Discussion of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

July 19, 2012 – Agenda Item No. 4 – Page 1 

GREAT BASIN UNIFIED AIR POLLUTION CONTROL DISTRICT

157 Short Street, Bishop, California 93514-3537 

Tel: 760-872-8211 Fax: 760-872-6109

BOARD REPORT

Mtg. Date: July 19, 2012 Date Prepared: June 12, 2012 

To: Board Members 

From: Duane Ono 

Deputy Air Pollution Control Officer 

Subject: Proposed Adoption of Prevention of Significant Deterioration (PSD) as District Rule 221 

Summary: The federal Prevention of Significant Deterioration (PSD) program is a construction 

permitting program for new major facilities and major modifications to existing major facilities 

located in areas classified as attainment or in areas that are unclassifiable for any criteria air pollutant. 

The intent of proposed District Rule 221 is to incorporate the federal PSD rule requirements into the 

District’s Rules and Regulations by incorporating the federal requirements by reference. A public 

notice was issued to invite comments on the proposed rule. At this meeting, the attached draft rule is 

presented to you for discussion purposes and to accept public comment. Staff will present the rule 

with any revisions for adoption at the next Board meeting. 

Proposed District Rule 221 will give the District authority to implement PSD regulations that are 

currently implemented by the US Environmental Protection Agency (US EPA). This rule will 

incorporate 40 CFR Part 52.21 – Prevention of Significant Deterioration of Air Quality by reference; 

there will be no changes to the monitoring, reporting, emission thresholds or control requirements for 

facilities subject to PSD regulations. Attached are proposed District Rule 221 and 40 CFR 52.21. 

In general, this rule would apply to the permitting application and review process for new major 

sources or modifications of any existing major source that has the potential to emit more than 100 

tons per year of a regulated pollutant. The rule sets ambient air quality increments that cannot be 

exceeded by new facilities that locate in attainment areas. Air quality increments are set for PM2.5, 

PM10, sulfur dioxide and nitrogen dioxide in federal Class I, II and III areas. Class I wilderness areas 

are provided the most protection. For example, the annual PM2.5 standard is 15 μg/m3 as compared to 

annual air increment of 1 μg/m3. For a Class II area the annual increment for PM2.5 is 4 μg/m3 and 

for Class III it is 8 μg/m3

. Class I areas in and near our District include: Yosemite, Sequoia and 

Kings Canyon National Parks, the John Muir Wilderness, Ansel Adams Wilderness, and the 

Mokolumne Wilderness. All other areas of our District are Class II areas. There are no Class III 

areas. 

Theodore D. Schade 

Air Pollution Control Officer 
Discussion of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

July 19, 2012 – Agenda Item No. 4 – Page 2 

Due to the lack of large industrial facilities in our District, there are currently no facilities that have 

been subject to PSD regulations in our District, and staff is not aware of any planned facilities that 

may be subject to PSD regulations in the future. If a planned facility becomes subject to this 

regulation the District will incorporate the PSD permitting requirements into the District’s existing 

permit procedures for new facilities and modifications. 

Fiscal Impact: If a proposed facility is subject to PSD regulations, the incorporation of PSD 

permitting requirements with District permit requirements may require additional resources to 

oversee the ambient monitoring program for a pre-application air quality analysis, if it is needed. The 

District will apply for US EPA Section 105 funds to help cover the additional cost of the PSD 

permitting program. For permit applicants, combining the PSD permitting process with the District 

permitting process will streamline the permitting process. They will not be required to get permits 

from both the District and the US EPA, which should reduce their costs associated with dealing with 

two agencies. 

Board Action: This item is for public comment and Board discussion. The Board can direct the 

staff to make changes to the rule. Staff plans to propose District Rule 221 for adoption at the next 

Board meeting. 

Attachments 
Discussion of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

July 19, 2012 – Agenda Item No. 4 – Page 3 

Rule 221. PREVENTION OF SIGNIFICANT DETERIORATION (PSD) 

PERMIT REQUIREMENTS FOR NEW MAJOR FACILITIES OR MAJOR 

MODIFICATIONS IN ATTAINMENT OR UNCLASSIFIABLE AREAS

Draft Rule: 06/04/2012

A. Purpose

The federal Prevention of Significant Deterioration (PSD) program is a construction 

permitting program for new major facilities and major modifications to existing major 

facilities located in areas classified as attainment or in areas that are unclassifiable 

for any criteria air pollutant. The application, processing requirements and 

procedures are those contained in District Rules 200 through 205 unless otherwise 

superseded by federal regulation. The intent of this Rule is to incorporate the federal 

PSD rule requirements into the District’s Rules and Regulations by incorporating the 

federal requirements by reference. 

B. Applicability 

The provisions of this rule shall apply to any source and the owner or operator of any 

source subject to any requirement under Title 40 of the Code of Federal Regulations 

Part 52.21 as incorporated into this rule. 

C. Incorporation by Reference 

Except as provided below, the provisions of Title 40 of the Code of Federal 

Regulations (CFR) Part 52.21, in effect on July 1, 2012, are incorporated herein by 

reference and made part of the Rules and Regulations of the Great Basin Unified Air 

Pollution Control District. 

1. The following subsections of 40 CFR Part 52.21 are excluded: (a)(1), (b)(55-

58), (f), (g), (p)(6-8), (q), (s), (t), (u), (v), (w), (x), (y), (z) and (cc). 

2. The following definitions found in 40 CFR, Part 52.21(b) are revised as follows: 

(i) The definition of “potential to emit” contained in 40 CFR, Part 

52.21(b)(4), is revised so that the phrase “is federally enforceable” shall 

read “is federally enforceable or legally and practically enforceable.” 

(ii) The definition of “allowable emissions” contained in 40 CFR, Part 

52.21(b)(16), is revised so that: 
Discussion of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

July 19, 2012 – Agenda Item No. 4 – Page 4 

(a) the phrase “unless the source is subject to federally enforceable 

limits which restrict the operating rate, or hours of operation, or 

both” shall read, “unless the source is subject to legally and 

practically enforceable limits which restrict the operating rate, or 

hours of operation, or both.” 

(b) paragraph (iii) shall read as follows: “The emissions rate 

specified as an enforceable permit condition, including those with 

a future compliance date.” 

3. The following terms found in 40 CFR Part 52.21(b) are revised as follows: 

(i) The term “administrator” means: 

(a) “federal administrator” in 40 CFR 52.21(b)(17), (b)(37)(i), (b)(43), 

(b)(48)(ii)(c), (b)(50)(i), (b)(51), (l)(2) and (p)(2); and 

(b) Air Pollution Control Officer (APCO) 

(ii) The phrase “paragraph (q) of this section” in 40 CFR 52.21(p)(1) shall 

read as follows: the public notice and comment provisions of District 

Rule 205. 

D. Requirements 

1. An owner or operator must obtain a Prevention of Significant Deterioration 

(PSD) permit pursuant to this Rule before beginning actual construction of a 

new major stationary source, a major modification, or a PAL major 

modification, as defined in 40 CFR 52.21(b). 

2. Notwithstanding the provisions of any other District Rule or Regulation, the Air 

Pollution Control Officer shall require compliance with this rule prior to issuing 

a federal Prevention of Significant Deterioration permit as required by Clean 

Air Act (CAA) Section 165. 

3. The applicant shall pay the applicable fees specified in District Regulation III – 

Fees. 

4. Prior to issuing a federal PSD permit pursuant to this rule and after receipt of a 

complete application, the Air Pollution Control Officer shall: 

(i) Make a preliminary determination whether construction should be 

approved with conditions or disapproved. 
Discussion of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

July 19, 2012 – Agenda Item No. 4 – Page 5 

(ii) Make available in at least one location in each region in which the 

proposed source would be constructed a copy of all materials the 

applicant submitted, a copy of the preliminary determination, a copy of 

the proposed permit and a copy or summary of other materials, if any, 

considered in making the preliminary determination. 

(iii) Notify the public, by advertisement in a newspaper of general 

circulation in the Great Basin Unified Air Pollution Control District, of the 

application, the preliminary determination, the degree of increment 

consumption that is expected from the source or modification, and of 

the opportunity for written public comment. 

(iv) Send a copy of the notice of public comment to the applicant, EPA 

Region 9, any persons requesting such notice and any other interested 

parties such as: Any other State or local air pollution control agencies, 

the chief executives of the city and county where the source would be 

located; any comprehensive regional land use planning agency, and 

any State, Federal Land Manager, or Indian Governing body whose 

lands may be affected by emissions from the source or modification. 

(v) Provide opportunity for a public hearing for persons to appear and 

submit written or oral comments on the air quality impact of the source, 

alternatives to it, the control technology required, and other appropriate 

considerations, if in the Air Pollution Control Officer’s judgment such a 

hearing is warranted. 

(vi) Consider all written comments that were submitted within 30 days after 

the notice of public comment is published and all comments received at 

any public hearing(s) in making a final decision on the approvability of 

the application and make all comments available for public inspection in 

the same locations where the District made available preconstruction 

information relating to the proposed source or modification. 

(vii) Make a final determination whether construction should be approved 

with conditions or disapproved. 

(viii) Notify the applicant in writing of the final determination and make such 

notification available for public inspection at the same location where 

the District made available preconstruction information and public 

comments relating to the source.
BLANK PAGE
Adoption of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

September 5, 2012 – Agenda Item No. 4 – Page 1 

GREAT BASIN UNIFIED AIR POLLUTION CONTROL DISTRICT

157 Short Street, Bishop, California 93514-3537 

Tel: 760-872-8211 Fax: 760-872-6109

BOARD REPORT

Mtg. Date: September 5, 2012 Date Prepared: August 21, 2012 

To: Governing Board Members 

From: Duane Ono, Deputy Air Pollution Control Officer 

Subject: Public Hearing - Proposed Adoption of Prevention of Significant Deterioration (PSD) as 

District Rule 221 (2nd of 2 required hearings) 

Updated Board Report: A hearing on the proposed adoption of Prevention of Significant 

Deterioration (PSD) as District Rule 221 was conducted at a meeting of the District’s Governing 

Board on July 19, 2012. No written or oral comments were received from the public prior to or at 

that meeting nor were there any revisions recommended by the Board to the proposed rule as 

presented. 

Following the meeting the District received comments from the US Environmental Protection 

Agency suggesting language to clarify some of the requirements in the rule. The proposed rule was 

based on a model rule developed by the US EPA and given to the District last year. US EPA recently 

identified changes that they wanted the District to include in the final rule. Their comments and 

changes are attached to this rule. The California Air Resources Board reviewed the US EPA’s 

suggested changes and sent a letter concurring with those changes (see attached letter). 

The District staff does not believe these changes are significant changes that would alter the meaning 

or intent of the requirements of the proposed PSD rule. These changes are incorporated in the 

attached final rule that is proposed for adoption by the Board. Staff recommends that Rule 221 be 

adopted in the form attached along with Resolution 2012-01. 

The following ‘Summary’ and ‘Fiscal Impact’ is similar to the Board Report presented at the July 19, 

2012 meeting, with the exception that we found out that we do have one PSD permitted facility as 

discussed in the summary. 

Summary: The federal Prevention of Significant Deterioration (PSD) program is a construction 

permitting program for new major facilities and major modifications to existing major facilities 

located in areas classified as attainment or in areas that are unclassifiable for any criteria air pollutant. 

The intent of proposed District Rule 221 is to incorporate the federal PSD rule requirements into the 

District’s Rules and Regulations by incorporating the federal requirements by reference. 

Proposed District Rule 221 will give the District authority to implement PSD regulations that are 

Theodore D. Schade 

Air Pollution Control Officer 
Adoption of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

September 5, 2012 – Agenda Item No. 4 – Page 2 

currently implemented by the US Environmental Protection Agency (US EPA). This rule will 

incorporate 40 CFR Part 52.21 – Prevention of Significant Deterioration of Air Quality by reference; 

there will be no changes to the monitoring, reporting, emission thresholds or control requirements for 

facilities subject to PSD regulations. Attached are proposed District Rule 221 and 40 CFR 52.21. 

In general, this rule would apply to the permitting application and review process for new major 

sources or modifications of any existing major source that has the potential to emit more than 100 

tons per year of a regulated pollutant. The rule sets ambient air quality increments that cannot be 

exceeded by new facilities that locate in attainment or unclassified areas. Air quality increments are 

set for PM2.5, PM10, sulfur dioxide and nitrogen dioxide in federal Class I, II and III areas. Class I 

wilderness areas are provided the most protection. For example, the annual PM2.5 standard is 15 

μg/m3

 as compared to the annual air increment of 1 μg/m3. For a Class II area the annual increment 

for PM2.5 is 4 μg/m3 and for Class III it is 8 μg/m3. Class I areas in and near our District include: 

Yosemite, Sequoia and Kings Canyon National Parks, the John Muir Wilderness, Ansel Adams 

Wilderness, and the Mokolumne Wilderness. All other areas of our District are Class II areas. There 

are no Class III areas. 

Note that in the previous staff report, it was misreported that there were no facilities in our District 

that were subject to the PSD regulations. The US EPA searched their files and found that that Twin 

Mountain Rock located in Little Lake, CA has a PSD permit that was issued in 1979. Although the 

facility is not currently considered a major source that would be subject to PSD regulations, the 

conditions on the PSD permit will be incorporated into the existing District permit. There are no 

other facilities in our District subject to PSD regulations, and staff is not aware of any planned 

facilities that may be subject to PSD regulations in the future. If a planned facility becomes subject 

to this regulation the District will incorporate the PSD permitting requirements into the District’s 

existing permit procedures for new facilities and modifications. 

Fiscal Impact: If a proposed facility is subject to PSD regulations, the incorporation of PSD 

permitting requirements with District permit requirements may require additional resources to 

oversee the ambient monitoring program for a pre-application air quality analysis, if it is needed. The 

District will apply for US EPA Section 105 funds to help cover the additional cost of the PSD 

permitting program. For permit applicants, combining the PSD permitting process with the District 

permitting process will streamline the permitting process. They will not be required to get permits 

from both the District and the US EPA, which should reduce their costs associated with dealing with 

two agencies. 

California Environmental Quality Act: This activity, a rule adoption, is exempt from CEQA as 

there is no possibility that the activity in question may have a significant effect on the environment 

and therefore is not subject to CEQA. CEQA Guidelines § 15061(b)(3). 

Board Action: Staff recommends that the Board approve the attached Resolution 2012-01 making 

findings of facts and conclusions of law, and adopting District Rule 221 (Prevention of Significant 

Deterioration). 
Adoption of Proposed Rule Regarding Prevention of Significant Deterioration (PSD) 

per 40 CFR Part 52, Subpart A, Section 52.21 of the Clean Air Act Regulating 

New Air Pollution Sources or Modifying Existing Sources in Attainment Areas. 

September 5, 2012 – Agenda Item No. 4 – Page 3 

Attachments 

 Rule 221 – Prevention of Significant Deterioration (PSD) Permit Requirements for New Major 

Facilities or Major Modification in Attainment or Unclassifiable Areas 

 40 CFR 52.21 

 Board Resolution 2012-01 

 CEQA Notice of Exemption 

 Rule Analysis (California Health & Safety Code §40727.2) 

 Comments from US EPA Region 9 

 Concurrence Letter from California Air Resources Board 
Rule 221. PREVENTION OF SIGNIFICANT DETERIORATION (PSD) 

PERMIT REQUIREMENTS FOR NEW MAJOR FACILITIES OR MAJOR 

MODIFICATIONS IN ATTAINMENT OR UNCLASSIFIABLE AREAS 

Draft Rule: 08/21/2012 

A. Purpose 

The federal Prevention of Significant Deterioration (PSD) program is a construction 

permitting program for new major facilities and major modifications to existing major 

facilities located in areas classified as attainment or in areas that are unclassifiable for 

any criteria air pollutant. The application, processing requirements and procedures are 

those contained in District Rules 200 through 205 unless otherwise superseded by 

federal regulation. The intent of this Rule is to incorporate the federal PSD rule 

requirements into the District’s Rules and Regulations by incorporating the federal 

requirements by reference. 

B. Applicability 

The provisions of this rule shall apply to any source and the owner or operator of any 

source subject to any requirement under Title 40 of the Code of Federal Regulations 

Part 52.21 as incorporated into this rule. 

C. Incorporation by Reference 

Except as provided below, the provisions of Title 40 of the Code of Federal Regulations 

(CFR) Part 52.21, in effect on July 1, 2012, are incorporated herein by reference and 

made part of the Rules and Regulations of the Great Basin Unified Air Pollution Control 

District. 

1. The following subsections of 40 CFR Part 52.21 are excluded: (a)(1), (b)(55-58), 

(f), (g), (k)(2), (p)(6-8), (q), (s), (t), (u), (v), (w), (x), (y), (z) and (cc). 

2. The following terms found in 40 CFR Part 52.21are revised as follows: 

(i) The term “administrator” means: 

(a) “EPA administrator” in 40 CFR 52.21(b)(17), (b)(37)(i), (b)(43), 

(b)(48)(ii)(c), (b)(50)(i), (b)(51), (l)(2) and (p)(2); and 

(b) Air Pollution Control Officer (APCO) 

(ii) The phrase “paragraph (q) of this section” in 40 CFR 52.21(p)(1) and 

(l)(2) shall read as follows: the public notice and comment provisions of 

District Rule 221, section D.6. 

D. Requirements 
1. The APCO shall provide written notice of any permit application for a proposed 

major stationary source or major modification to the EPA administrator. Such 

notification shall include a copy of all information relevant to the permit application 

and shall be given within 30 days of receipt and at least 60 days prior to any public 

hearing on the application for a permit to construct. 

2. The APCO shall determine whether an application is complete not later than 30 

days after receipt of the application or after such longer time as both the applicant 

and the APCO may agree. If the APCO determines that the application is not 

complete, the applicant shall be notified in writing of the decision specifying the 

information that is required. Upon receipt of any re-submittal of the application, a 

new 30-day period to determine completeness shall begin. Upon determination that 

the application is complete, the APCO shall notify the applicant in writing. The date 

of receipt of the application shall be the date on which the reviewing authority 

received all required information. 

3. An owner or operator must obtain a Prevention of Significant Deterioration (PSD) 

permit pursuant to this Rule before beginning actual construction of a new major 

stationary source, a major modification, or a PAL major modification, as defined in 

40 CFR 52.21(b). 

4. Notwithstanding the provisions of any other District Rule or Regulation, the Air 

Pollution Control Officer shall require compliance with this rule prior to issuing a 

federal Prevention of Significant Deterioration permit as required by Clean Air Act 

(CAA) Section 165. 

5. The applicant shall pay the applicable fees specified in District Regulation III – 

Fees. 

6. Prior to issuing a federal PSD permit pursuant to this rule and within one year after 

receipt of a complete application, the Air Pollution Control Officer shall: 

(i) Make a preliminary determination whether construction should be 

approved with conditions or disapproved. 

(ii) Make available in at least one location in each region in which the 

proposed source would be constructed a copy of all materials the 

applicant submitted, a copy of the preliminary determination, a copy of 

the proposed permit and a copy or summary of other materials, if any, 

considered in making the preliminary determination. 

(iii) Notify the public, by advertisement in a newspaper of general circulation 

in the Great Basin Unified Air Pollution Control District, of the application, 

the preliminary determination, the degree of increment consumption that 

is expected from the source or modification, and of the opportunity for 

written public comment. 
(iv) Send a copy of the notice of public comment to the applicant, EPA 

Region 9, any persons requesting such notice and any other interested 

parties such as: Any other State or local air pollution control agencies, the 

chief executives of the city and county where the source would be 

located; any comprehensive regional land use planning agency, and any 

State, Federal Land Manager, or Indian Governing body whose lands 

may be affected by emissions from the source or modification. 

(v) Provide opportunity for a public hearing for persons to appear and submit 

written or oral comments on the air quality impact of the source, 

alternatives to it, the control technology required, and other appropriate 

considerations, if in the Air Pollution Control Officer’s judgment such a 

hearing is warranted. 

(vi) Consider all written comments that were submitted within 30 days after 

the notice of public comment is published and all comments received at 

any public hearing(s) in making a final decision on the approvability of the 

application and make all comments available for public inspection in the 

same locations where the District made available preconstruction 

information relating to the proposed source or modification. 

(vii) Make a final determination whether construction should be approved with 

conditions or disapproved. 

