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OAR Box 1778 

Prepped by Ollie Stewart 

Document Number: 

208) ll-J-1 

Docket Number: 

A-90-06 

Printed 10/28/2008 9:51:01 AM Sheet 208 of 276 
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— *»• T' T ''L • Wf1»"*—nr^T" 

'©IT IP 

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i 11-3-1 

TUESDAY, OCTOBbK io, ia/ H 

WASHINGTON, D.C. 

Volume 39 • Number 200 

PART III 

ENVIRONMENTAL 

PROTECTION 

AGENCY 

STANDARDS OF 

PERFORMANCE FOR NEW 

STATIONARY SOURCES 

Modification, Notification, and 

Reconstruction 
P.3 

36946 )SID gULES 

ENVIRONMENTAL PKOTEC 

AGENCY 

[ 40 CFK Part © 

(FRL 273-4] 

' ] 

STANDARDS OF PERFORMANCE FOK NEW 

STATIONARY SOURCES 

Modification. Notification, and 

Reconstruction 

Notice is hereby given that pursuant 

to the authority of section 111 of the 

Clean Air Act, as amended, the Environmental Protection Agency is proposing 

amendments to the general provisions of 

40 CFR Part 60. originally published on 

December 23, 1971 (36 PR 24876) and 

amended October 15, 1973 (38 FR 28564) 

and March 8. 1974 (39 FR 9308). The 

amendments proposed herein include revisions and additions to clarify the definition of "modification" in the Act, to 

require notification of construction or 

potential modification, and to clarify application of standards of performance to 

reconstructed sources. The general provisions apply to all standards of performance for new and modified sources, 

both those standards promulgated to 

date (36 FR 24876 and 39 FR 9308) and 

those to be promulgated in the future. 

BACKGROUND 

Section 111 of the Act provides that 

the standards of performance established 

for new stationary sources reflect the degree of emission limitation attainable 

through the application of the best system of emission reduction which, considering cost, the Administrator determines has been adequately demonstrated. 

The Act further defines "new source" as 

"any stationary source, the construction 

or modification of which is commenced 

after the publication of regulations (or, 

if earlier, proposed regulations) prescribing a standard of performance under this 

section which will be applicable to such 

source." Thus, the standards apply not 

only to entirely new construction, but cAs® 

to existing sources which undergo modification. 

As defined in the Act, modification is 

"° ° ° any physical change ia, or cMsus® 

in a method of operation of, a stoMffiSJar^ 

source which increases the emeraS of eay 

air pollutant emitted by suc& eaws&a-as 

which results in the emisstea a& say ate 

pollutant not previously emitted." f&x®° 

porMVe legislative history &ss osfetai mi 

of the Act allows consSdc^SMt 

in interpreting phrases ta C&Q 

of modification such es 

source" and "increases tho omoraG of say 

air pollutant emitted." Various interpretations of these phrases caa resialfc in different degrees of Impact on emtotosssr 

from existing sources as theso emarees 

undergo physical and csJssaMonall 

changes. The definition of "modSScaaom" 

under 40 CFR 60.3(h) (Decsmfoa? SS, 

1971) includes some provisions ^yMea exempt certain physical and ojJ®ra&S©asJl 

changes from being mcdlfissfetaaa. Ete° 

visions and additions to 40 CSM 8®.2 and 

'the addition of § 60.14 are proposed &ere« 

in to further clarify tbs deSsiifetoai of 

"modification" as 16 tfilMte tatepssSsa 

by the Agency in identifying modified 

sources aad applying standards of performance to sources after they have been 

modified. 

MODIFICATION 

Although the term "modification" is 

defined in section 111(a) (4) of the Act as 

well as in 40 CFR 60.2(h) in the general 

provisions to this part, considerable confusion exists outside the Agency as to 

what "changes" can be made to an existing source without the Administrator 

considering the source to have been modified. As defined in the Act and in 40 CFR 

60.2(h), the term "modification" includes 

several terms and phrases which are not 

fully understood outside the Agency. 

Therefore, several different interpretations could be derived from reading the 

definitions. For example, one interpretation could lead to the conclusion that 

an entire source would be considered 

modified by the addition of a new piece 

of equipment which in&eased the emissions from that source. However, under 

the interpretation used by the Administrator, only the new piece of equipment 

itself would become subject to the standards ' of performance contained in this 

part. The purpose of the amendments 

proposed herein is to resolve any confusion that may exist as to what constitutes a modification. The phrases and 

terms which have caused confusion are 

discussed in the following paragraphs, 

and examples are cited to show how the 

Agency intends to apply the term "modification" to physical or operational 

changes in a source. 

