### STATE OF 

### ARIWSAS 

## MIKE BEEBE GO\:TERNOR 

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# ....-.......,.... March 28,2008 

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# ...... Richard Greene, Regional Administrator 

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# .............. United States EPA, Region VI J&/& 

### ,,Q~;c&& 1445Ross Avenue, Suite 1200 Dallas, 

### TX 75202-2733

Dear Mr. Greene:

On behalf of the Arkansas Department of Environmental Quality (ADEQ), I am 

### pleased to submit this document in response to the requirements found in Sections 

### 11 O(a)(l) and (2) ofthe Clean Air Act (CAA).

This document is 

### a revision to the Arkansas State Implementation Plan (SIP) to address interstate transport of air pollution under CAA Section 1

### lO(a)(2)(D)(i). The information in this document demonstrates that Arkansas sources do not significantly contribute to the interstate transport of pollutants that impact nonattainment in, or interfere with maintenance by, any other state with respect to the particulate matter less than 2.5 micrometers in diameter (PM2.j) National Ambient Air Quality Standards (NAAQS). It demonstrates that Arkansas meets the required prevention of significant deterioration of air quality and protection ofvisibility provisions ofthe law.

The ADEQ has evaluated Arkansas's existing SIP for implementation of the 1997 8-hour ozone NAAQS and the 2006 PM2,sNAAQS to determine if it includes all the requirements in Section 110 

### (a) (1) and 

### (2) of the CAA and is consistent with the guidance provided to the Regional Air Division Directors from William T. Harnett, Director, Air Quality Policy Division on October 2, 2007. The Department concludes and certifies that our SIP does meet these requirements. The ADEQ has evaluated the particulate-matter provisions of our SIP for consistency with federal requirements, and has determined and certified that the SIP provisions are consistent with federal requirements.

In July of 1997, the U.S. Environmental Protection Agency (EPA) issued the NAAQS for PM2.5. 

### Section 110(a)(l) of the CAA requires states to submit SIPSwithin three years following the promulgation of new or revised standards. Litigation delayed implementation of the standards and created uncertainty about how states were to proceed. On March 10, 2005, EPA entered into a Consent Decree with Earth 

### Justice to

### address the interstate transport of this pollutant under CAA Section 1lO(a)(2)(D)(i). On April 25, 2005, EPA published a "Finding of Failure to Submit Section 110 State Implementation Plans for Interstate Transport for the National Ambient Air Quality Standards for 8-Hour Ozone and PM2.j" (70 FR 21 147). The April 25, 2005, finding started a 24-month clock for EPA to either issue a final Federal Implementation Plan (FIP) to address the requirements of Section 1lO(a)(2)(D)(i) or to approve a SIP that addresses these requirements.

Each state must submit a SIP that contains adequate provisions 

### "prohibiting



## ....any

source or other type ofemissions activity within the Statefrom emitting any air pollutant in amounts which will -

(I) 

### contribute significantly to nonattainment in, or interfere with maintenance by,
any other State with respect to any national primary or secondary air quality standard, or 

## (14 interfere with measures required to be included in the applicable implementation planfor any other State toprevent significant deterioration or to protect visibility. '"



### EPA published a guidance titled "SIP Guidance on Section 1lO(a)(2)(D)(i) Findings of Failure to Submit" on August 11, 2006. The guidance outlines four prongs that states must address in their 1lO(a)(2)(D)(i) SIPS 

### "prohibiting



## .... any source or other type of emissions activity within the State from emitting any air pollutant in amounts which will -



### 1. Contribute significantly to nonattainment of the NAAQS for areas in another
state. 2. Interfere with maintenance of the NAAQS by any other state. 3. 

### Interfere with measures required to meet implementation plans for any other state



## ... related to Prevention of SignificantDeterioration (PSD). 4. Interfere with measures required to meet the implementation plan for any other
state



## ... related to Regional Haze and Visibility.

This letter addresses each of these four elements.

Items one (1) and two (2) can 

### be addressed using the Clean Air Interstate Rule (CAIR) and associated air-quality modeling that EPA performed. CAIR will control the interstate transport of NO, and SOzemitted by fossil-kel fired Electric Generating Units (EGUs) by creating an interstate cap and trade program. CAIR has three programs: Annual NO,, Ozone Season NOxand a year-round SO2 program. Of the three programs

### in CAIR, EPA demonstrated through modeling that Arkansas would only participate in the Ozone SeasonNOx program.
EPA published a guidance titled "Guidance for State Implementation Plan (SIP) Submissions to Meet Current Outstanding Obligations Under Section 1

### 1O(a)(2)(D)(i)for the 8-Hour Ozone and PM2.sNational Ambient Air Quality Standards" dated August 15, 2006. That guidance states ",..States within the CAIR region need not submit a SIP revision to satisfy CAIR."

