### Attachment F 

# The Connecticut GeneralAssembly

Edwin J. Maley, Jr.

Commissioner William A. Hamzy

Commissioner Larry G J. Shapiro Director


# Memorandum

To: From: Legislative Commissioners' Office

Legislative Office Building Suite 5500 Hartford, Connecticut 06106-1 59 1 (860) 240-84 1 0 fax (860) 240-8414 e-mail: lco@ cga.ct.gov

Legislative Regulation Review Committee Legislative Commissioners ' Office 

### Committee Meeting Date: March 25, 2014

Regulation No: Agency: Subject Matter: StatutoryAuthority: {copy a!fached) 2014-2 Department ofEnergy and Environmental Protection Fuel Sulfur Content Limitations for Stationary Sources 22a-174, 22a-198

Mandatory Federal Requirement Permissive Yes or No y 

### y N



### For the Committee's Information:

Substantive Concerns:

Technical Corrections:

1

. On page 8, in section 22a-174-19b(a), in the first line, a colon should be inserted after "section" and "the definitions provided in this subsection shall apply. Terms used in this

1

- 1 ' I• r - ,.. "•**~** •-,,. '-

_ -.-. ,.., - ,_. .•
- •
_ ' - • -·**~** • • • a. _. -section that are not defined in this subsection are as defined in section 22a-l74-1 ofthe Regulations ofConnecticut State Agencies." should be deleted as unnecessary
. 2. On page 9, in section 22a-174-19b(c)(4), "research and development program" should be "research and development operation" , for consistency.
3. On page 9, in section 22a-174-19b(c)(5)(A) and (B), "Aperson" should be "Any person" , for proper form.
4. On page 9, in section 22a-l74-19b(c)(6), "a person" should be "any person" , for proper form.
5. On page 10, in section 22a-l74-19b(e)(l), in the first line "a" should be inserted before "fuel shortage", for proper form

. 6. On page 10, in section 22a-174-19b(e)(l), in the last line, "Enforcement, where such request" should be "Enforcement. Such request", for proper form.
7. On page 11 , 

### in section 22a-174-19b(e)(3), "within five days of' should be "not later than five days after", for clarity.
8. On page 11 , in section 22a-l74-19b(e)(4), "subparagraph" should be "subsection", for accuracy and "in writing" should be" , in writing,", for proper form. Additionally, "where such time" should be "provided such period oftime" , for clarity.
9. On page 11 , in section 22a-174-19b(f)(4), "A person" should be "Any person" , for proper form.
10. On page 12, in section 22a-174-19b(g)(l), in the last line, "subsection" , should be "section" , for accuracy.
11. On page 12, in section 22a-174-19b(g)(2), "subject to the requirements ofthis section" should be inserted after "fuel", for accuracy and "ofsuch fuels" should be inserted after "heating value", for clarity.
12

. On page 12, in section 22a-174b-19b(g)(3), in the first line, "subject to the requirements ofthis section" should be inserted after "combusting fuel" , for accuracy.
13. On page 12, in section 22a-174b-19b(g)(4), "subsection" should be "section" , for accuracy
. 14. On page 12, in section 22a-l74-5(a), "[subsection] section 22a-174-5(d) ofthe Regulations ofConnecticut State Agencies" should be "subsection [22a-174-5(d)] (d) of this section" , for clarity.

2

### Recommendation:

Reviewed by:


### Date: l r

## x x x Approval in whole with technical corrections with deletions with substitute pages Disapproval in whole or in part Rejection**with~ut**