The standards of performance as set 

forth in this psrt apply to "affected facilities" rather than to "stationary sources." 

The term "agected facility" Is defined 

under existing 40 CFR 60.2(e) and is 

used because the standards apply to individiBEi processes and pieces of equipment rather than to entire stationary 

sources which may consist of a combination of processes end pieces of equipment. The amendments proposed herein 

intafodttce a new term, "existing facility," 

to replace the term "affected facility" 

which appsars in the existing definition 

of "modification" ln 40 CFR 60.2 (h). 

TMo proposed revision is intended to 

ctonlfy pafeher than to change the intent 

c# ®a dafiai&taa of "modification" set 

Sas&a. im existing 40 CFR 60.2(h), which 

ha& replaced tiie term "stationary 

£smr&/° fouad ia th® Act's definition of 

modifleafcton wifeh "affected facility." The 

meaaiag of "affected facility" as used ln 

40 CFB 30.2(h) was.intended to include 

aa apparatus t® which a standard would 

apply if the apparatus undergoes modifics&om. Howercr, the definition of "affected facility" is limited to an apparatus 

to which a standard applies. Therefore, 

thQ proposed amendments introduce the 

term "ezto&as facility" to replace the 

term "efflssted facility" in the riennltlon 

of "medifieafctaa" to refer to any apparatus of the typa for which a standanl of 

performance is promulgated ln this part 

but the ccasteixction or modification of 

commenced before the date of 

I. Such an existing facility would become an affected 

facility if lt is modified. Thus the proposed revision specifies that the term 

"modification" is applicable only to existing facilities. A new definition of "stationary source" is also proposed to 

clarify that a "stationary source" may 

consist of any combination of one or 

more affected facilities, existing facilities, and facilities to which standards do 

not apply. 

The proposed amendments clarify that 

the construction of an affected facility 

at a stationary source does not constitute 

a modification of the stationary source 

and does not cause the entire stationary 

source to become subject to the standards 

of performance. As an example, the addition of a new basic oxygen process 

furnace to an existing furnace shop 

which includes two furnaces, would not 

make the entire steel mill or the two existing furnaces subject to standards of 

performance; only the new furnace 

would be subject to standards of performance. If one of the existing basic 

oxygen furnaces was enlarged such thai 

the total emissions of particulate matter 

from all existing and affected facilities 

at the source increased, that furnace 

would become subject to the standard of 

performance. 

The proposed amended definition of 

"modification" also includes a new 

phrase "• * * emitted into the atmosphere • • •." The new phrase clarifies 

that for an existing facility to undergo 

a modification there must be an increase 

in actual emissions. If any increase ih 

emissions that would result from a physical or .operational change to an existing 

facility can be offset by improving an 

existing control system or installing a 

new control system for that facility, such 

a change would not be considered a modification because there would be no increase in emissions to the atmosphere. 

The Administrator considered defining 

"modification" so that increases in precontrolled (potential) emissions would be 

considered modifications. However, the 

proposed definition of modification is 

limited to Increases in actual emissions 

ln keeping with the intent of section 111 

of controlling facilities only when they 

constitute a new source of emission. 

The regulations proposed herein address tbe subject of modifications in a 

new section-(8 60.14 Modification). Tbe 

purpose ot paragraphs (a) and (b) is to 

clarify the phrase in the definition of 

mortification, "Increases the amount of 

any ale pollutant." Clarification of this 

phrase Is neeessarg for determining 

whether a modification has occurred and 

for applying a standard to a facility once 

It has been modified. Section 60.14 specifies tbat once an existing facility is 

determined to be modified, standards 

of performance will be applied for only 

tha n DoDntants for which there was an 

tin mi— tat emissions. Also, only pollutant-, for width standards of performjaee have been promulgated for the 

affected facility in question will be regulated. Therefore, if an affected facility is 

regulated by standards of performance 

for particulate matter, nitrogen oxides 

soKma, azgimn, v@%, $v, a©, §0©=?UESDAY, OCTOBEI 15, 1974 
P.4 

^•<J 

and sulfur dioxide, and tf emissions oi 

ammonia and particulate matter from 

a corresponding *****.**? facility Ini if IM 

as the result of a physical or operational 

change, standards of performance would 

be applied only to the particulate matter 

emissions from the modified facility. 

