ILLINOIS ENVIRONMENTAL PROTECTION AGENCY 

1021 NORTH GRAND AVENUE EAST, P.O. Box 19276, SPRINGFIELD, ILLINOIS 62794-9276 • (217)782-2829 

PAT QUINN, GOVERNOR LISA BONNETI, DIRECTOR 

217/782-3397 

217/782-9143 (TDD) 

January 09, 2014 

Susan Hedman, Regional Administrator 

Office ofthe Regional Administrator, R-19J 

U.S. Environmental Protection Agency, Region 5 

77 West Jackson Boulevard 

Chicago, Illinois 60604-3507 

CERTIFIED MAIL # 

RETURN RECEIPT REQUESTED 

Re: R2010-21: In the Matter of: 10-Year Federally Enforceable State Operating Permits 

(FESOP) Amendments to 35 Ill. Adm. Code Section 201.162(a) 

Dear Ms. Hedman: 

The Illinois Environmental Protection Agency (Illinois EPA), on behalf of the State of Illinois, 

hereby submits the enclosed amendments, as described below, to Illinois' State Implementation 

Plan (SIP) pursuant to Section 110 ofthe Clean Air Act (CAA) (42 U.S.C. § 7410). This 

submittal is the result of amendments to the Illinois Administrative Code allowing the Illinois 

EPA to grant Federally Enforceable State Operating Permits for up to 10 years, specifically 

Section 20 1.162( a). This amendment is applicable statewide. 

On April 20, 2010, the Illinois EPA filed a regulatory proposal entitled: In the Matter of: 10-

Year Federally Enforceable State Operating Pennits (FESOPs) Amendments to 35 Ill. Adm. 

Code Section 201.162(a) with the Office ofthe Clerk of the Pollution Control Board (Board). 

The Board docketed this proposed rulemaking as R2010-021, and issued a First Notice Opinion 

and Order on June 17, 2010. On July 2, 2010, a Notice of Proposed Amendments was published 

in the Illinois Register (34 Ill. Reg. 8508). The Board issued a Notice ofHearing on June 9, 

2010, and caused notices ofhearing to be published in various newspapers. Public hearings were 

held on July 8 and 21, 2010. No public comments were received. The Board issued its Final 

Opinion and Order on November 18, 2010. The adopted amendments were effective December 

1, 2010. Notice of the adopted amendments was published in the Illinois Register on December 

17, 2010, (34 Ill. Reg. 19575). The complete docket for the rulemaking is available on the 

Board's website at 

http://www.ipcb.state.il.us/coollextemal/CaseView.aspx?referer=results&case=l3865. The 

Illinois EPA then had a separate Notice of SIP Submittal published in the Illinois Register on 

June 14, 2013. One public comment was received on July 1, 2013. Copies of the public notice, 

comment and Illinois EPA's Response are attached. 

4302 ~l. Main St., Rockford, IL 61103 (815) 987-7760 

595 S. State, Elgin, IL 60123 (847) 608-31 31 

2125 S. First St., Champaign, IL 61820 (217) 278-5800 

2009 Mall St., Collinsville, IL 62234 (618) 346-51 20 

9511 Harrison St., Des Plaines, IL 60016 (847) 294-4000 

5407 N. University St., Arbor 1 13, Peoria, IL 61614 (309) 693-5462 

2309 W. Main St., Suite 116, Marion, IL 62959 (618) 993-7200 

100 W. Randolph, Suite 10-300, Chicago, IL 60601 (312) 814-6026 

PLEASE PRINT ON RECYCLED PAPER 
In order to assist with your review of this SIP submittal, one paper copy of the following 

documents is enclosed, including an electronic disk that contains exact duplicates of the paper 

copies: 

Attachment 1: Agency Rulemaking Proposal filed April20, 2010 

Attachment 2: Hearing Officer Order dated June 9, 2010 

Attachment 3: Proposed Rule, First Notice, Opinion and Order ofBoard by C.K. Zalewski, dated 

June 17, 2010 

Attachment 4: Notice of Proposed Rulemaking, Illinois Register publication, letter dated June 

24, 2010, pub. at 34 Ill. Reg. 8508, July 2, 2010 

Attachment 5: Pre-filed Testimony ofBob Bernoteit dated June 29, 2010 

Attachment 6: Record of Hearing held on July 8, 2010. This Record of Hearing references an 

Exhibit- the Agency's Proposal and the Pre-filed Testimony of Bob Bernoteit, 

exact duplicates ofwhich are contained in Attachments 1 and 5 

Attachment 7: Record ofHearing held on July 21, 2010 

Attachment 8: Proposed Rule, Second Notice, Opinion and Order of the Board by C.K. 

Zalewski, dated October 7, 2010 

Attachment 9: Joint Committee on Administrative Rules Certification ofNo Objection and 

Second Notice Changes, dated November 16, 2010 

Attachment 10: Final Adopted Rule, Opinion and Order ofthe Board by C.K. Zalewski, dated 

November 18, 2010 

Attachment 11: Notice of Adopted Amendments, Illinois Register, 34 Ill. Reg. 19575, December 

13, 2010 

Attachment 12: Notice ofSIP Submittal, Illinois Register, 37 Ill. Reg. 8049, June 14, 2013 

Attachment 13: Public Comment directed to Dean Studer, Hearing Officer, Illinois EPA, from 

Keith Harley, Chicago Legal Clinic, dated July 1, 2013 

Attachment 14: Illinois EPA's Response to Public Comment for SIP Submittal oflO-year 

FESOP Amendment 

This amendment to the State of Illinois' SIP will not interfere with any applicable requirement 

concerning attainment, reasonable further progress, or any other applicable CAA requirement. 

Therefore, approval ofthis amendment will be consistent with Section 110(1) ofthe CAA (42 

U.S.C. § 7410(1)). 
By signing below, I certifY that applicable State requirements pertaining to public notice and 

hearings were followed, public hearings were held in accordance with the public notices, and the 

applicable requirements of 40 C.F.R. 51.102 were met. Also, by signing below, I certifY that the 

electronic disk enclosed herewith is an exact duplicate of the paper copies. 

If further information is required or should you have any questions, please feel free to contact 

Robert Bemoteit ofmy staff at 217/524-0865. 

::/~ ~~iett Director 

Attachments 
Bee: 

Bob Bemoteit - Letter 

Brenda Jones- Letter 

David Bloomberg- Letter and Attachments 

Rachel Doctors - Letter 

Shannon Bilbruck- Letter and Attachments 
Attachment 

1 
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BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

INTHEMATTEROF: ) 

) 

10-YR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS ) 

("FESOP"): AMENDMENTS TO ) 

35 ILL ADM. CODE PART 201.162 ) 

R10-

(Rulemaking- Air) 

NOTICE 

TO: 

Dorothy Gunn, Clerk 

lllinois Pollution Control Board 

State oflllinois Center 

100 West Randolph, Suite 11-500 

Chicago, lllinois 60601 

Virginia Yang 

Deputy Legal Counsel 

Illinois Dept. of Natural Resources 

524 South Second Street 

Springfield, Illinois 62701-1787 

Matthew Dunn, Chief 

Attorney General's Office 

James R. Thompson Center 

100 West Randolph, 12th Floor 

Chicago, Illinois 60601 

PLEASE TAKE NOTICE that I have today filed with the Office of the Pollution 

Control Board the REGULATORY PROPOSAL FOR 10-YR FEDERALLY 

ENFORCEABLE STATE OPERATING PERMITS ("FESOP") ofthe lllinois 

Environmental Protection Agency a copy of which is herewith served upon you. 

DATED: April 20, 2010 

P.O. Box 19276 

Springfield, Illinois 62794-9276 

217/782-5544 

ILLINOIS ENVIRONMENTAL 

PROTECTION AGENCY 

By: /s/ 

Rachel L. Doctors 

Assistant Counsel 

Division ofLegal Counsel 
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* * * * * R201 0-021 * * * * * 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: ) 

) 

10-YR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS ) 

("FESOP"): AMENDMENTS TO ) 

35 ILL ADM. CODE PART 201.162 ) 

R10-

(Rulemaking- Air) 

TABLE OF CONTENTS OF REGULATORY SUBMITTAL 

Fallowing is a Table of Contents of all pleadings and documents included with the 

proposed regulatory action: 

1. Notice ofProposal 

2. Appearance of Rachel L. Doctors, Assistant Counsel, for the lllinois 

Environmental Protection Agency 

3. Director Douglas Scott's Proposal of Amendments 

4. Economic and Budgetary Analysis 

6. Statement of Reasons 

A. Attachment "A"- Sic Codes 

B. Attachment "B" -Outreach 

C. USEPA's "Approval and Promulgation of Air Quality Implementation 

Plans: Indiana; Extended Permit Termis for Renewal of Federally 

Enforceable State Operating Permits, 74 Fed. Reg. 20599, May 5, 2009. 

7. First Notice 

8. Proposed Amendments to 35 lll. Adm. Code Section 201.162 

9. Documents Relied On 

*a. lllinois Environmental Protection Act (415 ILCS 5/et. seq.) 

*b. USEPA's "Approval and Promulgation of Implementation Plans; 

lllinois," Final Rule, 57 Fed. Reg. 59928, December 17, 1992. 

10. Certificate of Service 

*Copies of documents with an asterisk beside the letter have not been provided. 
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* * * * * R2010-021 * * * * * 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: ) 

) 

10-YRFEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS ) 

("FESOP"): AMENDMENTS TO ) 

35 ILL ADM. CODE PART 201.162 ) 

R10-

(Rulemaking- Air) 

APPEARANCE 

The undersigned, as one of its attorneys, hereby enters an Appearance on behalf 

of the illinois Environmental Protection Agency. 

DATED: April 20, 2010 

P.O. Box 19276 

Springfield, illinois 62794-9276 

217/782-5544 

ILLINOIS ENVIRONMENTAL 

PROTECTION AGENCY 

By: /s/ 

Rachel L. Doctors 

Assistant Counsel 

Division ofLegal Counsel 
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* * * * * R2010-021 * * * * * 

Agency: 

Part/Title: 

Agency Analysis of Economic and 

Budgetary Effects of Proposed Rulemaking 

Illinois Pollution Control Board 

Permits and General Provisions (35 Ill. Adm. Code Part 201) 

Illinois Register Citation: _____________ _ 

Please attempt to provide as dollar-specific responses as possible and feel free to add any relevant 

explanation. 

1. Anticipated effect on State expenditures and revenues. 

(a) Current cost to tl1e agency for tlus program/activity. $ 480,000 per year 

(approximately, 4 FTE's@ $120,000 salary plus benefits) 

(b) If this rulemaking will result in an increase or decrease in cost, specify the fiscal 

year in which this change will first occur and the dollar amount of the effect. 

Decrease bv approximatelv 25% (sources will still seek revisions to their 

FESOPs and Green House Gas regulation will increase the number of FESOP 

sources). 

(c) Indicate the funding source, including Fund and appropriation lines, for this 

program/activity. 

Clean Air Act Permit Program (CAAPP) and the Permit and Inspection Fund. 

(d) If an increase or decrease in the costs of another State agency is anticipated, 

specify the fiscal year in which this change will first occur and the estimated 

dollar amount of the effect. 

Department of Commerce and Economic Opportunity (DCEO). There will be 

negligible cost savings, if any. 

(e) Will this rule making have any effect on State revenues or expenditures not 

already indicated above? No. 

2. Economic effect on persons affected by the rulemaking: 

(a) Indicate the economic effect and specify the persons affected: 

Positive _K_ Negative __ No effect __ 

Persons affected: Broad range of industrial sectors, mostly small and medium 

sized companies. 
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Dollar amount per person: $200 (estimated cost to fill out FESOP renewal 

application form 

Total statewide cost: $16.000 per vear (800 FESOP sources x $200 x 1 

Pennit Renewal/1 0 year) 

(b) If an economic effect is predicted, please briefly describe how the effect will 

occur. 

Less cost to business and fewer delays to obtain FESOPs and construction 

permits for sources with a FESOP. 

(c) Will the rulemaking have an indirect effect that may result in increased 

administrative costs? Will there be any change in requirements such as 

filing, documentation, reporting or completion of forms? 

The rulemaking mav result in a decrease in administrative costs. 
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* * * * * R2010-021 * * * * * 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: ) 

) 

10-YRFEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS ) 

("FESOP"): AMENDMENTS TO ) 

35 ILL ADM. CODE SECTION 201.162 ) 

R10-

(Rulemaking- Air) 

STATEMENT OF REASONS 

The lllinois Environmental Protection Agency ("lllinois EPA" or "Agency") 

hereby submits this Statement of Reasons to the illinois Pollution Control Board 

("Board") pursuant to Sections 10, 27, 28, and 39 of the Environmental Protection Act 

("Act") (415 ILCS 5/10,27, 28, and 39) and 35 lll. Adm. Code 102.202(b)) in support of 

the attached proposed amendments. Included in this proposal are amendments to 35 lll. 

Adm. Code Section 201.162. This proposal amends the most recent version of35 ill. 

Adm. Code Part 201, as found on the Board's website. 

I. ILLINOIS ENVIRONMENTAL PROTECTION AGENCY'S PROPOSAL 

a. Background- Federally Enforceable State Operating Permits 

On December 17, 1992, the United States Environmental Protection Agency 

("USEPA") approved the provisions of the lllinois EPA's Federally Enforceable State 

Operating Permit ("FESOP") program. USEP A stated that lllinois EPA's FE SOP 

program met all five criteria for approving a state operating permit program as part of a 

State Implementation Plan ("SIP"). Specifically, the lllinois EPA must submit its permit 

program to USEPA for approval; terms of the permit and its renewal must be legally 

enforceable; the terms and conditions of the permit must be at least as stringent as any 
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* * * * * R2010-021 * * * * * 

other applicable limitation or requirement contained in the SIP or enforceable by the SIP 

or waive any requirements that are federally enforceable (e.g., standards established 

under section Ill or 112 of the Clean Air Act ("CAA'')); the limitations, controls and 

requirements in the permit must be permanent, quantifiable and otherwise enforceable as 

a practical matter; and the permits must be issued pursuant to public participation. I d. 

USEP A restated its approval of the lllinois EPA's FESOP program when it 

approved the Clean Air Act Permit Program ("CAAPP") pursuant to Section 39.5 of the 

Act. Subsection 3.3(c) of Section 39.5 of the Act, gives the lllinois EPA the authority to 

issue FESOPs for the purposes of limiting a sources potential to emit pursuant to the 

lllinois EPA's general authority to issue state permits under Section 39(a) of the Act. 

The Board adopted regulations for implementation of issuing state air pollution 

control permits in 35lll. Adm. Code 201. Section 201.162 specifies the duration that 

permits can be issued as either subject to Section 201.169 (perpetual permits) or five 

years. This proposal seeks to extend the term of State operating permits from five to ten 

years. This proposal does not change the term of perpetual permits issued pursuant to 

Section 201.169 or CAAPP permits issued pursuant to Section 39.5 of the Act. 

b. This Proposal 

This proposal extends the maximum term that a FESOP may be issued from five 

to ten years. Currently, State operating permits, except for smaller source permits, may 

only be issued for five years or less. Under the proposal, the term that a FESOP could be 

issued would be extended from five to ten years at the discretion of the lllinois EPA. The 

lllinois EPA retains the discretion that it currently has under Section 201.162 to issue 

permits for a term that is shorter than the maximum. The term for CAAPP permits issued 
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*****R2010-021 ***** 

pursuant to Section 39.5 of the Act, except for sources exempted from CAAPP pursuant 

to subsection 1.1 of Section 39.5 of the Act, would remain five years as required by 

statute. 415 ILCS 5/39.5(1.1). Owners or operators of sources not subject to CAAPP or 

requiring a FESOP would remain subject to the requirements of Section 201.169, which 

grants permits indefinitely. That Section requires that State permits only be renewed at 

the request of the illinois EPA or if the circumstances underlying the permit change. 

Two other states have adopted or are in the process of adopting rules extending 

the term ofFESOPs from five to 10 years. The State of Indiana received final approval 

of their rule on October 6, 2009. 74 Fed.Reg. 51240. (Art. "A") 

c. Implementation 

The illinois EPA has averaged 61 new FESOP applications each year since the 

year 2000 and 66 FESOP renewal applications each year over the last ten years. When 

these applications come in and are reviewed, at the discretion of the illinois EPA, the 

permits will be granted for a term of 10 years. The illinois EPA may choose to issue a 

FESOP for a term shorter than ten years. FESOPs that are issued for a term shorter than 

ten years include situations in which the source may have been out of compliance with 

the applicable requirements prior to issuance of the FESOP and need to perform 

additional performance testing to demonstrate or confirm compliance with the applicable 

requirements. 

It is important to note that granting FESOPs for a longer term will not affect the 

implementation of air pollution control programs or enforcement of air quality standards 

in the State of illinois. Sources must comply with all applicable requirements of the 

Board's rules or the Act, regardless of the length of a FESOP' s term or the timing of its 
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Issuance. FESOPs generally contain limits on the operations ofthe source, e.g., materials 

used and hours or operation, which effectively restrict the source's potential to emit. The 

lllinois EPA's program requires the permits to undergo public notice and be subject to 

public comments. A FESOP does not impact any previously or newly applicable 

substantive requirements of the Act, the Board's rules or the Clean Air Act ("CAA"), 

such as a new maximum achievable control technology standard under Section 112 ofthe 

CAA. Such requirements remain independently enforceable. Similarly, owners and 

operators of FESOPs will still need to meet all applicable requirements under the Act, 

including those related to new construction. Therefore, an extension of the term for an 

initial or a renewal of a FESOP from five to ten years does not delay an owner or 

operator's obligation to comply with all applicable requirements. 

II. GEOGRAPHIC REGIONS AND SOURCES AFFECTED 

The entire State of lllinois will be affected, as no single region contains all 

FESOP sources. The proposed regulations will affect all of the approximately 800 

sources in lllinois that have either applied for or have obtained a FESOP. The industrial 

sectors in which these sources are categorized are on Att." B." 

III. PURPOSE AND EFFECT OF THE PROPOSAL 

The purpose of this proposal is to extend the maximum term that a FE SOP may 

be issued from five to ten years. Currently, State operating permits, except for smaller 

source permits, may only be issued for five years or less. Under the proposal, the permit 

term would be extended up to ten years at the discretion of the lllinois EPA. The term for 

CAAPP permits issued pursuant to Section 39.5 of the Act, except for sources exempted 

from CAAPP pursuant to subsection 1.1 of Section 39.5 of the Act would remain 5 years 
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* * * * * R2010-021 * * * * * 

as required by statute. 415 ILCS 5/39.5(1.1). 

This proposal will have a positive economic impact on affected sources by 

reducing time spent on permit renewal applications. This proposal will also reduce the 

costs to the lllinois EPA associated with the time and effect required for processing these 

permit renewal applications. While sources with FESOP permits represent only a small 

amount of emissions in lllinois, they require a large proportion of the lllinois EPA's 

permitting resources. The reduced frequency of these renewals will provide a significant 

time savings for the lllinois EPA. Within five years of adoption of this proposal, it would 

be anticipated that the workload ofFESOP renewals would decrease by approximately 

ten percent. 

IV. TECHNICAL FEASIBILITY AND ECONOMIC REASONABLENESS 

As discussed above, the proposal imposes no new regulatory requirements on 

affected sources. The amendments to Section 201.162 merely extend the duration of 

FESOPs. The amendments are expected to reduce administrative costs of the permitting 

process for both the affected sources and the lllinois EPA. As this proposal imposes no 

new requirements or costs on affected sources, the proposal is both technically and 

economically feasible. 

V. COMMUNICATION WITH INTERESTED PARTIES 

These amendments are being proposed after representatives of industry and 

environmental groups have had an opportunity to review the proposed changes and 

provide comments to the lllinois EPA. The lllinois EPA sent electronic mails to the 

affected owners and operators on January 22, 2010, as well as posting a notice on its 

website. The lllinois EPA received three oral comments. (Att. "C") Two comments 
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* * * * * R2010-021 * * * * * 

were in favor and one comment had a concern. Therefore, it is the Illinois EPA's 

understanding that there are no specific issues identified by interested parties and that this 

rulemaking is not highly controversial. 

VI. SYNOPSIS OF TESTIMONY 

Currently, the Illinois EPA plans to call Robert Bernoteit, Unit Manager of the 

FESOP Unit of the Permit Section of the Bureau of Air. Mr. Bernoteit will testify about 

the amendments to the rules and will assist in answering questions. Written testimony 

will be submitted prior to hearing in accordance with the Board's procedural rules. 

VII. PUBLISHED STUDY OR RESEARCH REPORT 

No published study or research report was used in developing the proposed 

amendments to 35 Til. Adm. Code Section 201.162. 

Vlll. THE ILLINOIS EPA'S PROPOSAL 

Section 201.162 Duration 

lllinois EPA is proposing to is to extend the maximum term that a FESOP may be 

issued from five to ten years. 

IX. CONCLUSION 

For the reasons stated above, the Illinois EPA hereby submits this regulatory 

proposal and respectfully requests that the Board expeditiously adopts these rules for the 

State of lllinois. 
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DATED: April 20, 2010 

1021 North Grand Ave. East 

P.O. Box 19276 

Springfield, IL 62794-9276 

Respectfully submitted, 

ILLINOIS ENVIRONMENTAL 

PROTECTION AGENCY 

By: /s/ 

Rachel L. Doctors 

Assistant Counsel 

Division of Legal Counsel 
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Attachment "B": 

Major SIC Number of 

Group Description Sources 

01 Agricultural Production Crops "' .) 

07 Agricultural Services 5 

10 Metal Mining 1 

12 Coal Mining 1 

13 Oil And Gas Extraction 1 

14 Mining And Quarrying Of Nonmetallic Minerals, Except Fuels 6 

16 Heavy Construction Other Than Building Construction Contractors 1 

17 Construction Special Trade Contractors 2 

20 Food And Kindred Products 34 

21 Tobacco Products 1 

22 Textile Mill Products 1 

23 Apparel And Other Finished Products Made From Fabrics And 

Similar Materials 5 

24 Lumber And Wood Products, Except Furniture 15 

25 Furniture and Fixtures 9 

26 Paper and Allied Products 43 

27 Printing, Publishing, And Allied Industries 53 ' 28 Chemicals And Allied Products 78 

29 Petroleum Refining And Related Industries 99 

30 Rubber And Miscellaneous Plastics Products 37 

32 Stone, Clay, Glass, And Concrete Products 20 

"'"' .).) Primary Metal Industries 29 

34 Fabricated Metal Products, Except Machinery And Transportation 

Equipment 65 

35 Industrial And Commercial Machinery And Computer Equipment 30 

36 Electronic And Other Electrical Equipment And Components, 

Except Computer Equipment 13 

37 Transportation Equipment 14 

38 Measuring, Analyzing, And Controlling Instruments; Photographic, 

Medical And Optical Goods; Watches And Clocks 6 

39 Miscellaneous Manufacturing Industries 11 

40 Railroad Transportation 2 

42 Motor Freight Transportation And Warehousing 7 

44 Water Transportation 3 
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45 Transportation By Air 3 

46 Pipelines, Except Natural Gas 5 

47 Transportation Services 4 

48 Communications 17 

49 Electric, Gas, And Sanitary Services 36 

50 Wholesale Trade-durable Goods 12 

51 Wholesale Trade-non-durable Goods 25 

59 Miscellaneous Retail 1 

60 Depository Institutions 1 

63 Insurance Carriers 1 

65 Real Estate 1 

67 Holding And Other Investment Offices 1 

72 Personal Services 6 

73 Business Services 9 

76 Miscellaneous Repair Services 4 

80 Health Services 28 

82 Educational Services 8 

84 Museums, Art Galleries, And Botanical And Zoological Gardens 1 

87 Engineering, Accounting, Research, Management, And Related 

Services 2 

91 Executive, Legislative, And General Government, Except Finance 9 

92 Justice, Public Order, And Safety 2 

95 Administration Of Environmental Quality And Housing Programs 1 

96 Administration OfEconomic Programs 1 

97 National Security And International Affairs 1 

Unclassified 23 
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BEFORE THE ILLJNOIS POLLUTION CONTROL BOARD 

STATE OF ILLJNOIS 

COUNTYOFSANGAMON 

CERTIFICATE OF SERVICE 

) 

) 

) 

) 

ss 

I, the undersigned, an attorney, state that I have served electronically the attached 

REGULATORYPROPOSALFOR10-YRFEDERALLYENFORCEABLESTATE 

OPERATJNG PERMITS ("FESOP") of the illinois Environmental Protection Agency 

upon the following persons: 

Dorothy Gunn, Clerk 

illinois Pollution Control Board 

State of illinois Center 

100 West Randolph, Suite 11-500 

Chicago, illinois 60601 

Virginia Yang 

Deputy Legal Counsel 

illinois Dept. ofNatural Resources 

524 South Second Street 

Springfield, illinois 62701-1787 

Dated: April 20, 2010 

1021 North Grand Avenue East 

Springfield, illinois 62794-9276 

(217) 782-5544 

217.782.9143 (TDD) 

Matthew Dunn, Chief 

Attorney General's Office 

James R. Thompson Center 

100 West Randolph, 12th Floor 

Chicago, illinois 60601 

ILLJNOIS ENVIRONMENTAL 

PROTECTION AGENCY 

/s/ 

Rachel L. Doctors 

Assistant Counsel 

Air Regulatory Unit 

Division ofLegal Counsel 
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ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

1) Heading of the Part: Permits and General Provisions 

2) Code Citation: Amendments to 35 Ill. Adm. Code Part 201.162 

3) Section Numbers: 

201.162 

Proposed Action: 

Amend 

4) Statutory Authority: Implementing and authorized by Sections 10 and 27 of the Illinois 

Environmental Protection Act [415 ILCS 5/10 and 27]. 

