# p;~ ••• 

# -
__ 

# .,.
n

# =·~--- 

# NCDENR North Carolina Department of Environment and Natural Resources Division of AirQuality 

# Alfl.

Michael F. Easley, Governor William G. Ross, Jr., Secretary

Mr

.J

. I. 

### Palmer, Jr. Regional Administrator U.S. Environmental Protection Agency, Region 4 AtlantaFederal Center 61 Forsyth Street, SW Atlanta, Georgia 30303-8909 Subject: State Implementation Plan Revisions
DearMr. Palmer: 

### B. Keith Overcash, P.E., Director

On July 11,2007, the Environmental Management Commission (EMC) amended 15A NCAC 020 .0902, .0909, .1402, .1403, and 15A NCAC 02Q .0207, which were the subject ofpublic hearing held on March 14, 2007.
Enclosed is the hearing record for this hearing. Pleaseproceedto approve the aforementioned rules and amendments as partofthe federally-approved State Implementation Plan. These rules are enclosed.
The enclosure includes a hard copy ofthe rules and amendments that are identical to the pdffiles recorded on the cd.
Ifyou need any otherinformation ordocumentation, or have any questions, please let us know as soon as possible. You may contact

### Mr. Michael Abraczinskas at 919-715-3743.

BKO/ma
enclosure

cc: Richard A. 

### Schutt Hearing Record File

1641 Mail Service Center, Raleigh, North Carolina 27699-1641 ? 7

### ?.8 Capital Blvd., Raleigh, North Carolina 27604 q: 919-715-7670 IFAX 919-715-7476/lntemet: www.ncair

.org 0pportunity/ Affirmative Action Employer- 50% Recycle<V10% Post Consumer Paper

## STATE OF NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAND NATURAL RESOURCES DIVISION OF AIR QUALITY

REPORT OF PROCEEDINGS OF PUBLIC HEARING ON PROPOSED AMENDMENTS TO RULES
15A NCAC 02D .0902, .0909, .1402, .1403, AND 15A NCAC 02Q .0207



## CHARLOTTE, NORTH CAROLINA March 14, 2007



## ENVIRONMENTAL MANAGEMENT COMMISSION

### This page is intentionally blank

ivI - 1 

# CHAPTER I

Summaries and Recommendation for Amendments to Rules 15ANCAC 02D .0902, .0909, .1402, .1403 and 02Q .0207.
BACKGROUND AND SUMMARY
The US Environmental ProtectionAgency (EPA) has declared that the counties in the Charlotte area are in nonattainment for ozone national ambient air quality standards. These counties are Cabarrus, Gaston, Lincoln, Mecklenburg, Rowan, and Union, plus the townships ofDavidson and Coddle Creek in Iredell County. EPA requires a pre-adopted contingency plan to be part ofthe State Implementation Plan (SIP) before it will approve an ozone nonattainment area plan. Sections 110 (a)( 1) and 175Aofthe Clean AirAct require maintenance plans with contingency measures.
The purpose ofthe contingency plan is to apply additional controls quickly and without rulemaking on sources ifthe nonattainment area plan fails to achieve compliance with the ambient are quality standard. Amendments are proposed for to Rules 15ANCAC 02D .0902, .0909, .1402, and .1403 and 15ANCAC 02Q .0207. These rule changes are being proposed to meet EPA requirements for a complete State Implementation Plan (SIP) submittal for the Charlotte ozone nonattainment SIP.
The applicability rules for volatile organic compounds (VOC) reasonably available control technology (RACT) (15ANCAC 02D .0902) and for nitrogen oxides (NOx) RACT (l5A NCAC 02D .1402) are proposed to be amended to require facilities with the potential to emit are between 

### 50 and 100 tons peryear ofVOCs or NOx to apply VOC or NOx RACT as appropriate. Facilities whose emissions ofVOCs or NOx are greater than 100 tons peryear are already required to apply RACT in addition to the applicability rule for NOx, this requires amending the compliance schedule rule, 15ANCAC 02D .1403. For VOC, it requires amending the compliance schedule rule, .0909. 15ANCAC 02Q .0207 is proposed to be amended to include the requirement that facilities in the Charlotte ozone nonattainment area with actual emissions of25 tons peryear or more ofNOx orVOC shall report them.
Ozone is not a pollutant emitted directly into the atmosphere. Ozone is the product of a complex series ofchemical reactions initiated when VOCs and NOx emissions are exposed to sunlight. "VOC" is a general term for a wide range ofhydrocarbons, which come from combustion processes, gasoline vapors, solvents, etc. Nitrogen oxides form when fuel is burned at high temperatures, as in a boiler or engine. The primary manmade sources ofNOx are motor vehicles, electric utilities, and other industrial, commercial, and residential sources that burn fuels. RACT is the technology required for existing major sources in nonattainment areas. RACT typically reflects controls that EPA has identified in Control Technique Guidelines (CTG) or other guidance.
The potential to emit is defined as the maximum capacity of a source to emit any air pollutant under its physical and operational design. Potential to emit refers to the greatest amount ofa pollutant that equipment could release into the air (even ifit has never actually emitted the

### I- 2 

### highest amount). Potential to emit considers the design ofthe equipment and any physical or operational limitation on the capacity of a source to emit an air pollutant, including air pollution control equipment, restrictions on the hours of operations, or on the type or amount ofmaterial combusted, stored, or processed.
ISA NCAC 02D .0902, Applicability, describes sources required to install and operate RACT for VOC. It

### is proposed to be amended to cover facilities with the potential to emit between 50 and 100 tons volatile organic compounds (VOC) peryear in the following areas: Cabarrus County, Gaston County, Lincoln County, Mecklenburg County, Rowan County, Union County, and Davidson Township and Coddle CreekTownship in Iredell County. Amendments to this rule describe additional VOC sources covered and actions to be taken if EPA redesignates the Charlotte ozone nonattainment area as serious.
ISA NCAC 02D .0909, Compliance Schedules For Sources In New Nonattainment Areas, adds VOC RACT compliance schedules if EPA redesignates the Charlotte ozone nonattainment area as serious.
ISA NCAC 02D .1402, Applicability, describes sources required to install and operate RACT for NOx. It

### is proposed to be amended to cover facilities with the potential to emit between 50 and 100 tons ofNOx peryear. The amendments describe actions to be taken if EPA notifies the State that the Charlotte ozone nonattainment area has failed to attain compliance with the ozone standard.
ISANCAC 02D .1403, Compliance Schedules, adds NOx RACT compliance schedules for the Charlotte ozone nonattainment area ifthe ozone nonattainment plan fails to attain compliance.
ISANCAC 02Q .0207, Annual Emissions Reporting, is proposed to be amended to include the requirement that facilities in the Charlotte ozone nonattainment area with actual emissions of25 tons peryear or more ofNOx or VOC shall report those emissions ofNOx and VOC during the previous calendaryear.

PUBLIC COMMENTS 

## AND RESPONSES THERETO
Comment:

Response:

Comment: Chuck Greco, Mecklenburg County Land Use and Environmental Services Agency, recommends replacing the term "source" with "facility" in Paragraphs 15ANCAC 02D .0902(f) and (i) and in .1402(d) and (g) to avoid confusion.
The recommended changes are made in the four paragraphs. Under the State's terminology, "facility" covers the entire plant site and is generally equivalent to EPA's use of "source." The intent is for the RACT rules to apply ifthe plantwide emissions exceed the threshold.

Staffrecommends changing the date in Subparagraph 15ANCAC 02D .1403(e)(2) from 2008 to 

### 2007 to correct a typographical error.I- 

### 3


### Response: Date corrected.



## SUMMARY OF COMMENTS AND RESPONSES
Comments Response 

### Replace the term "source" with "facility" Changes made to appropriate paragraphs Change the date in Subparagraph l5A Typographic error corrected NCAC 02D .l403(e)(2) from 2008 to 2007



## CONCLUSION
One person comments on rule clarity. Stafffound a date typographic error. The term "source" was appropriately replaced with "facility." The typographic error was corrected.



## HEARING OFFICER'S RECOMMENDATION
The Hearing Officer recommends that the proposed amendments, as presented in Chapter II ofthis hearing report, be adopted bythe Environmental Management Commission.1-4



### This page is intentionally blank.II - 1 

# CHAPTERII
Regulations Proposed for Amendment 15A NCAC 02D .0902 is proposed for amendment as follows:

15A NCAC 020 .0902 APPLICABILITY (a) The rules in this Section do not apply except as specifically set out in this Rule. (b) Regardless of any other statement of applicability ofthis Section, this Section does not apply to: (1) sources whose emissions of volatile organic compounds are not more than 15 pounds per day, except that this Section does apply to the manufacture and use of cutback asphalt and to gasoline service stations or gasoline dispensing facilities regardless of levels of emissions of volatile organic compounds; (2) sources whose emissions do not exceed 800 pounds ofvolatile organic compounds per calendar month and that are: (A) bench-scale, on-site equipment used exclusively for chemical or physical analysis for quality control purposes, staff instruction, water or wastewater analyses, or non-production environmental compliance assessments; (B) bench-scale experimentation, chemical or physical analyses, training or instruction from not-for-profit, non-production educational laboratories; (C) bench-scale experimentation, chemical or physical analyses, training or instruction from hospitals or health laboratories pursuant to the determination or diagnoses of illness; or (D) research and development laboratory activities provided the activity produces no commercial product or feedstock material; or (3) emissions ofvolatile organic compounds during startup or shutdown operations from
sources which use incineration or other types of combustion to control emissions of volatile organic compounds whenever the off-gas contains an explosive mixture during the startup or shutdown operation ifthe exemption is approved by the Director as meeting the requirements ofthis Subparagraph. (c) The following rules ofthis Section apply statewide: (1) .0925, Petroleum Liquid Storage in Fixed Roof Tanks, for fixed roof tanks at gasoline bulk plants and gasoline bulk terminals; (2) .0926, Bulk Gasoline Plants; (3) .0927, Bulk Gasoline Terminals; (4) .0928, Gasoline Service Stations Stage I; (5) .0932, Gasoline Truck Tanks and Vapor Collection Systems; (6) .0933, Petroleum Liquid Storage in External Floating Roof Tanks, for external floating roof

### 11-2
tanks at bulk gasoline plants and bulk gasoline terminals; (7) .0948, VOC Emissions from Transfer Operations; (8) .0949, Storage of Miscellaneous Volatile Organic Compounds; and (9) .0958, Work Practices for Sources ofVolatile Organic Compounds. (d) Rule .0953, Vapor Return Piping for Stage II Vapor Recovery, ofthis Section applies in Davidson, Durham, Forsyth, Guilford, Wake, Dutchville Township in Granville County, and that part of Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to Yadkin River in accordance with provisions set out in that Rule. (e) All sources located in Mecklenburg County that were required to comply with any ofthe Rules in Subparagraphs (e)(1) or (2) ofthis Rule before July 5, 1995 shall continue to comply with these Rules: (1) .0917 through .0937 ofthis Section, or (2) .0943 through .0945 ofthis Section. (f) The Rules in this Section apply to**§Q\i!fl;f~,~Ma8tfit1es** with the potential to emit 100 tons or more volatile organic compounds per year in the following areas: (1) Cabarrus County (2) Gaston County (3) Lincoln County (4) Mecklenburg County (5) Rowan County (6) Union County (7) Davidson Township and Coddle Creek Township in Iredell County. (g) Ifa violation of the ambient air quality standard for ozone is measured in accordance with 40 CFR 50.9 in Davidson, Forsyth, or Guilford County or that part of Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to Yadkin River, the Director shall initiate analysis to determine the control measures needed to attain and maintain the ambient air quality standard for ozone. By the following May 1, the Director shall implement the specific stationary source control measures contained in this Section that are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance with the ambient air quality standard for ozone. The Director shall implement the rules in this Section identified as being necessary by the analysis by notice in the North Carolina Register. The notice shall identify the rules that are to be implemented and shall identify whether the rules implemented are to apply in Davidson, Forsyth, or Guilford County or that part of Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to Yadkin River or any combination thereof. At least one week before the scheduled publication date ofthe North Carolina Register containing the Director's notice implementing rules in this Section, the Director shall send written notification to all permitted facilities within the county in which the rules are being implemented that are or may be subject to the requirements ofthis Section informing them that they are or may be subject to the requirements ofthis Section. (For Forsyth County,II- 3
"Director" means for the purpose of notifying permitted facilities in Forsyth County, the Director of the Forsyth County local air pollution control program.) Compliance shall be in accordance with Rule .0909 of this Section. (h) If a violation of the ambient air quality standard for ozone is measured in accordance with 40 CFR 50.9 in Durham or Wake County or Dutchville Township in Granville County, the Director shall initiate analysis to determine the control measures needed to attain and maintain the ambient air quality standard for ozone. By the following May 1, the Director shall implement the specific stationary source control
measures contained in this Section that are required as part of the control strategy necessary to bring the
area into compliance and to maintain compliance with the ambient air quality standard for ozone. The Director shall implement the rules in this Section identified as being necessary by the analysis by notice in the North Carolina Register. The notice shall identify the rules that are to be implemented and shall identify whether the rules implemented are to apply in Durham or Wake County or Dutchville Township in Granville County or any combination thereof. At least one week before the scheduled publication date of the North Carolina Register containing the Director's notice implementing rules in this Section, the Director shall send written notification to all permitted facilities within the county in which the rules are being implemented that are or may be subject to the requirements ofthis Section informing them that they are or may be subject to the requirements ofthis Section. Compliance shall be in accordance with Rule .0909 of this Section. (i) If EPA reclassifies the Charlotte-Gastonia-Rock Hill ozone nonattainment area as serious for ozone under Section 182 of the federal Clean AirAct, the rules in this Section shall apply to 

### ('I:;;i;TI facilities in Cabarrus, Gaston, Lincoln, Mecklenburg, Rowan, and Union Counties and Davidson and Coddle Creek townships in Iredell County with the potential to emit at least 50 tons but less than 100 tons ofvolatile organic compounds peryear. Within 60 days ofthe reclassification, the Director shall notice the applicability of these rules to these [

. 

## '1 facilities in the North Carolina Register and shall send written notification to all permitted facilities within the counties in which the rules are being implemented that are
or may be subject to the requirements ofthis Section informing them that they are or may be subject to the requirements ofthis Section. (For Mecklenburg County. "Director" means for the purpose of notifying permitted facilities in Mecklenburg County. the Director ofthe Mecklenburg County local air pollution control program.) Compliance shall be according to Rule .0909 of this Section. 

## fif U) Sources whose emissions ofvolatile organic compounds are not subject to limitation underthis Section may still be subject to emission limits on volatile organic compounds in Rules, .0524, .1110, or .1111 ofthis Subchapter.
History Note: Authority G.S. 143-215.3(a)(1); 143-215.107(a)(5); Eff. July 1, 1979; Amended Eff. ; March 1, 2007; August 1, 2004; July 1, 2000; April 1, 1997; July 1, 1996; July 1, 1995; May 1, 1995; July 1, 1994.