(viii) Notify the applicant in writing of the final determination and make such 

notification available for public inspection at the same location where the 

District made available preconstruction information and public comments 

relating to the source. 
Home Page > Executive Branch > Code of Federal Regulations > Electronic Code of Federal Regulations 

e-CFR Data is current as of June 6, 2012 

Title 40: Protection of Environment

PART 52—APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS 

Subpart A—General Provisions 

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§ 52.21 Prevention of significant deterioration of air quality. 

(a)(1) Plan disapproval. The provisions of this section are applicable to any State implementation plan 

which has been disapproved with respect to prevention of significant deterioration of air quality in any 

portion of any State where the existing air quality is better than the national ambient air quality 

standards. Specific disapprovals are listed where applicable, in subparts B through DDD of this part. The 

provisions of this section have been incorporated by reference into the applicable implementation plans 

for various States, as provided in subparts B through DDD of this part. Where this section is so 

incorporated, the provisions shall also be applicable to all lands owned by the Federal Government and 

Indian Reservations located in such State. No disapproval with respect to a State's failure to prevent 

significant deterioration of air quality shall invalidate or otherwise affect the obligations of States, 

emission sources, or other persons with respect to all portions of plans approved or promulgated under 

this part. 

(2) Applicability procedures. (i) The requirements of this section apply to the construction of any new 

major stationary source (as defined in paragraph (b)(1) of this section) or any project at an existing major 

stationary source in an area designated as attainment or unclassifiable under sections 107(d)(1)(A)(ii) or 

(iii) of the Act. 

(ii) The requirements of paragraphs (j) through (r) of this section apply to the construction of any new 

major stationary source or the major modification of any existing major stationary source, except as this 

section otherwise provides. 

(iii) No new major stationary source or major modification to which the requirements of paragraphs (j) 

through (r)(5) of this section apply shall begin actual construction without a permit that states that the 

major stationary source or major modification will meet those requirements. The Administrator has 

authority to issue any such permit. 

(iv) The requirements of the program will be applied in accordance with the principles set out in 

paragraphs (a)(2)(iv)( a ) through ( f ) of this section. 

( a ) Except as otherwise provided in paragraphs (a)(2)(v) and (vi) of this section, and consistent with the 

definition of major modification contained in paragraph (b)(2) of this section, a project is a major 

modification for a regulated NSR pollutant if it causes two types of emissions increases—a significant 

emissions increase (as defined in paragraph (b)(40) of this section), and a significant net emissions 

increase (as defined in paragraphs (b)(3) and (b)(23) of this section). The project is not a major 

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

emissions increase, then the project is a major modification only if it also results in a significant net 

emissions increase. 

( b ) The procedure for calculating (before beginning actual construction) whether a significant emissions 

increase (i.e., the first step of the process) will occur depends upon the type of emissions units being 

modified, according to paragraphs (a)(2)(iv)( c ) through ( f ) of this section. The procedure for 

calculating (before beginning actual construction) whether a significant net emissions increase will occur 
at the major stationary source (i.e., the second step of the process) is contained in the definition in 

paragraph (b)(3) of this section. Regardless of any such preconstruction projections, a major 

modification results if the project causes a significant emissions increase and a significant net emissions 

increase. 

( c ) Actual-to-projected-actual applicability test for projects that only involve existing emissions units. A 

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

difference between the projected actual emissions (as defined in paragraph (b)(41) of this section) and 

the baseline actual emissions (as defined in paragraphs (b)(48)(i) and (ii) of this section), for each 

existing emissions unit, equals or exceeds the significant amount for that pollutant (as defined in 

paragraph (b)(23) of this section). 

( d ) Actual-to-potential test for projects that only involve construction of a new emissions unit(s). A 

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

difference between the potential to emit (as defined in paragraph (b)(4) of this section) from each new 

emissions unit following completion of the project and the baseline actual emissions (as defined in 

paragraph (b)(48)(iii) of this section) of these units before the project equals or exceeds the significant 

amount for that pollutant (as defined in paragraph (b)(23) of this section). 

( e ) [Reserved] 

( f ) Hybrid test for projects that involve multiple types of emissions units. A significant emissions 

increase of a regulated NSR pollutant is projected to occur if the sum of the emissions increases for 

each emissions unit, using the method specified in paragraphs (a)(2)(iv)( c ) through ( d ) of this section 

as applicable with respect to each emissions unit, for each type of emissions unit equals or exceeds the 

significant amount for that pollutant (as defined in paragraph (b)(23) of this section). 

(v) For any major stationary source for a PAL for a regulated NSR pollutant, the major stationary source 

shall comply with the requirements under paragraph (aa) of this section. 

(b) Definitions. For the purposes of this section: 

(1)(i) Major stationary source means: 

( a ) Any of the following stationary sources of air pollutants which emits, or has the potential to emit, 100 

tons per year or more of any regulated NSR pollutant: Fossil fuel-fired steam electric plants of more than 

250 million British thermal units per hour heat input, coal cleaning plants (with thermal dryers), kraft pulp 

mills, portland cement plants, primary zinc smelters, iron and steel mill plants, primary aluminum ore 

reduction plants (with thermal dryers), primary copper smelters, municipal incinerators capable of 

charging more than 250 tons of refuse per day, hydrofluoric, sulfuric, and nitric acid plants, petroleum 

refineries, lime plants, phosphate rock processing plants, coke oven batteries, sulfur recovery plants, 

carbon black plants (furnace process), primary lead smelters, fuel conversion plants, sintering plants, 

secondary metal production plants, chemical process plants (which does not include ethanol production 

facilities that produce ethanol by natural fermentation included in NAICS codes 325193 or 312140), 

fossil-fuel boilers (or combinations thereof) totaling more than 250 million British thermal units per hour 

heat input, petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels, 

taconite ore processing plants, glass fiber processing plants, and charcoal production plants; 

( b ) Notwithstanding the stationary source size specified in paragraph (b)(1)(i) of this section, any 

stationary source which emits, or has the potential to emit, 250 tons per year or more of a regulated 

NSR pollutant; or 

( c ) Any physical change that would occur at a stationary source not otherwise qualifying under 

paragraph (b)(1) of this section, as a major stationary source, if the changes would constitute a major 

stationary source by itself. 

(ii) A major source that is major for volatile organic compounds or NOXshall be considered major for 

ozone. 

(iii) The fugitive emissions of a stationary source shall not be included in determining for any of the 

purposes of this section whether it is a major stationary source, unless the source belongs to one of the 

following categories of stationary sources: 

( a ) Coal cleaning plants (with thermal dryers); 
( b ) Kraft pulp mills; 

( c ) Portland cement plants; 

( d ) Primary zinc smelters; 

( e ) Iron and steel mills; 

( f ) Primary aluminum ore reduction plants; 

( g ) Primary copper smelters; 

( h ) Municipal incinerators capable of charging more than 250 tons of refuse per day; 

( i ) Hydrofluoric, sulfuric, or nitric acid plants; 

( j ) Petroleum refineries; 

( k ) Lime plants; 

( l ) Phosphate rock processing plants; 

( m ) Coke oven batteries; 

( n ) Sulfur recovery plants; 

( o ) Carbon black plants (furnace process); 

( p ) Primary lead smelters; 

( q ) Fuel conversion plants; 

( r ) Sintering plants; 

( s ) Secondary metal production plants; 

( t ) Chemical process plants—The term chemical processing plant shall not include ethanol production 

facilities that produce ethanol by natural fermentation included in NAICS codes 325193 or 312140; 

( u ) Fossil-fuel boilers (or combination thereof) totaling more than 250 million British thermal units per 

hour heat input; 

( v ) Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels; 

( w ) Taconite ore processing plants; 

( x ) Glass fiber processing plants; 

( y ) Charcoal production plants; 

( z ) Fossil fuel-fired steam electric plants of more that 250 million British thermal units per hour heat 

input, and 

( aa ) Any other stationary source category which, as of August 7, 1980, is being regulated under section 

111 or 112 of the Act. 

(2)(i) Major modification means any physical change in or change in the method of operation of a major 

stationary source that would result in: a significant emissions increase (as defined in paragraph (b)(40) 

of this section) of a regulated NSR pollutant (as defined in paragraph (b)(50) of this section); and a 
significant net emissions increase of that pollutant from the major stationary source. 

(ii) Any significant emissions increase (as defined at paragraph (b)(40) of this section) from any 

emissions units or net emissions increase (as defined in paragraph (b)(3) of this section) at a major 

stationary source that is significant for volatile organic compounds or NOXshall be considered significant 

for ozone. 

(iii) A physical change or change in the method of operation shall not include: 

( a ) Routine maintenance, repair and replacement. Routine maintenance, repair and replacement shall 

include, but not be limited to, any activity(s) that meets the requirements of the equipment replacement 

provisions contained in paragraph (cc) of this section; 

Note to paragraph (b)(2)(iii)( a ): By court order on December 24, 2003, the second sentence 

of this paragraph (b)(2)(iii)(a) is stayed indefinitely. The stayed provisions will become 

effective immediately if the court terminates the stay. At that time, EPA will publish a 

document in the Federal Register advising the public of the termination of the stay.

( b ) Use of an alternative fuel or raw material by reason of an order under sections 2 (a) and (b) of the 

Energy Supply and Environmental Coordination Act of 1974 (or any superseding legislation) or by 

reason of a natural gas curtailment plant pursuant to the Federal Power Act; 

( c ) Use of an alternative fuel by reason of an order or rule under section 125 of the Act; 

( d ) Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated from 

municipal solid waste; 

( e ) Use of an alternative fuel or raw material by a stationary source which: 

( 1 ) The source was capable of accommodating before January 6, 1975, unless such change would be 

prohibited under any federally enforceable permit condition which was established after January 6, 1975 

pursuant to 40 CFR 52.21 or under regulations approved pursuant to 40 CFR subpart I or 40 CFR 

51.166; or 

( 2 ) The source is approved to use under any permit issued under 40 CFR 52.21 or under regulations 

approved pursuant to 40 CFR 51.166; 

( f ) An increase in the hours of operation or in the production rate, unless such change would be 

prohibited under any federally enforceable permit condition which was established after January 6, 1975, 

pursuant to 40 CFR 52.21 or under regulations approved pursuant to 40 CFR subpart I or 40 CFR 

51.166. 

( g ) Any change in ownership at a stationary source. 

( h ) [Reserved] 

( i ) The installation, operation, cessation, or removal of a temporary clean coal technology 

demonstration project, provided that the project complies with: 

( 1 ) The State implementation plan for the State in which the project is located, and 

( 2 ) Other requirements necessary to attain and maintain the national ambient air quality standards 

during the project and after it is terminated. 

( j ) The installation or operation of a permanent clean coal technology demonstration project that 

constitutes repowering, provided that the project does not result in an increase in the potential to emit of 

any regulated pollutant emitted by the unit. This exemption shall apply on a pollutant-by-pollutant basis. 

( k ) The reactivation of a very clean coal-fired electric utility steam generating unit. 

(iv) This definition shall not apply with respect to a particular regulated NSR pollutant when the major 
stationary source is complying with the requirements under paragraph (aa) of this section for a PAL for 

that pollutant. Instead, the definition at paragraph (aa)(2)(viii) of this section shall apply. 

(v) Fugitive emissions shall not be included in determining for any of the purposes of this section 

whether a physical change in or change in the method of operation of a major stationary source is a 

major modification, unless the source belongs to one of the source categories listed in paragraph (b)(1)

(iii) of this section. 

(3)(i) Net emissions increase means, with respect to any regulated NSR pollutant emitted by a major 

stationary source, the amount by which the sum of the following exceeds zero: 

( a ) The increase in emissions from a particular physical change or change in the method of operation 

at a stationary source as calculated pursuant to paragraph (a)(2)(iv) of this section; and 

( b ) Any other increases and decreases in actual emissions at the major stationary source that are 

contemporaneous with the particular change and are otherwise creditable. Baseline actual emissions for 

calculating increases and decreases under this paragraph (b)(3)(i)( b ) shall be determined as provided 

in paragraph (b)(48) of this section, except that paragraphs (b)(48)(i)( c ) and (b)(48)(ii)( d ) of this 

section shall not apply. 

(ii) An increase or decrease in actual emissions is contemporaneous with the increase from the 

particular change only if it occurs between: 

( a ) The date five years before construction on the particular change commences; and 

( b ) The date that the increase from the particular change occurs. 

(iii) An increase or decrease in actual emissions is creditable only if: 

( a ) The Administrator or other reviewing authority has not relied on it in issuing a permit for the source 

under this section, which permit is in effect when the increase in actual emissions from the particular 

change occurs; and 

( b ) The increase or decrease in emissions did not occur at a Clean Unit except as provided in 

paragraphs (x)(8) and (y)(10) of this section. 

( c ) As it pertains to an increase or decrease in fugitive emissions (to the extent quantifiable), it occurs 

at an emissions unit that is part of one of the source categories listed in paragraph (b)(1)(iii) of this 

section or it occurs at an emission unit that is located at a major stationary source that belongs to one of 

the listed source categories.(iv) An increase or decrease in actual emissions of sulfur 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. 

(v) An increase in actual emissions is creditable only to the extent that the new level of actual emissions 

exceeds the old level. 

(vi) A decrease in actual emissions is creditable only to the extent that: 

( a ) The old level of actual emissions or the old level of allowable emissions, whichever is lower, 

exceeds the new level of actual emissions; 

( b ) It is enforceable as a practical matter at and after the time that actual construction on the particular 

change begins. 

( c ) It has approximately the same qualitative significance for public health and welfare as that attributed 

to the increase from the particular change; and 

(vii) [Reserved] 

(viii) 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, not to exceed 180 days. 

(ix) Paragraph (b)(21)(ii) of this section shall not apply for determining creditable increases and 

decreases. 

(4) Potential to emit means the maximum capacity of a stationary source to emit a pollutant under its 

physical and operational design. Any physical or operational limitation on the capacity of the source to 

emit a pollutant, including air pollution control equipment and restrictions on hours of operation or on the 

type or amount of material combusted, stored, or processed, shall be treated as part of its design if the 

limitation or the effect it would have on emissions is federally enforceable. Secondary emissions do not 

count in determining the potential to emit of a stationary source. 

(5) Stationary source means any building, structure, facility, or installation which emits or may emit a 

regulated NSR pollutant. 

(6) Building, structure, facility, or installation means all of the pollutant-emitting activities which belong to 

the same industrial grouping, are located on one or more contiguous or adjacent properties, and are 

under the control of the same person (or persons under common control) except the activities of any 

vessel. Pollutant-emitting activities shall be considered as part of the same industrial grouping if they 

belong to the same “Major Group” (i.e., which have the same first two digit code) as described in the 

Standard Industrial Classification Manual, 1972, as amended by the 1977 Supplement (U. S. 

Government Printing Office stock numbers 4101–0066 and 003–005–00176–0, respectively). 

(7) Emissions unit means any part of a stationary source that emits or would have the potential to emit 

any regulated NSR pollutant and includes an electric utility steam generating unit as defined in 

paragraph (b)(31) of this section. For purposes of this section, there are two types of emissions units as 

described in paragraphs (b)(7)(i) and (ii) of this section. 

(i) A new emissions unit is any emissions unit that is (or will be) newly constructed and that has existed 

for less than 2 years from the date such emissions unit first operated. 

(ii) An existing emissions unit is any emissions unit that does not meet the requirements in paragraph (b)

(7)(i) of this section. A replacement unit, as defined in paragraph (b)(33) of this section, is an existing 

emissions unit. 

(8) Construction means any physical change or change in the method of operation (including fabrication, 

erection, installation, demolition, or modification of an emissions unit) that would result in a change in 

emissions. 

(9) Commence as applied to construction of a major stationary source or major modification means that 

the owner or operator has all necessary preconstruction approvals or permits and either has: 

(i) Begun, or caused to begin, a continuous program of actual on-site construction of the source, to be 

completed within a reasonable time; or 

(ii) Entered into binding agreements or contractual obligations, which cannot be cancelled or modified 

without substantial loss to the owner or operator, to undertake a program of actual construction of the 

source to be completed within a reasonable time. 

(10) Necessary preconstruction approvals or permits means those permits or approvals required under 

Federal air quality control laws and regulations and those air quality control laws and regulations which 

are part of the applicable State Implementation Plan. 

(11) Begin actual construction means, in general, initiation of physical on-site construction activities on 

an emissions unit which are of a permanent nature. Such activities include, but are not limited to, 

installation of building supports and foundations, laying underground pipework and construction of 

permanent storage structures. With respect to a change in method of operations, this term refers to 

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

(12) Best available control technology means an emissions limitation (including a visible emission 

standard) based on the maximum degree of reduction for each pollutant subject to regulation under Act 

which would be emitted from any proposed major stationary source or major modification which the 

Administrator, on a case-by-case basis, taking into account energy, environmental, and economic 
impacts and other costs, determines is achievable for such source or modification through application of 

production processes or available methods, systems, and techniques, including fuel cleaning or 

treatment or innovative fuel combustion techniques for control of such pollutant. In no event shall 

application of best available control technology result in emissions of any pollutant which would exceed 

the emissions allowed by any applicable standard under 40 CFR parts 60 and 61. If the Administrator 

determines that technological or economic limitations on the application of measurement methodology to 

a particular emissions unit would make the imposition of an emissions standard infeasible, a design, 

equipment, work practice, operational standard, or combination thereof, may be prescribed instead to 

satisfy the requirement for the application of best available control technology. Such standard shall, to 

the degree possible, set forth the emissions reduction achievable by implementation of such design, 

equipment, work practice or operation, and shall provide for compliance by means which achieve 

equivalent results. 

(13)(i) Baseline concentration means that ambient concentration level that exists in the baseline area at 

the time of the 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: 

( a ) The actual emissions, as defined in paragraph (b)(21) of this section, representative of sources in 

existence on the applicable minor source baseline date, except as provided in paragraph (b)(13)(ii) of 

this section; and 

( b ) The allowable emissions of major stationary sources that commenced construction before the major 

source baseline date, but were not in operation by the applicable minor source baseline date. 

(ii) The following will not be included in the baseline concentration and will affect the applicable 

maximum allowable increase(s): 

( a ) Actual emissions, as defined in paragraph (b)(21) of this section, from any major stationary source 

on which construction commenced after the major source baseline date; and 

( b ) Actual emissions increases and decreases, as defined in paragraph (b)(21) of this section, at any 

stationary source occurring after the minor source baseline date. 

(14)(i) Major source baseline date means: 

( a ) In the case of PM10and sulfur dioxide, January 6, 1975;

( b ) In the case of nitrogen dioxide, February 8, 1988; and 

( c ) In the case of PM2.5,October 20, 2010.

(ii) “Minor source baseline date” means the earliest date after the trigger date on which a major 

stationary source or a major modification subject to 40 CFR 52.21 or to regulations approved pursuant to 

40 CFR 51.166 submits a complete application under the relevant regulations. The trigger date is: 

( a ) In the case of PM10and sulfur dioxide, August 7, 1977;

( b ) In the case of nitrogen dioxide, February 8, 1988; and 

( c ) In the case of PM2.5,October 20, 2011.

(iii) The baseline date is established for each pollutant for which increments or other equivalent 

measures have been established if: 

( a ) The area in which the proposed source or modification would construct is designated as attainment 

or unclassifiable under section 107(d)(1)(A)(ii) or (iii) of the Act for the pollutant on the date of its 

complete application under 40 CFR 52.21 or under regulations approved pursuant to 40 CFR 51.166; 

and 

( b ) In the case of a major stationary source, the pollutant would be emitted in significant amounts, or, in 

the case of a major modification, there would be a significant net emissions increase of the pollutant. 
(iv) Any minor source baseline date established originally for the TSP increments shall remain in effect 

and shall apply for purposes of determining the amount of available PM–10 increments, except that the 

Administrator shall rescind a minor source baseline date where it can be shown, to the satisfaction of the 

Administrator, that the emissions increase from the major stationary source, or net emissions increase 

from the major modification, responsible for triggering that date did not result in a significant amount of 

PM–10 emissions. 

(15)(i) Baseline area means any intrastate area (and every part thereof) designated as attainment or 

unclassifiable under section 107(d)(1)(A)(ii) or (iii) of the Act in which the major source or major 

modification establishing the minor source baseline date would construct or would have an air quality 

impact for the pollutant for which the baseline date is established, as follows: equal to or greater than 1 

μg/m3 (annual average) for SO2,NO2, or PM10; or equal or greater than 0.3 μg/m3 (annual average) for 

PM2.5. 