Section 60.14(a) also clarifies that once 

an existing facility has been modified, it 

Is considered an affected facility and is 

subject to standards of performance in 

the same way as a newly constructed 

affected facility. Therefore, the entire 

affected facility is subject to the standards of performance, not Just the portion of the affected facility which is responsible for the increase in emissions.1 

For example. If an existing facility is 

modified by doubling its capacity, all of 

the emissions from the expanded facility 

are subject to the applicable standard 

of performance and not just the new 

emissions. Standards of performance are 

developed for an affected facility as an 

entity. These standards cannot be reasonably applied to fractions of an entity. 

Section 60.14(b) as proposed herein 

clarifies what constitutes an increase in 

emissions and the methods for determining the increase. The unit of measurement proposed for determining 

whether an increase in emissions has occurred is kilograms per hoar (kg/hr). 

Other alternatives considered included 

other units of time (day, year>, concentration, feed rate Into a process, and 

production rate. Units of time have the 

advantages of being sensitive to increased production capacity aad to the 

overall Increase in total enrissloaBta tbe 

atmosphere. In addition, the unfla kg/hr 

automatically allow Increases In operating hours as intended by one af the existing exemptions under 49 CFR DM(b>, 

providing mass emissions per hour do 

not Increase. By defining "inmease la 

emissions" ln terms of kg/hr, the proposed regulations could not be interpreted as considering an Increase ln 

opacity of emissions as a "•-•^••''-•^titMi 

unless there Is a corresponding Increase 

in mass rate of pollutant fmlnilo" 

Under certain conditions, an Increase in 

opacity is not accompanied by an Increase in mass emission rate. 

Aa proposed, 9 6&14<b> provides fear 

mwhttnigmj which the A<hnlnMratsr 

may use (but to which he Is not

 1*"r

*

<

ti*il> 

ln determining whether an Increase In 

emissions has occurred. These- are 

emission: factors, mal 

tlnuoos monitoring 

emission tests. In tb* 

"increase in emission**

 ,*?ta* 

and therefore can be integrated to mean 

"any increase in emtatana.** Kmtadons 

from a source can, however, finetasts 

daily In response to routine physical snd 

operational changes. When an estimating technique such as emission factors is used to determine if etnlsslans 

have increased, these fiuetaatioaa am 

not important abaca thaae 

utilise parameters such aa 

production rate, which 

dafly fluctaatioaa, ta calculating 

sion ratea. However, measuring techniques such a 

PROPOSED BUIES 

tlnuous monitors axe sensitive to routine 

fluctuations in emissions, and thus a 

method Is needed to distinguish between 

significant increases to emissions and 

routine fluctuations is emissions. During the preparation of these amendments, several alternative methods for 

making this distinction were considered, 

including statistical methods and an 

arbitrary cut-off point. A statistical 

method, tbe Student's t test, is proposed 

herein In Appendix C. However, there 

are advantages and disadvantages to 

each of the methods considered by die 

.Agency, and the Administrator urges all 

interested parties to submit comments 

on die Student's t test, an arbitrary cutoff, or suggested other methods during 

the comment period to akt in preparation 

of the promulgated regulation. 

According to the proposed regulation, 

each set of emission tests (using manual 

tests or continuous monitors) conducted 

before and after a physical or operational change would consist of at least three 

runs, and would be conducted under representative operating conditions. Tbe 

Student's t test would be used to determine whether there is an increase in 

emissions. Tne advantage of the Student's t test is tbat tt differentiate between significant and Insignificant Increases in "•-••—t—— by considering tnslgnttcant increases as those whleh are 

not detectable due to the variations* tba 

data. Whether or not an emission increase Is detected by tbls test depend* 

on. two tUngs: tbe difference in tbe 

means af tfte two tests and tbe degree 

of variability in each set of three runs. 

A disadvantage of tbe Btudenfa tteat 

before and after aodlfleattaa which may 

not be tbe case. Also*, it. la taflaenced by 

outliers, so that, an taccnslstcatiQr high 

or low value could Increase the estimate 

of tbe variance '**aM"g it *><g*^iy .mlMKily 

that any difference would be detected. 

Another «TI<>*H/*>< rnnrtritrini by the 

Agency, naming an arbitrary cut-off 

paint In terms of a percentage Increaaa 

in wn.tii.mw. also differentiates bttinaan 

routine fluctuations and significant lncreasee in *"'"'"' Anything above, 

for «»awirJa. a 10 percent Increaaa would 

HmsUftiliT a, modification. Qlsadvantagse 

of this approach are that the choice of 

a cut-off point would be completely arbitrary, and those suuices wtS* the largest 

emlsalnai. would have an unfair advaa. 

tags. .Also, titers would ba the probtoaa 

of determining how much, of a peroanW 

age increaaa over tba adtltrary cut-off 

point would be acceptable. Vot 

if tbe cut-off point were 10 

s physical or operational ***"*T>if^ 

a 10.4 percent Increaaa in ernisstons. It 

would atitt be. nucessaiy to- take Into 

account variations In tba teat method. 

