy ofthe application forthe federal land manager ofeach affected Class 1 area, for the U.S. EPA, for the county Commissioner, and for public notice (county clerk). Two additional copies shall be submitted for interested public groups. II.A.12. Construction Anyphysicalchange orchange in the method ofoperation (including fabrication, erection, installation, demolition, ormodification ofan emissions unit) that wouldresult in a change in actual emissions II.A.13. Emissions Unit Anypart ofa stationarysource thatemits orwouldhave the potential to emitanyregulated NSR pollutantandincludes an electric steam-generating unitas definedin Section /I.A. 14. ofthis part. Forpurposes ofthis PartD, there are two types ofemissions units describedin Section I/.A.13.a. and II.A.13.b., below. II.A.13.a. A newemissions unitis anyemissions unit thatis (orwillbe) newlyconstructed and thathas existed forless than two years from the date such emissions unit first operated. II.A.13.b. An existing emissions unitis anyemissions unit thatdoes notmeet the requirements in Section II.A.13.a., above. A replacement unit (as definedin Section II.A.39. ofthis part) is an existing emissions unit. II.A.14. Electric Utility Steam Generating Unit Any steam electric generating unit that is constructed for the purpose ofsupplying more than onethird of its potential electrical output capacity and more than twenty-five megawatts electrical output to any utility power distribution system for sale. Any steam supplied to a steam distribution system forthe purpose of providing steam to a steam-electric generatorthat would produce electrical energy for sale is also considered in determining the electrical energy output capacity of the affected facility. II.A.15. Federal Land Manager (FLM) With respect to any lands ofthe United States, the secretary ofthe departmentwith authority over such lands. II.A.16. High Terrain Anyarea having an elevation nine hundredfeet ormore above the base ofthe stack ofa source. II.A.17. Hydrocarbon combustion flare Eithera flare used to comply with an applicable newsource performance standardormaximum achievable control technologystandard (including uses offlares during startup, shutdown, or malfunction permitted undersuch standard), ora flare thatserves to controlemissions ofwaste Regulation Number 3 Adopted: October 20, 2011 Page 133streams comprisedpredominatelyofhydrocarbons andcontaining no more than 230 mgldscm hydrogen sulfide. II.A.18. Innovative Control Technology Any system ofair pollution control that has not been adequately demonstrated in practice, but would have a substantial likelihood ofachieving greater continuous emissions reduction than any control system in current practice orofachieving at least comparable reductions at lower cost in terms ofenergy, economics, or non-air quality environmental impacts. II.A.19. Low Terrain Anyarea otherthan high terrain. II.A.20. Lowest Achievable Emissions Rate (LAER) For any source, the more stringent rate ofemissions based on the following: II.A.20.a. The most stringent emission limit contained in any state implementation plan for such class or category ofstationary source, unless the owner oroperatorofthe proposed stationary source demonstrates that such limits are not achievable; or II.A.20.b. The most stringent emission limitation that is achieved in practice or can reasonably be expected to occur in practice by such class orcategory ofsource, taking into consideration the pollutant that must be controlled. In no event shall application ofthe term permit

### a proposednewormodifiedstationarysource to emit any pollutant in excess ofthe amount allowable under an applicable new source performance standard (Regulation Number6). II.A.21. MajorEmissions Unit II.A.21.a. Anyemissions unit thatemits orhas the potentialto emitone hundred tons per yearormore ofthe PAL pollutantin an attainmentarea; or II.A.21.b. Anyemissions unit thatemits orhas the potentialto emitthe PAL pollutantin an amountthatis equal to orgreaterthan the major stationarysource threshold (as definedin Section II.A.24. ofthis pari) forthe PAL pollutantfornonattainment areas. Forexample, in accordance with the definition of

### a majorstationary source (as definedin Section II.A.24.ofthispari), an emissions unit wouldbe 

### a majoremissions unitfor volatile organic compounds ifthe emissions unitis locatedin an ozone nonattainmentarea andemits orhas the potential to emit one hundredormore tons ofvocperyear. II.A.22. Major Modification Any physical change in or change in the method ofoperation of. oraddition to. a major stationary source that would result in a significant net emissions increase ofa regulated NSR pollutant (taking into account all emissions decreases and increases at the source that would accompany the modification) anda significantnetemissions increase ofthatpollutantfrom the major stationarysource. II.A.22.a. Any significant emissions increase from anyemissions units ornet emissions increase ata majorstationarysource that is significant for volatile organic compounds or NOx shall be considered significant for ozone.

Regulation Number3 Adopted: October 20,2011 Page 134II.A.22.b. In the Denver Metropolitan PM10 nonattainment area, any net emission increase that is significant for sulfur dioxide or nitrogen oxides shall be considered significant for PM10. II.A.22.c. A physical change orchange in the method ofoperation shall not include routine maintenance, repair, and replacement. II.A.22.d. A physical change or change in the method ofoperation, unless previously limited by any enforceable orfederally enforceable permit condition that was established after January 6, 1975for sources in attainment or unclassifiable areas and after December21, 1976 for sources in nonattainment areas, shall not include:

Regulation Number3 Adopted: October20, 2011 II.A.22.d.(i) Use ofan alternative fuel or raw material by reason ofan order in effect under Sections 2(a) and (b) ofthe Federal Energy Supply and Environmental Coordination Act of 1974 (or any superseding legislation), a prohibition underthe Power Plant and Industrial Fuel Use Act of 1978 (or any superseding legislation) or by reason ofa natural gas curtailment plan in effect pursuant to the Federal PowerAct; II.A.22.d.(ii) Use ofan alternative fuel because ofan order or rule under Section 125 ofthe Federal Act; /I.A. 22. d. (iii) Use ofan alternative fuel at

### a steam-generating unit to the extent that the fuel is generated from municipalsolid waste II.A.22.d.(iv) Use ofan alternative fuel or raw material that: II.A.22.d.(iv)(A) the stationary source in a nonattainment area was capable ofaccommodating priorto December21, 1976, unless such change would be prohibited under a federally enforceable permit condition, or II.A.22.d.(iv)(B) the stationary source in an attainment or unclassifiable area was capable ofaccommodating priorto January 6, 1975 unless such change would be prohibited under a federally enforceable permit condition, or II.A.22.d.(iv)(C) the source is approved to use under any permit issued underthis Regulation Number3. II.A.22.d.(v) An increase in the production rate, unless such change would be prohibited under a federally enforceable permit condition; II.A.22.d.(vi) An increase in the hours ofoperation, unless such increase would be prohibited under a federally enforceable permit condition; or II.A.22.d.(vii) Any change in ownership ofa stationary source. II.A.22.d.(viii) The installation, operation, cessation, or removal ofa temporary clean coal technology demonstration project, ifthe project complies with: II.A.22.d.(viii)(A) The Colorado State Implementation Plan, and

Page 135II.A.22.d.(viii)(B) Other requirements necessary to attain and maintain the National AmbientAir Quality Standards during the project and after it is terminated. II.A.22.d.(ix) For major stationary sources in attainment areas: II.A.22.d.(ix)(A) The installation oroperation ofa permanent clean coal technology demonstration project that constitutes re-powering, provided that the project does not result in an increase in the potential to emit ofany regulated pollutant emitted by the unit. The exemption shall apply on a pollutant-by-pollutant basis. II.A.22.d.(ix)(B) the reactivation ofa very clean coal fired electric utility steam generating unit. II.A.22.d.(x) The reactivation ofa very clean coal fired electric utility steam generating unit. I/.A.22.e. This definition shall notapply with respect to 

### a particularregulatedNSR pollutant when the majorstationarysource is complying with the requirements underSection XV. ofthis PartD for

### a PAL forthatpollutant. Instead, the definition in Section II.A.30. ofthis partshallapply. II.A.22.f. Emissions caused by indirect sources of pollution, emissions from internal combustion engines on any vehicle, and emissions resulting from temporary construction or exploration activities shall be excluded in determining whether a major modification will occur. Emissions from on-going construction are not considered to be temporary emissions, and are included in determining whether a major modification will occur. Fugitive emissions from the listed sources in Section II.A.24.a. and any other stationary source category that, as ofAugust 7, 1980 was regulated under Sections 111 or 112 ofthe Federal Act (as adopted in Regulations Nos. 6, Part A, and 8, Parts A and E) shall, to the extent quantifiable, be considered in calculating the potential to emit ofthe modification. II.A.23. Major Source Baseline Date II.A.23.a. In the case of particulate matterPM10 and sulfur dioxide, January 6, 1975; 

### aR4 II.A.23.b. In the case of nitrogen dioxide, February 8, 1988: and II.A.23.c. In the case of PM2.5, October 20, 2011. II.A.24. Major Stationary Source II.A.24.a. Forthe purpose ofdetermining whether a source in an attainment or unclassifiable area is subject to the requirements ofthis Part D, major stationary source means:

Regulation Number 3 Adopted: October 20, 2011 II.A.24.a.(i) Any ofthe following stationary sources ofair pollutants that emits, or has the potential to emit, one hundred tons per year or more ofany regulated NSR pollutant:

Page 136Regulation Number 3 Adopted: October 20, 2011 II.A.24.a.(i)(A) Fossil fuel-fired steam electric plants of more than 250 million British thermal units per hour heat input II.A.24.a.(i)(B) Coal cleaning plants (with thermal dryers) II.A.24.a.(i)(C) Kraft pulp mills II.A.24.a.(i)(D) Portland cement plants II.A.24.a.(i)(E) Primary zinc smelters II.A.24.a.(i)(F) Iron and steel mill plants II.A.24.a.(i)(G) Primary aluminum ore reduction plants II.A.24.a.(i)(H) Primary copper smelters II.A.24.a.(i)(l) Municipal incinerators capable ofcharging more than 250 tons of refuse per day II.A.24.a.(i)(J) Hydrofluoric, sulfuric, and nitric acid plants II.A.24.a.(i)(K) Petroleum refineries II.A.24.a.(i)(L) Lime plants II.A.24.a.(i)(M) Phosphate rock processing plants II.A.24.a.(i)(N) Coke oven batteries II.A.24.a.(i)(O) Sulfur recovery plants II.A.24.a.(i)(P) Carbon black plants (furnace process) II.A.24.a.(i)(Q) Primary lead smelters II.A.24.a.(i)(R) Fuel conversion plants II.A.24.a.(i)(S) Sintering plants II.A.24.a.(i)(T) Secondary metal production plants II.A.24.a.(i)(U) Chemical process plants II.A.24.a.(i)(V) Fossil fuel boilers (or combinations thereof) totaling more than 250 million British thermal units per hour heat input II.A.24.a.(i)(W) Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels II.A.24.a.(i)(X) Taconite ore processing plants II.A.24.a.(i)(Y) Glass fiber processing plants II.A.24.a.(i)(Z) Charcoal production plants Page 137II.A.24.a.(ii) Notwithstanding the stationary source size specified in Section II.A.24.a.(i), anystationary source that emits, or hasthe potential to emit, two hundred and fifty tons peryear or more ofany regulated NSR pollutant. II.A.24.b.Forthe purpose ofdetermining whether a source in a nonattainment area is subjectto the requirements of Section V. ofthis part, and whether a source in an attainment area affecting a nonattainment area is subjectto the requirements of Section VI.D. ofthis part, major stationary source means any stationary source of air pollutants that emits, or has the potential to emit 100 tons peryear or more of any regulated NSR pollutant forwhich the area is nonattainment. Additionally, a source causing or contributing to a violation ofa national ambient air quality standard for any pollutant regulated under Section 110 ofthe Federal Act shall be considered a major stationary source when it has the potential to emit one hundred tons peryear or more ofthat pollutant. The source will be considered to cause or contribute to a violation where the source exceeds the significance levels in the table under Section VI.D.2. ofthis Part D. Such source is subject to the requirements of Section VI. ofthis Part D. II.A.24.c.Majorstationary source includes any physical change that would occur at a stationary source not otherwise qualifying as a major stationary source under Sections II.A.24.a and II.A.24.b. ofthis part, ifthe change would constitute a major stationary source by itself. II.A.24.d.A majorstationary source that is majorfor volatile organic compounds or NOx shall be considered majorfor ozone, exceptthat emissions of negligibly reactive volatile organic compounds, as defined in the Common Provisions, shall not be included in the determination of majorstationary source status for ozone. II.A.24.e.The fugitive emissions ofa stationary source shall not be included in determining for any ofthe purposes ofthis section whether it is a major stationary source, unless the source belongs to one ofthe categories ofstationary sources listed in Section II.A.24.a.(i) or any other stationary source category which, as of August 7, 1980, is regulated under Section 111 or 112 ofthe Federal Act. II.A.24.f.Emissions caused by indirect air pollution sources (as defined in Section 1.8.24. of Part A ofthis regulation), emissions from internal combustion engines on any vehicle, and emissions resulting from temporary activities, such as construction orexploration, shall be excluded in determining whether a source is a major stationary source. Emissions from on-going construction are not considered to be temporary emissions and are included in determining whether a major modification will occur. II.A.24.g.A majorstationary source in the Denver Metro PM10 attainment/maintenance area that is majorfor sulfurdioxide or nitrogen oxides shall be considered major for PM10. II.A.25. Minor Source Baseline Date II.A.25.a.The earliest date afterthe trigger date that a major stationary source or a major modification subject to the requirements of Section VI. ofthis Part D submits a complete application under the relevant regulations. The trigger date is:

Regulation Number 3 Adopted: October20,2011 II.A.25.a.(i) In the case of particulate matterPM10 and sulfurdioxide, August 7, 1977; 

### aOO

Page 138II.A.25.a.(ii) In the case of nitrogen dioxide, February 8, 1988; and II.A.25.a.(iii) In the case of PM2.5. October20. 2011. II.A.25.b. The baseline date is established for each pollutant for which increments or other equivalent measures have been established if: II.A.25.b.(i) The area in which the proposed source or modification would construct is designated as attainment or unclassifiable under Sections 107(d)(1)(98).(.ill or 

### (elli) ofthe Federal Actfor the pollutant on the date of its complete application under Section VI. ofthis part; and II.A.25.b.(ii) In the case ofa majorstationary source the pollutant would be emitted in significant amounts, or, in the case ofa major modification, there would be a significant net emissions increase ofthe pollutant. II.A.25.c. Any minor source baseline date established originally for the Total Suspended Particulates increments shall remain in effect and shall apply for purposes of determining the amount ofavailable PM1 0 increments, exceptthat the Division may rescind any such minor source baseline date where it can be shown, to the satisfaction ofthe Division, that the emissions increase from the majorstationary source, orthe net emissions increase from the major modification, responsible fortriggering that date did not result in a significant amount of PM1 0 emissions. II.A.26. Net Emissions Increase II.A.26.a. With respect to anyregulated NSRpollutantemittedbya majorstationary source, the amount by which the sum ofthe following exceeds zero: II.A.26.a.(i) The increase in the actual emissions from a particular physical change orchange in the method ofoperation at a stationary source calculatedpursuantto Sections I.A.2. through I.A.3., andI.B. ofthis Part D; and II.A.26.a.(ii) Any other increases and decreases in actual emissions atthe major stationary source that are contemporaneous with the particular change and are otherwise creditable. Baseline actual emissions for calculating increases anddecreases underthis paragraph shallbe determinedasprovidedin the definition ofbaseline actualemissions, exceptthatparagraphs II.A.4.a.(iii) and II.A.4.b.(iv) ofthis PartD shall notapply. II.A.26.b. Contemporaneous- an increase or decrease in actual emissions is contemporaneous with the increase from the particular change only if it occurs within five yearspriorto the date that the increase from the particularchange occurs. II.A.26.c. An increase or decrease in actual emissions is creditable only if:

Regulation Number 3 Adopted: October20,2011 II.A.26.c.(i) It occurs within five years before the date that the increase or decrease occurs; and II.A.26.c.(ii) The Division has not relied on it in issuing a permit for the source under Regulation Number 3, orthe U.S. EPA has not relied on it in issuing a permit underTitle I, Part C ofthe Federal Act, which permit is in

Page 139effectwhen the increase in actual emissions from the particular change occurs; and' II.A.26.c.(iii) In orderto establish a baseline emissions rate. the owner or operator must submit an Air Pollutant Emission Notice to the Division prior to the increase or decrease indicating actual emissions (as defined in Section II.A.1. ofthis of part) and the owner oroperator must submit a revised Air Pollutant Emission Notice to the Division within one year after the increase ordecrease occurs. or II.A.26.c.(ililY) The owner or operator provides credible, demonstrable evidence to the Division ofwhat actual emissions were before making the increase ordecrease and whatthey were after making the increase or decrease;. 

