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Proposed Date for Rule Adoption Hearing: December 13, 2000 TO: The Air Pollution Control Board FROM: Fred Thoits, Engineering Division Manager SUBJECT: Consideration of Proposed Revisions to District Rules 200 (Permits

Required), 201 (Sources Not Requiring Permits), 207 (Review of New or Modified Sources), and 208 (Standards for Granting Permits to Operate). DATE: December 13, 2000

ADVISORY COMMITTEE RECOMMENDATION The Advisory Committee’s recommendation will be presented verbally at the meeting as this package was mailed prior to the December 7, 2000 Advisory Committee meeting. STAFF RECOMMENDATION Review the attached staff report, which includes the proposed text of the rules; receive a brief staff presentation and public comment; and adopt the attached Proposed Resolution. DISCUSSION The rule revisions being proposed are part of the District’s continuing efforts to improve the readability and consistency of its Rules and Regulations. The major revisions would reformat Rule 200 into the District’s current format, update the language in Rules 201 and 207 to incorporate existing District permitting policies and repeal Rule 208 as its requirements have previously been incorporated into Rule 207. The attached Staff Report contains the full draft texts of the proposed Rules in Appendix A. Attachment 1: Staff Report

2: Proposed Resolution

### 3 ATTACHMENT 1 STAFF REPORT

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## MONTEREY BAY UNIFIED AIR POLLUTION CONTROL DISTRICT

STAFF REPORT Proposed Revisions to Rule 200 (Permits Required) Rule 201 (Sources Not Requiring Permits) Rule 207 (Review of New or Modified Sources) Rule 208 (Standards for Granting Permits to Operate)

Board Adoption Hearing December 7, 2000

Prepared by: Mike Sewell

Air Quality Engineer Approved by: Fred Thoits

Manager, Engineering Division

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Background The staff proposal to revise District Rules 200 (Permits Required), 201 (Sources not Requiring Permits), 207 (Review of New or Modified Sources), and 208 (Standards for Granting Permits to Operate) is part of the District’s continuing efforts to improve the readability and consistency of its Rules and Regulations. Authority The District is authorized by the California Health and Safety (HSC) Code Sections 40001 and 40702 to adopt and enforce rules and regulations to meet and maintain state and federal ambient air quality standards. Associated Benefits The proposed revisions would improve the clarity, consistency and readability of Rules 200 (Permits Required), 201 (Sources not Requiring Permits), and 207 (Review of New or Modified Sources). Major Proposed Provisions To facilitate the interpretation of the proposed revisions to Rules 200, 201, 207, and 208 provided as Appendix A to this report, the text proposed to be deleted is indicated with overstriking ( overstriking ) and the text proposed to be added is indicated with redlining (redlining ). The major revision would reformat Rule 200 into the District’s current format, update the language in Rules 201 and 207 to incorporate existing District permitting policies and repeal Rule 208. Rule 200 (Permits Required) • Reformat the rule into the District’s current format, adding text as necessary. • Section 3.1: update this section to identify that the facility owner or operator is responsible for obtaining an Authority to Construct. • Section 3.2: update this section to remove reference to Rule 200.1 and Rule 208. • Section 3.4: update this section to remove reference to Rule 200.2. • Section 4.1: add this section to clearly identify which permit conditions are federally enforceable and would be required to be included on a federal Operating (Title V) Permit. Rule 201 (Sources Not Requiring Permits) • Subsection 1.4.1: revise the Implementation Date to allow a grace period of six months for any operation newly subject to permitting requirements based upon the revisions proposed today. • Section 4.5: add this subsection to incorporate existing District policy on the permitting of Contaminated Soil Aeration projects. • Subsection 4.11.3.1, .2, & .3: revise these subsections to reverse the