### 11-4

15A NCAC 02D .0909 is proposed for amendment as follows:

15A NCAC 020 .0909 COMPLIANCE SCHEDULES FOR SOURCES IN NONATTAINMENT AREAS (a) Applicability. With the exceptions in Paragraph (b) ofthis Rule, this Rule applies to all sources covered by Paragraph (f), (g), 

## GF-W (ht or {i) of Rule .0902 of this Section. (b) Exceptions. This Rule does not apply to: (1) sources in Mecklenburg County required to comply with the requirements ofthis Section under Rule .0902(e) of this Section; (2) sources covered under Rule .0953 or .0954 ofthis Section; or (3) sources required to comply with the requirements of this Section under Rule .0902(c) of this Section. (c) Maintenance ar:ea&:- area and Charlotte ozone nonattainment area contingency plan. The owner or operator of any source subject to this Rule because ofthe application of Paragraph (g), or (h) (g), (h), or 

## ill of Rule .0902 ofthis Section shall adhere to the following increments of progress and schedules: (1) if compliance is to be achieved by installing emission control equipment, replacing process equipment, or modifying existing process equipment: (A) The owner or operator shall submit a permit application and a compliance schedule within six months after the Director notices the implementation of rules in the North Carolina Register that resolves a violation ofthe ambient air quality standard for ozone; (B) The compliance schedule shall contain the following increments of progress: (i) a date by which contracts for the emission control system and process equipment shall be awarded or orders shall be issued for purchase of component parts; (ii) a date by which on-site construction or installation ofthe emission control and process equipment shall begin; and (iii) a date by which on-site construction or installation ofthe emission control and process equipment shall be completed; (C) Final compliance shall be achieved within three years after the Director notices the implementation of rules in the North Carolina Register that resolves a violation ofthe ambient air quality standard for ozone. (2) ifcompliance is to be achieved by using low solvent content coating technology: (A) The owner or operator shall submit a permit application and a compliance schedule within six months after the Director notices the implementation of rules in the North Carolina Register that resolves a violation ofthe ambient air quality

### 11-5
standard for ozone; (B) The compliance schedule shall contain the following increments: (i) a date by which research and development of low solvent content coating shall be completed ifthe Director determines that low solvent content coating technology has not been sufficiently researched and developed; (ii) a date by which evaluation of product quality and commercial acceptance shall be completed; (iii) a date by which purchase orders shall be issued for low solvent content coatings and process modifications; (iv) a date by which process modifications shall be initiated; and (v) a date by which process modifications shall be completed and use of low solvent content coatings shall begin; (C) Final compliance shall be achieved within three years after the Director notices the implementation of rules in the North Carolina Register that resolves a violation ofthe ambient air quality standard for ozone. (3) The owner or operator shall certify to the Director within five days after each increment deadline of progress in this Paragraph, whether the required increment of progress has been met. (d) Nonattainment areas. The owner or operator of any source subject to this Rule because ofthe application of Paragraphs (f) of Rule .0902 ofthis Section shall adhere to the following increments of progress and schedules: (1) if compliance is to be achieved by installing emission control equipment, replacing process equipment, or modifying existing process equipment: (A) The owner or operator shall submit a permit application and a compliance schedule by August 1, 2007 (B) The compliance schedule shall contain the following increments of progress: (i) a date by which contracts for the emission control system and process equipment shall be awarded or orders shall be issued for purchase of component parts; (ii) a date by which on-site construction or installation ofthe emission control and process equipment shall begin; and (iii) a date by which on-site construction or installation ofthe emission control and process equipment shall be completed; (C) Final compliance shall be achieved no later than April1 ,2009. (2) ifcompliance is to be achieved by using low solvent content coating technology: (A) The owner or operator shall submit a permit application and a compliance schedule by August 1, 2007.II- 6 (B) The compliance schedule shall contain the following increments: (i) a date by which research and development of low solvent content coating shall be completed if the Director determines that low solvent content coating technology has not been sufficiently researched and developed; (ii) a date by which evaluation of product quality and commercial acceptance shall be completed; (iii) a date by which purchase orders shall be issued for low solvent content coatings and process modifications; (iv) a date by which process modifications shall be initiated; and (v) a date by which process modifications shall be completed and use of low solvent content coatings shall begin; (C) Final compliance shall be achieved no later than April1, 2009. (3) The owner or operator shall certify to the Director within five days after the deadline, for each increment of progress in this Paragraph, whether the required increment of progress has been met. (e) Ifthe Director requires a test to demonstrate that compliance has been achieved, the owner or operator of sources subject to this Rule shall conduct a test and submit a final test report within six months after the stated date offinal compliance. 

### (f) Sources already in compliance. (1) Maintenance afea&:. area and Charlotte ozone nonattainment area contingency plan. Paragraph (c) ofthis Rule shall not apply to sources that are in compliance with applicable rules ofthis Section when the Director notices the implementation of rules in the North Carolina Register that resolves aviolation ofthe ambient air quality standard for
ozone and that have determined and certified compliance to the satisfaction ofthe Director within six months after the Director notices the implementation of rules in the North Carolina Register that resolves a violation of the ambient air quality standard for
ozone. (2) Nonattainment areas. Paragraphs (d) ofthis Rule shall not apply to sources in an area named in Paragraph 

### (f) of Rule .0902 ofthis Section that are in compliance with applicable rules ofthis Section on March 1, 2007. (g) New sources. (1) Maintenance afea&:. area and Charlotte ozone nonattainment area contingency plan. The
owner or operator of any new source ofvolatile organic compounds not in existence or under construction before the date that the Director notices in the North Carolina Register in accordance with Paragraph (g), (h), or (i) (g) or (h) of Rule .0902 ofthis Section the implementation of rules in the North Carolina Register that resolves a violation ofthe ambient air quality standard for ozone, shall comply with all applicable rules in this Section

### 11-7
upon start-up of the source. (2) Nonattainment areas

. The owner or operator of any new source ofvolatile organic compounds not in existence or under construction before March 1, 2007 in an area identified in Paragraph (f) of Rule

.0902 shall comply with all applicable rules in this Section upon start-up of the source.
History Note: Authority G

.S

. 143-215.3(a)(1); 143-215

. 107(a)(5); Eft

. July 1, 1979; Amended Eft. ; March 1, 2007 ; July 1, 2000; April 1, 1997; July 1, 1995; July 1, 1994; July 1, 1988 ; January 1, 1985.

15A NCAC 02D .1402 is proposed for amendment as follows :

15A NCAC 020 .1402 APPLICABILITY (a) The rules in this Section do not apply except as specifically set out in this Rule

. (b) The requirements ofthis Section shall apply to all sources May 1 through September 30 of each year. (c) Rules .1409(b) and.1416 through .1423 of this Section apply statewide

. (d) The Rules .1407 through

.1409 and .1413 of this Section apply to 

### sourc.es**faciliti ~s**  with the potential to emit 100 ton or more nitrogen oxides per year in the following areas: (1) Cabarrus County (2) Gaston County (3) Lincoln County (4) Mecklenburg County (5) Rowan County (6) Union County (7) Davidson Township and Coddle Creek Township in Iredell County (e) Ifa violation ofthe ambient air quality standard for ozone is measured according to 40 CFR 50

.9 in Davidson, Forsyth, or Guilford County or that part of Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801 , Fulton Creek and back to Yadkin River, the Director shall initiate analysis to determine the control measures needed to attain and maintain the ambient air quality standard for ozone

. By the following May 1 , the Director shall implement the specific stationary source control measures contained in this Section that are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance with the ambient air quality standard for ozone. The Director shall implement the rules in this Section identified as necessary by the analysis by notice in the North Carolina Register. The notice shall identify the rules that are to be implemented and shall identify whether the rules implemented are to apply in Davidson, Forsyth, or Guilford County or that part of11-8 Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to Yadkin River or any combination thereof

.At least one week before the scheduled publication date ofthe North Carolina Register containing the Director's notice implementing rules in this Section, the Director shall send written notification to all permitted facilities within the county in which the rules are being implemented that are or may be subject to the requirements ofthis Section informing them that they
are or may be subject to the requirements ofthis Section

. (For Forsyth County, "Director" means for the purpose of notifying permitted facilities in Forsyth County, the Director ofthe Forsyth County local air pollution control program

.) Compliance shall be according to Rule

.1403 ofthis Section. (f) If a violation ofthe ambient air quality standard for ozone is measured according to 40 CFR 50.9 in Durham or Wake County or Dutchville Township in Granville County, the Director shall initiate analysis to determine the control measures needed to attain and maintain the ambient air quality standard for ozone

. By the following May 1 , the Director shall implement the specific stationary source control measures contained in this Section that are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance with the ambient air quality standard for ozone. The Director shall implementthe rules in this Section identified as necessary by the analysis by notice in the North Carolina Register. The notice shall identify the rules that are to be implemented and shall identify whether the rules implemented are to apply in Durham or Wake County or Dutchville Township in Granville County or any combination thereof

.At least one week before the scheduled publication date ofthe North Carolina Register containing the Director's notice implementing rules in this Section, the Director shall send written notification to all permitted facilities within the county in which the rules are being implemented that are or may be subject to the requirements ofthis Section informing them that they are or may be subject to the requirements ofthis Section

. Compliance shall be in according to Rule .1403 ofthis Section

. (g) If EPA notifies the State that its nonattainment plan for ozone has failed to attain the ambient air quality standard for ozone in the Charlotte-Gastonia

-Rock Hill ozone nonattainment area, the rules in this Section shall apply to sources in Cabarrus, Gaston, Lincoln, Mecklenburg, Rowan. and Union Counties and Davidson and Coddle Creek townships in Iredell County with the potential to emit at least 50 tons but less than 100 tons of nitrogen oxides per year. Within 60 days of receipt ofthe notification from EPA the Director shall notice the applicability ofthese rules to these 

## r - j

## faCilitiesin the North Carolina Register and shall send written notification to all permitted facilities within the counties in which the rules are being implemented that are or may be subject to the requirements ofthis Section informing them that they are or may be subject to the requirements ofthis Section

. (For Mecklenburg County, "Director" means for the purpose of notifying permitted facilities in Mecklenburg County, the Director ofthe Mecklenburg County local air pollution control program

.) Compliance shall be according to Rule

.1403 ofthis Section

. fgt.{h} Regardless ofany other statement of applicability of this Section, this Section does not apply to any: (1) source not required to obtain an air permit under 15A NCAC 02Q

.0102 or is an insignificant activity as defined at 15A NCAC 020 .0103(19);II- 9 (2) incinerator or thermal or catalytic oxidizer used primarily for the control ofair pollution; (3) emergency generator; (4) emergency use internal combustion engine; (5) source that is not covered under Rules

.1416, .1417, or .1418, and that is at a facility with
a federally enforceable potential to emit nitrogen oxides of: (A) less than 1 00 tons per year; and (B) less than 560 pounds per calendar day beginning May 1 through September 30 of any year. (6) stationary internal combustion engine less than 2400 brake horsepower that operates no more than the following hours between May 1 and September 30: (A) for diesel engines: 

### t 

## =833,333/ ES (B) for natural gas-fired engines: t 

# =700,280I ES where 

### tequals time in hours and ES equals engine size in horsepower. This exemption shall not apply to any ofthe sources listed in Rules .1417(a)(1) or (2) or .1417(b) of this Section except that it shall apply to: (7) stationary combustion turbine constructed before January 1, 1979, that has a federally enforceable permit that restricts: (A) its potential emissions of nitrogen oxides to no more than 25 tons between May 1 and September 30; (B) it to burning only natural gas or oil; and (C) its hours of operation as described in 40 CFR 96.4 (b) (1 )(ii) and (iii).
History Note: Authority

### G.S. 143-215.3(a)(1); 143-215.107(a)(5), (7), (10); Eff. Apri/1, 1995; Amended Eff. Apri/1, 1997; July 1, 1995; Apri/1, 1995; TemporaryAmendment Eff. November 1, 2000; AmendedEff. Apri/1, 2001; TemporaryAmendment Eff. August 1, 2001; Amended Eff. ; March 1, 2007; July 18, 2002.

15A NCAC 020 .1403 is proposed for amendment as follows:

15A NCAC 020 .1403 COMPLIANCE SCHEDULES (a) Applicability. This Rule applies to sources covered by Paragraph (d), (e), 

### GF--fft <D. or (g) of Rule .140211-10
.1402 ofthis Section. (b) Maintenance aFea&,. area and Charlotte ozone nonattainment area contingency plan. The owner or operator of a source subject to this Rule because ofthe applicability of Paragraph (e) or (f) Paragraph

### fef er-ff1 (e), {D, or (g) of Rule .1402 ofthis Section, shall adhere to the following increments of progress and schedules: (1) If compliance with this Section is to be achieved through a demonstration to certify compliance without source modification: (A) The owner or operator shall notify the Director in writing within six months after the Director's notice in the North Carolina Register that the source is in compliance with the applicable limitation or standard; (B) The owner or operator shall perform any required testing, according to Rule .1415 ofthis Section, within 12 months after the Director's notice in the North Carolina Register to demonstrate compliance with the applicable limitation; and (C) The owner or operator shall implement any required recordkeeping and reporting requirements, according to Rule .1404 ofthis Section, within 12 months after the Director's notice in the North Carolina Register to demonstrate compliance with the applicable limitation. (2) Ifcompliance with this Section is to be achieved through the installation of combustion modification technology or other source modification: (A) The owner or operator shall submit a permit application and a compliance schedule within six months afterthe Director's notice in the North Carolina Register. (B) The compliance schedule shall contain the following increments of progress: (i) a date by which contracts for installation ofthe modification shall be awarded or orders shall be issued for purchase of component parts; (ii) a date by which installation ofthe modification shall begin; (iii) a date by which installation ofthe modification shall be completed; and (iv) ifthe source is subject to a limitation, a date by which compliance testing shall be completed. (C) Final compliance shall be achieved within three years after the Director's notice in the North Carolina Register unless the owner or operator ofthe source petitions the Directorfor an alternative limitation according to Rule .1412 ofthis Section. If such a petition is made, final compliance shall be achieved within four years after the Director's notice in the North Carolina Register. (3) If compliance with this Section is to be achieved through the implementation of an emissions averaging plan as provided for in Rule .1410 ofthis Section: (A) The owner or operator shall abide by the applicable requirements ofII

- 11 Subparagraphs (b)(1) or (b)(2) ofthis Rule for certification or modification ofeach
source to be included under the averaging plan; (B) The owner or operator shall submit a plan to implement an emissions averaging plan according to Rule .1410 ofthis Section within six months after the Director's notice in the North Carolina Register. (C) Final compliance shall be achieved within one year after the Director's notice in the North Carolina Register unless implementation ofthe emissions averaging plan requires the modification of one or more ofthe averaging sources. If modification of one or more ofthe averaging sources is required, final compliance shall be achieved within three years. (4) If compliance with this Section is to be achieved through the implementation of a seasonal fuel switching program as provided for in Rule .1411 ofthis Section: (A) The owner or operator shall make all necessary modifications according to Subparagraph (b)(2) ofthis Rule. (B) The owner or operator shall include a plan for complying with the requirements of Rule .1411 ofthis Section with the permit application required under Part (A) of this Subparagraph. (C) Final compliance shall be achieved within three years after the Director's notice in the North Carolina Register. (5) Increments of progress certification. The owner or operator shall certify to the Director, within five days after each increment deadline of progress in this Paragraph, whether the required increment of progress has been met. (c) Nonattainment areas. The owner or operator of a source subject to this Rule because ofthe applicability of Paragraph (d) of Rule .1402 ofthis Section, shall adhere to the following: (1) If compliance with this Section is to be achieved through a demonstration to certify compliance without source modification: (A) The owner or operator shall notify the Director in writing by August 1, 2007; (B) The owner or operator shall perform any required testing, according to Rule .1415 ofthis Section, by January 1, 2008 and (C) The owner or operator shall implement any required recordkeeping and reporting requirements, according to Rule .1404 ofthis Section, by January 1, 2008. (2) If compliance with this Section is to be achieved through the installation of combustion modification technology or other source modification: (A) The owner or operator shall submit a permit application and a compliance schedule by August 1, 2007. (B) The compliance schedule shall contain a date by which contracts for installation ofthe modification shall be awarded or orders shall be issued for purchase ofII