5) A Complete Description of the Subjects and Issues Involved: This proposal will amend 

the Board's regulations that affect the permitting of synthetic minor sources and nonmajor sources. The proposal extends the duration of federally enforceable state operating 

permits (FESOPs) from 5 to 10 years unless the source is required to obtain a Clean Air 

Act Permit Program permit pursuant to Section 39.5 of the Illinois Environmental 

Protection Act ("Act") and not exempt pursuant to subsection 1.1 of Section 39.5 of the 

Act. 415 ILCS 5/39.5(1.1). 

6) Will this proposed amendment replace an emergency rule currently in effect? No 

7) Does this rulemaking contain an automatic repeal date? No 

8) Does this proposed amendment contain incorporations by reference? No 

9) Are there any other proposed amendments pending on this Part? No 

Section Numbers Proposed Action Illinois Register Citation 

10) Statement of Statewide Policy Objectives: These proposed amendments do not create or 

enlarge a state mandate as defined in Section 3(b) ofthe State Mandates Act. [30 ILCS 

805/3]. 

11) Time, Place, and Manner in which interested persons may comment on this proposed 

rulemaking: The Board will accept written public comments on this proposal for a 

period of forty-five (45) days after the date of publication in the Illinois Register. 

Comments should reference Docket RIO- and be addressed to: · 

Clerk's Office 

Illinois Pollution Control Board 

100 W. Randolph St., Suite 11-500 
L-IIOJvLI Vlllv I IIIII~ -I '\CvCIVCU, \JICI r'\;:) VlllvC, 1'"\f..JIII £.U, £.U I U 

* * * * * R2010-021 * * * * * 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

Chicago, IL 60601 

and 

Rachel L. Doctors 

illinois Environmental Protection Agency 

1021 North Grand Avenue East 

P.O. Box 19276 

Springfield, IL 62794-9276 

217-782-5544 

12) Initial Regulatory Flexibility Analysis: 

A) Types of small businesses, small municipalities and not for profit corporations 

affected: Any small businesses, small municipalities, or not-for-profit 

corporations that are required or decide to obtain a FESOP or synthetic minor 

operating permit could be affected by the proposed amendments. 

B) Reporting, bookkeeping or other procedures required for compliance: None 

C) Types of Professional skills necessary for compliance: None 

13) This rulemaking was included on the most recent regulatory agenda: 34 Ill. Reg. 358, 

January 4, 2010. 

14) Does this amendment require the review of the Procurement Policy Board as specified in 

Section 5-25 of the Illinois Procurement Code? [30 ILCS 500/5-25] No 

The full text of the Proposed Amendment(s) begins on the next page: 
Section 

201.101 

201.102 

201.103 

201.104 

Section 

201.121 

201.122 

201.123 

201.124 

201.125 

201.126 

Section 

201.141 

201.142 

201.143 

201.144 

201.146 

201.147 

201.148 

201.149 

201.150 

201.151 

I::ICvliUIIII., 111111\::1- ~CI.JCIVCU, \JICII'\;::, VIIII.JC, 1"'\fJIII ,c.,u, ,C.,U IU 

* * * * * R2010-021 * * * * * 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

TITLE 3 5: ENVIRONMENTAL PROTECTION 

SUBTITLE B: AIR POLLUTION 

CHAPTER I: POLLUTION CONTROL BOARD 

SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS 

PART 201 

PERMITS AND GENERAL PROVISIONS 

Other Definitions 

Definitions 

SUBPART A: DEFINITIONS 

Abbreviations and Units 

Incorporations by Reference 

SUBPART B: GENERAL PROVISIONS 

Existence of Permit No Defense 

Proof of Emissions 

Burden of Persuasion Regarding Exceptions 

Annual Report 

Severability 

Repealer 

SUBPART C: PROHIBITIONS 

Prohibition of Air Pollution 

Construction Permit Required 

Operating Permits for New Sources 

Operating Permits for Existing Sources 

Exemptions from State Permit Requirements 

Former Permits 

Operation Without Compliance Program and Project Completion Schedule 

Operation During Malfunction, Breakdown or Startups 

Circumvention 

Design of Effluent Exhaust Systems 
Section 

201.152 

201.153 

201.154 

201.155 

201.156 

201.157 

201.158 

201.159 

201.160 

201.161 

201.162 

201.163 

201.164 

201.165 

201.166 

201.167 

201.168 

201.169 

201.170 

* * * * * R201 0-021 * * * * * 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Contents of Application for Construction Permit 

Incomplete Applications (Repealed) 

Signatures (Repealed) 

Standards for Issuance (Repealed) 

Conditions 

Contents of Application for Operating Permit 

Incomplete Applications 

Signatures 

Standards for Issuance 

Conditions 

Duration 

Joint Construction and Operating Permits 

Design Criteria 

Hearings 

Revocation 

Revisions to Permits 

Appeals from Conditions 

Special Provisions for Certain Operating Permits 

Portable Emission Units 

SUBPART E: SPECIAL PROVISIONS FOR OPERATING PERMITS FOR CERTAIN 

SMALLER SOURCES 

Section 

201.180 

201.181 

201.187 

Section 

201.207 

201.208 

201.209 

201.210 

201.211 

201.212 

Applicability (Repealed) 

Expiration and Renewal (Repealed) 

Requirement for a Revised Permit (Repealed) 

SUBPART F: CAAPP PERMITS 

Applicability 

Supplemental Information 

Emissions of Hazardous Air Pollutants 

Categories of Insignificant Activities or Emission Levels 

Application for Classification as an Insignificant Activity 

Revisions to Lists of Insignificant Activities or Emission Levels 
I::ICvliUIIIv 111111!:::1- 1\.CvCIVCU, \..IICII\.;:) VlllvC, 1"'\fJIII £.U, £.U IU 

* * * * * R2010-021 * * * * * 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

SUBPART G: EXPERIMENTAL PERMITS 

(Reserved) 

SUBPART H: COMPLIANCE PROGRAMS AND PROJECT COMPLETION SCHEDULES 

Section 

201.241 

201.242 

201.243 

201.244 

201.245 

201.246 

201.247 

Section 

201.261 

201.262 

201.263 

201.264 

201.265 

Section 

201.281 

201.282 

201.283 

Section 

201.301 

201.302 

Contents of Compliance Program 

Contents of Project Completion Schedule 

Standards for Approval 

Revisions 

Effects of Approval 

Records and Reports 

Submission and Approval Dates 

SUBPART I: MALFUNCTIONS, BREAKDOWNS OR STARTUPS 

Contents of Request for Permission to Operate During a Malfunction, Breakdown 

or Startup 

Standards for Granting Permission to Operate During a Malfunction, Breakdown 

or Startup 

Records and Reports 

Continued Operation or Startup Prior to Granting of Operating Permit 

Effect of Granting of Permission to Operate During a Malfunction, Breakdown or 

Startup 

SUBPART J: MONITORING AND TESTING 

Permit Monitoring Equipment Requirements 

Testing 

Records and Reports 

Records 

Reports 

SUBPART K: RECORDS AND REPORTS 
Section 

201.401 

201.402 

201.403 

201.404 

201.405 

201.406 

201.407 

201.408 

"-'"""""'"'Ill"' I IIIII~ I '""-'"-'""-'IY'\J'-'4, ...._,1'\JII''to.J ..._,111\J"' I 'tJIII J;..V 7 /;..\J 1\J 

* * * * * R2010-021 * * * * * 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

SUBPART L: CONTINUOUS MONITORING 

Continuous Monitoring Requirements 

Alternative Monitoring 

Exempt Sources 

Monitoring System Malfunction 

Excess Emission Reporting 

Data Reduction 

Retention oflnformation 

Compliance Schedules 

201.APPENDIX A Rule into Section Table 

201.APPENDIX B Section into Rule Table 

201.APPENDIX C Past Compliance Dates 

AUTHORITY: Implementing Sections 10, 39, and 39.5 and authorized by Section 27 ofthe 

Environmental Protection Act [415 ILCS 5/10,27, 39, and 39.5]. 

SOURCE: Adopted as Chapter 2: Air Pollution, Part I: General Provisions, in R71-23, 4 PCB 

191, filed and effective April 14, 1972; amended in R78-3 and 4, 35 PCB 75 and 243, at 3 TIL 

Reg. 30, p. 124, effective July 28, 1979; amended in R80-5, at 7lll. Reg. 1244, effective January 

21, 1983; codified at 7lll. Reg. 13579; amended in R82-1 (Docket A) at 10 TIL Reg. 12628, 

effective July 7, 1986; amended in R87-38 at 13 Til. Reg. 2066, effective February 3, 1989; 

amended in R89-7(A) at 13 Til. Reg. 19444, effective December 5, 1989; amended in R89-7(B) 

at 15 TIL Reg. 17710, effective November 26, 1991; amended in R93-11 at 17lll. Reg. 21483, 

effective December 7, 1993; amended in R94-12 at 18 Til. Reg. 15002, effective September 21, 

1994; amended in R94-14 at 18 Til. Reg. 15760, effective October 17, 1994; amended in R96-17 

at 21 Til. Reg. 7878, effective June 17, 1997; amended in R98-13 at 22 Til. Reg. 11451, effective 

June 23, 1998; amended in R98-28 at 22 TIL Reg. 11823, effective July 31, 1998; amended in 

R02-10 at 27 Til. Reg. 5820, effective March 21, 2003; amended in R05-19 and R05-20 at 30 Til. 

Reg. 4901, effective March 3, 2006; amended in R07-19 at 33 Til. Reg. 11965, effective August 

6, 2009; amended in R1 0-_ at_ TIL 

Reg. , effective _____ _ 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Section 201.162 Duration 

ru No operating permit shall be valid longer than ten ffle-years or such shorter 
L-.ll::::aAIUIIIv I IIIII~- 1'-IJviJIVIJU, \JIIJir..;::) ~lllv~J, 1"'"\fJIII .c..u, L.U IV 

* * * * * R2010-021 * * * * * 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENTS 

period as the Agency may specify in the operating permit as necessary to 

accomplish the purposes of the Act and this Chapter,. unless the source is subject 

to: 

D. Section 201.169 of this Subpart,;_or 

2) Section 39.5 of the Act, except for sources exempt pursuant to subsection 

1.1 of Section 39.5. 

hl Applications for renewal of an operating permit shall be submitted to the Agency 

at least 90 days prior to the expiration of the prior permit, and shall conform to 

Sections 201.157,201.158 and 201.159. The standards for issuance ofrenewal of 

operating permits shall be as set forth in Section 201.160. 

(Source: Amended at _ill. Reg. ___ , effective _________ ) 
* * * * * R2 0 1 0-021 * * * * * 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: ) 

) 

10-YR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS ) 

("FESOP"): AMENDMENTS TO ) 

35 ILL ADM. CODE PART 201.162 ) 

R10-

(Rulemaking - Air) 

ILLINOIS ENVIRONMENTAL PROTECTION AGENCY 

PROPOSAL OF REGULATIONS 

The Illinois Environmental Protection Agency moves that the Illinois Pollution 

Control Board adopt the attached regulations. 

DATED: April 6, 2010 

Respectfully submitted, 

ILLINOIS ENVIROl\;TMENTAL 

PROTECTION AGENCY 

Byw~ Dougla . Scot 

Director 
Doctors, Rachel 

From: 

Sent: 

To: 

Subject: 

I::.ICvll Ulllv I-IIIII~ - r'\,CvCIVCU 7 \JICII'\;:, Vlllvt::, 1"\jJIII £.U 7 £.U I U 

* * * * * R201 0-021 * * * * * 

Kaleel, Rob 

Friday, January 22, 2010 11 :42 AM 

'iaap@hansoninfosys.com'; 'jeffa@gfai.org'; 'Brian Urbaszewski'; 'Kathy Andria'; '!ERG Staff'; 

'OK Hirner'; 'Mark Biel'; Fulgenzi, Annette; Owen, Verena 

Draft Revisions to Part 201 to Extend Permit Terms for FESOPs 

The Illinois Environmental Protection Agency (IEPA) will be proposing rule revisions to 35 

Administrative Code Part 201to extend the FESOP permit renewal term from five years to ten 

years. The IEPA has determined that extending the term to ten years will provide significant 

time and cost savings to the IEPA and affect~d sources by reducing the frequency of permit 

application submittals and processing. A draft of this proposal is now available on IEPA's web 

site. The IEPA is accepting comments regarding the rule revisions prior to their filing with the 

Illinois Pollution Control Board. Please submit your comments to epa.fesopcomments@i!linois.gov. 
..._1"-'"'"1 '-'1 II"' I II II I~ 1 '"-' "'"-' 1 y "-' "-'41 ' ..._, 1"-' 1 1' ._, '-" I I I'-'"-'' I ',...,I I I /;... V ' '- V I V 

* * * * * R2010-021 * * * * * 

Federal Register I Vol. 74, No. 85 I Tuesday, May 5, 2009 I Proposed Rules 20665 

B. Environmental Impact 

The agency has determined under 21 

CFR 25.31(h) that this action is of a type 

that does not individually or 

cumulatively have a significant adverse 

effect on the human environment. 

Therefore, neither an environmental 

assessment nor an environmental 

impact statement is required. 

C. Federalism 

FDA has analyzed this proposed rule 

in accordance with the principles set 

forth in Executive Order 13132. FDA 

has determined that the proposed rule 

does not contain policies that have 

substantial direct effects on the States, 

on the relationship between the 

National Government and the States, or 

on the distribution of power and 

responsibilities among the various 

levels of government. Accordingly, the 

agency has concluded that the proposed 

rule does not contain policies that have 

federalism implications as defined in 

the Executive order and, consequently, 

a federalism summary impact statement 

is not required. 

VI. Paperwork Reduction Act of1995 

This proposed rule contains no 

collections of information. Therefore, 

clearance by the Office of Management 

and Budget under the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3501-

3520) is not required. 

VII. Request for Comments 

Interested persons may submit to the 

Division of Dockets Management (see 

ADDRESSES) written or electronic 

comments regarding this document. 

Submit a single copy of electronic 

comments or two paper copies of any 

mailed comments, except that 

individuals may submit one paper copy. 

Comments are to be identified with the 

docket number found in brackets in the 

heading of this document. Received 

comments may be seen in the Division 

of Dockets Management between 9 a.m. 

and 4 p.m., Monday through Friday. 

List of Subjects in 21 CFR Part 601 

Administrative practice and 

procedure, Biologics, Confidential 

business information. 

Therefore, under the Federal Food, 

Drug, and Cosmetic Act and the Publi.c 

Health Service Act, and under authonty 

delegated to the Commissioner of Food 

and Drugs, 21 CFR part 601 is amended 

as follows: 

PART 601-LICENSING 

1. The authority citation for 21 CFR 

part 601 continues to read as follows: 

Authority: 15 U.S.C. 1451-1561; 21 U.S.C. 

321,351, 352,353,355,356b, 360, 360c360L360h-360j,371,374,379e, 381;42 

U.S.C. 216, 241, 262, 263, 264; sec 122, Pub. 

L. 105-115,111 Stat. 2322 (21 U.S.C. 355 

note). 

2. Revise§ 601.8 to read as follows: 

§ 601.8 Publication of revocation. 

The Commissioner, following 

revocation of a biologics license under 

21 CFR 601.5(b), will publish a notice 

in the Federal Register with a statement 

of the specific grounds for the 

revocation. 

Dated: March 25, 2009. 

Jeffrey Shuren, 

Associate Commissioner for Policy and 

Planning. 

[FR Doc. E9-10243 Filed 5-4-09; 8:45am] 

BILLING CODE 4160-01-5 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 52 

[EPA-ROS-OAR-2008-0031; FRL-8899-4] 

Approval and Promulgation of Air 

Quality Implementation Plans; Indiana; 

Extended Permit Terms for Renewal of 

Federally Enforceable State Operating 

Permits 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Proposed rule. 

SUMMARY: EPA is proposing to approve 

Indiana's rule revision to extend permit 

terms for the renewal of Federally 

Enforceable State Operating Permits 

(FESOPs) from five years to ten years. 

Indiana submitted this rule revision for 

approval on December 19, 2007. 

FESOPs apply to non-major sources that 

obtain enforceable limits to avoid being 

subject to certain Clean Air Act (Act) 

requirements, including the Title V 

operating permit program. Neith~r the 

Act nor its implementing regulatiOns 

specify a permit-term requirement for 

FESOPs. This rule revision will provide 

relief to Indiana's resource burden of 

processing permit renewals. It will also 

allow the Indiana Department of 

Environmental Management to devote 

more resources to major source Title V 

permitting actions and permit 

modifications for both Title V and 

FESOP sources. 

DATES: Comments must be received on 

or before June 4, 2009. 

ADDRESSES: Submit your comments, 

identified by Docket ID No. EPA-R05-

0AR-2008-0031, by one of the 

following methods: 

1. http:/ !www.regulations.gov: Follow 

the on-line instructions for submitting 

comments. 

2. E-mail: blakley.pamela@epa.gov. 

3. Fax: (312) 692-2450. 

4. Mail: Pamela Blakley, Chief, Air 

Permits Section, Air Programs Branch 

(AR-18J), U.S. Environmental 

Protection Agency, 77 West Jackson 

Boulevard, Chicago, Illinois 60604. 

5. Hand Delivery: Pamela Blakley, 

Chief, Air Permits Section, Air Programs 

Branch (AR-18J), U.S. Environmental 

Protection Agency, 77 West Jackson 

Boulevard, Chicago, Illinois 60604. 

Such deliveries are only accepted 

during the Regional Office normal hours 

of operation, and special arrangements 

should be made for deliveries of boxed 

information. The Regional Office official 

hours of business are Monday through 

Friday, 8:30 a.m. to 4:30p.m. excluding 

Federal holidays. 

Please see the direct final rule which is 

located in the Rules section of this 

Federal Register for detailed 

instructions on how to submit 

comments. 

FOR FURTHER INFORMATION CONTACT: Sam 

Portanova, Environmental Engineer, Air 

Permits Section, Air Programs Branch 

(AR-18J), Environmental Protection 

Agency, Region 5, 77 West Jackson 

Boulevard, Chicago, Illinois 60604, 

(312) 886-3189, 

portanova.sam@epa.gov. 

SUPPLEMENTARY INFORMATION: In the 

Final Rules section of this Federal 

Register, EPA is approving Indiana's 

state implementation plan submittal as 

a direct final rule without prior proposal 

because the Agency views this as a 

noncontroversial submittal and 

anticipates no adverse comments. A 

detailed rationale for the approval is set 

forth in the direct final rule. If no 

adverse comments are received in 

response to this rule, no further activity 

is contemplated. If EPA receives adverse 

comments, the direct final rule will be 

withdrawn and all public comments 

received will be addressed in a 

subsequent final rule based on this 

proposed rule. EPA will not institute a 

second comment period. Any parties 

interested in commenting on this action 

should do so at this time. Please note 

that if EPA receives adverse comment 

on an amendment, paragraph, or section 

of this rule and if that provision may be 

severed from the remainder of the rule, 

EPA may adopt as final those provisions 

of the rule that are not the subject of an 

adverse comment. For additional 

information, see the direct final rule 

which is located in the Rules section of 

this Federal Register. 
L..ICvLIVIIIv I llllll::f- I"\.CvCIVCU 7 VICir"\.i:l \JIIIvC7 /""\jJIII &...V 7 &...V IV 

* * * * * R2010-021 * * * * * 

20666 Federal Register/Val. 74, No. 85/Tuesday, May 5, 2009/Proposed Rules 

Dated: April 20, 2009. 

Walter W. Kovalick, Jr., 

Acting Regional Administrator, Region 5. 

[FR Doc. E9-10334 Filed 5-4-09; 8:45am] 

BILLING CODE 6560-50-P 

DEPARTMENT OF DEFENSE 

GENERAL SERVICES 

ADMINISTRATION 

NAT~NALAERONAUTICSAND 

SPACE ADMINISTRATION 

48 CFR Part 52 

[FAR Case 2008-015; Docket 2009-0015; 

Sequence 1] 

RIN: 9000-AL26 

Federal Acquisition Regulation; FAR 

Case 2008-015, Payments Under 

Fixed-Price Architecture and 

Engineering Contracts 

AGENCIES: Department of Defense (DoD), 

General Services Administration (GSA), 

and National Aeronautics and Space 

Administration (NASA). 

ACTION: Proposed rule with request for 

comments. 

SUMMARY: The Civilian Agency 

Acquisition Council (CAAC) and the 

Defense Acquisition Regulations 

Council (DARC) propose to amend the 

Federal Acquisition Regulation (FAR) to 

revise the withholding-of-payment 

requirements under FAR clause 52.232-

10, Payments Under Fixed-Price 

Architect-Engineer Contracts. 

DATES: Interested parties should submit 

written comments to the Regulatory 

Secretariat on or before July 6, 2009 to 

be considered in the formulation of a 

final rule. 

ADDRESSES: Submit comments 

identified by FAR case 2008-015 by any 

of the following methods: 

• Regulations.gov: http:/ I 

www.regulations.gov. 

