INFORMATION COLLECTION REQUEST FOR PREVENTION OF SIGNIFICANT DETERIORATION AND NONATTAINMENT NEW SOURCE REVIEW

( 40 CFR PART 51 AND 52 )

by

Carrie Wheeler Operating Permits Group (C504

- 03) Air Quality

Policy Division Office of Air Quality Planning and Standards Office of Air and Radiation United States Environmental Protection Agency

RTP, North Carolina 27711ii INFORMATION COLLECTION REQUEST

FOR PREVENTION OF SIGNIFICANT DETERIORATION AND NONATTAINMENT NEW SOURCE REVIEW

( 40 CFR PART 51 AND 52 )
TABLE OF CONTENTS
Page

1 . IDENT IF ICATION OF THE INFORMATION COLLECTION 1 1(a) TITLE OF THE INFORMATION COLLECTION REQUEST (ICR) 1 1(b) ABSTRACT/EXECUTIVE SUMMARY 1 1(c) PAP ERWORK REDUCTION ACT REQUIREMENTS 2 2. NEED FOR AND USE OF THE COLLECTION 2 2(a) NEED/AUTHORITY FOR THE COLLECTION 2 2(b) PRACTICAL UTILITY/USERS OF THE DATA 3
3. NONDUPLICAT ION, CONSULTATIONS AND OTHER COLLECTION CRITERIA 4 3(a) NONDUPLICATION 4 3(b) PUBLIC NOT ICE REQUIRED PRIOR TO ICR SUBMISSION TO OMB 4 3(c) CONSULTATIONS 4 3(d) EFFECTS OF LESS FREQUENT COLLECTION 5 3(e ) GENRAL GUIDELINES 5 3(f) CONFIDENTIALITY 6 3(g) SENSITIVE QUESTIONS 6 4. THE RESPONDENTS AND THE INFORMATION REQUESTED 6 4(a) RESPONDENTS/STANDARD INDUSTRIAL CLASSIFICATION (SIC) 6 CODES 4(b) INFORMATION REQUESTED 7 4(b)(1) DATA ITEMS, INCLUDING RECORD KEEPING 7 REQUIREMENTS 4(b)(2) RESPONDENT ACTIVIT IES 8
5. THE IFNORMATI ON COLLECTED

– AGENCY ACTIVITIES, COLLECTION 8 METHODOLOGY, AND INFORMAT ION MANAGEMENT 5(a) STATE AND LOCAL AGENCY ACTIVIT IES 8 5(b) COLLECTION METHODOLOGY AND MANAGEMENT 8 5(c) SMALL ENTITY FLEXIBILIT Y 9 5(c)(1) MEASURES TO AVERT IMPACTS ON SMALL ENTITIES 9 5(c)(2) MEASURES TO MITIGATE IMPACTS ON SMALL ENTITIES 10 5(d) COLLECTION SCHEDULE 10iii

6. ESTIMATING THE BURD EN AND COST OF THE COLLECTION 10 6(a) ESTIMATING RESPONDENT BURDEN 10 6(b) ESTIMATING RESPONDENT COSTS 11 6(b)(i) ESTIMATING LABOR COSTS 11 6(b)(ii) ESTIMATING CAPITAL AND OPERATIONS AND 12 MAINTENANCE COSTS 6(b)(iii)CAPITAL/START

- UP OPERATING AND MAINTENANCE 1 3 (O&M) COST 6(b)(iv)ANNUALIZING CAPITAL COSTS 1 3 6(c) ESTIMATING AGENCY BURDEN AN D COST 13 6(d) ESTIMATING THE RESPONDENT UNIVERSE AND TOTAL 14 BURDEN AND COSTS 6(e) BOTTOM LINE BURDEN HOURS AND COSTS TABLES 15 6(e)(i) RESP ONDENT TALLY 1 5 6(e)(ii) THE AGENCY TALLY 1 5 6(f) REASONS FOR CHANGE IN BURDEN 1 5 6(g ) BURDEN STATEMENT 16
Appendix A: IN FORMATION REQUIREMENTS 21iv LIST OF TABLES
Page

4

- 1 Prim ary

NSR Respondents by

SI C Code 7
6

- 1 Industry

Res pondent Burden and Costs 17
6

- 2 State and L ocal Agency Burden and costs 18
6

- 3 A gency

Burden and Costs 19
6

- 4 NSR Program Information Collection Burden Summary 201

1. ID ENTIFIC ATION OF THE INFORMATION COLLECTION 1(a) TI TL E OF THE INFORMATION COLLECTION REQUST (I CR) This report is entitled Prevention of Significant Deterioration and Nonattainment New Source Review , EPA ICR number 1230.23, OMB control numbe r 2060

- 0003. 1(b) ABSTRACT/EXECUTIVE SUMMARY The anal ys es in this document have been performed in support of a renewal of the New Source Review (NSR) Program Information Collection Request (I CR) (Office of Management and Budget (OMB ) Control Number 2060

- 0003 ; EPA Number 1230.23 ). The regulations covered under this ICR are contained in parts 51 and 52 of Title 40 of the Code of Federal Regulations ( CFR ). These requirements govern the State and Federal programs for preconstruction re view and permitting of major new and modified sources pursuant to Part C “Prevention of Significant Deterioration” (PSD) and Part D “Program Requirements for Nonattainment Areas” of the Clean Air Act (CAA). The types of information collection activities a ddressed in this I CR are those necessary for the preparation and submittal of construction permit applications and the issuance of final permits. Specific burden

- producing activities are listed in Appendix A. The administrative, reporting, and record keeping burden for industry respondents (permit applicants), State and local implementing agencies and the Environmental Protection Agency are summarized in Table 6

- 4. The NSR Program I CR was last renewed in November , 2004. Since th is renewal of this ICR, the estimated number of respondents has increased b y 51 as a result of the decision b y the U.S. Court of Appeals for the D.C. Circuit to vacate the Clean Units and Pollution Control Project Exclusion provisions of the NSR Program

. See New York v. EPA , 413 F. 3d 3 (D.C. cir. 2005)

. T he EPA is proceeding with implementation of the PM 2.5 NSR program and these changes were addressed in a revised ICR completed in May , 2008 1 . For sources that must obtain major NSR permits, the change in burden increased 38, 875 hours. For the reviewing authorities, the increase in burden is 16,107 hours. Relative to the entire currentl y approved 2004 NSR Program I CR, this represents about a one percent increase in average annual burden. The 2007 renewal ICR for the NSR programs estimated the burden at approximately $ 487 million per year for 150,82 1 respondents. The change (net increase) in burden estimate is partially due to use of current labor rates for the respondents and EPA (“Agen cy”) as well as an increase in respondents subject to NSR after the Clean Units and Pollution Control Project Exclusion pro visions were vacated. Consequentl y the estimated burden for the program is about 3.5 million hours to industry with a cost of $302 mi llion and about 2.4 million hours to