- 12 component parts. (C) The compliance schedule shall contain a date by which installation ofthe modification shall begin. (D) The compliance schedule shall contain a date by which installation ofthe modification shall be completed. (E) If the source is subject to a limitation, the compliance schedule shall contain, a date by which compliance testing shall be completed. (F) Final compliance shall be achieved no later than April 1, 2009. (3) If compliance with this Section is to be achieved through the implementation of an emissions averaging plan as provided for in Rule .1410 ofthis Section: (A) The owner or operator shall abide by the applicable requirements of Subparagraph (c)(1) or (c)(2) ofthis Rule for certification or modification ofeach
source to be included under the averaging plan; (B) The owner or operator shall submit a plan to implement an emissions averaging plan according to Rule .1410 ofthis Section by August 1, 2007. (C) Final compliance shall be achieved within one year no later than January 1, 2008. (4) If compliance with this Section is to be achieved through the implementation of a seasonal fuel switching program as provided for in Rule .1411 of this Section: (A) The owner or operator shall make all necessary modifications according to Subparagraph (c)(2) ofthis Rule. (B) The owner or operator shall include a plan for complying with the requirements of Rule .1411 ofthis Section with the permit application required under Part (A) of this Subparagraph. (C) Final compliance shall be achieved no later than April 1,2009. (5) Increments of progress certification. The owner or operator shall certify to the Director, within five days after the deadline for each increment of progress in this Paragraph, whether the required increment of progress has been met. (d) Sources already in compliance. (1) Maintenance aFea&c area and Charlotte ozone nonattainment area contingency plan. Paragraph (b) of this Rule shall not apply to sources that are in compliance with applicable rules of this Section when the Director notices the implementation of rules in the North Carolina Register that resolves a violation of the ambient air quality standard for
ozone and that have determined and certified compliance to the satisfaction ofthe Director within six months after the Director notices the implementation of rules in the North Carolina Register that resolves a violation of the ambient air quality standard for
ozone.II- 13 (2) Nonattainment areas. Paragraph (c) of this Rule shall not apply to sources in an
area named in Paragraph (d) of Rule .1402 of this Section that are in compliance with applicable rules ofthis Section on March 1, 2007. (e) New sources. (1) Maintenance af8a&. area and Charlotte ozone nonattainment area contingency plan. The
owner or operator of any new source of nitrogen oxides not permitted before the date the Director notices in the North Carolina Register according to Paragraphs Paragraph (e), {Q, or (g) (e) or (f) of Rule .1402 ofthis Section, shall comply with all applicable rules in this Section upon start-up ofthe source. The owner or operator ofany new source covered under Rules .1407, .1408, .1409, .1413, or .1418 ofthis Section shall comply with all applicable rules in this Section upon start-up ofthe source. (2) Nonattainment areas. The owner or operator ofany new source of nitrogen oxides not permitted before March 1, 

## 20fi:l2'fi&l in an area identified in Paragraph (d) of Rule .1402 ofthis Section, shall comply with all applicable rules in this Section upon start-up ofthe
source. History Note: Authority G.S. 143-215.3(a)(1); 143-215.65; 143-215.107(a)(5), (7), (10); Eff. Apri/1, 1995; Amended Eff. Apri/1, 1997; TemporaryAmendment Eff. November 1, 2000; Amended Eff. Apri/1, 2001; TemporaryAmendment Eff. August 1, 2001; Amended Eff. March 1, 2007; July 18, 2002

.

15A NCAC 020 is proposed for amendment as follows: 15A NCAC 02Q .0207 ANNUAL EMISSIONS REPORTING (a) The owner or operator of a Title V facility shall report by June 30th of each year the actual emissions during the previous calendar year of: (1) volatile organic compounds, (2) nitrogen oxides, (3) total suspended particulates, (4) sulfur dioxide, (5) fluorine, (6) hydrogen chloride, (7) hydrogen fluoride, (8) hydrogen sulfide, (9) methyl chloroform,II- 14 (10) methylene chloride, (11) ozone, (12) chlorine, (13) hydrazine, (14) phosphine, (15) particulate matter (PM10), (16) carbon monoxide, (17) lead, and (18) perchloroethylene. (b) The owner or operator of a facility not included in Paragraph (a) ofthis Rule, other than a transportation facility, that has actual emissions of 25 tons peryear or more of nitrogen oxides or volatile organic compounds and that is located in Davidson, Durham, Forsyth, Gaston, Guilford, Mecklenburg, or Wake County, in Dutchville Township in Granville County, or in that part of Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to the Yadkin River shall report by June 30th of each year the actual emissions of nitrogen oxides and volatile organic compounds during the previous calendar

### year.:. year, ifthe facility is in: (1) Cabarrus County, (2) Davidson County, (3) Durham County, (4) Forsyth County, (5) Gaston County (6) Guilford County, (7) Lincoln County (8) Mecklenburg County (9) Rowan County (10) Union County (11) Wake County, (12) Davidson Township and Coddle Creek Township in Iredell County (13) Dutchville Township in Granville County, or (14) that part of Davie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to the Yadkin River (c) The report shall be in or on such form as may be established by the Director. The Director may require reporting for sources within a facility, for other facilities, or for other pollutants, parameters, or information, by permit condition or pursuant to 15A NCAC 020 .0202 (Registration ofAir Pollution Sources). 

### TJ:ti.s annual reporting requirement shall begin with calendar year 1993 emissions. The accuracy ofthe report required by Paragraph (a) ofthis Rule shall be certified by a responsible official of the facility as defined under 40 CFR 70.2.II- 15 by Paragraph (a) ofthis Rule shall be certified by a responsible official ofthe facility as defined under 40 CFR 70.2.

History Note: Filed as 

### a TemporaryAdoption Eff. March 8, 1994 for

### a period of 180 days oruntil the permanent rule is effective, whicheveris sooner; Authority G.S. 143-215.3(a)(1),(1a),(1b),(1d); 143-215.65; 143-215.107; 1438-282; 1508-21.6; Eff. July 1, 1994; Amended Eff.

__ ; July 1, 1998; July 1, 1996.

### II

- 16



### This page is intentionally blank.

# ,, Ill - 1 

# CHAPTER III REPORT OF PROCEEDINGS
Introduction
The Department ofEnvironmental and Natural Resources, Division ofAir Quality held a public hearing on March 14, 2007, at 7:00P.M. in Chamber Room CH-14 at the CharlotteMecklenburg Government Center at 600 East 4th Street, Charlotte, North Carolina. The hearing considered amendments to rules 15ANCAC 2D .0902,. 0909, .1402, .1403 and 15A NCAC 2Q .0207.
A public notice announcing this hearing was mailed to each person on the official mailing list for rule-making hearings. The public notice was also published in the North Carolina Register 

### at least 20 days before the public hearing and in the Charlotte Observer, 

### the Wilmington StarNews, 

### theAsheville Citizen Times, 

### the Winston Salem Journal, 

### and theRaleigh News and Observer 

### at least 30 days prior to the public hearing.

### :nl·~ 

### ENVIRONMENTAL MANAGEMENT COMMISSION

NORTH CAROLINA DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES
Michael F. Easley, Governor William G. Ross Jr., Secretary Donnie Brewer John S. Curry Marion Deerhake Tom Ellis John R. Gessaman E. Leo Green, Jr. Freddie Harrill



### February 6, 2007

MEMORANDUM

TO: Mr. Steven 

### D. Weber
From: Dr. DavidMorea+

# t"j)/L Subject: Hearing Officer Appointment Kevin Martin Dickson Phillips Ill Frank Shaw Stephen Smith Kenny Waldroup Steven D. Weber Forrest R. Westall, Sr.



### One public hearinghas been scheduled for March 14, 2007 in Charlotte, North Carolina. It 

### will begin at 7:00p.m. The attached public notice describes the purpose ofthese hearings.


### I am hereby appointingyou to serve as hearing officer for this hearing. Please receive all relevant public comment and reportyour findings and recommendations to the Environmental Management Commission. Mr. Thomas Allen 

### will provide staffsupportfor you. 

### Ifyouhave any questions, please feel free to contactThomas Allen at (919) 733-1489 or me.

BKO/ta
Attachment:

cc: Keith Overcash Lois Thomas Hearing Record File

An Equal Opportunity Affirmative Action Employer David H. Moreau Chairman Charles Petersor

Vice Chairman

### [1\·3 

### NORTH CAROLINA ENVIRONMENTAL MANAGEMENT COMMISSION PUBLIC NOTICE
Notice is hereby given for public hearings to be heard by the North Carolina Department of Environment and Natural Resources, Division of Air Quality concerning the proposed Amendments to Various Air Quality Rules. PURPOSE:

DATES AND LOCATION:

COMMENT PROCEDURES:

INFORMATION: To receive comments on proposed amendments to the control of N02 

### and NOx rules, new source performance standard rule, incorporate contingency provisions for RACT for VOC and NOx for the Charlotte nonattainment area for ozone, fugitive dust rule, certification ofleak tightness tester rule, open burning rules, banking applicability rule, permitting rules; proposed adoption of the other solid waste incinerator rule and a new open burning rule; and proposed repeal ofautomobile tailpipe emission standards rule and initial Title V permit application submittal rule. NOTE: The proposed adoptions considered in this hearing, if adopted, will be effective statewide; ifthey are later adopted by a local air pollution control agency, then that agency will enforce them in its area ofjurisdiction.
March 14,2007, 7:00P.M. Charlotte-Mecklenburg Government Center Room CH-14 600 East 4th 

### Street Charlotte, NC 28202
All persons interested in these matters are invited to attend the public hearing. Any person desiring to comment is requested to submit a written statementfor inclusion in the record 

### of proceedings atthe public hearing. 

### The hearing officer may limit oral presentation lengths 

### if many people want to speak. The hearing record will remain open until Apri\16, 2007, to receive additional written statements. To be included, the statement must be received by the Division by April16, 2007. Copies of the proposed rule changes may be downloaded at http://daq.state.nc.us/Rules/Hearing/

# cu· 't Copies of the proposals may also be reviewed at the regional offices of the North Carolina Department of Environment and Natural Resources, Division ofAir Quality, located at the following cities: Asheville Fayetteville Mooresville Raleigh Washington Wilmington Winston-Salem 828/296-4500 910/486-1541 704/663-1699 919/791-4200 252/946-6481 910/796-7215 336/771-4600 Comments should be sent to and additional information concerning the hearings or the proposals may be obtained by contacting:
Mr. Thomas C. Allen Division ofAir Quality 1641 Mail Service Center Raleigh, North Carolina 27699-1641 (919) 733-1489 Phone (919) 715-7476 Fax thorn.allen@ncmail.net



### 2

### " :
Ill - 5 

### Transcript
A transcript ofthe March 14, 2007 hearing has not been prepared; however, a tape recording ofthe proceedings will be kept on file with the Division ofAir Quality for one year from the date ofthe final actions by the Environmental Management Commission.
A list ofthose attending the hearing follows. Hearing Officer:
Mr. Steven D. Weber, member ofthe Environmental Management Commission
StaffMembers:
Thomas Allen, DAQ, DENR Paul Grable, DAQ, DENR Glenn Sappie, DAQ, DENR
Members ofthe General Public:
Brian North, Manager ofEngineering Services with Martin Marietta Jasper G. Stem, JR., P.E., North Carolina Aggregates Association Andy Zoutello, Chairman, Mecklenburg County Environmental Policy Coordinating Council Randy Poole, Mecklenburg CountyAir Quality Supervisor Chuck Greco, Mecklenburg CountyAir Quality SpecialistIll- 

### 6



### This page is intentionally blank.

### IV- I



### NORTH CAROLINA ENVIRONMENTAL MANAGEMENT COMMISSION PUBLIC NOTICE Notice is hereby given for public hearings to be heard by the North Carolina Department of Environment and Natural Resources, Division ofAir Quality concerning the proposed Amendments to Various Air Quality Rules. PURPOSE:

DATES AND LOCATION:

COMMENT PROCEDURES:

INFORMATION: To receive comments on proposed amendments to the control of N02 

### and NOx rules, new source performance standard rule, incorporate contingency provisions for RACT for VOC and NOx for the Charlotte nonattainment area for ozone, fugitive dust rule, certification of leak tightness tester rule, open burning rules, banking applicability rule, permitting rules; proposed adoption of the other solid waste incinerator rule and a new open burning rule; and proposed repeal of automobile tailpipe emission standards rule and initial Title V permit application submittal rule. NOTE: The proposed adoptions considered in this hearing, if adopted, will be effective statewide; if they are later adopted by a local air pollution control agency, then that agency will enforce them in its area ofjurisdiction. March 14, 2007, 7:00P.M. Charlotte-Mecklenburg Government Center Room CH-14 600 East 4th Street Charlotte, NC 28202
All persons interested in these matters are invited to attend the public hearing. Any person desiring to comment is requested to submit a written statementfor inclusion in the record of proceedings atthe public hearing. 

### The hearing officer may limit oral presentation lengths if many people want to speak. The hearing record will remain open until April16, 2007, to receive additional written statements. To be included, the statement must be received by the Division by April 16, 2007. Copies ofthe proposed rule changes may be downloaded at http://daq.state.nc.us/Rules/Hearing/

### Copies of the proposals may also be reviewed at the regional offices of the North Carolina Department of Environment and Natural Resources, Division of Air Quality, located at the following cities: Asheville Fayetteville Mooresville Raleigh Washington Wilmington Winston-Salem 828/296-4500 910/486-1541 704/663-1699 919/791-4200 252/946-6481 910/796-7215 336/771-4600 Comments should be sent to and additional information concerning the hearings or the proposals may be obtained by contacting:
Mr. Thomas C. Allen Division ofAir Quality 1641 Mail Service Center Raleigh, North Carolina 27699-1641 (919) 733-1489 Phone (919) 715-7476 Fax thorn.allen@ncmail.net

Note: Ifyou wish to receive a copy ofthe rules resulting from the hearing, legibly print your name and mailing address on the back of the enclosed card and return to the addressee. Copies ofthe proposed rule changes can be obtained at no cost by contacting Mr. Thomas Allen at the telephone number above. Copies ofthe proposed rule changes may also be downloaded at http://daq.state.nc.us/Rules/Hearing/

2IV- 3


## Exhibit 2Proposed Regulation and Amendments as Presented at the Hearing

TITLE 15A- DEPARTMENTOFENVIRONMENT AND NATURAL RESOURCES 

### Notice is herebygiven in accordance with 

### G.S. I50B-2I.2 that the Environmental Management Commission intends to adopt the rules citedas I5A NCAC 02D .I2II, .I907, amendthe rules citedas I5A NCAC 02D .0516, .0519, .052I, .0524, .0540, .0902, .0909, .0960, .I20I- .I202, .I208, .1402- .I403, .I90I- .I904, .2303; 02Q .OI02, .0207, and repeal the rules citedas I5A NCAC 02D .I004; 02Q.0506. 