Submit comments via the Federal 

eRulemaking portal by inputting "FAR 

Case 2008-015" under the heading 

"Comment or Submission". Select the 

link "Send a Comment or Submission" 

that corresponds with FAR Case 2008-

015. Follow the instructions provided to 

complete the "Public Comment and 

Submission Form". Please include your 

name, company name (if any), and 

"FAR Case 2008-015" on your attached 

document. 

• Fax:202-501-4067. 

• Mail: General Services 

Administration, Regulatory Secretariat 

(VPR), 1800 F Street NW, Room 4041, 

Washington, DC 20405, ATTN: Hada 

Flowers. 

Instructions: Please submit comments 

only and cite FAR case 2008-015 in all 

correspondence related to this case. All 

comments received will be posted 

without change to http:// 

www.regulations.gov, including any 

personal and/or business confidential 

information provided. 

FOR FURTHER INFORMATION CONTACT Ms. 

Meredith Murphy, Procurement 

Analyst, at (202) 208-6925 for 

clarification of content. For information 

pertaining to status or publication 

schedules, contact the Regulatory 

Secretariat at (202) 501-4755. Please 

cite FAR case 2008-015. 

SUPPLEMENTARY INFORMATION: 

A. Background 

The Federal Acquisition Regulation 

(FAR) 52.232-10, Payments under 

Fixed-Price Architecture-Engineer 

Contracts, currently requires the 

contracting officer to withhold 10% of 

the amounts due on each voucher; 

however, payment may be made in full 

during any month in which the 

contracting officer determines the 

performance to be satisfactory. The 

Government retains the withhold 

amount until the contracting officer 

determines that the work has been 

satisfactorily completed. The 

contracting officer may release excess 

withhold amounts to the contractor 

when it is determined that work is 

substantially complete and when the 

contracting officer determines that the 

amount retained is in excess of the 

amount adequate for the protection of 

the Governments interests. 

This rule proposes to revise FAR 

52.232-10 to permit contracting officers 

to use their judgment regarding the 

amount of payment withhold to apply 

under fixed-price architecture-engineer 

contracts (based on an assessment of the 

contractor's performance under the 

contract) so that the withhold amount 

will be applied at the level necessary to 

protect the Government's interests. This 

is in contrast to the current requirement 

that contracting officers withhold 10 

percent on all payments. Thus, the rule 

proposes to revise paragraphs (b) and (c) 

of the contract clause at FAR 52.232-10 

to state that the contracting officer may 

(rather than shall) withhold up to 10 

percent of the payment amount due and 

that the amount of withhold shall be 

determined based upon the contractor's 

performance record. The rule also 

makes several related editorial changes 

including one that clarifies that the 

contractor will be paid any unpaid 

balance due to include withhold 

amounts at the successful completion of 

the design work. 

This case originated from a 

recommendation in the Small Business 

Administration's Regulatory Review and 

Reform (r3) initiative. The current 

withholding provisions negatively 

impact the cash flow of architectengineer contractors and may, in some 

instances, result in the withholding of 

amounts that exceed reasonable 

amounts to protect the Government's 

interests. 

This is not a significant regulatory 

action and, therefore, is not subject to 

review under Section 6(b) of Executive 

Order 12866, Regulatory Planning and 

Review, dated September 30, 1933. This 

rule is not a major rule under 5 U.S.C. 

804. 

B. Regulatory Flexibility Act 

The Councils do not expect this 

proposed rule to have a significant 

economic impact on a substantial 

number of small entities within the 

meaning of the Regulatory Flexibility 

Act, at 5 U.S.C. 601, et seq., because the 

rule does not impose any additional 

requirements on small businesses. There 

are approximately 230,000 architectengineer firms, many of which are small 

businesses. This rule actually eases the 

impact on such firms. Therefore, an 

Initial Regulatory Flexibility Analysis 

has not been performed. We invite 

comments from small businesses and 

other interested parties. The Councils 

will consider comments from small 

entities concerning the affected FAR 

Part 52 in accordance with 5 U.S.C. 610. 

Interested parties must submit such 

comments separately and should cite 5 

U.S.C. 601, et seq. (FAR Case 2008-015) 

in correspondence. 

C. Paperwork Reduction Act 

The Paperwork Reduction Act does 

not apply because the proposed changes 

to the FAR do not impose information 

collection requirements that require the 

approval of the Office of Management 

and Budget under 44 U.S.C. 3501, et 

seq. 

List of Subjects in 48 CFR Part 52 

Government Procurement. 

Dated: April 28, 2009. 

AI Matera 

Director, Office of Acquisition Policy. 

Therefore, DoD, GSA, and NASA 

propose to amend 48 CFR part 52 as set 

forth below: 

PART 52-SOLICITATION PROVISIONS 

AND CONTRACT CLAUSES 

1. The authority citation for 48 CFR 

part 52 is revised to read as follows: 
Attachment 

2 
ILLINOIS POLLUTION CONTROL BOARD 

June 9, 2010 

IN THE MATTER OF: ) 

) 

10-YEAR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS (FESOP): ) 

AMENDMENTS TO 35 ILL. ADM. CODE ) 

201.162 ) 

R 10-21 

(Rulemaking- Air) 

NOTICE OF HEARING 

DATES, TIMES, PLACES: 

Thursday, July 8, 2010 at 12:00 noon 

JAMES R. THOMPSON CENTER 

Room 11-512 

100 W. Randolph-Room 11-512 

Chicago, IL 60601 

PURPOSE OF HEARING: 

ATTENDING BOARD MEMBER: 

HEARING OFFICER: 

Wednesday, July 21, 2010 at 1:00 p.m. 

IEPA OFFICE BUILDING 

Room 1244N, First Floor 

1021 N. Grand Avenue East 

Springfield, IL 62794 

Merit and economic 

Carrie Zalewski 

Kathleen M. Crow ley 

HEARING OFFICER ORDER 

Procedural History 

On April20, 2010, the Illinois Environmental Protection Agency (Agency or IEPA) filed 

a proposal for amendments to the Board's air rules pursuant to the general rulemakings 

provisions of Section 27 of the lllinois Environmental Protection Act (Act), 415 ILCS 5/27 

(2008) and the Boards procedural rules at 35 Ill. Adm. Code 102. 

In the Statement of Reasons (SR) accompanying the proposal, the Agency stated that this 

proposal would extend from five years to ten years the maximum term that the Agency could 

issue a Federally Enforceable State Operating Permit (FESOP). SR at 1-2. The sole provision of 

the air rules to be amended is Section 201.162, codified at 35 Ill. Adm. Code 201.162. 

In a May 6, 2010 order, the Board accepted the proposal for hearing. The Board also 

authorized publication of the proposal (without comment on the proposal's merits) in the Illinois 

In compliance with the Americans With Disabilities Act and other applicable federal and State laws, the hearings will be accessible to individuals 

with disabilities. Persons requiring auxiliary aids should contact John T. Therriault, Assistant Clerk of the Board, I 00 West Randolph Street, 

Suite 1!-500, Chicago, Illinois 60601, at telephone number (312) 814-3620, or TDD number (312) 814-6032, at least five days before the 

particular hearing. 
2 

Register as required by the Illinois Administrative Procedure Act (IAPA), 5 ILCS 100 et seq. 

(2008). 

The Hearings 

The Board will conduct two hearings in order to allow the proponent and any other 

interested participants the opportunity to present testimony on the merits and economic impact of 

the rulemaking proposal. At hearing, all persons who testify will be sworn in and subject to 

questioning .. 

As indicated above in the notice of hearings, the first hearing will begin on Thursday, 

July 8, 2010 and will continue until the day's business is completed, but in no event later than 

5:00p.m. The second hearing is scheduled to begin Wednesday, July 21, 2010 

and will continue until the day's business is completed, but in no event later than 4:30p.m. 

However, the rule proponent expects that these will be short hearings, and potential participants 

are advised to arrive in timely fashion. 

Pre-Filing Deadlines 

Participants who intend to testify must pre-file their testimony and serve the testimony on 

the hearing officer and all persons on the Service List. Before filing pre-filed testimony or any 

other document with the Clerk, please check for the most recent version of the Service List with 

the hearing officer or the Clerk's Office. 

Participants in the first hearing are directed to pre-file all of their testimony and any 

related exhibits no later than Friday, June 25, 2010. Under Section 27 of the Act (415 ILCS 5/27 

(2006)), the first hearing is not limited to the testimony of the proponent. But, the hearing officer 

presently intends to allow the Agency as proponent to present the testimony of all of its 

witnesses before hearing the testimony of other participants. Therefore, any other person wishing 

to testify at the first hearing should also pre-file their by June 25, 201'0. Participants wishing to 

testify at the second hearing are directed to pre-file all of their testimony and any related exhibits 

no later than Friday, July 16, 2010. 

The "mailbox rule" at 35 Ill. Adm. Code 101.300(b)(2) does not apply to the filing of this 

pre-filed testimony, and the Board's Clerk must therefore receive these documents before the 

close of business on the specified dates. However, pre-filed testimony and other documents 

maybe filed electronically though the Clerk's Office On-Line (COOL) from the Board's Web site 

at www.ipcb.state.il.us. Any questions about electronic filing through COOL should be directed 

to the Clerk's Office at (312) 814-3629. 

Order of Hearings 

All pre-filed testimony will be, entered into the record as if read. See 35 lll. Adm. Code 

102.424(f). A brief summary of testimony will be allowed if a witness wishes to provide one 

before responding to questions. Participants who do not pre-file testimony will be allowed to 

testify as time permits only after the conclusion of pre-filed testimony and questions based upon 
3 

it. Similarly, any participant who wishes to offer a public comment will be allowed to do so as 

time permits at the close of pre-filed testimony and the questions based upon it. Consequently, 

any person wishing to testify at either of the two hearings is urged to pre-file their testimony in 

order to ensure that they have an opportunity to testify. In addition, the Board's procedural rules 

provide that "[t]he Board will accept written comments from any person concerning the 

proposed regulations during the first notice period." 35 TIL Adm. Code 102.604. 

The hearing scheduled to begin on June 18, 2009, will begin with the Agency's 

presentation of its case as the proponent. After the Agency has answered all questions from other 

participants, and if time permits before the conclusion of the first hearing, other persons who 

have pre-filed may testify. The Board has reserved sufficient time for each hearing and 

anticipates that any person who wishes to testify will have an opportunity for testimony and any 

cross-examination. In the event that any person who pre-files testimony for the first hearing 

cannot testify on July 8, 2009, because time does not allow it, that person will be given priority 

to testify on July 21, 2009. 

The July 21, 2009 hearing will begin with any testimony from any participant who prefiled testimony for the first hearing and who was not able to testify at that time. Participants who 

pre-filed testimony for the second hearing will then present that testimony. Any participant who 

wishes to offer a public comment at either hearing will be allowed to do so if time permits at the 

close of pre-filed testimony and the questions based upon it. Again, written public comments 

may be submitted to the Board. See 35 TIL Adm. Code 102.604. 

Finally, the hearing officer, upon agreement of the participants or upon motion to the 

hearing officer, may change the order of testimony at these hearings. See 35 TIL Adm. Code 

102.420, citing 35 TIL Adm. Code 10l.Subpart F. 

Service and Notice Lists 

The Board will establish a notice list and a service list for this proceeding. Persons 

wishing to be added to either list may contact the Clerk's Office or the hearing officer. 

All persons on the notice list will receive notice of Board opinions and orders and hearing 

officer orders. 35 Ill. Adm. Code 102.422(a). 

Under Section 102.422(b) of the Board's procedural rules, 

[t]he hearing officer may establish a service list for any regulatory proceeding, in 

addition to the notice list. The hearing officer may direct participants to serve 

copies of all documents upon the persons listed on the service list. For 

purposes of fast-track rulemakings under Section 28.5 of the Act, participants of 

record will be the individuals on the service list. 35 TIL Adm. Code 102.422(b ). 

In addition to receiving notice of all Board actions and hearing officer orders, persons on the 

service list will receive pre-filed testimony and other filings in this proceeding. 
4 

The service list is intended for persons such as those who will testify and participate 

actively in this rulemaking. Persons on the Service List for this rulemaking receive not only the 

Board's opinions and orders but also other filings such as pre-filed testimony and public 

comments. But, persons on the service list are also required to serve copies of the filings they 

make on other persons on the service list. 

Interested persons may now request electronic notice of filings by providing their e-mail 

address through COOL under this docket number: R09-20. This electronic notice includes notice 

of the filing of documents that are not typically provided to persons on the Notice List. In 

addition, COOL provides links to documents filed with the Board, and those documents can be 

viewed, downloaded, and printed free of charge as soon as they are posted to the Board's Web 

site. For more information about the option of electronic notice or COOL, consult either the 

Board's Web site at www.ipcb.state.il.us or John Therriault, the Board's Assistant Clerk, at 

(312) 814-3629. 

At the close of the second hearing, the hearing officer will set a date by which the record 

will close and all public comments must be submitted. See 35 IlL Adm. Code 102.108. As the 

Board is aware that the Agency would appreciate Board decision making as soon as possible, the 

post-hearing comment period will not be lengthy unless unanticipated circumstances dictate 

otherwise. 

IT IS SO ORDERED. 

Kathleen M. Crowley 

Hearing Officer, lllinois Pollution Control Board 

100 West Randolph Street, Suite 11-500 

Chicago, lllinois 60601 

(312) 814-6929 crowlek@ipcb.state.il.us 
Attachment 

3 
ILLINOIS POLLUTION CONTROL BOARD 

June 17,2010 

IN THE MATTER OF: ) 

) 

10-YEAR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS (FESOP): ) 

AMENDMENTS TO 35 ILL. ADM. CODE ) 

201.162 ) 

Proposed Rule. First Notice. 

R10-21 

(Rulemaking -Air) 

OPINION AND ORDER OF THE BOARD (by C.K. Zalewski): 

On April 20, 2010, the Illinois Environmental Protection Agency (Agency or IEP A) filed 

a proposal for amendments to the Board's air rules pursuant to the general rulemakings 

provisions of Section 27 of the Illinois Environmental Protection Act (Act), 415 ILCS 5/27 

(2008) and the Boards procedural rules at 35 Ill. Adm. Code 102. 

In the Statement of Reasons (SR) accompanying the proposal, the Agency stated that this 

proposal would extend from five years to ten years the maximum term that the Agency could 

issue a Federally Enforceable State Operating Permit (FESOP). SR at 1-2. The sole provision of 

the air rules to be amended is Section 201.162, codified at 3 5 Ill. Adm. Code 201.162. 

By order of May 6, 2010, the Board accepted the proposal for hearing. Today, the Board 

authorizes first-notice publication ofthe proposal without comment on the proposal's merits 

under the Administrative Procedure Act (AP A), 415 ILCS 5/100 et. seq. (2008). 

THE PROPOSAL 

By way of background, the Agency explains that on December 17, 1992, the United 

States Environmental Protection Agency (USEPA) approved the provisions ofthe Illinois 

(FESOP) program as part of the State Implementation Plan (SIP) for meeting the goals of the 

Federal Clean Air Act (CAA). USEPA found that Illinois' FESOP program met all five criteria 

for approving a state operating permit program as part of a SIP. Among other things, these 

criteria require that 

tenns of the (FESOP) permit and its renewal must be legally enforceable; the 

terms and conditions of the permit must be at least as stringent as any other 

applicable limitation or requirement contained in the SIP or enforceable by the 

SIP or waive any requirements that are federally enforceable (e.g., standards 

established under section 111 or 112 of the Clean Air Act); the limitations, 

controls and requirements in the permit must be permanent, quantifiable and 

otherwise enforceable as a practical matter; and the permits must be issued 

pursuant to public participation. Id. 
2 

USEP A restated its approval ... when it approved the Clean Air Act Pennit 

Program ("CAAPP") pursuant to Section 39.5 of the Act. Subsection 3.3(c) of 

Section 39.5 ofthe Act, gives the Illinois EPA the authority to issue FESOPs for 

the purposes oflimiting a sources potential to emit pursuant to the Illinois EPA's 

general authority to issue state permits under Section 39(a) of the Act. SR at 1-2. 

Board rules for issuance of state air pollution control pennits are codified at 35 Ill. Adm. 

Code 201. Section 201.162 specifies the duration that pennits can be issued as either subject to 

Section 201.169 (perpetual pennits) or five years. This proposal seeks to extend the tenn of 

State operating pennits from five to ten years. This proposal does not change the term of 

perpetual permits issued pursuant to Section 201.169 or CAAPP permits issued pursuant to 

Section 39.5 of the Act. SR at 2. 

The Agency relates that two other states have adopted or are in the process of adopting 

rules extending the term ofFESOPs from five to 10 years; final USEPA approval for Indiana's 

rule was published at 74 Fed.Reg. 51240 (Oct. 6, 2009). SR at 3, and Att. A. 

The Agency explains that FESOP sources are located throughout the state, and that the 

proposed rules will affect approximately 800 sources that that have applied for or obtained 

FESOPs. SR at 4 and Att. B. The Agency explains that IEPA has averaged 61 new FESOP 

applications each year since the year 2000 and 66 FESOP renewal applications each year over 

the last ten years. If the proposal is adopted, 

when these applications come in and are reviewed, at the discretion of the Illinois 

EPA, the permits will be granted for a tenn of 1 0 years. The Illinois EPA may 

choose to issue a FESOP for a term shorter than ten years. FESOPs that are issued 

for a tenn shorter than ten years include situations in which the source may have 

been out of compliance with the applicable requirements prior to issuance of the 

FESOP and need to perfom1 additional perfonnance testing to demonstrate or 

confirm compliance with the applicable requirements. SR at 3. 

The Agency explains that the amendments are "expected to reduce administrative 

costs of the pennitting process for both the affected sources and the Illinois EPA." SR at 

5. The Agency states that its outreach to affected sources included e-mail in January 

2010, as well as a notice on its website. The Agency states that in response, it received 

three oral comments. Two ofthese supported the proposal, while one expressed a 

concern. 

FIRST NOTICE PUBLICATION WITHOUT COMMENT ON THE MERITS 

The Board typically holds hearings on rulemaking proposals prior to initiating the AP A 

first notice period by publication of a proposal in the Illinois Register. This allows the Board, 

the proponent, the regulated community, and the public an opportunity to familiarize themselves 

with the issues and the other participants' positions. Once issues and language refinements are 
3 

better understood, the Board makes initial detenninations and first notice is published in the 

Illinois Register. 

In contrast to most proposals filed with the Board, this rulemaking involves a single 

section and a single issue, posing a simple question. The question is: should the Agency have 

the option of issuing FESOP pennits for 10 years in appropriate cases? 

The proposal indicates that extending the permissible permit tenn from 5 to 10 years will 

result in cost savings to the Agency and the regulated community. Under these circumstances 

involving such a simple rule proposal, the Board sees no reason not to expedite the hearing and 

comment process in this docket. The Board accordingly authorizes first notice of this proposal 

without cmmnent on the merits. The hearing officer is directed to schedule hearings in July, 

2010 if possible consistent with Board and Agency resource needs and applicable notice 

requirements. 

ORDER 

The Board directs the Clerk to cause APA first-notice publication in the Illinois Register 

of the following proposed rule. Additions are indicated by underlining, and deletions by 

overstriking. 

Section 

201.101 

201.102 

201.103 

201.104 

Section 

201.121 

201.122 

201.123 

201.124 

201.125 

201.126 

TITLE 35: ENVIRONMENTAL PROTECTION 

SUBTITLE B: AIR POLLUTION 

CHAPTER I: POLLUTION CONTROL BOARD 

SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS 

PART 201 

PERMITS AND GENERAL PROVISIONS 

Other Definitions 

Definitions 

SUBPART A: DEFINITIONS 

Abbreviations and Units 

Incorporations by Reference 

SUBPART B: GENERAL PROVISIONS 

Existence of Permit No Defense 

Proof of Emissions 

Burden ofPersuasion Regarding Exceptions 

Annual Report 

Severability 

Repealer 
Section 

201.141 

201.142 

201.143 

201.144 

201.146 

201.147 

201.148 

201.149 

201.150 

201.151 

Section 

201.152 

201.153 

201.154 

201.155 

201.156 

201.157 

201.158 

201.159 

201.160 

201.161 

201.162 

201.163 

201.164 

201.165 

201.166 

201.167 

201.168 

201.169 

201.170 

4 

SUBPART C: PROHIBITIONS 

Prohibition of Air Pollution 

Construction Pennit Required 

Operating Pennits for New Sources 

Operating Pennits for Existing Sources 

Exemptions from State Pennit Requirements 

Fonner Pennits 

Operation Without Compliance Program and Project Completion Schedule 

Operation During Malfunction, Breakdown or Startups 

Circumvention 

Design of Effluent Exhaust Systems 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Contents of Application for Construction Permit 

Incomplete Applications (Repealed) 

Signatures (Repealed) 

Standards for Issuance (Repealed) 

Conditions 

Contents of Application for Operating Permit 

Incomplete Applications 

Signatures 

Standards for Issuance 

Conditions 

Duration 

Joint Construction and Operating Permits 

Design Criteria 

Hearings 

Revocation 

Revisions to Permits 

Appeals from Conditions 

Special Provisions for Certain Operating Permits 

Portable Emission Units 

SUBPART E: SPECIAL PROVISIONS FOR OPERATING PERMITS FOR CERTAIN 

SMALLER SOURCES 

Section 

201.180 

201.181 

201.187 

Applicability (Repealed) 

Expiration and Renewal (Repealed) 

Requirement for a Revised Permit (Repealed) 
Section 

201.207 

201.208 

201.209 

201.210 

201.211 

201.212 

5 

SUBPART F: CAAPP PERMITS 

Applicability 

Supplemental Infonnation 

Emissions of Hazardous Air Pollutants 

Categories of Insignificant Activities or Emission Levels 

Application for Classification as an Insignificant Activity 

Revisions to Lists of Insignificant Activities or Emission Levels 

SUBPART G: EXPERIMENTAL PERMITS 

(Reserved) 

SUBPART H: COMPLIANCE PROGRAMS AND PROJECT COMPLETION SCHEDULES 

Section 

201.241 

201.242 

201.243 

201.244 

201.245 

201.246 

201.247 

Section 

201.261 

201.262 

201.263 

201.264 

201.265 

Section 

201.281 

201.282 

201.283 

Section 

Contents of Compliance Program 

Contents ofProject Completion Schedule 

Standards for Approval 

Revisions 

Effects of Approval 

Records and Reports 

Submission and Approval Dates 

SUBPART I: MALFUNCTIONS, BREAKDOWNS OR STARTUPS 

Contents of Request for Permission to Operate During a Malfunction, Breakdown 

or Startup 

Standards for Granting Permission to Operate During a Malfunction, Breakdown 

or Startup 

Records and Reports 

Continued Operation or Startup Prior to Granting of Operating Permit 

Effect of Granting ofPermission to Operate During a Malfunction, Breakdown or 

Startup 

SUBPART J: MONITORING AND TESTING 

Pennit Monitoring Equipment Requirements 

Testing 

Records and Reports 

SUBPART K: RECORDS AND REPORTS 
201.301 

201.302 

Records 

Reports 

6 

SUBPART L: CONTINUOUS MONITORING 

Section 

201.401 

201.402 

201.403 

201.404 

201.405 

201.406 

201.407 

201.408 

Continuous Monitoring Requirements 

Alternative Monitoring 

Exempt Sources 

Monitoring System Malfunction 

Excess Emission Reporting 

Data Reduction 

Retention of Information 

Compliance Schedules 

201.APPENDIX A Rule into Section Table 

201.APPENDIX B Section into Rule Table 

20l.APPENDIX C Past Compliance Dates 

AUTHORITY: Implementing Sections 10, 39, and 39.5 and authorized by Section 27 of the 

Environmental Protection Act [415 ILCS 5110,27, 39, and 39.5]. 