### ami,. II.A.26.d. In orderto establish a baseline emissions rate, the ovmer or operator must submit an Air Pollutant Emission Notice to the Division priorto the increase or decrease indicating actual emissions (as defined in Section IU\.1. ofthis of part) and the owner oroperator must submit a revised Air Pollutant Emission Notice to the Division within one year after the increase ordecrease occurs, or II.A.26.e.Q. An increase or decrease in actual emissions ofsulfur dioxide, particulate matter, or nitrogen oxides that occurs before the applicable minor source baseline date is creditable only if it is required to be considered in calculating the amount of maximum allowable increases remaining available. With respect to particulate matter, only PM10 emissions can be used to evaluate the net emissions increase for PM10 and only PM2.5 emissions can be used to evaluate the net emissions increase for PM2.5. II.A.26.fg. An increase in actual emissions is creditable only to the extentthatthe new level ofactual emissions exceeds the old level. II.A.26.gf. A decrease in actual emissions is creditable only to the extent that: II.A.26.gf.(i) The Division has not relied on it in issuing any permit underthis Part D, or has not relied on it in demonstrating attainment or reasonable further progress: II.A.26.gf.(ii) The old level ofactual emissions orthe old level ofallowable emissions, whichever is lower, exceeds the new level ofactual emissions; II.A.26.gf.(iii) It is federally enforceable as a 

### practicalmatterat and after the time that actual construction on the particular change begins; and II.A.26.gf.(iv) It has approximately the same qualitative significance for public health and welfare as that attributed to the increase from the particular change; and II.A.26.flg. 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. Any replacement unit that requires shakedown becomes operational only after a reasonable shakedown period, notto exceed one hundred and eighty days.

RegulationNumber3 Adopted: October20,2011 Page 140II.A.26.i!J.. Section II.A.1.a. ofthispartshallnotapplyfordetermining creditable increases anddecreases after

### a change. II.A.26.j!. The organic compounds referenced in the common provisions definition of negligibly reactive volatile organic compounds are neither counted as reactive volatile organic compounds in determining significant ozone increases nor creditable against an increase in emissions ofany volatile organic compound. II.A.26.kj. Creditable Decreases for Fuel Switching. Generally, for credit to be given forthe emissions reduction in potential to emit or actual emissions resulting from a physical change or change in method of operation ofa major stationary source occurring on orafter the effective date of this rule, an Air Pollutant Emission Notice reporting such reduction must be filed within one year after the reduction occurs unless an extension is requested by the source and approved by the Division due to uncertainty as to the permanence ofsuch reduction. At the time credit for any reduction is requested, such reduction must be enforceable. Such reductions must be enforceable through permit conditions orsource specific state implementation plan revisions. II.A.27. Nonattainment MajorNew Source Review (NSR) Program A majorstationarysource preconstruction permitprogram thathas been approvedbythe Administratorandincorporatedinto this Regulation Number3. Anypermitissued underthe program is 

### a majorNSRpermit. II.A.28. PAL Effective Date Generallymeans the date ofissuance ofthe PAL permit. However, the PAL effective date foran increased PAL is the date anyemissions unit thatis partofthe PAL majormodification becomes operationalandbegins to emit the PAL pollutant. II.A.29. PAL Effective Period The periodbeginning with the PAL effective date andending ten years later. II.A.30. PAL MajorModification Notwithstanding Sections /I.A.22 and/I.A.26. ofthis PartD (the definitions formajormodification andnetemissions increase), anyphysicalchange in orchange in the method ofoperation ofthe PAL source thatcauses it to emitthe PAL pollutantat

### a level equal to orgreaterthan the PAL. II.A.31. PAL Permit The Operating Permitissuedin accordance with this PartD thatestablishes 

### a PAL for

### a major stationarysource. II.A.32. PAL Pollutant The pollutantfor which 

### a PAL is establishedat

### a majorstationarysource. II.A.33. Plant-wide ApplicabilityLimitation (PAL)

Regulation Number 3 Adopted: October20,2011 Page 141An emission limitation expressedin tons peryear, fora pollutantata majorstationarysource that is enforceable as a practicalmatterandestablishedsource-wide in accordance with Section XV. ofthis PartD. II.A.34. Prevention ofSignificantDeterioration (PSD) Permit Anypermit thatis issued in accordance with Section VI. ofthis PartD. II.A.35. Project A physicalchange in, orchange in the methodofoperation of, an existing majorstationary source. II.A.36. ProjectedActual Emissions ll.A.36.a. The maximum annualrate, in tonsperyear, at which an existing emissions unit ata majorstationarysource is projectedto emita regulatedNSRpollutantin any one ofthe five years (twelve-month period) following the date the unitresumes regularoperation afterthe project, orin anyone ofthe ten years following that date, ifthe projectinvolves increasing the emissions unit's design capacityorits potentialto emitofthatregulatedNSRpollutantandfull utilization ofthe unit would result in a significantemissions increase ora significantnetemissions increase at the majorstationarysource. ll.A.36.b. In determining the projectedactual emissions underSection ll.A.36.a., above, before beginning actualconstruction, the owneroroperatorofthe major stationarysource: ll.A.36.b.(i) Shallconsiderallrelevant information, including butnotlimited to, historicaloperational data, the company's own representations, the company's expectedbusiness activityandthe company's highest projections ofbusiness activity, the company's filings with the State or Federal regulatoryauthorities, andcompliance plans; and ll.A.36.b.(ii) Shallinclude fugitive emissions to the extentquantifiable, and emissions associated with startups, shutdowns, andmalfunctions; and ll.A.36.b.(iii) Shallexclude, in calculating anyincrease in emissions thatresults from the particularproject, thatportion ofthe unit's emissions following the project thatan existing unitcouldhave accommodatedduring the consecutive twenty-fourmonthperiod used to establish the baseline actualemissions underSection ll.A.4. ofthispartD and thatare also unrelated to the particularproject, including anyincreased utilization due to productdemandgrowth; or, ll.A.36.b.(iv) In lieu ofusing the methodsetoutin Sections ll.A.36.b.(i) through ll.A.36.b.(iii), mayelectto use the emissions unit'spotentialto emit, in tonsperyear, as defined in Section 1.8.37. ofPartA ofthis regulation. II.A.37. Reactivation ofVery Clean Coal-fired Electric Utility Steam Generating Unit Any physical change or change in the method ofoperation associated with the commencement of commercial operations by a coal-fired utility unit after a period ofdiscontinued operation where the unit:

RegulationNumber 3 Adopted: October20,2011 Page 142II.A.37.a. Has not been in operation forthe two year period prior to the enactment ofthe Clean AirActAmendments of 1990, and the emissions from such unit continue to be carried in the permitting authority's emissions inventory atthe time ofthe enactment; II.A.37.b. Was equipped priorto shut-down with a continuous system ofemissions control that achieves a removal efficiency for sulfur dioxide of no less than eighty-five percent and a removal efficiency for particulates of no less than ninety-eight percent; II.A.37.c. Is equipped with low-nitrogen oxide burners priorto the time ofcommencement ofoperations following reactivation; and II.A.37.d. Is otherwise in compliance with the requirements ofthe Federal Act. II.A.38. Regulated NSR Pollutant II.A.38.a. Nitrogen oxides orany volatile organic compound; II.A.38.b. Any pollutant forwhich a national ambient air quality standard has been promulgated; II.A.38.c. Any pollutant that is a constituent or precursorofa general pollutant listed under Sections II.A.38.a. or II.A.38.b., above,(e.g. volatile organic compounds and oxides of nitrogen are precursors for ozone) provided that such a constituent or precursor pollutant may only be regulated under NSR as part of regulation of the general pollutant. Precursors for the purposes of New Source Review are the following: II.A.38.c.(i) Nitrogen oxides orany volatile organic compound are precursors to II.A.38.c.(ii) Sulfur dioxide is a precursorto PM2.5; II.A.38.c.(iii) Nitrogen oxides are precursors to PM2.5. II.A.38.d. Any pollutantthat is subject to any standard promulgated under Section 111 of the Federal Act; II.A.38.e. Any pollutant that otherwise is subject to regulation underthe Federal Act as defined in Section 1.8.44. or PartA; II.A.38.f._ Notwithstanding Sections II.A.38.a. through e. ofthis Part D, the term regulated NSR pollutant shall not include any orall hazardous air pollutants either listed in Section 112 ofthe Federal Act (that have not been delisted pursuant to Section 112(b)(3) ofthe Federal Act) orAppendix B ofthis regulation, unless the listed hazardous air pollutant is also regulated as a constituent or precursor ofa general pollutant listed under Section 108 ofthe Federal Act. II.A.38.g. Particulate matter (PM) emissions, PM2.5 emissions. and PM10 emissions shall include gaseous emissions from a source oractivity which condense to form particulate matter at ambienttemperatures. On or after Januarv 1. 2011. such condensable particulate matter shall be accounted for in applicability determinations and in establishing emissions limitations for PM, PM2.5 and

Regulation Number 3 Adopted: October20,2011 PM1 0 in PSD permits. Compliance with emission limitations for PM, PM2.5 and

Page 143PM10 issued prior to this date shall not be based on condensable particulate matter unless required by the terms and conditions ofthe permit orthe applicable implementation plan. Applicability determinations made prior to this date without accounting for condensable particulate matter shall not be considered in violation ofthis section. II.A.39. Replacement Unit An emissions unitfor which all the criteria listed in Sections I/.A.39.a. through II.A.39.d. are met. No creditable emission reductions shallbe generated from shutting down the existing emissions unit thatis replaced. I/.A.39.a. The emissions unitis 

### a reconstructed unit within the meaning ofCode of Federal Regulations Title 40, Section 60.15(b)(1), orthe emissions unit completely takes the place ofan existing emissions unit. I/.A.39.b. The emissions unitis identical to orfunctionally equivalentto the replaced emissions unit. I/.A.39.c. The replacement does notalterthe basic design parameters ofthe process unit. I/.A.39.d. The replaced emissions unitis permanentlyremoved from the majorstationary source, otherwise permanentlydisabled, orpermanentlybarredfrom operation bya permitthatis enforceable as a practicalmatter. 

### Ifthe replaced emissions unitis broughtbackinto operation, itshall constitute 

### a newemissions unit. II.A.40. Repowering II.A.40.a. Replacement ofan existing coal-fired boilerwith one ofthe following clean coal technologies: atmospheric or pressurized fluidized bed combustion, integrated gasification combined cycle, magnetohydrodynamics, direct and indirectcoalfired turbines, integrated gasification fuel cells, or as determined by the Administrator, in consultation with the Secretary of Energy, a derivative ofone or more ofthese technologies, and any othertechnology capable ofcontrolling multiple combustion emissions simultaneously with improved boiler or generation efficiency and with significantly greaterwaste reduction relative to the performance oftechnology in widespread commercial use as of November 15, 1990. II.A.40.b. Repowering shall also include any oil and/or gas-fired unit that have been awarded clean coal technology demonstration funding as ofJanuary 1, 1991, by the Department of Energy. II.A.40.5 Representative Actual Annual Emissions The average rate. in tons peryear. atwhich the source is projected to emit a pollutant for the two year period after a physical change or change in the method ofoperation ofa unit. (or a different consecutive two-year period within ten years after the change. where the Division determines that such period is more representative of normal source operations). considering the effect any such change will have on increasing ordecreasing the hourly emissions rate and on projected capacity utilization. In projecting future emissions. the Division shall: II.A.40.5(a) Consider all relevant information, including but not limited to. historical operational data. the company's own representations. filings with the state or Regulation Number 3 Adopted: October20, 2011 Page 144federal regulatory authorities. and compliance plans underTitle IVofthe Federal Act; and II.A.40.5(b) Exclude, in calculating any increase in emissions that results from the particular physical change orchange in the method ofoperation at an electric utility steam generating unit, that portion ofthe unit's emissions following the change that could have been accommodated during the representative baseline period and is attributable to an increase in projected capacity utilization atthe unit that is unrelated to the particular change, including any increased utilization due to the rate ofelectricity demand growth for the utility system as a whole. II.A.41. Secondary Emissions Emissions that occur as a result ofthe construction or operation ofa major stationary source or major modification, but do not come from the major stationary source or major modification itself. Forthe purpose ofthis PariD, secondaryemissions mustbe specific, well defined, quantifiable, andimpact the same generalarea as the stationarysource ormodification thatcauses the secondaryemissions. Secondary emissions include emissions from any offsite support facility that would not otherwise be constructed or increase its emissions except as a result ofthe construction oroperation ofthe major stationary source or major modification. Secondary emissions do not include any emissions that come directly from a mobile source, such as emissions from the tailpipe ofa motorvehicle, from a train, orfrom a vessel. II.A.42. Significant II.A.42.a. Unless the context otherwise requires,,-a significant rate ofemissions in tons per year is defined as a value thatwould equal or exceed any ofthe following:

Regulation Number 3 Adopted: October20,2011 Carbon monoxide: 100 tons peryear Nitrogen Oxides: 40 (nitric oxide+ nitrogen dioxide) tons peryear Sulfur dioxide: 40 tons peryear Particulate matter: 25 tons per year particulate matter emissions

... or, 15 tons per year of PM1 0 emissions PM10- Precursors in the Denver Metropolitan PM10 ROOattainment /maintenance area: 40 tons per yearfor each individual precursor (nitrogen oxides orsulfur oxides) PM2.5: 10 tons per year ofdirect PM2.5 emissions: 40 tons peryear ofsulfur dioxide emissions: or40 tons peryear of nitrogen dioxide emissions Ozone: 40 tons peryear ofvolatile organic compounds orNGxnitrogen oxides Lead: 0.6 tons per year Fluorides: 3 tons per year Sulfuric acid mist: 7 tons peryear Hydrogen sulfide: 10 tons peryear Total reduced sulfur (including hydrogen sulfide): 10 tons peryear Page 145 

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# IReduced sulfur compounds (including hydrogen sulfide): 10 tons peryear Municipal Waste Combustor Organics (measured as total tetra- through actachlorinated dibenzo-p-dioxins and dibenzofurans): 3.2 x 10-6 megagrams per year (3.5 x 10-6 tons per year) Municipal Waste Combustor Metals (measured as particulate matter): 14 megagrams per year (15 tons per year) Municipal Waste CombustorAcid Gases (measured as sulfur dioxide and hydrogen chloride): 36 megagrams peryear (40 tons per year) Municipal Solid Waste Landfill Gases (measured as non-methane organic compounds): 45 megagrams peryear (50 tons peryear) II.A.42.b. Significant means, in reference to a net emissions increase orthe potential ofa source to emit a regulated NSR pollutant that this definition does not list, any emissions rate, exceptthat this definition shall not apply to hazardous air pollutants listed in or pursuant to Section 112 ofthe Federal Act. II.A.42.c. Notwithstanding the significant emission rates above, significant means any emissions rate orany net emissions increase associated with a major stationary source or major modification, that would constructwithin ten kilometers ofa Class I area, and have an impact on such area equal to or greaterthan one microgram/cubic meter ((g/m3) (twenty-four hour average). II.A.43. Significant Emissions Increase For

### a regulated NSRpollutant, an increase in emissions thatis significant (as definedin Section II.A.42. ofthis PartD) forthatpollutant. II.A.44. SignificantEmissions Unit An emissions unit that emits orhas the potential to emit

### a PAL pollutantin an amountthat is equal to orgreaterthan the significantlevel (as definedin Section I/.A.42. ofthis Part Dorin the FederalAct, whicheveris lower) forthat PAL pollutant, butless than the amountthat would qualifythe unitas

### a majoremissions unit (as defined in Section I/.A.21. ofthispart). II.A.45. Small Emissions Unit An emissions unit that emits orhas the potential to emitthe PAL pollutantin an amountless than the significantlevel forthat PAL pollutant (as definedin Section I/.A.32. ofthis Part Dorin the FederalAct, whicheveris lower). II.A.46. Temporary Clean Coal Technology Demonstration Project A clean coal technology demonstration project that is operated for a period offive years or less, and that complies with the state implementation plan and other requirements necessary to attain and maintain the National AmbientAir Quality Standards during the project and after it is terminated. 