To determine which states impact nonattainment in other states, EPA performed ozone-contribution modeling, using both source-apportionment modeling and zero-out modeling using the CAM-x model techniques for 31 states in the East and the District of Columbia, including Arkansas. (See Final CAIR Preamble at, 70 FR 25249, May 12, 2005). EPA determined that Arkansas contributes to ground-level ozone formation in Texas. Arkansas submitted a SIP to EPA to address the transport of oxides of nitrogen 

### (NO,) fiom Arkansas sources in the form of a CAIR SIP. EPA published their approval of the SIP on September 26,2007, and it became final on November 26,2007.

In addition to the ozone modeling, 37 states were modeled for potential inclusion in the final CAIR by EPA to address PM2.5. Fourteen of these states, including Arkansas, were not included in the CAIR, because they did not contribute at least 0.2 ugIm3 to downwind nonattainment. (See Final CAIR Preamble at, 70 FR 25246, May 12, 2005). Since it was 

### found that Arkansas does not significantly contribute to downwind PM2,s nonattainment areas, there 

### is no requirement that Arkansas submit regulation changes and



### a SIPto address this matter.

Each SIP must include 

### a preconstruction review program for major sources to satisfy the requirements of section 1 

### 1O(a)(2)(D)(i)of the CAA. For nonattainrnent areas this is the Nonattainment New Source Review (NNSR) program, and in attainment areas this 

### is the PSD program. The 

### PSD requirements in Item three (3) can and have been addressed in an existing Arkansas SIP and related regulatory language that has been approved by EPA. The August 2006 guidance states, "Because all areas are currently subject to some form of preconstruction-permitting 

### program for ozone and PM2.5, it is not necessary, at this time, for states to make a SIP submission containing rule changes or modeling demonstration to address section 1 1O(a)(2)(D)(i)(II)."

This SIP revision certifies that Arkansas has EPA-approved PSD and NNSR programs in place to prevent significant deterioration of air quality in Arkansas and neighboring states. Major sources in Arkansas are currently subject to PSD and NNSR

### permitting programs that implement the 8-hour ozone and PM2.s standards. PSD regulatory language can be found in Chapter 9 of the Arkansas Pollution Control and Ecology Commission Regulation 19, Regulations of the Arkansas Plan of Implementation for Air Pollution Control. NNSR regulatory language can be found in Arkansas Pollution Control and Ecology Commission Regulation

### 3 1, Nonattainment New Source Review Requirements.

There was a deadline of June 15, 2007, for states to submit SIPSthat incorporate the requirements of the phase I1 ozone implementation rule into their PSD and NNSR programs. It was not necessary for Arkansas to make changes to the regulatory language
to address these requirements, because EPA has not found the Arkansas PSD program to be deficient, and all of the existing Arkansas NNSR program requirements address the requirements.

Arkansas has met the requirements for Item four (4) 

### regarding the protection of visibility in section llO(a)(2)(D)(i). The Arkansas Pollution Control and Ecology Commission adopted Chapter 15 of Regulation 19 that establishedregional haze program requirements on October 15, 2007. The regulation became effective October 15, 2007. At this time, it is not possible to assesswhether there is any interferencewith measures in the applicable SIP for another state designed to protect visibility for the 8-hour ozone and PM2.5 NAAQS until Arkansas's regional haze SIP is submitted and approved by EPA.

The State of Arkansas hereby submitsto the EPA that it has met the requirements for section 110(a)(2)(D)(i) of the CAA for the 8-hour ozone and PM2.s NAAQS and does
not significantly contribute to nonattainment or interfere with 

### maintenance of the NAAQS in other states. Enclosed is a completed template, which was provided by EPA Region 6 

### and discusses the CAA requirements for section 110(a)(2)(D)(i)of the CAA 

### for the 8-hour ozone and PM2.5 NAAQS. There is one table for ozone and one for PM2.s.



### I look forward to your prompt approval of this SIP submission. If you have any questions, please contact Mike Bates at (501) 682-0750 or bates@adeq.state.ar.us. Thank you for your attention to this matter.