### Proposed Effective Date: July I, 2007 

### Public Hearing: Date: March I4, 2007 

### Time: 7:00p.m. 

### Location: Charlotte-Mecklenburg Government Center, 600 East IlhStreet, Charlotte, NC 28202


### Reason for Proposed Action:
15ANCAC02D .0902, .0909, .1402, and.1403 to implement reasonable available control technology rulesfor volatile organic compounds andnitrogen oxides in the Charlotte ozone nonattainmentarea 

## if the state implementationplan fails to bringthat area into compliance with the ozone standard. 

### Procedureby which a person can objectto the agency on a proposed rule: Anyperson desiring to comment is requestedto submita written statement for inclusion in the recordof proceedings at thepublic hearing. The hearingofficer maylimit oralpresentation lengths 

## if manypeople want to speak. The hearing recordwill remain open untilApril I6, 2007, to receive additional written statements. To be included, the statement must be receivedby the Division byApril 16, 2007.


### Comments may be submitted to: ThomasAllen, 164I Mail Service Center, Raleigh, NC 27699-I64I,phone (9I9) 733-I489,fax (919) 715-7476, email thom.allen@ncmail.net 

### Commentperiod ends: April 16, 2007 

### Procedure for Subjecting a Proposed Rule to Legislative Review: Ifan objection is not resolved priorto the adoption ofthe rule, aperson may also submit written objections to the Rules Review Commission. Ifthe Rules Review Commission receives written and signed objections in accordance with G.S. 150B-21.3(b2) from 10 or more persons clearly requesting review by the legislature and the Rules Review Commission approves the rule, the rule will become effective as provided in G.S. 150B-21.3(bl). The Commission will receive written objections until 5:00 p.m. onthe day following the day the Commission approves the rule. The Commission will receive those objections by mail, delivery service, hand delivery,IV -4



### orfacsimile transmission. Ifyou have any further questions concerning the submission of objections to the Commission, please call a Commission staffattorney at 919-733-2721. 

### FiscalImpact: A copy ofthe fiscal note can be obtained from the agency. 

# 0 State 

# 0 Local 

# 0 Substantive (>$3,ooo,ooo) 

## [gj None 

### 15A NCAC 02D .0902, .0909, .1402-.1403,
CHAPTER02- ENVIRONMENTALMANAGEMENT
SUBCHAPTER02D- AIRPOLLUTION CONTROLREQUIREMENTS
SECTION .0900- VOLATILE ORGANIC COMPOUNDS 

### NOTE: The italicized language has been adopted bythe agency and is awaiting approval by the RRC.
15A NCAC 020 .0902 APPLICABILITY 

### (a) The rules in this Section do not apply except as specifically set out in this Rule. (b) Regardless ofany other statement ofapplicability ofthis Section, this Section does not applyto: (1)

(2)

(3) sources whose emissions ofvolatile organic compounds are notmore than 15 pounds perday, except that this Section does apply to the manufacture and use ofcutback asphalt and to gasoline service stations or gasoline dispensing facilities regardless of levels of emissions of volatile organic compounds; sourceswhose emissions do notexceed 800 pounds ofvolatileorganic compoundspercalendarmonth and that are: (A) bench-scale, on-site equipmentused exclusivelyfor chemical orphysical analysisfor quality
(B) (C) (D) control purposes, staff instruction, water or wastewater analyses, or non-production environmental compliance assessments; bench-scale experimentation, chemical orphysical analyses, training orinstructionfrom notfor-profit, non-production educational laboratories; bench-scale experimentation, chemical or physical analyses, training or instruction from hospitals or health laboratories pursuantto the determination or diagnoses ofillness; or research and developmentlaboratoryactivitiesprovidedthe activityproducesno commercial product or feedstock material; or emissions ofvolatile organic compounds during startup or shutdown operations from sources which use incineration or other types ofcombustion to control emissions ofvolatile organic compounds whenever the off-gas contains an explosive mixture during the startup or shutdown operation ifthe exemption is approved by the Director as meeting the requirements ofthis Subparagraph. 

### (c) The following rules ofthis Section apply statewide: (1) .0925, PetroleumLiquid Storage in FixedRoofTanks,for fixed rooftanks at gasoline bulkplantsand (2) (3) (4) (5) (6) (7) (8) (9) gasoline bulk terminals; .0926, Bulk Gasoline Plants; .0927, Bulk Gasoline Terminals; .0928, Gasoline Service Stations Stage I; .0932, Gasoline Truck Tanks and Vapor Collection Systems; .0933, Petroleum Liquid Storage in External Floating RoofTanks, for external floating rooftanks at bulk gasoline plants and bulk gasoline terminals; .0948, VOC Emissions from Transfer Operations; .0949, Storage ofMiscellaneous Volatile Organic Compounds; and .0958, Work Practices for Sources ofVolatile Organic Compounds.IV- 5 

### (d) Rule .0953, VaporReturn Piping for Stage II Vapor Recovery, ofthis Section applies in Davidson, Durham, Forsyth, Guilford, Wake, Dutchville Township in Granville County, and thatpart ofDavie County bounded by the YadkinRiver, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to Yadkin River in accordance with provisions set out inthat Rule. (e) All sources located in Mecklenburg Countythat were required to comply with any of these Rules beforeJuly 5, 1995: (I) .0917 through .0937 ofthis Section, or (2) .0943 through .0945 ofthis Section, 

### shall continue to comply with those Rules. (f) 

### The Rules in this Section apply to sources with thepotential to emit 100 tons or more volatile organic compoundsperyear in thefollowing areas: (1) Cabarrus County (2) Gaston County (3) Lincoln County (4) Mecklenburg County (5) Rowan County (6) Union County (7) Davidson Township andCoddle Creek Township in Iredell County 

### (g) Ifa violation ofthe ambient air quality standard for ozone is measured in accordance with 40 CFR 50.9 inDavidson, Forsyth, or Guilford County orthat part ofDavie County bounded by the Yadkin River, Dutchmans Creek, North Carolina Highway 801, Fulton Creek and back to Yadkin River, the Director shall initiate analysis to determine the control measures needed to attain and maintainthe ambient air quality standard for ozone. Bythe following May 1, the Director shall implement the specific stationary source control measures contained in this Sectionthat are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance with the ambient air quality standard for ozone. The Director shall implementthe rules in this Section identified as being necessary by the analysis by notice in the North Carolina Register. The notice shall identify the rules that are to be implemented and shall identify whetherthe rules implemented are to apply inDavidson, Forsyth, or Guilford County or that part ofDavie Countyboundedbythe Yadkin River, Dutchmans Creek, North CarolinaHighway 801, Fulton Creek andback to YadkinRiver or any combinationthereof. At least one week before the scheduled publication date ofthe North CarolinaRegister containing the Director's notice implementing rules inthis Section, the Director shall send written notification to all permitted facilities within the county in which the rules are being implemented that are ormaybe subject to the requirements ofthis Section informing them thatthey are or may be subjectto the requirements ofthis Section. (For Forsyth County, "Director" means for the purpose of notifying permitted facilities inForsyth County, the Director ofthe Forsyth County local air pollution control program.) Compliance shall be in accordance with Rule .0909 ofthis Section. (h) Ifa violation ofthe ambient air quality standard for ozone is measured in accordance with 40 CFR 50.9 inDurham or Wake County or Dutchville Township in Granville County, the Director shall initiate analysis to determine the control measures needed to attain and maintain the ambient air quality standard for ozone. Bythe following May 1, the Director shall implement the specific stationary source control measures contained in this Sectionthat are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance withthe ambient air quality standard for ozone. The Director shall

### IV -6 

### implement the rules inthis Sectionidentified as being necessarybythe analysis by notice in the North CarolinaRegister. The notice shall identifythe rules that are to be implemented and shall identify whetherthe rules implemented are to apply in Durham or Wake County or Dutchville Township in Granville County or any combinationthereof. At least one week before the scheduled publication date ofthe North CarolinaRegister containingthe Director's notice implementing rules inthis Section, the Director shall send writtennotificationto all permitted facilities within the county in which the rules are being implementedthat are or maybe subjectto the requirements ofthis Section informing them thatthey are ormay be subjectto the requirements ofthis Section. Compliance shall be in accordance withRule

.0909 ofthis Section. (i) 

### IfEPAreclassifies the Charlotte-Gastonia-RockHill ozone nonattainment area as serious for ozone under Section 182 ofthe federal Clean Air Act, the rules inthis Section shall apply to sources in Cabarrus, Gaston, Lincoln, Mecklenburg, Rowan, andUnion Counties and Davidsonand Coddle Creektownships inIredell County withthe potential to emit at least 50 tons but less than 100 tons ofvolatile organic compounds peryear. Within 60 days ofthe reclassification, the Director shall notice the applicability ofthese rules to these sources inthe North CarolinaRegister and shall send written notificationto all permitted facilities within the counties in whichthe rules are being implementedthat are ormay be subjectto the requirements ofthis Section informing them thatthey are or maybe subjectto the requirements ofthis Section. (For Mecklenburg County, "Director"means for the purpose of notifying permitted facilities inMecklenburg County, the Director ofthe Mecklenburg County local air pollutioncontrol program.) Compliance shall be according to Rule .0909 of this Section. (ij(j} 

### Sources whose emissions ofvolatile organic compounds are not subjectto limitation underthis Sectionmay still be subjectto emission limits onvolatile organic compounds in Rules, .0524, .1110, or .1111 ofthis Subchapter. Authority 

### G.S. 143-215.3(a)(J); 143-215.107(a)(5). 

### NOTE: The italicized language has been adoptedby the agency and is awaiting approval by the RRC.
15A NCAC 020.0909 COMPLIANCE SCHEDULES FOR SOURCES IN NONATTAINMENT AREAS 

### (a) Applicability. With the exceptions in Paragraph (b) ofthis Rule, this Rule applies to all sources covered byParagraphs (f), (g), or (h) 

### (h), or (i) ofRule .0902 ofthis Section. (b) Exceptions. This Rule does not apply to: (I) sources in Mecklenburg Countyrequiredtocomplywith the requirements ofthis Section underRule .0902(e) ofthis Section; (2) sources covered under Rule .0953 or .0954 ofthis Section; or (3) sources requiredto comply with the requirements ofthis SectionunderRule .0902(c) ofthis Section. 

### (c) Maintenance fH'etfS. 

### area and Charlotte ozone nonattainment area contingency plan. The owner oroperator ofany source subject to this Rule because ofthe application ofParagraphs (g) or (h) (g), (h), or (i) ofRule .0902 ofthis Section shall adhere to the following increments ofprogress and schedules: (I) ifcompliance is to be achieved byinstallingemissioncontrol equipment,replacingprocess equipment, or modifying existing process equipment: (A) The owner or operatorshallsubmita permit application and acompliance schedule within six months after the Director notices the implementation ofrules in the North Carolina Register that resolves a violation of the ambient air quality standard for ozone;

### IV -7
(B) The compliance schedule shall containthe following increments ofprogress: (i) a date by which contracts for the emission control system and process equipment shall be awarded or orders shall be issued for purchase ofcomponentparts; (ii) a date by which on-site construction or installation ofthe emission control and process equipment shall begin; and (iii) a date by which on-site construction or installation ofthe emission control and process equipment shall becompleted; (C) Final compliance shall be achieved within three years after the Director notices the implementation ofrules in the North Carolina Register that resolves a violation ofthe ambient airquality standard for ozone. (2) ifcompliance is to be achieved by using low solvent content coating technology: (A) The owner or operatorshallsubmita permit application and a compliance schedule within six months after the Director notices the implementation ofrules in the North Carolina Register that resolves a violation of the ambientair qualitystandard for ozone; (B) The compliance schedule shall contain the following increments: (i) a date by which research and development oflow solvent content coating shall be completed ifthe Director determines that low solvent content coating technology has not been sufficiently researched and developed; (ii) a date by which evaluation ofproduct quality and commercial acceptance shall be completed; (iii) adatebywhich purchase orders shallbe issued for low solventcontentcoatings and process modifications; (iv) a date by which process modifications shall be initiated; and (v) a date by which process modifications shall be completed and use oflow solvent content coatings shall begin; (C) Final compliance shall be achieved within three years after the Director notices the implementation ofrules in the North Carolina Register that in resolves a violation of the ambientairquality standard for ozone. (3) The owneror operatorshallcertify to the Directorwithin[lve days aftereach incrementdeadline of progress in this Paragraph, whether the requiredincrement of progress has been met. 

### (d) Nonattainment areas. The owneror operator of anysource subject to this Rule because of the application of Paragraphs (f) of Rule

.0902 of this Section shalladhere to the following increments of progress andschedules: (1) 

### ifcompliance is to be achieved by installing emission control equipment, replacing process equipment, ormodifyingexistingprocess equipment: (A) The owner or operator shall submit a permit application and a compliance schedule by August I, 2007 (B) The complianceschedule shallcontain the following increments of progress: (i) a date by which contracts for the emission controlsystem andprocess equipment shallbe awardedor orders shall be issued forpurchase of componentparts; (ii} a date by which on-site construction or installation ofthe emission control and process equipmentshall begin; and (iii) a date by which on-site construction or installation of the emission control and process equipmentshall be completed; (C) Final compliance shallbe achievedno later thanApril I, 2009. (2) 

### if compliance is to be achievedby using low solvent contentcoating technology: (A) The owner or operator shall submit a permit application and a compliance schedule by August I, 2007. (B) The complianceschedule shallcontain the following increments: (i) a date by which research anddevelopment of low solvent contentcoatingshallbe completed

### if the Director determines that low solvent contentcoatingtechnology has notbeen sufficiently researchedanddeveloped; (ii) a date bywhichevaluation of productqualityandcommercialacceptanceshallbe completed;IV- 8
(iii) a date by whichpurchase orders shall be issued for low solvent content coatings andprocess modifications; (iv) a date by whichprocess modifications shall be initiated; and (v) a date by whichprocess modifications shall be completedanduse of/owsolvent content coatings shall begin; (C) Final compliance shall be achievedno later thanApril 1, 2009. (3) The owner or operator shall certify to the Director within[lve days after the deadline,for each increment of progress in this Paragraph, whether the required increment of progress has been met. 

### (e) Ifthe Directorrequires a test to demonstrate that compliance has been achieved, the owner or operator ofsources subject to this Rule shall conduct a test and submit a final test report within six months afterthe stated date offinal compliance. (f) 

### Sources already in compliance. (I) Maintenance**~area** and Charlotte ozone nonattainmentareacontingencyplan. Paragraph (c) of this Rule shall not applyto sources that are in compliance with applicable rules ofthis Section when the Director notices the implementation ofrules in the North Carolina Register that resolves a violation ofthe ambient air quality standardfor ozone and that have determined and certified compliance to the satisfaction of the Director within six months after the Director notices implementation of rules in the North Carolina Register that resolves a violation of the ambient air quality standard for ozone. (2) Nonattainment areas. Paragraphs (d) ofthis Rule shall not apply to sources in an area named in Paragraph (j) of Rule.0902 of this Section thatare in compliancewith applicablerules of thisSection on March 1, 2007. 