### J>rejudice I

Bradford M

. Towson 

### I Shannon McCarthy
March 11 , 2014

3Sec. 22a-174. (Formerly Sec. 19-508). Powers ofthe commissioner. Regulations. Fees. Exemptions. General permits. Appeal ofcommissioner's action re permit applications. (a) The commissioner, in the manner provided in subdivision (1) ofsection 22a-6, shall have the power to formulate, adopt, amend and repeal regulations to control and prohibit air pollution throughout the state or in such areas ofthe state as are affected thereby, which regulations shall be consistent with the federal Air Pollution Control Act and which qualify the state and its municipalities for available federal grants. Any person heard at the public hearing on any such regulation shall be given written notice ofthe determination ofthe commissioner. (b) The commissioner shall have the power to (1) enter into contracts with technical consultants, including, but not limited to, nonprofit corporations created for the purpose of facilitating the state's implementation ofmultistate air pollution control programs, for special studies, advice and assistance; to consult with and advise and exchange information with other departments or agencies ofthe state; and (2) serve on the board ofdirectors ofa nonprofit corporation, including, but not limited to, a nonprofit corporation created for the purpose offacilitating the state's implementation ofmultistate air pollution control programs
. (c) The commissioner shall have the power, in accordance with regulations adopted by him, (1) to require that a person, before undertaking the construction, installation, enlargement or establishment ofa new air contaminant source specified in the regulations adopted under subsection (a) ofthis section, submit to him plans, specifications and such information as he deems reasonably necessary relating to the construction, installation, enlargement, or establishment ofsuch new air contaminant source; (2) to issue a permit approving such plans and specifications and permitting the construction, installation, enlargement or establishment ofthe new air contaminant source in accordance with such plans, or to issue an order requiring that such plans and specifications be modified as a condition to his approving them and issuing a permit allowing such construction, installation, enlargement or establishment in accordance therewith, or to issue an order rejecting such plans and specifications and prohibiting construction, installation, enlargement or establishment ofa new air contaminant source in accordance with the plans and specifications submitted; (3) to require periodic inspection and maintenance of combustion equipment and other sources ofair pollution; (4) to require any person to maintain such records relating to air pollution or to the operation offacilities designed to abate air pollution as he deems necessary to carry out the provisions ofthis chapter and section 14-164c; (5) to require that a person in control ofan air contaminant source specified in the regulations adopted under subsection (a), obtain a permit to operate such
source ifthe source (A) is subject to any regulations adopted by the commissioner concerning high risk hazardous air pollutants, (B) burns waste oil, (C) is allowed by the

4commissioner, pursuant to regulations adopted under subsection (a), to exceed emission limits for sulfur compounds, (D) is issued an order pursuant to section 22a-178, or (E) violates any provision ofthis chapter, or any regulation, order or permit adopted or issued thereunder; (6) to require that a person in control ofan air contaminant source who is not required to obtain a permit pursuant to this subsection register with him and provide such information as he deems necessary to maintain his inventory ofair pollution sources and the commissioner may require renewal ofsuch registration at intervals he deems necessary to maintain such inventory; (7) to require a permit for any source regulated under the federal Clean Air Act Amendments of 1990, P.L. 101-549; (8) to refuse to issue a permit if the Environmental Protection Agency objects to its issuance 

### in a timely manner under Title V ofthe federal Clean Air ActAmendments of 1990; and (9) notwithstanding any regulation adopted under this chapter, to require that any source permitted under Title V of the federal CleanAir Act Amendments of 1990 shall comply with all applicable standards set forth in the Code ofFederal Regulations, Title 40, Parts 51 , 52, 59, 60, 61 , 63 , 68, 70, 72 to 78, inclusive, and 82, as amended from time to time. (d) The commissioner shall have all incidental powers necessary to carry out the purposes ofthis chapter and section 14-164c. (e) As used in this subsection, "contiguous" means abutting or adjoining without consideration ofthe actual or projected existence ofroadways, walkways, plazas, parks or other minor intervening features; "indirect source" means any building, structure, facility, installation or combination thereof, that has or leads to associated activity as a result of which any air pollutant is or may be emitted. The commissioner shall not require the submission ofplans and specifications under indirect source regulations adopted pursuant to subdivisions (1) and (2) ofsubsection (c) ofthis section for proposed construction to be undertaken within a redevelopment area or urban renewal project, as defined 