1 U.S. Environmental Protection Agency, Office of Air Quality Planning and Standards Information Collection Request for changes to 40 CFR Part 51 and 52 Prevention of Significant Deterioration and Nonattainment New Source Revew: Final Rule for Implementation of the New Source Review (NSR) Program for Particulate Matter Less Than 2.5 Micrometers (PM 2.5 ). October 2007.2

permitting agencies with a cost of $185 million, for a total respondent cost of $48 7 million per ye ar. The costs are b ased on an annual average of 282 Part C major NSR permit applications (industrial respondents), 519 Part D major NSR permit applications , and 74,591 minor NSR actions. The Agenc y expects its costs will be $78 5 ,000 per year. The hourly labor costs for respondents were re

- estimated as described in section (6)(b) to account for increases in the labor rate s from 200 4 to 2007

. Table 6

- 1 identifies the changes in hourl y rates and total hours to estimate industry’s cost per source for each t yp e of permit. The estimated tot al cost to industry is approximately $302 million. On a per source (response) basis, these costs are approximately $ 125,000 for each Part C pe rmit, $ 62,600 fo r each Part D permit, and $3,100 for each minor NSR permit. The Part C per permit c ost includes a direct cost of $ 11.4 million for 34 permit applicants who must conduct prec onstruction air quality monitoring.
1(c) PAPERWORK REDUCTION ACT REQUIREMENTS
For an y existing rule, § 3507(g) of the Paperwork Reduction Act (PRA) limits the amount of time that a Director may approve a collection of inform ation to three ye ars. Consequently , the annual burden estimates are calculated for the three

- year period beginning May , 2008 and ending May , 2011

. Except for information collections in notices of proposed rules or those exempted under the emergency

pro cessing provisions of 44 U.S.C. § 3507(j), the PRA requires EPA to solicit comments on each proposed information collection, including the renewal or modification of any existing I CR. This I CR renewal and its supporting statement were publicly noticed in the Federal Register to solicit comments on the data, analy ses, and conclusions. Revisions to this supporting statement are complete and the ICR will be submitted to OMB for approval. The information that this ICR covers is required for the submittal of a complete permit application for the construction or modification of all major new stationary sources of pollutants in attainment and nonattainment areas, as well as for applicable minor stationary sources of pollutants. EPA certifies that the informatio n collection is necessary for the proper performance of EPA’s functions, and that it has practical utility; is not unnecessaril y duplicative of information EPA otherwise can reasonabl y access; and reduces, to the extent practicable and appropriate, the burden on persons providing the information to or for EPA.
2. NEED FOR AND USE OF THE COLLECTION 2(a) NEED/AUTHORITY FOR THE COLLECTION Section 110 of the Clean Air Act (CAA) requires all States to submit an implementation plan which contains a preconstruction review program for all major new or modified stationary sources, including an y provisions necessary for this program to meet the specific requirements of Parts C and D of Title I of the CAA related to major construction. Sectio n 110(a)(2)(C) of the3

CAA requires that no new or modified stationary source, in conjunction with existing source emissions in the same area, can interfere with the attainment or maintenance of the National Ambient Air Quality

Standards (NAAQS). It furthe r requires that no source can construct without securing a permit to ensure that the objectives of Parts C and D of the CAA are met. Part C of Title Iof the CAA outlines specific construction requirements for new and modified sources constructing in areas that do not violate the NAAQS. These requirements are more commonly

referred to as the prevention of significant deterioration (PSD) rules, which require a prospective major new or modified source to: (1) demonstrate that the NAAQS and increments will not be exceeded, (2) ensure the application of best available control technology (BACT), and (3) protect Federal Class I areas from adverse impacts, including adverse impacts on air quality

related values (AQRVs). Similarly , Part D of Title Iof the CAA specifies requirements for major new and modified sources constructing in areas de signated as nonattainment for a NAAQS pursuant to Section 107 of the CAA. The Part D provisions also apply to major source permitting in the Northea st Ozone Transport Region as established under Section 184 of the CAA. The Part D rules generally

require a prospective major construction project to: (1) ensure the application of controls which will achieve the lowest achievable emission rate (LAER), (2 ) certify that all major sources in a State which are owned or controlled by the same person (or persons) are in compliance with all air emissions regulations, and (3) secure reductions in existing source emissions to comply

with specific statutory

offset ratios and are otherwise, equal to, or greater than those reductions necessary to show attainment and maintenance of the applicable NAAQS (offsets). 2(b) PRACTI CAL UTILITY/USERS OF THE DATA Before the owner or operator of a facility can commence construction or modification of its source, it must comply with all applicable construction permit requirements. The owner or operator of a stationary

source must develop or collect all relevant information not otherwise available to the Fe deral, State, or local permitting authority (PA). The PA reviews the application materials submitted by the owner or operator and either declares the permit application complete for processing or provides the owner or operator guidance on how to correct the deficiencies in the application. If the application has deficiencies, the applicant collects an y additional data identified by the PA so that the permit application can be deemed “complete.” Although sufficient information must be submitted by the app licant before its permit can be classified as complete, some additional clarifying information can be submitted at a later date b y the applicant to assist the PA in processing the permit application. For major sources to be constructed or modified in att ainment areas, the PA uses the permit application information to determine: (1) whether the source will cause or contribute to a violation of the NAAQS and air qualit y increments, (2) if the technology the source is proposing is BACT, and (3) whether the source's emissions will adversel y affect an y Federal Class I areas, including AQRVs in these areas. For major sources to be constructed or modified in nonattainment areas, the permit application information is used by the PA to determine whether:4

(1) the source will appl y LAER, (2) the source will have secured the required emissions offsets, and (3) the source has demonstrated that all other of its major sources in the same State are in compliance with all applicable air emissions regulations. Once th e application is complete, the PA makes a preliminary determination regarding the approvability

of the permit application. This determination, along with the application and supporting information, is made available to the public for at least 30 day s. Th e PA must then respond to public comments and take action on the final permit. Ty picall y a final action must be taken on a permit by

the PA within one year of receipt of a complete application. In addition, the public and other permit applicants may u se some of the data collected. EPA operates a RACT/BACT/LAER Clearinghouse (RBLC) 1 which contains many BACT and LAER determinations to aid applicants and reviewers in identifying reasonable and available control technologies. The Clean Air Act Amendments require that the BACT or LAER information in each permit must be gathered b y the PA and submitted for entry into the RBLC database as a reference for making future control technology determinations. Annual reports containing RBL C update information are a lso available to the public through the National Technical Information Service.
3. NONDUPLICATION, CONSUL TATIONS, AND OTHER COLLECTION CRI TERIA 3(a) NONDUPLICATION The information collection activities required under the NSR regul ations are not routinely performed elsewhere b y EPA. However, similar information may be collected during the development of certain environmental impact statements (EIS). In such cases, regulations and policies require that information collected for EI S 's and NSR programs be coordinated to the maximum extent possible so as to minimize duplicating the collection of data. Some of the required information also may already be available from States or other federal agencies. However, even when these data ar e available, they are not generall y adequate to address completely

the relevant NSR requirements. 3(b) PUBLIC NOTICE REQUIRED PRI OR TO IC R SUBMI SSI ON TO OMB The first public notice of this I CR renewal was published in the November , 30 , 2007 F ederal R egi ster (FR)

. N o comments were received by the closing date, January , 29, 2008

. However, active consultation conducted for the IC R i s discussed in section 3(c)

.