(ii) Area redesignations under section 107(d)(1)(A)(ii) or (iii) of the Act cannot intersect or be smaller 

than the area of impact of any major stationary source or major modification which: 

( a ) Establishes a minor source baseline date; or 

( b ) Is subject to 40 CFR 52.21 and would be constructed in the same state as the state proposing the 

redesignation. 

(iii) Any baseline area established originally for the TSP increments shall remain in effect and shall apply 

for purposes of determining the amount of available PM–10 increments, except that such baseline area 

shall not remain in effect if the Administrator rescinds the corresponding minor source baseline date in 

accordance with paragraph (b)(14)(iv) of this section. 

(16) Allowable emissions means the emissions rate of a stationary source calculated using the 

maximum rated capacity of the source (unless the source is subject to federally enforceable limits which 

restrict the operating rate, or hours of operation, or both) and the most stringent of the following: 

(i) The applicable standards as set forth in 40 CFR parts 60 and 61; 

(ii) The applicable State Implementation Plan emissions limitation, including those with a future 

compliance date; or 

(iii) The emissions rate specified as a federally enforceable permit condition, including those with a 

future compliance date. 

(17) Federally enforceable means all limitations and conditions which are enforceable by the 

Administrator, including those requirements developed pursuant to 40 CFR parts 60 and 61, 

requirements within any applicable State implementation plan, any permit requirements established 

pursuant to 40 CFR 52.21 or under regulations approved pursuant to 40 CFR part 51, subpart I, 

including operating permits issued under an EPA-approved program that is incorporated into the State 

implementation plan and expressly requires adherence to any permit issued under such program. 

(18) Secondary emissions means emissions which would occur as a result of the construction or 

operation of a major stationary source or major modification, but do not come from the major stationary 

source or major modification itself. Secondary emissions include emissions from any offsite support 

facility which would not be constructed or increase its emissions except as a result of the construction or 

operation of the major stationary source or major modification. Secondary emissions do not include any 

emissions which come directly from a mobile source, such as emissions from the tailpipe of a motor 

vehicle, from a train, or from a vessel. 

(i) Emissions from ships or trains coming to or from the new or modified stationary source; and 

(ii) Emissions from any offsite support facility which would not otherwise be constructed or increase its 

emissions as a result of the construction or operation of the major stationary source or major 

modification. 

(19) Innovative control technology means any system of air pollution control that has not been 

adequately demonstrated in practice, but would have a substantial likelihood of achieving greater 

continuous emissions reduction than any control system in current practice or of achieving at least 
comparable reductions at lower cost in terms of energy, economics, or nonair quality environmental 

impacts. 

(20) Fugitive emissions means those emissions which could not reasonably pass through a stack, 

chimney, vent, or other functionally equivalent opening. 

(21)(i) Actual emissions means the actual rate of emissions of a regulated NSR pollutant from an 

emissions unit, as determined in accordance with paragraphs (b)(21)(ii) through (iv) of this section, 

except that this definition shall not apply for calculating whether a significant emissions increase has 

occurred, or for establishing a PAL under paragraph (aa) of this section. Instead, paragraphs (b)(41) and 

(b)(48) of this section shall apply for those purposes. 

(ii) In general, actual emissions as of a particular date shall equal the average rate, in tons per year, at 

which the unit actually emitted the pollutant during a consecutive 24-month period which precedes the 

particular date and which is representative of normal source operation. The Administrator shall allow the 

use of a different time period upon a determination that it is more representative of normal source 

operation. Actual emissions shall be calculated using the unit's actual operating hours, production rates, 

and types of materials processed, stored, or combusted during the selected time period. 

(iii) The Administrator may presume that source-specific allowable emissions for the unit are equivalent 

to the actual emissions of the unit. 

(iv) For any emissions unit that has not begun normal operations on the particular date, actual emissions 

shall equal the potential to emit of the unit on that date. 

(22) Complete means, in reference to an application for a permit, that the application contains all of the 

information necessary for processing the application. 

(23)(i) Significant means, in reference to a net emissions increase or the potential of a source to emit 

any of the following pollutants, a rate of emissions that would equal or exceed any of the following rates: 

Pollutant and Emissions Rate 

Carbon monoxide: 100 tons per year (tpy) 

Nitrogen oxides: 40 tpy 

Sulfur dioxide: 40 tpy 

Particulate matter: 25 tpy of particulate matter emissions 

PM10: 15 tpy

PM2.5: 10 tpy of direct PM2.5emissions; 40 tpy of sulfur dioxide emissions; 40 tpy of nitrogen 

oxide emissions unless demonstrated not to be a PM2.5precursor under paragraph (b)(50) of 

this section 

Ozone: 40 tpy of volatile organic compounds or nitrogen oxides 

Lead: 0.6 tpy 

Fluorides: 3 tpy 

Sulfuric acid mist: 7 tpy 

Hydrogen sulfide (H2S): 10 tpy

Total reduced sulfur (including H2S): 10 tpy
Reduced sulfur compounds (including H2S): 10 tpy

Municipal waste combustor organics (measured as total tetra-through octa-chlorinated 

dibenzo-p-dioxins and dibenzofurans): 3.2×10−6megagrams per year (3.5×10−6tons per year)

Municipal waste combustor metals (measured as particulate matter): 14 megagrams per year 

(15 tons per year) 

Municipal waste combustor acid gases (measured as sulfur dioxide and hydrogen chloride): 

36 megagrams per year (40 tons per year) 

Municipal solid waste landfills emissions (measured as nonmethane organic compounds): 45 

megagrams per year (50 tons per year) 

(ii) Significant means, in reference to a net emissions increase or the potential of a source to emit a 

regulated NSR pollutant that paragraph (b)(23)(i) of this section, does not list, any emissions rate. 

(iii) Notwithstanding paragraph (b)(23)(i) of this section, significant means any emissions rate or any net 

emissions increase associated with a major stationary source or major modification, which would 

construct within 10 kilometers of a Class I area, and have an impact on such area equal to or greater 

than 1 μg/m3 , (24-hour average).

(24) Federal Land Manager means, with respect to any lands in the United States, the Secretary of the 

department with authority over such lands. 

(25) High terrain means any area having an elevation 900 feet or more above the base of the stack of a 

source. 

(26) Low terrain means any area other than high terrain. 

(27) Indian Reservation means any federally recognized reservation established by Treaty, Agreement, 

executive order, or act of Congress. 

(28) Indian Governing Body means the governing body of any tribe, band, or group of Indians subject to 

the jurisdiction of the United States and recognized by the United States as possessing power of self 

government. 

(29) Adverse impact on visibility means visibility impairment which interferes with the management, 

protection, preservation or enjoyment of the visitor's visual experience of the Federal Class I area. This 

determination must be made on a case-by-case basis taking into account the geographic extent, 

intensity, duration, frequency and time of visibility impairment, and how these factors correlate with (1) 

times of visitor use of the Federal Class I area, and (2) the frequency and timing of natural conditions 

that reduce visibility. 

(30) Volatile organic compounds (VOC) is as defined in §51.100(s) of this chapter. 

(31) Electric utility steam generating unit means any steam electric generating unit that is constructed for 

the purpose of supplying more than one-third of its potential electric output capacity and more than 25 

MW electrical output to any utility power distribution system for sale. Any steam supplied to a steam 

distribution system for the purpose of providing steam to a steam-electric generator that would produce 

electrical energy for sale is also considered in determining the electrical energy output capacity of the 

affected facility. 

(32) [Reserved] 

(33) Replacement unit means an emissions unit for which all the criteria listed in paragraphs (b)(33)(i) 

through (iv) of this section are met. No creditable emission reductions shall be generated from shutting 

down the existing emissions unit that is replaced. 

(i) The emissions unit is a reconstructed unit within the meaning of §60.15(b)(1) of this chapter, or the 

emissions unit completely takes the place of an existing emissions unit. 
(ii) The emissions unit is identical to or functionally equivalent to the replaced emissions unit. 

(iii) The replacement does not alter the basic design parameters (as discussed in paragraph (cc)(2) of 

this section) of the process unit. 

(iv) The replaced emissions unit is permanently removed from the major stationary source, otherwise 

permanently disabled, or permanently barred from operation by a permit that is enforceable as a 

practical matter. If the replaced emissions unit is brought back into operation, it shall constitute a new 

emissions unit. 

(34) Clean coal technology means any technology, including technologies applied at the precombustion, 

combustion, or post combustion stage, at a new or existing facility which will achieve significant 

reductions in air emissions of sulfur dioxide or oxides of nitrogen associated with the utilization of coal in 

the generation of electricity, or process steam which was not in widespread use as of November 15, 

1990. 

(35) Clean coal technology demonstration project means a project using funds appropriated under the 

heading “Department of Energy-Clean Coal Technology”, up to a total amount of $2,500,000,000 for 

commercial demonstration of clean coal technology, or similar projects funded through appropriations for 

the Environmental Protection Agency. The Federal contribution for a qualifying project shall be at least 

20 percent of the total cost of the demonstration project. 

(36) Temporary clean coal technology demonstration project means a clean coal technology 

demonstration project that is operated for a period of 5 years or less, and which complies with the State 

implementation plans for the State in which the project is located and other requirements necessary to 

attain and maintain the national ambient air quality standards during the project and after it is terminated. 

(37) (i) Repowering means replacement of an existing coal-fired boiler with one of the following clean 

coal technologies: atmospheric or pressurized fluidized bed combustion, integrated gasification 

combined cycle, magnetohydrodynamics, direct and indirect coal-fired turbines, integrated gasification 

fuel cells, or as determined by the Administrator, in consultation with the Secretary of Energy, a 

derivative of one or more of these technologies, and any other technology capable of controlling multiple 

combustion emissions simultaneously with improved boiler or generation efficiency and with significantly 

greater waste reduction relative to the performance of technology in widespread commercial use as of 

November 15, 1990. 

(ii) Repowering shall also include any oil and/or gas-fired unit which has been awarded clean coal 

technology demonstration funding as of January 1, 1991, by the Department of Energy. 

(iii) The Administrator shall give expedited consideration to permit applications for any source that 

satisfies the requirements of this subsection and is granted an extension under section 409 of the Clean 

Air Act. 

(38) Reactivation of a very clean coal-fired electric utility steam generating unit means any physical 

change or change in the method of operation associated with the commencement of commercial 

operations by a coal-fired utility unit after a period of discontinued operation where the unit: 

(i) Has not been in operation for the two-year period prior to the enactment of the Clean Air Act 

Amendments of 1990, and the emissions from such unit continue to be carried in the permitting 

authority's emissions inventory at the time of enactment; 

(ii) Was equipped prior to shut-down with a continuous system of emissions control that achieves a 

removal efficiency for sulfur dioxide of no less than 85 percent and a removal efficiency for particulates 

of no less than 98 percent; 

(iii) Is equipped with low-NOXburners prior to the time of commencement of operations following 

reactivation; and 

(iv) Is otherwise in compliance with the requirements of the Clean Air Act. 

(39) Pollution prevention means any activity that through process changes, product reformulation or 

redesign, or substitution of less polluting raw materials, eliminates or reduces the release of air 

pollutants (including fugitive emissions) and other pollutants to the environment prior to recycling, 
treatment, or disposal; it does not mean recycling (other than certain “in-process recycling” practices), 

energy recovery, treatment, or disposal. 

(40) Significant emissions increase means, for a regulated NSR pollutant, an increase in emissions that 

is significant (as defined in paragraph (b)(23) of this section) for that pollutant. 

(41)(i) Projected actual emissions means the maximum annual rate, in tons per year, at which an 

existing emissions unit is projected to emit a regulated NSR pollutant in any one of the 5 years (12-

month period) following the date the unit resumes regular operation after the project, or in any one of the 

10 years following that date, if the project involves increasing the emissions unit's design capacity or its 

potential to emit that regulated NSR pollutant and full utilization of the unit would result in a significant 

emissions increase or a significant net emissions increase at the major stationary source. 

(ii) In determining the projected actual emissions under paragraph (b)(41)(i) of this section (before 

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

( a ) Shall consider all relevant information, including but not limited to, historical operational data, the 

company's own representations, the company's expected business activity and the company's highest 

projections of business activity, the company's filings with the State or Federal regulatory authorities, 

and compliance plans under the approved State Implementation Plan; and 

( b ) Shall include fugitive emissions to the extent quantifiable, and emissions associated with startups, 

shutdowns, and malfunctions; and 

( c ) Shall exclude, in calculating any increase in emissions that results from he particular project, that 

portion of the unit's emissions following the project that an existing unit could have accommodated 

during the consecutive 24-month period used to establish the baseline actual emissions under 

paragraph (b)(48) of this section and that are also unrelated to the particular project, including any 

increased utilization due to product demand growth; or 

( d ) In lieu of using the method set out in paragraphs (a)(41)(ii)( a ) through ( c ) of this section, may 

elect to use the emissions unit's potential to emit, in tons per year, as defined under paragraph (b)(4) of 

this section. 

(42) [Reserved] 

(43) Prevention of Significant Deterioration (PSD) program means the EPA-implemented major source 

preconstruction permit programs under this section or a major source preconstruction permit program 

that has been approved by the Administrator and incorporated into the State Implementation Plan 

pursuant to §51.166 of this chapter to implement the requirements of that section. Any permit issued 

under such a program is a major NSR permit. 

(44) Continuous emissions monitoring system (CEMS) means all of the equipment that may be required 

to meet the data acquisition and availability requirements of this section, to sample, condition (if 

applicable), analyze, and provide a record of emissions on a continuous basis. 

(45) Predictive emissions monitoring system (PEMS) means all of the equipment necessary to monitor 

process and control device operational parameters (for example, control device secondary voltages and 

electric currents) and other information (for example, gas flow rate, O2or CO2concentrations), and 

calculate and record the mass emissions rate (for example, lb/hr) on a continuous basis. 

(46) Continuous parameter monitoring system (CPMS) means all of the equipment necessary to meet 

the data acquisition and availability requirements of this section, to monitor process and control device 

operational parameters (for example, control device secondary voltages and electric currents) and other 

information (for example, gas flow rate, O2or CO2concentrations), and to record average operational 

parameter value(s) on a continuous basis. 

(47) Continuous emissions rate monitoring system (CERMS) means the total equipment required for the 

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

(48) Baseline actual emissions means the rate of emissions, in tons per year, of a regulated NSR 

pollutant, as determined in accordance with paragraphs (b)(48)(i) through (iv) of this section. 
(i) For any existing electric utility steam generating unit, baseline actual emissions means the average 

rate, in tons per year, at which the unit actually emitted the pollutant during any consecutive 24-month 

period selected by the owner or operator within the 5-year period immediately preceding when the owner 

or operator begins actual construction of the project. The Administrator shall allow the use of a different 

time period upon a determination that it is more representative of normal source operation. 

( a ) The average rate shall include fugitive emissions to the extent quantifiable, and emissions 

associated with startups, shutdowns, and malfunctions. 

( b ) The average rate shall be adjusted downward to exclude any non-compliant emissions that 

occurred while the source was operating above any emission limitation that was legally enforceable 

during the consecutive 24-month period. 

( c ) For a regulated NSR pollutant, when a project involves multiple emissions units, only one 

consecutive 24-month period must be used to determine the baseline actual emissions for the emissions 

units being changed. A different consecutive 24-month period can be used For each regulated NSR 

pollutant. 

( d ) The average rate shall not be based on any consecutive 24-month period for which there is 

inadequate information for determining annual emissions, in tons per year, and for adjusting this amount 

if required by paragraph (b)(48)(i)( b ) of this section. 

(ii) For an existing emissions unit (other than an electric utility steam generating unit), baseline actual 

emissions means the average rate, in tons per year, at which the emissions unit actually emitted the 

pollutant during any consecutive 24-month period selected by the owner or operator within the 10-year 

period immediately preceding either the date the owner or operator begins actual construction of the 

project, or the date a complete permit application is received by the Administrator for a permit required 

under this section or by the reviewing authority for a permit required by a plan, whichever is earlier, 

except that the 10-year period shall not include any period earlier than November 15, 1990. 

( a ) The average rate shall include fugitive emissions to the extent quantifiable, and emissions 

associated with startups, shutdowns, and malfunctions. 

( b ) The average rate shall be adjusted downward to exclude any non-compliant emissions that 

occurred while the source was operating above an emission limitation that was legally enforceable 

during the consecutive 24-month period. 

( c ) The average rate shall be adjusted downward to exclude any emissions that would have exceeded 

an emission limitation with which the major stationary source must currently comply, had such major 

stationary source been required to comply with such limitations during the consecutive 24-month period. 

However, if an emission limitation is part of a maximum achievable control technology standard that the 

Administrator proposed or promulgated under part 63 of this chapter, the baseline actual emissions need 

only be adjusted if the State has taken credit for such emissions reductions in an attainment 

demonstration or maintenance plan consistent with the requirements of §51.165(a)(3)(ii)(G) of this 

chapter. 

( d ) For a regulated NSR pollutant, when a project involves multiple emissions units, only one 

consecutive 24-month period must be used to determine the baseline actual emissions for all the 

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

regulated NSR pollutant. 

( e ) The average rate shall not be based on any consecutive 24-month period for which there is 

inadequate information for determining annual emissions, in tons per year, and for adjusting this amount 

if required by paragraphs (b)(48)(ii)( b ) and ( c ) of this section. 

(iii) For a new emissions unit, the baseline actual emissions for purposes of determining the emissions 

increase that will result from the initial construction and operation of such unit shall equal zero; and 

thereafter, for all other purposes, shall equal the unit's potential to emit. 

(iv) For a PAL for a stationary source, the baseline actual emissions shall be calculated for existing 

electric utility steam generating units in accordance with the procedures contained in paragraph (b)(48)

(i) of this section, for other existing emissions units in accordance with the procedures contained in 

paragraph (b)(48)(ii) of this section, and for a new emissions unit in accordance with the procedures 

contained in paragraph (b)(48)(iii) of this section. 
(49) Subject to regulation means, for any air pollutant, that the pollutant is subject to either a provision in 

the Clean Air Act, or a nationally-applicable regulation codified by the Administrator in subchapter C of 

this chapter, that requires actual control of the quantity of emissions of that pollutant, and that such a 

control requirement has taken effect and is operative to control, limit or restrict the quantity of emissions 

of that pollutant released from the regulated activity. Except that: 

(i) Greenhouse gases (GHGs), the air pollutant defined in §86.1818–12(a) of this chapter as the 

aggregate group of six greenhouse gases: Carbon dioxide, nitrous oxide, methane, hydrofluorocarbons, 

perfluorocarbons, and sulfur hexafluoride, shall not be subject to regulation except as provided in 

paragraphs (b)(49)(iv) through (v) of this section. 

(ii) For purposes of paragraphs (b)(49)(iii) through (v) of this section, the term tpy CO 2 equivalent 

emissions (CO 2 e) shall represent an amount of GHGs emitted, and shall be computed as follows: 

(a) Multiplying the mass amount of emissions (tpy), for each of the six greenhouse gases in the pollutant 

GHGs, by the gas's associated global warming potential published at Table A–1 to subpart A of part 98 

of this chapter—Global Warming Potentials. For purposes of this paragraph, prior to July 21, 2014, the 

mass of the 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). 

( b ) Sum the resultant value from paragraph (b)(49)(ii)( a ) of this section for each gas to compute a tpy 

CO2e. 

(iii) The term emissions increase as used in paragraphs (b)(49)(iv) through (v) of this section shall mean 

that both a significant emissions increase (as calculated using the procedures in paragraph (a)(2)(iv) of 

this section) and a significant net emissions increase (as defined in paragraphs (b)(3) and (b)(23) of this 

section) occur. For the pollutant GHGs, an emissions increase shall be based on tpy CO2e, and shall be 

calculated assuming the pollutant GHGs is a regulated NSR pollutant, and “significant” is defined as 

75,000 tpy CO2e instead of applying the value in paragraph (b)(23)(ii) of this section. 

