### Re: Construction Rule Changes

__ ] Kevin Leone to: Kyrik.Rombough
From: Kevin Leone/R8/USEPAIUS To: <Kyrik.Rombough@state.sd.us>
Thanks Kyrik, Iwill send revised comments to Laurel this afternoon.
Kevin

From: To: Cc: Date: Subject: <Kyrik.Rombough@state.sd.us> Kevin Leone/R8/USEPA!US@EPA <Brian.Gustafson@state.sd.us> 01/18/2011 02:29PM Construction Rule Changes 01/18/2011 02:53PM

01/18/2011 02:29:28 

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Kevin:
As discussed, the following is a description aboutthe design ofourchangesto allow construction that I believe answers you concern on administrative authority. 1) 74:36:20:02.01 (3) specifies that initiating construction priorto permit issuance may notoccurfor a new source or modification that is applicable to the PSD program orthe non-attainment NSR program. In addition, this section specifiesthat a source that requires enforceable conditions to limitthe sources potential to emit (synthetic minorsource) may notoccur either. As such only a true minorsource will be allowed to begin construction priorto obtaining the construction permit. 2) 74:36:20:02.01 (5) specifies that an applicant may not begin operations until the construction permit is issued. Therefore, the rules specifies that until the construction permit is issued thatthere will be no actual emissions generated due to construction. As the rest ofthe rules are written, this means DENR will review the application, prepare its statementofbasis (narrative review ofthe applicable requirements), public notice the changes, have the potential ofa contested hearing beforethat permit is issued, which means before operations may actual may begin. In addition, 74:36:20:02.01 (7) statesthat the applicant hasto make any changes as imposed by the issued permit. 3) This concept ofallowing something to occur until a departmenttakes action on the application is not new. EPAallowsthis in the Title V or Part 70 rules for both administrative and minor modifications. The 40 CFR Part 70 rule notes that states may allowthese changes immediatelyafter itfiles the application. I understand that EPA notes a policy for administrative authority and discusses issues in other states, but, there are other states that do not require what EPA is requesting such as the State of Iowa's regulations. Ifyou have issueswith our rules then EPA needsto be consistentwithin all states, including the State of Iowa. This does not meanjust new regulations or new revisions to current regulations. This means that all states that currently are not meeting EPA's policy must revise there rules. 4) Keep in mind the air program as a whole and notthe singular parts. Ourair program also has a compliance section to it. Ifa PSD source begins construction without a construction permit arguing that these rules pertained to them, which again these rules do not; this action would be considered aviolation ofthe regulations and subjectto enforcementactions.5) On average, we issue construction permits, minoroperating permits, and Title V operating permtis within 90 days of receiving an application. In regards to implementation, a facility will know fairly quickly if we agree ordo not agree with theiranalysis to begin construction. How many large construction projects that trigger PSD take less than 90 days to complete?
Ifyou have any additional questions, please let me know. Kyrik Kyrik Rombough Natural Resources Engineering Director Air Quality Program Phone: 605-773-3151 Email: Kyrik.Rombough@state.sd.us Fax: 605-773-5286