2 The RBLC is available on the OAQPS Technology Transfer Network. Access to the RBL C on the TTN is via a computer through Internet access

– http://cfpub.epa.gov/rblc/htm/bl02.cfm

. For assistance i n accessing the TTN, contact the TTN Help Desk at (919) 541

- 4814 in Research Triangle Park, North Carolina, 1:00 p.m. to 5:00 p.m. Eastern Time. http://www.epa.gov/ttn/5

3(c) CONSUL TAT IONS This I CR is a renewal of the existing I CR for the NSR p rogram. It incorporates the base elements of the program which have not been changed for this renewal plus the vacated provisions for the Clean Units and Pollution Control Project Exclusion. Extensive consultation through public hearings and stakeholder m eetings with environmental groups; industry ; and state, local, and federal agency representatives were conducted previousl y for the ru les included in this I CR

. Also, EPA contacted the National Association of Clean Air Agencies (NACAA), and received comment s from three of its members in January 2008. Consistent with NACAA’s input during that consultation period, changes have been made to the burden estimates for certain activities performed b y permitting authorities. This is des c ribed more fully in section 6 (a)

. 3(d) EFFECTS OF LESS FREQUENT COLLECTION The Act defines the rate of reporting b y sources, states, and local entities. Consequently , less frequent collection is not possible. 3(e) GENERAL GUIDELINES
O MB's general guidelines for information collections must be adhered to by all Federal Agencies for approval of any rulemaking's collection methodology . In accordance with the requirements of 5 CFR 1320.5, the Agency believes:
1. The NSR regulations do no t require periodic reporting more frequently than semi

annually

. 2. The NSR regulations do not require respondents to participate in any statistical survey

. 3. Written responses to Agency inquiries are not required to be submitted in less than thirty day s. 4. Special consideration has been given in the design of the NSR program to ensure that the requirements are, to the greatest extent possible, the same for Federal requirements and those reviewing authorities who already have preconstruction permitting pr ograms in place. 5. Confidential, proprietary , and trade secret information necessary for the completeness of the respondent's permit are protected from disclosure under the requirements of §503(e) and §114(c) of the Act. 6. The NSR regulations do not req uire more that one original and two copies of the permit application, update, or revision to be submitted to the Agency

. 7. Respondents do not receive remuneration for the preparation of reports required by the Act or parts 51 or 52. 8. To the greatest ext ent possible, the Agency has taken advantage of automated methods of reporting. 9. The Agency

believes the impact of NSR regulations on small entities to be insignificant and not disproportionate.6

The recordkeeping and reporting requirements contained in the current NSR program and the changes made in this rulemaking do not exceed any of the Paperwork Reduction Act guide

lines contained in 5 CFR 1320.5, except for the guideline which limits retention of records b y respondents to three ye ars. The Act r equires both respondents and State or local agencies to retain records for a period of five ye ars. The justification for this exception is found in 28 U.S.C. 2462, which specifies five years as the general statute of limitations for Federal claims in re sponse to violations by

regu lated entities. The decision in U.S. v. Conoco, Inc. , No. 83

- 1916

- E (W.D. Okla., January 23, 1984) found that the five year general statute of limitations applied to the Clean Air Act. 3(f) CONFIDENTIALITY Confidentiality

is not an issue for the NSR program. In accordance with Title V, Section 503 (e), the information that is to be submitted by sources as a part of their permit application and update, applications for revisions, and renewals is a matter of public record. To the extent that the information required for the completeness of a Federal permit is proprietary , confidential, or of a nature that it could impair the ability of the source to maintain its market position, that information is co llected and handled according to EPA's policies set forth in Title 40, Chapter 1, Part 2, Subpart B

-- Confidentiality of Business Information (see 40 CFR 2). States ty picall y have similar provisions. 3(g) SENSI TIVE QUESTIONS The con sideration of sensitive questions, (i.e., sexual, religious, personal or other private matters), is not applicable to the NSR program. The information gathered for purposes of establishing an operating permit for a source do not include personal data on any owner or operator. 4. THE RESPONDENTS AND THE INFORMATION REQUESTED 4(a) RESPONDENTS/STANDARD INDUSTRIAL CLASSIFI CATION (SI C) CODES Table 4

- 1 lists the industrial groups the EPA expects will contain the majority of the industria l respondents affected b y the NSR program. These categories were chosen because of their historic relative incidence in seeking NSR permits as established in prior I CRs and confirmed b y a nationwide air pollutant emission inventory developed b y the EPA in 1986

- 87. These industries have been used as the basis for impact anal ys is since that inventory

.7 Table 4
- 1. Most Numerous Industrial Respondents by Industrial Group Ind ustry Group SI C NAI CS † Steam Electric Plants 491 221111, 22112, 22113, 221119, 221121, 221122 Petroleum Refining 291 32411 Chemical Processes 281 325181, 32512, 325131, 325182, 211112, 325998, 331311, 325188 Natural Gas Transport 492 48621, 22121, 4862 1 Pulp Mills 261 32211, 322121, 322122, 32213 Paper Mills 262 322121, 322122 Automobile Manufacturing 371 336111, 336112, 33612, 336211, 336992, 336322, 33633, 33634, 33635, 336399, 336212, 336213 Pharmaceuticals 283 325411, 325412, 325413, 325414
† 1997 North American Industry Classification S ys tem The respondents also include State and local air regulatory agencies. Because of the national scope of the NSR program, these governmental respondents are in all 50 States. 4(b) IN FORMAT ION REQUESTED 4(b)(1) DATA IT EMS, INCLUDI NG RECORD KEEPING REQUIREMENTS Tables A

- 1 and A

- 2 of Appendix A summarize the respondent data and information requirements which owners or operators of major sources must include in PSD and nonattainment N SR construction permit applications. The tables also include the appropriate references in 40 CFR part 51 for the data and information requirements that govern the way States implement NSR programs. For each reference in Part 51, corresponding language w ill be found in part 52. In this ICR anal ys is, the minor source burden is for owners or operators of minor sources to submit information to demonstrate that they are exempt from the major source construction permit requirements. Once exempt from major so urce requirements of either PSD or Nonattainment NSR, owners or operators will not have to comply with all of the respective requirements shown in Appendix A, Tables A

- 1 and A

- 2.8

4(b)(2) RESPONDENT ACTIVITIES Table 6

- 1 lists the a ctivities, burden, and estimated costs of the NSR activities required under 40 CFR parts 51 and 52. These activities include three broad categories: Preparation and Planning; Data Collection and Anal ys is; and Permit Application. Within each of these categ ories, further subdivision of a source’s activities can be found. The Agency anticipates it will take 282 Part C major sources an average of approximately 866 hours to complete each NSR application, for a total of 244 , 212 hours. Each of the 519 Part D NSR sources will require an average of 642 hours, or a total of approximately 333 , 198 hours each year , to complete Part D NSR applications. Each minor source will require 40 hours to complete its NSR application requirements, f or a total of 2,98 3 , 640 hours.
5. THE INFORMATION COLLECTED