### in chapter 130, provided (1) the proposed construction is pursuant to a plan for such redevelopment
area or urban renewal project adopted pursuant to section 8-127 prior to October 1, 1974,
or to a modification ofsuch plan, (2) the proposed construction is part ofa contiguous, single purpose or multipurpose development or developments and (3) site clearance or construction had commenced on a portion ofthe site ofsuch development or developments prior to Octaber 1, 1974, nor shall the commissioner issue any order pursuant to subdivision ( 1) ofsubsection (c) ofthis section pertaining to the enforcement ofindirect
source regulations with respect to such proposed construction within such redevelopment
areas and urban renewal projects. In the event that the modification ofany such plan after October 1, 1974, would result in the proposed construction generating substantially more motor vehicle traffic than would have been generated prior to such modification, the submission ofplans and specifications shall be required for such proposed modification. The commissioner shall not require the renewal ofan indirect source operating permit

5issued in accordance with subsection (c) ofthis section unless such indirect source no longer conforms with plans, specifications or other information submitted to said commissioner in accordance with said subsection (c). (f) The commissioner shall allow the open burning ofbrush on residential property, provided the burning is conducted by the resident ofthe property or the agent ofthe resident and a permit for such burning is obtained from the local open burning official of the municipality in which the property is located, and the open burning ofbrush in municipal landfills, transfer stations and municipal recycling centers, provided a permit for such burning is obtained from the fire marshal ofthe municipality where the facility is located, except that no open burning ofbrush shall occur (1) when national or state ambient air quality standards may be exceeded; (2) where a hazardous health condition might be created; (3) when the forest fire danger in the area is identified by the commissioner as extreme and where woodland or grass land is within one hundred feet of the proposed burn; (4) where there is an advisory from the commissioner ofany air pollution episode; (5) where prohibited by an ordinance ofthe municipality; and (6) in the
case ofa municipal landfill, when such landfill is within an area designated as a hot spot
on the open burning map prepared by the commissioner. A permit for the burning ofbrush at any municipal landfill, municipal transfer station or municipal recycling center shall be issued no more than six times in any calendar year. The proposed permit to bum brush at any municipal landfill, municipal transfer station or municipal recycling center shall be submitted to the commissioner by the fire marshal, with the approval ofthe chiefelected official ofthe municipality in which the municipal landfill, municipal transfer station or municipal recycling center is located. The commissioner shall approve or disapprove the fue marshal's proposed permitting ofburning ofbrush at a municipal landfill, municipal transfer station or municipal recycling center within a reasonable time ofthe filing ofsuch application. The burning ofleaves, demolition waste or other solid waste deposited in such landfill shall be prohibited. The burning ofnonprocessed wood for campfires and bonfires is not prohibited ifthe burning is conducted so as not to create a nuisance and in accordance with any restrictions imposed on such burning

. Nothing in this subsection or in any regulation adopted pursuant to this subsection shall affect the power ofany municipality to regulate or ban the open burning ofbrush within its boundaries for any purpose. Notwithstanding any other provision ofthis section, fire breaks for the purpose of controlling forest fires and controlled fires in salt water marshes to forestall uncontrolled fires are not prohibited. Open burning may be engaged in for any ofthe following purposes ifthe open burning official withjurisdiction over the area where the burning will occur issues an open burning permit: Fire-training exercises; eradication or control ofinsect infestations or disease; agricultural purposes; clearing vegetative debris following a natural disaster; and vegetative management or enhancement ofwildlife habitat or ecological sustainability on municipal property or on any privately owned property permanently

6dedicated as open space
. Open burning for such purposes on state property may be engaged in with the written approval ofthe commissioner. Local burning officials nominated for the purposes ofthis subsection shall be nominated only by the chief executive officer ofthe municipality in which the official will serve and shall be certified by the commissioner. The chiefexecutive officer may revoke the nomination

. The commissioner may adopt regulations, in accordance with the provisions ofchapter 54, governing open burning and may authorize or prohibit open burning consistent with this section