JU IHIIJIIIBHI. I aNU4(e> •J"«1*-T that 

the addition of an. affected fnilHj ta a 

stationary sauna dibs 

of that source or as a 

an existing f acUity 

36Mf 

enrtssUwis Inm-ase aa the result of tbe 

construction of a new baste, oxygen furnace in an Iron and steel min, tbe entire iron and steel mill (or at least tbe 

affected facilities for which standards 

have been developed) would be subject 

to standards of performance. This interpretation has not been adopted because, 

in the Judgment of the Administrator, the 

costs which would result from requiring 

all existing facilities in a stationary 

source to comply with standards of performance because of a flange m one existing facility would in most cases be disproportionate to the capital Investment 

required to originally make the physical 

or operational change. 

As proposed, 5 60.14(d) would allow 

an existing facility to undergo a physical or operational change which results 

in an increase in the emission rate into 

the atmosphere of any pollutant to which 

a standard applies, but not be deemed a 

modification, provided the owner or operator demonstrates to the Administrator's satisfaction that the total emission 

rate of any such pollutant from all existing and affected facilities at the stationary source has not increased. The 

Agency realizes that, tn some cases, lt 

may be more economical to control aa 

existing or affected facility other than 

the one undergoing an alteration. Ib such 

cases no new sources of air pollution are 

created and tlie Impact on the environment is the same as controlling die altered facflgy to the uiechange level of 

emissions. However, when s new effected 

faculty is constructed to add new capacity or replace eM capacity, that new 

f aefflty must be controlled to meet tbe 

standards' of performance.• This pulley 

wfB require that best systems of control 

technology be included when planning 

and eenstractfng sources of emissions, as 

W10 OOllwOBplSwCQ IS tiBO QffftSOfiBSKtDlt Os 

section ill. 

It should be noted that there may be 

nwBeroans methods of ieducing tbe emissions of • specific pollutant from a variety of rn.1—fcm points wtttate a plant, 

some of wblcb would be diOeult to qtmntify. In view of this the reduction sf emts— 

slena must be accomplished by tapeum* 

tbe coBBcilai capability of an eafcttag' 

contra! spstan. by adittng a new control 

syrtem; or tv making physical or operatlcmti i hemes to existing and affbeted 

fadtlllai ••lila thn somce sacb that the 

scarce owner or operator can damosnstrate by nwlssinn testa that there-has 

been'no net Increase in emissions. Emission redactions would not be considered 

which result from cmnpllamw schedtde 

recrofrmenis ta meet other regulations, 

penaate for tha Increase ia emlastwi 

caused bar the physical or operational, 

change • become enforceable emission. 

llmttatmB, and any increase In emission 

rate tnenseas af those Hadtatio— win 

tlonv 

In dtnetaatng the pnnlslanai 

cause the rematoder of the atsftmtasy under/ tW.H(d).the Administrator consource to be subject to standardeef per*—sittered aBowtng an enlslTiig fadBty to 

forma rain Tt ran bo infrrrrrt from tlwi rta uudetgu* a physleaf or 

flntttanein.theAct>iareaaaTOla;thafclt whfchresefts ta aa Increase In the 

FEOBAL UCISm, VOL 39, NO. 200—TUESDAY, fKTOlU Ml 10J4. 
P.5 

U—* 

re®i?®S[i® RULES 

sion rate Into the atmosphere of any pol° 

lutant to which a standard applies provided the total emission rat® from all 

points of emission at the entire stationary source has not increased. This 

concept was not totally accepted and the 

proposed provisions limit consideration 

to include only emissions from existing 

and affected facilities. Points of emission 

other than existing and affected facilities 

were not included for the following reasons : 

(1) Each standard of performance is 

based on a prescribed test procedure 

which takes into account the design and 

operating characteristics of the apparatus involved. These test procedures have 

been demonstrated to yield accurate and 

precise results. Facilities for which 

standards of performance have not been 

developed could have unique design or 

operating characteristics which could 

cause unforeseen and unaccounted for 

Inaccuracies in test procedures which 

were not developed with a specific type 

of source in mind. 