### (g) New sources. (I) Maintenance ffl'etl5:-area and Charlotte ozone nonattainment area contingency plan. The owner or operator of any new source of volatile organic compounds not in existence or under construction before the date that the Director notices in the North Carolina Register in accordance with Paragraph (g), (h), or (i) (g) er (h)of Rule .0902 of this Section the implementation of rules in the North CarolinaRegisterthatresolves aviolation of the ambientairqualitystandard for ozone, shall comply with all applicable rules in this Section upon start-up of the source. (2) Nonattainmentareas. The owneroroperatorof anynewsource of volatile organiccompoundsnotin existence orunderconstruction beforeMarch 1, 2007 in an area identifiedin Paragraph (f) of Rule .0902 shall comply with all applicable rules in this Section upon start-up of the source. Authority G.S. 143-215.3(a)(l); 143-215.107(a)(5).

SECTION .1400- NITROGEN OXIDES 

### NOTE: The italicized language has been adoptedbythe agency and is awaiting approval by the RRC.
15A NCAC 020 .1402 APPLICABILITY 

### (a) The rules in this Section do not apply except as specificallyset out in this Rule. (b) 

### The requirements ofthis Section shall apply to all sources May 1through September 30 ofeachyear. (c) 

### Rules .1409(b) and.1416 through .1423 ofthis Section apply statewide. (d) The Rules .1407 through .1409and.1413 of this Section apply to sources with the potential to emit I00 ton ormore nitrogen oxidesperyear in thefollowing areas: (I) Cabarrus County (2) Gaston County (3) Lincoln County (4) Mecklenburg County (5) Rowan County

### IV- 9 (6) Union County (7) Davidson Township and Coddle Creek Township in Iredell County 

### (e) 

### Ifa violation ofthe ambient air quality standard for ozone is measured according to 40 CFR 50.9 inDavidson, Forsyth, or Guilford County or that part ofDavie Countybounded by the Yadkin River, Dutchmans Creek, North CarolinaHighway 801, Fulton Creek and back to Yadkin River, the Director shall initiate analysis to determine the control measures neededto attain and maintain the ambient air quality standard for ozone. Bythe following May 1, the Director shall implement the specific stationary source control measures contained in this Sectionthat are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance withthe ambient air quality standard for ozone. The Director shall implementthe rules inthis Section identified as necessaryby the analysis by notice in the North CarolinaRegister. The notice shall identify the rules that are to be implemented and shall identify whether the rules implemented are to apply inDavidson, Forsyth, or Guilford County or that part ofDavie Countybounded by the Yadkin River, Dutchmans Creek, North CarolinaHighway 801, Fulton Creek and back to Yadkin River or any combinationthereof. At least one week before the scheduledpublication date ofthe North CarolinaRegister containing the Director's notice implementing rules in this Section, the Director shall send written notification to all permitted facilities within the county in whichthe rules are being implemented that are ormay be subject to the requirements ofthis Section informingthem that they are or maybe subject to the requirements ofthis Section. (For Forsyth County, "Director" means for the purpose ofnotifying permitted facilities in Forsyth County, the Director ofthe Forsyth County local air pollution control program.) Compliance shall be according to Rule .1403 ofthis Section. (f) 

### Ifa violation ofthe ambient air quality standard for ozone is measured according to 40 CFR 50.9 inDurham or Wake County or Dutchville Township in Granville County, the Director shall initiate analysis to determine the control measures needed to attain and maintain the ambient air quality standard for ozone. By the following May 1, the Director shall implementthe specific stationary source control measures contained in this Sectionthat are required as part ofthe control strategy necessary to bring the area into compliance and to maintain compliance with the ambient air quality standard for ozone. The Director shall implement the rules in this Section identified as necessary by the analysis by notice in the North CarolinaRegister. The notice shall identifythe rules that are to be implemented and shall identify whether the rules implemented are to apply in Durham or Wake County or Dutchville Township in Granville County or any combination thereof. At least one week before the scheduled publication date ofthe North Carolina Register containing the Director's notice implementing rules in this Section, the Director shall send written notification to all permitted facilities within the county in which the rules are being implementedthat are or may be subject to the requirements ofthis Section informing them that they are or may be subject to the requirements ofthis Section. Compliance shall be in according to Rule .1403 of this Section. (g) 

### IfEPA notifies the State that its nonattainment plan for ozone has failed to attain the ambient air quality standardfor ozoneinthe Charlotte-Gastonia-RockHill ozonenonattainrnentarea, therules inthis Sectionshall applyto sources in Cabarrus, Gaston, Lincoln, Mecklenburg, Rowan, andUnion Counties and Davidson and Coddle Creektownships in Iredell County with the potential to emit at least 50 tons but less than 1 00 tons of nitrogen oxides peryear. Within 60 days ofreceiptofthenotification from EPA, theDirectorshall noticethe applicability ofthese Rules tothese sources in theNorthCarolinaRegister and shall send writtennotification to all permitted facilities within the counties in which the rules are being implemented that are or may be

### IV- 10 

### subjectto the requirements ofthis Section informingthem thatthey are ormaybe subjectto therequirements ofthis Section. (For MecklenburgCounty, "Director" means forthepurposeofnotifyingpermittedfacilities 

### in Mecklenburg County, the Director of the Mecklenburg County local air pollution control program.) Compliance shall be according to Rule .1403 ofthis Section. 

## £hl Regardless of any otherstatementof applicability of this Section, this Section does not apply to any: (1) source notrequired to obtain an airpermitunder 15ANCAC 02Q .0102 oris an insignificantactivity as defined at 15A NCAC 02Q .0103(19); (2) incinerator or thermal or catalytic oxidizer used primarily for the control ofair pollution; (3) emergency generator; (4) emergency use internal combustion engine; (5) source that is not covered under Rules .1416, .1417, or .1418, and that is at a facility with afederally enforceable potential to emit nitrogen oxides of: (A) less than 100 tons per year; and (B) less than 560 pounds per calendar day beginning May 1through September 30 ofanyyear. (6) stationary internalcombustionengine lessthan2400brake horsepowerthat operatesno morethanthe following hours between May 1and September 30: (A) for diesel engines: 

### t 

# =833,333 I ES (B) for natural gas-fired engines: t

# =700,280 I ES where tequals time in hours andES equals engine size in horsepower. This exemption shall not applyto any ofthe sources listed in Rules .1417(a)(1) or(2) or .1417(b)ofthis Section except that it shall apply to: (7) stationary combustion turbine constructed before January 1, 1979, that has a federally enforceable permit that restricts: (A) its potential emissions of nitrogen oxides to no more than 25 tons between May 1 and September 30; (B) it to burning only natural gas or oil; and (C) its hours ofoperation as described in 40 CFR 96.4 (b) (1)(ii) and (iii). AuthorityG.S. 143-215.3(a)(l); 143-215.107(a)(5), (7), (10). 

### NOTE: The italicized language has beenadopted bythe agency and is awaiting approval by the RRC.
15A NCAC 020 .1403 COMPLIANCE SCHEDULES 

### (a) Applicability. This Rule applies to sources coveredbyParagraph (d), (e), (f), 

### or (g) of Rule .1402 ofthis Section. (b) Maintenance area and Charlotte ozone nonattainment area contingencyplan. The owner or operator ofa source subjectto this Rule because ofthe applicability ofParagraph 

### tft

# hl (f), 

### or (g) ofRule .1402 ofthis Section, shall adhere to thefollowing increments of progress andschedules: (1) If compliance with this Section is to be achieved through a demonstration to certify compliance without source modification: (A) The owner or operator shall notify the Director in writing within six months after the Director's notice in the North Carolina Register that the source is in compliance with the applicable limitation or standard; (B) The owner or operator shall perform any required testing, according to Rule .1415 ofthis Section, within 12 months after the Director's notice in the North Carolina Register to demonstrate compliance with the applicable limitation; and (C) The owner or operator shall implement any required recordkeeping and reporting requirements, according to Rule .1404 ofthis Section, within 12 months afterthe Director's

### IV- 11

notice in the North Carolina Register to demonstrate compliance with the applicable limitation. (2) Ifcompliance with this Section is to be achievedthrough the installation ofcombustion modification technology or other source modification: (A) The owner oroperator shall submitapermitapplicationand acompliance schedulewithin six months after the Director's notice in the North Carolina Register. (B) The compliance schedule shall contain the following increments ofprogress: (i) a date by which contracts for installation ofthe modification shall be awarded or orders shall be issued for purchase ofcomponentparts; (ii) a date by which installation ofthe modification shall begin; (iii) a date by which installation ofthe modification shall be completed; and (iv) ifthe source is subjectto a limitation, a date by which compliance testing shall be completed. (C) Final compliance shall be achieved within threeyears afterthe Director'snotice in theNorth Carolina Register unless the owner or operator ofthe source petitions the Director for an alternative limitation accordingto Rule .1412 ofthis Section. Ifsuch apetition is made, final compliance shall be achieved within four years after the Director's notice in the North CarolinaRegister. (3) If compliance with this Section is to be achieved through the implementation of an emissions averaging plan as provided for in Rule .1410 ofthis Section: (A) The owneroroperatorshall abide bythe applicablerequirements ofSubparagraphs(b)(1)or (b)(2) ofthis Rule for certification or modification ofeach source to be included under the averaging plan; (B) The owner or operator shall submit a plan to implement an emissions averaging plan according to Rule .1410 ofthis Section within six months after the Director's notice in the North Carolina Register. (C) Final compliance shall be achieved within one year after the Director's notice in the North Carolina Register unless implementation of the emissions averaging plan requires the modification ofone or more ofthe averaging sources. Ifmodification ofone or more ofthe averaging sources is required, final compliance shall be achieved within three years. (4) Ifcompliance with this Section is to be achieved through the implementation of a seasonal fuel switching program as provided for in Rule .1411 ofthis Section: (A) The owner or operator shall make all necessary modifications according to Subparagraph (b)(2) ofthis Rule. (B) The owner or operator shall include a plan for complying with the requirements ofRule .1411 of this Section with the permit application required under Part (A) of this Subparagraph. (C) Final compliance shall be achieved withinthreeyears afterthe Director'snotice in the North CarolinaRegister. (5) Increments ofprogress certification. The owner or operator shall certify to the Director, within five days after each increment deadline ofprogress in this Paragraph, whether the required increment of progress has been met. 

### (c) Nonattainment areas. The owner or operator of a source subject to this Rule because of the applicability of Paragraph (d) of Rule .1402 of this Section, shall adhere to thefollowing: (1) Ifcompliance with this Section is to be achieved through a demonstration to certify compliance withoutsource modification: (A) The owner or operator shallnotifY the Director in writing byAugust I, 2007; (B) The owner or operatorshallperform any requiredtesting, according to Rule .I4I5 of this Section, byJanuary I, 2008 and (C) The owner or operator shall implement any required recordkeeping and reporting requirements, according to Rule .I404 of this Section, byJanuary I, 2008. (2) 

### If compliancewith this Section is to be achievedthrough the installation of combustionmodification technology or othersource modification: (A) The owner or operator shall submit a permit application and a compliance schedule by August I, 2007.

### IV -12
(B) The compliance schedule shall contain thefollowing increments of progress: (i) a date by which contracts for installation of the modification shallbe awardedor orders shall be issued forpurchase of componentparts; (ii) a date bywhich installation of the modification shall begin; (iii) a date by which installation of the modification shall be completed; and (iv) if the source is subjectto a limitation, a date bywhich compliance testingshallbe completed. (C) Final compliance shall be achievedno later than April], 2009. (3) Ifcompliance with this Section is to be achieved through the implementation ofan emissions averagingplan asprovided for in Rule .1410 of this Section: (A) The owneroroperatorshallabide bythe applicable requirementsa/Subparagraph (c)(1) or (c)(2) of this Rule for certification or modification of eachsource to be included under the averagingplan; (B) The owner or operator shall submit a plan to implement an emissions averagingplan according to Rule .1410 of this Section byAugust 1, 2007. (C) Final compliance shall be achievedwithin oneyear no later thanJanuary 1, 2008. (4) 

## Ifcompliance with this Section is to be achieved through the implementation ofa seasonalfuel switchingprogram asprovided for in Rule .1411 of this Section: (A) The owner or operatorshallmake allnecessarymodificationsaccordingto Subparagraph (c)(2) of this Rule. (B) The owner or operator shall include aplanfor complying with the requirements of Rule .1411 of this Section with the permit application required under Part (A) of this Subparagraph. (C) Final compliance shallbe achievedno later thanApril 1, 2009. (5) Increments of progress certification. The owneror operatorshallcertify to the Director, within fiVe days after the deadlinefor each increment of progress in this Paragraph, whether the required increment of progress has been met. 

### (d) 

### Sources already in compliance. (1) Maintenance area and Charlotte ozone nonattainment area contingency plan. Paragraph (b) of this Ruleshallnotapply to sources thatare in compliancewith applicable rules of this Section when the Directornotices the implementation of rules in theNorth CarolinaRegisterthatresolvesJ!violation of the ambientairqualitystandard for ozone andthathavedeterminedandcertifiedcomplianceto the satisfaction of the Directorwithin sixmonthsaftertheDirectornoticesthe implementation of rules in theNorth Carolina Register that resolves a violation of the ambient air qualitystandard for ozone. (2) Nonattainment areas. Paragraph (c) ofthis Rule shall not apply to sources in an area named in Paragraph (d) of Rule .1402 ofthis Section that are in compliance with applicable rules ofthis Section on March 1, 2007. 

### (e) 

### New sources. (1) Maintenance area and Charlotteozone nonattainmentareacontingencyplan. Theowneroroperatorof any new source ofnitrogen oxides not permitted before the date the Director notices in the North Carolina Register according to Paragraph (e), (f), or (g) ofRule .1402 ofthis Section, shall comply with all applicablerules inthis Section upon start-up ofthe source. The owneroroperatorofany new source covered underRules .1407, .1408, .1409, .1413, or .1418 ofthis Section shall complywith all applicable rules in this Section upon start-up ofthe source. (2) Nonattainment areas. The owner or operator of any new source of nitrogen oxides notpermitted before March 1, 2008 in an area identified in Paragraph (d) of Rule .1402 ofthis Section, shall comply with allapplicable rules in this Section upon start-up of the source. AuthorityG.S. 143-215.3(a)(1); 143-215.65; 143-215.107(a)(5), (7), (10).

15A NCAC 02Q .0207 ANNUAL EMISSIONS REPORTING 

### (a) The owner or operator ofa Title V facility shallreport by June 30th ofeachyearthe actual emissions during the previous calendaryear of: (1) volatile organic compounds, (2) nitrogen oxides,IV -13
(3) total suspended particulates, (4) sulfur dioxide, (5) fluorine, (6) hydrogen chloride, (7) hydrogen fluoride, (8) hydrogen sulfide, (9) methyl chloroform, (10) methylene chloride, (11) ozone, (12) chlorine, (13) hydrazine, (14) phosphine, (15) particulate matter (PMI0), (16) carbon monoxide, ( 17) lead, and (18) perchloroethylene. 

### (b) The accuracy ofthe report required by Paragraph (a) ofthis Rule shall be certified by a responsible official ofthe facility as defined under 40 CFR 70.2. 