. The regulations may require the payment ofan application fee and inspection fee and may establish a certification procedure for local burning officials. (g) The commissioner shall require, by regulations adopted in accordance with the provisions ofchapter 54, the payment ofa permit application fee sufficient to cover the reasonable costs ofreviewing and acting upon an application for, and monitoring compliance with the terms and conditions of , any state or federal permit, license, order, certificate or approval required pursuant to this section. Any person obtaining a permit, pursuant to said regulations, for the construction or operation ofa source ofair pollution or for modification to an existing source ofair pollution shall submit a permit fee oftwice the amount ofthe fee established by regulations in effect on July 1, 1990. The commissioner shall require the payment ofa permit application fee oftwo hundred dollars

. (h) The commissioner may require, by regulations adopted in accordance with the provisions ofchapter 54, payment ofa fee by the owner or operator ofa source ofair pollution, sufficient to cover the reasonable cost ofa visual test ofan air pollution control device through the use ofa dust compound in the detection ofleaks in such device, or the monitoring ofsuch test, provided such fee may not exceed the average cost to the department for the conduct or monitoring ofsuch tests plus ten per cent ofsuch average cost. Except as specified in section 22a-27u, all payments received by the commissioner pursuant to this subsection shall be deposited in the General Fund and credited to the appropriations ofthe Department ofEnergy and Environmental Protection in accordance with the provisions ofsection 4-86

. (i) Notwithstanding the provisions ofsubsections (g) and (h) ofthis section, no municipality shall be required to pay more than fifty per cent ofany fee established by the commissioner pursuant to said subsections. 

### G) Fees or increased fees prescribed by this section shall not be applicable to residential property. (k) (1) The commissioner may issue a general permit with respect to a category ofnew
or existing stationary air pollution sources, except with respect to a source which is already covered by an individual permit, provided the general permit is not inconsistent with the

7federal Clean Air Act, as amended in 1990, 42 USC, Sections 7401 et seq. , and as it may be further amended from time to time

. Any person conducting an activity for which a general permit has been issued shall not be required to obtain an individual permit under this section, except as provided in subdivision (5) ofthis subsection. The general permit may regulate a category ofsources which, whether or not requiring a permit under the federal Clean Air Act, (A) involve the same or substantially similar types ofoperations or substances, (B) require the same types ofpollution control equipment or other operating conditions, standards or limitations, and (C) require the same or similar monitoring, and which, in the opinion ofthe commissioner, are more appropriately controlled under a general permit than under an individual permit. The general permit may require that any person proposing to conduct any activity under the general permit register such activity, including obtaining approval from the commissioner, before the general permit becomes effective as to such activity, and may include such other conditions as the commissioner deems appropriate, including, but not limited to, management practices and verification and reporting requirements. Any such reports shall be made available to the public by the commissioner. The commissioner shall grant an application for approval under a general permit without repeating the notice and comment procedures provided under subdivision (2) ofthis subsection, and such a grant shall not be subject tojudicial review under subdivision (4) ofthis subsection. Registrations and applications for approval under the general perinit shall be submitted on forms prescribed by the commissioner; application forms concerning activities regulated under the federal CleanAir Act shall require that the applicant provide such information as may be required by that act. The commissioner shall prepare, and annually amend, a list ofholders ofgeneral permits under this section, which list shall be made available to the public. (2) Notwithstanding any other procedures in this chapter, any regulations adopted thereunder, and chapter 54, the commissioner may issue a general permit in accordance with the following procedures: (A) The commissioner shall publish in a newspaper, having
a substantial circulation in the affected area or areas, notice of(i) intent to issue a general permit, (ii) the right to inspect the proposed general permit, (iii) the opportunity to submit written comments thereon, and (iv) the right to a public hearing if , within the comment period, the commissioner receives a petition signed by at least twenty-five persons provided the notice shall state that the right to a public hearing may be exercised upon request ofany person ifthe permit regulates an activity which is subject to provisions of the federal CleanAirAct; (B) the administrator ofthe United States Environmental Protection Agency and any states affected by the general permit shall be given notice as may be required by the federal CleanAir Act; (C) the commissioner shall allow a comment period ofthirty days following publication ofnotice under subparagraph (A) ofthis subdivision during which interested persons may submit written comments concerning the permit to the commissioner; (D) the commissioner shall not issue the general permit until