### Ill. Permit Review Procedures

Regulation Number3 Adopted: October20,2011 Page 146Ill.A. Major stationary sources subject to the requirements ofthis Part D must apply for and obtain a Construction Permit in accordance with the procedures and requirements in Part 8 oran Operating permit in accordance with the procedures and requirements in Part C. 111.8. The Division shall complete the processing ofapplications (including any requested public hearing) for sources subject Section.§ VI. and VII. ofthis Part D within twelve months of receipt of a complete application. 

### IV. Public Comment Requirements IVA When public comment is required, orwhen the Division determines that an application warrants public comment in accordance with Section III.C.3. of Part 8 ofthis regulation, the Division shall, within fifteen calendar days afterthe preparation ofthe preliminary analysis, cause public notice ofthe application to be published in a newspaper ofgeneral distribution in the area in which the proposed project oractivity is orwill be located, and by such other means as necessary to assure notice to the affected public, which may include posting ofsuch notice on the publicly accessible portion ofthe Division's web site, and cause a copy ofthe application, the preliminary analysis and the draft permit to be filed with the county clerk for each county in which the source is, orwill be, located. The Division shall send written or electronic notice to persons requesting a notice of permit applications for the type ofsource or geographic area. IV.A.1. For sources subject to the provisions of Sections V. and VI. ofthis part, a copy ofall the materials the applicant submitted, and a copy orsummary ofother materials, ifany, considered in making the preliminary analysis shall be filed with the county clerk for each county in which the source is orwill be located. In addition, for sources subject to the provisions of SectionsV. and VI., a copy ofthe written or electronic notice of public comment shall be sent to the applicant, the U.S. EPA Administrator, and to officials and agencies having cognizance overthe location where the proposed construction would occur, including any other state or local air pollution control agencies and any state, Indian governing body or Federal Umd Managerwhose lands may be affected by emissions from the source or modification. IV.A.2. Additionally, for permit applications subject to the requirements ofthis Part D, the notice shall contain the following information: IV.A.2.a. That comments are solicited on an innovative technological system for pollution control ifproposed by the applicant and that a hearing by the Commission will be held on such system if requested by any interested person; IV.A.2.b. That comments are solicited on the air quality impacts ofthe source or modification; IV.A.2.c. That comments are solicited on alternatives to the source or modification; IV.A.2.d. That any interested person may submit a written request for a public comment hearing to be held pursuant to Section 1.7.0. ofthe Commission's procedural rules to receive comments regarding the foregoing concerns, the sufficiency of the preliminary analysis, and whether the Division should approve ordeny the permit application; and IV.A.2.e. The degree of increment consumption that is expected from the source or modification. IV.A.3. Within fifteen calendar days after the preparation ofthe preliminary analysis forthose applications subject to the requirements ofthis Part D, the Division shall forward to the Regulation Number3 Adopted: October 20, 2011 Page 147 

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### applicantwritten notice ofthe applicant's right to a public comment hearing with respect to the application pursuant to Section 1.7.0. ofthe Commission's procedural rules. IVA4. A hearing request pursuant to Section IVA2.a. ofthis Part D, regarding innovative control, must be transmitted by the Division to the Commission within twenty days after its receipt. IVA5. A hearing request pursuant to Section IVA2.d. ofthis Part D must be transmitted by the Division to the Commission, along with the complete permit application, the preliminary analysis, the draft permit, and any written comments received by the Division within five days after the end ofthe thirty-day comment period. At least thirty days prior to the date set for the public comment hearing, the notice of public comment hearing, the preliminary analysis and the draft permit shall be posted on the Division's web site. No substantive revisions shall be made to the draft permit during the thirty days prior to the public comment hearing. IVA6. The Commission shall hold a public comment hearing within sixty days of its receipt of therequestfor such hearing pursuantto Section IVA2. ofthis Part D (unless such greatertime is agreed to by the applicant and the Division), but at least sixty days after receipt by any Federal Land Manager of notice and the permit application required pursuant to Section XIIIA ofthis Part D. The Division shall appear atthe public comment hearing in orderto present the permit application. At leastthirty days priorto such hearing, notice thereof shall be mailed by the Commission to the applicant, to any interested person who submitted a request for a public hearing and to any Federal Land Manager given notice pursuant to Section XIII.A., printed in a newspaper ofgeneral distribution in the area ofthe proposed source or modification, and submitted for public review with the county clerk for each county in which the source or modification is orwill be located. Except as provided herein and in the notice, such hearings will be conducted pursuant to the Act, the Procedural Rules ofthe Air Quality Control Commission and the State Administrative Procedure Act, Colorado Revised Statutes, Section 24-4-101 et seq. IVA7. Within fifteen days after the Division makes a final decision on an application subject to the requirements ofthis Part D, the Division shall make available for public inspection the decision and all public comments with the county clerk for each county where the preconstruction information was made available. 

### V. Requirements Applicable to Nonattainment Areas VA Major Stationary Sources. For any new major stationary source or major modification, the Division shall grant a permit if it determines that the following conditions in Sections VA1. through -VA6., as well as those in Section III.D.1. of Part B ofthis regulation, will be met: VA1. The proposed source will achieve the lowest achievable emission rate for the specific source category. VA2. The applicant has certified that all other existing major stationary sources owned, operated, orcontrolled by the applicant (or any entity controlling, controlled by, or under the common control with the applicant) in Colorado are in compliance with the requirements ofthe State implementation plan and the federally approved state implementation plan, orare subjectto and in compliance with an enforceable compliance schedule, or a federally enforceable compliance schedule.

RegulationNumber 3 Adopted: October 20, 2011 Page 148V.A.3. Prior to the date ofcommencement ofoperations, the ratio oftotal actual emission reductions compared to the emissions increase (offsets) shall be at least greaterthan one for one (1:1), unless an alternative ratio is provided forthe applicable nonattainment area as identified in Section V.A.3.a

.. below. V.A.3.a. Offset Ratios V.A.3.a(i) Forozone nonattainment areas that are subject to subpart 2. part D. title I ofthe Federal Act. the offset ratio oftotal actual emission reductions ofVOC to the emissions increase ofVOC shall be as follows: V.A.3.a(i)(a) In any marginal nonattainment area for ozone- at least 1.1:1: V.A.3.a(i)(b) In any moderate nonattainment area for ozone - at least 1.15:1; V.A.3.a(i)(c) In any serious nonattainment area for ozone- at least 1.2:1: V.A.3.a(i)(d) In any severe nonattainment area for ozone- at least 1.3:1: or V.A.3.a(i)(e) In any extreme nonattainment area for ozone- at least 1.5:1. V.A.3.a.(ii) For all areas within an ozone transport region that is subject to subpart 2. part D. title 1 ofthe Federal Act. and that are not designated as serious. severe or extreme and are subject to subpart 1. part D. title 1 ofthe Federal Act- at least 1.15:1. V.A.3.a.(iii) For ozone nonattainment areas that are subject to subpart 1, part D. title I ofthe Federal Act. including 8-hourozone nonattainment areas subject to 40 CFR. Part 51, Section 51.902(b). the ratio oftotal actual emissions reductions ofVOC to the emissions increase ofVOC shall be at least 1: 1 . V.A.3.b. Offsets must be obtained from existing sources (whether or not underthe same ownership) within the nonattainment area for each pollutant, or its precursors, for which the area is nonattainment. Offsets must represent reasonable further progress towards attainment ofthe National Ambient Air Quality Standards when considered in connection with other new and existing sources ofemissions. In addition, offsets for PM10-,PM2.5. sulfur oxides, and carbon monoxide must show, through atmospheric modeling, a positive net air quality benefit in the area affected by the emissions. Provided, however, that offsets meeting the requirements of this Section V.A.3. may also be obtained from existing sources outside the nonattainment area ifthe applicant demonstrates: V.A.3.aQ..ffi A greater air quality benefit maythus be achieved, orsufficient offsets are not available from sources within the nonattainment area; and V.A.3.b.@ The other area has an equal or higher nonattainment classification than the area in which the source is located; and V.A.3.GQ..@ Emissions from such other area contribute to a violation ofthe National AmbientAir Quality Standard in the nonattainment area in which the source is located.

Regulation Number 3 Adopted: October20, 2011 Page 149V.A.3.dQ

. 

### .(lylWith respect to offsets obtained from outside the nonattainment area, the Division may increase the ratio ofthe required offsets to new emissions the greaterthe distance such offsets are from the new or modified source. V.A.3.c. Offsets must be forthe same regulated NSR pollutant, exceptthat offset requirements for direct PM2.5 emissions or PM2.5 precursors may be satisfied by offsetting reductions in direct PM2.5 emissions or emissions ofany PM2.5 precursor identified under Section II.A.38. of Part D. V.A.4. _The permit application shall include an analysis ofalternative sites, sizes, production processes and environmental control techniques for such proposed source that demonstrates that benefits ofthe proposed source significantly outweigh the environmental and social costs imposed as a result of its location, construction, or modification. V.A.5. Offsets for which emission reduction credit is taken must be enforceable through permit conditions or source specific state implementation plan revisions. V.A.6. The applicant will demonstrate that emissions from the proposed source will not adversely impactvisibility in a Class I area. This demonstration shall be reviewed by the Federal Land Manager and any determination made by the Federal Land Manager shall be considered in the Division's decision to grantthe permit. Ifan adverse impact, as described in Section XIV.E., is predicted by the Division, the permit application will be denied. Federal Land Manager involvement shall follow the same procedures as stated in Section XII.A. ofthis Part D. The demonstration will be performed using either techniques described in the latestversion ofthe U.S. EPA document entitled "Workbook for Estimating Visibility Impairment" or othertechniques approved by the Division. V.A.7. Applicability ofCertain NonattainmentArea Requirements V.A.7.a. Any major stationary source in a nonattainment area is subject to the requirements of Section V.A. ofthis Part D. V.A.7.b. The requirements of Section V.A. shall apply at such time that any stationary source or modification becomes a major stationary source or major modification solely by virtue ofa relaxation in any enforceable limitation thatwas established afterAugust 7, 1980 on the capacity ofthe source or modification to otherwise emit a pollutant, such as a restriction on hours ofoperation. 

### V.A. 7.c. The following provisions apply to projects atexisting emissions units at

### a major stationarysource (other than projects ata source with a PAL) in circumstances where there is 

### a project thatis not

### a part of

### a majormodification and the owneror operatorelects to use the methodspecifiedin Sections II.A.36.b.(J) through

Regulation Number 3 Adopted: October20, 2011 

### /I.A. 36.b. (iii) ofthis Part0 forcalculatingprojectedactual emissions. 

### V.A. 7.c. (i) Before beginning actualconstruction ofthe project, the owneror operatorshalldocumentandmaintain 

### a recordofthe following information: 

### V.A. 7.c. (i)(A) A description ofthe project; 

### V.A. 7.c. (i)(B) Identification ofthe emissions unit(s) whose emissions of

### a regulated NSRpollutantcouldbe affectedbythe project; and

Page 150V.A. 7.c.(i)(C) A description ofthe applicabilitytest usedto determine that theprojectis not

### a majormodification foranyregulatedNSR pollutant, including the baseline actual emissions, the projected actualemissions, the amountofemissions excluded under Section II.A.36.b.(iii) ofthispart andan explanation for whysuch amount was excluded, andanynetting calculations, ifapplicable. V.A. 7.c. (ii) Ifthe emissions unitis an existing electric utilitysteam generating unit, before beginning actualconstruction, the owneroroperatorshallprovide 

### a copyofthe information setoutin Section V.A.

### 7.c. (i) to the Division. Nothing in this Section V.A. 7.c.(ii) shallbe construed to require the owneroroperatorofsuch 

### a unit to obtain anydetermination from the Division before beginning actualconstruction. V.A. 

### 7.c. (iii) The owneroroperatorshallmonitorthe emissions ofanyregulated NSRpollutantthatcouldincrease as

### a result ofthe projectand thatis emittedbyanyemissions units identified in Section V.A. 7.c.(i)(B}; and calculate andmaintain 

### a record ofthe annual emissions, in tonsperyear on 

### a calendaryearbasis, for

### a period offive years following resumption ofregularoperations afterthe change, orfor

### a period often years following resumption ofregularoperations afterthe change ifthe project increases the design capacityorpotential to emitofthatregulatedNSR pollutantatsuch emissions unit. V.A. 7.c. (iv) Ifthe unitis an existing electric utilitysteam generating unit, the owneroroperatorshallsubmit

### a report to the Division within sixtydays afterthe endofeach yearduring which records mustbe generated under Section V.A. 7.c.(iii) setting out the unit's annual emissions during the calendaryearthatprecededsubmission ofthe report. V.A. 7.c. (v) Ifthe unitis an existing unitotherthan an electric utilitysteam generating unit, the owneroroperatorshallsubmit

### a report to the Division ifthe annual emissions, in tonsperyear, from the project identifiedin Section V.A. 7.c.(i), exceed the baseline actual emissions (as documentedandmaintainedpursuant to Section V.A. 7.c.(i)(C)) by

### a significantamount (as definedin Section II.A.42. ofthis part) forthat regulatedNSRpollutant, andifsuch emissions differfrom the preconstructionprojection as documentedandmaintainedpursuantto Section V.A. 

### 7.c. (i)(C). Such reportshallbe submittedto the Division within sixtydays afterthe endofsuch year. The report shall contain the following: V.A. 7.c. (v)(A) The name, address and telephone numberofowneror operatorofthe majorstationarysource; V.A. 7.c.(v)(B} The annualemissions as calculatedpursuant to Section V.A. 7.c.(iii); and V.A. 7.c.(v)(C) Anyotherinformation that the owneroroperatorwishes to include in the report (e.g., an explanation as to why the emissions differfrom the preconstruction projection). V.A. 

