### DEPARTMENT 

## of ENVIRONMENT and NATURAL RESOURCES
PMB 2020 JOE FOSS BUILL1ING 523 EAST CAPITOL PIERRE, SOUTH DAKOTA 57501·3182 

### www.state.sd.us/denr March 4,2011

James B. Martin Regional Administrator US EPA Region 8 1595 Wynkoop Street Denver, CO 80202-1129

Dear Mr. Martin:

Governor Daugaard delegatedthe authority to submit the state implementation plan documents for South Dakota to the Secretary ofthe Department ofEnvironment and Natural Resources (DENR). In that capacity, I am submitting the enclosed demonstration certifying South Dakota adopted the necessary rules and can show the state is meeting all the Clean Air Act requirements in sections 110(a)(l) and (2) for the revised 24-hour PM2.5 standardpromulgated in 2006.

The enclosed document and attachments will provide further information concerning the state laws and regulations adopted by the state through the public notice and hearing process.

DENRhas and will continue to provide adequate resources to implement the state implementation plan in South Dakota. Thank you for your assistance in completing this process and we look forward to your approval ofthe state implementation plan. Ifyou have questions on this report, please contact Brian Gustafson at 605-773­ 3151 for more information.

Steven M. Pirner Secretary

Enclosure

cc: Deb Lebow, EPA Region 8

### South Dakota Air Quality Program StateImplementation Plan Demonstration PM2.5 Standard as Revised in 2006

1.0 Introduction

On September 25,2009, EPA issued guidance to states for preparation ofa state implementation plan that satisfy the Clean Air Act sections 11 O(a)( 1) and (2) requirements for the 24-hour PM2.5 standard revision in 2006. The infonnation included in this document will certify South Dakota is meeting the requirements in the Clean Air Act.



### 2.0 110(a)(I)

As required by section 11O(a)(l) ofthe Clean Air Act states will review and ifnecessary revise their existing particulate matter state implementation plans to ensure the plan is adequate to address the 2006 24-hour PM2.5 National Ambient Air Quality Standard.

In the state rules ofArticle 74:36 South Dakota adopted the applicable federal regulations by reference from 40 Code ofFederal Regulations in Parts 1to 99 as published on July I, 2009. The changes in state rules became effective on June 27, 2010 and are waiting for EPA approval. After completing a review ofthe rules in Article 74:36, as revised on June 27,2010, the Department detennined South Dakota's state implementation plan for particulate matter is adequate to implementthe revised 24-hour PM2.5 standard setby EPA in 2006.

Attachment I contains a section by section discussion on how the rules in Article 74:36

are meeting the requirements ofsection 1IO(a)(l).



### 3.0 110(a)(2)

The Clean Air Act, §IIO(a)(2)(D)(i), requires each state implementation plan submitted
to EPA must address emissions that affect other states through interstate transport. In addition, states must ensure no SIP interferes with another state's program to prevent significant deterioration ofits air quality or interferes with visibility in another state.

There are four components of 1IO(a)(2)(D)(i) that must be addressed. The first two, demonstrating adequate provisions to prevent emissions from South Dakota from interfering with attainment ormaintenance ofthe federal NAAQS in any other state are discussed together in Section 3.1. The requirement that South Dakota show no interference with another state's program to prevent significant deterioration ofits air quality is found in Section 3.2, and discussion ofSouth Dakota's influence on visibility is found in Section 3.3.

The "good neighbor" provisions of

### § 11 0(a)(2)(D)(i) require a state SIP prohibit"

...any source or other type of emissions activity within the Statefrom emitting any airpollutant in amounts which will-­ (I) contribute significantly to nonattainment in, or interfere with maintenance by, any other State with respect to any such national primary or secondary ambient air quality standard.