SOURCE: Adopted as Chapter 2: Air Pollution, Part I: General Provisions, in R71-23, 4 PCB 

191, filed and effective April14, 1972; amended in R78-3 and 4, 35 PCB 75 and 243, at 3 Ill. 

Reg. 30, p. 124, effective July 28, 1979; amended in R80-5, at 7 Ill. Reg. 1244, effective January 

21, 1983; codified at 7 Ill. Reg. 13579; amended in R82-1 (Docket A) at 10 Ill. Reg. 12628, 

effective July 7, 1986; amended in R87-38 at 13 Ill. Reg. 2066, effective February 3, 1989; 

amended in R89-7(A) at 13 Ill. Reg. 19444, effective December 5, 1989; amended in R89-7(B) 

at 15 Ill. Reg. 17710, effective November 26, 1991; amended in R93-11 at 17 Ill. Reg. 21483, 

effective December 7, 1993; amended in R94-12 at 18 Ill. Reg. 15002, effective September 21, 

1994; amended in R94-14 at 18 Ill. Reg. 15 7 60, effective October 1 7, 1994; amended in R96-1 7 

at 21 Ill. Reg. 7878, effective June 17, 1997; amended in R98-13 at 22 Ill. Reg. 11451, effective 

June 23, 1998; amended in R98-28 at 22 Ill. Reg. 11823, effective July 31, 1998; amended in 

R02-10 at 27 Ill. Reg. 5820, effective March 21, 2003; amended in R05-19 and R05-20 at 30 Ill. 

Reg. 4901, effective March 3, 2006; amended in R07-19 at 33 Ill. Reg. 11965, effective 

August 6, 2009; amended in R10-21 at 34 Ill. Reg , effective 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Section 201.162 Duration 

a) No operating permit shall be valid longer than ten ;fWe...years or such shorter 

period as the Agency may specify in the operating permit as necessary to 

accomplish the purposes of the Act and this Chapter_,_ unless the source is subject 

to: 
7 

ll Section 201.169 of this Subpart;_ or 

2) Section 39.5 of the Act, except for sources exempt pursuant to subsection 

1.1 of Section 39.5. 

b) Applications for renewal of an operating permit shall be submitted to the Agency 

at least 90 days prior to the expiration of the prior permit, and shall conform to 

Sections 201.157,201.158 and 201.159. The standards for issuance of renewal of 

operating pennits shall be as set forth in Section 201.160. 

(Source: Amended at 34 Ill. Reg. , effective ) 

IT IS SO ORDERED. 

I, John T. Therriault, Assistant Clerk of the Illinois Pollution Control Board, certify that 

the Board adopted the above opinion and order on June 17, 2010 by a vote of 5-0. 

John T. Therriault, Assistant Clerk 

Illinois Pollution Control Board 
Attachment 

4 
OFFICE OF THE SECRETARY OF STATE 

JESSE WHITE • Secretary of State 

June 24, 2010 

POLLUTION CONTROL BOARD 

JOHN THERRIAULT ASSISTANT CLERK 

100 W RANDOLPH ST, STE 11-500 

CHICAGO, IL 60601 

Dear JOHN THERRIAULT ASSISTANT CLERK 

:Zio-2-) 

Your rules Listed below met our codification standards and have been published in Volume 34, 

Issue 27 ofthe Illinois Register, dated 7/2/2010. 

OTHER INFORMATION REQUIRED BYLAW TO BE PUBLISHED IN THE ILLINOIS REGISTER 

Notice ofPublic Information 

Point of Contact: Carol Webb 8773 

PROPOSED RULES 

General Provisions 

35 Ill. Adm. Code 101 

Point of Contact: Nancy Miller 

Permits and General Provisions 

35 HI. Adm. Code 20 l 

Point of Contact: Nancy Miller 

REGULATORY AGENDA 

General Rules 

Point of Contact: Carol Webb 

85o8 -R 1 o" 2- I 

8679 

If you have any questions, you may contact the Administrative Code Division at 

(217) 782-7017. 

Index Department- Administrative Code Division- Ill East Monroe Springfield, IL 62756 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

1) Heading of the Part: Permits and General Provisions 

2) Code Citation: 35 Ill. Adm. Code 201 

3) Section Numbers: 

201.162 

Proposed Action: 

Amend 

4) Statutory Authority: Implementing and authorized by Sections 10 and 27 ofthe Illinois 

Environmental Protection Act [415 ILCS 5/10 and 27]. 

5) A Complete Description of the Subjects and Issues Involved: This proposal will amend 

the Board's regulations that affect the permitting of synthetic minor sources and nonmajor sources. The proposal extends the duration of federally enforceable state operating 

permits (FESOPs) from 5 to 10 years unless the source is required to obtain a Clean Air 

Act Permit Program permit pursuant to Section 39.5 of the Illinois Environmental 

Protection Act ("Act") and not exempt pursuant to subsection 1.1 of Section 39.5 of the 

Act. 415 ILCS 5/39.5(1.1). 

6) Will this proposed amendment replace an emergency rule currently in effect? No 

7) Does this rulemaking contain an automatic repeal date? No 

8) Does this proposed amendment contain incorporations by reference? No 

9) Are there any other proposed amendments pending on this Part? No 

1 0) Statement of Statewide Policy Objectives: These proposed amendments do not create or 

enlarge a state mandate as defined in Section 3(b) ofthe State Mandates Act. [30 ILCS 

805/3]. 

11) Time, Place, and Manner in which interested persons may comment on this proposed 

rulemaking: The Board will accept written public comments on this proposal for a 

period of forty-five (45) days after the date of publication in the Illinois Register. 

Comments should reference Docket R10-21 and be addressed to: 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

Clerk's Office 

Illinois Pollution Control Board 

100 W. Randolph St., Suite 11-500 

Chicago, IL 60601 

Interested persons may request copies ofthe Board's opinion and order in Rl0-19 by calling the 

Clerk's office at 312-814-3620, or may download copies from the Board's Web site at 

www.ipcb.state.il. us. 

For more information, contact hearing officer Kathleen Crowley at 312/814-6929 oremail at crowlek@ipcb.state.il.us. 

12) Initial Regulatory Flexibility Analysis: 

A) Types of small businesses, small municipalities and not for profit corporations 

affected: Any small businesses, small municipalities, or not-for-profit 

corporations that are required or decide to obtain a FESOP or synthetic minor 

operating permit could be affected by the proposed amendments. 

B) Reporting, bookkeeping or other procedures required for compliance: None 

C) Types of Professional skills necessary for compliance: None 

13) This rulemaking was included on the most recent regulatory agenda: 34 Ill. Reg. 358, 

January 4, 2010. 

14) Does this amendment require the review of the Procurement Policy Board as specified in 

Section 5-25 of the Illinois Procurement Code? [30 ILCS 500/5-25] No 

The full text of the Proposed Amendment begins on the next page: 
Section 

201.101 

201.102 

201.103 

201.104 

Section 

201.121 

201.122 

201.123 

201.124 

201.125 

201.126 

Section 

201.141 

201.142 

201.143 

201.144 

201.146 

201.147 

201.148 

201.149 

201.150 

201.151 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

TITLE 35: ENVIRONMENTAL PROTECTION 

SUBTITLE B: AIR POLLUTION 

CHAPTER I: POLLUTION CONTROL BOARD 

SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS 

PART 201 

PERMITS AND GENERAL PROVISIONS 

Other Definitions 

Definitions 

SUBPART A: DEFINITIONS 

Abbreviations and Units 

Incorporations by Reference 

SUBPART B: GENERAL PROVISIONS 

Existence of Permit No Defense 

Proof of Emissions 

Burden of Persuasion Regarding Exceptions 

Annual Report 

Severability 

Repealer 

SUBPART C: PROHIBITIONS 

Prohibition of Air Pollution 

Construction Permit Required 

Operating Permits for New Sources 

Operating Permits for Existing Sources 

Exemptions from State Permit Requirements 

Former Permits 

Operation Without Compliance Program and Project Completion Schedule 

Operation During Malfunction, Breakdown or Startups 

Circumvention 

Design of Effluent Exhaust Systems 
Section 

201.152 

201.153 

201.154 

201.155 

201.156 

201.157 

201.158 

201.159 

201.160 

201.161 

201.162 

201.163 

201.164 

201.165 

201.166 

201.167 

201.168 

201.169 

201.170 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Contents of Application for Construction Permit 

Incomplete Applications (Repealed) 

Signatures (Repealed) 

Standards for Issuance (Repealed) 

Conditions 

Contents of Application for Operating Permit 

Incomplete Applications 

Signatures 

Standards for Issuance 

Conditions 

Duration 

Joint Construction and Operating Permits 

Design Criteria 

Hearings 

Revocation 

Revisions to Permits 

Appeals from Conditions 

Special Provisions for Certain Operating Permits 

Portable Emission Units 

SUBPART E: SPECIAL PROVISIONS FOR OPERATING PERMITS FOR CERTAIN 

SMALLER SOURCES 

Section 

201.180 

201.181 

201.187 

Section 

201.207 

201.208 

201.209 

201.210 

201.211 

201.212 

Applicability (Repealed) 

Expiration and Renewal (Repealed) 

Requirement for a Revised Permit (Repealed) 

SUBPART F: CAAPP PERMITS 

Applicability 

Supplemental Information 

Emissions of Hazardous Air Pollutants 

Categories of Insignificant Activities or Emission Levels 

Application for Classification as an Insignificant Activity 

Revisions to Lists of Insignificant Activities or Emission Levels 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

SUBPART G: EXPERIMENTAL PERMITS 

(Reserved) 

SUBPART H: COMPLIANCE PROGRAMS AND PROJECT COMPLETION SCHEDULES 

Section 

201.241 

201.242 

201.243 

201.244 

201.245 

201.246 

201.247 

Section 

201.261 

201.262 

201.263 

201.264 

201.265 

Section 

201.281 

201.282 

201.283 

Section 

201.301 

201.302 

Contents of Compliance Program 

Contents of Project Completion Schedule 

Standards for Approval 

Revisions 

Effects of Approval 

Records and Reports 

Submission and Approval Dates 

SUBPART I: MALFUNCTIONS, BREAKDOWNS OR STARTUPS 

Contents of Request for Permission to Operate During a Malfunction, Breakdown 

or Startup 

Standards for Granting Permission to Operate During a Malfunction, Breakdown 

or Startup 

Records and Reports 

Continued Operation or Startup Prior to Granting of Operating Permit 

Effect of Granting ofPermission to Operate During a Malfunction, Breakdown or 

Startup 

SUBPART J: MONITORING AND TESTING 

Permit Monitoring Equipment Requirements 

Testing 

Records and Reports 

Records 

Reports 

SUBPART K: RECORDS AND REPORTS 
Section 

201.401 

201.402 

201.403 

201.404 

201.405 

201.406 

201.407 

201.408 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

SUBPART L: CONTINUOUS MONITORING 

Continuous Monitoring Requirements 

Alternative Monitoring 

Exempt Sources 

Monitoring System Malfunction 

Excess Emission Reporting 

Data Reduction 

Retention of Information 

Compliance Schedules 

201.APPENDIX A 

201.APPENDIX B 

20l.APPENDIX C 

Rule into Section Table 

Section into Rule Table 

Past Compliance Dates 

AUTHORITY: Implementing Sections 10, 39, and 39.5 and authorized by Section 27 ofthe 

Environmental Protection Act [415 ILCS 5/10,27, 39, and 39.5]. 

SOURCE: Adopted as Chapter 2: Air Pollution, Part I: General Provisions, in R71-23, 4 PCB 

191, filed and effective April 14, 1972; amended in R78-3 and 4, 35 PCB 75 and 243, at 3 Ill. 

Reg. 30, p. 124, effective July 28, 1979; amended in R80-5, at 7 TIL Reg. 1244, effective January 

21, 1983; codified at 7 Ill. Reg. 13579; amended in R82-1 (Docket A) at 10 Ill. Reg. 12628, 

effective July 7, 1986; amended in R87-38 at 13 Ill. Reg. 2066, effective February 3, 1989; 

amended inR89-7(A) at 13 Ill. Reg. 19444, effective December 5, 1989; amendedinR89-7(B) 

at 15 Ill. Reg. 17710, effective November 26, 1991; amended in R93-11 at 17 TIL Reg. 21483, 

effective December 7, 1993; amended in R94-12 at 18 Ill. Reg. 15002, effective September 21, 

1994; amended in R94-14 at 18 Ill. Reg. 15760, effective October 17, 1994; amended in R96-17 

at 21 Ill. Reg. 7878, effective June 17, 1997; amended in R98-13 at 22 Ill. Reg. 11451, effective 

June 23, 1998; amended in R98-28 at 22 Ill. Reg. 11823, effective July 31, 1998; amended in 

R02-10 at 27 Ill. Reg. 5820, effective March 21, 2003; amended in R05-19 and R05-20 at 30 Ill. 

Reg. 4901, effective March 3, 2006; amended in R07 -19 at 3 3 Ill. Reg. 11965, effective 

August 6, 2009; amended in Rl 0-21 at 34 Ill. Reg effective __ _ 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Section 201.162 Duration 

a) No operating permit shall be valid longer than ten ffie-years or such shorter 

period as the Agency may specify in the operating permit as necessary to 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF PROPOSED AMENDMENT 

accomplish the purposes of the Act and this Chapter ... unless the source is subject 

to: 

1) Section 201.169 of this Subpart; or 

2} Section 39.5 of the Act, except for sources exempt pursuant to subsection 

1.1 of Section 39.5. 

b) Applications for renewal of an operating permit shall be submitted to the Agency 

at least 90 days prior to the expiration of the prior permit, and shall conform to 

Sections 201.157, 201.158 and 201.159. The standards for issuance of renewal of 

operating permits shall be as set forth in Section 201.160. 

(Source: Amended at 34 Ill. Reg. __ , effective ___ ---./ 
Attachment 

5 
Electronic Filing - Received, Clerk's Office, June 29, 2010 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: ) 

) 

10-YR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS ) 

("FESOP"): AMENDMENTS TO ) 

35 ILL ADM. CODE PART 201.162 ) 

R10-21 

(Rulemaking- Air) 

NOTICE 

TO: 

Dorothy Gunn, Clerk 

illinois Pollution Control Board 

State ofillinois Center 

100 West Randolph, Suite 11-500 

Chicago, illinois 60601 

Virginia Yang 

Deputy Legal Counsel 

illinois Dept. ofNatural Resources 

524 South Second Street 

Springfield, illinois 62701-1787 

Matthew Dunn, Chief 

Attorney General's Office 

James R. Thompson Center 

100 West Randolph, 12th Floor 

Chicago, illinois 60601 

PLEASE TAKE NOTICE that I have today filed with the Office of the Pollution Control 

Board the TESTIMONY of the illinois Environmental Protection Agency a copy of which is 

herewith served upon you. 

DATED: June 29, 2010 

P.O. Box 19276 

Springfield, illinois 62794-9276 

217/782-5544 

ILLINOIS ENVIRONMENTAL PROTECTION 

AGENCY 

By: /s/ 

Rachel L. Doctors 

Assistant Counsel 

Division ofLegal Counsel 
Electronic Filing -Received, Clerk's Office, June 29, 2010 

My name is Bob Bernoteit. I have been manager of the manager of the Federally Enforceable 

State Operating Permit Unit in the Division of Air Pollution Control Permit Section since 

February, 2004. 

PROPOSAL DEVELOPMENT 

On December 17, 1992, the United States Environmental Protection Agency ("USEPA") 

approved the provisions of the illinois EPA's Federally Enforceable State Operating Permit 

("FESOP") program. USEPA stated that illinois EPA's FESOP program met all five criteria for 

approving a state operating permit program as part of a State Implementation Plan ("SIP"). 

Specifically, the illinois EPA must submit its permit program to USEPA for approval; terms of 

the permit and its renewal must be legally enforceable; the terms and conditions of the permit 

must be at least as stringent as any other applicable limitation or requirement contained in the 

SIP or enforceable by the SIP or waive any requirements that are federally enforceable (e.g., 

standards established under section 111 or 112 of the Clean Air Act ("CAA'')); the limitations, 

c~ntrols and requirements in the permit must be permanent, quantifiable and otherwise 

enforceable as a practical matter; and the permits must be issued pursuant to public participation. 

USEPA restated its approval ofthe illinois EPA's FESOP program when it approved the 

Clean Air Act Permit Program ("CAAPP") pursuant to Section 39.5 of the Act. Subsection 

3.3(c) of Section 39.5 of the Act, gives the illinois EPA the authority to issue FESOPs for the 

purposes of limiting a sources potential to emit pursuant to the illinois EPA's general authority 

to issue state permits under Section 39(a) of the Act. 

The Board adopted regulations for implementation of issuing state air pollution control 

permits in 35 ill. Adm. Code 201. Section 201.162 specifies the duration that permits can be 

issued as either subject to Section 201.169 (lifetime permits) or five years. This proposal seeks 

to extend the term of State operating permits from five to ten years. This proposal does not 
Electronic Filing - Received, Clerk's Office, June 29, 2010 

change the term of perpetual permits issued pursuant to Section 201.169 or CAAPP permits 

issued pursuant to Section 39.5 of the Act. 

PROPOSAL 

This proposal extends the maximum term that a FESOP may be issued from five to ten 

years. Currently, State operating permits, except for lifetime permits, may only be issued for 

five years or less. Under the proposal, the term that a FESOP could be issued would be extended 

· from five to ten years at the discretion of the lllinois EPA. The lllinois EPA retains the 

discretion that it currently has under Section 201.162 to issue permits for a term that is shorter 

than the maximum. The term for CAAPP permits issued pursuant to Section 39.5 of the Act, 

except for sources exempted from CAAPP pursuant to subsection 1.1 of Section 39.5 of the Act, 

would remain five years as required by statute. 415 ILCS 5/39.5(1.1). Owners or operators of 

sources not subject to CAAPP or requiring a FESOP would remain subject to the requirements of 

Section 201.169, which grants permits indefinitely. That Section requires that State permits only 

be renewed at the request of the lllinois EPA or if the circumstances underlying the permit 

change. 

Two other states have adopted or are in the process of adopting rules extending the term 

ofFESOPs from five to 10 years. The State of Indiana received final approval of their rule on 

October 6, 2009. 74 Fed.Reg. 51240. 

IMPLEMENTATION 

The lllinois EPA has averaged 61 new FESOP applications each year since the year 2000 

and 66 FESOP renewal applications each year over the last ten years. When these applications 

come in and are reviewed, at the discretion of the lllinois EPA, the permits will be granted for a 

term of 1 0 years. The lllinois EPA may choose to issue a FESOP for a term shorter than ten 

years. FESOPs that are issued for a term shorter than ten years include situations in which the 
Electronic Filing - Received, Clerk's Office, June 29, 2010 

source may have been out of compliance with the applicable requirements prior to issuance of 

the FESOP and need to perform additional performance testing to demonstrate or confirm 

compliance with the applicable requirements. 

It is important to note that granting FESOPs for a longer term will not affect the 

implementation of air pollution control programs or enforcement of air quality standards in the 

State oflllinois. Sources must comply with all applicable requirements of the Board's rules or 

the Act, regardless of the length of a FESOP' s term or the timing of its issuance. FESOPs 

generally contain limits on the operations ofthe source, (e.g., materials used and hours or 

operation), which effectively restrict the source's potential to emit. The lllinois EPA's program 

requires the permits to undergo public notice and be subject to public comments. A FESOP does 

not impact any previously or newly applicable substantive requirements of the Act, the Board's 

rules or the Clean Air Act ("CAA''), such as a new maximum achievable control technology 

standard under Section 112 of the CAA. Such requirements remain independently enforceable. 

Similarly, owners and operators of FE SOP sources will still need to meet all applicable 

requirements under the Act, including those related to new construction. Therefore, an extension 

of the term for an initial or a renewal of a FESOP from five to ten years does not delay an owner 

or operator's obligation to comply with all applicable requirements. 

ECONOMIC REASONABLENESS AND TECHNICAL FEASIDILITY 

The entire State of lllinois will be affected, as no single region contains all FESOP 

sources. The proposed regulations will affect all of the approximately 800 sources in lllinois that 

have either applied for or have obtained a FESOP. 

The purpose of this proposal is to extend the maximum term that a FESOP may be issued 

from five to ten years. Currently, State operating permits, except for lifetime permits, may only 

be issued for five years or less. Under the proposal, the permit term would be extended up to ten 
Electronic Filing- Received, Clerk's Office, June 29, 2010 

years at the discretion of the lllinois EPA. The term for CAAPP permits issued pursuant to 

Section 39.5 of the Act, except for sources exempted from CAAPP pursuant to subsection 1.1 of 

Section 39.5 of the Act would remain 5 years as required by statute. 415 ILCS 5/39.5(1.1). 

This proposal will have a positive economic impact on affected sources by reducing time 

spent on permit renewal applications. This proposal will also reduce the costs to the Illinois EPA 

'associated with the time and effect required for processing these permit renewal applications. 

While sources with FESOP permits represent only a small amount of emissions in Illinois, they 

require a large proportion of the Illinois EPA's permitting resources. The reduced frequency of 

these renewals will provide a significant time savings for the Illinois EPA. Within five years of 

adoption of this proposal, it would be anticipated that the workload ofFESOP renewals would 

decrease by approximately ten percent. 