– AGENCY ACTIVITIES, COLLECTI ON METHODOLOGY, AND INFORMATION MANAGEMENT 5(a) STATE AND LOCAL AGENCY ACTIVITIES Table A

- 3 of Appendix A summarizes the data and information requirements which State and loc al agencies must meet. Table A

- 3 also shows the Part 51 references for the data and information requirements specified. The appropriate language from the CAA, 40 CFR 51 and 40 CFR 52 for State and local agencies is also included. 5(b) COLLE CTIO N METHODO LOGY AND MANAGEMENT The owners and operators of new or modified stationary sources affected by

the NSR regulations will be responsible for submitting construction permit applications to the PA. The PA will log in permit applications , store applications in a central filing location at the PA, notify the Federal Land Manager (FLM) and provide a copy of the application (if applicable), and transmit copies of each application to EPA. Once construction permits have been approved, the rev iewing authorit y will submit control technology information to EPA's RBL C database. Because the construction permits and associated control technology determinations are performed on a case

- by

- case basis, the regulations will not contain additional forms that owners or operators would have to fill out and submit to the PA. States will likely use their current permit application forms for NSR purposes. Qualified personnel who work for the PA will perform permit reviews and check the quality of data submi tted by

the applicant on a case

- by

- case basis. The applicant will be required to submit information on how the data were obtained ( e.g. , indicate whether emissions data were obtained through the use of emissions factors or test data) and how the calculati ons were performed. The PA personnel will check data quality by reviewing test data and checking engineering calculations, and by reviewing control technology determinations for similar sources. The RBLC and other sources will be reviewed for information on control technology determinations made for sources similar to the sources included in the permit application. Confidential information submitted by the applicant will be handled by the permit reviewing authority 's confidential information handling pro cedures. The public will be provided the9

opportunity

to review a permit application and other materials relevant to the PA’s decision on issuing the permit, including FLM findings, by obtaining a copy

from the permit reviewing authority or b y attending th e public hearing. The NSR regulations will not require information through an y typ e of survey

. Table 6

- 2 lists the State and local agency burden and costs associated with the major NSR permitting rule, as modified by the final NSR Reform rule changes. As is the case with the respondents, State and local agencies that approve NSR permits will only have start

- up costs for any given permit. Consequently , while the State or local agency will approve many

permits each ye ar, the annual burden for that func tion is simply equal to the burden found in any one year. 5(c) SMALL ENT ITY FLEXIBILITY The Regulatory

Flexibility

Act (RFA) requires regulatory agencies, upon regulatory action, to assess that actions potential impact on small e ntities (businesses, governments, and small non

- governmental organizations) and report the results of the assessments in (1) an Initial Regulatory

Flexibility

Analy sis (IRFA), (2) a Final Regulatory Flexibility

Analy sis (FRFA), and (3) a Certification. For ICR approval, the Agency must demonstrate that it "has taken all practicable steps to develop separate and simplified requirements for small businesses and other small entities" (5 CFR 1320.6(h)). In addition, the agencies must assure through various mec hanisms that small entities are given an opportunity to participate in the rulemaking process. A Regulatory

Flexibility

Act Screening Anal ys is (RFASA) developed as part of a 1994 draft Regulatory

Impact Analy sis (RIA) and incorporated into the Septembe r 1995 ICR renewal anal ys is reported an initial regulatory flexibility

screening anal ys is showed that the changes to the NSR program due to the 1990 Clean Air Act amendments would not have an adverse impact on small entities. 2 This analysis encompassed the entire universe of applicable major sources that were likel y to also be small

- businesses. The Agency estimates there are approximately 50 “small business” major sources. 3 Because the administrative burden of the NSR program are the primary source of the NSR program’s regulatory costs, the analy sis estimated a negligible “cost to sales” (regulatory

cost divided by

the business category

mean revenue) ratio for this source group. Currentl y, there is no economic basis for a different conclusion at this time. 5(c)(1) MEASURES TO AVERT IMPACTS ON SMALL ENTITIES The Agency

may not, under an y ci rcumstances, exempt a major source of air pollution. Since the impacts of NSR regulations which may impact small entities are predominantly to majo r sources, little room exists for regulatory flexibility

to avert the impact of the proposed rulemaking on small entities through exemption.

3 “Economic Assessment of the Impacts of Part C and D Regulatory Changes,” June 2, 1994. 4 The definition for “small business” employed for all SI C categories in this analy sis was any business employing fewer than 500 employees.10

5(c)(2) MEASURES TO MI TI GATE IM PACTS ON SMALL ENTITIES Even though the NSR program is no t anticipated to have an adverse impact on a significant number of small businesses, measures are in place to assist in those incidental exceptions. Implementation of small business stationary source technical and environmental compliance assistance progr ams, as called for in section 507 of the Act (at the Federal and State levels) can reduce the reporting burden of small entities which are subject to major NSR. These programs may

significantly

alleviate the economic burden on small sources by establishin g: 1) programs to assist small businesses with determining what Act requirements apply to their sources and when they

apply , and 2) guidance on alternative control technology and pollution prevention for small businesses. 5(d) COLLECTION SCHEDULE Respondents are not subjected to a collection schedule per se under NSR permitting regulations of parts 51 and 52. In general, each affected source is required to submit an application as a prerequisite to receiving a construction permit. Preparation of a construction permit application is a one

- time

- onl y activity for each project involving construction of a new source or modification of an existing source. The applicable SIP t ypically states the time period that is necessary

to process a permit application and issue a permit; consequently , a prospective source would be obliged to work backward from the hopeful commencement of construction to determine the optimum submittal date for the application. The NSR permit regulations will not require periodic reporting or survey s. 6. ESTIMATING THE BURDEN AND COST OF THE COLLECTION 6(a) ESTIMATING RESPONDENT BURDEN Burden means the total time, effort, or financial resources expended b y persons to generate, maintain, retain , or disclose or provide information to or for a Federal agency . This includes the time needed to review instructions; develop, acquire, install, and utilize technology and sy stems for the purposes of collecting, validating, and verifying information, pro cessing and maintaining information, and disclosing and providing information; adjust the existing way s to comply with an y previously

applicable instructions and requirements; train personnel to be able to respond to a collection of information; search dat a sources; complete and review the collection of information; and transmit or otherwise disclose the information. The burden estimate should be composed of (1) a total capital and start

- up cost component annualized over its useful life; (2) a total operat ion, maintenance and purchases of services component. Each component should be divided into burden borne directl y b y the respondent and an y services that are contracted out. Table 6

- 1 identifies the average burden by activity for the industrial res pondents. Note that only 34 of the 282 Part C (PSD) permit applications require preconstruction air quality monitoring. The $1.06 million increase in direct costs for preconstruction monitoring from the 2007 IC R for the PM 2.5 NSR Program Final Rule is du e solely t o the application of a 1.09 adjustment factor to obtain a 2007 value.11