.. "

3.1 Nonattainment and Maintenance Area Impact PM2.5 Standard

With respect to determining whether South Dakota contributes to nonattainment or maintenance ofthe PM2.5 standard in other states, South Dakotarelies on EPA modeling methodology. EPA states,
"Thirty seven (37) States were modeledforpotential inclusion in thefinal CAIR. Fourteen (14) of these States were not included in the CAIR because they didnot contribute at least 0.2 ug/m3 to downwind nonattainment. Thefourteen states not includedwereArkansas, Connecticut, Delaware, Kansas, Maine, Massachusetts, Nebraska, New Hampshire, New Jersey, North Dakota, Oklahoma, Rhode Island, South Dakota, and Vermont. (See Final CAIR Preamble at, 70 FR 25246, May 12, 2005)"

All the states bordering South Dakota are attaining the revised PM2.5 standard set in 2006. The closest PM2.5 nonattainment area downwind ofSouth Dakota is the Chicago, Illinois area, which is approximately 460miles from Sioux Falls, South Dakota. It is unlikely that South Dakota, contributes to the PM2.5 nonattainment status ofChicago, Illinois area because ofthe magnitude ofthe population associated with the Chicago nonattainment area and the geological and topological separation ofthis area from South Dakota. See Appendix 2 for a map showing the current PM2.5 nonattainment areas in the nation.

Based on the conclusions stated by the EPA in the above-cited guidance and the relative distance to PM2.5 nonattainment areas, the State ofSouth Dakota believes emissions from South Dakota do not significantly affect PM2.5 nonattainment ormaintenance areas in other states.

3.2 Impact on Prevention ofSignificant Deterioration PM2.5 Standard

In § llO(a)(2)(D)(i)(II), the Clean Air Actrequires states prohibit emissions within the
state from interfering"

...with measures required to be included in the applicable implementationplan for any other State underpart C topreventsignificant deterioration of airquality

... "

EPA guidance indicates the state implementation plan must address Prevention of Significant Deterioration (PSD) and New Source Review (NSR) and have adequately demonstrated they do not affect PSD implementation in other states.South Dakota has a fully SIP approved PSD program and successfully implemented this program for many years. South Dakota's PSD rules were revised and those revisions became effective on June 28, 2010, to conform with federal NSRReform rules. These changes were submitted and are currently being reviewed by EPA for approval. Until they are, the previously-approved versions are federally enforceable. South Dakota's NSR program is part ofthe state implementation plan; but since there are no nonattainment areas in the state the NSR program has not been implemented. South Dakotawill implement the current rules in accordance with EPA's interim guidance using PMl0 as a surrogate for PM2.5 until all the necessary tools are available in the PSD program.

Based on the conclusions stated by EPA in the above-cited guidance, the State ofSouth Dakota concludes South Dakota's PSD SIP rule ensures South Dakota does not interfere with PSD implementation in other states.

3.3 Effects on Visibility

The final requirement of§ 110(a)(2)(D)(i)(II) is states prohibit emissions within the state from interfering with the programs ofother states to protect visibility. In 1980, EPA issued regulations that required states to address reasonably attributable visibility impairment.

EPA promulgated a revised regional hazerule on July 1,1999. Under Title 40 ofthe Code for Federal Regulations, section 5lJ08(d)( 1), states must "establish goals (expressed in deciviews) that provide for reasonable progress towards achieving natural visibility conditions" for each Class I area within a state by 2064. The proposed rules and South Dakota's state implementation plan for adopting a Regional Haze Program establish the measures South Dakota will take to achieve natural visibility conditions at

our Class I areas by 2064.

On September 15,2010 a public hearing was held in front ofthe Board ofMinerals and Environment in Custer, SD to consider the proposed rules. The board unanimously approved the rules at the end ofthis hearing.

On November 17,2010, DENR presented the proposed rules to the Legislative Interim Rules Committee in Pierre, SD. The Interim Rules Committee also approved the rules and on the same day DENR filed the new rules with the Secretary ofState's office. The Regional Haze state implementation plan became effective on December7,2010. DENR submitted its proposed rules and state implementation plan to EPA on January 21,2010 and is awaiting approval.

### ATTACHMENT 1

SIP SUBMITTAL COMPLETENESS CRITERIA CHECKLIST

SIP Submitted by: 

### South Dakota Department ofEnvironment and Natural Resources, Air QualityProgram

Date Submitted: 

### February 25, 2011

Subject: 

### Confirmation of 110(a)(2)(A)-(M) PM2.5 2006 and all the other NAAQS PollutantRequirementsin the South Dakota SIP as regulated by the applicable sections in 40 CFRParts 1 though 99 adopted by reference.