### 7.d. The owneroroperatorofthe source shall make the information required to be documentedandmaintainedpursuantto Section V.A. 7.c. available forreview upon request forinspection bythe Division orthe generalpublic. Regulation Number 3 Adopted: October20,2011 Page 151V.A.8. Exemptions from certain nonattainment area requirements: V.A.8.a. The following are exemptfrom the major stationary source criteria of Section V.A.3. ofthis part. V.A.8.a.(i)(A) Portable sources thatwill relocate outside a nonattainment area in less than one year. V.A.8.a.(i)(B) Each pilot plant that operates an aggregate of less than six months. V.A.8.a.(i)(C) Construction phases ofa new or modified building, facility, structure, or installation. These may, atthe discretion ofthe Division, exceed a period ofone year. V.A.8.a.(i)(D) Othertemporary processes oractivities of less than one year in duration. V.A.8.a.(i)(E) Sources undergoing fuel switches as required by federal order ifthe Division determines that: V.A.8.a.i(E)(1) The applicant has used best efforts in seeking the required emission offsets butwas unsuccessful; V.A.8.a.i(E)(2) All available emission offsets were obtained; and, V.A.8.a.i(E)(3) The applicantwill continue to seek emission offsets as they become available. VI. Requirements applicable to attainment and unclassifiable areas and pollutants implemented under Section 110 ofthe Federal Act (Prevention ofSignificant Deterioration Program). VI.A. Major Stationary Sources and Major Modifications. The requirements ofthis Section VI. shall apply to any major stationary source and any major modification with respect to each pollutant regulated underthe Act and the Federal Act that it would emit, except as this Regulation Number 3 would otherwise allow. For any new major stationary source or major modification proposing to construct in any area in Colorado designated under Section 107 (d) ofthe Federal Act as attainment or unclassifiable for any criteria pollutant as ofthe date ofsubmittal ofa complete application underthis Regulation Number 3, or for pollutants implemented under Section 110 ofthe Federal Act, the Division shall grant a permit if it determines thatthe following requirements, in addition to those in Section III.D.1. of Part B ofthis regulation, have been orwill be met: VI.A.1. Control Technology Review. VI.A.1.a. A new major stationary source shall apply BestAvailable Control Technology for each pollutant regulated underthe Act or Federal Actthat it would have the potential to emit in significant amounts. VI.A.1.b. A major modification shall apply best available control technology for each pollutant regulated underthe Act or Federal Act forwhich there would be a significant net emissions increase atthe source. This requirement applies to Regulation Number3 Adopted: October 20, 2011 Page 152each proposed emissions unit at which a net emissions increase in the pollutant would occuras a result ofa physical change orchange in the method of operation ofthe unit. VI.A.1.c. For phased construction projects, the determination of best available control technology shall be reviewed and modified as appropriate for phases that commence construction more than 18 months afterthe initial granting ofthe permit atthe latestreasonable time which occurs no laterthan eighteen months priorto commencementofconstruction ofeach independentphase ofthe project. The review will be conducted in a timely mannerthat will allowthe owneror operator to proceed with scheduled construction ofthe source. During the review, the owner oroperatorofthe applicable stationary source may be required to demonstrate the adequacy ofany previous determination of best available control technology for the source. VI.A.2. Source ImpactAnalysis. The owneroroperator ofthe proposed source or modification shall demonstrate to the Division that allowable emission increases from the proposed source or modification in conjunction with all other applicable emissions increases or reductions (including secondary emissions) will not cause orcontribute to concentrations ofair pollutants in the ambient air in violation ofeither Section VI.A.2.a. or b., as clarified for any relevant air pollutant, in Section VI.A.2.c.: VI.A.2.a. Any state or national ambient airquality standard in any baseline area orair quality control region_;_Q[

VI.A.2.b. Any applicable maximum allowable increase overthe baseline concentration in any area. VI.A.2.c. For the purposes of PM2.5, this demonstration is deemed to have been made if the emission increase from the new stationary source alone orfrom the modification alone would cause, in all areas. air quality impacts less than the following amounts:

Pollutant Averaging Class I area Class II area Class Ill area Time PM2.5 Annual 0.06 uo/m3 0.3 uo/m3 0.3 uwm3 24-hr 0.07 uo/m3 1.2 uo/m3 1.2 uo/m3

VI.A.3. Pre-construction Monitoring and Analysis VI.A.3.a. An analysis ofambient air quality in any area that would be affected by the proposed major stationary source or major modification shall be performed for each pollutant regulated underthe Act or Federal Actthat the source or modification would emit or havethe potential to emit in a significant amount, or for which there would be a significant net emissions increase.

Regulation Number 3 Adopted: October20, 2011 Page 153VI.A.3.b. With respectto any such regulated pollutant forwhich no national ambient air quality standard exists and forwhich there is an acceptable method for the monitoring ofthat pollutant, the analysis shall contain such air quality monitoring data as the Division determines are necessary to assess ambient air quality for that pollutant in any area that emissions ofthat pollutantwould affect. VI.A.3.c. With respectto any such pollutant forwhich a national ambient air quality standard does exist, the analysis shall contain continuous air quality monitoring data gathered for purposes ofdetermining whether emissions ofthat pollutant would cause or contribute to a violation ofthe applicable standard or any maximum allowable increase. VI.A.3.d. In general, the continuous air quality monitoring data that are required under Section VI.A.3.c., orthe pre-application monitoring ofair quality related values required by Section XIII.B. ofthis part, shall have been gathered over a period of one year and shall representthe year preceding receipt ofthe application, except that, ifthe Division determines that a complete and adequate analysis can be accomplished with monitoring data gathered over a period shorter than one year (but notto be less than four months), the data that are required shall have been gathered over at leastthat shorter period. VI.A.3.e. The owner or operator ofa proposed major stationary source or major modification ofvolatile organic compounds who satisfies all conditions ofthe Code of Federal Regulations Title 40, Part 51, Appendix S, Section IV. (but not including conditions resulting from amendments afterJuly 

### 1, 1991 and not including Section IV. B. ofAppendix S) may provide post-approval monitoring data for ozone in lieu of providing pre-construction data as required under Section VI.A.3.a. (Information on obtaining the Code of Federal Regulations Title 40, Part 51, Appendix S, Section IV. is available from the Director, Air Pollution Control Division, 4300 Cherry Creek Drive South, Denver, Colorado, 80246- 1530.) VI.A.4. Post-Construction Monitoring. At its discretion, the Division may require that the owner or operator ofa major stationary source or major modification conduct post-construction ambient monitoring for a period up to one year. The Division may also require additional monitoring beyond the one year period ifsuch monitoring is necessary to determine the effect emissions from the stationary source or modification have, or may have, on air quality in any area. The monitoring ofair quality related values orsensitive receptors required by Section XIII.B. ofthis part, shall be for such time as is necessary to determine the effect emissions from the source or modification will have on the air quality related values orsensitive receptors.

___Post-construction monitoring requirements will be permit conditions. VIAS. Operation of Monitoring Stations. The owner or operator ofa majorstationary source or major modification shall use the U.S. EPA accepted procedures for ambient monitoring as approved by the Division during the operation of monitoring stations for purposes of satisfying the requirements of Sections VI.A.3. and VI.A.4., above. VI.A.6. Additional ImpactAnalysis. For each pollutant that is regulated underthe Act orthe Federal Act, and forwhich the source or modification would emit in significantamounts (as defined in Section II.A.42. ofthis part) orforwhich there would be a significant net emissions increase, the owner or operator shall provide an analysis ofthe impairmentto visibility, water, soils, and vegetation thatwould occur as a result ofthe emissions ofsuch pollutant from the source or modification and general commercial, residential, industrial, RegulationNumber 3 Adopted: October 20, 2011 Page 154

### and other growth associated with the source or modification. The analysis of impairment to waterwill not be used in the determination of best available control technology. The owner oroperator need not provide an analysis ofthe impact on vegetation having no significant commercial or recreational value. The additional impact analysis will include the effects on air quality related values as stated in Section XIII.B. ofthis part, if applicable. The owner oroperator shall provide an analysis ofthe air quality impact projected for the area as a result ofgeneral commercial, residential, industrial and other growth associated with the source or modification. VI.B. Applicability ofCertain PSD Requirements. VI.8.1. The requirements ofSection VIA do not apply to a major stationary source or major modification with respect to a particular pollutant ifthe owner oroperator demonstrates that, as to that pollutant: VI.B.1.a. The source or modification is subject to Part 3 ofthe Act and Section V. ofthis part, and the source or modification would not impact any area designated as attainment or unclassifiable for that pollutant; or VI.B.1.b. The emissions from the source or modification would not be significant; or VI.B.1.c. The source or modification is a portable stationary source that has previously received a permit under requirements equivalent to those contained in Section VIA ofthis part if: VI.B.1.c.(i) The source proposes to relocate and emissions ofthe source at the new location would be temporary; VI.B.1.c.(ii) The emissions from the source would not exceed its allowable emissions; VI.B.1.c.(iii) The emissions from the source would impact no Class I area and no area where an applicable increment is known to be violated; and VI.B.1.c.(iv) Reasonable notice identifying the proposed new location and the probable duration ofoperation at the new location and a revised Air Pollutant Emission Notice is given to the Division prior to the relocation. Such notice and revised Air Pollutant Emission Notice shall be given to the Division not less than ten days in advance ofthe proposed relocation unless a differenttime duration is previously approved by the Division. V1.8.2. The requirements contained in Sections VIA2. through VIA4. ofthis part do not apply: VI.B.2.a. To a proposed major stationary source or major modification with respect to a particular pollutant, ifthe emissions would be from a temporary source, modification oractivity, such as construction or exploration, and would not have an impact on air quality in any Class I area or an area where an applicable increment is known to be violated; or VI.B.2.b. As they relate to any maximum allowable increase for a Class II area, to a modification ofa major stationary source that was in existence on March 1, 1978, ifthe net increase in allowable emissions ofeach pollutant subject to regulation,

Regulation Number 3 Adopted: October20, 2011 Page 155excluding GHG, underthe Actfrom the modification after the application of best available control technology would be less than fifty tons per year. VI.B.3. The Division may exempt a proposed major stationary source or major modification from the requirements of Sections VI.A.3. through VI.A.5. ofthis part, with respect to monitoring for a particular pollutant if: VI.B.3.a. The emissions ofthe pollutantfrom the new stationary source orthe net emissions increase ofthe pollutantfrom the modification would cause air quality impacts, in any area, less than the following: VI.B.3.a.(i) Carbon monoxide

- 575 1Jg/m3

, 8-hour average; VI.B.3.a.(ii) Nitrogen dioxide

- 

### t4-.11..1Jg/m3

, annual average; VI.B.3.a.(iii) Particulate Matter- 10 IJQ!m3 total suspended particulate matter 

### 324 hour average; PM10

-- 10 1Jglm3

, 24-hour average; PM2.5- 4 ug/m ,24- hour average; VI.B.3.a.(iv) Sulfur dioxide- -ld-j1_1Jg/m3

, 24-hour average; VI.B.3.a.(v) Lead- OJ-1.1Jg/m3

, 3-month average; VI.B.3.a.(vi) Fluorides- 0.251Jg/m3

, 24-hour average; VI.B.3.a.(vii) Total reduced sulfur- ID-1.Q_1Jg/m3

, 11-hour average; VI.B.3.a.(viii) Hydrogen sulfide- 0.2 1Jg/m3

, 11-hour average; VI.B.3.a.(ix) Reduced sulfur compounds- ID-1.Q_1Jg/m3

, 11-hour average; or VI.B.3.b. The existing concentrations ofthe pollutant in the area that the source or modification would affect are less than the concentrations listed in this section; or VI.B.3.c. For ozone, the emissions increase or net emissions increase ofvolatile organic compounds or nitrogen oxides from the source or modification would be less than 100 tons per year; or VI.B.3.d. The pollutant is not referred to in this section Section VI.B.3.a.; or VI.B.3,e. The source or modification was subject to Section VI., with respect to PM2.5. as in effect before July 15, 2008, and the owner oroperator submitted an application for a permit underthis Section VI.A. of Part D before that date consistentwith EPA recommendations to use PM10 as a surrogate for PM2.5. and the Division subsequently determines thatthe application as submitted was complete with respect to the PM2.5 requirements then in effect. as interpreted by EPA in the memorandum entitled "Interim Implementation of New Source Review Requirements for PM2.5" (October 23, 1997). Instead. the requirements of Section VI.A. ofthis Part D. as interpreted in the aforementioned memorandum. thatwere in effect before July 15, 2008 shall apply to such source or modification. VI.B.4. The requirements ofthis Part D shall apply at such time that any stationary source or modification becomes a major stationary source or major modification solely by virtue ofa relaxation in any enforceable limitation thatwas established afterAugust 7, 1980, on the RegulationNumber 3 Adopted: October20, 2011 Page 156

### capacity ofthe source or modification to otherwise emit a pollutant such as a restriction on hours ofoperation. 

### VI.B.S. The followingprovisions applyto projects atexisting emissions units at

### a majorstationary source (otherthan projects at

### a source with 

### a PAL) in circumstances where there is

### a projectthatis not

### a partof

### a majormodification andthe owneroroperatorelects to use the methodspecifiedin Sections II.A.36.b.(i) through II.A.36.b.(iii) ofthis PartD for calculatingprojectedactual emissions. VI. B.

### 5.a. Before beginning actualconstruction ofthe project, the owneroroperatorshall documentandmaintain 

### a record ofthe following information: VI.B.5.a.(i) A description ofthe project; VI. B.5.a. (ii) Identification ofthe emissions unit(s) whose emissions ofa regulated NSRpollutantcouldbe affectedbythe project; and VI. B. 5.a. (iii) A description ofthe applicabilitytest used to determine that the projectis not

### a majormodification foranyregulated NSRpollutant, including the baseline actualemissions, the projectedactual emissions, the amountofemissions excludedunderSection /I.A. 36.b. (iii) ofthis part, andan explanation for whysuch amount was excluded, andany netting calculations, ifapplicable. VI.B. 5.b. Ifthe emissions unitis an existing electric utilitysteam-generating unit, before beginning actualconstruction, the owneroroperatorshallprovide 

### a copyofthe information setoutin Section VI.B.5.a. to the Division. Nothing in this Section VI.B. 5.b. shallbe construed to require the owneroroperatorofsuch 

### a unit to obtain anydetermination from the Division before beginning actualconstruction. VI.B.5.c. The owneroroperatorshall monitorthe emissions ofanyregulated NSR pollutantthatcouldincrease as

### a result ofthe projectandthatis emittedbyany emissions unitidentifiedin Section VI.B.5.a.(ii); andcalculate andmaintain 

### a record ofthe annualemissions, in tonsperyearon 

### a calendaryearbasis, for

### a periodoffive years following resumption ofregularoperations afterthe change, orfor

### a periodoften years following resumption ofregularoperations afterthe change ifthe projectincreases the design capacityorpotential to emitofthat regulated NSRpollutantatsuch emissions unit. VI.B.5.d. Ifthe unitis an existing electric utilitysteam generating unit, the owneror operatorshallsubmit

### a report to the Division within sixtydays afterthe end of each yearduring which records mustbe generated underSection VI.B.5.c. setting outthe unit's annualemissions during the calendaryearthatpreceded submission ofthe report. VI. B. 5.e. Ifthe unitis an existing unitotherthan an electric utilitysteam-generating unit, the owneroroperatorshall submit

### a report to the Division ifthe annual emissions, in tonsperyear, from the projectidentified in Section VI.B.5.a. exceed the baseline actualemissions (as documentedandmaintainedpursuant to Section VI.B.5.a.(iii)) by

### a significantamount (as definedin Section II.A.42. ofthis part) forthatregulated NSRpollutant, andifsuch emissions differfrom the preconstructionprojection as documentedandmaintainedpursuant to Section VJ.B.5.a.(iii). Such reportshallbe submitted to the Division within sixtydays after the endofsuch year. The reportshall contain the following:

Regulation Number 3 Adopted: October20, 2011 Page 157VI. B.