The average burden for preparing and submitting minor NSR permit applications reflects a range of estimated burden from 8 to 12 0 hours, depending on the nature of the permit ac tion required. The average assumes the following average burdens for different types of permit actions (percent of total actions in parentheses): 4 0 hours for new minor sources, new s ynthetic minor sources, and sy nthetic

- based modifications ( 30 %); 8 hours for true minor modifications ( 30 %); 120 hours for netting

- based minor modifications ( 20%); and 8 hours for minor/administrative permit revisions ( 20 %). Table 6

- 2 identifies the average burden by activity for the State and local respondents. Estimates are greater than the 2007 IC R for the PM 2.5 NSR Program Final Rule , in part because of the vacature of the Clean Units and Pollution Control Project Exclusion provision

. Additional c hanges were made pursuant to consultation with NACAA to more accur ately ref lect the burdens of the highlighted activities. As this table looks at average amount of time spent activel y working on these activities, numbers are going to vary from permitting authority to permitting authorit y; any time required by

the source participation is accounted for separatel y in Table 6

- 1. Consultation responders indicated that the time required to complete the Part D (nonattainment) permit process is greater than our estimate of 109 hours due to the amount of time required to address the of fset requirement and associated paperwork necessary for the transfer of offsets. We agree that demonstrating offsets does require time; however, we interpret these comments to be towards the wrong dataset. As indicated in Table 6

- 1, the time required to de monstrate offsets is accounted for in the industrial respondent burden and cost. When examining the average application approval burden estimate

– comments indicated a range of 10

- 80 hours, depending on the specific permit. We recognize that some permits will require more time for application approval, while others require less. Our estimate falls within this range; therefore, the estimated average burden per permit for application approval remains 40 hours. Comments also indicate that the length of time required for a minor permit can vary from 40

- 100 hours per permit. We agree that the complexity of the source can at times require a greater number of ho urs than the average 30 we estimated. However, as with the source burden listed above, the range can v ary from 8

- 120 hours. Thus, our estimate of 30 hours seems reasonable to reflect the average burden for a minor permit. Finally , it was suggested that the preliminary burden estimate should be somewhere in the range of 140

- 160 hours for a Part C permit

. Numb ers will vary for preliminary

d etermination, and f or these two permitting authorities, an average of 150 hours is more reasonable. H owever, for some of the112 permitting authorities the average hour s required may be much lower. We acknowledge that this activity can take mor e time than originall y estimated ; therefore, the average number of burden hours for this activity incr e ased from 24 to 36 hours per permit. 6(b) ESTIMATING RESPONDENT COSTS 6(b)(i) Estimating Labor Costs12

In thi s ICR, the entire burden for most respondents (and the Agen cy) is treated as a labor cost. The one exception is for 34 of the 282 Part C (PSD) permit applications that require preconstruction air quality monitoring. This one

- time cost includes pre

- appli cation monitoring of air quality

via contract services. The explanation for the absence of capital and operations and maintenance costs for the remaining respondents appears below in sections 6(b)(ii) and 6(b)(iii). T here is onl y an annual value of the co sts of the ICR burden, which is equal to the cost of the first yearl y outlay . The same annual ICR burden and cost are reported for each ye ar because the EPA projects that the yearly average number of permit applications will be constant over the term of the ICR. In order to improve the accuracy of burden estimates, this renewal ICR uses 200 7 values with the wage rate methods established in the July , 1997 renewal ICR. The 1997 renewal was the source for the extrapolated values used in the 2001 and 2004 renewal ICR s . The single exception is the estimate of pre

- construction ambient air quality costs, which were adjusted from the 200 7 IC R for the PM 2.5 NSR Program Final Rule

. The labor rate used to calculate the industrial respondents’ labor cost is $ 97 .61 /hr . The industrial labor rate was obtained from Table 2 in the Bureau of Labor Statistics (BLS) survey “Employer Costs for Employee Compensation,” S eptember 2007 5 . To determine the rate per hour, a 110% overhead was assumed. The resultant rate e quals $ 97.61 /hr. Following the same assumptions as the 2007 IC R for the PM 2.5 NSR Program Final Rule , 34 of the industrial respondents submitting Part C (PSD) permit applications will conduct pre

construction ambient air quality monitoring 6 . The average cost f or this activity

is estimated to be $ 335,165 , which is the inflation

- adjusted figure used in the October 2007 ICR. The adjustment factor is 1. 09 , the factor used to adjust the industry ’s labor rate. The labor rate used to calculate the State and local respondents’ labor cost is $ 77.22 /hr. This rate was also obtained from the BL S survey 7

. Assume 100% overhead for State and Local Agency L abor. Table 6

- 2 presents the State and local agency respondents’ burden and costs. Their annual cost is equal to the co st of the first year outlay , which recurs each year. 6(b)(ii) Estimating Capital and Operations and Maintenance Costs

5 Industrial Labor Rates obtained from "Employer Costs fo r Em ployee Compensation, Table 2: Employment Costs for Civilian Workers by Occupational and Industry Group," U.S. Dept. of Commerce, BLS, September 2007. 6 U.S. Environmental Protection Agency, Office of Air Quality Planning and Standards. Information Collection Request for changes to 40 CFR Part 51 and 52 Prevention of Significant Deterioration and Nonattainment New Source Revew: Final Rule for Implementation of the New Source Review (NSR) Program for Particulate Matter Less Than 2.5 Micrometers ( PM 2.5 ). October 2007.
7 State and Local Respondent Labor Rates obtained from "Employer Costs for Employee Compensation, Table 4: Employment Costs for State and Local Government Workers by Occupational and Industry Group," U.S. Dept. of Commerce, B LS, September 2007.13

Even if an applicant is a brand new compan y and the prospective source is a “greenfield” source (the EPA estimates less than one perce nt of the combined number of major and minor industrial respondents fit that description) most, and perhaps all, of the equipment needed to prepare permit applications (for example, the computers and basic software) will be part of the source’s business op eration inventory . Furthermore, much of the data and regulatory and policy information for making technology determinations and even models for performing ambient air impact anal ys es are available in electronic form from several different EPA bulletin boards for just the communication charges, which are typically absorbed in routine business overhead expenses. Since the purchase of capital equipment is believed to be an insignificant factor in permit application preparation, the EPA assumes the operation , maintenance, or services for same are negligible. Further, once a permit is issued, there is no operations and maintenance cost associated with it. It remains unaltered unless the source or the permitting authority discovers specific reasons to reexami ne it and change an y conditions or specifications. If purel y administrative, the changes are handled exclusively b y the permitting authority . If changes have the potential for environmental consequences, the action may be significant enough to be counted as a separate and new application, to which a new burden and cost may be ascribed. 6(b)(iii) Capital/Start

- up Operating and Maintenance (O&M) Costs Capital/start

- up and O&M costs are non

- labor related costs. One

- time capital/start

- up costs are incurr ed with the purchase of durable goods needed to provide information. According to the Paperwork Reduction Act, capital/start

- up cost should include among other items, preparations for collecting information such as purchasing computers and software, monit oring, sampling, drilling, and testing equipment. As a practical matter, these costs are not typical of the costs associated with preparing a major source permit application. For the same reason, the O&M costs associated with start