South DakotaAir Pollution Control Rules can be viewed at the following website:



### hup:lIIegis.state.sd.us/ruleslDisplayRule.aspx?Rule=74:36



### 110(a)(2)(A)-(M) Requirements Checklist

Section IIO(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA


### §110(a)(2)(A) include enforceable emission limitations andother control
measures, means, or techniques (including economic incentives such as fees, marketablepermits, andauctions of emissions rights),

as wellas schedules and timetables for compliance as may be necessary or appropriate to meet the applicable requirements of thisAct. The rules in ARSD Chapter 74:36:04 (Operating permits for minor sources), 74:36:05 (Operating permits for Part 70 sources), 74:36:06 (Regulated air pollutant emissions), 74:36:07 (New

source performance standards), 74:36:08 (National emission standards for hazardous airpollutants), 74:36:09 (Prevention ofsignificant deterioration), 74:36:10 (New source review),74:36:17 (Rapid City street sanding and deicing), 74:36: 18,­ Section 11O(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
(Regulations for state facilities in the Rapid City area), 74:36:20 (Construction permits for new sources and modifications) and 74:36:21 (Regional haze program) provide enforceable emission limits and other control measures, means or techniques, schedules for compliance and otherrelated matters necessary to maintain SouthDakota in attainment with the federal National Ambient Air Quality Standards. Authority used to promulgate these rules is contained in SDCL 34A-I-l, 34A-1-6, 34A-1-18, and 34A-1-19.

§110(a)(2)(B) provide for establishmentand operation of appropriate devices, methods, systems, andprocedures necessary to monitor, compile, andanalyze data on ambient air quality, andupon request, make such data available to the Administrator; The rules in ARSD 74:36:02 define the goals, national ambient air quality standards, air monitoring methods and monitoring requirements provide for establishment and operation of ambient air quality monitors, collecting and analyzing ambient air quality data and making these data available to EPA. Under these rules, DENR operates a network ofair monitoring sites. Authority used to promulgate these rules is contained in SDCL 34A-l-6 and 34A-1-l5.Section 110(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
§110(a)(2)(C) include aprogram toprovide for the enforcement of the measures described in subparagraph (A) andregulation of the modification andconstruction of anystationary

source within the areas coveredby theplan as necessary to assure that nationalambient air quality standards are achieved, including

apermitprogram as required in parts 

### C andD; SDCL 34A-I-39 through 34A-I-54 and 34A-I-62 gives DENRthe authority to provide enforcement ofall South Dakota SIP measures and the regulations under ARSD Chapter 74:36:09 (Prevention ofsignificant deterioration), 74:36: 10 (New source review) and 74:36:20 (Construction permits for new sources and modifications).

§110(a)(2)(D) contain adequateprovisions­ (i)prohibiting, consistent with theprovisions of this title, any

source or other type of emissions activity within the state from emittinganyairpollutant in
amounts which will-­ (I) contribute significantly to nonattainment in, or interfere with maintenance by, any other state with respect to anysuch national primary or secondary ambient air quality standard, or (II) interfere with measures requiredto be includedin the applicable implementationplan for any other State underpart

### C DENR submitted its Interstate transport demonstration to EPA on May 15, 2007. Since 2007, emission inventories show that Title V facility air pollution emissions have remained about the same. Some facilities with PM2.5 precursors ofsulfur dioxide and nitrogen dioxide have declined and will continue to decline so impacts from South Dakota on other
states have not changed or are being reduced. In addition, DENRadopted regulations and submitted its Regional Haze Program to be included as part ofthe SIP. This program will continue to reduce PM2.5 and precursors as DENR implements itSection 110(a) element Summary ofelement

topreventsig!1ificant deterioration of air quality or to protect visibility,

(ii) insuringcompliance with the applicable requirements of sections 126and 115 (relating to interstate and international pollution abatement);



### §11 O(a)(2)(E)(i) provide (i) necessaryassurances that the
state (or, exceptwhere the Administrator deems inappropriate, the general purpose local government or governments, ora regionalagency designated by the state or general purpose localgovernments for suchpurpose) will have adequate personnel,funding, andauthority under state (and, as appropriate, local) law to carry outsuch implementationplan (and is not prohibitedby anyprovision of federal orstate lawfrom carrying
out such implementationplan or portion thereof): How Addressed in State SIP

and achieves natural visibility by 2064.