(iv) Beginning January 2, 2011, the pollutant GHGs is subject to regulation if: 

( a ) The stationary source is a new major stationary source for a regulated NSR pollutant that is not 

GHGs, and also will emit or will have the potential to emit 75,000 tpy CO2e or more; or 

( b ) The stationary source is an existing major stationary source for a regulated NSR pollutant that is not 

GHGs, and also will have an emissions increase of a regulated NSR pollutant, and an emissions 

increase of 75,000 tpy CO2e or more; and, 

(v) Beginning July 1, 2011, in addition to the provisions in paragraph (b)(49)(iv) of this section, the 

pollutant GHGs shall also be subject to regulation 

( a ) At a new stationary source that will emit or have the potential to emit 100,000 tpy CO2e; or

( b ) At an existing stationary source that emits or has the potential to emit 100,000 tpy CO2e, when 

such stationary source undertakes a physical change or change in the method of operation that will 

result in an emissions increase of 75,000 tpy CO2e or more. 

(50) Regulated NSR pollutant, for purposes of this section, means the following: 

(i) Any pollutant for which a national ambient air quality standard has been promulgated and any 

pollutant identified under this paragraph (b)(50)(i) as a constituent or precursor for such pollutant. 

Precursors identified by the Administrator for purposes of NSR are the following: 

( a ) Volatile organic compounds and nitrogen oxides are precursors to ozone in all attainment and 

unclassifiable areas. 
( b ) Sulfur dioxide is a precursor to PM2.5in all attainment and unclassifiable areas.

( c ) Nitrogen oxides are presumed to be precursors to PM2.5in all attainment and unclassifiable areas, 

unless the State demonstrates to the Administrator's satisfaction or EPA demonstrates that emissions of 

nitrogen oxides from sources in a specific area are not a significant contributor to that area's ambient 

PM2.5concentrations. 

( d ) Volatile organic compounds are presumed not to be precursors to PM2.5in any attainment or 

unclassifiable area, unless the State demonstrates to the Administrator's satisfaction or EPA 

demonstrates that emissions of volatile organic compounds from sources in a specific area are a 

significant contributor to that area's ambient PM2.5concentrations. 

(ii) Any pollutant that is subject to any standard promulgated under section 111 of the Act; 

(iii) Any Class I or II substance subject to a standard promulgated under or established by title VI of the 

Act; 

(iv) Any pollutant that otherwise is subject to regulation under the Act as defined in paragraph (b)(49) of 

this section. 

(v) Notwithstanding paragraphs (b)(50)(i) through (iv) of this section, the term regulated NSR pollutant 

shall not include any or all hazardous air pollutants either listed in section 112 of the Act, or added to the 

list pursuant to section 112(b)(2) of the Act, and which have not been delisted pursuant to section 112(b)

(3) of the Act, unless the listed hazardous air pollutant is also regulated as a constituent or precursor of 

a general pollutant listed under section 108 of the Act. 

(vi) Particulate matter (PM) emissions, PM2.5emissions and PM10emissions shall include gaseous 

emissions from a source or activity which condense to form particulate matter at ambient temperatures. 

On or after January 1, 2011 (or any earlier date established in the upcoming rulemaking codifying test 

methods), such condensable particulate matter shall be accounted for in applicability determinations and 

in establishing emissions limitations for PM, PM2.5and PM10in PSD permits. Compliance with emissions 

limitations for PM, PM2.5and PM10issued prior to this date shall not be based on condensable particular 

matter unless required by the terms and conditions of the permit or the applicable implementation plan. 

Applicability determinations made prior to this date without accounting for condensable particular matter 

shall not be considered in violation of this section unless the applicable implementation plan required 

condensable particular matter to be included. 

(51) Reviewing authority means the State air pollution control agency, local agency, other State agency, 

Indian tribe, or other agency authorized by the Administrator to carry out a permit program under 

§51.165 and §51.166 of this chapter, or the Administrator in the case of EPA-implemented permit 

programs under this section. 

(52) Project means a physical change in, or change in the method of operation of, an existing major 

stationary source. 

(53) Lowest achievable emission rate (LAER) is as defined in §51.165(a)(1)(xiii) of this chapter. 

(54) Reasonably available control technology (RACT) is as defined in §51.100(o) of this chapter. 

(55)(i) In general, process unit means any collection of structures and/or equipment that processes, 

assembles, applies, blends, or otherwise uses material inputs to produce or store an intermediate or a 

completed product. A single stationary source may contain more than one process unit, and a process 

unit may contain more than one emissions unit. 

(ii) Pollution control equipment is not part of the process unit, unless it serves a dual function as both 

process and control equipment. Administrative and warehousing facilities are not part of the process 

unit. 

(iii) For replacement cost purposes, components shared between two or more process units are 

proportionately allocated based on capacity. 
(iv) The following list identifies the process units at specific categories of stationary sources. 

( a ) For a steam electric generating facility, the process unit consists of those portions of the plant that 

contribute directly to the production of electricity. For example, at a pulverized coal-fired facility, the 

process unit would generally be the combination of those systems from the coal receiving equipment 

through the emission stack (excluding post-combustion pollution controls), including the coal handling 

equipment, pulverizers or coal crushers, feedwater heaters, ash handling, boiler, burners, turbinegenerator set, condenser, cooling tower, water treatment system, air preheaters, and operating control 

systems. Each separate generating unit is a separate process unit. 

( b ) For a petroleum refinery, there are several categories of process units: those that separate and/or 

distill petroleum feedstocks; those that change molecular structures; petroleum treating processes; 

auxiliary facilities, such as steam generators and hydrogen production units; and those that load, unload, 

blend or store intermediate or completed products. 

( c ) For an incinerator, the process unit would consist of components from the feed pit or refuse pit to 

the stack, including conveyors, combustion devices, heat exchangers and steam generators, quench 

tanks, and fans. 

Note to paragraph (b)(55): By a court order on December 24, 2003, this paragraph (b)(55) is 

stayed indefinitely. The stayed provisions will become effective immediately if the court 

terminates the stay. At that time, EPA will publish a document in the Federal Register 

advising the public of the termination of the stay.

(56) Functionally equivalent component means a component that serves the same purpose as the 

replaced component. 

Note to paragraph (b)(56): By a court order on December 24, 2003, this paragraph (b)(56) is 

stayed indefinitely. The stayed provisions will become effective immediately if the court 

terminates the stay. At that time, EPA will publish a document in the Federal Register 

advising the public of the termination of the stay.

(57) Fixed capital cost means the capital needed to provide all the depreciable components. 

“Depreciable components” refers to all components of fixed capital cost and is calculated by subtracting 

land and working capital from the total capital investment, as defined in paragraph (b)(58) of this section. 

Note to paragraph (b)(57): By a court order on December 24, 2003, this paragraph (b)(57) is 

stayed indefinitely. The stayed provisions will become effective immediately if the court 

terminates the stay. At that time, EPA will publish a document in the Federal Register 

advising the public of the termination of the stay.

(58) Total capital investment means the sum of the following: all costs required to purchase needed 

process equipment (purchased equipment costs); the costs of labor and materials for installing that 

equipment (direct installation costs); the costs of site preparation and buildings; other costs such as 

engineering, construction and field expenses, fees to contractors, startup and performance tests, and 

contingencies (indirect installation costs); land for the process equipment; and working capital for the 

process equipment. 

Note to paragraph (b)(58): By a court order on December 24, 2003, this paragraph (b)(58) is 

stayed indefinitely. The stayed provisions will become effective immediately if the court 

terminates the stay. At that time, EPA will publish a document in the Federal Register 

advising the public of the termination of the stay.

(c) Ambient air increments. In areas designated as Class I, II or III, increases in pollutant concentration 

over the baseline concentration shall be limited to the following: 

Pollutant

Maximum 

allowable 

increase (micrograms per cubic meter)

Class I Area
For any period other than an annual period, the applicable maximum allowable increase may be 

exceeded during one such period per year at any one location. 

PM2.5:

Annual arithmetic mean 1

24-hr maximum 2

PM10:

Annual arithmetic mean 4

24-hr maximum 8

Sulfur dioxide:

Annual arithmetic mean 2

24-hr maximum 5

3-hr maximum 25

Nitrogen dioxide:

Annual arithmetic mean 2.5

Class II Area

PM2.5:

Annual arithmetic mean 4

24-hr maximum 9

PM10:

Annual arithmetic mean 17

24-hr maximum 30

Sulfur dioxide:

Annual arithmetic mean 20

24-hr maximum 91

3-hr maximum 512

Nitrogen dioxide:

Annual arithmetic mean 25

Class III Area

PM2.5:

Annual arithmetic mean 8

24-hr maximum 18

PM10:

Annual arithmetic mean 34

24-hr maximum 60

Sulfur dioxide:

Annual arithmetic mean 40

24-hr maximum 182

3-hr maximum 700

Nitrogen dioxide:

Annual arithmetic mean 50
(d) Ambient air ceilings. No concentration of a pollutant shall exceed: 

(1) The concentration permitted under the national secondary ambient air quality standard, or 

(2) The concentration permitted under the national primary ambient air quality standard, whichever 

concentration is lowest for the pollutant for a period of exposure. 

(e) Restrictions on area classifications. (1) All of the following areas which were in existence on August 

7, 1977, shall be Class I areas and may not be redesignated: 

(i) International parks, 

(ii) National wilderness areas which exceed 5,000 acres in size, 

(iii) National memorial parks which exceed 5,000 acres in size, and 

(iv) National parks which exceed 6,000 acres in size. 

(2) Areas which were redesignated as Class I under regulations promulgated before August 7, 1977, 

shall remain Class I, but may be redesignated as provided in this section. 

(3) Any other area, unless otherwise specified in the legislation creating such an area, is initially 

designated Class II, but may be redesignated as provided in this section. 

(4) The following areas may be redesignated only as Class I or II: 

(i) An area which as of August 7, 1977, exceeded 10,000 acres in size and was 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 or seashore; and 

(ii) A national park or national wilderness area established after August 7, 1977, which exceeds 10,000 

acres in size. 

(f) [Reserved] 

(g) Redesignation. (1) All areas (except as otherwise provided under paragraph (e) of this section) are 

designated Class II as of December 5, 1974. Redesignation (except as otherwise precluded by 

paragraph (e) of this section) may be proposed by the respective States or Indian Governing Bodies, as 

provided below, subject to approval by the Administrator as a revision to the applicable State 

implementation plan. 

(2) The State may submit to the Administrator a proposal to redesignate areas of the State Class I or 

Class II provided that: 

(i) At least one public hearing has been held in accordance with procedures established in §51.102 of 

this chapter; 

(ii) Other States, Indian Governing Bodies, and Federal Land Managers whose lands may be affected by 

the proposed redesignation were notified at least 30 days prior to the public hearing; 

(iii) A discussion of the reasons for the proposed redesignation, including a satisfactory description and 

analysis of the health, environmental, economic, social and energy effects of the proposed 

redesignation, was prepared and made available for public inspection at least 30 days prior to the 

hearing and the notice announcing the hearing contained appropriate notification of the availability of 

such discussion; 

(iv) Prior to the issuance of notice respecting the redesignation of an area that includes any Federal 

lands, the State has provided written notice to the appropriate Federal Land Manager and afforded 

adequate opportunity (not in excess of 60 days) to confer with the State respecting the redesignation 

and to submit written comments and recommendations. In redesignating any area with respect to which 

any Federal Land Manager had submitted written comments and recommendations, the State shall have 

published a list of any inconsistency between such redesignation and such comments and 
recommendations (together with the reasons for making such redesignation against the 

recommendation of the Federal Land Manager); and 

(v) The State has proposed the redesignation after consultation with the elected leadership of local and 

other substate general purpose governments in the area covered by the proposed redesignation. 

(3) Any area other than an area to which paragraph (e) of this section refers may be redesignated as 

Class III if— 

(i) The redesignation would meet the requirements of paragraph (g)(2) of this section; 

(ii) The redesignation, except any established by an Indian Governing Body, has been specifically 

approved by the Governor of the State, after consultation with the appropriate committees of the 

legislature, if it is in session, or with the leadership of the legislature, if it is not in session (unless State 

law provides that the redesignation must be specifically approved by State legislation) and if general 

purpose units of local government representing a majority of the residents of the area to be redesignated 

enact legislation or pass resolutions concurring in the redesignation: 

(iii) The redesignation would not cause, or contribute to, a concentration of any air pollutant which would 

exceed any maximum allowable increase permitted under the classification of any other area or any 

national ambient air quality standard; and 

(iv) Any permit application for any major stationary source or major modification, subject to review under 

paragraph (l) of this section, which could receive a permit under this section only if the area in question 

were redesignated as Class III, and any material submitted as part of that application, were available 

insofar as was practicable for public inspection prior to any public hearing on redesignation of the area 

as Class III. 

(4) Lands within the exterior boundaries of Indian Reservations may be redesignated only by the 

appropriate Indian Governing Body. The appropriate Indian Governing Body may submit to the 

Administrator a proposal to redesignate areas Class I, Class II, or Class III: Provided, That: 

(i) The Indian Governing Body has followed procedures equivalent to those required of a State under 

paragraphs (g)(2), (g)(3)(iii), and (g)(3)(iv) of this section; and 

(ii) Such redesignation is proposed after consultation with the State(s) in which the Indian Reservation is 

located and which border the Indian Reservation. 

(5) The Administrator shall disapprove, within 90 days of submission, a proposed redesignation of any 

area only if he finds, after notice and opportunity for public hearing, that such redesignation does not 

meet the procedural requirements of this paragraph or is inconsistent with paragraph (e) of this section. 

If any such disapproval occurs, the classification of the area shall be that which was in effect prior to the 

redesignation which was disapproved. 

(6) If the Administrator disapproves any proposed redesignation, the State or Indian Governing Body, as 

appropriate, may resubmit the proposal after correcting the deficiencies noted by the Administrator. 

(h) Stack heights. (1) The degree of emission limitation required for control of any air pollutant under this 

section shall not be affected in any manner by— 

(i) So much of the stack height of any source as exceeds good engineering practice, or 

(ii) Any other dispersion technique. 

(2) Paragraph (h)(1) of this section shall not apply with respect to stack heights in existence before 

December 31, 1970, or to dispersion techniques implemented before then. 

(i) Exemptions. (1) The requirements of paragraphs (j) through (r) of this section shall not apply to a 

particular major stationary source or major modification, if; 

(i) Construction commenced on the source or modification before August 7, 1977. The regulations at 40 

CFR 52.21 as in effect before August 7, 1977, shall govern the review and permitting of any such source 

or modification; or 
(ii) The source or modification was subject to the review requirements of 40 CFR 52.21(d)(1) as in effect 

before March 1, 1978, and the owner or operator: 

( a ) Obtained under 40 CFR 52.21 a final approval effective before March 1, 1978; 

( b ) Commenced construction before March 19, 1979; and 

( c ) Did not discontinue construction for a period of 18 months or more and completed construction 

within a reasonable time; or 

(iii) The source or modification was subject to 40 CFR 52.21 as in effect before March 1, 1978, and the 

review of an application for approval for the stationary source or modification under 40 CFR 52.21 would 

have been completed by March 1, 1978, but for an extension of the public comment period pursuant to a 

request for such an extension. In such a case, the application shall continue to be processed, and 

granted or denied, under 40 CFR 52.21 as in effect prior to March 1, 1978; or 

(iv) The source or modification was not subject to 40 CFR 52.21 as in effect before March 1, 1978, and 

the owner or operator: 

( a ) Obtained all final Federal, state and local preconstruction approvals or permits necessary under the 

applicable State Implementation Plan before March 1, 1978; 

( b ) Commenced construction before March 19, 1979; and 

( c ) Did not discontinue construction for a period of 18 months or more and completed construction 

within a reasonable time; or 

(v) The source or modification was not subject to 40 CFR 52.21 as in effect on June 19, 1978 or under 

the partial stay of regulations published on February 5, 1980 (45 FR 7800), and the owner or operator: 

( a ) Obtained all final Federal, state and local preconstruction approvals or permits necessary under the 

applicable State Implementation Plan before August 7, 1980; 

( b ) Commenced construction within 18 months from August 7, 1980, or any earlier time required under 

the applicable State Implementation Plan; and 

( c ) Did not discontinue construction for a period of 18 months or more and completed construction 

within a reasonable time; or 

(vi) The source or modification would be a nonprofit health or nonprofit educational institution, or a major 

modification would occur at such an institution, and the governor of the state in which the source or 

modification would be located requests that it be exempt from those requirements; or 

(vii) The source or modification would be a major stationary source or major modification only if fugitive 

emissions, to the extent quantifiable, are considered in calculating the potential to emit of the stationary 

source or modification and the source does not belong to any of the following categories: 

( a ) Coal cleaning plants (with thermal dryers); 

( b ) Kraft pulp mills; 

( c ) Portland cement plants; 

( d ) Primary zinc smelters; 

( e ) Iron and steel mills; 

( f ) Primary aluminum ore reduction plants; 

( g ) Primary copper smelters; 
( h ) Municipal incinerators capable of charging more than 250 tons of refuse per day; 

( i ) Hydrofluoric, sulfuric, or nitric acid plants; 

( j ) Petroleum refineries; 

( k ) Lime plants; 

( l ) Phosphate rock processing plants; 

( m ) Coke oven batteries; 

( n ) Sulfur recovery plants; 

( o ) Carbon black plants (furnace process); 

( p ) Primary lead smelters; 

( q ) Fuel conversion plants; 

( r ) Sintering plants; 

( s ) Secondary metal production plants; 

( t ) Chemical process plants—The term chemical processing plant shall not include ethanol production 

facilities that produce ethanol by natural fermentation included in NAICS codes 325193 or 312140; 

( u ) Fossil-fuel boilers (or combination thereof) totaling more than 250 million British thermal units per 

hour heat input; 

( v ) Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels; 

( w ) Taconite ore processing plants; 

( x ) Glass fiber processing plants; 

( y ) Charcoal production plants; 

( z ) Fossil fuel-fired steam electric plants of more than 250 million British thermal units per hour heat 

input; 

( aa ) Any other stationary source category which, as of August 7, 1980, is being regulated under section 

111 or 112 of the Act; or 

(viii) The source is a portable stationary source which has previously received a permit under this 

section, and 

( a ) The owner or operator proposes to relocate the source and emissions of the source at the new 

location would be temporary; and 

( b ) The emissions from the source would not exceed its allowable emissions; and 

( c ) The emissions from the source would impact no Class I area and no area where an applicable 

increment is known to be violated; and 

( d ) Reasonable notice is given to the Administrator prior to the relocation identifying the proposed new 

location and the probable duration of operation at the new location. Such notice shall be given to the 

Administrator not less than 10 days in advance of the proposed relocation unless a different time 

duration is previously approved by the Administrator. 
(ix) The source or modification was not subject to §52.21, with respect to particulate matter, as in effect 

before July 31, 1987, and the owner or operator: 

( a ) Obtained all final Federal, State, and local preconstruction approvals or permits necessary under 

the applicable State implementation plan before July 31, 1987; 

( b ) Commenced construction within 18 months after July 31, 1987, or any earlier time required under 

the State implementation plan; and 

( c ) Did not discontinue construction for a period of 18 months or more and completed construction 

within a reasonable period of time. 

(x) The source or modification was subject to 40 CFR 52.21, with respect to particulate matter, as in 

effect before July 31, 1987 and the owner or operator submitted an application for a permit under this 

section before that date, and the Administrator subsequently determines that the application as 

submitted was complete with respect to the particular matter requirements then in effect in the section. 

Instead, the requirements of paragraphs (j) through (r) of this section that were in effect before July 31, 

1987 shall apply to such source or modification. 

(2) The requirements of paragraphs (j) through (r) of this section shall not apply to a major stationary 

source or major modification with respect to a particular pollutant if the owner or operator demonstrates 

that, as to that pollutant, the source or modification is located in an area designated as nonattainment 

under section 107 of the Act. 

(3) The requirements of paragraphs (k), (m) and (o) of this section shall not apply to a major stationary 

source or major modification with respect to a particular pollutant, if the allowable emissions of that 

pollutant from the source, or the net emissions increase of that pollutant from the modification: 

(i) Would impact no Class I area and no area where an applicable increment is known to be violated, 

and 

(ii) Would be temporary. 

(4) The requirements of paragraphs (k), (m) and (o) of this section as they relate to any maximum 

allowable increase for a Class II area shall not apply to a major modification at a stationary source that 

was in existence on March 1, 1978, if the net increase in allowable emissions of each regulated NSR 

pollutant from the modification after the application of best available control technology would be less 

than 50 tons per year. 