(2) The Agency plans, over the next 

few years, to promulgate standards of 

performance for all facilities which contribute significantly to air pollutioa: 

therefore, at that time, most facilities 

would be classified either as existing or 

affected facilities. 

As proposed, § 60:14 (e) sets forth operational or physical changes which will 

not be considered modifications even 

though the emission rate may increase. 

These exemptions are similar to the 

present exemptions expressed ia the 

definition of modification under 40 CFB, 

60.2(h); however, some differences 

should be noted. The exemption of increases in production rate is no loage? 

dependent upon the "operating desiga 

capacity." This term is not easily defined, 

and for certain industries the "desiga 

capacity" bears little relationship to the 

actual operating capacity of the facility. 

The proposed exemption implieifcSy de= 

fines "design operating capacity" as thafc 

production rate which can be 

pllshed without making major 

expenditures on the stafctoasry eorosa 

containing the existing facility. A Sefiai° 

tion of the term "capital expsaditea" Ss 

proposed to mean an ezpesxdifcsxra for 

long-term additions or imprwesaoates 

which are chargeable to a ffisgaltaS e^sisfej 

account. The exemption of &a <sc3 of am 

alternative fuel or raw mateM K E®wil= 

clarified- to indicate tha-3 ea. oste&lag 

facility is "designed to aceJMESE&iS-a'" ©a 

alternative fuel or raw mafe 

sions for that use were incite 

final construction speeiflea&toao. 

versions to coal required for eassy- ©oa~ 

siderations as stipulated in sssSs® HS 

(d) (5) of the Oean Air Act, es tsmt2®i$G&, 

are specifically exempted. Tha <M<ssm= 

tion concerning the addifctaa of a <sim° 

trol system proposed under 0 63.10(0) <§) 

is new and would exempt eh£ag£3 sraefe 

as the addition of an affessteroao? to c, 

control system to restaea ©sLsi? GVXM 

though particulate emisstaas sm& to° 

crease due to the afteriteaeF. 

NOTZFXCflTION 

As provided under 40 CFR 60.7, source 

owners and operators are required to 

notify the Administrator prior to the 

startup of an affected facility. Under the 

authority of section 114 of the Act, revisions to this requirement are being proposed herein to require source owners 

or operators to also notify the Administrator within 30 days after commencement of new construction or reconstruction (§ 60.15) of an existing facility or 

prior to the commencement of a potential modification of an existing facility. 

Section 114 of the Act provides that the 

Administrator may require such reports 

"for the purpose ° ° " of determining 

whether any person is in violation of any 

such standard ° " °." This notification 

Is not to be used for approval or disapproval of the planned construction or 

physical or operational change; the purpose is to allow the Administrator to 

locate sources which will be subject to 

regulations in this part and to Inform 

the sources about applicable regulations 

ln an effort to minimize future problems. 

Notification prior to commencement of a 

potential modification will also allow the 

Administrator to require emission testing before and after the physical or operational change if necessary to determine whether or not there is an emission 

Increase. Submittal of pertinent information is required at the time of notification prior to commencement of a potential modification, so that if a determination on whether an emission increase 

will occur can be made without emission 

tests or continuous monitoring data, the 

Administrate? can advise the source 

owner or operator concerning the appliestioa of stoadards of performance. 

to the physical or operational 

O^aess or operators who are considering a physical or operational change to 

aa es&s&ag facility are encourage to request, pursuaaS to 40 CFR 60.5, a determination by the Administrator of 

change is a modification, 

sotald be made as soon as 

pcasSSalQ prios? to commencement of the 

cfeosGQ cadi e&jjl be separate from the 

nofeSfieafctom regratagsaent proposed under 

8 8®.? (a)(4). 

RECOHSTBUCTXOH 

SssStaa G0.JS, as proposed herein 

clashes fchafe ea existing facility becomes 

aa affected facility when it is reconstructed if a substantial portion of its 

coEapoaeafe! is replaced irrespective of 

aay ctosase ia emission rate. The Administestoi? -iTUs consider, on a case-by-case 

bee's, teshaie©! aad economic parameters 

ia detes-mtaing whether a substantial 

poifftta of & facility has been replaced 

BssTsasfer^-sta of a facility which- meets 

fete spseMteQStoag proposed under 9 60.15 

eoE!0iSfiaste3 asrv7 construction rather than 

Then a facility is comwlth a newly constructed 

', that facility is subject 

to sfemdasas cf performance. The purpass of this proposed provision is to disss perpetuation of a facility, 

replacing it at the end of its 

ussfral Mfe with a newly constructed affected facility. It should be recognized 

that it is generally the practice of the 

industries currently covered by standards of performance to close an old 

existing facility rather than to reconstruct it by using a minor part of it and 

replacing the remaining portion. Because of this, the proposed provision will 

have little, if any impact on industries 

currently covered. As standards of performance are proposed for additional 

source categories in the future, replacments which will be considered reconstruction will be identified ln the subparts. 