SDCL 34A-1-4, 34A-1-7 through 34A-l-10 provides DENR with adequate personnel to carry out South Dakota's SIP and related issues. SDCL 34A-1-57 through 34A-1-60, DENR's agreement with EPA for 103 and 105 grants and associated matching state funds provides DENR with the funding necessary to carry out South Dakota's SIP and related Issues. SDCL 34A-l provides DENR with the legal authority to carry out South Dakota's SIP and related issues. Where codified/approved by EPASection 110(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
§1l0(a)(2)(E)(ii) (ii) requirements that the state comply with the requirements respecting state boards under section 128. and SDCL 1-40-25 (Board ofMinerals and Environment-CompositionAppointment and tenns) and SDCL 1­ 40-25.1 (Board ofMinerals and Environment composed in confonnance with Clean Air Act) specifies that the board's composition must comply with the requirements of Clean AirAct subsection 128 as amended to January 1, 1995, for all permits and enforcement orders initiated under SDCL 34A-l.

§11O(a)(2)(E)(iii) (iii) necessary assurances that, where the state has relied on a local or regional government, agency, or instrumentality for the implementation of anyplan provision, the state has responsibility for ensuring adequate implementation of such planprovision; The authority in SDCL 34A-I-36 (Municipal and county programs approved by board), 34A-1-37 (Municipal and county cooperation with other agencies), and 34A-I-38 (Control ofair contaminant sources beyond capability oflocal authority) provide for the authority ofthe board to establish a program with a municipal orcounty government. In addition ifthe board finds that any part ofthe local program is beyond the reasonable capability the laws provides for the state to assume and retainjurisdiction over that contamination source.Section 110(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
§110(a)(2)(F) require, as may beprescribedby the Administrator­ (i) the installation, maintenance, andreplacement of equipment, andthe implementation of other necessarysteps by owners or operators of stationarysources to monitor emissionsfrom such
sources, (ii)periodic reports on the
nature andamounts of emissions andemissions-relateddata from such sources, and (iii) correlation of such reports by the state agency with any emission limitations or standards establishedpursuant to thisAct, which reports shall be available at reasonable timesforpublic inspection; The rules in ARSD Chapter 74:36:04 (Operating permits for minor sources), 74:36:05 (Operating permits for Part 70 sources), 74:36: 11 (Performance testing) and 74:36:13 (Continuous emission monitoring systems) establish a system to monitor emissions from stationary sources and periodic emissions reports. Authority
to promulgate these rules is contained in SDCL 34A-I-6 and SDCL 34A-1­ 12.

§110(a)(2)(G) provide for authority comparable
to that in section 303 and adequate contingencyplans to implementsuch authority; The rules in ARSD Chapter 74:36:03 (Air quality episodes) adopts by reference the criteria in 40 CFR § 51.151 as the air quality episode plan
to address activities causing imminent and substantial endangermentto public health, including contingency plan to implementthe emergency episode provisions ofSouth DakotaSection IIO(a) element Summary ofelement How Addressed in State SIP Wherecodified/approved by EPA

SIP. Authority to promulgate these rules is contained in SDCL34A-I-6, 34A-1-15, and 34A-1-45.

As ofthe date ofthis submittal, EPA has not set in rule priority classifications or a significant harm level for PM2.5. Once EPA promulgates suchrules, DENRwill adopt them in ARSD Chapter 74:36:03 (Air quality episodes). §1l0(a)(2)(H) providefor revision of such plan­ (i)from time to time as may be necessary to take account 'of revisions of such national primary or secondary ambient air qualitystandardor the availability of improvedor more expeditious methods of attaining such standard, and

(ii) exceptasprOVidedin paragraph (3)(e), whenever the Administrator finds on the basis of information available to the Administrator that theplan is substantially inadequate to attain the nationalambient air qualitystandardwhich it SDCL 34A-1-6 provides DENR with the authority to revise South Dakota's SIP in response to changes to the federal National Ambient Air Quality Standards, availability ofimproved methods for attaining the federal standards, orin response to an EPA finding that the SIP is substantially inadequate.Section llO(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
implements, or to otherwise comply with anyadditional requirements established under thisAct; §110(a)(2)(I) in the case of aplan orplan revisionfor an area designatedas

a nonattainmentarea, meet the applicable requirements of part D (relating to nonattainmentareas); In ARSD Chapter 74:36:10 (New

source review) DENR adopted by reference the New Source Review requirements in 40 CFR Part 51. The authority to promulgate rules relating
to nonattainment areas are in SDCL 34A-1-6. §110(a)(2)(J) meet the applicable requirements SDCL 34A-1-1 and 34A-1-10 provide (§ 121 of section 