As discussed above, the proposal imposes no new regulatory requirements on affected 

sources. The amendments to Section 201.162 merely extend the duration ofFESOPs. The 

amendments are expected to reduce administrative costs of the permitting process for both the 

affected sources and the Illinois EPA. As this proposal imposes no new requirements or costs 

on affected sources, the proposal is both technically and economically feasible. 
Electronic Filing -Received, Clerk's Office, June 29, 2010 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

STATE OF ILLINOIS 

COUNTY OF SANGAMON 

CERTIFICATE OF SERVICE 

) 

) 

) 

) 

ss 

I, the undersigned, an attorney, state that I have served electronically the attached 

TESTIMONY ofthe illinois Environmental Protection Agency upon the following persons: 

Dorothy Gunn, Clerk 

Illinois Pollution Control Board 

State of illinois Center 

100 West Randolph, Suite 11-500 

Chicago, lllinois 60601 

Virginia Yang 

Deputy Legal Counsel 

illinois Dept. of Natural Resources 

524 South Second Street 

Springfield, illinois 62701-1787 

Dated: June 29, 2010 

1021 North Grand Avenue East 

Springfield, illinois 62794-9276 

(217) 782-5544 

217.782.S143 (TDD) 

/s/ 

Matthew Dunn, Chief 

Attorney General's Office 

James R. Thompson Center 

100 West Randolph, 12th Floor 

Chicago, illinois 60601 

ILLINOIS ENVIRONMENTAL PROTECTION 

AGENCY 

Rachel L. Doctors 

Assistant Counsel 

Air Regulatory Unit 

Division of Legal Counsel 
Attachment 

6 
Page 1 

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: 

10-YR FEDERALLY ENFORCEABLE 

STATE OPERATING PERMITS 

( "FESOP") : AMENDMENTS TO 

35 ILL. ADM. CODE PART 201.162 

Receuveo 

CLeRK'S OFFICE 

JUL I 2 '2 2010 

STATE OF ILLINOIS 

Pollution Control Board 

R10-21 

) (Rulemaking-Air) 

I 

iJ 

1: 

I' 

REPORT OF PROCEEDINGS at the hearing of !i il 

the above-entitled cause, taken before GWENDOLYN 

BEDFORD, a Certified Shorthand Reporter, within and for 

the County of Cook and State of Illinois at the l] 

I' Illinois Pollution Control Board, 100 West Randolph, 1 

Suite 11 11-500, Chicago, Illinois 60601 commencing at the I) 

hour of 12:00 p.m. on the 8th day of July, A.D., 2010. li 

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APPEARANCES: 

MR. CAREY ZALEWSKI 

MR. GARY L. BLANKENSHIP 

MS. KATHLEEN CROWLEY 

ILLINOIS POLLUTION CONTROL BOARD 

100 West Randolph 

Suite 11-500 

Chicago, Illinois 60601 

Phone: 312-814-3461 

appeared on behalf of the Board 

MS. RACHEL DOCTORS 

Assistant Counsel 

Division of Legal Counsel 

Illinois Environment Protection Agency 

1021 N. Grand Avenue East 

Springfield, Illinois 62702 

Phone: 217-782-3397 

appeared on behalf of the Agency 

21 ALSO PRESENT: 

22 MR. EDWIN C. BAKOWSKI 

23 Manager, Permit Section 

24 Division of Air Pollution Control 
' 

Page 3 

: 

1 I N D E X • 

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3 WITNESS PAGE 

• 4 ROBERT BENOTEIT 

' 

5 Examination by Ms. Crowley 8 

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6 1: 

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8 E X H I B I T s I• 

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9 DOCUMENTS MARKED FOR ID. I; 

10 Exhibit 1 7 

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24 MS. CROWLEY: Good afternoon. My name is 

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Page 4 1 

1 Kathleen Crowley. I' The Hearing Officer assigned to this 1: 

I' 

2 regulatory proceeding. This is the first of two 

3 presently scheduled hearings being conducted by the 

4 Illinois Pollution Control Board in the matter of 

5 Tenured Federally Enforceable State Operating Permit, 

6 known as Fesop, Amendments to 35 Illinois 

7 Administrative Code Section 201.162. And that is the 

8 Pollution Control Board Docket R10-21. 

9 Today's Hearing Board will begin its 

10 receipt of testimony on the merits and the economic 

11 effects of the April 20, 2010 Regulatory Proposal 

12 filed by the Illinois Environmental Protection Agency. 

( 13 The Agency proposal would extend from five years to 

14 ten years. The maximum term that the Agency could 

15 issue is a FESOP. The sole position of the air rules 

16 to be amended is Section 201.162. 

17 We have present today only the Court 

18 Reporter, Board Representatives and Agency 

19 Representatives. So we'll shorten up some of the 

20 usual opening remarks. All hearings before the Board 

21 are transcribed by the Court Reporter you see with us 

22 today. All witnesses will be sworn in by the Court 

23 Reporter prior to giving testimony. Any person may 

24 ask questions of any witness giving testimony. Any 
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questions that may come from me or representatives of 

the Board are intended not to reflect any conclusion 

on the merits, but simply to provide a complete record 

for Board deliberation. 

Seated to my immediate right is Board 

Member, Carey Zalewski, the board member coordinating. 

And seated to her right is Board Member, Gary 

Blankenship. And at this point I'll ask you for your 

appearance, Miss Doctors. 

MS. DOCTORS: My name is Rachel Doctors 

representing the Illinois Environmental Protection 

Agency. 

MS. CROWLEY: Before we begin with the 

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Agency's testimony, there is just a couple of items of j 

information that I need to answer into the record. The 1 

': 

Board accepted the Agency's proposal for hearing on 

May 6, 2010. The Board on June 17, 2010 authorized 

ii 

11 

11 first notice publication of the Rule without comments I 

on the merits. This was published in the July 2, 2010 I' I' 

Illinois Register at 35 Illinois Register 8508. The 

publication started a 45-day public comment under the 

Administrative Procedure Act. First business day after 1 

the 45th day is August 16, 2010, which is the current 

close comment date. 

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il 1 The first notice publication includes 

2 the dates of today's hearing and the next hearing 

3 scheduled for July 21st in Springfield. And the 

4 publication also referenced the June 9, 2010 Hearing 

5 Officer order setting deadlines for the prefiling of 

6 testimony and addressing other procedural points. 

7 On June 4, 2010 the Board submitted a 

8 written request to the Department of Commerce and 

9 Economic Opportunity known as DCEL. The Board 

10 requested that it perform an Economic Impact Study as 

11 provided for in Section 27 of the Environmental 

12 Protection Act. The Board requested that DCEL provide 

13 any response to the request on or before June 30th. 

14 No written request has been received and no study has 

15 been filed. 

16 Section 27(b) requires the Board to hold 

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17 a hearing on the economic impact of rules and any EelS , 

18 submitted and on any explanation DCEL provides for not 

19 conducting an EelS. 

20 Section 24(b) allows the Board to 

21 dovetail the economic impact hearing with any other 

22 hearing. The DCEL EelS issue will be addressed at the 

23 next hearing on July 21st, although participants here 

24 today may address it as well if they care to. 

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The only testimony prefiled was that by ' 

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IEPA's Bob Bernoteit. So we may as well begin with 

3 Mr. Bernoteit then. 

4 MS. DOCTORS: I would ask that his testimony 

5 be entered as if read. 

6 MS. CROWLEY: First, could we have 

7 Mr. Bernoteit sworn as a witness. 

8 (WITNESS SWORN) 

9 ROBERT BERNOTEIT, 

10 called as a witness herein, after having been first 

11 duly sworn, was examined and testified as follows: 

12 MS. CROWLEY: Is that acceptable to be as 

13 read rather than delivered? 

14 MR. BLANKENSHIP: Yes. 

15 MS. ZALEWSKI: Yes. 

16 MS. CROWLEY: We'll mark the testimony 

17 submitted by Mr. Bernoteit on June 29, 2010 as Exhibit 

18 Number 1 in this proceeding or 10-11. 

19 (WHEREUPON Exhibit 1 was 

20 marked for identification) 

21 MS. DOCTORS: Would you like copies? 

22 MS. CROWLEY: I think we all do. 

23 MS. DOCTORS: I have one procedure thing that 

24 I need to get on the record. 

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1 MS. CROWLEY: Sure. 

2 MS. DOCTORS: I would like to indicate at the 

3 time that at the completion of this rulemaking process 

4 that the Agency would be submitting its rulemaking and 

5 the package S&L to the UCPA as the state rules covering 

6 permits for the that are federally enforceable. 

7 MS. CROWLEY: Off the record for a second. 

8 (DISCUSSION OFF THE RECORD) 

9 MS. DOCTORS: The Agency, if the testimony 

10 has been accepted and filed as Exhibit 1, then we're 

11 open for any questions that the Board may have. 

12 EXAMINATION 

13 BY MS. CROWLEY: 

14 Q Your testimony indicates, as does the 

15 proposal, that the maximum term of the FESOP permit 

16 would be extended from five years to ten years. 

17 Permits that I have seen in my career with the state 

18 have always included an expiration date. Would it be 

19 correct to assume that these permits will also have an 

20 expiration date listed on their face so that it knows 

21 whether it has got a five-year permit or a ten-year 

22 permit? 

23 A They will continue to list the expiration 

24 date. The only change is the expiration date would be 

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1 extended to ten years in the future rather than a 

2 maximum of five years into the future. 

3 Q Do you have any idea how -- well, strike 

4 that. 

5 Do you have any range of, oh, cost that 

6 you have heard of that sources expend for engineering 

7 and consulting and lawyer fees in applying for FESOP 

8 renewal permits? 

9 A The renewal. process is a simple 

10 straightforward process. If the source has not had any 

11 changes or is not proposing any changes as part of the 

12 renewal. So it is a simple two-page application form. 

13 I would estimate that the cost to prepare such a form 

14 would not typically extend more than $200. 

15 Q The type of form we have seen before where 

16 there is a checkoff, has anything changed in the 

17 signature and the appropriate name of company and 

18 signing officer, et cetera? 

19 A That's correct. 

20 Q I see at the fourth page of your testimony 

21 that you would expect that the workload of FESOP 

22 renewals would increase by approximately ten percent 

23 within five years of adoption of the proposal? 

24 A We would decrease by five percent. 

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And that -- I misspoke. And that would in : 

2 decrease processing time and manpower, et cetera, et 

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cetera? 

A That's correct. 

Q As said in the testimony. 

Members have any questions? 

MS. ZALEWSKI: I have no other questions. 

MR. BLANKENSHIP: No. 

MS. CROWLEY: Thank you very much, 

Mr. Bernoteit. 

Did you have anything else that you 

wanted to present, Miss Doctors? 

MS. DOCTORS: That concludes the Agency's 

comments. I would like to thank the Board members and 

the Hearing Officer for their time. 

MS. CROWLEY: The next hearing, as I said 

earlier, is scheduled for July 21, 2010 in Springfield. 

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There doesn't seem to be a substantial interest in this 1. I; li 

lj rulemaking. In the interest of travel and economy, the 

11 

second hearing may be held by the board Springfield 

base Hearing Officer Carroll Webb. We have done that 

in other small rulemakings of this type. That would 

leave Member Zalewski to make the trip to Springfield 

to see you. 
1 

2 year. 

3 

Page 11 

MS. ZALEWSKI: It is lovely this time of 

MS. CROWLEY: Following the close of the 

4 July 21st hearing, the Hearing Officer will set a date 

5 for the close of public comment. As I said before, the 

6 45-day first notice comment period required by the APA 

7 began on July 2nd and ends August 16th. Section 102 

8 108 (b) of the Board procedural rules also provides 

9 that the Board will accept comments for 14 days after 

10 the receipt of the hearing transcript or any other date 

11 set by the Hearing Officer. 

12 The Agency is requested to check 

13 calendars and be ready to suggest dates for the close 

14 of the public comment period on or after August 16th. 

15 We have been trying to expedite this proceeding in the 

16 interest of saving everyone money. And again whatever 

17 is a reasonable close comment period given the fact 

18 that we're on summer vacation season, et cetera. 

19 We'll do what we can to accommodate you. 

20 If there is nothing else from anyone, 

21 seeing nothing then, thank you all for attending and 

22 have a good trip back to Springfield. Thanks a lot. 

23 

24 (WHEREUPON the hearing was 

1 

2 COUNTY OF C 0 0 K 

3 

Page 13 

) ss: 

4 C E R T I F I C A T E 

5 

6 I, GWENDOLYN BEDFORD, Certified Shorthand 

7 Reporter and Notary Public, in the City of Chicago, 

8 County of Cook and State of Illinois, do hereby certify 

9 that the above testimony was recorded stenographically 

10 by me and was reduced to computer transcription under 

11 my personal direction. 

12 I hereunto set my hand on this 21st day of 

13 July, 2010. 

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GWENDOLYN BEDFORD, C.S.R. 

No. 084-003700 
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Attachment 

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Page 1 

BEFORE THE 

ILLINOIS POLLUTION CONTROL BOARD 

IN THE MATTER OF: 

10-Year Federally Enforceable 

State Operating Permits (FESOP) 

Amendments to 35 Illinois 

Administrative Code Part 201.162 

DOCKET R10-21 

RECEIVED 

CLERK'S OFFICE 

' 

JUL 2 6 2010 

STATE OF IWNOIS 

Pollution Control Board 

Hearing held, pursuant to notice, on Wednesday, 

July 21, 2010 at the hour of 1:00 p.m. at 1021 North 

Grand Avenue, Springfield, Illinois, before CAROL 

WEBB, duly appointed Hearing Officer. 

L.A. REPORTING SERVICE 

(312)419-9292 

REPORTER: LAUREL A. PATKES, CSR #084-001340 

'•.-----------------------------------------------------------------~ 

Page 3 -

HEARING OFFICER WEBB: Good 

afternoon. My name is Carol Webb. This is the 

second hearing for Docket R10-21 entitled: In the · 

matter of 10-Year Federally Enforceable State 

Operating Permits (FESOP) Amendments to 35 Illinois 

Administrative Code Part 201.162. 

At this hearing, all references to : 

the Agency refer to the Illinois Environmental 

Protection Agency, and all dates refer to calendar 

year 2010. 

At today's hearing, the Board will j 

take any testimony on the merits and economic effect 

1 

of the Agency's April 20 regulatory proposal. The · 

proposal would extend from five to ten years the .· 

maximum term for which the Agency could issue a l 

~ 

Federally Enforceable State Operating Permit known 

as a FESOP. The sole provision of the air rules to 

11 

I: 

I 

be amended is Section 201.162. 

With me today is Board Member Carrie 

Zalewski who is coordinating this rulemaking. The 

assigned hearing officer in this proceeding is 

Kathleen Crowley. 

As announced at the first hearing 

held on July 8th, I'm conducting this hearing in 1

1 
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

( 

'· 13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

. ; 

P 4 : 

age 

place of Ms. Crowley to conserve travel costs for 

the board. 

Member Zalewski, do you have any : 

opening remarks you would like to make? 

MEMBER ZALEWSKI: Just again to thank 

everyone for their participation. 

HEARING OFFICER WEBB: Thank you. 

At this point, I would like to ask 

the Agency to please make your appearance on the 

record. 

MS. DOCTORS: My name is Rachel 

Doctors, and I am representing the Illinois EPA in 

this matter. 

HEARING OFFICER WEBB: Thank you. 

Before we begin, there is some 

information that must be entered into the record. 

At the July 8th hearing, Ms. Crowley 

stated that the first notice proposal was published 

in the Illinois Register on July 2nd at 35 Illinois 

Register 8508. The 45-day first notice comment 

period required by the Administrative Procedure Act 

expires on August 16th. This is the first business 

day after the 45th day. 

The first notice of publication 

: 

; 

1 I; 

I; 

; 

; 

; 
1 

Page 5 ll, 

included the dates of both scheduled hearings and ll 

2 referenced the hearing officer's June 9th order 

3 setting deadlines for the prefiling of testimony and 

4 addressing other procedural points. 

5 On June 24th, the Board submitted a 

6 written request to the Department of Commerce and 

7 Economic Opportunity, known as DCEO, that it perform 

8 an economic impact study, also known as EciS, as 

I, 

I 

I 

I 

f: 

I 

I 

I 

9 provided for in Section 27 of the Environmental , 

The Board asked DCEO to provide any i' 

I~ 

10 Protection Act. 

11 response by June 30th. I'' 

12 • No response has been received, and no 

; 

13 study has been filed. l 

14 Section 27(b) requires the Board to 

15 hold a hearing on the economic impact of the rules, 

16 any EciS submitted, and on any explanation DCEO 

17 provides for not conducting an EciS. Section 27(b) 

I; 

11 

ll 

18 allows the Board to dovetail the economic impact 

19 hearing with any other hearing. Any DCEO hearing 

20 issues can be addressed at today's hearing. 

21 We'll first allow the Agency to make 

! 

22 any comments or testimony followed by testimony of 

23 anyone concerning economic effects of the proposed 

24 rulemaking and any other matter. 
1 

2 

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13 

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Page 6 

I will note for the record that no 

members of the public are present. No testimony or 

questions have been prefiled by the Agency or any 

other person. 

Does the Agency have any additional 

testimony or information to present in support of 

its proposal today? 

MS. DOCTORS: No, it does not. 

I; 

I; 

li 

HEARING OFFICER WEBB: Thank you very . 

I' 1:. 

much. 

I 

As I said before, DCEO has not 

submitted an EciS or any explanation for its ' 

! 

decision not to perform one. : 

Does anyone have any testimony on ~ 

this or the economics of the proposal? 

I again note that there are no 

members of the public present who may have any 

comments, and there's no one other than the Agency 

present to make any testimony or statements. 

~ 

,: 

; 

,i 

11 

I' 

Okay. I~ Our last task today then is to J 

] set a date for the closing of post-hearing comments. ~ 

; 

As stated previously, the 45-day first notice : 

comment period required by the EPA began on ·July 2nd 

I; 

and ends August 16th. Section 102.108(b) of the 
1 

( 

2 

3 

4 

5 

6 

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8 

9 

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Page 7 ' 

Board's procedural rules also provides that the i 

Board will accept comments for 14 days after the 

receipt of the hearing transcript or at any other · 

date set by the hearing officer. 

The transcript for this hearing is 

due by August 2nd and the 14-day due date under . 

Section 102.108 would be August 16th. 

As the Board will not have sufficient 

time to issue an order for the August 19th Board 

meeting, we will set the date for the end of the 

comment period to August 20th. Comments must be in 

the Board's office by that date, and the mailbox 

rule of 35 Illinois Administrative Code 101.300(b) 

will not apply. 

The Board will consider any requests 

for extension of the comment period in light of the 1: 

Agency's preference that the rules be adopted as 

soon as possible to save renewal processing costs 

for both the Agency and the regulated community. 

Are there any other questions or 

1: 

i: 

li ll 

j 

1 

comments? 

Seeing none, I will thank you all for ,; 

' 

your participation. Thank you very much. 11 

(Conclusion of proceedings.) 

li 
1 STATE OF ILLINOIS ) 

) ss. 

2 COUNTY OF SANGAMON) 

3 

4 CERTIFICATE 

Page 8 

5 I, Laurel A. Patkes, Certified Shorthand 

6 Reporter in and for said County and State, do hereby 

7 certify that I reported in shorthand the foregoing 

8 proceedings and that the foregoing is a true and 

9 correct transcript of my shorthand notes so taken as 

10 aforesaid. 

11 I further certify that I am in no way 

12 associated with or related to any of the parties or 

13 attorneys involved herein, nor am I financially 

14 interested in this action. 

15 Dated this 23rd day of July 2010. 

16 

17 

18 

Certified Shorthand Reporter 

19 

20 

21 

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Attachment 

8 
ILLINOIS POLLUTION CONTROL BOARD 

October 7, 2010 

IN THE MATTER OF: ) 

) 

10-YEAR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS (FESOP): ) 

AMENDMENTS TO 35 ILL. ADM. CODE ) 

201.162 ) 

Proposed Rule. Second Notice. 

R10-21 

(Rulemaking -Air) 

OPINION AND ORDER OF THE BOARD (by C.K. Zalewski): 

The Board today adopts for second notice a proposal extending the maximum term that 

the Illinois Environmental Protection Agency (Agency or IEPA) could issue a Federally 

Enforceable State Operating Permit (FESOP) :from five years to ten. On April 20, 2010, the 

Agency filed a proposal for amendments to the Board's air rules pursuant to the general 

rulemakings provisions of Section 27 ofthe Illinois Environmental Protection Act (Act), 415 

ILCS 5/27 (2008) and the Board's procedural rules at 35 Ill. Adm. Code 102. The sole provision 

of the air rules to be amended is Section 201.162, codified at 3 5 Ill. Adm. Code 201.162. 

In a June 17, 2010 opinion and order, to expedite this rulemaking, the Board authorized 

first notice publication of the rules as proposed without commenting on the merits of the IEP A 

proposal. First notice of the proposed rules appeared in the July 2, 2010 Illinois Register. See 34 

Ill. Reg. 8508 (July 2, 2010). 

By today's action, the Board adopts this second-notice order, and directs that the 

proposed rule be submitted to the Joint Committee on Administrative Rules (JCAR) for its 

review under the Administrative Procedure Act (AP A), 415 ILCS 5/100 et. seq. (2008). The 

Board finds that this record demonstrates that the proposed rule if adopted is technically feasible, 

economically reasonable, and, in the words of Second 27(b) of the Act, will have no "adverse 

impact on the people ofthe state oflllinois." 415 ILCS 5/27(b) (2008). The second notice 

proposal contains no substantive changes :from the first notice proposal. 

In the opinion below, the Board first describes the details of the proposal filed by the 

Agency. The Board then provides the procedural history of the rulemaking to date, before 

summarizing the testimony of the sole witness, Bob Bemoteit, manager of the Agency's FESOP 

unit. The Board next provides analysis and conclusion on the rulemaking. Finally, the Board 

order directs the Clerk to file proposed amendments with the Joint Committee on Administrative 

Rules for second-review under the Illinois Administrative Procedure Act (AP A) (see 5 ILCS 

100/5-40(c) (2008)). 
THE PROPOSAL 

By way of background, on December 17, 1992, the United States Environmental 

Protection Agency (USEPA) approved the provisions ofthe Illinois (FESOP) program as part of 

the State hnplementation Plan (SIP) for meeting the goals of the Federal Clean Air Act (CAA). 

USEP A found that Illinois' FESOP program met all five criteria for approving a state operating 

pennit program as part of a SIP. Among other things, these criteria require that 

tenns of the (FESOP) permit and its renewal must be legally enforceable; the 

tenns and conditions of the permit must be at least as stringent as any other 

applicable limitation or requirement contained in the SIP or enforceable by the 

SIP or waive any requirements that are federally enforceable (e.g., standards 

established under section 111 or 112 of the Clean Air Act); the limitations, 

controls and requirements in the permit must be pennanent, quantifiable and 

otherwise enforceable as a practical matter; and the permits must be issued 

pursuant to public participation. Id. 

USEP A restated its approval ... when it approved the Clean Air Act Pe1mit 

Program ("CAAPP") pursuant to Section 39.5 ofthe Act. Subsection 3.3(c) of 

Section 39.5 of the Act, gives the Illinois EPA the authority to issue FESOPs for 

the purposes oflirniting a sources potential to emit pursuant to the Illinois EPA's 

general authority to issue state permits under Section 39(a) of the Act. SR at 1-2. 

Board rules for issuance of state air pollution control permits are codified at 35 Ill. Adm. 

Code 201. Section 201.162 specifies the duration that permits can be issued as either subject to 

Section 201.169 (perpetual permits) or five years. This proposal seeks to extend the term of 

State operating permits :from five to ten years. This proposal does not change the term of 

perpetual permits issued pursuant to Section 201.169 or CAAPP permits issued pursuant to 

Section 39.5 of the Act. SR at 2. 

The Agency relates that two other states have adopted or are in the process of adopting 

rules extending the term ofFESOPs :from five to ten years; final USEPA approval for Indiana's 

rule was published at 74 Fed.Reg. 51240 (Oct. 6, 2009). SR at 3, and Att: A. 

The Agency explains that FESOP sources are located throughout the state, and that the 

proposed rules will affect approximately 800 sources that that have applied for or obtained 

FESOPs. SR at 4 and Att. B. The Agency explains that IEPA has averaged 61 new FESOP 

applications each year since the year 2000 and 66 FESOP renewal applications each year over 

the last ten years. If the proposal is adopted, 

when these applications come in and are reviewed, at the discretion of the Illinois 

EPA, the permits will be granted for a term of ten years. The Illinois EPA may 

choose to issue a FESOP for a term shorter than ten years. FESOPs that are issued 

for a term shorter than ten years include situations in which the source may have 

been out of compliance with the applicable requirements prior to issuance ofthe 
FESOP and need to perfonn additional perfonnance testing to demonstrate or 

confinn compliance with the applicable requirements. SR at 3. 