(5) The Administrator may exempt a stationary source or modification from the requirements of 

paragraph (m) of this section, with respect to monitoring for a particular pollutant if: 

(i) The emissions increase of the pollutant from the new source or the net emissions increase of the 

pollutant from the modification would cause, in any area, air quality impacts less than the following 

amounts: 

( a ) Carbon monoxide—575 μg/m3 , 8-hour average;

( b ) Nitrogen dioxide—14 μg/m3 , annual average;

( c ) PM2.5—4 μg/m3 , 24-hour average;

( d ) PM10—10 μg/m3 , 24-hour average;

( e ) Sulfur dioxide—13 μg/m3 , 24-hour average;

( f ) Ozone; 

( g ) Lead—0.1 μg/m3 , 3-month average;
( h ) Fluorides—0.25 μg/m3 , 24-hour average;

( i ) Total reduced sulfur—10 μg/m3 , 1-hour average;

( j ) Hydrogen sulfide—0.2 μg/m3 , 1-hour average;

( k ) Reduced sulfur compounds—10 μg/m3 , 1-hour average; or

Note to paragraph (c)(50)(i)( f ): No de minimis air quality level is provided for ozone. 

However, any net emissions increase of 100 tons per year or more of volatile organic 

compounds or nitrogen oxides subject to PSD would be required to perform an ambient 

impact analysis, including the gathering of ambient air quality data.

(ii) The concentrations of the pollutant in the area that the source or modification would affect are less 

than the concentrations listed in paragraph (i)(5)(i) of this section; or 

(iii) The pollutant is not listed in paragraph (i)(5)(i) of this section. 

(6) The requirements for best available control technology in paragraph (j) of this section and the 

requirements for air quality analyses in paragraph (m)(1) of this section, shall not apply to a particular 

stationary source or modification that was subject to 40 CFR 52.21 as in effect on June 19, 1978, if the 

owner or operator of the source or modification submitted an application for a permit under those 

regulations before August 7, 1980, and the Administrator subsequently determines that the application 

as submitted before that date was complete. Instead, the requirements at 40 CFR 52.21(j) and (n) as in 

effect on June 19, 1978 apply to any such source or modification. 

(7)(i) The requirements for air quality monitoring in paragraphs (m)(1) (ii) through (iv) of this section shall 

not apply to a particular source or modification that was subject to 40 CFR 52.21 as in effect on June 19, 

1978, if the owner or operator of the source or modification submits an application for a permit under this 

section on or before June 8, 1981, and the Administrator subsequently determines that the application 

as submitted before that date was complete with respect to the requirements of this section other than 

those in paragraphs (m)(1) (ii) through (iv) of this section, and with respect to the requirements for such 

analyses at 40 CFR 52.21(m)(2) as in effect on June 19, 1978. Instead, the latter requirements shall 

apply to any such source or modification. 

(ii) The requirements for air quality monitoring in paragraphs (m)(1) (ii) through (iv) of this section shall 

not apply to a particular source or modification that was not subject to 40 CFR 52.21 as in effect on June 

19, 1978, if the owner or operator of the source or modification submits an application for a permit under 

this section on or before June 8, 1981, and the Administrator subsequently determines that the 

application as submitted before that date was complete, except with respect to the requirements in 

paragraphs (m)(1) (ii) through (iv). 

(8)(i) At the discretion of the Administrator, the requirements for air quality monitoring of PM10in 

paragraphs (m)(1) (i)–(iv) of this section may not apply to a particular source or modification when the 

owner or operator of the source or modification submits an application for a permit under this section on 

or before June 1, 1988 and the Administrator subsequently determines that the application as submitted 

before that date was complete, except with respect to the requirements for monitoring particulate matter 

in paragraphs (m)(1) (i)–(iv). 

(ii) The requirements for air quality monitoring pf PM10in paragraphs (m)(1), (ii) and (iv) and (m)(3) of 

this section shall apply to a particular source or modification if the owner or operator of the source or 

modification submits an application for a permit under this section after June 1, 1988 and no later than 

December 1, 1988. The data shall have been gathered over at least the period from February 1, 1988 to 

the date the application becomes otherwise complete in accordance with the provisions set forth under 

paragraph (m)(1)(viii) of this section, except that if the Administrator determines that a complete and 

adequate analysis can be accomplished with monitoring data over a shorter period (not to be less than 4 

months), the data that paragraph (m)(1)(iii) requires shall have been gathered over a shorter period. 

(9) The requirements of paragraph (k)(1)(ii) of this section shall not apply to a stationary source or 

modification with respect to any maximum allowable increase for nitrogen oxides if the owner or operator 

of the source or modification submitted an application for a permit under this section before the 

provisions embodying the maximum allowable increase took effect as part of the applicable 

implementation plan and the Administrator subsequently determined that the application as submitted 
before that date was complete. 

(10) The requirements in paragraph (k)(1)(ii) of this section shall not apply to a stationary source or 

modification with respect to any maximum allowable increase for PM–10 if (i) the owner or operator of 

the source or modification submitted an application for a permit under this section before the provisions 

embodying the maximum allowable increases for PM–10 took effect in an implementation plan to which 

this section applies, and (ii) the Administrator subsequently determined that the application as submitted 

before that date was otherwise complete. Instead, the requirements in paragraph (k)(1)(ii) shall apply 

with respect to the maximum allowable increases for TSP as in effect on the date the application was 

submitted. 

(j) Control technology review. (1) A major stationary source or major modification shall meet each 

applicable emissions limitation under the State Implementation Plan and each applicable emissions 

standard and standard of performance under 40 CFR parts 60 and 61. 

(2) A new major stationary source shall apply best available control technology for each regulated NSR 

pollutant that it would have the potential to emit in significant amounts. 

(3) A major modification shall apply best available control technology for each regulated NSR pollutant 

for which it would result in a significant net emissions increase at the source. This requirement applies to 

each proposed emissions unit at which a net emissions increase in the pollutant would occur as a result 

of a physical change or change in the method of operation in the unit. 

(4) For phased construction projects, the determination of best available control technology shall be 

reviewed and modified as appropriate at the latest reasonable time which occurs no later than 18 

months prior to commencement of construction of each independent phase of the project. At such time, 

the owner or operator of the applicable stationary source may be required to demonstrate the adequacy 

of any previous determination of best available control technology for the source. 

(k) Source impact analysis —(1) Required demonstration. The owner or operator of the proposed source 

or modification shall demonstrate that allowable emission increases from the proposed source or 

modification, in conjunction with all other applicable emissions increases or reductions (including 

secondary emissions), would not cause or contribute to air pollution in violation of: 

(i) Any national ambient air quality standard in any air quality control region; or 

(ii) Any applicable maximum allowable increase over the baseline concentration in any area. 

(2) Significant impact levels. For purposes of PM2.5, the demonstration required in paragraph (k)(1) of 

this section is deemed to have been made if the emissions increase from the new stationary source 

alone or from the modification alone would cause, in all areas, air quality impacts less than the following 

amounts: 

(l) Air quality models. (1) All estimates of ambient concentrations required under this paragraph shall be 

based on applicable air quality models, data bases, and other requirements specified in appendix W of 

part 51 of this chapter (Guideline on Air Quality Models). 

(2) Where an air quality model specified in appendix W of part 51 of this chapter (Guideline on Air 

Quality Models) is inappropriate, the model may be modified or another model substituted. Such a 

modification or substitution of a model may be made on a case-by-case basis or, where appropriate, on 

a generic basis for a specific state program. Written approval of the Administrator must be obtained for 

any modification or substitution. In addition, use of a modified or substituted model must be subject to 

notice and opportunity for public comment under procedures developed in accordance with paragraph 

(q) of this section. 

Pollutant Averaging time

Class I 

area

Class II 

area

Class III 

area

PM2.5 Annual 0.06 μg/m3 0.3 μg/m3 0.3 μg/m3

24-hour 0.07 μg/m3 1.2 μg/m3 1.2 μg/m3
(m) Air quality analysis —(1) Preapplication analysis. (i) Any application for a permit under this section 

shall contain an analysis of ambient air quality in the area that the major stationary source or major 

modification would affect for each of the following pollutants: 

( a ) For the source, each pollutant that it would have the potential to omit in a significant amount; 

( b ) For the modification, each pollutant for which it would result in a significant net emissions increase. 

(ii) With respect to any such pollutant for which no National Ambient Air Quality Standard exists, the 

analysis shall contain such air quality monitoring data as the Administrator determines is necessary to 

assess ambient air quality for that pollutant in any area that the emissions of that pollutant would affect. 

(iii) With respect to any such pollutant (other than nonmethane hydrocarbons) for which such a standard 

does exist, the analysis shall contain continuous air quality monitoring data gathered for purposes of 

determining whether emissions of that pollutant would cause or contribute to a violation of the standard 

or any maximum allowable increase. 

(iv) In general, the continuous air quality monitoring data that is required shall have been gathered over 

a period of at least one year and shall represent at least the year preceding receipt of the application, 

except that, if the Administrator determines that a complete and adequate analysis can be accomplished 

with monitoring data gathered over a period shorter than one year (but not to be less than four months), 

the data that is required shall have been gathered over at least that shorter period. 

(v) For any application which becomes complete, except as to the requirements of paragraphs (m)(1) (iii) 

and (iv) of this section, between June 8, 1981, and February 9, 1982, the data that paragraph (m)(1)(iii) 

of this section, requires shall have been gathered over at least the period from February 9, 1981, to the 

date the application becomes otherwise complete, except that: 

( a ) If the source or modification would have been major for that pollutant under 40 CFR 52.21 as in 

effect on June 19, 1978, any monitoring data shall have been gathered over at least the period required 

by those regulations. 

( b ) If the Administrator determines that a complete and adequate analysis can be accomplished with 

monitoring data over a shorter period (not to be less than four months), the data that paragraph (m)(1)

(iii) of this section, requires shall have been gathered over at least that shorter period. 

( c ) If the monitoring data would relate exclusively to ozone and would not have been required under 40 

CFR 52.21 as in effect on June 19, 1978, the Administrator may waive the otherwise applicable 

requirements of this paragraph (v) to the extent that the applicant shows that the monitoring data would 

be unrepresentative of air quality over a full year. 

(vi) The owner or operator of a proposed stationary source or modification of volatile organic compounds 

who satisfies all conditions of 40 CFR part 51 Appendix S, section IV may provide post-approval 

monitoring data for ozone in lieu of providing preconstruction data as required under paragraph (m)(1) of 

this section. 

(vii) For any application that becomes complete, except as to the requirements of paragraphs (m)(1) (iii) 

and (iv) pertaining to PM10, after December 1, 1988 and no later than August 1, 1989 the data that 

paragraph (m)(1)(iii) requires shall have been gathered over at least the period from August 1, 1988 to 

the date the application becomes otherwise complete, except that if the Administrator determines that a 

complete and adequate analysis can be accomplished with monitoring data over a shorter period (not to 

be less than 4 months), the data that paragraph (m)(1)(iii) requires shall have been gathered over that 

shorter period. 

(viii) With respect to any requirements for air quality monitoring of PM10under paragraphs (i)(11) (i) and 

(ii) of this section the owner or operator of the source or modification shall use a monitoring method 

approved by the Administrator and shall estimate the ambient concentrations of PM10using the data 

collected by such approved monitoring method in accordance with estimating procedures approved by 

the Administrator. 

(2) Post-construction monitoring. The owner or operator of a major stationary source or major 

modification shall, after construction of the stationary source or modification, conduct such ambient 

monitoring as the Administrator determines is necessary to determine the effect emissions from the 
stationary source or modification may have, or are having, on air quality in any area. 

(3) Operations of monitoring stations. The owner or operator of a major stationary source or major 

modification shall meet the requirements of Appendix B to part 58 of this chapter during the operation of 

monitoring stations for purposes of satisfying paragraph (m) of this section. 

(n) Source information. The owner or operator of a proposed source or modification shall submit all 

information necessary to perform any analysis or make any determination required under this section. 

(1) With respect to a source or modification to which paragraphs (j), (l), (n) and (p) of this section apply, 

such information shall include: 

(i) A description of the nature, location, design capacity, and typical operating schedule of the source or 

modification, including specifications and drawings showing its design and plant layout; 

(ii) A detailed schedule for construction of the source or modification; 

(iii) A detailed description as to what system of continuous emission reduction is planned for the source 

or modification, emission estimates, and any other information necessary to determine that best 

available control technology would be applied. 

(2) Upon request of the Administrator, the owner or operator shall also provide information on: 

(i) The air quality impact of the source or modification, including meteorological and topographical data 

necessary to estimate such impact; and 

(ii) The air quality impacts, and the nature and extent of any or all general commercial, residential, 

industrial, and other growth which has occurred since August 7, 1977, in the area the source or 

modification would affect. 

(o) Additional impact analyses. (1) The owner or operator shall provide an analysis of the impairment to 

visibility, soils and vegetation that would occur as a result of the source or modification and general 

commercial, residential, industrial and other growth associated with the source or modification. The 

owner or operator need not provide an analysis of the impact on vegetation having no significant 

commercial or recreational value. 

(2) The owner or operator shall provide an analysis of the air quality impact projected for the area as a 

result of general commercial, residential, industrial and other growth associated with the source or 

modification. 

(3) Visibility monitoring. The Administrator may require monitoring of visibility in any Federal class I area 

near the proposed new stationary source for major modification for such purposes and by such means 

as the Administrator deems necessary and appropriate. 

(p) Sources impacting Federal Class I areas—additional requirements —(1) Notice to Federal land 

managers. The Administrator shall provide written notice of any permit application for a proposed major 

stationary source or major modification, the emissions from which may affect a Class I area, to the 

Federal land manager and the Federal official charged with direct responsibility for management of any 

lands within any such area. Such notification shall include a copy of all information relevant to the permit 

application and shall be given within 30 days of receipt and at least 60 days prior to any public hearing 

on the application for a permit to construct. Such notification shall include an analysis of the proposed 

source's anticipated impacts on visibility in the Federal Class I area. The Administrator shall also provide 

the Federal land manager and such Federal officials with a copy of the preliminary determination 

required under paragraph (q) of this section, and shall make available to them any materials used in 

making that determination, promptly after the Administrator makes such determination. Finally, the 

Administrator shall also notify all affected Federal land managers within 30 days of receipt of any 

advance notification of any such permit application. 

(2) Federal Land Manager. The Federal Land Manager and the Federal official charged with direct 

responsibility for management of such lands have an affirmative responsibility to protect the air quality 

related values (including visibility) of such lands and to consider, in consultation with the Administrator, 

whether a proposed source or modification will have an adverse impact on such values. 
(3) Visibility analysis. The Administrator shall consider any analysis performed by the Federal land 

manager, provided within 30 days of the notification required by paragraph (p)(1) of this section, that 

shows that a proposed new major stationary source or major modification may have an adverse impact 

on visibility in any Federal Class I area. Where the Administrator finds that such an analysis does not 

demonstrate to the satisfaction of the Administrator that an adverse impact on visibility will result in the 

Federal Class I area, the Administrator must, in the notice of public hearing on the permit application, 

either explain his decision or give notice as to where the explanation can be obtained. 

(4) Denial—impact on air quality related values. The Federal Land Manager of any such lands may 

demonstrate to the Administrator that the emissions from a proposed source or modification would have 

an adverse impact on the air quality-related values (including visibility) of those lands, notwithstanding 

that the change in air quality resulting from emissions from such source or modification would not cause 

or contribute to concentrations which would exceed the maximum allowable increases for a Class I area. 

If the Administrator concurs with such demonstration, then he shall not issue the permit. 

(5) Class I variances. The owner or operator of a proposed source or modification may demonstrate to 

the Federal Land Manager that the emissions from such source or modification would have no adverse 

impact on the air quality related values of any such lands (including visibility), notwithstanding that the 

change in air quality resulting from emissions from such source or modification would cause or 

contribute to concentrations which would exceed the maximum allowable increases for a Class I area. If 

the Federal land manager concurs with such demonstration and he so certifies, the State may authorize 

the Administrator: Provided, That the applicable requirements of this section are otherwise met, to issue 

the permit with such emission limitations as may be necessary to assure that emissions of sulfur dioxide, 

PM2.5, PM10, and nitrogen oxides would not exceed the following maximum allowable increases over 

minor source baseline concentration for such pollutants: 

(6) Sulfur dioxide variance by Governor with Federal Land Manager's concurrence. The owner or 

operator of a proposed source or modification which cannot be approved under paragraph (q)(4) of this 

section may demonstrate to the Governor that the source cannot be constructed by reason of any 

maximum allowable increase for sulfur dioxide for a period of twenty-four hours or less applicable to any 

Class I area and, in the case of Federal mandatory Class I areas, that a variance under this clause 

would not adversely affect the air quality related values of the area (including visibility). The Governor, 

after consideration of the Federal Land Manager's recommendation (if any) and subject to his 

concurrence, may, after notice and public hearing, grant a variance from such maximum allowable 

increase. If such variance is granted, the Administrator shall issue a permit to such source or 

modification pursuant to the requirements of paragraph (q)(7) of this section: Provided, That the 

applicable requirements of this section are otherwise met. 

(7) Variance by the Governor with the President's concurrence. In any case where the Governor 

recommends a variance in which the Federal Land Manager does not concur, the recommendations of 

the Governor and the Federal Land Manager shall be transmitted to the President. The President may 

Pollutant

Maximum 

allowable 

increase (micrograms per cubic meter)

PM2.5:

Annual arithmetic mean 4

24-hr maximum 9

PM10:

Annual arithmetic mean 17

24-hr maximum 30

Sulfur dioxide:

Annual arithmetic mean 20

24-hr maximum 91

3-hr maximum 325

Nitrogen dioxide:

Annual arithmetic mean 25
approve the Governor's recommendation if he finds that the variance is in the national interest. If the 

variance is approved, the Administrator shall issue a permit pursuant to the requirements of paragraph 

(q)(7) of this section: Provided, That the applicable requirements of this section are otherwise met. 

(8) Emission limitations for Presidential or gubernatorial variance. In the case of a permit issued 

pursuant to paragraph (q) (5) or (6) of this section the source or modification shall comply with such 

emission limitations as may be necessary to assure that emissions of sulfur dioxide from the source or 

modification would not (during any day on which the otherwise applicable maximum allowable increases 

are exceeded) cause or contribute to concentrations which would exceed the following maximum 

allowable increases over the baseline concentration and to assure that such emissions would not cause 

or contribute to concentrations which exceed the otherwise applicable maximum allowable increases for 

periods of exposure of 24 hours or less for more than 18 days, not necessarily consecutive, during any 

annual period: 

Maximum Allowable Increase 

[Micrograms per cubic meter] 

(q) Public participation. The Administrator shall follow the applicable procedures of 40 CFR part 124 in 

processing applications under this section. The Administrator shall follow the procedures at 40 CFR 

52.21(r) as in effect on June 19, 1979, to the extent that the procedures of 40 CFR part 124 do not 

apply. 

(r) Source obligation. (1) Any owner or operator who constructs or operates a source or modification not 

in accordance with the application submitted pursuant to this section or with the terms of any approval to 

construct, or any owner or operator of a source or modification subject to this section who commences 

construction after the effective date of these regulations without applying for and receiving approval 

hereunder, shall be subject to appropriate enforcement action. 

(2) Approval to construct shall become invalid if construction is not commenced within 18 months after 

receipt of such approval, if construction is discontinued for a period of 18 months or more, or if 

construction is not completed within a reasonable time. The Administrator may extend the 18-month 

period upon a satisfactory showing that an extension is justified. This provision does not apply to the 

time period between construction of the approved phases of a phased construction project; each phase 

must commence construction within 18 months of the projected and approved commencement date. 

(3) Approval to construct shall not relieve any owner or operator of the responsibility to comply fully with 

applicable provisions of the State implementation plan and any other requirements under local, State, or 

Federal law. 

(4) At such time that a particular source or modification becomes a major stationary source or major 

modification solely by virtue of a relaxation in any enforceable limitation which was established after 

August 7, 1980, on the capacity of the source or modification otherwise to emit a pollutant, such as a 

restriction on hours of operation, then the requirements or paragraphs (j) through (s) of this section shall 

apply to the source or modification as though construction had not yet commenced on the source or 

modification. 