- up capital equipment are zero for most of the sources for this ICR. However, as shown in Table 6

- 1, 34 of the 282 Part C (PSD) permit applications require preconstruction air quality monitoring , which costs $11,396,000

. This one

- time cost includes pre - application monitoring of air qualit y via contract services. 6(b)(iv) Annualizing Capital Costs Ty pically annualized capital cost would be derived from a discounted net present value of the stream of costs that would occur over the life of the permit, or the ICR, whichever is shorter. However, in the case of NSR, there are only labor costs for preparing and processing permit applications. Labor costs are expensed when incurred and not amortized. Therefore, the capital costs for NSR permitting are zero. 6(c) ESTIMATING AGEN CY BURDEN AND COST Staff in EPA’s regional offices typicall y review major NSR permits. The EPA expects its review of NSR permits to comprise the tasks listed in Table 6

- 3. The cost estimate uses a “loaded” labor rate of $43.17 /hr. The rate reflects the assumption that the staff reviewing14

permits are classified as Grade 12 Step 1 . The corresponding salary is loaded with benefits at the rate of 60%. 7 6(d) ESTIMATING THE RESPONDENT UNIVERSE AND TOTAL BURDEN AND COST For the purpose of estimating burden in this ICR, the respondent universe is defined b y the annual number of permit applications prepared by major and minor sources, and the annual number of permit applications processed b y State and local agenci es. We began with the baseline data found in the current ICR (265 Part C, 488 Part D, 74,609 minor NSR) change, from that baseline, we then made several adjustments to reflect the expected effect of the U.S. Court of Appeals for the D.C. Circuit decision to vacate the Clean Units and Pollution Control Project Exclusion provision, as well as consultation with members of NACAA.
T his analy sis uses the 112 reviewing authorities count used by other permitting I CRs and the appropriate source count for indi vidual permit

- related items (e.g., attending pre

- application meetings with the source). The resulting number of respondents for this I CR renewal is then estimated to be as follows:
1. 282 Part C (PSD) permit applications prepared b y industry

. 2. 519 Part D (non attainment) permit applications prepared b y industry

. 3. 74 , 951 minor NSR permit applications prepared by industry

. 4. 282 Part C (PSD) permit applications processed by State and local agencies. 5. 519 Part D (nonattainment) permit applications processed b y State and local agencies. 6. 74,951 minor NSR permit applications processed by State and local agencies.
F or each category

of permit application, the total number of respondents is twice the number of permit applications. Inaddition, e ach reviewing authority must submit changes to its existing SIP program or demonstrate that its existing program s are at least equivalent to EPA ’s new requirements. This SIP revision is a one

- time burden that will occur during the three

- ye ar period. Therefore, the average annual numb er of such revisions is 37.33 per year. This increases the total number of reviewing authority responses to 838 annually

. The total annual effort for industrial respondents submitting Part C (PSD) permit applications is 244,212 hours, and the correspo ndi ng annual cost is $ 35,233 ,000 . The total annual effort for industrial respondents submitting Part D (nonattainment) permit applications is 333 , 198 hours, and the corresponding annual cost is $ 32,523 ,000 . The total annual effort for industrial respondents submitting minor NSR permits is 2, 983,640 hours, and the corresponding annual cost is $ 234,138,000 . For industrial respondents, the overall total annual effort is 3,561,050 hours and $ 301,895 ,000

.

8 The annual salary

for Grade 12 Step 1 in the 2007 General Schedule is $56,301 (http://www.opm.gov/oca/07tables/html/gs.asp). Division by 2080 hrs/hr yields the hourl y rate used in this supporting statement.15

The total annual effort for State and local respondent s processing Part C (PSD) permit applications is 84,882 hours, and the corresponding annual cost is $ 6,555 ,000 . The total annual effort for State and local respondents processing Part D (nonattainment) permit applications is 65,913 hours, and the correspo nding annual cost is $ 5,090 ,000 . The total annual effort for State and local respondents processing minor NSR permits is 2,237,730 hours, and the corresponding annual cost is $ 172,798 ,000

. State and local respondents also will spend approximately 1,493 h ours for SIP revisions due to the PM 2.5 Implementation Final Rule, for an annual cost of $115,000. For the State and local respondents, the overall total annual effort is 2, 390,018 hours and $ 184 , 557 , 000

. 6(e) BOTTOM LINE BURDEN HOURS AND COST TABLES 6(e)(i) Respondent Tall y Table 6

- 4 summarizes the estimated burden and cost to industry respondents, State and local agency

respondents, and the EPA for submittal and processing of NSR permit applications and the issuance of the permi ts. It also includes the cost to the respective respondents and reviewing agencies for nonapplicability findings, which preclude sources from further major source requirements. For industrial and State and local agency respondents, the over all total annu al burden is 5, 951,068 hours and $ 486,452 ,000

. 6(e)(ii) The Agency

Tally The total annual effort for the Agency for processing Part C (P SD) permit applications is 4,230 hours, and the corresponding annual cost is $ 183 ,000. The total annual effort for the Agency for processing Part D (nonattainment) permit applications is 8,304 hours, and the corre sponding annual cost is $358 , 000 . The total annual effort for the Agency for processing minor NSR permits is 5,650 hours, and the corresponding annual cost i s $244,000 . For the Agency , the overa ll total annual effort is 18,184 hours an d $78 5,000

. 6(f) REASONS FOR CHANGE IN BURDEN The burden has changed due in part to a change in the labor rates. As explained in section 6(b)(i) in ord er to improve the accuracy or burden estimates, the rates were recalculated using 2007 values and following the same methodology established in the July

10, 1997 renewal ICR. Also contributing to the increase in burden has been an increase in the number of respondents due to the U.S. Court of Appeals for the D.C. Circuit decision to vacate the Clean Units and Pollution Control Project Exclusion provision of the NSR Program. As a result, there are an additional 51 respondents. Finally , the burden per per mit for Part C major NSR permit applications increased based on active consultation with NACAA, conducted in January , 2008

. The burden per permit for Part D and minor NSR permits are unchanged from the 2007 I CR for NSR PM 2.5 Implementation Final Rule.16

6(g) BURDEN STATEMENT The average annual burden on an industrial respondent submitting a Part C (PSD) permit application is 866 hours . The average annual burden on an industrial respondent submitting a Part D (nonattai nment) perm it application is 642 hours. The average annual burden on an industrial respondent submitting a minor NSR permit application is 40. The average annual burden on a State or local agency respondent processing a Part C (PSD) permit application is 301 hours . The average annual burden on a State or local agency respondent processing a Part D (nonattai nment) permit application is 127 . The average annual burden on a State or local agency respondent processing a minor NSR permit application is 30. Burden means the total time, effort, or financial resources expended b y persons to generate, maintain, retain, or disclose or provide information to or for a Federal agency . This includes the time needed to review instructions; develop, acquire, install, and utiliz e technology and sy stems for the purposes of collecting, validating, verifying, processing, maintaining, disclosing, and providing information; adjust the existing way s to compl y with any previously applicable instructions and requirements; train personne l to be able to respond to a collection of information; search data sources; complete and review the collection of information; and transmit or otherwise disclose the information. An agency may not conduct or sponsor, and a person is not required to respo nd to, a collection of information unless it display s a currently valid OMB control number. The OMB control numbers for EPA’s regulations are listed in 40 CFR part 9 and 48 CFR Chapter 15. To comment on the Agency 's need for this information, the accura cy of the provided burden estimates, and any suggested methods for minimizing respondent burden, including the use of automated collection techniques, EPA has established a public docket for this I CR under Docket ID No. EPA