### 8 order of the exemption. Identify that emergency usage is the basis of the exemption, then allow for limited usage for training and test purposes. • Subsection 4.18.3.2: revise this subsection to incorporate existing District policy and clearly exempt from permitting requirements the storage of liquid fertilizers. • Subsection 4.20.1: revise this subsection to incorporate existing District policy to permit adhesive operations, and clearly identify that the usage of aerosol cans counts towards the permitting threshold of 5 gallons per year. • Subsection 4.20.2: revise this subsection to incorporate an exemption for coatings and adhesives containing less than 20 grams VOC/liter. Rule 207 (Review of New or Modified Sources) • Subsection 1.3.3: add this subsection to eliminate the offsetting requirement for Emergency Internal Combustion Engines . • Subsections 1.3.4 - 1.3.8: renumbered due to the addition of new Subsection 1.3.3. • Section 2.10: revise definition to clarify the implementation requirements of Best Available Control Technology(BACT). These revisions formally modernize the application of BACT such that permitting stringency is benchmarked to the existing Federal and California Air Resources Board/California Air Pollution Control Officers’ Association BACT Clearinghouses. Rule 208 (Standards for Granting Permits to Operate) • Repeal this Rule, as its requirements have previously been incorporated into Part 6 of Rule 207. Affected Sources These proposed revisions would not impose new requirements on existing permitted sources. Fiscal Impact On Affected Sources No fiscal impact is expected on existing permitted sources from these proposed revisions.

Socioeconomic Effects The proposed regulatory action described herein would notsignificantly affect air quality or emissions limitations and therefore is exempt from Health and Safety Code (HSC) Section 40728.5, which requires that a socioeconomic analysis of the proposed action be performed. Alternative The proposed regulatory action described herein is exempt from California Health and Safety Code (HSC) Section 40727.2, which requires that a

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Analysis comparative alternative analysis of any new control standard be performed. District Implementation As part of the District’s standard implementation procedures, we would send a rule adoption announcement to interested parties. If requested, an informational workshop will be held at the District office following rule adoption to provide information and assistance to persons with additional questions. Fiscal Impact upon District District staff expects no significant fiscal impact upon the District from the proposed revisions to these rules. California Environmental Quality Act (CEQA) Status The proposed revisions to Rules 200, 201, and 208 are Categorically Exempt , and therefore not subject to the requirements of Public Resources Code Section 21000 et seq . The District prepared a Negative Declaration and an Initial Study for the revisions to Rule 207 which was distributed for public review. The review period was from October 13, 2000 through November 13, 2000. The District received no comments on the Negative Declaration and Initial Study. Comments Received None

### 11 APPENDIX A PROPOSED RULES Rule 200 (Permits Required) Rule 201 (Sources Not Requiring Permits) Rule 207 (Review of New or Modified Sources) Rule 208 (Standards for Granting Permits to Operate)MONTEREY BAY UNIFIED AIR POLLUTION CONTROL DISTRICT REGULATION II PERMITS

012587 12/13/2000 Proposed Rule 200 (Permits Required) 1 RULE 200. PERMITS REQUIRED (Adopted 1-19-70; Revised 1-29-73, 7-16-76, 7-18-79; Affirmed unmodified 2-23-83; Revised 12-21-83, 12-17-86 ; and Proposed for Revision 12/13/2000 .) CONTENTS PART 1 GENERAL ....................................................... 1 1.1 Purpose .......................................................... 1 1.2 Applicability ...................................................... 2 1.3 Exemptions ....................................................... 2 1.4 Effective Dates .................................................... 2 1.5 References ....................................................... 2 PART 2 DEFINITIONS ...................................................... 2 PART 3 REQUIREMENTS ................................................... 2 3.1 Authority to Construct .............................................. 2 3.2 Permit to Operate .................................................. 3 3.3 Review of Permits .................................................. 3 3.4 Post ingof Permit to Operate .......................................... 3 3.5 Alteration of Permit ................................................ 4 3.6 Control Equipment ................................................. 4 3.7 Violations Prohibited ................................................ 4 PART 4 ADMINISTRATIVE REQUIREMENTS .................................. 4 4.1 Federally Enforceable Permit Conditions ................................. 4

PART 1 GENERAL 1.1 Purpose The purpose of this Rule is to identify when District permits are required..MONTEREY BAY UNIFIED AIR POLLUTION CONTROL DISTRICT REGULATION II PERMITS

012587 12/13/2000 Proposed Rule 200 (Permits Required) 2 1.2 Applicability The provisions of this Rule shall apply to any person who builds, erects, alters, or replaces any article, machine, equipment or other contrivance which may cause the issuance of air contaminants or the use of which may eliminate or reduce or control the issuance of air contaminants. 1.3 Exemptions Exemptions to this Rule are contained in Rule 201 (Sources Not Requiring Permits). 1.4 Effective Dates This Rule, as most recently revised, is effective on December 13, 2000. 1.5 References The requirements of this Rule arise from the provisions of the California Clean Air Act and amendments (Health and Safety Code Sections 40910 et seq. ) and Health and Safety Code Section 42300. Referenced or related District Rules include: 101 (Definitions); and 201 (Sources Not Requiring Permits).