### llO(a)(2)(A)-(M) Requirements 

### in the Current Arkansas Ozone State Implementation Plan (SIP) or Pending 

### SIP Revisions



### The federally enforceable State Implementation Plan (SIP) for Arkansas is compiled in 40 

### CFR Part 52 Subpart

### NN. Many of the miscellaneorw requirements of Section 

### 1 

### IO(a)(2)(A)-(M)of the Clean Air Act 

### (CAA) relevant to the eight-hour ozone 

### and fine particulate National Ambient Air Quality Standards (NAAQS) are already contained in the current SIP or SIP revisions which have been submitted to but not yet approved by 

### U. S. Environmental Protection Agency (EPA). The following table summarizes where these requirements of Section 

### 11 O(a)(2)(A)-(M)are addressed.

include enforceable emission limitationsand other control measures, means, ortechniques (including economic incentives such as fees, marketablepermits, and auctions ofemissions rights),as wellas schedules andtimetables for compliance as may be necessary orappropriate to meetthe applicable requirementsofthis Act. Arkansas's enforceable emission limitations and other control measures are covered in the Arkansas Water and Air Pollution ControlAct and those provisionsof the Arkansas Pollution Control and 

### Ecology Commission's Regulation 19, Regulationsof theArkansas Plan of Implementationfor Air Pollution Control listed in 40 CFR 52.170. 

### Where codified or approved by EPA 

### Section 110(a) element

The regulations in the Arkansas Pollution Control and Ecology Commission's Regulation 19, Regulationsof the Arkansas Plan of Implementation for Air Pollution Control are duly adopted bythe Arkansas Pollution Control and Ecology Commission. Where these provisions relateto section 110 requirements, State ImplementationPlan (SIP) revisions have been submittedto and approved by EPA. EPA-approved SIP revisions are codified at 40 CFR part 52, subpart E. Arkansas has an EPA-approved air permitting programfor both major and minor facilities, which ensures that all applicable requirementsare included inthe facility 40 CFR 52.170 

### Summary of element Provisions in 

### the currentArkansas SIP or recent SIP revision submittals

## NOTE: Page 2 of this table was not included in the copies of this submittal submitted to EPA March 28, 2008.Section 110(a) element Summary of element

contain adequate provisions-

(i)prohibiting, consistent with the provisions of this title, any source or other type of emissions activity within the state from emitting any airpollutant in amounts which will- (I) contribute signiiicanfly to nonaffainmentin, or interfere with maintenance by, any otherstate with respect b any such national primary orsecondary ambientair quality standad,
or (11)interfere with measures required to be includedin the applicable implementationplan for any other State underpart C to prevent significant deterioration ofair quality or toprotect visibility,

(ii) insuring compliance Provisions in the currentArkansas SIP or recent SIP revision submittals

- - - - -- Arkansas has adopted the Arkansas Pollution Control and Ecology Commission's Regulation 19,Regulations of the Arkansas Plan of Implementation forAir Pollution Control Chapter 14, and is in the process of adopting additional requirements related to the federal Clean Air Interstate Rule to reduce the transportof NOx and SO2, precursors of
ozone and PM25. A SIP revision pertaining only to $1lO(a)(2)(D)(i) is being submitted separately. Arkansas is not currently subject to requirements under §§ 115 and 126. Where codified or approved by EPA

40 CFR 52.170with the applicable requirements of sections 126and 115 (relating to interstate and international po//utionabatement); (ii) requirements &at the state comply with the requirements respecting state boards undersection The requirement is not applicable because permit and enforcement ordersare issueddirectly by the Arkansas Department of Environmental Quality (ADEQ), not state boardsor cammissions.Section 11 0(a) alement Summary of element

require, as may be prescribedbythe Administmtor-

(i) the installation, maintenance, and replacementofequipment, andthe implementation of other necessarysteps by
owners or operators of stationary sources to monitor emissions from such soumes,

(ii)

periodic reports on the natureandamounts of emissions andemissionselateddata from such sources, and

(iii) correlation of such reports by the state agency with any emission limitations

orstandam's established pursuantto thisAct, which reports shall be availableat reasonable times for public inspection; pmvide for authority comparable to thaiin section 303 andadequafe Provisions inthe current Arkansas SIP or recent SIP revision submittal

Regulatory requirements have been codified in the Arkansas Pollution Control and Ecology Comm~ssion's Regulation 19, Regulations of the Arkansas Plan of Implementationfor Air Pollution Control Chapter 7 (pertainingto sampling and testing).

Requirements in Chapter 7 Section 19.705 providefor the reporting of emissions inventories in a format established by the Arkansas Departmentof Environmental Quality on a schedule set forth in the section. In addition, Section 19.705 requires the submissionof emission statementsas required by the CAA.