(5) [Reserved] 

(6) Except as otherwise provided in paragraph (r)(6)(vi)( b ) of this section, the provisions of this 

paragraph (r)(6) apply with respect to any regulated NSR pollutant emitted from projects at existing 

emissions units at a major stationary source (other than projects at a source with a PAL) in 

circumstances where there is a reasonable possibility, within the meaning of paragraph (r)(6)(vi) of this 

section, that a project that is not a part of a major modification may result in a significant emissions 

increase of such pollutant, and the owner or operator elects to use the method specified in paragraphs 

(b)(41)(ii)( a ) through ( c ) of this section for calculating projected actual emissions. 

Period of exposure

Terrain areas

Low High

24-hr maximum 36 62

3-hr maximum 130 221
(i) Before beginning actual construction of the project, the owner or operator shall document and 

maintain a record of the following information: 

( a ) A description of the project; 

( b ) Identification of the emissions unit(s) whose emissions of a regulated NSR pollutant could be 

affected by the project; and 

( c ) A description of the applicability test used to determine that the project is not a major modification 

for any regulated NSR pollutant, including the baseline actual emissions, the projected actual emissions, 

the amount of emissions excluded under paragraph (b)(41)(ii)( c ) of this section and an explanation for 

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

(ii) If the emissions unit is an existing electric utility steam generating unit, before beginning actual 

construction, the owner or operator shall provide a copy of the information set out in paragraph (r)(6)(i) 

of this section to the Administrator. Nothing in this paragraph (r)(6)(ii) shall be construed to require the 

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

actual construction. 

(iii) The owner or operator shall monitor the emissions of any regulated NSR pollutant that could 

increase as a result of the project and that is emitted by any emissions unit identified in paragraph (r)(6)

(i)( b ) of this section; and calculate and maintain a record of the annual emissions, in tons per year on a 

calendar year basis, for a period of 5 years following resumption of regular operations after the change, 

or for a period of 10 years following resumption of regular operations after the change if the project 

increases the design capacity or potential to emit that regulated NSR pollutant at such emissions unit. 

(iv) If the unit is an existing electric utility steam generating unit, the owner or operator shall submit a 

report to the Administrator within 60 days after the end of each year during which records must be 

generated under paragraph (r)(6)(iii) of this section setting out the unit's annual emissions during the 

calendar year that preceded submission of the report. 

(v) If the unit is an existing unit other than an electric utility steam generating unit, the owner or operator 

shall submit a report to the Administrator if the annual emissions, in tons per year, from the project 

identified in paragraph (r)(6)(i) of this section, exceed the baseline actual emissions (as documented and 

maintained pursuant to paragraph (r)(6)(i)( c ) of this section), by a significant amount (as defined in 

paragraph (b)(23) of this section) for that regulated NSR pollutant, and if such emissions differ from the 

preconstruction projection as documented and maintained pursuant to paragraph (r)(6)(i)( c ) of this 

section. Such report shall be submitted to the Administrator within 60 days after the end of such year. 

The report shall contain the following: 

( a ) The name, address and telephone number of the major stationary source; 

( b ) The annual emissions as calculated pursuant to paragraph (r)(6)(iii) of this section; and 

( c ) Any other information that the owner or operator wishes to include in the report (e.g., an explanation 

as to why the emissions differ from the preconstruction projection). 

(vi) A “reasonable possibility” under paragraph (r)(6) of this section occurs when the owner or operator 

calculates the project to result in either: 

( a ) A projected actual emissions increase of at least 50 percent of the amount that is a “significant 

emissions increase,” as defined under paragraph (b)(40) of this section (without reference to the amount 

that is a significant net emissions increase), for the regulated NSR pollutant; or 

( b ) A projected actual emissions increase that, added to the amount of emissions excluded under 

paragraph (b)(41)(ii)( c ) of this section, sums to at least 50 percent of the amount that is a “significant 

emissions increase,” as defined under paragraph (b)(40) of this section (without reference to the amount 

that is a significant net emissions increase), for the regulated NSR pollutant. For a project for which a 

reasonable possibility occurs only within the meaning of paragraph (r)(6)(vi)( b ) of this section, and not 

also within the meaning of paragraph (r)(6)(vi)( a ) of this section, then provisions (r)(6)(ii) through (v) do 

not apply to the project. 

(7) The owner or operator of the source shall make the information required to be documented and 

maintained pursuant to paragraph (r)(6) of this section available for review upon a request for inspection 
by the Administrator or the general public pursuant to the requirements contained in §70.4(b)(3)(viii) of 

this chapter. 

(s) Environmental impact statements. Whenever any proposed source or modification is subject to action 

by a Federal Agency which might necessitate preparation of an environmental impact statement 

pursuant to the National Environmental Policy Act (42 U.S.C. 4321), review by the Administrator 

conducted pursuant to this section shall be coordinated with the broad environmental reviews under that 

Act and under section 309 of the Clean Air Act to the maximum extent feasible and reasonable. 

(t) Disputed permits or redesignations. If any State affected by the redesignation of an area by an Indian 

Governing Body, or any Indian Governing Body of a tribe affected by the redesignation of an area by a 

State, disagrees with such redesignation, or if a permit is proposed to be issued for any major stationary 

source or major modification proposed for construction in any State which the Governor of an affected 

State or Indian Governing Body of an affected tribe determines will cause or contribute to a cumulative 

change in air quality in excess of that allowed in this part within the affected State or Indian Reservation, 

the Governor or Indian Governing Body may request the Administrator to enter into negotiations with the 

parties involved to resolve such dispute. If requested by any State or Indian Governing Body involved, 

the Administrator shall make a recommendation to resolve the dispute and protect the air quality related 

values of the lands involved. If the parties involved do not reach agreement, the Administrator shall 

resolve the dispute and his determination, or the results of agreements reached through other means, 

shall become part of the applicable State implementation plan and shall be enforceable as part of such 

plan. In resolving such disputes relating to area redesignation, the Administrator shall consider the 

extent to which the lands involved are of sufficient size to allow effective air quality management or have 

air quality related values of such an area. 

(u) Delegation of authority. (1) The Administrator shall have the authority to delegate his responsibility 

for conducting source review pursuant to this section, in accordance with paragraphs (v) (2) and (3) of 

this section. 

(2) Where the Administrator delegates the responsibility for conducting source review under this section 

to any agency other than a Regional Office of the Environmental Protection Agency, the following 

provisions shall apply: 

(i) Where the delegate agency is not an air pollution control agency, it shall consult with the appropriate 

State and local air pollution control agency prior to making any determination under this section. 

Similarly, where the delegate agency does not have continuing responsibility for managing land use, it 

shall consult with the appropriate State and local agency primarily responsible for managing land use 

prior to making any determination under this section. 

(ii) The delegate agency shall send a copy of any public comment notice required under paragraph (r) of 

this section to the Administrator through the appropriate Regional Office. 

(3) The Administrator's authority for reviewing a source or modification located on an Indian Reservation 

shall not be redelegated other than to a Regional Office of the Environmental Protection Agency, except 

where the State has assumed jurisdiction over such land under other laws. Where the State has 

assumed such jurisdiction, the Administrator may delegate his authority to the States in accordance with 

paragraph (v)(2) of this section. 

(4) In the case of a source or modification which proposes to construct in a class III area, emissions from 

which would cause or contribute to air quality exceeding the maximum allowable increase applicable if 

the area were designated a class II area, and where no standard under section 111 of the act has been 

promulgated for such source category, the Administrator must approve the determination of best 

available control technology as set forth in the permit. 

(v) Innovative control technology. (1) An owner or operator of a proposed major stationary source or 

major modification may request the Administrator in writing no later than the close of the comment 

period under 40 CFR 124.10 to approve a system of innovative control technology. 

(2) The Administrator shall, with the consent of the governor(s) of the affected state(s), determine that 

the source or modification may employ a system of innovative control technology, if: 

(i) The proposed control system would not cause or contribute to an unreasonable risk to public health, 

welfare, or safety in its operation or function; 

(ii) The owner or operator agrees to achieve a level of continuous emissions reduction equivalent to that 
which would have been required under paragraph (j)(2) of this section, by a date specified by the 

Administrator. Such date shall not be later than 4 years from the time of startup or 7 years from permit 

issuance; 

(iii) The source or modification would meet the requirements of paragraphs (j) and (k) of this section, 

based on the emissions rate that the stationary source employing the system of innovative control 

technology would be required to meet on the date specified by the Administrator; 

(iv) The source or modification would not before the date specified by the Administrator: 

( a ) Cause or contribute to a violation of an applicable national ambient air quality standard; or 

( b ) Impact any area where an applicable increment is known to be violated; and 

(v) All other applicable requirements including those for public participation have been met. 

(vi) The provisions of paragraph (p) of this section (relating to Class I areas) have been satisfied with 

respect to all periods during the life of the source or modification. 

(3) The Administrator shall withdraw any approval to employ a system of innovative control technology 

made under this section, if: 

(i) The proposed system fails by the specified date to achieve the required continuous emissions 

reduction rate; or 

(ii) The proposed system fails before the specified date so as to contribute to an unreasonable risk to 

public health, welfare, or safety; or 

(iii) The Administrator decides at any time that the proposed system is unlikely to achieve the required 

level of control or to protect the public health, welfare, or safety. 

(4) If a source or modification fails to meet the required level of continuous emission reduction within the 

specified time period or the approval is withdrawn in accordance with paragraph (v)(3) of this section, 

the Administrator may allow the source or modification up to an additional 3 years to meet the 

requirement for the application of best available control technology through use of a demonstrated 

system of control. 

(w) Permit rescission. (1) Any permit issued under this section or a prior version of this section shall 

remain in effect, unless and until it expires under paragraph (s) of this section or is rescinded. 

(2) Any owner or operator of a stationary source or modification who holds a permit for the source or 

modification which was issued under 40 CFR 52.21 as in effect on July 30, 1987, or any earlier version 

of this section, may request that the Administrator rescind the permit or a particular portion of the permit. 

(3) The Administrator shall grant an application for rescission if the application shows that this section 

would not apply to the source or modification. 

(4) If the Administrator rescinds a permit under this paragraph, the public shall be given adequate notice 

of the rescission. Publication of an announcement of rescission in a newspaper of general circulation in 

the affected region within 60 days of the rescission shall be considered adequate notice. 

(x)–(z) [Reserved] 

(aa) Actuals PALs. The provisions in paragraphs (aa)(1) through (15) of this section govern actuals 

PALs. 

(1) Applicability. (i) The Administrator may approve the use of an actuals PAL for any existing major 

stationary source if the PAL meets the requirements in paragraphs (aa)(1) through (15) of this section. 

The term “PAL” shall mean “actuals PAL” throughout paragraph (aa) of this section. 

(ii) Any physical change in or change in the method of operation of a major stationary source that 

maintains its total source-wide emissions below the PAL level, meets the requirements in paragraphs 
(aa)(1) through (15) of this section, and complies with the PAL permit: 

( a ) Is not a major modification for the PAL pollutant; 

( b ) Does not have to be approved through the PSD program; and 

( c ) Is not subject to the provisions in paragraph (r)(4) of this section (restrictions on relaxing 

enforceable emission limitations that the major stationary source used to avoid applicability of the major 

NSR program). 

(iii) Except as provided under paragraph (aa)(1)(ii)( c ) of this section, a major stationary source shall 

continue to comply with all applicable Federal or State requirements, emission limitations, and work 

practice requirements that were established prior to the effective date of the PAL. 

(2) Definitions. For the purposes of this section, the definitions in paragraphs (aa)(2)(i) through (xi) of this 

section apply. When a term is not defined in these paragraphs, it shall have the meaning given in 

paragraph (b) of this section or in the Act. 

(i) Actuals PAL for a major stationary source means a PAL based on the baseline actual emissions (as 

defined in paragraph (b)(48) of this section) of all emissions units (as defined in paragraph (b)(7) of this 

section) at the source, that emit or have the potential to emit the PAL pollutant. 

(ii) Allowable emissions means “allowable emissions” as defined in paragraph (b)(16) of this section, 

except as this definition is modified according to paragraphs (aa)(2)(ii)( a ) and ( b ) of this section. 

( a ) The allowable emissions for any emissions unit shall be calculated considering any emission 

limitations that are enforceable as a practical matter on the emissions unit's potential to emit. 

( b ) An emissions unit's potential to emit shall be determined using the definition in paragraph (b)(4) of 

this section, except that the words “or enforceable as a practical matter” should be added after “federally 

enforceable.” 

(iii) Small emissions unit means an emissions unit that emits or has the potential to emit the PAL 

pollutant in an amount less than the significant level for that PAL pollutant, as defined in paragraph (b)

(23) of this section or in the Act, whichever is lower. 

(iv) Major emissions unit means: 

( a ) Any emissions unit that emits or has the potential to emit 100 tons per year or more of the PAL 

pollutant in an attainment area; or 

( b ) Any emissions unit that emits or has the potential to emit the PAL pollutant in an amount that is 

equal to or greater than the major source threshold for the PAL pollutant as defined by the Act for 

nonattainment areas. For example, in accordance with the definition of major stationary source in 

section 182(c) of the Act, an emissions unit would be a major emissions unit for VOC if the emissions 

unit is located in a serious ozone nonattainment area and it emits or has the potential to emit 50 or more 

tons of VOC per year. 

(v) Plantwide applicability limitation (PAL) means an emission limitation expressed in tons per year, for a 

pollutant at a major stationary source, that is enforceable as a practical matter and established sourcewide in accordance with paragraphs (aa)(1) through (15) of this section. 

(vi) PAL effective date generally means the date of issuance of the PAL permit. However, the PAL 

effective date for an increased PAL is the date any emissions unit that is part of the PAL major 

modification becomes operational and begins to emit the PAL pollutant. 

(vii) PAL effective period means the period beginning with the PAL effective date and ending 10 years 

later. 

(viii) PAL major modification means, notwithstanding paragraphs (b)(2) and (b)(3) of this section (the 

definitions for major modification and net emissions increase), any physical change in or change in the 

method of operation of the PAL source that causes it to emit the PAL pollutant at a level equal to or 

greater than the PAL. 
(ix) PAL permit means the major NSR permit, the minor NSR permit, or the State operating permit under 

a program that is approved into the State Implementation Plan, or the title V permit issued by the 

Administrator that establishes a PAL for a major stationary source. 

(x) PAL pollutant means the pollutant for which a PAL is established at a major stationary source. 

(xi) Significant emissions unit means an emissions unit that emits or has the potential to emit a PAL 

pollutant in an amount that is equal to or greater than the significant level (as defined in paragraph (b)

(23) of this section or in the Act, whichever is lower) for that PAL pollutant, but less than the amount that 

would qualify the unit as a major emissions unit as defined in paragraph (aa)(2)(iv) of this section. 

(3) Permit application requirements. As part of a permit application requesting a PAL, the owner or 

operator of a major stationary source shall submit the following information to the Administrator for 

approval: 

(i) A list of all emissions units at the source designated as small, significant or major based on their 

potential to emit. In addition, the owner or operator of the source shall indicate which, if any, Federal or 

State applicable requirements, emission limitations, or work practices apply to each unit. 

(ii) Calculations of the baseline actual emissions (with supporting documentation). Baseline actual 

emissions are to include emissions associated not only with operation of the unit, but also emissions 

associated with startup, shutdown, and malfunction. 

(iii) The calculation procedures that the major stationary source owner or operator proposes to use to 

convert the monitoring system data to monthly emissions and annual emissions based on a 12-month 

rolling total for each month as required by paragraph (aa)(13)(i) of this section. 

(4) General requirements for establishing PALs. (i) The Administrator is allowed to establish a PAL at a 

major stationary source, provided that at a minimum, the requirements in paragraphs (aa)(4)(i)(a) 

through (g) of this section are met. 

( a ) The PAL shall impose an annual emission limitation in tons per year, that is enforceable as a 

practical matter, for the entire major stationary source. For each month during the PAL effective period 

after the first 12 months of establishing a PAL, the major stationary source owner or operator shall show 

that the sum of the monthly emissions from each emissions unit under the PAL for the previous 12 

consecutive months is less than the PAL (a 12-month average, rolled monthly). For each month during 

the first 11 months from the PAL effective date, the major stationary source owner or operator shall 

show that the sum of the preceding monthly emissions from the PAL effective date for each emissions 

unit under the PAL is less than the PAL. 

( b ) The PAL shall be established in a PAL permit that meets the public participation requirements in 

paragraph (aa)(5) of this section. 

( c ) The PAL permit shall contain all the requirements of paragraph (aa)(7) of this section. 

( d ) The PAL shall include fugitive emissions, to the extent quantifiable, from all emissions units that 

emit or have the potential to emit the PAL pollutant at the major stationary source. 

( e ) Each PAL shall regulate emissions of only one pollutant. 

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

( g ) The owner or operator of the major stationary source with a PAL shall comply with the monitoring, 

recordkeeping, and reporting requirements provided in paragraphs (aa)(12) through (14) of this section 

for each emissions unit under the PAL through the PAL effective period. 

(ii) At no time (during or after the PAL effective period) are emissions reductions of a PAL pollutant that 

occur during the PAL effective period creditable as decreases for purposes of offsets under §51.165(a)

(3)(ii) of this chapter unless the level of the PAL is reduced by the amount of such emissions reductions 

and such reductions would be creditable in the absence of the PAL. 

(5) Public participation requirements for PALs. PALs for existing major stationary sources shall be 

established, renewed, or increased through a procedure that is consistent with §§51.160 and 51.161 of 
this chapter. This includes the requirement that the Administrator provide the public with notice of the 

proposed approval of a PAL permit and at least a 30-day period for submittal of public comment. The 

Administrator must address all material comments before taking final action on the permit. 

(6) Setting the 10-year actuals PAL level. (i) Except as provided in paragraph (aa)(6)(ii) of this section, 

the plan shall provide that the actuals PAL level for a major stationary source shall be established as the 

sum of the baseline actual emissions (as defined in paragraph (b)(48) of this section) of the PAL 

pollutant for each emissions unit at the source; plus an amount equal to the applicable significant level 

for the PAL pollutant under paragraph (b)(23) of this section or under the Act, whichever is lower. When 

establishing the actuals PAL level, for a PAL pollutant, only one consecutive 24-month period must be 

used to determine the baseline actual emissions for all existing emissions units. However, a different 

consecutive 24-month period may be used for each different PAL pollutant. Emissions associated with 

units that were permanently shut down after this 24-month period must be subtracted from the PAL 

level. The reviewing authority shall specify a reduced PAL level(s) (in tons/yr) in the PAL permit to 

become effective on the future compliance date(s) of any applicable Federal or State regulatory 

requirement(s) that the reviewing authority is aware of prior to issuance of the PAL permit. For instance, 

if the source owner or operator will be required to reduce emissions from industrial boilers in half from 

baseline emissions of 60 ppm NOXto a new rule limit of 30 ppm, then the permit shall contain a future 

effective PAL level that is equal to the current PAL level reduced by half of the original baseline 

emissions of such unit(s). 

(ii) For newly constructed units (which do not include modifications to existing units) on which actual 

construction began after the 24-month period, in lieu of adding the baseline actual emissions as 

specified in paragraph (aa)(6)(i) of this section, the emissions must be added to the PAL level in an 

amount equal to the potential to emit of the units. 

(7) Contents of the PAL permit. The PAL permit must contain, at a minimum, the information in 

paragraphs (aa)(7)(i) through (x) of this section. 

(i) The PAL pollutant and the applicable source-wide emission limitation in tons per year. 

(ii) The PAL permit effective date and the expiration date of the PAL (PAL effective period). 

(iii) Specification in the PAL permit that if a major stationary source owner or operator applies to renew a 

PAL in accordance with paragraph (aa)(10) of this section before the end of the PAL effective period, 

then the PAL shall not expire at the end of the PAL effective period. It shall remain in effect until a 

revised PAL permit is issued by a reviewing authority. 

(iv) A requirement that emission calculations for compliance purposes must include emissions from 

startups, shutdowns, and malfunctions. 

(v) A requirement that, once the PAL expires, the major stationary source is subject to the requirements 

of paragraph (aa)(9) of this section. 

(vi) The calculation procedures that the major stationary source owner or operator shall use to convert 

the monitoring system data to monthly emissions and annual emissions based on a 12-month rolling 

total as required by paragraph (aa)(13)(i) of this section. 