- HQ

- OAR

- 2004

- 0081, which is avail able for online viewing at www.regulations.gov , or in person viewing at the Air and Radiation Docket and In formation Center in the EPA Docket Cent er (EPA/DC), EPA West, Room 3334 , 1301 Constitution Avenue, NW, Wa shington, DC. The EPA Docket Center Public Reading Room is open from 8:30 a.m. to 4:30 p.m., Monday through Friday , excluding legal holiday s. The telephone number for th e Reading Room is (202) 566

- 1744 , and the telephone number for the Air Docket is (202) 566

- 1742. An electronic version of the public docket i s available at www.regulations.gov . This s i te can be used to submit or view public comments, access the index listing of the contents of the public docket, and to access those documents in the public docket that are available electronically . Once in the sy stem, select “search,” then key in the docket ID number identified above. Also, you can send comments to the Office of Information and Regulatory Affairs, Office of Management and Budget, 725 17th Street, NW, Washington, DC 20503, Attention: Desk Office for EPA. Please include the EPA Docket ID No. EPA

- HQ

- OAR
- 2004

- 0081 and OMB control number 2060

- 0003 in an y correspondence.17 Table 6 - 1. Industrial Respon dent Burden and Cost (A nnual)

Activity Units Hours per Unit An nual

Hours An nual Cost

($1000) I. Part C (PSD) A. Preparation and Planning Determination of Compliance Requirements 282 170 47,940 $4,679 Obtain Guidance on Data Needs 282 120 33,840 $3,303 Preparation of BACT Analysis 282 102 28,764 $2,808 B. Data Collection and Analysis Air Quality Modeling 282 200 56,400 $5,505 Determination of Impact on Air Quality Related Values 282 100 28,200 $2,753 Post

- constructio n Air Quality Monitoring 282 50 14,100 $1,376 C. Permit Application Preparation and Submittal of Permit Application 282 60 16,920 $1,652 Public Hearings 282 24 6,768 $661 Revisions to Permit 282 40 11,280 $1,101 D. Subtotal Burden 866 244,212 $23,838 E. Direct Costs for Pre

- construction Air Quality Monitoring 34 $11,396 F. Total Costs $3 5,233 II. Part D (Non - attainment) A. Preparation and Planning Determination of Compliance Requirements 519 150 77,850 $7,599 Obtain Guidance on Data Needs 519 100 51,900 $5,066 B. Data Collection and Analysis Preparation of LAER Engineering Analysis 519 52 26,988 $2,634 Demonstrate Offsets 519 52 2 6,988 $2,634 Prepare Analysis of Alternative Sites, Processes, etc. 519 60 31,140 $3,040 Air Quality Modeling 519 1 30 67,470 $ 6,586 C. Permit Application Preparation and Submittal of Permit Application 519 49 25,431 $2,482 Public Hearings 519 25 12,975 $1,266 Revisions to Permit 519 24 12,456 $1,216 D. Total 642 333,198 $32,523 III. Minor NSR A. Preparation and Submittal of Minor NSR Permit Application 74,591 40 2,983,640 $234,138 IV. GR AN D TOT AL 75,392 3,561,050 $ 301,89518 Table 6 - 2. State and Local Respondent Burden an d Cost (A nnual)

Activity Units Hours per Unit An nual

Hours An nual

Cost ($1000) I. Part C (PSD) A. Attend Preapplication Meetings 282 36 10,152 $784 B. Answer Respondent Questions 282 20 5,640 $436 C. Log In and Review Data Submissions 282 16 4,512 $348 D. Request Additional Information 282 8 2,256 $174 E. Analyze for and Provide Confidentiality Protection 282 24 6,768 $523 F. Prepare Completed Applications for Processing 282 38 10,716 $827 G. File and Transmit Copies 282 8 2,256 $174 H. Prepare Preliminary Determination 282 36 10,152 $784 I. Prepare Notices for and Attend Public Hearings 282 40 11,280 $871 J. Application Approval 282 48 13,536 $1,045 K. Notification of Applicant of PA Determination 28 2 8 2,256 $174 L. Submittal of Information on BACT/LAER to RBLC 282 19 5,358 $414 M. Total 301 84,882 $6,555 II. Part D (Non - attainment) A. Attend Preapplication Meetings 519 7 3,633 $281 B. Answer Respondent Questions 519 10 5,190 $ 401 C. Log In and Review Data Submissions 519 10 5,190 $401 D. Request Additional Information 519 4 2,076 $160 E. Analyze for and Provide Confidentiality Protection 519 4 2,076 $160 F. Prepare Completed Applications for Processing 519 1 6 8,304 $641 G. File and Transmit Copies 519 4 2,076 $160 H. Prepare Preliminary Determination 519 10 5,190 $401 I. Prepare Notices for and Attend Public Hearings 519 18 9,342 $721 J. Application Approval 519 21 10,899 $842 K. Not ification of Applicant of PA Determination 519 2 1,038 $80 L. Submittal of Information on BACT/LAER to RBLC 519 21 10,899 $842 M. Total 127 65,913 $5,090 III. Minor NSR Total for Preparation and Submittal of Minor NSR Permit Application 74, 591 30 2,237,730 $172,798 IV. SIP Revisions Revision of SIP 37 40 1,493 $115 IV. GR AN D TOT AL 75,429 2,390,018 $184,55719 Table 6 - 3. Ag ency Burden and Cost ( An nual)

Activity Units Hours per Unit An nual Hours An nual

Cost ($1000) I. Part C (PSD) A. Review and Verify Applicability Determination 282 2 564 $24 B. Review Control Technology Determination 282 4 1,128 $49 C. Evaluate Air Quality Monitoring 282 4 1,128 $49 D. Evaluate Alternative and Secondary Impact Analysis 282 2 564 $24 E. Evaluate Class I Area Analysis 282 2 564 $24 F. Administrative Tasks 282 1 282 $12 G. Total 15 4,230 $183 II. Part D (Non - attainment) A. Review and Verify Applicability Determination 519 2 1,038 $45 B. Rev iew Control Technology Determination 519 4 2,076 $90 C. Evaluate Offsets 519 1 519 $22 D. Evaluate Air Quality Monitoring 519 5 2 ,595 $112 E. Evaluate Alternative and Secondary Impact Analysis 519 3 1,557 $67 F. Administrative Tasks 519 1 519 $22 G. Total 16 8,304 $358 III. Minor NSR Review Synthetic/Netting