Area, mobile, and non-road data are reported on a byear cycle.

Enforceable emission limitations and other control measures are covered in the Arkansas Water and Air Pollution ControlAct and those provisions of Arkansas Annotated Code 8-4-310 and 8-4-311. Elements of the program for enforcement are found inthe monitoring, recordkeeping and reporting requirements for sources in these control measures as well as individual SIP permits.

The Arkansas Pollution Control and Ecology Commission's Regulation 19, Regulationsof the Arkansas Plan of Implementation for Air Pollution Control, Chapter 3 adopted July 24, 1992, covers air pollutionepisodes Where codified
or approved by EPA 40 CFR 52.170



### 40 CFR 52.170contingencyplans to implement such authority; and the occurrenceof an emergency due to the effects of the pollutants

on the health of persons.Summary of element 

# I Provlsions in the current Arkansas SIP or recent SIP revision 

# 1 Where codifie(

inthe case ofa plan orplan revision for an area designated as a nonattainment area, meet the applicable requirements ofpart D (relating to nonattainment areas); submittals

The Arkansas Pollution Control and Ecology Commission's Regulation 31, Nonattainment New Source Review Requirements covers the requirements of part D for nonattainment areas. Amendments to these requirementsto fulfill recent federal requirements were submitted to EPA on July 3,2006. In preparing SIPSunder Part D, Arkansas complies with all applicable requirementsfor each nonattainment area under sections 110, 172(c), and 175A and subpart 2 to Part D. In addition, Arkansas complies with planning procedures under Section 174. EPA approved all SIPSrequired under the one-hour ozone standard, indicating full compliance with requirements for classified areas under subpart 2 to Part D; compliance under the eight-hour ozone and PM2 5 standard will be evaluated with submitted SIPSfor each area. The SIP revisions related to nonattainrnent areas will continue to comply with Subpart D requirements,
as applicable, and the currently approved nonattainment area SIP provisions listed in 40 CFR 52.170which could not have been approved if they had not met Subpart D requirements. These include: The Arkansas Pollution Control and Ecology Commission's Regulation 19, Regulations of the Arkansas Plan of Implementation for Air Pollution Control, Chapter 13 and The Arkansas Pollution Control and Ecology Commission's Regulation 31, Nonattainment New Source Review Requirements. or approved b! EPA



### 40 CFR 52.170meet the applicable requirements of



### . .. part C (relating to prevention of significant deterioration of air quality and visibility protection); Section 110(a) element

provide for: (i) the performance of such air quality modelingas theAdministmtor may prescribe for thepurpose of predicting the effect on ambient air quality ofany emissions ofany air pollutant for which the Administratorhas establisheda national ambient air quality standard, and

(ii) the submission, upon request, of data related to such air quality modeling to theAdminisfrator; Summary of element

Arkansas has incorporated by reference into the Arkansas Pollution Controland Ecology Commission's Regulation 19,Regulations of the Arkansas Plan of Implementation forAir Pollution Control Chapter 9,the requirements in 40 CFR 52 under section 161 of the CAA (42 U.S.C.A.

### 5 7471)for prevention of significant deterioration in their entirety. These provisions were approved by EPA as part of the SIP. 40 CFR 

### 52.170 Where codified
or approved by EPA

-

Arkansas has submitted the Emissions Inventory StP revision pertaining

to Crittenden Countyduring calendar years 2006 and 2007. These plans submitted the necessary modeling where required. The status of this SIP revision is below: Provisions in the current Arkansas SIP or recent SIP revision submittalsSection 110(a) element

§IlO(a)(2)(L) Summary of element

require the owneror operatorof each major stationarysource topay to the pemitfing authority, as
a condition ofanypemit required under thisAct, a fee sufficient to cover-

(i) the reasonable costs of reviewingand acting upon any application for such a permit, and

(ii)if the owner or operator receives apemit for such source, the reasonable costs of implementingand enforcing the terms and conditions of any such permit (not including any court costs or othercosts associated with any enforcement action), until such fee requirement is superseded with respect to such sourcesby the Administrator's approvalofa fee program undertifie V; Provisions in the current Arkansas SIP or recent SIP revision submittals



### In addition,the fee requirementsof the Arkansas Pollution Control and Ecology Commission's Regulation26, Regulationsof the Arkansas OperatingAir Permit Program Chapter 11were approved by EPA as meetingthe CAA requirementsand were incorporated into Arkansas's SIP. Arkansas's Title V operating permit program in Chapter 11, was approved October 9, 2001. Where codified or approved by EPA 40 CFR 52.170