(vii) A requirement that the major stationary source owner or operator monitor all emissions units in 

accordance with the provisions under paragraph (aa)(12) of this section. 

(viii) A requirement to retain the records required under paragraph (aa)(13) of this section on site. Such 

records may be retained in an electronic format. 

(ix) A requirement to submit the reports required under paragraph (aa)(14) of this section by the required 

deadlines. 

(x) Any other requirements that the Administrator deems necessary to implement and enforce the PAL. 

(8) PAL effective period and reopening of the PAL permit. The requirements in paragraphs (aa)(8)(i) and 

(ii) of this section apply to actuals PALs. 

(i) PAL effective period. The Administrator shall specify a PAL effective period of 10 years. 
(ii) Reopening of the PAL permit. ( a ) During the PAL effective period, the Administrator must reopen 

the PAL permit to: 

( 1 ) Correct typographical/calculation errors made in setting the PAL or reflect a more accurate 

determination of emissions used to establish the PAL; 

( 2 ) Reduce the PAL if the owner or operator of the major stationary source creates creditable 

emissions reductions for use as offsets under §51.165(a)(3)(ii) of this chapter; and 

( 3 ) Revise the PAL to reflect an increase in the PAL as provided under paragraph (aa)(11) of this 

section. 

( b ) The Administrator shall have discretion to reopen the PAL permit for the following: 

( 1 ) Reduce the PAL to reflect newly applicable Federal requirements (for example, NSPS) with 

compliance dates after the PAL effective date; 

( 2 ) Reduce the PAL consistent with any other requirement, that is enforceable as a practical matter, 

and that the State may impose on the major stationary source under the State Implementation Plan; and 

( 3 ) Reduce the PAL if the reviewing authority determines that a reduction is necessary to avoid causing 

or contributing to a NAAQS or PSD increment violation, or to an adverse impact on an air quality related 

value that has been identified for a Federal Class I area by a Federal Land Manager and for which 

information is available to the general public. 

( c ) Except for the permit reopening in paragraph (aa)(8)(ii)( a )( 1 ) of this section for the correction of 

typographical/calculation errors that do not increase the PAL level, all other reopenings shall be carried 

out in accordance with the public participation requirements of paragraph (aa)(5) of this section. 

(9) Expiration of a PAL. Any PAL that is not renewed in accordance with the procedures in paragraph 

(aa)(10) of this section shall expire at the end of the PAL effective period, and the requirements in 

paragraphs (aa)(9)(i) through (v) of this section shall apply. 

(i) Each emissions unit (or each group of emissions units) that existed under the PAL shall comply with 

an allowable emission limitation under a revised permit established according to the procedures in 

paragraphs (aa)(9)(i)( a ) and ( b ) of this section. 

( a ) Within the time frame specified for PAL renewals in paragraph (aa)(10)(ii) of this section, the major 

stationary source shall submit a proposed allowable emission limitation for each emissions unit (or each 

group of emissions units, if such a distribution is more appropriate as decided by the Administrator) by 

distributing the PAL allowable emissions for the major stationary source among each of the emissions 

units that existed under the PAL. If the PAL had not yet been adjusted for an applicable requirement that 

became effective during the PAL effective period, as required under paragraph (aa)(10)(v) of this 

section, such distribution shall be made as if the PAL had been adjusted. 

( b ) The Administrator shall decide whether and how the PAL allowable emissions will be distributed 

and issue a revised permit incorporating allowable limits for each emissions unit, or each group of 

emissions units, as the Administrator determines is appropriate. 

(ii) Each emissions unit(s) shall comply with the allowable emission limitation on a 12-month rolling 

basis. The Administrator may approve the use of monitoring systems (source testing, emission factors, 

etc.) other than CEMS, CERMS, PEMS, or CPMS to demonstrate compliance with the allowable 

emission limitation. 

(iii) Until the Administrator issues the revised permit incorporating allowable limits for each emissions 

unit, or each group of emissions units, as required under paragraph (aa)(9)(i)( b ) of this section, the 

source shall continue to comply with a source-wide, multi-unit emissions cap equivalent to the level of 

the PAL emission limitation. 

(iv) Any physical change or change in the method of operation at the major stationary source will be 

subject to major NSR requirements if such change meets the definition of major modification in 

paragraph (b)(2) of this section. 
(v) The major stationary source owner or operator shall continue to comply with any State or Federal 

applicable requirements (BACT, RACT, NSPS, etc.) that may have applied either during the PAL 

effective period or prior to the PAL effective period except for those emission limitations that had been 

established pursuant to paragraph (r)(4) of this section, but were eliminated by the PAL in accordance 

with the provisions in paragraph (aa)(1)(ii)( c ) of this section. 

(10) Renewal of a PAL. (i) The Administrator shall follow the procedures specified in paragraph (aa)(5) 

of this section in approving any request to renew a PAL for a major stationary source, and shall provide 

both the proposed PAL level and a written rationale for the proposed PAL level to the public for review 

and comment. During such public review, any person may propose a PAL level for the source for 

consideration by the Administrator. 

(ii) Application deadline. A major stationary source owner or operator shall submit a timely application to 

the Administrator to request renewal of a PAL. A timely application is one that is submitted at least 6 

months prior to, but not earlier than 18 months from, the date of permit expiration. This deadline for 

application submittal is to ensure that the permit will not expire before the permit is renewed. If the owner 

or operator of a major stationary source submits a complete application to renew the PAL within this time 

period, then the PAL shall continue to be effective until the revised permit with the renewed PAL is 

issued. 

(iii) Application requirements. The application to renew a PAL permit shall contain the information 

required in paragraphs (aa)(10)(iii)( a ) through ( d ) of this section. 

( a ) The information required in paragraphs (aa)(3)(i) through (iii) of this section. 

( b ) A proposed PAL level. 

( c ) The sum of the potential to emit of all emissions units under the PAL (with supporting 

documentation). 

( d ) Any other information the owner or operator wishes the Administrator to consider in determining the 

appropriate level for renewing the PAL. 

(iv) PAL adjustment. In determining whether and how to adjust the PAL, the Administrator shall consider 

the options outlined in paragraphs (aa)(10)(iv)( a ) and ( b ) of this section. However, in no case may any 

such adjustment fail to comply with paragraph (aa)(10)(iv)( c ) of this section. 

( a ) If the emissions level calculated in accordance with paragraph (aa)(6) of this section is equal to or 

greater than 80 percent of the PAL level, the Administrator may renew the PAL at the same level without 

considering the factors set forth in paragraph (aa)(10)(iv)( b ) of this section; or 

( b ) The Administrator may set the PAL at a level that he or she determines to be more representative of 

the source's baseline actual emissions, or that he or she determines to be more appropriate considering 

air quality needs, advances in control technology, anticipated economic growth in the area, desire to 

reward or encourage the source's voluntary emissions reductions, or other factors as specifically 

identified by the Administrator in his or her written rationale. 

( c ) Notwithstanding paragraphs (aa)(10)(iv)(a) and (b) of this section: 

( 1 ) If the potential to emit of the major stationary source is less than the PAL, the Administrator shall 

adjust the PAL to a level no greater than the potential to emit of the source; and 

( 2 ) The Administrator shall not approve a renewed PAL level higher than the current PAL, unless the 

major stationary source has complied with the provisions of paragraph (aa)(11) of this section 

(increasing a PAL). 

(v) If the compliance date for a State or Federal requirement that applies to the PAL source occurs 

during the PAL effective period, and if the Administrator has not already adjusted for such requirement, 

the PAL shall be adjusted at the time of PAL permit renewal or title V permit renewal, whichever occurs 

first. 

(11) Increasing a PAL during the PAL effective period. (i) The Administrator may increase a PAL 

emission limitation only if the major stationary source complies with the provisions in paragraphs (aa)
(11)(i)( a ) through ( d ) of this section. 

( a ) The owner or operator of the major stationary source shall submit a complete application to request 

an increase in the PAL limit for a PAL major modification. Such application shall identify the emissions 

unit(s) contributing to the increase in emissions so as to cause the major stationary source's emissions 

to equal or exceed its PAL. 

( b ) As part of this application, the major stationary source owner or operator shall demonstrate that the 

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

emissions of the significant and major emissions units assuming application of BACT equivalent 

controls, plus the sum of the allowable emissions of the new or modified emissions unit(s) exceeds the 

PAL. The level of control that would result from BACT equivalent controls on each significant or major 

emissions unit shall be determined by conducting a new BACT analysis at the time the application is 

submitted, unless the emissions unit is currently required to comply with a BACT or LAER requirement 

that was established within the preceding 10 years. In such a case, the assumed control level for that 

emissions unit shall be equal to the level of BACT or LAER with which that emissions unit must currently 

comply. 

( c ) The owner or operator obtains a major NSR permit for all emissions unit(s) identified in paragraph 

(aa)(11)(i)( a ) of this section, regardless of the magnitude of the emissions increase resulting from them 

(that is, no significant levels apply). These emissions unit(s) shall comply with any emissions 

requirements resulting from the major NSR process (for example, BACT), even though they have also 

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

( d ) The PAL permit shall require that the increased PAL level shall be effective on the day any 

emissions unit that is part of the PAL major modification becomes operational and begins to emit the 

PAL pollutant. 

(ii) The Administrator shall calculate the new PAL as the sum of the allowable emissions for each 

modified or new emissions unit, plus the sum of the baseline actual emissions of the significant and 

major emissions units (assuming application of BACT equivalent controls as determined in accordance 

with paragraph (aa)(11)(i)( b )), plus the sum of the baseline actual emissions of the small emissions 

units. 

(iii) The PAL permit shall be revised to reflect the increased PAL level pursuant to the public notice 

requirements of paragraph (aa)(5) of this section. 

(12) Monitoring requirements for PALs. (i) General requirements. ( a ) Each PAL permit must contain 

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

the PAL pollutant in terms of mass per unit of time. Any monitoring system authorized for use in the PAL 

permit must be based on sound science and meet generally acceptable scientific procedures for data 

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

legal requirements for admissibility in a judicial proceeding to enforce the PAL permit. 

( b ) The PAL monitoring system must employ one or more of the four general monitoring approaches 

meeting the minimum requirements set forth in paragraphs (aa)(12)(ii)( a ) through ( d ) of this section 

and must be approved by the Administrator. 

( c ) Notwithstanding paragraph (aa)(12)(i)( b ) of this section, you may also employ an alternative 

monitoring approach that meets paragraph (aa)(12)(i)( a ) of this section if approved by the 

Administrator. 

( d ) Failure to use a monitoring system that meets the requirements of this section renders the PAL 

invalid. 

(ii) Minimum performance requirements for approved monitoring approaches. The following are 

acceptable general monitoring approaches when conducted in accordance with the minimum 

requirements in paragraphs (aa)(12)(iii) through (ix) of this section: 

( a ) Mass balance calculations for activities using coatings or solvents; 

( b ) CEMS; 

( c ) CPMS or PEMS; and 
( d ) Emission factors. 

(iii) Mass balance calculations. An owner or operator using mass balance calculations to monitor PAL 

pollutant emissions from activities using coating or solvents shall meet the following requirements: 

( a ) Provide a demonstrated means of validating the published content of the PAL pollutant that is 

contained in or created by all materials used in or at the emissions unit; 

( b ) Assume that the emissions unit emits all of the PAL pollutant that is contained in or created by any 

raw material or fuel used in or at the emissions unit, if it cannot otherwise be accounted for in the 

process; and 

( c ) Where the vendor of a material or fuel, which is used in or at the emissions unit, publishes a range 

of pollutant content from such material, the owner or operator must use the highest value of the range to 

calculate the PAL pollutant emissions unless the Administrator determines there is site-specific data or a 

site-specific monitoring program to support another content within the range. 

(iv) CEMS. An owner or operator using CEMS to monitor PAL pollutant emissions shall meet the 

following requirements: 

( a ) CEMS must comply with applicable Performance Specifications found in 40 CFR part 60, appendix 

B; and 

( b ) CEMS must sample, analyze and record data at least every 15 minutes while the emissions unit is 

operating. 

(v) CPMS or PEMS. An owner or operator using CPMS or PEMS to monitor PAL pollutant emissions 

shall meet the following requirements: 

( a ) The CPMS or the PEMS must be based on current site-specific data demonstrating a correlation 

between the monitored parameter(s) and the PAL pollutant emissions across the range of operation of 

the emissions unit; and 

( b ) Each CPMS or PEMS must sample, analyze, and record data at least every 15 minutes, or at 

another less frequent interval approved by the Administrator, while the emissions unit is operating. 

(vi) Emission factors. An owner or operator using emission factors to monitor PAL pollutant emissions 

shall meet the following requirements: 

( a ) All emission factors shall be adjusted, if appropriate, to account for the degree of uncertainty or 

limitations in the factors' development; 

( b ) The emissions unit shall operate within the designated range of use for the emission factor, if 

applicable; and 

( c ) If technically practicable, the owner or operator of a significant emissions unit that relies on an 

emission factor to calculate PAL pollutant emissions shall conduct validation testing to determine a sitespecific emission factor within 6 months of PAL permit issuance, unless the Administrator determines 

that testing is not required. 

(vii) A source owner or operator must record and report maximum potential emissions without 

considering enforceable emission limitations or operational restrictions for an emissions unit during any 

period of time that there is no monitoring data, unless another method for determining emissions during 

such periods is specified in the PAL permit. 

(viii) Notwithstanding the requirements in paragraphs (aa)(12)(iii) through (vii) of this section, where an 

owner or operator of an emissions unit cannot demonstrate a correlation between the monitored 

parameter(s) and the PAL pollutant emissions rate at all operating points of the emissions unit, the 

Administrator shall, at the time of permit issuance: 

( a ) Establish default value(s) for determining compliance with the PAL based on the highest potential 

emissions reasonably estimated at such operating point(s); or 
( b ) Determine that operation of the emissions unit during operating conditions when there is no 

correlation between monitored parameter(s) and the PAL pollutant emissions is a violation of the PAL. 

(ix) Re-validation. All data used to establish the PAL pollutant must be re-validated through performance 

testing or other scientifically valid means approved by the Administrator. Such testing must occur at least 

once every 5 years after issuance of the PAL. 

(13) Recordkeeping requirements. (i) The PAL permit shall require an owner or operator to retain a copy 

of all records necessary to determine compliance with any requirement of paragraph (aa) of this section 

and of the PAL, including a determination of each emissions unit's 12-month rolling total emissions, for 5 

years from the date of such record. 

(ii) The PAL permit shall require an owner or operator to retain a copy of the following records for the 

duration of the PAL effective period plus 5 years: 

( a ) A copy of the PAL permit application and any applications for revisions to the PAL; and 

( b ) Each annual certification of compliance pursuant to title V and the data relied on in certifying the 

compliance. 

(14) Reporting and notification requirements. The owner or operator shall submit semi-annual monitoring 

reports and prompt deviation reports to the Administrator in accordance with the applicable title V 

operating permit program. The reports shall meet the requirements in paragraphs (aa)(14)(i) through (iii) 

of this section. 

(i) Semi-annual report. The semi-annual report shall be submitted to the Administrator within 30 days of 

the end of each reporting period. This report shall contain the information required in paragraphs (aa)

(14)(i)( a ) through ( g ) of this section. 

( a ) The identification of owner and operator and the permit number. 

( b ) Total annual emissions (tons/year) based on a 12-month rolling total for each month in the reporting 

period recorded pursuant to paragraph (aa)(13)(i) of this section. 

( c ) All data relied upon, including, but not limited to, any Quality Assurance or Quality Control data, in 

calculating the monthly and annual PAL pollutant emissions. 

( d ) A list of any emissions units modified or added to the major stationary source during the preceding 

6-month period. 

( e ) The number, duration, and cause of any deviations or monitoring malfunctions (other than the time 

associated with zero and span calibration checks), and any corrective action taken. 

( f ) A notification of a shutdown of any monitoring system, whether the shutdown was permanent or 

temporary, the reason for the shutdown, the anticipated date that the monitoring system will be fully 

operational or replaced with another monitoring system, and whether the emissions unit monitored by 

the monitoring system continued to operate, and the calculation of the emissions of the pollutant or the 

number determined by method included in the permit, as provided by (aa)(12)(vii). 

( g ) A signed statement by the responsible official (as defined by the applicable title V operating permit 

program) certifying the truth, accuracy, and completeness of the information provided in the report. 

(ii) Deviation report. The major stationary source owner or operator shall promptly submit reports of any 

deviations or exceedance of the PAL requirements, including periods where no monitoring is available. A 

report submitted pursuant to §70.6(a)(3)(iii)(B) of this chapter shall satisfy this reporting requirement. 

The deviation reports shall be submitted within the time limits prescribed by the applicable program 

implementing §70.6(a)(3)(iii)(B) of this chapter. The reports shall contain the following information: 

( a ) The identification of owner and operator and the permit number; 

( b ) The PAL requirement that experienced the deviation or that was exceeded; 
( c ) Emissions resulting from the deviation or the exceedance; and 

( d ) A signed statement by the responsible official (as defined by the applicable title V operating permit 

program) certifying the truth, accuracy, and completeness of the information provided in the report. 

(iii) Re-validation results. The owner or operator shall submit to the Administrator the results of any revalidation test or method within 3 months after completion of such test or method. 

(15) Transition requirements. (i) The Administrator may not issue a PAL that does not comply with the 

requirements in paragraphs (aa)(1) through (15) of this section after March 3, 2003. 

(ii) The Administrator may supersede any PAL that was established prior to March 3, 2003 with a PAL 

that complies with the requirements of paragraphs (aa)(1) through (15) of this section. 

(bb) If any provision of this section, or the application of such provision to any person or circumstance, is 

held invalid, the remainder of this section, or the application of such provision to persons or 

circumstances other than those as to which it is held invalid, shall not be affected thereby. 

(cc) Without regard to other considerations, routine maintenance, repair and replacement includes, but is 

not limited to, the replacement of any component of a process unit with an identical or functionally 

equivalent component(s), and maintenance and repair activities that are part of the replacement activity, 

provided that all of the requirements in paragraphs (cc)(1) through (3) of this section are met. 

(1) Capital cost threshold for equipment replacement. (i) For an electric utility steam generating unit, as 

defined in §52.21(b)(31), the fixed capital cost of the replacement component(s) plus the cost of any 

associated maintenance and repair activities that are part of the replacement shall not exceed 20 

percent of the replacement value of the process unit, at the time the equipment is replaced. For a 

process unit that is not an electric utility steam generating unit the fixed capital cost of the replacement 

component(s) plus the cost of any associated maintenance and repair activities that are part of the 

replacement shall not exceed 20 percent of the replacement value of the process unit, at the time the 

equipment is replaced. 

(ii) In determining the replacement value of the process unit; and, except as otherwise allowed under 

paragraph (cc)(1)(iii) of this section, the owner or operator shall determine the replacement value of the 

process unit on an estimate of the fixed capital cost of constructing a new process unit, or on the current 

appraised value of the process unit. 

(iii) As an alternative to paragraph (cc)(1)(ii) of this section for determining the replacement value of a 

process unit, an owner or operator may choose to use insurance value (where the insurance value 

covers only complete replacement), investment value adjusted for inflation, or another accounting 

procedure if such procedure is based on Generally Accepted Accounting Principles, provided that the 

owner or operator sends a notice to the reviewing authority. The first time that an owner or operator 

submits such a notice for a particular process unit, the notice may be submitted at any time, but any 

subsequent notice for that process unit may be submitted only at the beginning of the process unit's 

fiscal year. Unless the owner or operator submits a notice to the reviewing authority, then paragraph (cc)

(1)(ii) of this section will be used to establish the replacement value of the process unit. Once the owner 

or operator submits a notice to use an alternative accounting procedure, the owner or operator must 

continue to use that procedure for the entire fiscal year for that process unit. In subsequent fiscal years, 

the owner or operator must continue to use this selected procedure unless and until the owner or 

operator sends another notice to the reviewing authority selecting another procedure consistent with this 

paragraph or paragraph (cc)(1)(ii) of this section at the beginning of such fiscal year. 

(2) Basic design parameters. The replacement does not change the basic design parameter(s) of the 

process unit to which the activity pertains. 

(i) Except as provided in paragraph (cc)(2)(iii) of this section, for a process unit at a steam electric 

generating facility, the owner or operator may select as its basic design parameters either maximum 

hourly heat input and maximum hourly fuel consumption rate or maximum hourly electric output rate and 

maximum steam flow rate. When establishing fuel consumption specifications in terms of weight or 

volume, the minimum fuel quality based on British Thermal Units content shall be used for determining 

the basic design parameter(s) for a coal-fired electric utility steam generating unit. 