### 5.e. (i) The name, address and telephone numberofthe majorstationary source; VI.B.5.e.(ii) The annual emissions as calculatedpursuantto Section VI.B.5.c.; and VI.B.5.e. (iii) Anyotherinformation that the owneroroperatorwishes to include in the report (e.g., an explanation as to why the emissions differfrom the preconstruction projection). VI.8.6. The owneroroperatorofthe source shallmake the information required to be documented andmaintainedpursuant to Section VI.B.5. available forreview upon request forinspection by the Division orthe generalpublic. VI. B.7. A stationary source or modification may apply the applicable maximum allowable increases fortotal suspended particulate matter as in effect on the date ofthe permit application, in meeting the requirements of Section VI.A.2. ofthis part, if the following requirements are met: VI.B.7.a. The owner or operator ofthe source or modification submitted an application for a permit under Regulation Number 3 before the provisions for maximum allowable increases for PM10 took effect; and VI.B.7.b. The Division determines that the application as submitted, before the date that the maximum allowable increases for PM10 took effect, was complete. VI.C. Notice to the U.S. EPA. The Division shall transmit to the Administrator ofthe U. S. EPA a copy ofeach permit application relating to a major stationary source or major modification subject to this regulation, and provide notice ofevery action related to the consideration ofsuch permit. VI.D. Major Stationary Sources in attainment areas affecting nonattainment areas. VI.D.1. For any new major stationary source or major modification that is proposed to be constructed in an area designated under Section 107(d) ofthe Federal Act as attainment or unclassifiable for a particular pollutant and the emissions ofsuch pollutant from which would significantly affect ambient air quality in an area designated as nonattainmentfor such pollutant, the Division shall grant a permit if it determines that one or both ofthe following conditions, as well as those in Section III.D.1. of Part 8 and Section VI

### .A ofthis Part Dwill be met: VI.D.1.a. The proposed source or modification will meetthe requirements of Sections V.A.1. and V.A.2. ofthis part, and obtain sufficient emission reductions ofsuch pollutant in the nonattainment area to offsetthat portion of its emissions ofsuch pollutantthat affectthe nonattainment area. Offsets may be obtained from outside the nonattainment area as provided in Section V.A.3. ofthis part; or VI.D.1.b. The proposed source or modification will achieve an emissions rate that will ensure that the emissions ofsuch pollutantfrom the source or modification will not significantly affect ambient air quality in the nonattainment area. VI.D.2. Ambient air quality will be deemed to be significantly affected if, but for any offsets, the applicable significance level setforth in the following table would be exceeded in the nonattainment area. Regulation Number 3 Adopted: October 20, 2011 Page 158TABLE OF SIGNIFICANCE LEVELS Pollutant Averaging Time Annual 24-Hour 8-Hour 3-Hour 1-Hour so2 1.0 j.J_g/m3 5Mifm3 25 IJQ/m3

PM10 1.0 j.Jg/m3 5j.Jg/m3

PM2.5 0.3 IJQ/m3 1.21JQ/m3

N02 1.0 1Jg/m3

co 500 1JQ/m3 2000 IJQ/m3

VI.D.3. Any new major stationary source or major modification subject to this section that will emit or cause a net emissions increase in volatile organic compounds oroxides of nitrogen shall demonstrate to the satisfaction ofthe Division that its emissions will not affect any ozone nonattainment area orshall obtain offsets as required in Section VI.D.1., above. VI.D.4. Emission offsets for PM10, sulfur dioxide, and carbon monoxide, mustshow, through air quality modeling, a positive net airquality benefit in the portion ofthe nonattainment area affected by emissions from the proposed source or modification. VII. Negligibly Reactive Volatile Organic Compounds (NRVOCs) VII

### .A The negligibly reactive volatile organic compounds referenced in the Common Provisions definition of negligibly reactive volatile organic compounds are considered to be of negligible photochemical reactivity and are neither counted as reactive volatile organic compounds in determining volatile organic compound emission contributions to an increase in ozone nor used as volatile organic compound emission offsets or othervolatile organic compound emission trading credits againstvolatile organic compounds not listed in the common provisions negligibly reactive volatile organic compound definition. VII.B. Negligibly reactive volatile organic compounds may be substituted forvolatile organic compounds and the resulting decrease in volatile organic compound emissions, ifotherwise creditable, may be used for offset, banking orother emission trading credit. VIII. Area Classifications VIllA The following areas in Colorado shall be Class I areas and may not be redesignated: VIII.A.1.National Parks VIII.A.1.a. Rocky Mountain VIII.A.1.b. Mesa Verde VIII.A.2.National Wilderness Areas VIII.A.2.a. Black Canyon ofthe Gunnison

Regulation Number 3 Adopted: October20,2011 Page 159VIII.A.2.b. Eagle's Nest VIII.A.2.c. Flattops VIII.A.2.d. Great Sand Dunes VIII.A.2.e. La Garita VIII.A.2.f. Maroon Bells- Snowmass VIII.A.2.g. Mount Zirkel VIII.A.2.h. Rawah VIII.A.2.i. Weminuche VIII.A.2.j. West Elk VIII.B. All other areas ofColorado, unless otherwise specified by Act ofCongress orthe Colorado legislature, orthe Commission pursuantto Section IX. are designated Class II; provided, however that in the following areas as they existed on August 7, 1977 (maps available from the Division), the increase allowed in sulfur dioxide concentrations overthe baseline concentration shall be the same as the increase established by Section 163(b) ofthe Federal Act for Class I areas, except that such allowable increases may not be allowed ifa Federal Land Manager should make an adverse impact determination under Section XIII.C. with which the Division concurs and except that such allowable increases, may be exceeded by compliance with the provisions of Sections XIII.D., XIII.E., orXIII.F.: VIII.B.1.National Monuments VIII.B.1.a. Florissant Fossil Beds VIII.B.1.b. Colorado VIII.B.1.c. Dinosaur VIII.B.1.d. Great Sand Dunes (those portions not included as National Wilderness Areas in Section VIII.A.2.) VIII.B.2. Forest Service Primitive Areas VIII.B.2.a. Uncompahgre Mountain VIII.B.2.b. Wilson Mountain VIII.B.3. Lands administered by the Federal Bureau of Land Management in the Gunnison Gorge Recreation Area as ofOctober 27, 1977. All areas designated Class II underthis section may be redesignated as provided in Section IX. ofthis part. VIII.B.4. National Parks Black Canyon ofthe Gunnison (those portions not included as National Wilderness Areas in Section VIII.A.2.) VIII.C. The following areas may be redesignated only as Class I or II. RegulationNumber 3 Adopted: October 20, 2011 Page 160VIII.C.1. An area that exceeds ten thousand acres in size and is a national monument, a national primitive area, a national preserve, a national recreational area, a national wild and scenic river, a national wildlife refuge, a national lakeshore; and VIII.C.2. A national park or national wilderness area established afterAugust 7, 1977, that exceeds ten thousand acres in size. VIII.D. The Commission recognizes out ofstate Class I areas that have been listed in the Federal Register (44 Fed. Reg. 69124). Emissions from sources in Colorado shall notviolate any standard in these areas. IX. Redesignation IX.A. Except as otherwise provided in this section or Section VIII. ofthis part, the Commission may redesignate any area in Colorado as Class I, Class II or Class Ill as herein provided. The Commission will provide notice to the General Purpose Unit of local government in an area where the maximum allowable increase is being approached. IX.B. The Commission shall review and consider a request for redesignation by any person. IX.C. The Commission shall not set a hearing date on a proposed redesignation until the following have been completed: IX.C.1. A complete description ofthe area proposed for redesignation; IX.C.2. A detailed statement ofthe circumstances that support the proposed redesignation; IX.C.3. A prediction ofthe costs and benefits forthe affected population from the proposed redesignation; IX.C.4. A technical analysis ofexpected impacts on ambient air quality in adjacent or nearby areas; IX.C.5. Comments, or evidence ofan opportunity for submission ofcomments, by all appropriate regional planning agencies and councils of government organizations, affected municipalities and other affected political subdivisions; and IX.C.6. An analysis ofthe relationship ofthe proposed redesignation with applicable county or regional development plans, including but not limited to, comprehensive area wide plans and 208 water quality plans. IX.D. The Commission shall provide sixty day notice prior to a public hearing, including notice to other states, Indian governing bodies and Federal Land Managers whose lands may be affected by a proposed redesignation, ofany proposed redesignation, and conduct public hearings on such proposed redesignation in or near areas within Colorado that may be affected by such proposed redesignation, including at least one public hearing within or as nearas is practicable to the area to be redesignated. At leastthirty days priorto any such public hearings, the Commission shall make available for public inspection a discussion ofthe reasons for the proposed redesignation, including a satisfactory description and analysis ofthe health, environmental, economic, and societal and energy effects ofthe proposed redesignation. The notice announcing any public hearings shall contain appropriate notification ofthe availability ofsuch discussion. IX.E. Priorto the issuance of notice respecting the proposed redesignation ofan area that includes any federal lands, the Commission shall provide written notice to the appropriate Federal Land Manager and afford adequate opportunity (not in excess ofsixty days) to conferwith the Regulation Number 3 Adopted: October20, 2011 Page 161

# I I I Commission respecting the notice of proposed redesignation and to submit written comments and recommendations with respect to such notice of proposed redesignation. In redesignating any area with respect to which any Federal Land Manager had submitted written comments and recommendations, the Commission shall publish a list ofany inconsistency between such redesignation and such comments and recommendations and an explanation ofsuch inconsistency (togetherwith the reasons for making such redesignation against the recommendation ofthe Federal Land Manager). IX.F. All redesignations, except any established by an Indian governing body, shall be specifically approved; (1) by the governor, after consultation with the appropriate committees ofthe legislature, if it is in session, orwith the leadership ofthe legislature, if it is not in session, and (2) by resolutions orordinances enacted by the general purpose units of local government representing a majority ofthe residents ofthe area to be redesignated. IX.G. No area may be redesignated ifsuch redesignation would cause orcontribute to concentrations ofany air pollutant in any other area that exceed any maximum allowable increase or maximum allowable concentration permitted underthe classification ofsuch area. IX.H. Lands within the exterior boundaries of reservations offederally recognized Indian tribes may be redesignated only by the appropriate Indian governing body. IX.I. Any redesignation shall constitute a revision to the Colorado State Implementation Plan and shall be submitted for approval to the Administrator ofthe U.S. EPA. IX.J. Any redesignation or denial ofa proper request for redesignation made pursuantto this Section IX. shall be subject to judicial review in accord with Colorado Revised Statute Section 25-7-120. IX.K. Any area otherthan an area to which Sections VIII

### .A orVIII.C. referto may be redesignated as Class Ill ifany major stationary source or major modification could receive a permit only ifthe area in question were redesignated as Class Ill, and any material submitted as part ofthat application were available, insofar aswas practicable, for public inspection prior to any public hearing on redesignation ofany area as Class Ill. 

### X. Air Quality Limitations X.A. AmbientAir Increments X.A.1. The maximum allowable increases overthe baseline concentration for sulfur dioxide, PM1 0, PM2.5 or nitrogen dioxide except as provided in Section VIII.B. ofthis part, are: X.A.1.a. For any Class I area:

Annual arithmetic mean Twentv-four hour maximum

Annual arithmetic mean Twenty-four hour maximum RegulationNumber3 Adopted: October20, 2011 

### PM2.5 {ua/m3)



### PM10 (1Jg/m3) 1 2



### 4 

### 8 Page 162

# I

I I I Sulfur dioxide (tJg/m3) Annual arithmetic mean Twenty-four hour maximum Three hour maximum Nitrogen dioxide (JJg/m3) Annual arithmetic mean X.A.1.b. For any Class II area:

PM2.5 (ua/m3) Annual arithmetic mean Twentv-four hour maximum PM10 [JJg/m3)

Annual arithmetic mean Twenty-four hour maximum Sulfur dioxide (1Jg/m3)

Annual arithmetic mean Twenty-four hour maximum Three hour maximum Nitrogen dioxide (1Jg/m3) Annual arithmetic mean X.A.1.c. For any Class Ill area:

Annual arithmetic mean Twentv-four hour maximum

Regulation Number 3 Adopted: October20, 2011 PM2.5 (ua/m3)

PM10 (JJg/m3) 2 5 25

2.5



### 4 9

17 30

20 91 512

25

8 18

Page 163Annual arithmetic mean 34 Twenty-four hour maximum 60 Sulfur dioxide (1Jg/m3) Annual arithmetic mean 40 Twenty-four hour maximum 182 Three hour maximum 700 Nitrogen dioxide (IJQ/m3) Annual arithmetic mean 50 X.A.2. The maximum allowable increases overthe baseline concentration for any other air pollutant shall be the same as those increases established pursuant to Section 4W165(a) ofthe Federal Act. X.A.3. For any period otherthan an annual period, the applicable maximum allowable increase may be exceeded during one such period peryear at any one location. X.A.4. Periodic Review X.A.4.a. The Division shall, on a periodic basis, review the adequacy ofthis Regulation Number 3 for preventing significant deterioration ofair quality. Within thirty days after any information becomes available and there is cause to believe that an applicable increment is being violated, the Division shall present the cause for such beliefto the Commission. X.A.4.b. Ifthe Commission concurs that there is cause to believe that an increment is being violated, it shall hold a hearing to determinewhether an incrementviolation exists. The hearing shall be held pursuant to the procedures ofColorado Revised Statute Section 25-7-119. Notice should be given by first class mail to permitted sources that can be reasonably identified as emitting the pollutant in violation and affecting the area ofviolation. X.A.4.c. Should the Commission determine that an incrementviolation exists, the Division shall review all sources affecting the area of incrementviolation and ensure that all such sources comply with all applicable permit conditions, and state and local regulations. Within thirty days after completing such a review, the Division shall recommend revisions, if necessary, to the Commission to correct the violation. Upon receipt of recommended revisions from the Division, the Commission shall as soon as practicable actto revise this regulation as it deems necessary. X.A.5. Increment Consumption Restriction X.A.5.a. No new major stationary source or major modification shall individually consume more than seventy-five percent ofan applicable increment. X.A.5.a.(i) Applicants may request a hearing before the Commission to request a waiver ofthis restriction. The hearing shall be heard in accordance with the provisions ofColorado Revised Statute Sections 25-7-114 (4)(h), 25-7-119 (Colorado Air RegulationNumber3 Adopted: October 20, 2011 Page 164Pollution Prevention and Control Act), and Colorado Revised Statute 24-4-105 (State Administrative Procedure Act). X.A.5.a.(i)(A) The Commission shall not set a hearing date for a waiver request until submittal ofcomments, or evidence ofan opportunity for submittal ofcomments by all appropriate regional planning agencies and councils ofgovernment organizations, affected municipalities and other affected political subdivisions has occurred. X.A.5.a.(i)(B) Ambient Air Limits. No concentrations ofa pollutant shall

·exceed a national ambient air quality standard ora state ambient

air standard where no national ambient air quality standard has been established. 