The Agency explains that the amendments are "expected to reduce administrative 

costs of the permitting process for both the affected sources and the Illinois EPA." SR at 

5. The Agency states that its outreach to affected sources included e-mail in January 

2010, as well as a notice on its website. The Agency states that in response, it received 

three oral comments. Two of these supported the proposal, while one expressed a 

concern. 

PROCEDURAL HISTORY 

The Agency filed this proposal on April20, 2010. By order ofMay 6, 2010, the Board 

accepted the proposal for hearing, and by order of June 17, 2010, the Board authorized firstnotice publication in the Illinois Register. A June 9, 2010 hearing officer order set hearings for 

July 8, 2010 in Chicago and July 21, 2010 in Springfield, and also set deadlines for the pre-filing 

of testimony. 

In a letter dated June 24,2010, the Board requested the Director ofthe Department of 

Commerce and Economic Opportunity (DCEO) to prepare an economic impact study (EelS) 

concerning this rulemaking as required by Section 27(b) of the Act. 415 ILCS 5/27(b) (2008). In 

the letter, the Board explained the circumstances of the rule, the hearing schedule established, 

and the Board's desire not to hold a third hearing. The Board requested a DCEO response no 

later than June 30, 2010. DCEO responded in a letter dated July 19, 2010, declining the Board's 

request, stating that the Department was unable to undertake the economic impact study "at this 

time". 

First notice of the proposed rules appeared in the July 2, 2010 Illinois Register. See 34 

Ill. Reg. 8508(July 2, 201 0). Accordingly, the 45-day APA written public comment period 

extended through August 16, 2010. 

The first hearing was held in Chicago on July 8, 2010, conducted by Hearing Officer 

Kathleen M. Crowley. Representatives from the Board and the Agency were in attendance. The 

Agency presented testimony timely pre-filed on June 29, 2010, by Mr. Bob Bernoteit. Mr. 

Bernoteit has been the manager of the FESOP Unit at the Agency in the Division of Air 

Pollution Control Permit Section since 2004. This testimony was also entered into the record as 

Exhibit 1. 7/08110 at Tr. 7. Hearing Officer Crowley asked questions regarding listing the 

expiration date on the face of the permit, costs associated with applying for FESOP renewal 

permits, and the expected effect the proposal would have on the Agency's workload. 7/08/10 at 

Tr.8-10. 

The second hearing was held on July 21, 2010, in Springfield, conducted by Hearing 

Officer Webb 1

. Only Counsel for the Agency and representatives from the Board were present. 

1 Hearing Officer Crowley explained that the second hearing might be conducted by Springfieldbased Hearing Officer Carol Webb, to economize on Board travel expenses. 7/08/10 Tr. at 10. 
One ofthe specific purposes of the rule was to accept testimony conceming economic effects of 

the proposal and the DCEO's decision not to perform an EelS. No further testimony was prefiled or presented at hearing by any person, and no questions were asked. 7/08110 at Tr. 6. 

Section 1 02.1 08(b) of the Board's procedural rules also provides that the Board will 

accept comments for 14 days after the receipt of the hearing transcript, or at any other date set by 

the hearing officer. Based on the expected August 2, 2010 date for transcript receipt and the 

Board's meeting schedule, the close ofthe comment period was set for August 20,2010. 

7/21/10 Tr. at 7. No post hearing comments were filed with the Board. 

HEARING TESTIMONY 

The only witness that testified was Bob Bemoteit from the Agency. Mr. Bemoteit has 

been employed since February 2004, as the manager ofthe FESOP Unit in the Division of the 

Air Pollution Control Pennit Section at the Agency. Exh. 1 at 1. 

Mr. Bemoteit testified that the proposal extends the maximum term that a FESOP may be 

issued from five to ten years and that the Illinois EPA retains the discretion that is currently 

under Section 201.162 to issue permits for a tenn that is shorter than the maximum tenn. Under 

the proposal, the term for CAAPP permits issued pursuant to Section 39.5 of the Act, except for 

sources exempted from CAAPP pursuant to subsection 1.1 of Section 3 9. 5 of the Act would 

remain five years as required by statute. 415 ILCS 5/39.5(1.1). Further, owners or operators of 

sources not subject to CAAPP or requiring a FESOP would remain subject to the requirements of 

Section 201.169, which grants permits indefinitely. Mr. Bemoteit further testified that two other 

states have adopted or are in the process of adopting rules extending the tenn of FESOPs from 

five to ten years. The State oflndiana received final approval of their rule on October 6, 2009. 

74 Fed. Reg. 51240. Exh. 1 at 1. 

Mr. Bemoteit explained that the IEP A averaged 61 new FESOP applications each year 

since the year 2000 and 66 FESOP renewal applications each year over the last ten years. If the 

proposal is adopted, when these applications come in and are reviewed, the pennits will be 

granted for a term ofup to ten years. The IEPA may choose to issue a FESOP for a tenn shorter 

than ten years. FESOPs that are issued for a term shorter than ten years may result from 

situations in which the source may have been out of compliance with the applicable requirements 

prior to issuance of the FESOP and where the source needs to perform additional performance 

testing to demonstrate or confinn compliance with the applicable requirements. Exh. 1 at 1-2. 

Mr. Bemoteit further testified that granting FESOPs for a longer tenn will not affect the 

implementation of air pollution control programs or enforcement of air quality standards in the 

State of Illinois. Sources must comply with all applicable requirements of the Board's rules or 

the Act, regardless ofthe length of a FESOP's term of the time of its issuance. Exh. 1 at 2. 

FESOPs generally contain limits on the operations of the source which effectively restrict 

the source's potential to emit. Draft FESOP permits undergo public notice and are subject to 
public comments. A FESOP does not impact any previously or newly applicable substantive 

requirements of the Act, the Board's rules or the CAA, such as a new maximum achievable 

control technology standard under Section 112 of the CAA. Such requirements remain 

independently enforceable. Similarly, owners and operators of FE SOP sources will still need to 

meet all applicable requirements under the Act, including those related to new construction. 

Therefore, Mr. Bemoteit explained, an extension of the term for an initial or a renewal of a 

FESOP from five to ten years does not delay an owner or operator's obligation to comply with 

all applicable requirements. Exh. 1 at 3. Concerning economic reasonableness and technical 

feasibility, Mr. Bemoteit testified that the entire State of Illinois will be affected, as no single 

region contains all FESOP sources. The proposed regulations will affect all of the approximately 

800 sources in Illinois that have either applied for or have obtained a FESOP. Exh. 1 at 3. 

Mr. Bemoteit believes that this proposal will have a positive economic impact on affected 

sources by reducing time spent on permit renewal applications. This proposal will also reduce 

the costs of the IEP A associated with the time and effect required for processing these pennit 

renewal applications. While sources with FESOP pennits represent only a small amount of 

emissions in Illinois, they require a large proportion of the IEPA's pennitting resources. The 

reduced frequency of these renewals is expected to provide a significant time savings for the 

IEP A. Within five years of adoption of this proposal, IEP A anticipates that the workload related 

to FESOP renewals will decrease by approximately 10%. Exh. 1 at 4. 

In sum, Mr. Bemoteit concluded that the proposal imposes no new regulatory 

requirements on affected sources. The amendments to Section 201.162 merely extend the 

duration ofFESOPs. The amendments are expected to reduce administrative costs of the 

permitting process for both affected sources and the IEP A. As this proposal imposes no new 

requirements or costs on affected sources, in !EPA's opinion, the proposal is both technically and 

economically feasible. Exh. 1 at 4. 

At the first hearing, the hearing officer asked a few questions of Mr. Bemoteit. Mr. 

Bemoteit verified that FESOP permits will continue to list the expiration date on the face of the 

permit, so that a source will clearly know the term of the permit issued to him. 7/8/10 Tr. at 8. 

As to the cost of preparing FESOP renewal applications, Mr. Bemoteit opined that this cost 

should be about $200 each, since these are "straightforward", two-page applications. 7/8110 Tr. 

at 9. If the proposal is adopted, the Agency expects a 5% decrease in its workload within five 

years, resulting in savings in processing, manpower, and so on. 7/8110 Tr. at 10. 

At the second heating, Mr. Benoteit presented no new testimony, and no questions were 

asked of him. Mr. Bemoteit's pre-filed testimony for the first hearing was the only exhibit 

submitted by the Agency in this proceeding. 

DISCUSSION 

The facts presented here are clear and uncontested. In contrast to most proposals filed 

with the Board, this rulemaking involves a single section and a single issue, posing a simple 

question: should the Agency have the option of issuing FESOPs for ten years in appropriate 

cases? In light of the testimony and uncontroverted support ofthe change, the Board finds that 
the answer is clearly "yes." Indeed, two other states have adopted or are in the process of 

adopting rules extending the term ofFESOPs from five to ten years; final USEPA approval for 

Indiana's rule was published at 74 Fed.Reg. 51240 (Oct. 6, 2009). 

As described above, the Agency presented clear and uncontested testimony from Mr. Bob 

Bemoteit from the Agency's Division of the Air Pollution Control Permit Section explaining the 

expected reduction of administrative resources and costs to both the affected sources with a 5% 

decrease of workload ofFESOP renewals for the Agency within five years of the adoption of the 

proposal. 

Accordingly, the Board finds that the facts presented in support of the Agency's proposal 

are uncontroverted and that the proposal will have a positive economic impact on affected 

sources by reducing time spent on permit renewal applications. The proposal will also reduce 

the costs to the IEP A associated with the time and resources required for processing the 

numerous permit renewal applications. 2 

Meanwhile, the Board finds that !EPA's granting FESOPs for a longer term will not 

affect the implementation of air pollution control programs or enforcement of air quality 

standards in the State of Illinois and is compliant with all applicable federal standards. To be 

sure, as this proposal sunsets regulatory provisions, the proposal would impose no new 

requirements or costs on associated affected sources. The Board accordingly finds that this 

record demonstrates that the proposed rule if adopted is technically feasible, economically 

reasonable, and, in the words of Section 27(b) ofthe Act, will have no "adverse economic impact 

on the people ofthe state oflllinois." 415 ILCS 5/27(b) (2008). 

For all of the foregoing reasons, the Board adopts the proposed Section 201.162 set forth 

below for second-notice review by JCAR under the AP A. The rule text itself is substantively 

unchanged since first-notice publication. 

ORDER 

The Board directs the Clerk to submit the following proposed rules to the Joint 

Committee on Administrative Rules for its second notice review under the AP A. 

TITLE 35: ENVIRONMENTAL PROTECTION 

SUBTITLE B: AIR POLLUTION 

CHAPTER I: POLLUTION CONTROL BOARD 

SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS 

PART 201 

PERMITS AND GENERAL PROVISIONS 

SUBPART A: DEFINITIONS 

2 The Board notes that reduction of the number ofFESOP applications could potentially result in 

reduction of the number of appeals of IEP A FESOP permitting decisions to the Board. 
Section 

201.101 

201.102 

201.103 

201.104 

Section 

201.121 

201.122 

201.123 

201.124 

201.125 

201.126 

Section 

201.141 

201.142 

201.143 

201.144 

201.146 

201.147 

201.148 

201.149 

201.150 

201.151 

Section 

201.152 

201.153 

201.154 

201.155 

201.156 

201.157 

201.158 

201.159 

201.160 

201.161 

201.162 

201.163 

Other Definitions 

Definitions 

Abbreviations and Units 

Incorporations by Reference 

SUBPART B: GENERAL PROVISIONS 

Existence of Permit No Defense 

Proof of Emissions 

Burden of Persuasion Regarding Exceptions 

Annual Report 

Severability 

Repealer 

SUBPART C: PROHIBITIONS 

Prohibition of Air Pollution 

Construction Permit Required 

Operating Permits for New Sources 

Operating Pennits for Existing Sources 

Exemptions from State Permit Requirements 

Former Permits 

Operation Without Compliance Program and Project Completion Schedule 

Operation During Malfunction, Breakdown or Startups 

Circumvention 

Design of Effluent Exhaust Systems 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Contents of Application for Construction Permit 

Incomplete Applications (Repealed) 

Signatures (Repealed) 

Standards for Issuance (Repealed) 

Conditions 

Contents of Application for Operating Pennit 

Incomplete Applications 

Signatures 

Standards for Issuance 

Conditions 

Duration 

Joint Construction and Operating Permits 
201.164 

201.165 

201.166 

201.167 

201_.168 

201.169 

201.170 

Design Criteria 

Hearings 

Revocation 

Revisions to Pennits 

Appeals from Conditions 

Special Provisions for Certain Operating Permits 

Portable Emission Units 

SUBPART E: SPECIAL PROVISIONS FOR OPERATING PERMITS FOR CERTAIN 

SMALLER SOURCES 

Section 

201.180 

201.181 

201.187 

Section 

201.207 

201.208 

201.209 

201.210 

201.211 

201.212 

Applicability (Repealed) 

Expiration and Renewal (Repealed) 

Requirement for a Revised Permit (Repealed) 

SUBPART F: CAAPP PERMITS 

Applicability 

Supplemental Information 

Emissions of Hazardous Air Pollutants 

Categories of Insignificant Activities or Emission Levels 

Application for Classification as an Insignificant Activity 

Revisions to Lists of Insignificant Activities or Emission Levels 

SUBPART G: EXPERIMENTAL PERMITS 

(Reserved) 

SUBPART H: COMPLIANCE PROGRAMS AND PROJECT COMPLETION SCHEDULES 

Section 

201.241 

201.242 

201.243 

201.244 

201.245 

201.246 

201.247 

Section 

201.261 

Contents of Compliance Program 

Contents ofProject Completion Schedule 

Standards for Approval 

Revisions 

Effects of Approval 

Records and Reports 

Submission and Approval Dates 

SUBPART I: MALFUNCTIONS, BREAKDOWNS OR STARTUPS 

Contents of Request for Permission to Operate During a Malfunction, Breakdown 

or Startup 
201.262 

201.263 

201.264 

201.265 

Section 

201.281 

201.282 

201.283 

Section 

201.301 

201.302 

Section 

201.401 

201.402 

201.403 

201.404 

201.405 

201.406 

201.407 

201.408 

Standards for Granting Permission to Operate During a Malfunction, Breakdown 

or Startup 

Records and Reports 

Continued Operation or Startup Prior to Granting of Operating Pennit 

Effect of Granting of Permission to Operate During a Malfunction, Breakdown or 

Startup 

SUBPART J: MONITORING AND TESTING 

Pennit Monitoring Equipment Requirements 

Testing 

Records and Reports 

Records 

Reports 

SUBPART K: RECORDS AND REPORTS 

SUBPART L: CONTINUOUS MONITORING 

Continuous Monitoring Requirements 

Altemative Monitoring 

Exempt Sources 

Monitoring System Malfunction 

Excess Emission Reporting 

Data Reduction 

Retention of Infonnation 

Compliance Schedules 

201.APPENDIX A Rule into Section Table 

201.APPENDIX B Section into Rule Table 

201.APPENDIX C Past Compliance Dates 

AUTHORITY: Implementing Sections 10, 39, and 39.5 and authorized by Section 27 ofthe 

Environmental Protection Act [415 ILCS 5/10,27,39, and 39.5]. 

SOURCE: Adopted as Chapter 2: Air Pollution, Part I: General Provisions, in R71-23, 4 PCB 

191, filed and effective April14, 1972; amended in R78-3 and 4, 35 PCB 75 and 243, at 3 Ill. 

Reg. 30, p. 124, effective July 28, 1979; amended in R80-5, at 7 Ill. Reg. 1244, effective January 

21, 1983; codified at 7 Ill. Reg. 13579; amended in R82-1 (Docket A) at 10 Ill. Reg. 12628, 

effective July 7, 1986; amended in R87-38 at 13 Ill. Reg. 2066, effective February 3, 1989; 

amended in R89-7(A) at 13 Ill. Reg. 19444, effective December 5, 1989; amended in R89-7(B) 

at 15 Ill. Reg. 17710, effective November 26, 1991; amended in R93-11 at 17 Ill. Reg. 21483, 
effective December 7, 1993; amended in R94-12 at 18 Ill. Reg. 15002, effective September 21, 

1994; amended in R94-14 at 18 Ill. Reg. 15760, effective October 17, 1994; amended in R96-17 

at 21 Ill..Reg. 7878, effective June 17, 1997; amended in R98-13 at 22 Ill. Reg. 11451, effective 

June 23, 1998; amended in R98-28 at 22 Ill. Reg. 11823, effective July 31, 1998; amended in 

R02-10 at 27 Ill. Reg. 5820, effective March 21, 2003; amended in R05-19 and R05-20 at 30 Ill. 

Reg. 4901, effective March 3, 2006; amended in R07-19 at 33 Ill. Reg. 11965, effective 

August 6, 2009; amended in R1 0-21 at 34 Ill. Reg. , effective __ _ 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Section 201.162 Duration 

a) No operating permit shall be valid longer than ten fi.¥e-years or such shorter 

period as the Agency may specify in the operating pennit as necessary to 

accomplish the purposes ofthe Act and this Chapter,_ unless the source is subject 

to: 

1) Section 201.169 ofthis Subpart,;_or 

2) Section 39.5 of the Act, except for sources exempt pursuant to subsection 

H of Section 39.5(1.1). 

b) Applications for renewal of an operating permit shall be submitted to the Agency 

at least 90 days prior to the expiration of the prior permit, and shall confonn to 

Sections 201.157, 201.158 and 201.159. The standards for issuance of renewal of 

operating pennits shall be as set forth in Section 201.160. 

(Source: Amended at 34 Ill. Reg. __ , effective ) 

IT IS SO ORDERED. 

I, John T. Therriault, Assistant Clerk of the Illinois Pollution Control Board, certify that 

the Board adopted the above opinion and order on October 7, 2010 by a vote of 5-0. 

John T. Therriault, Assistant Clerk 

Illinois Pollution Control Board 
Attachment 

9 
JOINT COMMITTEE ON ADMINISTRATIVE RULES 

ILLINOIS GENERAL ASSEMBLY 

. CO-CHAIR: 

' MAGGIE CROTTY 

CO-CHAIR: 

REP. ANGELO 'SKIP' SAVIANO 

EXECUTIVE DIRECTOR: 

VICKI THOMAS 

Tanner Girard, Chairman 

Pollution Control Board 

]3J11eS R. Thompson Center 

100 W. Randolph, Suite 11-500 

Chicago, Illinois 60601 

Dear Chairman Girard: 

700 STRATION BUILDING 

SPRINGFIELD, ILLINOIS 62705 

217/785-2254 

November 16, 201 0 

SEN. J. BRADLEY BUR2YNSKI 

SEN. RANDALL HULTGREN 

SEN. MATIIE HUt•lTER 

SEN. DAN RUTHERFORD 

SEN. IRA SILVERSTEIN 

REP. JOHN FRITCHEY 

REP. LOU LANG 

REP. DAVID MILLER 

REP. DONALD MOFFITI 

REP. nv~>toiVII"r. 

This is to notify you that JCAR considered the following proposed rulemakings at its 11/16/10 

meeting: 

General Provisions (35 ill. Adm. Code 101) 

34 Ill. Reg. 8500 - 7/2110 

Permits and General Provisions (35 Ill. Adm. Code 201) 

34 Ill. Reg. 8508-7/2110 

If your agency has agreed to any substantive modifications during its discussions with JCAR, 

they are described in the "Agreements" attached to the certification. Based on these agreements, 

as well as the other responses you have provided the Committee during the review of these 

rulemakings, JCAR has determined that No Objection will be issued. Enclosed you will find 

formal certification of this action. 

These rule makings may now be adopted upon filing with the Office of the Secretary of State. 

Please note that the fact that the Committee has not objected to these rulemakings does not 

necessarily constitute approval, expressed or implied, of the substance of the rulemakings. 

Thank you for the cooperation your agency has shown during our review of these issues. 

Sincerely, 

) 

,/;J;~lfj~ 

Senator Maggie Crotty 

Co-Chairman 

SMC:RBH:DC:rm 

cc: Marie Tipsord 

Kathleen Crowley 

En c. 
CO-CHAIR: 

SEN. MAGGIE CROTTY 

CO-CHAIR: 

REP. ANGELO "SKIP• SAVIANO 

EXECUTIVE DIRECTOR: 

VICKI THOMAS 

JOINT COMMITTEE ON ADMINISTRATIVE RULES 

ILLINOIS GENERAL ASSEMBLY 

700 STRATTON BUILDING 

SPRINGFIELD, ILUNOIS 62706 

217/785-2254 

JOINT COMMITTEE ON ADMINISTRATIVE RULES 

CERTIFICATION OF NO OBJECTION 

TO PROPOSED RULEMAKING 

SEN. J. BRADLEY BURZVNSI".,l 

SEN. RANDALL HULT<tAEN ' 

SEN. MATTIE HUNTER 

SEN. DAN RUTHERFORD 

SEN. IRA SILVERSTEIN 

REP. JOHN FRITCHEY 

REP. LOU LANG 

REP. DAVID MILLER 

REP. DONALD MOFFITT 

REP. ROSEMARY MULLIGAN 

This is to certify that the Joint Committee on Administrative Rules, at its 11/16/10 meeting, 

considered Permits and General Provisions (35 Ill. Adm. Code 201), proposed by the Pollution 

Control Board and published in the 7/2/10 issue of the Illinois Register. After consideration, and 

based upon the agreements, if any, for modification of the rulemaking made by the agency and 

attached to this document, the Committee determined that no Objection will be issued to the 

above-mentioned rulemaking. 

November 16,2010 

Attachments: None 

Vicki Thomas 

Executive Director 
CO-CHAIR: 

K K S5,.. MAGGIE CROTTY 

CO-CHAIR: 

REP. ANGELO "SKIP" SAVIANO 

EXECUTIVE DIRECTOR: 

VICKI THOMAS 

JOINT COMMITTEE ON ADMINISTRATIVE RULES 

ILLINOIS GENERAL ASSEMBLY 

700 STRATTON BUILDING 

SPRINGFIELD, ILLINOIS 62706 

217/785-2254 

JOINT COMMITTEE ON ADMINISTRATIVE RULES 

CERTIFICATION OF NO OBJECTION 

TO PROPOSED RULEMAK.ING 

SEN. J. BRADLEY BUR2YNSKI 

SEN. RANDALL HULTGREN 

SEN. MATTIE HUNTER 

SEN. DAN RUTHERFORD 

SEN. IRA SILVERSTEIN 

REP. JOHN FRITCHEY 

REP. LOU LANG 

REP. DAVID MILLER 

REP. DONALD MOFFITT 

REP. ROSEMARY MULLIGAN 

This is to certify that the Joint Committee on Administrative Rules, at its 11116/10 meeting, 

considered General Provisions (35 Ill. Adm. Code 101 ), proposed by the Pollution Control Board 

and published in the 7/2/10 issue ofthe Illinois Register. After consideration, and based upon the 

agreements, if any, for modification of the rulemaking made by the agency and attached to this 

document, the Committee determined that no Objection will be issued to the above-mentioned 

rulemaking. 

November 16,2010 ~____...-r-f 1f[ki Thomas 

Executive Director 

Attachments: None 
Attachment 

10 
ILLINOIS POLLUTION CONTROL BOARD 

November 18,2010 

IN THE MATTER OF: ) 

) 

10-YEAR FEDERALLY ENFORCEABLE ) 

STATE OPERATING PERMITS (FESOP): ) 

AMENDMENTS TO 35 ILL. ADM. CODE ) 

201.162 ) 

Adopted Rule. Final Opinion and Order. 