(ii) Except as provided in paragraph (cc)(2)(iii) of this section, the basic design parameter(s) for any 

process unit that is not at a steam electric generating facility are maximum rate of fuel or heat input, 

maximum rate of material input, or maximum rate of product output. Combustion process units will 
typically use maximum rate of fuel input. For sources having multiple end products and raw materials, 

the owner or operator should consider the primary product or primary raw material when selecting a 

basic design parameter. 

(iii) If the owner or operator believes the basic design parameter(s) in paragraphs (cc)(2)(i) and (ii) of this 

section is not appropriate for a specific industry or type of process unit, the owner or operator may 

propose to the reviewing authority an alternative basic design parameter(s) for the source's process unit

(s). If the reviewing authority approves of the use of an alternative basic design parameter(s), the 

reviewing authority shall issue a permit that is legally enforceable that records such basic design 

parameter(s) and requires the owner or operator to comply with such parameter(s). 

(iv) The owner or operator shall use credible information, such as results of historic maximum capability 

tests, design information from the manufacturer, or engineering calculations, in establishing the 

magnitude of the basic design parameter(s) specified in paragraphs (cc)(2)(i) and (ii) of this section. 

(v) If design information is not available for a process unit, then the owner or operator shall determine 

the process unit's basic design parameter(s) using the maximum value achieved by the process unit in 

the five-year period immediately preceding the planned activity. 

(vi) Efficiency of a process unit is not a basic design parameter. 

(3) The replacement activity shall not cause the process unit to exceed any emission limitation, or 

operational limitation that has the effect of constraining emissions, that applies to the process unit and 

that is legally enforceable. 

Note to paragraph (cc): By a court order on December 24, 2003, this paragraph (cc) is stayed 

indefinitely. The stayed provisions will become effective immediately if the court terminates 

the stay. At that time, EPA will publish a document in the Federal Register advising the 

public of the termination of the stay.

[43 FR 26403, June 19, 1978] 

Editorial Note: For Federal Register citations affecting §52.21, see the List of CFR Sections Affected, 

which appears in the Finding Aids section of the printed volume and at www.fdsys.gov . 

Effective Date Note: At 76 FR 17556, Mar. 30, 2011, §52.21(b)(2)(v) and (b)(3)(iii)( c ) were stayed 

indefinitely. 

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Page 1 of 2

Resolution 2012-01

RESOLUTION 2012-01

A RESOLUTION OF THE GOVERNING BOARD OF THE GREAT BASIN

UNIFIED AIR POLLUTION CONTROL DISTRICT MAKING

FINDINGS OF FACTS AND CONCLUSIONS OF LAW,

AND ADOPTING DISTRICT RULE 221

WHEREAS, the Governing Board of the Great Basin Unified Air Pollution Control 

District is authorized by California Health & Safety Code 40001 to adopt and enforce 

rules and regulations to achieve and maintain attainment of the State and federal air 

quality standards; and 

WHEREAS, notice to the public and to the State Air Resources Board was duly 

and timely given of the public hearing on the adoption of District Rule 221 - Prevention 

of Significant Deterioration (PSD) (California Health & Safety Code §40725); and 

WHEREAS, the Governing Board of the Great Basin Unified Air Pollution Control 

District has conducted two public hearings on the adoption of Rule 221 and has 

provided for and invited the submission of statements, arguments, or contentions, both 

written and oral, in accordance with Health & Safety Code §40726; and

WHEREAS, adoption of Rule 221 will give the District the authority to implement

the Prevention of Significant Deterioration regulations that are currently implemented by 

the U.S. Environmental Protection Agency and will incorporate 40 CFR Part 52.21 

(Prevention of Significant Deterioration of Air Quality) by reference; and there will be no 

changes to the monitoring, reporting, emission thresholds or control requirements for 

facilities subject to PSD regulations; and

WHEREAS, the District prepared and made available for review a written 

analysis of Rule 221 as required by Health & Safety Code §40727.2; and 

WHEREAS, this rule will be effective upon adoption; and

WHEREAS, adoption of Rule 221 is necessary, as demonstrated by the record of 

this proceeding and does not duplicate existing laws; and 

WHEREAS, the adoption of Rule 221 is consistent with and not in conflict with or 

contradictory to, any existing statutes, court decisions, or State or federal regulations; 

and

WHEREAS, the adoption of Rule 221 is written so that persons directly affected 

by it can easily understand its meaning; and

WHEREAS, the adoption of Rule 221 and this resolution adequately and 

comprehensively sets forth the proper references to the legal authority that allows 

and requires the District to adopt the Rule 221; and
Page 2 of 2

Resolution 2012-01

WHEREAS, a proposed Notice of Exemption meeting the requirements of the 

California Environmental Quality Act was properly noticed and circulated, indicating the 

proposed rule changes are exempt by statute from the requirements of CEQA; and

WHEREAS, the District has a total population of less than 500,000 persons, and 

for that reason, this rule adoption is exempt from the requirements of Health & Safety 

Code §40728.5 requiring the preparation of an assessment of the socioeconomic 

impacts of the rule;

NOW, THEREFORE BE IT RESOLVED, that the Governing Board of the Great 

Basin Unified Air Pollution Control District hereby finds and determines to be true on the 

basis of substantial evidence each statement of fact, and hereby adopts on the basis of 

the record of this proceeding each conclusion of law, set forth in the recitals to this 

resolution; and 

BE IT FURTHER RESOLVED, that on the basis of the foregoing, the Governing 

Board of the Great Basin Unified Air Pollution Control District Board hereby authorizes 

and directs the Air Pollution Control Officer to execute on behalf of the District a Notice 

of Exemption for this rule, and to file or record the notice reflecting that action as 

provided by applicable law; and

BE IT FURTHER RESOLVED, that on the basis of the foregoing, the Governing 

Board of the Great Basin Unified Air Pollution Control District Board hereby adopts Rule 

221 and promulgates same, in the form attached hereto; and 

BE IT FURTHER RESOLVED, that the District shall prepare and maintain a 

record of this rule adoption in accordance with Health & Safety Code §40728. 

DONE by the Governing Board of the Great Basin Unified Air Pollution Control District 

this _____ day of ____________, 2012, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

__________________________________

Larry Johnston, Chairman

ATTEST:

_____________________________

Tori DeHaven, Clerk of the Board
Rule Adopted: September 19, 2012

GREAT BASIN UNIFIED AIR POLLUTION CONTROL DISTRICT

157 Short Street, Bishop, California 93514-3537

Tel: 760-872-8211 Fax: 760-872-6109

NOTICE OF EXEMPTION

TO: County Clerks - FROM: Great Basin Unified Air Pollution Control District

County of Inyo 157 Short Street

County of Mono Bishop, California 93514

County of Alpine

Project Title: Adoption of District Rule 221 - Prevention of Significant Deterioration (PSD) Permit 

Requirements for New Major Facilities or Major Modifications in Attainment or Unclassifiable 

Areas

Project Location - Specific: Great Basin Unified Air Pollution Control District (District), which includes all 

of Alpine, Inyo and Mono Counties, California.

Project Location - County: Alpine County, Inyo County, and Mono County.

Description of Nature and Purpose of Project: The proposed rule adoption is to incorporate the federal 

PSD rule requirements into the District’s Rules and Regulations by incorporating the federal requirements by 

reference. Proposed Rule 221 will give the District authority to implement PSD regulations that are currently 

implemented by the U.S. Environmental Protection Agency and incorporate 40 CFR Part 52.21 – Prevention 

of Significant Deterioration of Air Quality by reference. There will be no changes to the monitoring, reporting, 

emission thresholds or control requirements for facilities subject to PSD regulations.

Agency Approving and Carrying Out the Project: Great Basin Unified Air Pollution Control District.

Exempt Status: [ ] Ministerial (Sec. 21080(b)(1); 15268); [ ] Declared Emergency (Sec. 21080(b)(3); 

15269(a)); [ ] Emergency Project (Sec. 21080(b)(4); 15296(b)(c)); [ ] Categorical Exemption; [ ] Statutory 

Exemptions; [X] CEQA Guidelines §15061(b)(3): The activity (rule adoption) does not have a significant 

effect on the environment and is not subject to CEQA.

Reason Why the Project is Exempt: 

A project is exempt from CEQA if the activity is covered by the general rule that CEQA applies only to 

projects which have the potential for causing a significant effect on the environment. Where it can be seen 

with certainty that there is no possibility that the activity in question may have a significant effect on the 

environment, the activity is not subject to CEQA. CEQA Guidelines §15061(b)(3).

Lead Agency Contact Person: Theodore Schade, Air Pollution Control Officer, Great Basin Unified Air 

Pollution Control District, 157 Short Street, Bishop, CA 93514. Telephone: (760) 872-8211

Signature: ______________________________________ Date: Sept. _____, 2012

Theodore D. Schade, Air Pollution Control Officer

Great Basin Unified Air Pollution Control District

 
GREAT BASIN UNIFIED AIR POLLUTION CONTROL DISTRICT

157 Short Street, Bishop, California 93514-3537

Tel: 760-872-8211 Fax: 760-872-6109

ALTERNATIVE ANALYSIS OF PROPOSED ADOPTION OF

DISTRICT RULE 221

PURSUANT TO CALIFORNIA HEALTH & SAFETY CODE SECTION 40727.2

June 11, 2012

At its regular meeting scheduled for July 19, 2012, the Governing Board of the Great Basin 

Unified Air Pollution Control District (District) will conduct a public hearing to consider adoption 

of District Rule 221 - Prevention of Significant Deterioration (PSD) of Air Quality. The intent of 

proposed Rule 221 is to incorporate the federal PSD rule requirements into the District’s Rules 

and Regulations by incorporating the federal requirements by reference. The federal PSD 

program is a construction permitting program for new major facilities and major modifications to 

existing major facilities located in areas classified as attainment or in areas that are 

unclassifiable for any criteria air pollutant.

CH&SC § 40727.2 requires the District to prepare a written analysis of any proposal to adopt or 

amend a District rule or regulation. CH&SC § 40727.2 (g) allows the District to comply with this 

written analysis with a finding that the proposed rule or regulation does not impose a new 

emissions limit or standard, make an existing emission limit or standard more stringent, or impose 

new or more stringent monitoring, reporting, or recording requirements. Proposed District Rule 

221 is intended to give the District federal delegation to implement PSD regulations that are 

currently implemented by the US Environmental Protection Agency (US EPA), and there will be no 

changes to emissions, monitoring or reporting requirements. The District’s proposed rule revision 

qualifies under the provisions allowed in Section 40727.2(g) and the District elects to comply with 

the written analysis requirement in this manner.

The alternative analysis authorized by California Health & Safety Code Section 40727.2(g) is as

follows:

The proposed rule adoption is intended to incorporate the federal Prevention of Significant 

Deterioration (PSD) of Air Quality regulations (40 CFR 52.21) into the District’s Rules and 

Regulations by incorporating the federal requirements by reference. The federal PSD program 

is a construction permitting program for new major facilities and major modifications to existing 

major facilities located in areas classified as attainment or in areas that are unclassifiable for 

any criteria air pollutant. Proposed District Rule 221 is intended to give the District federal 

delegation to implement PSD regulations that are currently implemented by the US

Environmental Protection Agency, and there will be no changes to emissions, monitoring or 

reporting requirements for facilities subject to PSD regulations.
The proposed rule revision is intended to incorporate by reference federal requirements currently 

implemented by the US EPA pursuant to 40 CFR 52.21. For this reason, the District is excused 

from preparing the written analysis described in California Health & Safety Code Section 

40727.2(a) in connection with the proposed adoption of District Rule 221 to be considered at the 

July 19, 2012 public hearing.

This alternative analysis was prepared by the Great Basin Unified Air Pollution Control District, 157 

Short Street, Bishop, California 93514, (760) 872-8211. Any comments or questions regarding 

this analysis may be directed to Duane Ono, Deputy Air Pollution Control Officer.
Rule 221. PREVENTION OF SIGNIFICANT DETERIORATION (PSD) 

PERMIT REQUIREMENTS FOR NEW MAJOR FACILITIES OR MAJOR 

MODIFICATIONS IN ATTAINMENT OR UNCLASSIFIABLE AREAS 

Draft Rule: 06/04/2012 

A. Purpose 

The federal Prevention of Significant Deterioration (PSD) program is a construction 

permitting program for new major facilities and major modifications to existing major 

facilities located in areas classified as attainment or in areas that are unclassifiable for 

any criteria air pollutant. The application, processing requirements and procedures are 

those contained in District Rules 200 through 205 unless otherwise superseded by 

federal regulation. The intent of this Rule is to incorporate the federal PSD rule 

requirements into the District’s Rules and Regulations by incorporating the federal 

requirements by reference. 

B. Applicability 

The provisions of this rule shall apply to any source and the owner or operator of any 

source subject to any requirement under Title 40 of the Code of Federal Regulations 

Part 52.21 as incorporated into this rule. 

C. Incorporation by Reference 

Except as provided below, the provisions of Title 40 of the Code of Federal Regulations 

(CFR) Part 52.21, in effect on July 1, 2012, are incorporated herein by reference and 

made part of the Rules and Regulations of the Great Basin Unified Air Pollution Control 

District. 

1. The following subsections of 40 CFR Part 52.21 are excluded: (a)(1), (b)(55-58), 

(f), (g), k(2), (p)(6-8), (q), (s), (t), (u), (v), (w), (x), (y), (z) and (cc). 

2. The following definitions found in 40 CFR, Part 52.21(b) are revised as follows: 

(i) The definition of “potential to emit” contained in 40 CFR, Part 52.21(b)(4), is 

revised so that the phrase “is federally enforceable” shall read “is federally enforceable or 

legally and practically enforceable.” 

(ii) The definition of “allowable emissions” contained in 40 CFR, Part 52.21(b)(16), 

is revised so that: 

(a) the phrase “unless the source is subject to federally enforceable limits which 

restrict the operating rate, or hours of operation, or both” shall read, “unless the source is 

subject to legally and practically enforceable limits which restrict the operating rate, or 

hours of operation, or both.” 

Comment [A1]: (1)This is not a required element 

for a PSD program and (2) Due to litigation between 

EPA and the Sierra Club, we requested that the 

Courts vacate and remand this provision. This 

provision contains the PM2.5 significant impact levels 

(SILs). However, you will still be able to use the 

SILs by relying on guidance from EPA. 

Comment [A2]: We’ve determined that this 

revision is not necessary. 

US EPA Region 9 Comments on Draft Rule 221 8/15/2012
(b) paragraph (iii) shall read as follows: “The emissions rate specified as an 

enforceable permit condition, including those with a future compliance date.” 

32. The following terms found in 40 CFR Part 52.21(b) are revised as follows: 

(i) The term “administrator” means: 

(a) “federal EPA administrator” in 40 CFR 52.21(b)(17), (b)(37)(i), 

(b)(43), (b)(48)(ii)(c), (b)(50)(i), (b)(51), (l)(2) and (p)(2); and 

(b) Air Pollution Control Officer (APCO) 

(ii) The phrase “paragraph (q) of this section” in 40 CFR 52.21(p)(1) and 

(l)(2) shall read as follows: the public notice and comment provisions of 

District Rule 205221, section D.6. 

D. Requirements 

1. 1. The APCO shall provide written notice of any permit application for a proposed 

major stationary source or major modification to the EPA administrator. Such 

notification shall include a copy of all information relevant to the permit application 

and shall be given within 30 days of receipt and at least 60 days prior to any public 

hearing on the application for a permit to construct. 

2. The APCO shall determine whether an application is complete not later than 30 

days after receipt of the application or after such longer time as both the applicant 

and the APCO may agree. If the APCO determines that the application is not 

complete, the applicant shall be notified in writing of the decision specifying the 

information that is required. Upon receipt of any re-submittal of the application, a 

new 30-day period to determine completeness shall begin. Upon determination that 

the application is complete, the APCO shall notify the applicant in writing. The date 

of receipt of the application shall be the date on which the reviewing authority 

received all required information. 

3. An owner or operator must obtain a Prevention of Significant Deterioration (PSD) 

permit pursuant to this Rule before beginning actual construction of a new major 

stationary source, a major modification, or a PAL major modification, as defined in 

40 CFR 52.21(b). 

4. Notwithstanding the provisions of any other District Rule or Regulation, the Air 

Pollution Control Officer shall require compliance with this rule prior to issuing a 

federal Prevention of Significant Deterioration permit as required by Clean Air Act 

(CAA) Section 165. 

5. The applicant shall pay the applicable fees specified in District Regulation III – 

Fees.

Comment [A3]: Typo 

Comment [A4]: Additional clarity 

Comment [A5]: This phrase appears in this 

paragraph as well. 

Comment [A6]: Corrected to reference the 

procedures below 

Comment [A7]: This requirement is partially met 

by IBR’ing 52.21, but this makes it clearer by 

putting it in the rule. 

Comment [A8]: You probably already have 

similar language in another rule, but we tweaked it 

slightly to meet the requirements for a PSD program 

– mostly by adding the last sentence. 

US EPA Region 9 Comments on Draft Rule 221 8/15/2012
1.6. Prior to issuing a federal PSD permit pursuant to this rule and within one year 

after receipt of a complete application, the Air Pollution Control Officer shall: 

(i) Make a preliminary determination whether construction should be 

approved with conditions or disapproved. 

(ii) Make available in at least one location in each region in which the 

proposed source would be constructed a copy of all materials the 

applicant submitted, a copy of the preliminary determination, a copy of 

the proposed permit and a copy or summary of other materials, if any, 

considered in making the preliminary determination. 

(iii) Notify the public, by advertisement in a newspaper of general circulation 

in the Great Basin Unified Air Pollution Control District, of the application, 

the preliminary determination, the degree of increment consumption that 

is expected from the source or modification, and of the opportunity for 

written public comment. 

(iv) Send a copy of the notice of public comment to the applicant, EPA 

Region 9, any persons requesting such notice and any other interested 

parties such as: Any other State or local air pollution control agencies, the 

chief executives of the city and county where the source would be 

located; any comprehensive regional land use planning agency, and any 

State, Federal Land Manager, or Indian Governing body whose lands 

may be affected by emissions from the source or modification. 

(v) Provide opportunity for a public hearing for persons to appear and submit 

written or oral comments on the air quality impact of the source, 

alternatives to it, the control technology required, and other appropriate 

considerations, if in the Air Pollution Control Officer’s judgment such a 

hearing is warranted. 

(vi) Consider all written comments that were submitted within 30 days after 

the notice of public comment is published and all comments received at 

any public hearing(s) in making a final decision on the approvability of the 

application and make all comments available for public inspection in the 

same locations where the District made available preconstruction 

information relating to the proposed source or modification. 

(vii) Make a final determination whether construction should be approved with 

conditions or disapproved. 

(viii) Notify the applicant in writing of the final determination and make such 

notification available for public inspection at the same location where the 

District made available preconstruction information and public comments 

relating to the source. 

Comment [A9]: Requirement for a PSD program.

US EPA Region 9 Comments on Draft Rule 221 8/15/2012
STATE OF CALIFORNIA

ENVIRONMENTAL PROTECTION AGENCY

AIR RESOURCES BOARD

P. O. Box 2815

Sacramento, California 95812

August 20, 2012

ARB Staff Rule Review Results

To: Duane Ono

Deputy Air Pollution Control Officer

Great Basin Unified Air Pollution Control District

Telephone Number: (760) 872-8221

e-mail: dono gbuapcd.org

From: Patrick Au, (916) 322-3303

e-mail: pau@arb.ca.gov

The following rule, which is scheduled for a public hearing to be held by your District 

Board on September 5, 2012, was received by us on July 27, 2012, for our review:

Rule 221 Prevention of Significant Deterioration

The Air Resources Board staff has reviewed the rule and, based on the information 

available to us at this time, we have no comment. The rule was examined by the 

Enforcement Division, and by the Stationary Source Division.

The Stationary Source Division staff has consulted with the U.S. Environmental 

Protection Agency (U.S. EPA) on the review of Rule 221 and we concur with the rule 

changes recommended by the U.S. EPA.

If you have any questions, please contact me by e-mail or at the telephone number 

above.