### XI. Exclusions From Increment Consumption XI

### .A The following concentrations are excluded in determining compliance with a maximum allowable increase: XI.A.1. Concentrations attributable to the increase in emissions from stationary sources that have converted from the use of petroleum products, natural gas, or both by an order in effect under Sections 2(a) and (b) ofthe federal "Energy Supply and Environmental Coordination Act of 1974" (or any superseding legislation) overthe emissions from such sources before the effective date ofsuch an order, but not more than five years afterthe effective date ofsuch an order. XI.A.2. Concentrations attributable to the increase in emissions from sources that have converted from using natural gas by reason ofa natural gas curtailment plan in effect pursuant to the Federal "PowerAct" over the emissions from such sources before the effective date ofsuch plan, but not more than five years after the effective date ofthe plan. XI.A.3. Concentrations of particulate matter attributable to an increase in emissions from construction orothertemporary emission-related activities of new or modified sources. XI.A.4. Concentrations attributable to the temporary increase in emissions ofsulfurdioxide, or particulate matter, or nitrogen oxides from stationary sources that are affected by revisions ofthe Colorado State Implementation Plan that are approved by the Administrator ofthe U.S. EPA and that provide: XI.A.4.a. The time period ofsuch temporary increase in emissions is not renewable and may not exceed two years in duration, unless a longer time is approved by the Division and the U.S. EPA; XI.A.4.b. Such temporary increase in emissions shall not impact a Class I area oran area where an applicable increment is known to be violated or cause orcontribute to the violation ofa national ambient air quality standard; and XI.A.4.c. Emission limitations shall be in effect atthe end ofthe time period specified in the plan revision that will ensure that the emissions levels from stationary sources affected by the plan revision will not exceed those levels occurring from such sources before the plan revision was approved by the U.S. EPA.. 

### XII. Innovative Control Technology Regulation Number 3 Adopted: October20, 2011 Page 165XII.A. An owner or operator ofa proposed major stationary source or major modification otherwise subjectto the requirements of Section VI. ofthis Part D may requestthe Division to grant a waiver from the Best Available Control Technology requirements and to approve a system of innovative control technology, in orderto encourage the use ofsuch technology. XII.B. The Division orthe Commission may, with the consent ofthe governor(s) ofother affected states, grant a waiverfrom the Best Available Control Technology requirements of Section VI.A.1. ofthis part necessary for the employment of innovative control technology and determine thatthe source or modification may employ such system if: XII.B.1. The proposed control system would not cause orcontribute to an unreasonable risk to public health, welfare, orsafety in its operation orfunction; XII.B.2. The owner or operator agrees to achieve a level ofcontinuous emissions reduction greater than or equivalent to that, which would have been required under Section VI.A.1. by a date specified by the Division. Such date shall not be laterthan four years from the time ofstartup orseven years from permit issuance; XII.B.3. The source or modification would meetthe requirements of Sections VI.A.1. and VI.A.2. based on the emissions rate thatthe stationary source employing the system of innovative control technology would be required to meet on the date specified by the Division; XII.B.4. The source or modification would not, before the date specified by the Division under Section XII.B.2., above; XII.B.4.a. Cause orcontribute to any violation ofan applicable national ambient air quality standard; or XII.B.4.a.(i) Impact any area where an applicable increment is known to be violated; or XII.B.S. All other applicable requirements including those for public participation have been met. XII.B.6. The provisions of Section VIII. ofthis part (relating to Class I areas) have been satisfied with respect to all periods during the life ofthe source or modification. XII.C. The Division shall withdraw any approval to employ a system of innovative control technology made underthis section, if: XII.C.1. The proposed system fails by the specified date to achieve the required continuous emissions reduction rate; or XII.C.2. The proposed system fails before the specified date so as to contribute to an unreasonable risk to public health, welfare, orsafety; or XII.C.3. The Division decides atany time that the proposed system is unlikely to achieve the required level ofcontrol orto protect the public health, welfare, orsafety. XII.D. If a source or modification fails to meetthe required level ofcontinuous emissions reduction within the specified time period, or ifthe approval is withdrawn in accordance with Section XII.C., above, the Division may allow the source or modification up to an additional three years to meet the requirement for the application of best available control technology through use ofa demonstrated system ofcontroL 

### XIII. Federal Class I Areas RegulationNumber 3 Adopted: October 20,2011 Page 166XIII

### .A Within twenty days of receipt ofa permit application for a new major stationary source or major modification that may affectvisibility orair quality related values in any Federal Class I area, the Division shall transmit a copy ofthe application to all affected Federal Land Managers and consult with them as to its completeness in its analysis and monitoring (if required) ofair quality related values. Ifthe Division receives advance notification ofa permit application ofa source that may affect visibility orairquality related values, it will notify all affected Federal Land Managers within thirty days ofsuch notification. The Division will consider any analysis performed by a Federal Land Managerthat indicates there will be an adverse impact on visibility orairquality related values ifsuch analysis is received within thirty days afterthe Federal Land Manager receives a copy ofthe complete application. Ifthe Division disagrees with the Federal Land Manager, any notices for public comment orofa public hearing on the application will explain the disagreement orstate where the explanation can be obtained. Xlll.8. In addition to the general impact analysis required by Section VI.A.6. ofthis part, any source that will have or is likely to have an impact on any designated Class I area may be required to conduct monitoring to establish the condition ofand the impact on air quality related values in such Class I area(s) both prior to completing an application for a permitto construct and during the construction and operation ofsuch source. Xlll.8.1.1f monitoring is required, the source shall conduct a private monitoring program. However, if monitoring is being conducted by any other existing source or government agency, the new source may enter into ajoint monitoring program with that source or agency. All monitoring programs must be approved in advance by the Division. XII1.8.2.Pre-application monitoring may include the monitoring of not more than three air quality related values orsensitive receptors ofair quality related values specified by the Division afterconsultation with the Federal Land Manager. The air quality related values or sensitive receptor(s) selected must be important to the affected Class Iarea, and there must be cause to believe that monitoring ofthe air quality related values orsensitive receptors will provide a basis for evaluating effects to the relevant air quality related values. Xlll.8.3.Monitoring during construction and operation may only be required forthe sensitive receptors specified for pre-application monitoring, unless new information becomes available that demonstrates a significant economic ortechnological advantage of monitoring a different sensitive receptor, and it is acceptable to the source owner or operator. XIII.8.4. Monitoring ofair quality related values orsensitive receptors ofair quality related values may only be required if: Xlll.8.4.a. Monitoring methods are reasonably available and research and development of monitoring methods are unnecessary; Xlll.8.4.b. The major effect on the air quality related values orsensitive receptor would reasonably be predicted to be a result ofthe applicant's individual emissions or of the applicant's emissions in combination with any person's emissions with whom the applicant may be required to conductjoint monitoring; and Xlll.8.4.c. It is economically reasonable for the source to conduct such monitoring. XIII.C. Sources Impacting Federal Class IArea -Additional Requirements. Federal Land Managers may present to the Division, after its preliminary analysis required under Section 111.8. of Part 8 ofthis regulation, a demonstration that the emissions from the proposed source or modification would have an adverse impact on the air quality related values (including visibility) ofany federal Regulation Number 3 Adopted: October20,2011 Page 167mandatory Class I lands, notwithstanding that the change in air quality resulting from emissions from such source or modification would not cause orcontribute to concentrations thatwould exceed the maximum allowable increases for a Class I area. Ifthe Division concurs with such demonstration, or in the event the Federal Land Managerfails to perform an adverse impact analysis and the Division determines that there is an adverse impact on visibility, orthe Division determines that a demonstration of no adverse impact is in error, the Division shall not issue the permit. XIII.D. Class I Variances. The owner or operator ofa proposed major stationary source or major modification may demonstrate to the satisfaction ofthe Federal Land Managerthatthe emissions from such source or modification would not have an adverse impact on the air quality related values (including visibility) ofClass I lands underthe Federal Land Manager'sjurisdiction, notwithstanding that the change in air quality resulting from emissions from such source or modification would cause orcontribute to concentrations that would exceed the maximum allowable increases for a Class I area. Ifthe Federal Land Manager concurs with such demonstration and so certifies to the Division, the Division orthe Commission may, provided that applicable requirements are otherwise met, issue the permitwith such emission limitations as may be necessary to assure that emissions ofsulfur dioxide, and PM10, PM2.5 and nitrogen oxides would not exceed the following maximum allowable increases over the minor source baseline concentration for such pollutants.

Maximum allowable increase Particulate matter PM2.5 Annual arithmetic mean 4 ua/m3 PM2.5 Twentv-four hour maximum 9 IJ_g/m3

PM1 0, Annual arithmetic mean 17 1Jg/m3 PM10, Twenty-four hour maximum 30 1JQ/m3 Sulfur dioxide Annual arithmetic mean 20J..l9/m3 Twenty-four hour maximum 91 1JQ/m3 Three hour maximum 3251Jg/m3 Nitrog_en dioxide Annual arithmetic mean 251Jg/m3 XIII.E. Sulfur Dioxide Variance by Governor XIII.E.1.The owner or operator ofa proposed major stationary source or major modification that cannot be approved under Section XIII.D., above, may demonstrate to the governorthat the source or modification cannot be constructed by reason ofany maximum allowable increase for sulfur dioxide for periods oftwenty-four hours or less, applicable to any Class I area and, in the case ofthe federal mandatory Class I areas, that a variance underthis Regulation Number 3 Adopted: October 20, 2011 Page 168section would not have an adverse affect on the air quality related values ofthe area (including visibility). XIII.E.2.The governor, after consideration ofthe Federal Land Manager's recommendation (if any) and subject to his concurrence, may grant, after notice and an opportunity for a public hearing, a variance from such maximum allowable increase. XIII.E.3.1f such variance is granted, the Division may issue a permit to such source or modification in accordance with Section XIII.G., below, ifthe applicable requirements of Regulation Number3 are otherwise met. XIII.F. Variance by the Governorwith the President's Concurrence XIII.F.1.The recommendations ofthe governorand the Federal Land Manager shall be transferred to the president in any case where the governor recommends a variance with which the Federal Land Manager does not concur. XIII.F.2.1f the president approves the variance, the Division may issue a permit in accordance with Section XIII.G., below, ifthe applicable requirements of Regulation Number 3 are otherwise met. XIII.G. Emission Limitations for Presidential and Gubernatorial Variance. In the case ofa permit to be issued under Sections XIII.E. and XIII.F., the source or modification shall comply with emission limitations as may be necessary to assure that emissions ofsulfur dioxide from the source or modification would not (during any day on that the otherwise applicable maximum allowable increases are exceeded) cause orcontribute to concentrations that would exceed the following maximum allowable increases overthe baseline concentration assure that such emissions would not cause or contribute to concentrations that exceed the otherwise applicable maximum allowable increases for periods ofexposure oftwenty-four hours or less for more than eighteen days, not necessarily consecutive, during any annual period:

3 Maximum Allowable Increase (IJg/m,) 

### Period of Exposure Terrain Areas Low High 24-hour maximum 36 62 3-hour maximum 130 221 

### XIV. Visibility XIV.A. Purpose This section assures reasonable progress towards the national goal of preventing future, and remedying existing, visibility impairment in Class I areas, where such impairment results from man-made air pollution. XIV.B. Applicability This section applies to all Class I areas and to sources in Colorado the emissions from which may reasonably be anticipated to cause or contribute to any impairment ofvisibility in any such area (even ifthe area is in another state).

Regulation Number 3 Adopted: October20, 2011 Page 169

### XIV.C. Definitions For purposes ofthis Section XIV. XIV.C.1. Adverse impact on visibility means for the purpose of Section XIV.E. visibility impairment that interferes with the management, protection, preservation, orenjoyment ofthe visitor's visual experience ofthe Class I area. Any determination shall be made on a case-by-case basis taking into accountthe geographic extent, intensity, duration, frequency and time ofvisibility impairments, and how these factors correlate with times of visitor use ofthe Class I area, and the frequency and timing of natural conditions that reduce visibility. XIV.C.2. BestAvailable Retrofit Technology means an emission limitation achievable through the application ofthe best system ofcontinuous emission reduction for each pollutantthat is emitted by an existing stationary facility. The emission limitation shall be established on a case-by-case basis taking into consideration the technology available, the costs ofcompliance, the energy and non-air quality environmental impacts of compliance, any pollution control equipment in use or in existence atthe source, the remaining useful life ofthe source, and the degree of improvement in visibility that may reasonably be anticipated to result from the use ofsuch technology. XIV.C.3. Existing stationary facility means any ofthe stationary sources ofair pollutants defined in Sections 1.8.19., 1.8.24. through 1.8.27., 1.8.36., and 1.8.43. of PartA, Section I.A.1.(c) of Part C, and Section II.A.24. of Part D ofthis regulation, including any reconstructed source that was not in operation prior to August 7, 1962, and had commenced construction on or before August 7, 1977, and has the potential to emittwo hundred and fifty tons per year or more ofany air pollutant. In determining potential to emit, fugitive emissions, to the extent quantifiable shall be counted. XIV.C.4. Long-term strategy means a ten to fifteen year plan for making reasonable progress toward the national goal specified in Section XIV.A. ofthis part. XIV.C.S. Natural conditions include naturally occurring phenomena that reduce visibility as measured in terms ofvisual range, contrast, or coloration. XIV.C.6. Reasonably attributable means attributable by visual observation or any other technique the state deems appropriate. XIV.C.7. Significant impairment means, for purposes of Section XIV.D.2.c., visibility impairment, that interferes with the management, protection, preservation or enjoyment ofthe visitor's visual experience ofthe Class I area. XIV.C.8. Visibility impairment means any humanly perceptible change in visibility (visual range, contrast, coloration) that would have existed under natural conditions. XIV.C.9. Class I area means an area listed in Section VIII.A. ofthis part and any area that may be redesignated to Class I in the future. XIV.D. Existing Impairment X.IV.D.1. The Federal Land Manager or the Division may, at any time, certify to the Division director that visibility impairment exists in any Class I area. The Division may also certify that visibility impairment exists in any Class I area without the concurrence ofthe Federal Land Manager.

Regulation Number 3 Adopted: October20,2011 Page 170XIV.D.2. Each existing stationary facility located in Colorado to which the cause oforcontribution to visibility impairment in any Class I area is reasonably attributable, shall apply for and obtain from the Division a permit that requires the installation and operation of Best Available Retrofit Technology. The facility shall install and operate BestAvailable Retrofit Technology as expeditiously as practicable but in no case laterthan five years after permit issuance. XIV.D.2.a. Forfossil-fuel fired generating plants having a total generating capacity in excess of750 megawatts, Best Available Retrofit Technology shall be determined pursuant to "Guidelines for Determining Best Available Retrofit Technology for Coal-fired Power Plants and Other Existing Stationary Facilities" (U.S. EPA Publication Number450/3-80-009b, 1980), and state ofthe art information available atthe time of BestAvailable Retrofit Technology analysis. Pursuant to Colorado Revised Statute Section 24-4-103 (12.5), the document referenced in this section is available for public inspection during normal working hours, orcopies are availablefor cost, from the technical secretary ofthe Commission, 4300 Cherry Creek Drive South, Denver, Colorado 80246-1530. This Regulation Number3 does not include later amendments to or editions of the referenced documents. XIV.D.2.b. Should technological or economic limitations make the application of Best Available Retrofit Technology as previously defined infeasible; the state may instead prescribe a design, equipment, work practice, orother operational standard, orcombination thereof, as representing Best Available Retrofit Technology. Where a facility is subject to Section XIV.D.2.a., due to technological limitations, the facility shall install and operate Best Available Retrofit Technology as previously defined when newtechnology for control ofthe pollutant becomes reasonably available provided: 1) the pollutant is emitted by the existing facility; 2) controls representing BestAvailable Retrofit Technology forthe pollutant have not previously been required underthis section; and 3) the impairment ofvisibility in any Class I area is reasonably attributable to the emissions ofthat pollutant. XIV.D.2.c. Any existing stationary facility required to install and operate Best Available Retrofit Technology underthis section may apply to the Division and the U.S. EPA Administrator for an exemption.