8after the comment period and the public hearing, ifone is held; (E) the commissioner shall publish notice ofany general permit issued in a newspaper having a substantial circulation in the affected area or areas; and (F) summary suspension may be ordered in accordance with subsection (c) ofsection 4-182. Any person may request that the commissioner issue, modify, revoke or suspend a general permit in accordance with this subsection. (3) Any general permit under this subsection shall be issued for a fixed term. A general permit covering an activity regulated under the federal Clean Air Act shall be issued for a term ofno more than five years. A general permit covering an activity regulated under the federal CleanAir Act shall contain such additional conditions as may be required by that act. (4) Notwithstanding any other provision ofthis chapter and chapter 54, with respect to a general permit concerning activities regulated under the federal Clean Air Act, any person who submitted timely comments thereon may appeal the issuance ofsuch permit to the superior court in accordance with the provisions ofsection 4-183. Such appeal shall have precedence in the order oftrial as provided in section 52-192. (5) Subsequent to the issuance ofa general permit, the commissioner may require a person whose activity is or may be covered by the general permit to apply for and obtain
an individual permit pursuant to this chapter ifhe determines that an individual permit would better protect the land, air and waters ofthe state from pollution

. The commissioner may require an individual permit under this subdivision in cases including, but not limited to, the following: (A) The permittee is not in compliance with the conditions ofthe general permit; (B) a change has occurred in the availability ofdemonstrated technology or practices for the control or abatement ofpollution applicable to the permitted activity; (C) circumstances have changed since the time the general permit was issued so that the permitted activity is no longer appropriately controlled under the general permit, or a temporary or permanent reduction or elimination ofthe permitted activity is necessary; or (D) a relevant change has occurred in the applicability ofthe federal Clean Air Act. In making the determination to require an individual permit, the commissioner may consider the location, character and size ofthe source and any other relevant factors. The commissioner may require an individual permit under this subdivision only ifthe person whose activity is covered by the general permit has been notified in writing that an individual permit is required. The notice shall include a briefstatement ofthe reasons for requiring an individual permit, an application form, a statement setting a time for the person to file the application and a statement that the general permit as it applies to such person shall automatically terminate on the effective date ofthe individual permit. Such person shall forthwith apply for, and use best efforts to obtain, the individual permit. Any person may petition the commissioner to take action under this subdivision.



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### (6) The conunissioner may adopt regulations, in accordance with the provisions of chapter 54, to carry out the purposes ofthis subsection. (1) 

### In any proceeding on an application for a permit which is required under 42 USC 7661a, the applicant, and any other person entitled under said section to obtainjudicial review ofthe conunissioner's final action on such application may appeal such action in accordance with the provisions ofsection 4-183

. (m) The commissioner shall not issue a permit for an asphalt batch plant or continuous mix facility under the provisions ofthis section until July 1, 

### 2004, unless the conunissioner determines that the issuance ofthe permit will result in an improvement ofenvironmental performance ofan existing asphalt batch plant or continuous mix plant. The provisions of this section shall apply to any application pending on May 5, 1998. Nothing in this section shall apply to applications for upgrading, replacing, consolidating or otherwise altering the physical plant ofan existing facility provided such upgrade, replacement, consolidation or alteration results in an improvement ofenvironmental performance or in reduced total emissions ofair pollutants

.

Sec. 22a-198. Title IV sulfur dioxide emission standards. Credit trading. Suspension ofcredit trading prohibition by the commissioner. 

### (a) On and after January 1, 2005 , the owner or operator ofa Title IV source that is also an affected unit or units shall: (1) Combust liquid fuel, gaseous fuel, solid fuel or a combination ofeach provided that each fuel possesses a fuel sulfur limit equal to or less than 0.3 per cent sulfur, by weight (dry basis); or (2) Meet an average emission rate equal to or less than 0.33 pounds S02 

### per MMBtu for each calendar quarter for an affected unit at the premises; or (3) Meet an average emission rate equal to or less than 0.3 pounds S02 

### per MMBtu calculated for each calendar quarter, ifsuch owner or operator averages the emissions from two or more affected units at the premises