R10-21 

(Rulemaking -Air) 

OPINION AND ORDER OF THE BOARD (by C.K. Zalewski): 

The Board today adopts amendments to the air rules extending the maximum tenn that 

the Illinois Environmental Protection Agency (Agency or IEPA) can issue a Federally 

Enforceable State Operating Permit (FESOP) from five years to ten. On April 20, 2010, the 

Agency filed a proposal for amendments to the Board's air rules pursuant to the general 

rulemakings provisions of Section 27 ofthe Illinois Enviromnental Protection Act (Act), 415 

ILCS 5/27 (2008) and the Board's procedural rules at 35 Ill. Adm. Code 102. The sole provision 

of the air rules to be amended is Section 201.162, codified at 35 Ill. Adm. Code 201.162. The 

Board finds that this record demonstrates that the adopted rule is technically feasible, 

economically reasonable, and, in the words of Second 27(b) of the Act, will have no "adverse 

impact on the people ofthe state of Illinois." 415 ILCS 5/27(b) (2008). 

In a June 17, 2010 opinion and order, to expedite this rulemaking, the Board authorized 

first notice publication of the rules as proposed without commenting on the merits of the IEPA 

proposal. First notice of the proposed rules appeared in the July 2, 2010 Illinois Register. See 34 

Ill. Reg. 8508 (July 2, 2010). No comments were received during the first notice period. In its 

October 7, 2010 second notice opinion and order, the Board made no changes to the rule as 

proposed. 

As required under the Administrative Procedure Act (AP A), 415 ILCS 5/100 et. seq. 

(2008), the Joint Committee on Administrative Rules (JCAR) reviewed the rule at its November 

18,2010 meeting. JCAR voted a certificate of no objection, and suggested no changes. 

In the opinion below, the Board first describes the details of the proposal filed by the 

Agency. The Board then provides the procedural history of the rulemaking to date, before 

summarizing the testimony of the sole witness, Bob Bemoteit, manager of the Agency's FESOP 

unit. The Board next provides analysis and conclusion on the rulemaking. Finally, the Board 

order directs the Clerk to file the adopted amendments with the Secretary of State, to become 

effective upon filing. 
., 

2 

THE PROPOSAL 

By way ofbackground, on December 17, 1992, the United States Environmental 

Protection Agency (USEPA) approved the provisions of the Illinois (FESOP) program as part of 

the State hnplementation Plan (SIP) for meeting the goals of the Federal Clean Air Act (CAA). 

USEPA found that Illinois' FESOP program met all five crite1ia for approving a state operating 

pennit program as part of a SIP. Among other things, these criteria require that 

tenns of the (FESOP) permit and its renewal must be legally enforceable; the 

tenns and conditions of the permit must be at least as stringent as any other 

applicable limitation or requirement contained in the SIP or enforceable by the 

SIP or waive any requirements that are federally enforceable (e.g., standards 

established under section 111 or 112 of the Clean Air Act); the limitations, 

controls and requirements in the pennit must be permanent, quantifiable and 

otherwise enforceable as a practical matter; and the permits must be issued 

pursuant to public participation. !d. 

USEP A restated its approval ... when it approved the Clean Air Act Permit 

Program ("CAAPP") pursuant to Section 39.5 ofthe Act. Subsection 3.3(c) of 

Section 39.5 of the Act, gives the Illinois EPA the authority to issue FESOPs for 

the purposes oflimiting a sources potential to emit pursuant to the Illinois EPA's 

general authority to issue state permits under Section 39(a) of the Act. SR at 1-2. 

Board rules for issuance of state air pollution control permits are codified at 35 Ill. Adm. 

Code 201. Section 201.162 specifies the duration that permits can be issued as either subject to 

Section 201.169 (perpetual permits) or five years. This proposal seeks to extend the term of 

State operating pennits from five to ten years. This proposal does not change the tenn of 

perpetual pennits issued pursuant to Section 201.169 or CAAPP pennits issued pursuant to 

Section 39.5 of the Act. SR at 2. ' 

The Agency relates that two other states have adopted or are in the process of adopting 

rules extending the term ofFESOPs from five to ten years; final USEPA approval for Indiana's 

rule was published at 74 Fed.Reg. 51240 (Oct. 6, 2009). SR at 3, and Att. A. 

The Agency explains that FESOP sources are located throughout the state, and that the 

proposed rules will affect approximately 800 sources that that have applied for or obtained 

FESOPs. SR at 4 and Att. B. The Agency explains that IEPA has averaged 61 new FESOP 

applications each year since the year 2000 and 66 FESOP renewal applications each year over 

the last ten years. If the proposal is adopted, 

when these applications come in and are reviewed, at the discretion of the Illinois 

EPA, the pennits will be granted for a term of ten years. The Illinois EPA may 

choose to issue a FESOP for a term shorter than ten years. FESOPs that are issued 

for a term shorter than ten years include situations in which the source may have 

been out of compliance with the applicable requirements prior to issuance of the 
3 

FESOP and need to perfonn additional performance testing to demonstrate or 

confinn compliance with the applicable requirements. SR at 3. 

The Agency explains that the amendments are "expected to reduce administrative 

costs of the pennitting process for both the affected sources and the Illinois EPA." SR at 

5. The Agency states that its outreach to affected sources included e-mail in January 

2010, as well as a notice on its website. The Agency states that in response, it received 

three oral comments. Two of these supported the proposal, while one expressed a 

concern. 

PROCEDURAL HISTORY 

The Agency filed this proposal on April20, 2010. By order ofMay 6, 2010, the Board 

accepted the proposal for hearing, and by order of June 17, 2010 the Board authorized firstnotice publication in the Illinois Register. A June 9, 2010 hearing officer order set hearings for 

July 8, 2010 in Chicago and July 21,2010 in Springfield, and also set deadlines for the pre-filing 

of testimony. 

In a letter dated June 24, 2010, the Board requested the Director of the Department of 

Cmmnerce and Economic Opportunity (DCEO) to prepare an economic impact study (EelS) 

concerning this rulemaking as required by Section 27(b) of the Act. 415 ILCS 5/27(b) (2008). In 

the letter, the Board explained the circumstances of the rule, the hearing schedule established, 

and the Board's desire not to hold a third hearing. The Board requested a DCEO response no 

later than June 30,2010. DCEO responded in a letter dated July 19,2010, declining the Board's 

request, stating that the Department was unable to undertake the economic impact study "at this 

time". 

First notice of the proposed rules appeared in the July 2, 2010 Illinois Register. See 34 

Ill. Reg. 8508 (July 2, 2010). Accordingly, the 45-day APA written public comment period 

extended through August 16, 2010. 

The first hearing was held in Chicago on July 8, 2010, conducted by Hearing Officer 

Kathleen M. Crowley. Representatives from the Board and the Agency were in attendance. The 

Agency presented testimony timely pre-filed on June 29, 2010 by Mr. Bob Bernoteit. Mr. 

Bernoteit has been the manager of the FESOP Unit at the Agency in the Division of Air 

Pollution Control Pennit Section since 2004. This testimony was also entered into the record as 

Exhibit 1. 7/08/10 at Tr. 7. Hearing Officer Crowley asked questions regarding listing the 

expiration date on the face of the pennit, costs associated with applying for FESOP renewal 

permits, and the expected effect the proposal would have on the Agency's workload. 7/08110 at 

Tr. 8-10. 

The second hearing was held on July 21,2010 in Springfield, conducted by Hearing 

Officer Webb 1

• Only Counsel for the Agency and representatives from the Board were present. 

1 Hearing Officer Crowley explained that the second hearing might be conducted by Springfieldbased Hearing Officer Carol Webb, to economize on Board travel expenses. 7/08/10 Tr. at 10. 
. ' 

4 

One of the specific purposes ofthe rule was to accept testimony concerning economic effects of 

the proposal and the DCEO's decision not to perfonn an EelS. No further testimony was prefiled or presented at hearing by any person, and no questions were asked. 7/08110 at Tr. 6. 

Section 102.108(b) ofthe Board's procedural rules also provides that the Board will 

accept comments for 14 days after the receipt of the hearing transcript, or at any other date set by 

the hearing officer. Based on the expected August 2, 2010 date for transcript receipt and the 

Board's meeting schedule, the close ofthe comment period was set for August 20,2010. 

7/21110 Tr. at 7. No post hearing comments were filed with the Board. 

In its October 7, 2010 second notice opinion and order, the Board made no changes to the 

rule as proposed. JCAR reviewed the rule at its November 18, 2010 meeting. JCAR voted a 

certificate of no objection, and suggested no changes. Accordingly, the Board adopts as a final 

rule, without change, the amendments as proposed at second notice. 

HEARING TESTIMONY 

The only witness that testified was Bob Bemoteit from the Agency. Mr. Bemoteit has 

been employed since February 2004 as the manager of the FESOP Unit in the Division of the Air 

Pollution Control Permit Section at the Agency. Exh. 1 at 1. 

Mr. Bemoteit testified that the proposal extends the maximum term that a FESOP may be 

issued from five to ten years and that the Illinois EPA retains the discretion that is currently 

under Section 201.162 to issue permits for a tenn that is shorter than the maximum term. Under 

the proposal, the tenn for CAAPP permits issued pursuant to Section 39.5 of the Act, except for 

sources exempted from CAAPP pursuant to subsection 1.1 of Section 39.5 of the Act would 

remain five years as required by statute. 415 ILCS 5/39.5(1.1). Further, owners or operators of 

sources not subject to CAAPP or requiring a FESOP would remain subject to the requirements of 

Section 201.169, which grants pennits indefinitely. Mr. Bemoteit further testified that two other 

states have adopted or are in the process of adopting rules extending the tenn of FESOPs from 

five to ten years. The State oflndiana received final approval of their rule on October 6, 2009. 

74 Fed. Reg. 51240. Exh. 1 at 1. 

Mr. Bemoteit explained that the IEP A averaged 61 new FESOP applications each year 

since the year 2000 and 66 FESOP renewal applications each year over the last ten years. If the 

proposal is adopted, when these applications come in and are reviewed, the pennits will be 

granted for a term of up to ten years. The IEPA may choose to issue a FESOP for a term shorter 

than ten years. FESOPs that are issued for a term shorter than ten years may result from 

situations in which the source may have been out of compliance with the applicable requirements 

prior to issuance of the FESOP and where the source needs to perform additional performance 

testing to demonstrate or confirm compliance with the applicable requirements. Exh. 1 at 1-2. 

Mr. Bemoteit further testified that granting FESOPs for a longer term will not affect the 

implementation of air pollution control programs or enforcement of air quality standards in the 
5 

State of Illinois. Sources must comply with all applicable requirements of the Board's rules or 

the Act, regardless of the length of a FESOP's tenn of the time of its issuance. Exh. 1 at 2. 

FESOPs generally contain limits on the operations of the source which effectively restrict the 

source's potential to emit. Draft FESOP pennits undergo public notice and are subject to public 

comments. A FESOP does not impact any previously or newly applicable substantive 

requirements of the Act, the Board's rules or the CAA, such as a new maximum achievable 

control technology standard under Section 112, of the CAA. Such requirements remain 

independently enforceable. Similarly, owners and operators of FE SOP sources will still need to 

meet all applicable requirements under the Act, including those related to new construction. 

Therefore, Mr. Bernoteit explained, an extension of the term for an initial or a renewal of a 

FESOP from five to ten years does not delay an owner or operator's obligation to comply with 

all applicable requirements. Exh. 1 at 3. 

Concerning economic reasonableness and technical feasibility, Mr. Bernoteit testified 

that the entire State of Illinois will be affected, as no single region contains all FESOP sources. 

The proposed regulations will affect all ofthe approximately 800 sources in Illinois that have 

either applied for or have· obtained a FESOP. Exh. 1 at 3. 

Mr. Bernoteit believes that this proposal will have a positive economic impact on affected 

sources by reducing time spent on permit renewal applications. This proposal will also reduce 

the costs of the iEPA associated with the time and effect required for processing these permit 

renewal applications. While sources with FESOP permits represent only a small amount of 

emissions in Illinois, they require a large proportion of the IEP A's pennitting resources. The 

reduced frequency of these renewals is expected to provide a significant time savings for the 

IEP A. Within five years of adoption of this proposal, IEP A anticipates that the workload related 

to FESOP renewals will decrease by approximately ten percent. Exh. 1 at 4. 

In sum, Mr. Bernoteit concluded that the proposal imposes no new regulatory 

requirements on affected sources. The amendments to Section 201.162 merely extend the 

duration ofFESOPs. The amendments are expected to reduce administrative costs of the 

permitting process for both affected sources and the IEP A. As this proposal imposes no new 

requirements or costs on affected sources, in !EPA's opinion, the proposal is both technically and 

economically feasible. Exh. 1 at 4. 

At the first hearing, the hearing officer asked a few questions of Mr. Bemoteit. Mr. 

Bernoteit verified that FESOP pennits will continue to list the expiration date on the face of the 

pennit, so that a source will clearly know the term of the permit issued to him. 7/8/10 Tr. at 8. 

As to the cost of preparing FESOP renewal applications, Mr. Bemoteit opined that this cost 

should be about $200 each, since these are "straightforward", 2-page applications. 7/8110 Tr. at 

9. If the proposal is adopted, the Agency expects a five percent decrease in its workload within 

five years, resulting in savings in processing, manpower, and so on. 7/8/10 Tr. at 10. 

At the second hearing, Mr. Benoteit presented no new testimony, and no questions were 

asked of him. Mr. Bemoteit's pre-filed testimony for the first hearing was the only exhibit 

submitted by the Agency in this proceeding. 
6 

DISCUSSION 

The facts presented here are clear and uncontested. In contrast to most proposals filed 

with the Board, this rulemaking involves a single section and a single issue, posing a simple 

question: should the Agency have the option of issuing FESOPs for ten years in appropriate 

cases? In light of the testimony and uncontroverted support of the change, the Board finds that 

the answer is clearly "yes." Indeed, two other states have adopted or are in the process of 

adopting rules extending the tenn ofFESOPs from five to ten years; final USEPA approval for 

Indiana's rule was published at 74 Fed.Reg. 51240 (Oct. 6, 2009). 

As described above, the Agency presented clear and uncontested testimony from Mr. Bob 

Bernoteit from the Agency's Division of the Air Pollution Control Pennit Section explaining the 

expected reduction of administrative resources and costs to both the affected sources with a five 

percent decrease of workload ofFESOP renewals for the Agency within five years of the 

adoption of the proposal. 

Accordingly, the Board finds that the facts presented in support of the adopted rule is 

uncontroverted. The adopted rules will have a positive economic impact on affected sources by 

reducing time spent on permit renewal applications. The adopted rules will also reduce the costs 

to the IEP A associated with the time and resources required for processing the numerous permit 

renewal applications. 2 

Meanwhile, the Board finds that !EPA's granting FESOPs for a longer term will not 

affect the implementation of air pollution control programs or enforcement of air quality 

standards in the State of Illinois and is compliant with all applicable federal standards. The 

Board accordingly finds that this record demonstrates that the adopted rule is technically 

feasible, economically reasonable, and, in the words of Section 27(b) of the Act, will have no 

"adverse economic impact on the people ofthe state oflllinois." 415 ILCS 5/27(b) (2008). 

For all of the foregoing reasons, the Board adopts as a final rule the amendments to 

Section 201.162 set forth below. 

ORDER 

The Board directs the Clerk to submit the following adopted rules to the Secretary of 

State for filing, to become effective upon filing: 

TITLE 35: ENVIRONMENTAL PROTECTION 

SUBTITLE B: AIR POLLUTION 

CHAPTER I: POLLUTION CONTROL BOARD 

SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS 

PART 201 

2 The Board notes that reduction ofthe number ofFESOP applications could potentially result in 

reduction of the number of appeals of IEP A FESOP permitting decisions to the Board. 
Section 

201.101 

201.102 

201.103 

201.104 

Section 

201.121 

201.122 

201.123 

201.124 

201.125 

201.126 

Section 

201.141 

201.142 

201.143 

201.144 

201.146 

201.147 

201.148 

201.149 

201.150 

201.151 

Section 

201.152 

201.153 

201.154 

201.155 

201.156 

201.157 

201.158 

201.159 

201.160 

7 

PERMITS AND GENERAL PROVISIONS 

Other Definitions 

Definitions 

SUBPART A: DEFINITIONS 

Abbreviations and Units 

Incorporations by Reference 

SUBPART B: GENERAL PROVISIONS 

Existence of Permit No Defense 

Proof of Emissions 

Burden of Persuasion Regarding Exceptions 

Annual Report 

Severability 

Repealer 

SUBPART C: PROHIBITIONS 

Prohibition of Air Pollution 

Construction Pennit Required 

Operating Permits for New Sources 

Operating Permits for Existing Sources 

Exemptions :from State Pennit Requirements 

Former Permits 

Operation Without Compliance Program and Project Completion Schedule 

Operation During Malfunction, Breakdown or Startups 

Circumvention 

Design of Effluent Exhaust Systems 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Contents of Application for Construction Permit 

Incomplete Applications (Repealed) 

Signatures (Repealed) 

Standards for Issuance (Repealed) 

Conditions 

Contents of Application for Operating Permit 

Incomplete Applications 

Signatures 

Standards for Issuance 
201.161 

201.162 

201.163 

201.164 

201.165 

201.166 

201.167 

201.168 

201.169 

201.170 

Conditions 

Duration 

8 

Joint Construction and Operating Pennits 

Design Criteria 

Hearings 

Revocation 

Revisions to Pennits 

Appeals from Conditions 

Special Provisions for Certain Operating Pennits 

Portable Emission Units 

SUBPART E: SPECIAL PROVISIONS FOR OPERATING PERMITS FOR CERTAIN 

SMALLER SOURCES 

Section 

201.180 

201.181 

201.187 

Section 

201.207 

201.208 

201.209 

201.210 

201.211 

201.212 

Applicability (Repealed) 

Expiration and Renewal (Repealed) 

Requirement for a Revised Permit (Repealed) 

SUBPART F: CAAPP PERMITS 

Applicability 

Supplemental Infonnation 

Emissions ofHazardous'Air Pollutants 

Categories of Insignificant Activities or Emission Levels 

Application for Classification as an Insignificant Activity 

Revisions to Lists of Insignificant Activities or Emission Levels 

SUBPART G: EXPERIMENTAL PERMITS 

(Reserved) 

SUBPART H: COMPLIANCE PROGRAMS AND PROJECT COMPLETION SCHEDULES 

Section 

201.241 

201.242 

201.243 

201.244 

201.245 

201.246 

201.247 

Section 

Contents of Compliance Program 

Contents of Project Completion Schedule 

Standards for Approval 

Revisions 

Effects of Approval 

Records and Reports 

Submission and Approval Dates 

SUBPART I: MALFUNCTIONS, BREAKDOWNS OR STARTUPS 
201.261 

201.262 

201.263 

201.264 

201.265 

Section 

201.281 

201.282 

201.283 

Section 

201.301 

201.302 

Section 

201.401 

201.402 

201.403 

201.404 

201.405 

201.406 

201.407 

201.408 

9 

Contents of Request for Permission to Operate Dming a Malfunction, Breakdown 

or Startup 

Standards for Granting Pennission to Operate During a Malfunction, Breakdown 

or Startup 

Records and Reports 

Continued Operation or Startup Prior to Granting of Operating Permit 

Effect of Granting ofPermission to Operate During a Malfunction, Breakdown or 

· Startup 

SUBPART J: MONITORING AND TESTING 

Pennit Monitoring Equipment Requirements 

Testing 

Records and Reports 

Records 

Reports 

SUBPART K: RECORDS AND REPORTS 

SUBPART L: CONTINUOUS MONITORING 

Continuous Monitoring Requirements 

Alternative Monitoring 

Exempt Sources 

Monitoring System Malfunction 

Excess Emission Reporting 

Data Reduction 

Retention of Infom1ation 

Compliance Schedules 

201.APPENDIX A 

201.APPENDIX B 

201.APPENDIX C 

Rule into Section Table 

Section into Rule Table 

Past Compliance Dates 

AUTHORITY: Implementing Sections 10, 39, and 39.5 and authorized by Section 27 ofthe 

Environmental Protection Act [415 ILCS 5110,27, 39, and 39.5]. 

SOURCE: Adopted as Chapter 2: Air Pollution, Part I: General Provisions, in R71-23, 4 PCB 

191, filed and effective April 14, 1972; amended in R78-3 and 4, 35 PCB 75 and 243, at 3 Ill. 

Reg. 30, p. 124, effective July 28, 1979; amended in R80-5, at 7 Ill. Reg. 1244, effective January 

21, 1983; codified at 7 Ill. Reg. 13579; amended in R82-1 (Docket A) at 10 Ill. Reg. 12628, 

effective July 7, 1986; amended in R87-38 at 13 Ill. Reg. 2066, effective February 3, 1989; 
10 

amended in R89-7(A) at 13 Ill. Reg. 19444, effective December 5, 1989; amended in R89-7(B) 

at 15 Ill. Reg. 17710, effectiveNovember26, 1991; amendedinR93-11 at 17 Ill. Reg. 21483, 

effective December 7, 1993; amended in R94-12 at 18 Ill. Reg. 15002, effective September 21, 

1994; amended in R94-14 at 18 Ill. Reg. 15760, effective October 17, 1994; amended in R96-17 

at 21 Ill. Reg. 7878, effective June 17, 1997; amep.ded in R98-13 at 22 Ill. Reg. 11451, effective 

June 23, 1998; amended in R98-28 at 22 Ill. Reg. 11823, effective July 31, 1998; amended in 

R02-10 at 27 Ill. Reg. 5820, effective March 21, 2003; amended in R05-19 and R05-20 at 30 Ill. 

Reg. 4901, effective March 3, 2006; amended in R07-19 at 33 Ill. Reg. 11965, effective 

August 6, 2009; amended in R10-21 at 34 Ill. Reg , effective 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Section 201.162 Duration 

a) No operating permit shall be valid longer than ten Wffl-years or such shorter 

period as the Agency may specify in the operating pennit as necessary to 

accomplish the purposes of the Act and this Chapter,_ unless the source is subject 

to: 

D. Section 201.169 ofthis Subpart;_or 

2) Section 39.5 of the Act, except for sources exempt pursuant to subsection 

+:+-ef Section 39.5(1.1). 

b) Applications for renewal of an operating pennit shall be submitted to the Agency 

at least 90 days prior to the expiration of the prior permit, and shall confonn to 

Sections 201.157, 201.158 and 201.159. The standards for issuance of renewal of 

operating permits shall be as set forth in Section 201.160. 

(Source: Amended at 34 Ill. Reg. , effective ) 

IT IS SO ORDERED. 

I, John T. Therriault, Assistant Clerk of the Illinois Pollution Control Board, certify that 

the Board adopted the above opinion and order on November 18, 2010 by a vote of 4-0. 

John T. Therriault, Assistant Clerk 

Illinois Pollution Control Board 
Attachment 

11 
... -" 

OFFICE OF THE SECRETARY OF STATE 

JESSE WHITE • Secretary of State 

December 13, 2010 

POLLUTION CONTROL BOARD 

JOHN THERRlAULT ASSISTANT CLERK 

100 W RANDOLPH ST, STE 11-500 

CHICAGO, IL 60601 

Dear JOHN THERRIAULT ASSISTANT CLERK 

··:lEce 

CU:RK·s~D 

DEC 1 4 2011 

STATE OF ILUrw-. 