Regulation Number 3 Adopted: October 20, 2011 XIV.D.2.c.(i) An application underthis section must include all available documentation relevant to the impact ofthe source's emissions on visibility in any Class I area and a demonstration by the existing stationary facility that it does not orwill not by itselfor in combination with other sources, emit any air pollutant that may be reasonably anticipated to cause orcontribute to a significant impairment ofvisibility in any Class I area. XIV.D.2.c.(ii) Any fossil fuel fired power plant with a total generating capacity of 750 megawatts or more may receive an exemption from BestAvailable Retrofit Technology only ifthe owner oroperator ofsuch power plant demonstrates to the satisfaction ofthe Division that such power plant is located at such a distance from all Class I areas that such power plant does not orwill not by itselfor in combination with other sources emit any air pollutant that may reasonably be anticipated to cause orcontribute to significant impairment ofvisibility in any such Class I area.

Page 171XIV.D.2.c.(iii) The existing stationary facility must give priorwritten notice to all affected Federal Land Managers ofany application for exemption. XIV.D.2.c.(iv) The Federal Land Manager may provide an initial recommendation or comment on the disposition ofsuch application. Such recommendation, where provided, must be part ofthe exemption application. This recommendation is notto be construed as the concurrence required under Section XIV.D.2.c.(iv). XIV.D.2.c.(v) After notice and opportunity for public hearing, before the Commission, the Division may grant ordeny the exemption. XIV.D.2.c.(vi) An exemption granted by the Division underthis section will be effective only upon concurrence by all affected Federal Land Managers. XIV.D.2.c.(vii) Any determination shall be made on a case-by-case basis taking into account the geographic extent, intensity, duration, frequency and time ofthe visibility impairment, and howthese factors correlate with time ofvisitor use ofthe Class I area, and the frequency and timing of natural conditions that reduce visibility. XIV.D.2.d. The Division shall process any application for a permit required by Section XIV.D.2., above, or any application for exemption under Section XIV.D.2.b., according to the time constraints stated in Part 8, Section Ill.B. ofthis regulation. All applications for permits or exemptions will be subjectto public notice and public hearing requirements applicable to sources subjectto the provisions of Section VI. ofthis part. Processing fees will be charged to the applicant to recover actual costs incurred by the Division as stated in Section VI. of Part A of this Regulation Number 3. XIV.

### E. New Source Review Applicants for new major stationary sources and major modifications shall demonstrate thatthe proposed source will not have an adverse impact on visibility in a Class I area as required by Sections V.A.6., VIAS., and XIII. ofthis part. XIV.F. Long-term Strategy XIV.F.1. The Commission shall review and revise, ifappropriate, the long-term strategy every five years. XIV.F.1.a. During the long-term strategy development and review process, the Commission shall consultwith the Federal Land Managers. XIV.F.1.b. A public hearing shall be held upon request ofany interested person. The state shall provide written notification to each affected Federal Land Manager and other affected states at least sixty days priorto holding any public hearing. XIV.F.1.c. The Division shall prepare a report forthe Commission on any progress made toward the national visibility goal since the last long-term strategy revisions. The report will be made available on September 1, at least every fifth yearfollowing the submittal ofthe previous report and consistent with the federal five-year Regional Haze reporting schedule. The report shall include an assessment of:

Regulation Number 3 Adopted: October20,2011 Page 172XIV.F.1.c.(i} The progress achieved in remedying existing impairment ofvisibility in any Class I area; XIV.F.1.c.(ii) The ability ofthe long-term strategy to prevent future impairment of visibility in any Class I area; XIV.F.1.c.(iii) Any change in visibility since the last such report, or in the case of the first report, since plan approval, including an assessment ofexisting conditions; XIV.F.1.c.(iv) Additional measures, including the need for state implementation plan revisions, that may be necessary to assure reasonable progress toward the national visibility goal; XIV.F.1.c.(v) The progress achieved in implementing Best Available Retrofit Technology and meeting other schedules setforth in the long-term strategy; XIV.F.1.c.(vi) The impact ofany exemption granted under Section XIV.D.2.c.; and, XIV.F.1.c.(vii) The need for BestAvailable Retrofit Technology to remedy existing impairment in an integral vista declared since plan approval. XIV.G. Public Land Emission Inventories XIV.G.1. Federal Public Lands XIV.G.1.a. For the purposes ofthis Section XIV.G., federal land management agency means a federal agency that owns and manages at least 50,000 acres offederal land in Colorado. XIV.G.1.b. Federal land management agencies shall submitto the Commission emission inventories by December 31, 2001 and no less frequently than every five years thereafter. XIV.G.1.c. The inventory shall include the sources listed in Section XIV.G.3.b. ofthis regulation and emissions ofcriteria pollutants, including surrogates or precursors for such pollutants, from activities in Colorado orother states that may affect any mandatory class I federal area in Colorado by reducing visibility in such area. XIV.G.2. Colorado State Public lands XIV.G.2.a. The Division shall submit to the Commission emission inventories for all state land management agencies including the State Land Board, the Department of Agriculture, and the Department of Natural Resources by July 1, 2002 and no less frequently than every five years thereafter. XIV.G.2.b. The inventory shall include the sources listed in Section XIV.G.3.b. ofthis regulation and emissions ofcriteria pollutants, including surrogates or precursors for such pollutants, from activities in Colorado that may affect any mandatory Class I federal area in Colorado by reducing visibility in such area. XIV.G.3. Public Land Emission Inventory Requirements

Regulation Number 3 Adopted: October20,2011 Page 173XIV.G.3.a. The inventory shall include both current emissions and projected future emissions, over at least a five-year period. XIV.G.3.b. The following sources on public lands shall be included in the inventory: XIV.G.3.b.(i) Stationary source emissions, based on existing air pollution emission notices filed with the Division; XIV.G.3.b.(ii) Mobile sources utilizing state lands, excluding state and federal highways; XIV.G.3.b.(iii) Paved and unpaved roads; XIV.G.3.b.(iv) Fires on public lands from all sources; and XIV.G.3.b.(v) Biogenic sources, including emissions from flora and fauna. XIV.G.4. Public Hearings Not laterthan December 31, 2002, and no less frequently than every five years thereafter, a public hearing before the Commission shall be conducted to approve the public land emission inventories. 

### XV. Actuals PALs XV.A. Applicability. XV.A.1. At the request ofan owneroroperator, the Division mayapprove the use ofan actuals PAL in 

### a Title Vpermitforanyexisting majorstationarysource thathas operated forat least two years ifthe PAL meets the requirements in Sections XV.A. through XV.L. The term "PAL"shall mean "actuals PAL" throughout Section XV. ofthis part. XV.A.2. Anyphysicalchange in orchange in the methodofoperation ofa majorstationarysource thatmaintains its totalsource-wide emissions belowthe PAL level, meets the requirements in Sections XV.A. through XV.L., andcomplies with the PAL permit: XV.A.2.a. Is not

### a majormodification forthe PAL pollutant; XV.A.2.b. Is notsubject to the majorNSR reviewprocedures in Sections I. B., 

### V., and VI. ofthis part; and XV.A.2.c. Is notsubject to the provisions in Section V.A. S.b. ofthispart (restrictions on relaxing enforceable emission limitations that the majorstationarysource used to avoid applicabilityofthe majorNSRprogram). XV.A.3. Exceptasprovided underSection XV.A.2.c. above, 

### a majorstationarysource shall continue to comply with all applicable Federal orState requirements, emission limitations, and workpractice requirements that were establishedpriorto the effective date ofthe PAL. XV.B. Permitapplication requirements. Aspart ofa permitapplication requesting a PAL, the owneroroperatorofa majorstationary source shallsubmit the following information to the Division forapproval (in addition to the information required byPart C ofthis Regulation): RegulationNumber 3 Adopted: October20, 2011 Page 174XV.B.1. A list ofallemissions units atthe source designatedas small (as definedin Section II.A.45. ofthispart}, significant (as definedin Section II.A.44. ofthis pari), andmajor(as definedin Section II.A.21. ofthispart) basedon theirpotential to emit, andidentifying each as such. In addition, the owneroroperatorofthe source shallindicate which, ifany, Federal orState applicable requirements, emission limitations orworkpractices applyto each unit. XV.B.2. Calculations ofthe baseline actualemissions foreach emissions unitlistedin Section XV.B.1. above (with supporting documentation). Baseline actualemissions are to include emissions associatednotonly with operation ofthe unit, butalso emissions associated with startup, shutdown andmalfunction. XV.B.3. The calculation procedures that the majorstationarysource owneroroperatorproposes to use to convert the monitoring data to monthlyemissions andannualemissions based on 

### a twelve-month rolling total foreach month as requiredby Section XV.M.1. XV.C. Generalrequirements forestablishing PALs. XV.C.1. A PAL may be established ata majorstationarysource, provided that, ata minimum, the requirements in Sections XV. 

### C. 1.

### a. through XV. 

### C. 1.g. beloware met. XV. 

### C. 1.a. The PAL shallimpose an annualemission limitation in tons peryearthatis enforceable as

### a practicalmatter, forthe entire majorstationarysource. Foreach month during the PAL effectiveperiodafterthe first twelve months ofestablishing 

### a PAL, the majorstationarysource owneroroperatorshalldemonstrate that the sum ofthe monthlyemissions ofthe PAL pollutantfrom each emissions unit underthe PAL for the previous twelve consecutive months is less than the PAL (a rolling twelve-month total). Foreach month during the first eleven months from the PAL effective date, the majorstationarysource owneroroperatorshall demonstrate that the sum ofthe preceding monthlyemissions ofthe PAL pollutantforeach emissions unit underthe PAL is less than the PAL. XV.C.1.b. The PAL shallbe establishedin 

### a PAL permitsection ofan operatingpermit issuedpursuant to Pari

### C ofthis regulation thatmeets the publicparticipation requirements in Section XV.D. XV.C.1.c. The PAL permitshallcontain all the requirements ofSection XV.F. XV. 

### C. 1.d. The PAL shallinclude fugitive emissions, to the extentquantifiable, from all emissions units that emitorhave the potential to emit the PAL pollutantat the majorstationarysource. XV. 

### C. 1. e. Each PAL shallregulate emissions ofonlyonepollutant. XV.C.1.f Each PAL shallhave

### a PAL effective periodoften years. XV. C.1.g. The owneroroperatorofthe majorstationarysource with 

### a PAL shall comply with the monitoring, recordkeeping, andreporting requirementsprovidedin Sections XV. K. through XV. N. foreach emissions unit underthe PAL throughout the PAL effective period. XV.C.2. Atno time (during orafterthe PAL effective period) are emissions reductions of

### a PAL pollutant, which occurduring the PAL effective period, creditable as decreases for purposes ofoffsets underSection V. unless the level ofthe PAL is reducedby the

Regulation Number 3 Adopted: October20, 2011 Page 175amountofsuch emissions reductions andsuch reductions would be creditable in the absence ofthe PAL. 

### XV.D. Publicparticipation requirement forPALs. PALs forexisting majorstationarysources shallbe established, renewed, orincreasedin accordance with the significantmodification provisions setforth in Section I.A. 7.ofPart

### C ofthis regulation. The Division shallprovide the public with notice ofthe proposedapproval of

### a PAL permitand

### a thirty-dayperiod forsubmittalofpublic comment. 

### XV.E. Setting the ten-yearactua/s PAL level. XV.E.1. The actuals PAL level for

### a majorstationarysource shallbe establishedas the sum of the baseline actual emissions (as definedin Section II.A.4. ofthis PartD) ofthe PAL pollutant foreach emissions unitat the source, plus an amount equal to the applicable significantlevel forthe PAL pollutant underSection II.A.42. ofthis part, orunderthe FederalAct, whicheveris lower. XV.E.2. When establishing the actua/s PAL level for

### a PAL pollutant, onlyone consecutive twenty-fourmonth periodmaybe used to determine the baseline actual emissions forall existing emissions units. However, 

### a different consecutive twenty-fourmonth periodmay be used foreach different PAL pollutant. XV.E.3. Emissions associated with units that were permanentlyshutdown afterthis twenty-four month periodmustbe subtracted from the PAL level. XV.E.4. Fornewlyconstructed units (which do notinclude modifications to existing units) on which actualconstruction began afterthe twenty-fourmonth period, in lieu ofadding the baseline actual emissions as specifiedin Section XV.E.1., above, the emissions mustbe added to the PAL levelin an amountequal to the potential to emit ofthe units. XV.E.5. The Division shallspecify

### a reduced PAL leve/(s) (in tons/yr) in the PAL permit to become effective on the future compliance date(s) ofanyapplicable Federal orState regulatory requirement(s) that the Division is aware ofpriorto issuance ofthe PAL permit. For instance, ifthe source owneroroperatorwill be required to reduce emissions from industrialboilers in halffrom baseline emissions of60ppm NOx to 

### a newrule limit of30 ppm, then the permitshall contain 

### a future effective PAL level thatis equal to the current PAL level reduced byhalfofthe originalbaseline emissions ofsuch unit(s). 

### XV.F. Contents ofthe PAL permit. The PAL permitshall contain, at

### a minimum, the information in Sections XV.F.1. through XV.F.10. XV.F.1. The PAL pollutant and the applicable source-wide emission limitation in tons peryear. XV.F.2. The PAL permit effective date and the expiration date ofthe PAL (PAL effective period). XV.F.3. Specification in the PAL permit thatifa majorstationarysource owneroroperatorapplies to renew

### a PAL in accordance with Section XV./. before the endofthe PAL effective period, then the PAL shall notexpire at the endofthe PAL effective period. Itshall remain in effectuntil

### a revised PAL permitis issuedby the Division. XV.F.4. A requirement that emission calculations forcompliance determination purposes include emissions from startups, shutdowns andmalfunctions.

Regulation Number 3 Adopted: October 20,2011 Page 176XV.F.5. A requirement that, once the PAL expires, the majorstationarysource is·subject to the requirements ofSection XV. XV.F.6. The calculation procedures that the majorstationarysource owneroroperatorshall use to convertthe monitoring data to monthlyemissions andannualemissions basedon a twelve-month rolling total foreach month as requiredbySection XV. XV.F.7. A requirement that the majorstationarysource owneroroperatormonitors allemissions units in accordance with the provisions underSection XV. XV.F.8. A requirement to retain the records required under Section XV. on site. Such records may be retained in an electronic.format. XV.F.9. A requirement to submit the reports required underSection XV. bythe required deadlines. XV.F.10. Anyotherrequirements that the Division deems necessaryto implementandenforce the PAL. XV.G. Reopening ofthe PAL permit. XV.G.1. During the PAL effective period, the Division shall reopen the PAL permit to: XV.G.1.a. Correct typographical/calculation errors made in setting the PAL orreflecta more accurate determination ofemissions usedto establish the PAL. XV. 