# 1!£1 The owner or operator ofa facility not included in Paragraph (a) ofthis Rule, other than a transportation facility, that has actual emissions of25 tons per year or more ofnitrogen oxides orvolatile organic compounds shall report by June 30th ofeach yearthe actual emissions ofnitrogen oxides and volatile organic compounds during the previous calendar year, ifthe facility is in: (1) Cabarrus County, (2) Davidson County, (3) Durham County, (4) Forsyth County, (5) Gaston County, (6) Guilford County, (7) Lincoln County, (8) Mecklenburg County, (9) Rowan County, (10) Union County, (II) Wake County, (12) Davidson Township and Coddle Creek Township in Iredell County, (13) Dutchville Township in Granville County, or (14) that part ofDavie Countybounded bythe YadkinRiver, Dutchmans Creek, North CarolinaHighway 801, Fulton Creek and backto the Yadkin River. 

### (d) The annual reporting requirement under Paragraph (c) ofthis Rule shall begin with calendaryear 2007 emissions for facilities in Cabarrus, Lincoln, Rowan, and Union counties and Davidson Township and Coddle Creek Township in Iredell County

. .(il 

### The report shall be in or on such form as may be established bythe Director. The Director may require reporting for sources within a facility, for other facilities, or for other pollutants, parameters, or information, bypermit condition or pursuant to 15ANCAC 2D .0202 (Registration ofAir Pollution Sources).- Authority G.S. 143-215.3(a)(1),(la),(lb),(Jd); 143-215.65; 143-215.107; 143B-282; 150B-21.6.

### IV -14 

### Exhibit 3 

## Hearing Officer's Suggested Hearing Comments

INTRODUCTION

[hearing officer]:

Good evening ladies and gentlemen. My name is Steve Weber. I am a member of the Environmental Management Commission. My role as hearing officer is to listen
to all relevant comment on these proceedings andreport them to the full commission.

Sittingwith me is Mr. Thomas Allen. He is with the North Carolina Division of

## Air Quality, Planning Section.

Some ofthe staffofthe Division of

## Air Quality are here to assist. Mr. Allen, please introduce the staffpresent.

Mr. Allen. (Introduce staff)

[hearing officer]:

This eveningwe are conducting two hearings. The first hearingwill take
comments concerning the Charlotte ozone nonattainment area. The second hearing

concerns rule modifications to a variety ofrules. These hearings will be held according to the North CarolinaAdministrative Procedures Act. The public notice for these hearings has been advertised inthe North Carolina Register and five newspapers in the state. Copies ofthe notice have been sent to those on the official mailing list. I will enter the public notice and the proposed amendments and adoptions into the hearing record withoutreading them at this time.

### IV- 15 

## Anyperson desiring to comment is requested to submit a written statement for inclusion into the hearing record. Once called to speak, please come to the podium and state your name clearly, identify the rule orrules you are commenting on, and whomyou represent.

[first hearing]:

I will now open the first hearing and take relevant comments on rules concerning the Charlotte nonattainment area for ozone. Being considered are rule modifications
to implement reasonable available control technology for volatile organic compounds and nitrogen oxides ifthe State Implementation Plan fails to bringthat area into compliance with the ozone standard. These modifications would affect facilities whose potential to emitvolatile organic compounds or nitrogen oxides are between 50 and 100 tons peryear. Also, a rule change is being considered to require sources in the Charlotte ozone nonattainment area with actual emissions ofmore than 25 tons peryear ofvolatile organic compounds or nitrogen oxides to report those emissions annually.

[hearing officer]: Optional Time Limit

Manypeople have requested to speak at this hearing. Due to time constraints, speakers' presentations will be limited to_minutes. Speakers are requested to submit a written statementby the close ofthe comment period for inclusion into the hearing record.

[hearing officer]:

I will now take any comments thatyou may have.

### IV -16 

## [SPEAKERS]

[hearing officer]:

Is there anyone else who would like to comment? If

## there are no more comments, then the first hearing is closed. The first hearing record will remain open untilApril 16, 2007, for additional written comments.

### NAME


### Chuck Greco 

# v- 1 

## CHAPTERV
COMMENTS RECEIVED AT THE PUBLIC HEARING AND DURING THE COMMENT PERIOD
INDEX OF COMMENTERS
REPRESENTING PAGE 

### Mecklenburg CountyAir Quality V-2

# MECKLENBURG COUNTY Land Use and Environmental Services Agency -AIR QUALITYApril 4, 2007

Mr. Paul Grable,Environmental Engineer II NCDENR-DAQ 1641 Mail Service Center Raleigh, NC 27699
Dear Mr. Grable:
Afterreviewing the rules proposed at the public hearing in Charlotte on March 14, 2007, Mecklenburg County wishes to make the following recommendation:

- In the following paragraphs the term "source" be replaced by "facility" to avoid any confusion

in determining applicability:

• 15A NCAC 2D .0902 (f) 

### and (i) • 15A NCAC 2D .1402 (d) and (g)
Ifyou have any questions or concerns please contact me at (704) 336-5587.

cc: Thorn Allan, NCDENR-DAQ DonWillard, MCAQ Joan Liu, MCAQ Randy Poole, MCAQ Respectfully,

Chuck Greco Air Quality Specialist

PEOPLE • PRIDE • PROGRESS • PARTNERSHIP 700 N. Tryon Street • Suite 205 • Charlotte,NC 28202-2236 • (704) 336-5500 • FAX (704) 336-4391 http:/ /airguality

.charmeck.orgVI- 1 

# CHAPTERVI

ECONOMIC ANALYSIS: ControllingVOC And 

### NOxAir Emissions From Sources In Serious NonattainmentAreas For Ozone


### I. Basic Information
Contact Information

1. Division ofAir Quality File Number 431
2. Analyst: Paul Grable Paul.Grable@ncmail,net
3. Office DENR,Air Quality Planning, Rule Branch
4.Phone 919/733-1468
5. Comments to Agency Contact Thomas Allen, 919/733-1489 Thom.Allen@ncmail.net
6. Title ofthe Proposed Rule Sources In New NonattainmentAreas


### 7. Rule Citations 15ANCAC 02D .0902 Applicability 15ANCAC 02D .0909 Compliance Schedules For Sources In New NonattainmentAreas 15ANCAC 02D .1402 Applicability 15ANCAC 02D .1403 Compliance Schedules
8. BriefDescription ofthe Proposed Rules Rules set applicability and compliance schedules for facilities in ozone maintenance and nonattainment areas for controlling VOCs and NOx air emissions. Division 1 - Regulatory Behavior 9. Rule Category
II 

# screemng.An 1 . atySIS 

### Rule Actions General Statute Yes or No 19. Repeal ofRegulatory Deadwood- Is the Rule Obsolete? NCGS 150B-2(1b) No NCGS 150B-

### Vl-2


### Rule Actions General Statute Yes or No 21.5(b) 10. Federal Law Certification Required

- Does the proposed NCGS 150B- No rule purport to implement a federal law requiring a 21(f)(1) certification statement

## b_y the rule-making coordinator? 11. Temporary Rules- Does this rule meet the criteria listed NCGS 150B-21.1 No relating to temporary rules? 12. Emergency Rules- Does this rule meet the criteria NCGS 150B- No relatingto emergency rules? 21.1(a) 13. Establishes or Increases Fees- Is the agency required to NCGS 150B-12- No complied with the requirements of G.S. 12-3.1? 3.1 NCGS 150B21.3(c1) 14. State Funds- Does the proposed rule require the NCGS 150B- No expenditure or distribution offunds subject to the Executive 21.4(a) Budget Act, Article 1 ofChapter 143? 15. NC DOTAnalysis- Does the proposed rule affect NC NCGS 150B- No DOT environmental permitting that will result in an 21.4(a1) increased cost? 16. Local Government Unit Funds- Does the proposed rule NCGS 150B- No affect the expenditures or revenues ofa unit oflocal 21.4(b) government? 17. Substantial Economic ImpactAnalysis

- Federal Rule NCGS 150B- No Exemption

- Does this rule meet the criterion of Federal 21.4(b1) Exemption? 18. Technical Change- Are only technical changes being NCGS 150B-21.5 No incorporated such that public notice and rule-making hearings are not required?



### III. Executive Summary
The counties in the Charlotte area are classified as nonattainment for the ozone national ambient air quality standards. The Charlotte nonattainment area includes Union, Mecklenburg, Gaston, Lincoln, Cabarrus, and Rowan counties and Davidson Township and Coddle CreekTownship ofIredell. The Charlotte ozone nonattainment area is classified as moderate for ozone. Ozone is not a pollutant emitted directly into the atmosphere. Ozone is the product of a complex series ofchemical reactions initiatedwhen volatile organic compounds (VOC) and nitrogen oxides (NOx) emissions are exposed to sunlight.
The proposed rule amendments provide contingency measures in the form of reasonable control technology (RACT) requirements for minor sources. These contingency measures are a required part ofthe contingency plan in the state implementation plan (SIP) submittal for theVI- 3


### Charlotte ozone nonattainment area.
These rule amendments extend the applicability ofRACT for VOC and NOx to facilities with the potential to emit at least 50 but less than 100 tons per year ofVOC or NOx. Only ifEPA redesignated the Charlotte nonattainment area as serious would these contingency measures be acted on by notice by the DAQDirector in the North Carolina Register.
This economic assessment is to define costs associated with meeting only the new contingency measures for NOx and VOC RACT requirements in the Charlotte nonattainment area for ozone. To meet RACT for NOx emissions, it is estimated that five affected facilities in the Charlotte nonattainment area should reduce emissions by 130 tons peryear from eight sources at an annualized cost of $337,000 and overall average cost effectiveness of $2,600 per ton NOx. There are no affected facilities with the potential to emit at least 50 but less than 100 tons peryear ofVOC in the Charlotte nonattainment area. Therefore, there are no sources that would be required to meet RACT for VOC emissions.
If

### EPA redesignated the Charlotte nonattainment area as serious, the costs to install new RACT controls for NOx emissions in the Charlotte nonattainment area the will be borne only by the private sector. The rule changes will not generate any additional costs to the State government or local governments. The Division ofAir Quality (DAQ) already inspects the affected sources, so no additional costs to the Division are anticipated.
IV. Background and Purpose
The purpose ofthis document is to conduct an evaluation ofthe costs and benefits of actions required and associated with the modification of four rules. The amendments add contingency requirements for minor sources ofNOx and VOC with the potential to emit (PTE) 50 to l00 tons per year to apply RACT ifthe EPAreclassifies the Charlotte-Gastonia-Rock Hill ozone nonattainment area as serious. They implement contingency measures to further reduce VOC and NOx emissions. Amendments to l5ANCAC 02D .0902 and .1402 designate applicable sources for VOC and NOx RACT. Amendments to 15A NCAC 02D .0909 and .1403 establish contingency measure compliance schedules to meet VOC and NOx RACT requirements.
The potential to emit is defined as the maximum capacity of a source to emit any air pollutant under its physical and operational design. Potential to emit refers to the greatest amount of a pollutant that equipment could release into the air (even ifit has never actually emitted the highest amount). Potential to emit considers the design ofthe equipment and any physical or operational limitation on the capacity of a source to emit an air pollutant, including air pollution control equipment, restrictions on the hours of operations, or on the type or amount ofmaterial combusted, stored, or processed.
RACT is the technology required for existing major source in nonattainment areas. RACT typically reflects controls that EPAhas identified in Control Technique Guidelines or other guidance.Vl-4


### "VOC" is a general term for a wide range ofhydrocarbons, which come from combustion processes, gasoline vapors, solvents, etc. The contingency measures in these proposed rule amendments will require RACT for minor sources (non-major sources) with a PTE ofat least 50 but less than 100 tons NOx or VOCs per year. The affected facilities will be required to control NOx emissions from May 1 through September 30 ofeach year. Nitrogen oxides form when fuel is burned at high temperatures, as in a combustion process. The primary manmade sources ofNOx are motor vehicles, electric utilities, and other industrial, commercial, and residential sources that burn fuels.
The major economic impact ofthis proposal to the affected sources is the cost associated with process or equipment modification, or the addition of air pollution control devices to meet RACT requirements for the applicable facilities.
V. Description ofRule Amendments
l5ANCAC 02D .0902, Applicability: The amendment describes additional VOC sources covered and actions to be taken ifEPA redesignates the Charlotte nonattainment area as serious in the following areas: Cabarrus County, Gaston County, Lincoln County, Mecklenburg County, Rowan County, Union County, and Davidson Township and Coddle CreekTownship in Iredell County.
15ANCAC 02D .0909, Compliance Schedules For Sources In New NonattainmentAreas: The amendment adds the "Charlotte ozone nonattainment area contingency plan," new VOC sources that are conditional as identified in 15ANCAC 02D .0902 to the compliance schedule for nonattainment areas. 15ANCAC 02D .1402, Applicability, describes new NOx sources covered and actions to be taken ifEPA redesignates the Charlotte nonattainment area as serious in the same.counties that are identified in 15ANCAC 02D .0902,Applicability.
15ANCAC 02D .1403, Compliance Schedules, The amendment adds "Charlotte ozone nonattainment area contingency plan," new NOx sources that are conditional as identified in 15ANCAC 02D .1402 to the compliance schedule for nonattainment areas.
VI. Motivation for Rule Modifications
These rule amendments (the contingency plan) are the required by the EPA as part ofthe SIP for the Charlotte nonattainment area. If

### EPA redesignates the Charlotte nonattainment area as serious, the rule amendments will be in place and can be activated.
VII. Mfected Sources (General Source Description)
The affected sources are minor facilities with the potential to emit at least 50 but less than 100 tons peryear ofVOC or NOx in the moderate nonattainment area consisting ofUnion, Mecklenburg, Gaston, Lincoln, Cabarrus, Rowan counties, and Davidson Township and

### VI- 5


### Coddle CreekTownship ofIredell County.
VIII. Establishment ofthe Baseline
The baseline for this economic assessment is the minor sources with the potential to emit at least 50 but less than 100 tons ofVOC or NOx emissions with existing pollution control equipment and processes necessary to meet current regulations in the seven counties.
If

### existing pollution controls are operating, the economic feasibility includes a review of enhanced control costs to the marginal increase in the amount ofthe pollutant captured. Additionally, 15ANCAC 02D .0952, Petition for Alternative Controls For RACT, allows for a facility to demonstrate to the Director that compliance with the rules in Section .0900 would be technologically or economically infeasible and to petition the Director to allow the use of alternative operational or equipment controls for the reduction ofVOCs. A similar rule, 15A NCAC 02D .1412, Petition ForAlternative Limitations, mirrors 02D .0952 with regard to NOx RACT.
IX. Changes From the Baseline
The following are examples ofchanges from the baseline for controlling VOC and NOx emissions. In each case, the control or process is changed from the existing baseline.
For the control ofVOC emissions, RACT compliance can be demonstrated by installing emission control equipment, replacing process equipment, modifying existing process equipment, or through the use oflow solvent content coating technology.
NOx RACT compliance can be achieved through a demonstration to certify compliance without source modification, the installation ofcombustion modification technology or other source modification, the implementation ofan emission-averaging plan (15ANCAC 02D .1410), or through the implementation offuel switching program (15ANCAC 02D .1411).