- Based Minor NSR Permits 2,825 2 5,650 $244 IV. GR AN D TOT AL 3,626 33 18,184 $78520 Table 6 - 4. NSR Program Information Collection Burden Summary Total Per Unit

Part C (PSD) Part D

(Non

attainment) Minor NSR Cumulative Total Part C

(PSD) Part D

(Non

attainment) Minor

NSR Number of Respondents a 563 1,038 149,182 150, 82 1 a +b
Respondent Burden Hours Industry 244,212 333 ,198 2,983,640 3,561,050 866 642 40

State/Local 84,882 65,913 2,237,730 2,390,018 301 127 30 Industry and State/ Local Agency Totals 329,094 399,111 5,221,370 5,951,068 1,167 769 70 Federal (Agency) Burden 4,230 8,304 5,650 18,184 15 16 2 Program Gra nd Total Burden 333,324 407,415 5,227,020 5,969,252

Respondent Annual Cost ($1000 )c Industry Labord $23,838 $32,523 $234,138 $290,499 $84.65 $62.64 $3.14

Other Direct Costs e $11,396 $0 $0 $11,396 $335.17 $0.00 $0.00 Total Industry Costs $35,233 $32,523 $234,138 $301,895 $125.12 $62.64 $3.14 State/Local Costs f $6,555 $5,090 $172,798 $184,557 $23.28 $9.80 $2.32 Industry and State/Local Agency Totals $41,788 $37,613 $406,936 $486,452 Agency Annual Costs ($1000) $183 $358 $244 $785 $0.65 $ 0.69 $0.00 Program Grand Total Costs ($1000) $41,970 $37,972 $407,180 $487,237 $149.04 $73.14 $5.46 (a) Number of respondents is twice the number of permitting actions for a given category due to (1) the applicant preparing t he application and (2) the pe rmitting agency reviewing and issuing the permit. (b) Each of the 112 reviewing authorities must submit one SIP revision to conform their major NSR programs to the revised rul es. The average annual number of such revisions is 112/3 = 37.33 per year. (c) All costs a re in thousands of current (2007 ) dollars. All costs repre sent one

- time pe rmit application costs

. (d) The EPA estimates that 30% of the in

- house hourly burden may be contracted, but because it is at the discretion of the applicant, the cost has not been converted to direct cost. Furthermore EPA assumes the labor rate would remain the same, in which case there is no impact on total annual costs. (e) These direct costs are for 34 (approximat ely 13%) PSD sources at $335,165 per source, for pre

- application monitoring of air quality via contract servi ces. This cost is not incurred by Part D permit applicants. (f) Per unit cost for PSD permits reflects the direct cost for pre

- application monitoring averaged over all PSD permits. The estimated 34 sources that require preconstruction monitoring are estimated t o incur a total cost of $419,697 per applic ation. The others will incur $84,532.21 APPENDIX A

IN FORMAT ION REQUIREMENTS22 TABLE A
- 1. INDUSTRY RESPONDENT DATA AND INFORMATION REQUIREMENTS FOR PREPARING PART C (PSD) CONSTRUCTION PERMITS Current Requirements Regu lation Reference Description of the nature, location, design capacity, and ty pical operating schedule 40 CFR 51.166(n)(2)(I)

Detailed schedule for construction 40 CFR 51.166(n)(2)(ii) Description of continuous emission reduction sy stem, emission estimat es, and other information needed to determine that BACT is used 40 CFR 51.166(n)(2)(iii)
Air quality

impact, meteorological, and topographical data 40 CFR 51.166(n)(3)(I) Nature and extent of, and air quality impacts of general commercial, residential, i ndustrial, and other growth in area of source 40 CFR 51.166(n)(3)(ii)
Use of air quality

models to demonstrate compliance with NAAQS and increment 40 CFR 51.166(k)&(l)
A demonstration that the benefits of the proposed source significantl y outweigh the environmental and social costs imposed as a result of its location, construction, or modification Not a current requirement, but is a 1990 Act Requirement §1 73(a)(5)

In formation necessary

to determine impact on AQRVs in Class Iareas 40 CFR 51.166(n)(4) A ir quality

monitoring data 40 CFR 51.166(m) Impairment of visibility , soils, and vegetation 40 CFR 51.166(o)(1) Air quality

impact resulting from general commercial, residential, industrial, and other growth associated with source 40 CFR 51.166(o)(2)

Written notice of proposed relocation from portable source 40 CFR 51.166(I)(4)(iii)(d) Description of the location, design construction, and operation of building, structure, facility, or installation 40 CFR 51.160(c)(2)
Description of the nature and amounts of emissions to be emitted 40 CFR 51.160(c)(1)23

Description of the air quality data and dispersion or other air quality modeling used 40 CFR 51.160(f)

Sufficient information to ensure attainment and maintenance of NAAQS 40 CFR 51.160(c)

- (e), 40 CFR 51.161

- 16324

Table A
- 2: INDUSTRY RESPONDENT DATA AND INFORMATION

REQUIREMENTS FOR PREPARING PART D (NONATTAINMENT NSR) CONSTRUCTION PERMITS

Requirements Regulation Reference Documentation that LAER is being applied 40 CFR 51.165(a)(2); 40CFR p art 51, Appendix S, Section IV .A; 40 CFR 52.24(k) Documentation that all sources owned or operated by same person are in compliance 40 CFR 51.165(a)(2); 40 CFR part 51, Appendix S, Section IV .A; 40 CFR 52.24(k) Documentation that sufficient emissions red uctions are occurring to comply with specific offset requirements and to ensure RFP 40 CFR 51.165(a)(3); 40 CFR part 51, Appendix S, Section IV .A; 40 CFR 52.24(k) Documentation that benefits of proposed source significantly outweigh the environmental and social costs imposed as a result of its location, construction, or modification 40 CFR 51.165(a)(2)
Description of the location, design construction, and operation of building, structure, facility, or installation 40 CFR 51.160(c)(2) Description of the n ature and amounts of emissions to be emitted 40 CFR 51.160(c)(1) Description of the air quality data and dispersion or other air quality modeling used 40 CFR 51.160(f)
Sufficient information to ensure attainment and maintenance of NAAQS 40 CFR 51.160(c)

- (e) 40 CFR 51.161 40 CFR 51.162 40 CFR 51.16325 TABLE A
- 3. PERMITTING AGENCY DATA AND INFORMATION REQUIREMENTS Requirement Regulation Reference Earl y FLM notification and opportunity to participate in meetings 40 CFR 51.166(p)(1)(ii) S ubmission of all permit applications to EPA 40 CFR 51.166(q)(1) Submission of notice of application, preliminary determination, degree of increment consumption, and opportunity for public comment 40 CFR 51.166(q)(2)(iv)

Submission to FLM of permit applic ations 40 CFR 51.166(p)(1) Submission of written request to exempt sources from review 40 CFR 52.21(I)(4)(vi) Written request for use of innovative control technology 40 CFR 51.166(s) Establishing and operating a permitting program for all new sourc es 40 CFR 51.160 Provide notice to EPA of all permits 40 CFR 51.161(d) Provide for public comment for all NSR permits 40 CFR 51.161