### G. 1.b. Reduce the PAL ifthe owneroroperatorofthe majorstationarysource creates creditable emissions reductions foruse as offsets underSection V.A.3. ofthis PartD. XV.G.1.c. Revise the PAL to reflect an increase in the PAL asprovidedunderSection XV.J. XV.G.2. The Division has discretion to reopen the PAL permit to: XV. G.2.a. Reduce the PAL to reflectnewlyapplicable Federal requirements (forexample, NSPS) with compliance dates afterthe PAL effective date. XV.G.2.b. Reduce the PAL consistent with anyotherrequirement, thatis enforceable as a practicalmatter, and that the Division mayimpose on the majorstationary source. XV.G.2.c. Reduce the PAL ifthe Division determines thata reduction is necessaryto avoidcausing orcontributing to a NAAQS orPSD increment violation, orto an adverse impact on an airquality related value thathas been identified fora Federal Class I area bya Federal LandManagerandfor which information is available to the generalpublic. XV.G.3. Except forthe permitreopening in Section XV. 

### G. 1.a. forthe correction of typographical/calculation errors thatdo notincrease the PAL level, all otherreopenings shallbe carried outin accordance with the publicparticipation requirements ofSection XV.D. XV.H. Expiration ofa PAL.

Regulation Number 3 Adopted: October20, 2011 Page 177AnyPAL that is notrenewed in accordance with the procedures in Section XV./. shallexpire at the end ofthe PAL effectiveperiod, and the requirements in Sections XV.H.1. through XV.H.5. shallapply. XV.H.1. Each emissions unit (oreach group ofemissions units) that existed underthe PAL shall comply with an allowable emission limitation undera revisedpermitestablished according to the procedures in Sections XV.H.1. through XV.H.5. ofthis part. XV.H.1.a. Within the time frame specified forPAL renewals in Section XV./.2., the major stationarysource shallsubmit

### a proposedallowable emission limitation foreach emissions unit (oreach group ofemissions units, ifsuch a distribution is more appropriate as determinedbythe Division) bydistributing the PAL allowable emissions forthe majorstationarysource among each ofthe emissions units that existed underthe PAL. 

### Ifthe PAL hadnotyetbeen adjustedforan applicable requirement thatbecame effective during the PAL effectiveperiod, as required underSection XV./.5., such distribution shallbe made as ifthe PAL hadbeen adjusted. XV.H.1.b. The Division shall determine whether and howthe PAL allowable emissions will be distributed and issue a revised permit incorporating allowable limits for each emissions unit, or each group ofemissions units, as the Division determines is appropriate. XV.H.2. Each emissions unit(s) shall comply with the allowable emission limitation on a twelvemonth rolling totalbasis. The Division mayapprove the use ofmonitoringsystems (source testing, emission factors, etc.) otherthan GEMS, GERMS, PEMS orGPMS to demonstrate compliance with the allowable emission limitation. XV.H.3. Until the Division issues the revisedpermitincorporating allowable limits foreach emissions unit, oreach group ofemissions units, as required underSection XV.H.1.a., the source shallcontinue to comply with a source-wide, multi-unitemissions cap equivalentto the level ofthe PAL emission limitation. XV.H.4. Anyphysicalchange orchange in the method ofoperation at the majorstationarysource willbe subject to the majorNSR requirements ifsuch change meets the definition of majormodification in Section I/.A.22. ofthis Part D. XV.H.5. The majorstationarysource owneroroperatorshall continue to comply with anyState or Federal applicable requirements that mayhave appliedeitherduring the PAL effective periodorpriorto the PAL effective periodexcept forthose emission limitations thathad been establishedpursuant to Sections 

### V.A.7.b. and VI. B.4. ofthis part, but were eliminatedby the PAL in accordance with the provisions in Section XV.A.2.c. XV.I. Renewal ofa PAL.. XV.I.1. The Division shall follow the procedures specifiedin Section XV. D. in approving any request to renew

### a PAL for

### a majorstationarysource, andshallprovide both the proposed PAL leveland

### a written rationale for the proposed PAL level to the public for reviewandcomment. During such public review, anyperson maypropose a PAL level forthe source forconsideration by the Division. XV.I.2. Application deadline. A majorstationarysource owneroroperatorshallsubmit

### a timelyapplication to the Division to requestrenewal ofa PAL. A timelyapplication is one that is submittedatleast twelve months Regulation Number3 Adopted: October 20, 2011 Page 178priorto, butnotearlierthan eighteen months from, the date ofPAL permitexpiration. This deadline forapplication submittal

### is to ensure that the permit willnot expire before the permit

### is renewed. Ifthe owneroroperatorof

### a majorstationarysource submits

### a complete application , including anyadditionalinformation requestedbythe Division, to renew the PAL within this time period, then the PAL shall continue to be effective until the revisedpermit with the renewed PAL 

### is issued. XV.I.3. Application requirements. The application to renew

### a PAL permitshallcontain the information requiredin Sections XV./.3.a. through XV.!.J.d., below. XV./.3.a. The information requiredin Sections XV.B.1. through XV.B.3. ofthis part. XV./.3.b. A proposedPAL level. XV./.3.c. The 

### sum ofthe potential to emitofall emissions units underthe PAL (with supporting documentation). XV./.3.d. Anyotherinformation the owneroroperatorwishes the Division to considerin determining the appropriate level forrenewing the PAL. XV.I.4. PAL adjustment. In determining whetherandhowto adjust the PAL, the Division shall considerthe options outlined in Sections XV./.4.a. andXV./.4.b. However, in no 

### case mayanysuch adjustmentfail to comply with Section XV./.4.c. XV./.4.a. Ifthe emissions levelcalculatedin accordance with Section XV.E. 

### is equalto or greaterthan eightypercentofthe PAL level, the Division mayrenew the PAL at the 

### same level without considering the factors 

### set forth in Section XV./.4.b.; or XV./.4.b. The Division may

### set the PAL at

### a level thatitdetermines to be more representative ofthe 

### source's baseline actual emissions, orthatitdetermines to be appropriate considering airqualityneeds, advances in control technology, anticipatedeconomicgrowth in the area, desire to reward orencourage the source's voluntaryemissions reductions, orotherfactors 

### as specificallyidentified bythe Division in itspreliminaryanalysis ortechnicalreview document. XV./.4.c. Notwithstanding 

### Sections XV./.4.a. andXV./.4.b. above, XV./.4.c.

### (i) Ifthe potential to emitofthe majorstationarysource 

### is less than the PAL, the Division shalladjustthe PAL to 

### a levelno greaterthan the potential to emitofthe source; and XV./.4.c.(ii) The Division shallnotapprove 

### a renewed PAL levelhigherthan the currentPAL, unless the majorstationarysource 

### has complied with the provisions ofSection XV.J. (increasing 

### a PAL). XV.I.5. Ifthe compliance date for

### a State orFederal requirement thatapplies to the PAL source occurs during the PAL effectiveperiod, andifthe Division 

### has notalreadyadjustedfor such requirement, the PAL 

### shall be adjustedat the time ofPAL permitrenewal or Title V permitrenewal, whicheveroccurs first. XV.J. Increasing

### a PAL during the PAL effectiveperiod. Regulation Number 3 Adopted: October20,2011 Page 179XV.J.1. The Division mayincrease 

### a PAL emission limitation onlyifthe majorstationarysource complies with the provisions in Sections XV. J. 1.

### a. through XV. J. 1. d. below. XV.J. 1.a. The owneroroperatorofthe majorstationarysource shallsubmit

### a complete application to request an increase in the PAL limit for

### a PAL majormodification. Such application shall identify the emissions unit(s) contributing to the increase in emissions so as to cause the majorstationarysource's emissions to equal or exceedits PAL. XV.J.1.b. Aspartofthis application, the majorstationarysource owneroroperatorshall demonstrate that the sum ofthe baseline actual emissions ofthe small emissions units, plus the sum ofthe baseline actualemissions ofthe significantandmajor emissions units assuming application ofBACTequivalentcontrols, plus the 

### sum ofthe allowable emissions ofthe newormodifiedemissions unit(s) exceeds the PAL. The level ofcontrol that would result from BACTequivalentcontrols on each significant ormajoremissions unitshallbe determinedbyconducting

### a new BACTanalysis at the time the application is submitted, unless the emissions unit is currentlyrequired to comply with 

### a BACTorLAER requirement that was established within the preceding ten years. In such a case, the assumedcontrol level forthatemissions unitshallbe equal to the level ofBACTorLAER with which thatemissions unitmustcurrentlycomply. XV.J.1.c. The owneroroperatorobtains 

### a majorNSRpermitforall emissions unit(s) identifiedin Section XV.J.1.a., regardless ofthe magnitude ofthe emissions increase resulting from them (thatis, no significantlevels apply). These emissions unit(s) shallcomply with anyemissions requirements resulting from the majorNSRprocess (forexample, BACTorLAER), even though theyhave also become subject to the PAL orcontinue to be subject to the PAL. XV.J.1.d. The PAL permitshallrequire that the increased PAL levelshallbe effective on the dayanyemissions unit that ispartofthe PAL majormodification becomes operationalandbegins to emit the PAL pollutant. XV.J.2. The Division shallcalculate the new PAL as the sum ofthe allowable emissions foreach modified ornewemissions unit, plus the sum ofthe baseline actual emissions ofthe significantandmajoremissions units (assuming application ofBACTequivalentcontrols as determined in accordance with Section XV.J.1.b.), plus the sum ofthe baseline actual emissions ofthe smallemissions units. XV.J.3. The PAL permitshallbe revised to reflect the increased PAL levelpursuant to the public notice requirements ofSection XV.D. ofthis part. XV.K. Monitoring requirements for PALs. XV.

### K. 1 . General Requirements. XV.K.1.a. Each PAL permitshallcontain enforceable requirements for the monitoring system thataccurately determines plant-wide emissions ofthe PAL pollutantin terms ofmassperunit oftime. Anymonitoring system authorized foruse in the PAL permitmustbe basedon soundscience andmeetgenerallyacceptable scientificprocedures fordata qualityandmanipulation. Additionally, the information generatedbysuch system mustmeetminimum legal requirements foradmissibilityin 

### ajudicialproceeding to enforce the PAL permit.

Regulation Number 3 Adopted: October20,2011 Page 180XVK.1.b. The PAL monitoring system mustemployone ormore ofthe fourgeneral monitoring approaches meeting the minimum requirements set forth in Sections XV.K.2.a. through XV.K.2.d. andmustbe approvedbythe Division. XV.K.1.c. Notwithstanding Section XV.K.1.b., you mayalso employan alternative monitoring approach thatmeets the requirements ofSection XV.K.1.a. if approvedbythe Division. XV. K. 1.d. Failure to use 

### a monitoring system thatmeets the requirements ofthis Section renders the PAL invalid. XV.K.2. Minimum Performance Requirements forApprovedMonitoringApproaches. The following are acceptable generalmonitoring approaches when conductedin accordance with the minimum requirements in Sections XV.K.3. through XV.K.9: XV.K.2.a. Mass balance calculations foractivities using coatings orsolvents; XV.K.2.b. GEMS (as definedin Section 1.8.14. ofPartA); XV.K.2.c. CPMS orPEMS (as definedin Sections 1.8.16. and 1.8.38., respectively, of PartA); and XV.K.2.d. Published, verifiable emission factors XV.K.3. Mass Balance Calculations. An owneroroperatorusing mass balance calculations to monitorPAL pollutant emissions from activities using coating orsolvents shallmeet the following requirements: XV.K.3.a. Provide 

### a demonstratedmeans ofvalidating the publishedcontent ofthe PAL pollutantthatis containedin orcreatedbyallmaterials usedin oratthe emissions unit; XV. K. 3.b. Assume that the emissions unitemits allofthe PAL pollutantthatis contained in orcreatedbyanyrawmaterialorfuel usedin orat the emissions unit, ifit cannototherwise be accountedforin the process; and XV.K.3.c. Where the vendorof

### a material orfuel, which is usedin orat the emissions unit, publishes 

### a range ofpollutantcontentfrom such material, the owneror operatormustuse the highest value ofthe range to calculate the PAL pollutant emissions unless the Division determines there is site-specific data or

### a sitespecific monitoringprogram to supportanothercontent within the range. XV.K.4. GEMS. An owneroroperatorusing GEMS to monitorPAL pollutantemissions shallmeet the following requirements: XV.K.4.a. GEMS mustcomply with applicable Performance Specifications found in the Code ofFederal Regulations Title 40, Part 60, Appendix B, andPart 75; and XV.K.4.b. GEMS mustsample, analyze andrecord data atleast everyfifteen minutes while the emissions unitis operating.

Regulation Number 3 Adopted: October20, 2011 Page 181XV.K.5. CPMS orPEMS. An owneroroperatorusing CPMS orPEMS to monitorPAL pollutantemissions shallmeet the following requirements: XV.K.S.a. The CPMS orthe PEMS mustbe based on currentsite specific data demonstrating

### a correlation between the monitoredparameter(s) and the PAL pollutantemissions across the range ofoperation ofthe emissions unit; and XV.K.S.b. Each CPMS orPEMS mustsample, analyze, andrecord data atleastevery fifteen minutes, oratanotherless frequent interval approvedbythe Division, while the emissions unitis operating. XV.K.6. Emission factors. An owneroroperatorusing emission factors to monitorPAL pollutantemissions shall meetthe following requirements: XV. K. 6.a. Allemission factors shallbe adjusted, ifappropriate, to account forthe degree ofuncertaintyorlimitations in the factors' development; XV.K.6.b. The emissions unitshall operate within the designatedrange ofuse for the emission factor, ifapplicable; and XV. K. 6.c. 

### Iftechnicallypracticable, the owneroroperatorof

### a significant emissions unit thatrelies on an emission factor to calculate PAL pollutantemissions shall conduct validation testing to determine 

### a site-specific emission factor within six months ofPAL permitissuance, unless the Division determines that testing is not required. XV.K.7. A source owneroroperatormustrecord andreport maximum potentialemissions without considering enforceable emission limitations oroperationalrestrictions foran emissions unit during anyperiodoftime that there is no monitoring data, unless anothermethod for determining emissions during such periods is specifiedin the PAL permit. XV.K.8. Notwithstanding the requirements in Sections XV.K.3. through XVK.7., where an owner oroperatorofan emissions unitcannotdemonstrate 

### a correlation between the monitored parameter(s) and the PAL pollutant emissions rate atall operatingpoints ofthe emissions unit, the Division shall, atthe time ofpermitissuance: XV. K. 8.

### a. Establish default value(s) fordetermining compliance with the PAL basedon the highestpotential emissions reasonably estimatedatsuch operatingpoint(s); or XV. K. 8.b. Determine thatoperation ofthe emissions unit during operating conditions when there is no correlation between monitoredparameter(s) and the PAL pollutant emissions is 

### a violation ofthe PAL. XV.L Re-validation. Alldata used to establish the PAL pollutantmustbe re-validated through performance testing or otherscientifically valid means approvedby the Division. Such testing mustoccuratleastonce everyfive years afterissuance ofthe PAL. XV.M. Recordkeeping requirements. RegulationNumber 3 Adopted: October 20, 2011 Page 182