### 121 (relating to DENR with the authority to consult consultation) consultation),

... with local governments, other states, federal government, etc. §110(a)(2)(J) meet the applicable requirements SDCL 1-40-31 and 34A-1-9 provide (Section 127 of section 

### 127 of this title (relating DENR with the authority to collect public topublic notification) and disseminate information and notification) provide full public inspection and disclosure ofall non confidential public records related to DENR and those activities within itsjurisdiction. The public is notified ofany concentrations that exceed the NAAQS through DENR'sAir Quality program website that contains the daily concentrations updated hourly from nine sites covering 29 parameters from continuous analyzers andSection llO(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA

monitors located throughout the state. Three ofthese sites also report hourly

ozone and PM2

.5 levels to the AirNow EPA website which we have a link to

on our website. Through this site the public is notified ofhigh concentration periods and what actions to take to reduce health impacts.

§1l0(a)(2)(J) meet the applicable requirements The rules in ARSD Chapter 74:36:09 (PSD) of

... part 

### C (relating to prevention of significant deterioration of air quality and visibilityprotection); (Prevention ofsignificant deterioration) adopts by reference federal regulations under 40 CFRPart 51 and 52 and provides DENRwith regulations necessary to meet the applicable requirements ofpart C of the federal Clean Air Act related to prevention ofsignificantdeterioration and visibility protection.


### §11O(a)(2)(K) providefor: (i) theperformance of such air quality modelingas the Administrator mayprescribefor thepurpose of predictingthe effect on ambient airquality of any emissions of anyairpollutant for which theAdministratorhas establisheda nationalambient air The rules in ARSD Chapter 74:36:04 (Operating pennitfor minor sources), 74:36:05 (Operating pennit for Part 70 sources), 74:36:09 (Prevention of significant deterioration), and 74:36:10 (New source review), 74:36:20 (Construction permits for

new sources and modifications) provide DENR with the authority toSection 110(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
quality standard, and

(ii) the submission, upon request, of data relatedto such air quality modelingto the Administrator; perform air quality modeling for predicting effects on air quality of emissions from any National Ambient Air Quality Standard pollutant and submission ofsuch data to EPA upon request. Authority to promulgate these rules is contained in SDCL34A1-6 and 34A-I-9.

§110(a)(2)(L) require the owner or operator of each major stationarysource to payto thepermittingauthority, as

a condition of anypermit required under thisAct, afee sufficient to cover­

(i) the reasonable costs of reviewing andacting upon any application for such apermit, and (ii) 

### if the owner or operator receives apermit for such source, the reasonable costs of implementingandenforcing the
terms andconditions of any such permit (not including any court costs or other costs associated with any enforcement action), until suchfee requirement is supersededwith respect to such

sources by the Administrator's DENRhas an EPA approved Title V air quality permit program that requires major stationary sources to pay permitting fees to cover the cost ofreviewing, approving, implementing and enforcing the Title V air quality permit. Therefore, Section 11O(a)(2)(L), is not applicable.Section 110(a) element Summary ofelement How Addressed in State SIP Where codified/approved by EPA
approval of afeeprogram under title V;

§110(a)(2)(M) providefor consultation and participation by localpolitical subdivisions affected by theplan. SDCL 34A-l-l, 34A-I-IOprovides DENR with the authority to provide for consultation and participation in South Dakota's SIP development by local political subdivision affected by the SIP. Cooperation by DENR with other agencies provides for the consultation, advise, and cooperation with other state, local, industries, other states, interstate or inter local agencies, and the federal government, and with interested persons or groups
on air pollution control issues.



# .

-< 

# ·

Attachment 2

Counties Designated Nonattainment for PM-2.5 (1997 Standard) and/or PM-2.5 (2006 Standard)

Designated Nonattainment 

## fa 1997 PM-2.5 Nonattainment areas are indicated by color. When only a portion of a county is shown in color, 

# o Both 1997 and 2006 PN-2.5 it indicates that only that part of the county is within 

# o 2006 PM-2.5 a non attainment area boun da ry.