. (b) On and after January 1, 2005, no owner or operator ofa Title IV source that is also
an affected unit or units may use S02 

### DERCs or S02 

### allowances to comply with the requirements ofsubsection (a) ofthis section except ifthe Commissioner ofEnergy and Environmental Protection requires the owner or operator ofan affected unit or units using a low-sulfur fuel to comply with subdivision (1) ofsubsection (a) ohhis section to offset
excess S0 2 

### emissions that were emitted during a suspension period, as described in

10subsection (c) ofthis section, through the purchase or retirement ofsuch S02 DER Cs or S02 allowances. (c) The Commissioner ofEnergy and Environmental Protection may suspend the requirements ofsubdivision ( 1) ofsubsection (a) ofthis section for the owner or operator ofany affected unit using a low-sulfur fuel , including a low-sulfur solid fuel. Such suspension shall be made only when the commissioner finds that the availability offuel that complies with such requirements is inadequate to meet the needs ofresidential, commercial and industrial users in this state and that such inadequate supply constitutes an emergency, provided such suspension shall not exceed the period that the inadequate supply constitutes an emergency. Any such suspension by the commissioner shall not suspend or alter the sulfur dioxide average emission rate requirements that are in effect as ofMay 2, 2002. The Commissioner ofEnergy and Environmental Protection shall specify in writing the period oftime that such suspension shall be in effect and shall provide notice ofsuch suspension to thejoint standing committees ofthe General Assembly having cognizance ofmatters relating to the environment and energy and technology. No later than thirty days after the termination ofsuch suspension, the owner or operator ofan affected unit or units shall report to the commissioner, in writing, the amount of S02 emissions in
excess ofthose that would have occurred ifthe use ofcompliant fuel at such affected unit
or units had not been interrupted. Ifsuch excess S02 emissions from any premises exceed fifty tons, the commissioner shall require that the owner or operator ofsuch affected unit or units offset such S02 emissions through the purchase or retirement of S02 DERCs or S02 allowances. (d) The provisions ofsubsections (c) and (f) ofthis section, when implemented by the Commissioner ofEnergy and Environmental Protection, shall not suspend any underlying procedures or requirements in the Regulations ofConnecticut State Agencies adopted by the Department ofEnergy and Environmental Protection pertaining to S02 emissions. (e) No provision ofsection 22a-197, this section or subsection (a) ofsection 16-245/ shall be construed to prohibit the Commissioner ofEnergy and Environmental Protection from waiving or suspending any applicable sulfur dioxide emissions standard as may be allowed under current federal or state laws or regulations, or other permit limits ofa must run Title IV source, as ordered by the Independent System Operator, as may be allowed under current federal or state laws or regulations. The commissioner may attach any conditions to such suspension or waiver, as the commissioner deems necessary to mitigate any adverse environmental or public health impacts

. (f) The Commissioner ofEnergy and Environmental Protection, in consultation with the chairperson ofthe Public Utilities Regulatory Authority, may suspend the prohibition of subsection (b) ofthis section for a Title IV source ifit is determined that the application of

11the prohibition established under subsection (b) ofthis section adversely affects the ability to meet the reliability standards, as defined by the New England Power Pool or its
successor organization, and the suspension thereofis intended to mitigate such reliability problems

. The Commissioner ofEnergy and Environmental Protection, in consultation with the chairperson ofthe Public Utilities Regulatory Authority, shall specify in writing the reasons for such suspension and the period oftime that such suspension shall be in effect and shall provide notice ofsuch suspension at the time ofissuance, or the next business day, to thejoint standing committees ofthe General Assembly having cognizance ofmatters relating to the environment and energy and technology. No such waiver shall last more than thirty days. The commissioner may reissue additional waivers for such
source after said initial waiver has expired. Within ten days ofreceipt ofthe commissioner's notice ofsuspension, the committees having cognizance ofmatters relating to the environment and energy and technology may hold ajointpublic hearing and meeting ofthe committees to either modify or reject the commissioner's suspension by a majority vote. Ifthe committees do not meet, the commissioner's suspension shall be deemed approved

.

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