COMMENTS 

Interested persons may participate in 

this rulemaking by submitting written 

comments (in triplicate) to the Emission Standards and Engineering Division, 

Environmental Protection Agency, Research Triangle Park, North Carolina 

27711, Attention: Mr. Don R. Goodwin. 

All relevent comments postmarked not 

later than November 29, 1974 will be 

considered. Comments received will be 

available for public inspection at the 

Office of. Public Affairs, 401 M Street. 

SW., Washington, D.C. 

This notice of proposed rulemaking is 

issued under the authority of sections 

111 and 114 of the Clean Air Act, as 

amended (42 U.S.C. 1857c-6,1857c-9). 

Dated: October 4,.1974. 

JOHN QUAELKS, 

Acting Administrator. 

It is proposed to amend Part 60 ef 

Chapter I, Title 40 of the Code of Federal Regulations as follows: 

Subpart A—General Provisions 

1. In i 60.2 paragraphs (d) and (h) are 

revised and paragraphs (aa) and (bb) 

are added. As amended* § 60.2 reads as 

follows: 

§ 60.2 Definitions. 

• * . o o o 

(d) "Stationary source" means any 

building, structure, facility, or installation which emits or may emit any air 

pollutant and which contains any one or 

combination of the following: 

(i> Affected facilities. 

(2) Existing faculties. 

(3) Facilities for which no standards 

- are applicable. 

• •oo o 

(h) "Modification" means any physical change in, or change in the method of 

operation of, an existing facility which 

increases the amount of any air pollutant 

(to which a standard applies) emitted 

Into the atmosphere by that facility or 

which results in the emission of any air 

pollutant (to which a standard applies) 

into the atmosphere not previously 

emitted. 

• •00 0 

(aa) "Existing facility" means, with 

reference to a stationary source, any apparatus of the type for which a standard Is promulgated In this part, and the 

construction or modification of which 

was commenced before the date of proposal of that standard; or any apparatus 

which could be altered ln such a way as 

to be of that type. 

rasGOAt essesTM, vm. s®, M@. aoe—TUKDAY, OCTOBW ts, 1974 
P.6 

PROPOSED RULES 36949 

(bb) "Capital expenditure" means an 

expenditure for long-term additions or 

betterments properly chargeable to a 

capital assets account. 

2. In §60.7. paragraphs (a)(1) and 

ia; (2) are revised, and paragraphs (a) 

13) and (an4) are added. As amended 

§ 60.7(a; reads as follows: 

? 60.7 Notification and recordkeeping. 

< a) Any owner or operator subject to 

the provisions of this part shall furnish 

the Administrator written notification 

as follows: 

(1) A notification of the date of commencement of construction (or reconstruction as defined under § 60.15) of an 

affected facility postmarked no later 

than 30 days after such date. 

'2) A notification of the anticipated 

date of initial startup of an affected facility postmarked not more than 60 days 

nor less than 30 days prior to such date. 

(3) A notification of the actual date of 

initial startup of an affected facility 

postmarked within 15 days after such 

date. 

• 4) A notification of any physical or 

operational change to an existing facility 

which may increase the emission rate of 

any air pollutant to which a standard 

applies, imift-w that change would not be 

considered a modification under an applicable subpart or In § 60.14(e). This 

notice shall be postmarked at least 60 

days prior to the commencement of the 

change and shall Include information 

describing the precise nature of the 

change, present and proposed emission 

control systems, productive capacity of 

the facility before and after the change, 

and the expected completion date of the 

change. 

• * • • • 

3. Subpart A Is amended by adding 

§§ 60.14 and 60.15 as follows: 

§ 60.14 .Modification. 

(a) Except as provided under paragraphs (d). (e) and (f) of this section, 

any physical or operational changes to 

an existing facility which result in an increase in emission rate to the atmosphere of any pollutant to which a standard applies shall be a modification. Upon 

modification, an existing faculty shall 

become an affected facility for each pollutant to which a standard applies and 

for which there is an increase in emission rate. 