PART 2 DEFINITIONS Reserved.

PART 3 REQUIREMENTS 1 3.1 Authority to Construct Before any No person shall build s , erect s , alter s , or replace s any article, machine, equipment or other contrivance which may cause the issuance of air contaminants or the use of which may eliminate or reduce or control the issuance of air contaminants , suchMONTEREY BAY UNIFIED AIR POLLUTION CONTROL DISTRICT REGULATION II PERMITS

012587 12/13/2000 Proposed Rule 200 (Permits Required) 3 person shall obtain unless the facility owner or operator has obtaineda separate written aAuthority to c C onstruct for each permit unit from the Air Pollution Control Officer. An aAuthority to c C onstruct shall remain in effect until the p P ermit to o O perate the equipment for which the application was filed is granted or denied or the application is cancelled. An Authority to Construct allows for temporary operation, until the issuance of a Permit to Operate, to verify compliance. The temporary operation must be in accordance with all District Rules and Regulations and the conditions contained on the Authority to Construct. 2 3.2 Permit to Operate Except as allowed for in Section 3.1 above, B b efore any article, machine, equipment or other contrivance described in Rule 200.1 may be operated or used, a separate written permit shall be obtained from the Air Pollution Control Officer for each permit unit. No p P ermit to o O perate or use shall be granted either by the Air Pollution Control Officer, or the Hearing Board for any article, machine, equipment or contrivance described in Rule 200.1. until the information required is presented to the Air Pollution Control Officer and such article, machine, equipment or contrivance is altered, if necessary, and made to conform to the standards set forth in Rule 208 and elsewhere in these rRules and rR egulations. 3 3.3 Review of Permits The Air Pollution Control Officer may at any time require from an applicant for, or holder of, any Authority to Construct or Permit to Operate, such information, analyses, plans or specifications as will disclose the nature, extent, quantity or degree of air contaminants which are or may be discharged into the atmosphere. 4 3.4 Post ingof Permit to Operate A person who has been grantedunder Rule 200.2. a permit to operate any article, machine, equipment, or other contrivancedescribed in Rule 200.2. , shall firmly affix such Permit to Operate, an approved facsimile, or other approved identification bearing the permit number upon the article, machine, equipment or other contrivance in such manner as to be clearly visible and accessible. In the event that the article, machine, equipment, or other contrivance is so constructed or operated that the Permit to Operate cannot be so placed, the Permit to Operate shall be mounted so as to be clearly visible in anMONTEREY BAY UNIFIED AIR POLLUTION CONTROL DISTRICT REGULATION II PERMITS

012587 12/13/2000 Proposed Rule 200 (Permits Required) 4 accessible place within 25 feet of the article, machine, equipment, or other contrivance, or maintained readily available at all times on the operating premises. 5 3.5 Alteration of Permit A person shall not willfully deface, alter, forge, counterfeit, or falsify any permit issued under these rules and regulations. 6 3.6 Control Equipment Nothing in this rule shall be construed to authorize the Air Pollution Control Officer to require the use of machinery, devices, equipment of a particular type or design if the required emission standard may be consistently met by machinery, devices, equipment, product, or process change otherwise available. 7 3.7 Violations Prohibited No person shall violate, or fail to comply with, any term or condition of any Authority to Construct or Permit to Operate issued by the District. Any such noncompliance shall be a violation of these Rules and Regulations.

PART 4 ADMINISTRATIVE REQUIREMENTS 4.1 Federally Enforceable Permit Conditions Only those conditions included on an Authority to Construct or a Permit to Operate that are derived from federal requirements imposed by the federal Clean Air Act or USEPA regulations shall be federally enforceable. * * * * *

### 13 ATTACHMENT 2 PROPOSED RESOLUTION