X. Estimating Cost to ExistingMfected Sources Representative annualized control costs for identifying sources and estimated RACT costs to control NOx and VOC emissions are from EPA's Air Control Net Program, Version 4.1, September 2005.
To meet RACT for NOx emissions, it is estimated that five affected facilities in the Charlotte nonattainment area should reduce emissions by 130 tons peryear from eight sources at an annualized cost of $337,000 and overall average cost effectiveness of $2,600 per ton NOx.
It

### is estimated that there are no affected facilities in the Charlotte nonattainment area required to meet RACT for VOC emissions.Vl-6


### XI. Summary of Costs Incurred byAffected Parties
State Funds
The proposed amendments and adoptions are intended to lower the NOx and VOC emission rates at sources that are already regulated by the Division ofAir Quality (DAQ), which is the primary implementing agency for the proposal. No additional costs are anticipated for the Division. No State government sources are included in the affected community. These rules do not affect environmental permitting ofNC Department ofTransportation projects; therefore no increased costs are incurred.
Units ofLocal Government Funds
No local government sources are included in the affected community. Therefore, these rule amendments will not generate any costs to any unit oflocal government.
Private Sector Costs Only ifthe EPA redesignates the Charlotte nonattainment area as serious will the private sector have to assume $337,000 of additional annualized total air pollution control cost. This dollar value is estimated and should only be used to define a rough magnitude ofcosts that may have to be adsorbed by the affected facilities.


### XII. Public Benefit
EPAhas established standards (termed National AmbientAir Quality Standards or NAAQS), under the authority ofthe Federal CleanAirAct, that identify safe levels for ozone in the atmosphere to prevent and minimize adverse impacts to human health and to crops, forests, and materials. Ozone levels measured in the atmosphere at levels equal to or lower than the standards are viewed as safe, whereas levels above the standards represent a reasonable danger to public health and welfare (non-health related damages), and thus require action to reduce emissions of ozone precursors. EPA ozone standard is an 8-hour average of0.085 parts per million by volume [ppm (v)].
Areas in the United States where ozone levels measured in the ambient air exceed the 8-hour standard of0.085 ppm(v) are said to be in nonattainment ofthis standard. The 8-hour ozone NAAQS is based on the number of days peryear with a 8-hour average concentration of 0.085 ppm(v) or greater. 

### An area is in compliance with the ozone NAAQS when measured 8- hour average ozone levels at any given monitoring station do not exceed 0.085 ppm(v) more than one day peryear over any consecutive three-year period. Thus an area with measured 8- hour average ozone levels greater than 0.085 ppm(v) on four or more days over a three-year period has not attained the standard, even if all ofthe days occurred in only one ofthe three years. The severity or magnitude of a given area's ozone nonattainment problem is given by the ozone design value, which is based on the 3-year average ofthe fourth-highest daily maximum 8-hour average ozone concentrations measured at a given monitoring station. The Charlotte nonattainment area is defined as "moderate" for nonattainment. Its design ozoneVl-7 

### designation is reported to be 0.094 ppm(v).


### XIII. Conclusion
The private sector will 

### have to assume $337,000 of additional annualized total air pollution control cost ifthe EPA redesignates the Charlotte nonattainment area from moderate to serious. This estimated cost is not substantial, as defined in North Carolina's Administrative Procedures Act in NC § 

### ISOB-21.4.
Fiscal notes on rules. The term "substantial economic impact" means an aggregate financial impact on all persons affected of at least three million dollars ($3,000,000) in a 12-month period.VI- 8 

## ECONOMIC ANALYSIS: Extension ofEmission InventoryRequirements to New Non-attainmentAreas
I. Basic Information
Contact Information

1. Division ofAir Quality File 442 Number 2. Analyst: Michael Brandon, P.E. mailto:mike.brandon@Jncmail.net 3. Office DENR, Air Quality Planning, Rule Branch 4. Phone 919/715-6243 5. Comments to Agency Contact ThomasAllen, 919/733-1489 Thom.Allen@ncmail.net 6. Title ofthe Proposed Rule Emissions Inventory 

### 7. Rule Citation 15ANCAC 2Q .0207 8. BriefDescription ofthe The proposed amendment is to extend the Proposed Rule Amendment requirements for stationary source reporting of emissions ofnitrogen oxides (NOx) and volatile organic compounds (VOC) located in six new nonattainment areas. 9. Rule Category Division 1 - Regulatory Behavior
II 

# screemngAn 1 . 

### alySIS Rule Actions General Statute 

### YIN 19. Repeal ofRegulatory Deadwood

- Is the Rule NCGS 143-215.3(a) No Obsolete? NCGS 150B-2(1b) NCGS 150B-21.5(b) 10. Federal Law Certification Required- Does the NCGS 150B- No proposed rule purport to implement a federal law requiring 21(f)(1) a certification statementby the rule-making coordinator? 11. Temporary Rules

- Does this rule meet the criteria NCGS 150B-2l.1 No listed relating to temporary rules? 12. Emergency Rules- Does this rule meet the criteria NCGS 150B-2l.1(a) No relating to emergency rules? 13. Establishes or Increases Fees- Is the agency required NCGS 12-3.1 No to complied with the requirements ofNCGS 12-3.1? NCGS 150B21.3(cl) 14. State Funds

- Does the proposed rule require the NCGS 150B-21.4(a) NoVI- 9


### Rule Actions General Statute 

### YIN expenditure or distribution of funds subject to the Executive BudgetAct, Article 1 

### ofChapter 143? 15. NC DOTAnalysis- Does the proposed rule affect NC NCGS l50B- No DOT environmental permitting thatwill result in an 21.4(a1) increased cost? 16. Local Government Unit Funds

- Does the proposed NCGS 150B-21.4(b) Yes rule affect the expenditures or revenues of a unit oflocal government? 17. Substantial Economic ImpactAnalysis

- Federal Rule NCGS 150B- No Exemption

- Does this rule meet the criterion of Federal 21.4(b)(1) Exemption? 18. Technical Change -Are only technical changes being NCGS 150B-2l.5 No incorporated such that public notice and rule-making hearings are not required?


### III. Executive Summary
The proposed amendment to the Emissions Inventory Rule (15ANCAC 2Q .0207) is to extend the requirements for stationary source reporting ofemissions of nitrogen oxides (NOx) and volatile organic compounds (VOC) located in six new non-attainment areas. These areas are: l. 2. 3. 4. 5. 6. Cabarrus County, Lincoln County, Rowan County, Union County. Davidson Township in Iredell County, and Coddle CreekTownship in Iredell County.
The requirement applies to all stationary emission sources with actual emissions greaterthan 25 tons peryear ofNOx or VOC. Newly affected sources are those with actual emissions between 25 and 100 tons peryear ofVOC and NOx.
An economic assessment was performed to define costs to complywith the inventory requirement in the new non-attainment areas. The estimated cost for the additional annual inventories is estimated to be about $780 per newly affected source peryear ($136,000 total for fiscal year 2008). The rule changes will not require any expenditure offunds subject to the State BudgetAct. Nine ofthe affected sources are owned by units oflocal government resulting in a total annual cost of about $7,020 for fiscal year 2008.



### IV. Background and Purpose

# r
Vl-10



### EPA has declared the Charlotte area in "moderate" non-attainment for the ozone national ambient air quality standards. The Charlotte non-attainment area includes Union County, Mecklenburg County, Gaston County, Lincoln County, Cabarrus County, Rowan County, and the two Townships ofDavidson and Coddle Creek in Iredell County. On November 9, 2005 the EPAissued a final rule to protect the American public from ground-level ozone pollution. This rule (a.k.a. Phase 2 Ozone Rule) requires the state to develop an implementation plan for attainment ofthe standards. Part ofthe implementation plan is the Attainment Demonstration where modeling is used to demonstrate that the area will attain the 8-hour ozone standard as expeditiously as practicable and within the Clean Air Act deadlines. The inclusion ofminor source emissions (i.e., stationary source with actual emissions greater than 25 tons and less than 100 tons peryear ofNOx, or VOC) in the modeling assessments for the Attainment Demonstration assures that reasonable further progress will be attained with the implementation ofReasonable Available Control Technology (RACT) for major sources.
V. Mfected Parties
Affected sources include all stationary sources (permits ofrecord) with actual emissions between 25 and 100 tons peryear ofNOx or VOC located in the newly designated areas. It 

### should be noted that stationary sources with emission greater than 100 tons peryear are not affected because they are presently required to submit annual inventory data for all criteria and toxic air pollutants. In addition, the newly affected small and synthetic minor sources are presently required to submit an actual emissions inventory every five years for permit renewal. Affected sources were identified using the IBEAM database to identify permitted small and synthetic minor sources in each newly affected area. This accounting may include some sources with emissions less than 25 tons peryear and is, therefore, a conservative accounting for cost estimation. Sources in the Townships of Iredell were considered to be those identified as being located in the City ofMooresville. Specific sources not identified in the City of Mooresville were determined not to significantly impact the private sector cost basis. The following is a break down ofthe IBEAM data base inquiries.

Small Synthetic All Non-attainmentAreas Sources Minor Sources Sources Cabarrus County 24 14 38 Lincoln County 18 10 28 Rowan County 39 10 49 Union County 35 13 48 Mooresville (Townships in Iredell) 11 1 12 Total by Source 127 48 175
These 175 newly affected sources are in addition to the estimated 980 sources with actualVI- 11


### emissions between 25 and 100 tons per year ofVOC or NOx that this rule presently affects (about an 18 percent increase in the baseline sources). Nine ofthese newly affected sources are owned or operated by a city or county.
VI. Estimated Cost
These facilities are presently required to report emissions every five years as part ofpermit renewal; therefore, there is no initial cost to set up a system for recordkeeping and reporting. Average annual cost of $780 is based on two factors: 1. Cost to gather data monthly and generate one report per year for existing facilities, and 2. cost for a five percent increase in new facilities. Twenty-six man-hours peryear at a cost of $30 per hour were estimated for time spent monthly (2 man-hours) and at the end ofthe year (2 man-hours) to generate the required report. There is no initial inventory cost associated with the set up ofinventory accounting mechanisms for new facility growth because emission accounting procedures must be done as part the permitting process. Local government facility growth was estimated to be one new facility in fiscal year 2010 and one new facility in fiscal year 2012 as a whole numbervalue based on five percent growth.
The table below presents the calculations explained above. Facility growth was rounded to the nearest whole number.

Fiscal Year No. ofFacilities Total Annual Facility Cost 2008 175 $136,500 2009 184 $143,520 2010 193 $150,540 2011 203 $158,340 2012 213 $166,140

The cost to units oflocal government is about $780 per facility, peryear.
VII. Benefits
The benefit ofthis rule change lies in the validation ofthe air quality attainment and maintenance strategies that are developed to bring areas into attainment ofthe ozone National AmbientAir quality Standards. Underestimation ofimpact by not accounting for minor source contribution could result in an inadequate attainment plan development.

VIII. Summary and Conclusion

### Vl-12



### The rule change will 

### not require any expenditure of funds subject to the State BudgetAct. The cost to the units oflocal government is minimal and will not result in any undue hardship or initial capital outlay. The additional inventories will 

### ensure that RACT developed for the attainment plan implementation is adequate in achieving reasonable further progress in the reduction ofozone concentrations.
These estimated costs are not substantial, as defined in North Carolina'sAdministrative Procedures Act in NC § 

### 150B-2l.4.
Fiscal notes on rules: The term "substantial economic impact" means an aggregate financial impact on all persons affected ofat least three million dollars ($3,000,000) in a 12-month period.

### VII- 1 

## CHAPTERVII
The following documentation offiling and notification is incorporated as part ofthis hearing record and is maintained on file:
1. 

### EHNR 101 Internal Approval Form.
2. Submission for Notice Form and material submitted to the Office of Administrative Hearings.
3. The public notice as it appears in The North Carolina Register 

### Volume 21, Issue 16, pages 1489-1526.
4. Letters to newspapers requesting that the public notice be published.
5. Affidavits ofPublication from newspaper.
6. Memorandum transmitting hearing notice and proposal to regional offices for public inspection.
7. Memorandum transmitting hearing notice and proposal to local programs.
8. Letter notifying EPA ofhearing.
9. Submission ofFiling Forms and material filed with Office ofAdministrative Hearings.
10. Letter transmitting hearing record to EPA.Vll-2



### This page is intentionally blank.

### ASHEVILLE 

# CITIZEN

-TIMES

14 0

. 

### Henry Avenue • P

.O

. Box 2090 •Asheville, NC 28802 • 828-252

-5611 •·**~** ... NORTH CAROLiNA ENVIRONMENTAL ':MANAGEMENT COMMISSION PUB.i..tC NOTICE**Otl~** .Is**~reb~** 1i1\len fi>r public hearings to rcl bY.:lhe .North Carolina Department of Envl

. tonnieli t.:and Natural Resources, Dlvlslon

.of AI Clllcilltv

. concerning the,·praposed Amendment

. s ·1 1;/arleiiJs AirQuality RUles. · • · 

# . · PURPOSE:To receive, comments on pro- .Posed amendments

. to the control of N02 a**t.~ Ox**  rules, new source performance standar rule, 'lncorpar.dte · contingency provisions

.fo RACT for VOC and NOx for the Charlotte nonat
· talnment areQ

. for

.ozone,
. fugitive dust rule, certi ficatlon of leak tightness tester rule, open bur ping :rules, banl<lng applicability rule, permltti rules; proP<Ised adoption

.of
·the other solid wast Incinerator
· · nile

.and a ·new open
. burning rule; end
·opraposed ·rer>eal of Gutomoblle tailpipe emls lion · standards rule and initial Title V permit a plication submittal rule

. · N

OTE,:
. The .·.'prop

.iuiel.l adoptions

.considere tn

·this hearing, If r:idopted, will ·'be effective Statewide;
·If theY
· 4re:later

- GI.Iopted
·by a ·I opal ai Pclllutlon .<:ontroi

. *"C¥•;:then ':that=agencv wll, lltlforce them In·Its ar.ea
. tlflurl!ldlction

. · ·**.** .·... ·. ·.:
.. . . . :<
.. :·:·:·.:
.. DATES:A

. NOLOCATION: · .. · AtlarChil\ t, ·

2001177::00 P.M

. tho

.**AA~~kl~burg** Government Center

### ~'Ehrt"4th Street 'f'h!irlo'tte, NC ·28202 COMMENT PROCEDURES :AII persons inter l'sted
· in these · .matters

.are
.Invited to attend th Pllbllc hearing, Any

.pel'10fl .desiring to comm l'i•

ftqllftted fo •ubmlt

. a ·wtltten statement far I**t:~lon** In the record Of proceedings <If the pUbli heal'lnt. The· hearing officer may limit oral pr ientcit.lon lengths If many
. people want to speak nMi:·:hearlng

.record will remain

. open until Aprl 16;

.2007, to receive atldltlonal written statements To**be** Included, the

.statement must be receive bv1tle.:Divlslon bv April16

. 2007

. .**~** . . ·. . t, NFORMAT10N :Copies of the proposed rul chcla9es may
. be downloaded at http://daq**~e ;nc** **us1Rules/Hearln9/** Copies of the propos 

# •I•

,may also be .rev
. lewed at the regional office irf

·.1he North Carolina

.Department of Envlro jnent and 1-!atural
· Resources, ·Division of AI**~ltv .** 'Wcclted atthe ' following cities: 

### hheVIIIeii2Um6-4500 

# = etteviii89

. 1CV486'1541 ·. resvllle7.04/663-1699

. lei h9l91791-4200

. wciiti fll9fon252!146-?>481 Wllmlll9fo11911W796-7215

. ·Wltlitoif'Salem336/77h4600

### ~n~ shOuld be sent to and additional lrifor rnatJon · coilcemh'l9 the hearings or the prOPOSOI**~:Pbtdlned** by contacting:**AA;:f~ c.** **AIIen** · PivlglCJii: .Qf:Air Quality l64l• 'Miiii.:Seniioe Center Ri:lleiOI\,

. lllal'fh Carolina 27699

-1641 

## 1 919

.