(b) Emission rate shall be expressed 

as kg/hr of any pollutant discharged 

into the atmosphere for which a standard is applicable. The Administrator may 

use, but is not limited to, the following 

to determine emission rate: 

(1) Emission factors specified ln the 

latest issue of "Compilation of Air Pollutant Emission Factors," EPA Publication 

No. AP-42: 

(2) Material balances; 

(3) Manual emission tests or continuous monitoring systems. When the emission rate is based on results from •"•-•"•••' 

emission tests or continuous monitoring 

systems, the procedures specified in Appendix C of this part shall be used to determine whether an increase in emission 

rate occurred. Tests shall be conducted 

under such conditions as the Administrator shall specify to the owner or operator based on representative performance of the facility. 

(c) The addition of an affected facility to a stationary source as an expansion to that source or as a replacement 

for an existing facility shall not by itself 

bring within the applicability of this part 

any other facility within that source. 

<d) A modification shall not be 

deemed to occur if an existing facility 

undergoes a physical or operational 

change that results in an increase in the 

emission rate into the atmosphere of 

any pollutant to which a standard applies provided the owner or operator 

demonstrates to the Administrator's satisfaction that the total emission rate of 

any such pollutant from all existing and 

affected facilities at the stationary 

source has not increased. 

(1) Such demonstration shall be in 

writing and shall include: 

i'i) The name and address of the 

owner or operator. 

(ii) The location of the stationary 

source. 

(iii) A complete description of the 

existing facility undergoing the physical 

or operational change, any applicable 

control system, and the physical or operational change to such facility. 

(iv) The emission rates into the atmosphere from the existing facility of 

each pollutant to which a standard applies before and after the physical or 

operational change takes place. 

(v) A complete description of each existing and affected facility and the control systems, if any, for those facilities 

within the stationary source where the 

emission rate of each pollutant in question will be decreased to compensate for 

the increase in emission rate from the 

existing facility undergoing the physical 

or operational change. 

(vi) The emission rates into the atmosphere of the pollutants in question from 

each existing and affected facility described under paragraph (d) (1) (v) of 

this section both before and lifter the improvement of installation of-any applicable control system or any physical or 

operational changes to such facilities to 

reduce emission rate. 

(vii) A complete description of the 

procedures and methods used to determine the emission rates. 

(2) To be acceptable by the Administrator, the decrease in the emission rate 

from the existing and affected facilities 

described under paragraph (d) (1) (v> of 

this section must be demonstrated by actual testing of the emissions in accordance with 5 60.8(b) of this part and accomplished through the Installation or 

improvement of a control system or 

through physical or operational changes 

to those facilities including reducing the 

production .of a facility or closing a facility. Decreases in emissions required by a 

State implementation plan approved or 

promulgated under Part 52 of this chapter will not be acceptable. The emission 

testing shall be performed within 180 

days of the completion of the physical or 

operational change to the existing facility 

or at such times as the Administrator 

may specify. 

(3) Emission rates established for the 

existing facility which Is undergoing a 

physical or operational change resulting 

in an increase in the emission rate and 

for the existing facilities described under 

paragraph (d) (1) (v) of this section to 

compensate for such an increase in emission rate shall become the baseline for 

determining whether such facilities 

undergo a modification in the future.-

(4) Any emission rate ln excess of that 

rate established as the baseline for determining future modifications under 

paragraph (b) (3) of this section and any 

emission rate in excess of that rate established for the affected facilities described 

under paragraph (d) (1) (v) of this section shall be a violation of these regulations. Such violations shall be determined 

in accordance with the procedures established under § 60.8 of this part. 

(e) The following shall not, by themselves, be considered modifications under 

this part. 

(1) Maintenance, repair, and replacement which the Administrator determines to be routine for a source category, 

subject to the provisions of paragraph 

(c) of this section and § 60.15. 

(2) An. increase ln production rate of 

an existing facility, if that increase can 

be accomplished without a major capital 

expenditure on the stationary source 

containing that facility. 

(3) An increase in the hours of operation. 

(4) Use of an alternative fuel or raw 

material if. prior to the date any standard under this part becomes applicable" 

to that source type, as provided by g 60.1, 

the existing facility was designed to accommodate that alternative use. A facility shall be considered to be designed 

to accommodate an alternative fuel or 

raw material if provisions for that use 

were included ln the final construction 

specifications. Conversion to coal required for energy considerations, as 

stipulated ln section 119(d) (5) of the 

Act. shall not be considered a modification. 