Pollution Contro~'~d 

Your rules Listed below met our codification standards and have been published in Volume 34, 

Issue 51 ofthe Illinois Register, dated 12/17/2010. 

ADOPTED RULES 

General Rules 

35 III. Adm. Code 101 

Point of Contact: Marie Tipsord 

Permits and General Provisions 

35 III. Adm. Code 201 

Point of Contact: Kathleen Crowley 

REGULATORY AGENDA 

General Rules 

Point of Contact: John Therriault 

19566 

i<to-zZ. 

19575 

~l0-2.) 

19623 

If you have any questions, you may contact the Administrative Code Division at 

(217) 782- 7017. 

Index Department - Administrative Code Division - 111 East Monroe Springfield, IL 62756 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

1) Heading ofthe Part: Permits and General Provisions 

2) Code Citation: 35 Ill. Adm. Code 201 

3) Section Numbers: Adopted Action: 

201.162 Amend 

4) Statutory Authority: Implementing Section 10 and authorized by Sections 27 and 28 of 

the Environmental Protection Act [ 415 ILCS 5/10, 27 and 28]. 

5) Effective Date of Amendment: DEC - 12010 

6) Does this rulemaking contain an automatic repeal date? No 

7) Do these amendments contain incorporations by reference? No 

8) The adopted amendment is on file in the Board's Chicago office at the James R. 

Thompson Center, 100 W. Randolph, Suite 11-500 and is available for public inspection. 

9) Notice of Proposal Published in Illinois Register: 

July 2, 2010; 34 Ill. Reg. 8508 

10) Has JCAR issued a Statement of Objections to this amendment? No 

11) Differences between proposal and final version: The procedural rule amendment 

proposed for final notice is unchanged from first notice, other than to reflect a change in 

citation form requested by the Joint Committee on Administrative Rules (JCAR). 

12) Have all the changes agreed upon by the agency and JCAR been made as indicated in the 

agreements letter issued by JCAR? Yes 

13) . Will this amendment replace emergency amendments currently in effect? No 

14) Are there any amendments pending on this Part? No 

15) Summary and Purpose of Amendment: A more detailed description of this rulemaking is 

contained in the Board's opinion and order in In the Matter of: 10-Year Federally 

Enforceable State Operating Permits (FESOP): Amendments to 35 Ill. -~t:J 

'DEC 1 t.0\0 

sos-cooe. oN. 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

201.162. R10-21 (November 18, 2010). The adopted amendments are based on an 

Illinois Environmental Protection Agency (IEPA) proposal concerning the Board's 

regulations that affect the permitting of synthetic minor sources and non-major sources. 

The proposal extends the possible maximum duration of !EPA-issued federally 

enforceable state operating permits (FESOPs) from 5 to 10 years unless the source is 

required to obtain a Clean Air Act Permit Program permit pursuant to Section 39.5 of the 

Illinois Environmental Protection Act ("Act") and not exempt pursuant to subsection 1.1 

of Section 39.5 ofthe Act. 415 ILCS 5/39.5(1.1). 

16) Information and questions regarding this adopted amendment shall be directed to: 

Kathleen Crowley 

Illinois Pollution Control Board 

100 W. Randolph 11-500 

Chicago, IL 60601 

312-814-6929 

Copies of the Board's opinions and orders may be requested from the Clerk of the Board 

at the address listed in #8 above or by calling 312/814-3620. Please refer to the Docket 

number R10-21 in your request. The Board order is also available from the Board's Web 

site (www.ipcb.state.il.us) 

The full text of the Adopted Amendment begins on the next page: 
Section 

201.101 

201.102 

201.103 

201.104 

Section 

201.121 

201.122 

201.123 

201.124 

201.125 

201.126 

Section 

201.141 

201.142 

201.143 

201.144 

201.146 

201.147 

201.148 

201.149 

201.150 

201.151 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

TITLE 35: ENVIRONMENTAL PROTECTION 

SUBTITLE B: AIR POLLUTION 

CHAPTER I: POLLUTION CONTROL BOARD 

SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS 

PART 201 

PERMITS AND GENERAL PROVISIONS 

Other Definitions 

Definitions 

SUBPART A: DEFINITIONS 

Abbreviations and Units 

Incorporations by Reference 

SUBPART B: GENERAL PROVISIONS 

Existence of Permit No Defense 

Proof of Emissions 

Burden of Persuasion Regarding Exceptions 

Annual Report 

Severability 

Repealer 

SUBPART C: PROHIBITIONS 

Prohibition of Air Pollution 

Construction Permit Required 

Operating Permits for New Sources 

Operating Permits for Existing Sources 

Exemptions from State Permit Requirements 

Former Permits 

Operation Without Compliance Program and Project Completion Schedule 

Operation During Malfunction, Breakdown or Startups 

Circumvention 

Design of Effluent Exhaust Systems 
Section 

201.152 

201.153 

201.154 

201.155 

201.156 

201.157 

201.158 

201.159 

201.160 

201.161 

201.162 

201.163 

201.164 

201.165 

201.166 

201.167 

201.168 

201.169 

201.170 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Contents of Application for Construction Permit 

Incomplete Applications (Repealed) 

Signatures (Repealed) 

Standards for Issuance (Repealed) 

Conditions 

Contents of Application for Operating Permit 

Incomplete Applications 

Signatures 

Standards for Issuance 

Conditions 

Duration 

Joint Construction and Operating Permits 

Design Criteria 

Hearings 

Revocation 

Revisions to Permits 

Appeals from Conditions 

Special Provisions for Certain Operating Permits 

Portable Emission Units 

SUBPART E: SPECIAL PROVISIONS FOR OPERATING PERMITS FOR CERTAIN 

SMALLER SOURCES 

Section 

201.180 

201.181 

201.187 

Section 

201.207 

201.208 

201.209 

201.210 

201.211 

201.212 

Applicability (Repealed) 

Expiration and Renewal (Repealed) 

Requirement for a Revised Permit (Repealed) 

SUBPARTF: CAAPP PERMITS 

Applicability 

Supplemental Information 

Emissions of Hazardous Air Pollutants 

Categories of Insignificant Activities or Emission Levels 

Application for Classification as an Insignificant Activity 

Revisions to Lists of Insignificant Activities or Emission Levels 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

SUBPART G: EXPERIMENTAL PERMITS 

(Reserved) 

SUBPART H: COMPLIANCE PROGRAMS AND PROJECT COMPLETION SCHEDULES 

Section 

201.241 

201.242 

201.243 

201.244 

201.245 

201.246 

201.247 

Section 

201.261 

201.262 

201.263 

201.264 

201.265 

Section 

201.281 

201.282 

201.283 

Section 

201.301 

201.302 

Contents of Compliance Program 

Contents of Project Completion Schedule 

Standards for Approval 

Revisions 

Effects of Approval 

Records and Reports 

Submission and Approval Dates 

SUBPART I: MALFUNCTIONS, BREAKDOWNS OR STARTUPS 

Contents of Request for Permission to Operate During a Malfunction, Breakdown 

or Startup 

Standards for Granting Permission to Operate During a Malfunction, Breakdown 

or Startup 

Records and Reports 

Continued Operation or Startup Prior to Granting of Operating Permit 

Effect of Granting of Permission to Operate During a Malfunction, Breakdown or 

Startup 

SUBPART J: MONITORING AND TESTING 

Permit Monitoring Equipment Requirements 

Testing 

Records and Reports 

Records 

Reports 

SUBPART K: RECORDS AND REPORTS 
Section 

201.401 

201.402 

201.403 

201.404 

201.405 

201.406 

201.407 

201.408 

ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

SUBPART L: CONTINUOUS MONITORING 

Continuous Monitoring Requirements 

Alternative Monitoring 

Exempt Sources 

Monitoring System Malfunction 

Excess Emission Reporting 

Data Reduction 

Retention of Information 

Compliance Schedules 

201.APPENDIX A Rule into Section Table 

20l.APPENDIX B Section into Rule Table 

20l.APPENDIX C Past Compliance Dates 

AUTHORITY: Implementing Sections 10, 39, and 39.5 and authorized by Section 27 of the 

Environmental Protection Act [415 ILCS 5/10,27,39, and 39.5]. 

SOURCE: Adopted as Chapter 2: Air Pollution, Part I: General Provisions, in R71-23, 4 PCB 

191, filed and effective April14, 1972; amended in R78-3 and 4, 35 PCB 75 and 243, at 3 Ill. 

Reg. 30, p. 124, effective July 28, 1979; amended in R80-5, at 7 Ill. Reg. 1244, effective January 

21, 1983; codified at 7 Ill. Reg. 13579; amended in R82-1 (Docket A) at 10 Ill. Reg. 12628, 

effective July 7, 1986; amended in R87-38 at 13 Ill. Reg. 2066, effective February 3, 1989; 

amended in R89-7(A) at 13 Ill. Reg. 19444, effective December 5, 1989; amended in R89-7(B) 

at 15 Ill. Reg. 17710, effective November 26, 1991; amended in R93-11 at 17 Ill. Reg. 21483, 

effective December 7, 1993; amended in R94-12 at 18 Ill. Reg. 15002, effective September 21, 

1994; amended in R94-14 at 18 Ill. Reg. 15760, effective October 17, 1994; amended in R96-17 

at 21 Ill. Reg. 7878, effective June 17, 1997; amended in R98-13 at 22 Ill. Reg. 11451, effective 

June 23, 1998; amended in R98-28 at 22 Ill. Reg. 11823, effective July 31, 1998; amended in 

R02-10 at 27 Ill. Reg. 5820, effective March 21, 2003; amended in R05-19 and R05-20 at 30 Ill. 

Reg. 4901, effective March 3, 2006; amended in R07-19 at 33 Ill. Reg. 11965, effective 

August 6, 2009; amended in R10-21 at 34 Ill. Reg , effective __ _ 

SUBPART D: PERMIT APPLICATIONS AND REVIEW PROCESS 

Section 201.162 Duration 

a) No operating permit shall be valid longer than ten :f:We-years or such shorter 

period as the Agency may specify in the operating permit as necessary to 
ILLINOIS REGISTER 

POLLUTION CONTROL BOARD 

NOTICE OF ADOPTED AMENDMENT 

accomplish the purposes of the Act and this Chapter_. unless the source is subject 

to: 

1) Section 201.169 of this Subpart; or7 

2). Section 39.5 ofthe Act, except for sources exempt pursuant to subsection 

H efSection 39.5(1.1). 

b) Applications for renewal of an operating permit shall be submitted to the Agency 

at least 90 days prior to the expiration of the prior permit, and shall conform to 

Sections 201.157,201.158 and 201.159. The standards for issuance ofrenewal of 

operating permits shall be as set forth in Section 201.160. 

(Source: Amended at 34 Ill. Reg. __ , effective ___ _; 
Attachment 

12 
I 

--

-----------

2013 

Rules of 

Governmental Agencies 

Volume 37, Issue 24 

June 14, 2013 

--:= Pages 7820-8050 

........ --

--

--

.......... 

- Index Department 

Administrative Code Division 

111 E. Monroe St. 

Springfield, IL 62756 

217-782-7017 

Printed by authority of the State of Illinois. June- 90 

PUBLISHED BY JESSE WHITE ·SECRETARY OF STATE 
ILLINOIS REGISTER 8049 

13 

ENVIRONMENTAL PROTECTION AGENCY 

NOTICE OF PUBLIC INFORMATION 

The Illinois Environmental Protection Agency (Illinois EPA) Bureau of Air is accepting public 

comment on the submittal of a rule adopted by the Illinois Pollution Control Board (Board) to the 

United States Environmental Protection Agency (USEPA) as a revision to the Illinois State 

Implementation Plan (SIP) under the Clean Air Act (CAA), 42 USC 7401 et seq. The rule, 

entitled, "10-Year Federally Enforceable State Operating Pennits ("FESOP''): Amendments to 

35 Ill. Adm. Code 201.162 (R10-21)" is for the purpose of extending the time that the Illinois 

EPA may grant FESOPs from 5 to I 0 years. In order for a rule to be considered for approval as a 

revision to the SIP, the State must submit it in accordance with the requirements of 40 Code of 

Federal Regulations (CPR) 51.104. 

On April20, 2010, the Illinois EPA submitted a regulatory proposal to amend 35 Ill. Adm. Code 

201.162, to allow the Illinois EPA to grant FESOPs for up to 10 years: In the Matter of: 10-Year 

Federally Enforceable State Operating Permits (FESOP): Amendments to 35 Ill. Adm. Code 

Section 201.162 (R10-21). On November 18,2010, the Pollution Control Board adopted the 

proposed rulemaking. Section 201.162 is an approved rule ofthe Illinois SIP. Accordingly, since 

the regulatory proposal amended this Section, the amendment must be submitted to the USEP A 

for approval as a revision to Illinois' SIP. 

The Illinois EPA will accept written comments from the public. The written comments must be 

postmarked by July 15, 2013, unless a public hearing is requested. Comments and requests for 

hearing should be mailed to: 

Dean Studer, Hearing Officer 

Illinois EPA 

1021 North Grand Avenue East 

P.O. Box 19276 

Springfield, Illinois 62794-9276 

Telephone: 217/558-8280 or TDD: 217/782-9143 

If a timely request for a public hearing is received by July 15, 2013, a public hearing will be 

scheduled through a separate notice and held to receive comments regarding the proposed SIP 

revision. If a public hearing is conducted, the written public comment period will be extended as 

provided for in the separate notice. 

If no request for a public hearing is received by the Illinois EPA by U.S. Mail, carrier mail, or 

hand delivered by July 15, 2013, no hearing will be scheduled. If such a hearing is scheduled, 

verification of the public hearing will be posted by July 30, 2013 on the Illinois EPA's website at 

http://www.epa.state.il.us/public-notices/. Interested persons may also contact Dean Studer, the 
ILLINOIS REGISTER 8050 

13 

ENVIRONMENTAL PROTECTION AGENCY 

NOTICE OF PUBLIC INFORMATION 

Illinois EPA's Hearing Officer, at the phone number listed above to inquire as to the status of a 

public hearing. 

Copies of the proposed SIP revision may be viewed by the public on Illinois EPA's website at 

http://www.epa.state.il.us/public-notices/ or during regular business hours (Monday through 

Friday 8:30a.m. until 4:30p.m, except for State holidays) at the following Illinois EPA offices: 

1021 North Grand Avenue East, Springfield, Illinois; 9511 W. Harrison St., Des Plaines, Illinois; 

and 2009 Mall Street, Collinsville, Illinois. No walk-in requests for copies of this material will 

be accommodated unless advance notice is provided. Requests and public inquiries should be 

directed to Dean Studer, the Illinois EPA's Hearing Officer, at the address and phone number 

listed above. 

If a hearing request is received, the hearing will be held in accordance with the provisions of the 

Illinois EPA's "Procedures for Informational and Quasi-Legislative Public Hearings," set forth at 

35 Ill. Adm. Code 164. This notice is intended to satisfy the requirements of Section 11 0(1) of 

the CAA (42 USC 7410(1) (public notice for SIP revisions)). 
10-Year FESOP SIP- E-mail Service List 

Studer, Dean 

Doctors, Rachel 

iaap@hansoninfosys.com 

jeffa@gfai.org 

Fulgenzi, Annette 

Yang, Virginia 

Alexander, Ann 

Amy Funk 

Andrea Sanchez 

Verena Owen- Baumling(a{aol.com 

blathras. constantine@epamail. epa. gov 

Brian Imus 

Brian Urbaszewski 

David Ogulei 

dsutton@craworld. com 

Faith Bugel 

Heidi Hanson 

khodge@hdzlaw.com 

kristin.hemy@sienaclub. org 

lioneltrepanier@yahoo.com 

marcus.danny@epa.gov 

Rick Diericx 

Senator Durbin 

SZingle@aol.com 

Tin, Angela 

Tom Shepherd 

Whitney F enell 

Harley, Keith 

Kathleen Logan-Smith 

Andrea Gross 

Andria, Kathy 

Christine Favilla 

Robert Kuehn 

Andy Stewart 

Doug Campbell 

Linda McDonald 

Mary Douglas 

Morse, James 

Patty Pear 

Stansfield, Michael 

Mark Biel- mbiel@cicil.net; 

Don Brown Don.Brown@illinois.gov; 

Thomas Davis- Tdavis@atg.state.il.us; 

MDmm@atg.state.il.us: 
Alec Davis- ADavis@ierg.org; 

Deborah C mmell y - Co nell y@illino is. go v 
Attachment 

13 
Exhibit ----

CIDCAGO LEGAL CLINIC, INC. 

South Chicago • Pilsen • Austin • Downtown 

Most Reverend Thomas John Paprocki, President 

Edward Grossman, Executive Director 

Marta C. Bukata, Deputy Director * 

Downtown Office: 

211 W. Wacker Dr. 

Suite 750 

Keith I. Harley- kharley@kentlaw.edu 

Greta M. Doumanian 

A vani Kamdar 

Chicago, IL 60606 

Phone (312) 726-2938 

Fax (312) 726-5206 

* also admitted in Indiana 

June 27, 2013 

Dean Studer, Hearing Officer 

lllinois EPA 

1021 North Grand Avenue East 

P.O. Box 19276 

Springfield, IL 62794-9276 

~m3©IffilllmiD) JUL 0 1 2013 

COMMUNITY RELATIONS 

ILLINOIS EPA 

Re: 10-Year Federally E1~{orceable State Operating Permits ("FESOP'): Amendments 

to 35 Ill. Adm. Code Section 201.162 (R10-21) 

To The Hearing Officer: 

Please be advised that I represent the Pilsen Enviromnental Rights and Refonn 

Organization ("PERRO"). PERRO is an environmental education and advocacy group 

located in Chicago's Pilsen neighborhood. Like many urban neighborhoods, Pilsen is 

characterized by industrial and commercial sources of regulated air pollutants that 

operate immediately adjacent to residences, schools and public places. The Pilsen 

neighborhood is a predominantly Latino neighborhood appropriately characterized as an 

enviromnental justice community, and is non-attainment with National Ambient Air 

Quality Standards for lead and fine particulate matter. · 

PERRO opposes the proposed revision to the Illinois State Implementation Plan 

extending the time that the Illinois EPA may grant FESOPs from 5 to 10 years. PERRO 

opposes this SIP revision because it cmiails public participation opportunities for 

residents of Illinois. PERRO opposes this SIP revision for any source subject to FE SOP 

requirements that operates in a non-attainment area or is categorized as an area source of 

hazardous air pollutants. 

For most residents of Illinois, the most accessible opportunity for public participation for 

air emitting sources is dming pennit renewal. In communities like Pilsen, this 

opportunity is especially important for smaller sources because they can have an 

important localized effect, even though their overall emissions are categorized as minor 

by Illinois EPA Publically noticing a pennit renewal can lead to public involvement in 

the fonn of a hearing or less fonnal meeting, as well as a written comment pedod, 

allowing for infonnation to be submitted to the agency, conttibuting to a more careful, 

1 
Re: 10-Year Federally Enforceable State Operating Permits ("FESOP"): Amendments 

to 35 Ill. Adm. Code Section 201.162 (RI0-21) 

deliberative review by regulators. It provides an opportunity for regulators and regulated 

entities to interact with members of the public, and to address public concerns. It 

provides an opportunity for members of the public to be assured that an air emitting 

source is achieving basic compliance with current regulatory requirements designed to 

protect public, health and safety. The goal of public participation- central to both the 

Clean Air Act and the Illinois Enviromnental Protection Act- is damaged by a 1 0-year 

renewal because it lessens the frequency of this critical opportunity for public 

involvement. This concern is true for all Tilinois residents who are affected by the 

operations of the 800 sources operating under FESOP requirements. 

PERRO asserts that the five-year renewal requirement must be retained for FESOP 

sources which are: 1. emitting pollutants that cause or contribute to non-attainment with 

the NAAQS; or, 2. which are categorized as area sources of hazardous air pollutants. In 

non-attainment areas, smaller FESOP sources can have a significant, cumulative 

contribution to unhealthy air conditions. It is well-established that a more stringent 

permitting protocol is appropriate when an ambient air quality region is non-attaimnent; 

mandating a five-year renewal for FESOP sources that emit pollutants that contlibute to 

non-attainment is consistent with this protocol and with Clean Air Act mandates to 

resolve air quality problems that threaten public health. Smaller sources of hazardous air 

pollutants- so-called area sources- have been identified by U.S. EPA as having the 

potential to contribute to dangerous local conditions, especially in urban areas. Again, 

the priority that attaches to public health must far outweigh the convenience to regulators 

and regulated entities resulting from less frequent pennit renewal. The residents of 

Pilsen are well aware of the impacts a small source can have on NAAQS attainment, 

specifically for a pollutant that is a developmental toxin hazardous to area children. In 

Pilsen, both U.S. EPA and Illinois EPA have attlibuted lead non-attaimnent to an 

industrial source, H. Kramer, which is not categorized as a major source under any Clean 

Air Act pennitting protocol. 

Thank you for your consideration of these comments. 

Sincerely, 

~~ Keith Harley 

Attomey at Law 

2 
Attachment 

14 
ILLINOIS ENVIRONMENTAL PROTECTION AGENCY 

1021 NORTH GRAND AVENUE EAsT, P.O. Box19276, SPRINGFIELD, ILUNOIS62794-9276 • (217)782-2829 

PAT QUINN, GOVERNOR LISA BONNETT, DIRECTOR 

Illinois EPA's Response to Comment for SIP submittal for 10-year FESOP Amendments: 

The Pilsen Environmental Rights and Reform Organization (PERRO) submitted a comment 

dated June 27, 2013 and received by the Hearing Officer on July 1, 2013, concerning the Illinois 

EPA's SIP submittal for 10-year Federally Enforceable State Operating Permit (FESOPs). The 

Illinois EPA does take the environmental justice (EJ) areas of concern seriously. The Illinois 

EPA believes that allowing these relatively small sources to operate under their existing FESOP 

from five years to ten years should not impact the community no matter if the community is an 

EJ community or if the area is nonattainment for any ofthe National Ambient Air Quality 

Standards (NAAQS). Any changes to the source's operations that do not fall under the existing 

permit would require a construction permit and would then be subject to screening for EJ 

concerns. If the Bureau of Air discovers during its EJ screening that there are concerns about a 

particular source, then the draft construction permit and draft FESOP revision may be sent out 

for public notice and comment at that time. The owner or operator of a source is required to 

comply with any future regulations even if the conditions are not in the permit, the source. This 

obligation includes the requirements under the Clean Air Act's National Emission Standards for 

Hazardous Air Pollutants for area sources. Lengthening the term of the permit does not hinder 

any enforcement or obligation on the source to comply with existing or a future standard, instead 

it allows the Illinois EPA to devote more of its scarce resources to pressing environmental issues 

that would otherwise be devoted to routine permit renewals 

Dated: August 12, 2013 

4302 N. Main St., Rockford, IL 61103 (815) 987-7760 

595 S. State, Elgin, IL60123 (847) 608-3131 

2125 S. First St., 01ampaign, IL 61820 (217) 278-5800 

2009 Mall St., Collinsville, IL 62234 (618) 346-5120 

9511 Harrison St., Des Plaines, IL 60016 (847) 294-4000 

5407 N. University St., Arbor 113, Peoria, IL 61614 (309) 693-5462 

2309 W. Main St., Suite 116, Marian, IL 62959 (618) 993-7200 

100 W. Randolph, Suite 10-300, Chicago, IL 60601 (312) 814-6026 

PLEASE PRINT ON RECYCLED PAPER