).738-l..aU'hOne 919)**71&.7~76' f=a)(**  •
. .**ftlQill allen~~hnet** 

### ~A**F8b;,;ar;, .'** **200i** .•...· B.•Kelth·.Overoaiih, P;E., · DirectOr

.'· • .· · 

# AFFIDAVIT OF PUBLICATION BUNCOMBE COUNTY 

# ss. NORTH CAROLINA
Before the undersigned, a NotaryPublic ofsaid County and State, duly commissioned, qualified and authorizedbylaw to administer oaths, personally a

ppeared Jesica Gaskin, who, being first duly sworn, deposes and says: that she is the Legal Billing Clerk ofTheAsheville Citizen-Times, engaged 

### inpublication ofa newspaperknown as The Asheville Citizen-Times, published, issued, and entered as second class mail in the Cityof Asheville, in said County and State; that she is authorizedto makethis affidavit and sworn statement; that the notice or other legal advertisement, a true copy ofwhich is attached hereto, waspublished in The Asheville CitizenTimes onthe following dates: February

## ih,2007. Andthat the said newspaper in which said notice, paper, document or legal advertisement was published was, at the time ofeach and every publication, a newspape r meeting all ofthe requirements and qualifications ofSection 1-597 of the General Statues ofNorth Carolina and was a qualified newspaper within the meaning ofSection 1

-597 of

### the General**St:1t~ es** **orL~** 

### Carolina.

# D-**E~,~~-** , 'i':. ..._, 

# ,\. r> ft 1 

### ""'"vi!""" fi:'**~"'to** 'r.,**~""-** 

# AFFIDAVIT OF PUBLICA

# TIONtb 2 7 ", tUt;. 

### STATE OF NORTH CAROLINA COUNTY OF NEW HANOVER

NORTH CAROLINA ENVIRONMENTAL

MANAGEMENT COMMISSION PUBLIC NOTICE Notice is hereby given for public hearings to be heard by the North Carolina Department of Environment and Natural Resources, Division of Air Quality concerning the , proposed Amendments to I Vanous Air Quality Rules. 

## I
PURPOSE: To rece1ve ! comments on proposed amendments to the ' control of N02 and NOx rules, new source performance standard rule, ' incorporate contingency provisions for RACT for VOC and NOx for the Charlotte nonattainment area ' for ozone, fl!lgitlve dust rule, certification

. of leak tightness · tester rule, open burning rules, bankinQ applicability rule, peimlttmg rules; proposed adoption of the other solid waste ·Incinerator rule .and a ·new open burning rule; and proposed repeal of automobile tailpipe emission standards rule and Initial Title V permit application · submittal rule. 'NOTE: The proposed adoptions considered in this hearing, if adopted, will be · effective statewide; If they are later adopted by a local air pollution control af)ency, then that af)ency 

# I Will enforce them 1n its area ofjurisdiction.

DATES AND LOCATION: • March 14,2007,7:00 P.M.

Charlotte-Mecklenburg

Government Center Room CH-14 600 East 4th Street Charlotte, NC 28202 COMMENT PROCEDURES: All persons interested in these matters are invited I , •
. .• Before the undersigned. a Notary Public ofSaid County and State,
T. Weil-Tallmadge Who, being duly sworn or affirmed, according to the law, says that he/she is


### CLASSIFIED ADVERTISING MANAGER
ofTHE STAR-NEWS, a corporation organized and doing business under the Laws ofthe State of North Carolina, and publishing a newspaper known as STAR-NEWS in the City ofWilmington NORTH CAROLINA ENVIRONMENTALMANAGEMENT COMMISSIONPUBLIC NOTICE Notice is herebygivenforpublic hearings to be heardby the North Carolina Department of EnvironmentandNaturalResources, Division of AirQuality concerning the proposedAmendmentsto V

was inserted in the aforesaid newspaper in space. and on dates as follows:
2/Illx

And at the time ofsuch publication Star-News was a newspaper meeting all the requirements and qualifications prescribed by Sec. No. 1-597 G.S. ofN.C. 

# (//fJ.ul-**l}(llhtd-~**

. J

My commission expires_,_( 

## _,Jf_+_h_ day of 

## A \) 

## G. ,20.J1

Upon reading the aforegoing affidavit with the advertisement thereto annexed it is adjudged by the Court that the said publication was duly and properly made and that the summons has been duly and legally served on the defendant(s).
This

___________ dayof

______________ _

Clerk ofSuperior Court MAIL TO:

## L

### NORTH CAROLINA FORSYTH COUNTY 

# AFFIDAVIT OF PUBLICATION - -"- k'i<" C L 

## FEB 2 7 

## 2007

• 1...\; 

# ::.::- :nor.·

Before the undersigned, a Notary Public ofsaid County and State, duly commissioned, qualified, and authorized by law to administer oaths, personally appeared D

.H. Stanfield, who being duly sworn, deposes and says: that he is Controller ofthe Winston-Salem Journal, engaged in thepublishing ofa newspaper known as Winston-Salem Journal, published, issued and entered as second class mail in the City of Winston-Salem, in said County and State: that he is authorized to make this affidavit and sworn statement: that the notice or other legal advertisement, a true copy ofwhich is attached hereto, was published in Winston-Salem Journal on the following dates: February 9, 2007
and that the said newspaper in which such notice, paper document, or legal advertisement was published was, at the time ofeach and every such publication, a newspaper meeting all the requirements and qualifications of Section 1-597 ofthe General Statutes of North Carolina and was a qualified newspaper within the meaning ofSection 1-597 ofthe General Statutes ofNorth Carolina. \ PUBUCNOnCE 

### This 9th day ofFebruary, 2007

Sworn to and subscribed before me, this 9th day ofFebruary, 2007

# ~ My Commission expires: September 28, 2010 NORTH CAROUNA ENVIRONMEHTAL MANAGEMENT COMMISSION Notice is hereby given for public hearings to be heard by the North Carolina Department of

- Environment and Natural Resources, Division of Air Quality con· cerning the proposed Amendments to Various Air Quality Rules. PURPOSE: To·receive comments onproposed amend· rT]ents to the control of N02 and NOx rules, new source performance standard rule incorporate con- tingency provisions for RACTforVOC and NOxforthe Charlotte nonattainmentareafor.ozone, fugitive dust

, rule, certification of

.leak tightness tester rule, open burning rules, baril\ing applicability rule permitting rules; proposed adoption of the otfiersolid waste in· cinerator rule and a new open burning rule; and pro- posed repeal of automobile tailpipe emission standards rule and initial Title V pernnit application sub· mittal rule

. NOTE: The proposed adoptions considered in this hearing, Ifadopted,willbe effectivestatewide; Ifthey are lateradopted by a local air**pollution controi** **a~en­ ~rs·;lf~fi~~atagency** willenforce**~hem** in its areao juDATES AND LOCATION: March 14'ti2007;.7:00 P:M.

- Charlotte-Mecklen urg uovemment (:enter

·Room CH·14 600 East 4th Street Charlotte, NC 28202

INFORMATION: Copies of the proposed rule changes Imay be downloaded at

. .

. .http:/ /daq.state.nc.us/Rules/Hearing/ Copies ofthe proposals may also be reviewed atthe regional offices

- of the North CarOlina Department of

.Environment and Natural Resouroes,.-olvision ofAir Quality, located atthe following cities: · Asheville 828/296-4500 Fayetteville 910/486-1541 Mooresville 704/663,1699

.

Raleigh 919/791

-4200 ._ I Washington 252/946'-6481 

# t Wllminaton·910fi96-7215 Winston-Salem 336/771-4600

# =~~0=-::;~ I

· r: •·
. ···•··
. .;. ue1s 10u 

### ll!M auaAJ<>O _I

- . _- _

# ~~**'~Ja,:~:~:~~~J**

# _ :- ------ •

# RECEIVED
FEB 2 7 

## 2007
NL Lir'D 

# AFFIDAVIT OF PUBLR£Wlf\K)N=CTION

NORTH CAROLINA.**.---..,.,W=.a:::k:!=e:-.,..,~C;.;:o;.:;u:,;:n;.::t.z.,·~~ss.**

NORTH CAROLINA ENVIRONMENTAL. MANAGEMENT· COMMISSION PUBLIC NOTICE Notice Is hereby given for public hearings to be heard by the North ·Carolina DePOrtment of Environment and Natural Resources, Division ofAirQuality concerning the proposed Amendments to Various Air Quality Rules: PURPOSE: To· receive comments on proposed amend· ments to the control of N02 and NOx .rules, new source

,performance standard rule, incorporate contingency pro- visions for RACT for VOC. and NOx for the Charlotte nonattainmentarea forozone, fugitivedust rule, certifica- tion of leak tightness .tester rule, open burning rules, banking applicability rule, permitting rules; proposed odoptlon.of the.other soli(! waste incinerator rule and a new open burning rule; artdproposed repeal ofautomobile taiiplpe•emission·standards ruleand Initial TitleV permit application submittal ·,rlJie, NOTE: The ProPilsed adoptions considered 'in this hear- ing, ifadopted, Will be effective statewide; lf.theyarelater adopted bY a local air pollution control agencY, then that agencv·wlll enforce them in Its area of lurlsdlction, DATESAND LOCATION: March 14,2007, 7:00P.M. Charlotte-Mecklenburg·Government Cemer Room CH-14 600 East 4th Street Charlotte, NC, 28202 CXlNMENT PROCEDURES: All persons Interested in these mattersore Invitedtoattendthe public hearing,Any

### ~=:!.~tor~lon~n~n:,~ ! Before the undersigned, a Notary Public of Chatham County North Carolina, duly commissioned and authorized to administer oaths, affirmations, etc., personally appeared Debra Peebles, who, being duly sworn or affirmed, according to law, doth depose and say that she is Billing Manager-Legal Advertising of The News and Observer a corporation organized and doing business under the Laws ofthe State of North Carolina, and publishing a newspaper known as The News and Observer, in the City of Raleigh , Wake County and State aforesaid, the said newspaper in which such notice, paper, document, or legal advertisement was published was, at the time of each and every such publication, a newspaper meeting all of the requirements and qualifications ofSection 1-597 ofthe General Statutes ofNorth Carolina and was a qualified newspaper within the meaning of Section 1- 597 ofthe General Statutes ofNorth Carolina, and that as such she makes this affidavit; that she is familiar with the books, files and business of said corporation and by reference to the files of said publication the attached advertisement for NCDENR was inserted in the aforesaid newspaper on dates as follows: 02/07/07 111115 atfhePtJbllc hearing. The hearing officer maY limit oral pres.entation lengths fl manv people wont to speak, The heorong recordwill remain open untUAPril16;2007, to receive additional written statements. Tobe included, the statement must•be received by the Division by APril**16~** .2007,

',- - ' .·INFORMATION: Copies ot the· proposed rule changes may be downloaded ath11P:IIdacl.stale.nc.UWRulWH8arl nQ' Copies of the proposals may also be reviewed aUhe regional Mfices ·of the North ·carolina DePOrtment of Environment and Natural Resources, Division of Alr Quality, located at**~e** ,following cities: ,

, Asheville 8281296-4500 ' Eayettevllle 910/486-1541 Mooresville 704/663-1699

Raleigh 919/791·4200 Washington**2521946~1** Wilmington 9101796-7215 Winston-Salem 336/771·4600 Comments shoula be sent to and additional information concerning the hearingsorthe ProPOsals may be obtained bY contacting: Mr. Thomas C. Allen

. Division of Air Quality

. 1641 Mail Service Center Raleigh, North Carolina 27699·1641 (919) 733-1489 Phone (919) 715-7476 Fax thom.allen@ncrnaiJ.net DATE: 5 February 2007 lsi B, Keith Overcash, P.E. Director Account Number: 71562320

l the books and files ofthe aforesaid Corporation and publication.

Debra Peebles, Billing Manager-Legal Advertising Wake County, North Carolina Sworn or affirmed to, and subscribed before me, this 08 day of FEBRUARY , 2007 AD ,by Debra Peebles. In Testimony Whereof, I have hereunto set my hand 

### "'d

### affi~od my official "al,

# 'T day .and·y·.ear aforesaid.

# C~~~cw~ /)Janet Scroggs, Notary

# Putfjc U My commission expires 14th ofMarch 2009.

## t_~~0~:} "\"'

## ~ <:-' 

# ' rJ' Observer Publishing 

### RiQB 

## 2 3 [UU7

## ~

\..:North Carolina } ss The Charlotte Charlotte, NC Affidavit of Publication 

### NC DAI..i 

### PLANNlNG SECTION Mecklenburg County} THE CHARLOTTE OBSERVER 

### --------------------------------------------------+------------------------ NCDENR PATRICIA ROBERT 1641 MAIL SERVICE CNT RALEIGH NC 27699-1641

REFERENCE: 30054193 5900993 Public Notice Before the undersigned, a Notary Public of said County and State, duly authorized to administer oaths affirmations, etc., personally appeared, being duly sworn or affirmed according to law, doth depose and say that he/she is a representative of The Charlotte Observer Publishing Company, a corporation organized and doing business under the laws of the State of Delaware, and publishing a newspaper known as The Charlotte Observer in the city of Charlotte, County of Mecklenburg, and State of North Carolina and that as such he/she is familiar with the books, records, files, and business of said Corporation and by reference to the files of said publication, the attached advertisement was inserted. The following is correctly copied from the books and files of the aforesaid Corporation and Publication.

PUBLISHED ON: 02/13 1 I**m'M'9VZ.%m:re:~rJg~i~~tt~Vtlc"e~m~Wa%·~op:~~~~** Jengths tt.many people.wantto**s~'.**The hearing record wU! remam open until·Af1!.11·16, 2007, t9'f8CE!NS,addltlonal.wrttten statements. T? bednclticjed, lh.e**>taternent·m~t** be received bythe Division by Apnl 16,'2007, ',, ',, ,. ' ' " INFOflMATIONr , , , , . , Copies .of the proposed rule changes rnay be downloaded at http:/ldaq.state.nc.us/Rules!Haaring/. C?ples at the proposals may also be reviewed i;it the regional off1ces of the**No.~.** Carohn.a Department of Environment and Natural Ae&ources.t DMSJOn of Air \)uallty, located allhejollowing crries:.. ' Asheville· , ·828/296/4500 · Fayette\lllle 910/486-1541 ,,' · Mooresville 704/003·1699 'Raleigh " · · 9191791-'4200 , Washington 252/94fi..6481**Wllm1~gton** 910/796-7215 Winston-Salem · 336m.1-4500 CornmentS should be sent to**~nd** additional InformaTion concerning t,he hearings ·br· the·proposafs may be obtained by contacting: · Mr. l'homas C. Allen

· Division 6f A1r Quality

164t M'all Service Center 'Raleigh, North Garolina 27699-1641

,(919) 733-1489 Phone ,(919) 71&,7476i'a<:

.**~** ·'ilhom.aHen@ncmall.n9t**~~~~~~.~7** Director LP5900993.



### My 

## Commission Expires May 17, 2011 My Commission Expires: 

### I I