(5) The addition or use of any system 

or device whose primary function is the 

reduction of air pollutants, except when 

an emission control system Is removed 

or is replaced by a system which the Administrator considers to be less efficient. 

(f) Special provisions set forth under 

an applicable subpart of this part shall 

supersede any conflicting provisions of 

this section. 

§ 60.15 Reconstruction. 

(a) An existing facility shall be considered an affected facility by the Administrator upon reconstruction through 

the replacement of a substantial portion 

of the existing facility's components irrespective of any change of Amission 

rate. The owner or operator may request 

the Administrator to determine whether 

the proposed reconstruction involves replacement of a substantial portion of 

the existing facility's components based 

on the capital cost of the reconstruction 

in comparison to the capital cost of all 

new construction and other technical 

and economic considerations. 

nOBAL IEGISTH, VOL 39, NO. 200—TUHOAY, OCTOSHI IS, ^9T4 
36969 W PtOFOSCD tUtBS 

3. Part 80 is amended by adding Appendix C aa follows: 

APWNBIX C—DETHXMINATIOIC or EMISSION 

RJTK CHANGS 

(1) Introduction, l.l The following 

method shall be used to determine whether 

a physical ar operational change to an existing facility resulted ln an Increase ln the 

emission rate to the atmosphere. The method 

used Is the Student's t test, commonly used 

to make Inferences from small samples. 

(2) Data. 2.1 Each emlsaion test shall 

consist of n runs (usually 3) which produce 

n emission rates. Thus two seta of emission 

rates are generated, one before and one after 

the change. 

2.2 When using manual emission tests, 

except as provided m § 60.8(b) of this part, 

the reference methods of Appendix A to this 

part shall be used in accordance with the 

procedures specified ln the applicable subpart both before and after the change to 

obtain the data. 

2.3 When using continuous monitors, the 

facility shall be operated as tf a manual 

emission test were being performed. Valid 

data using the averaging time which would 

be required If a manual emission test were 

being conducted shaU be uaed. 

(3> Procedure. 3.1 Subscripts a and b denote precbange and postchange respectively. 

3.3 Calculate the arithmetic mean emission rate. E, for each set of data using Equation 1. 

Equation 1 

El

£*« + E1+ . . . +g . . B-i=i -

n n 

where: 

Ei= Emission rate for the i th run 

n=numbe r of runs 

3.3 Calculate the sample variance, S1, for 

each set of data using Equation 2. 

Equation 2 

••••-I l' l \l- l / l s*= T.- 1 

3.4 Calculate tbe pooled estimate, S„ 

using Equation 3. 

Equation 3 

o r(«.-l)3.-+(n t -lW-| M „-

" L n.+n,-2 J 

3.5 Calculate tha test statistic, t, using 

Equation 4. 

Equation.* 

•EWJ 

(4) RetulU. 4.1 If E» > E, and t > t', 

where t' is tbe critical vahte of t obtained 

from Table 1, then with 95 percent confidence the difference between ZJ-, and "E. is 

significant, and an increase in emission rate 

to the atmosphere has occurred. 

TABLE 1 

t' (95 

percent 

Degrees of Freedom confidence 

{na+nb-S) level) 

2. 2. 920 

3 2. 353 

4 2. 132 

5 2. 015 

6 1. 943 

7 1. 895 

8 1.860 

For greater than 8 degrees of freedom, see 

anv standard statistical handbook or text. 

(5) Example: 

5.1 Assume the two performance tests 

produced the following set of data.* 

Test a. Test b 

Run 1 100 115 

Run 2 95 120 

Run 3 110' 125 

"*.2 Using Equation 1 — 

^ = 100+95 + 110 =Io a 

^ = I15 ± 120 ± i 2 5 = w 

-i 

5.3 Using Equation 2— 

(100-102)*+ (96 - 1«2)» 

« - ^(iio-io?^, , 

(115— 120)»+(ISO-130)* 

- , +(125-120)' . 

«SV- g^ p 25 

5.4 Using Equation Z— 

3>=|-(3-I)(58,5)+_(3-l)(25)J/.=646 

5.5 Using Equation 4— 

. 120-10 2 

5-6 8faee («,+.»,-2}=4 , f*=2.I32 (tram. 

Table I). Thu»since l>f the difference in, 

the vabiee oi B . and Bi » signiS eant, and 

thefe ha& been • » increase is emission nrte 

t o the tttoMtspheiak 

pnt Dee.7*-a388ft We d 1*41-44-*.-«• aas| 

P.7 

V " ' 

VOI. aa, MO. »o—TUfSDAT, 15, H7 4