F 
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

BEFORE THE STATE OF INDIANA 

AIR POLLUTION CONTROL BOARD 

PUBLIC MEETING OF FEBRUARY 1, 2012 

ORIGINAL 

PROCEEDINGS 

before the Indiana Air Pollution Control Board, 

11 Dr. James Miner, Chairman, taken before me, 

12 Lindy L. Meyer, Jr., a Notary Public in and for 

13 the State of Indiana, County of Shelby, at the 

14 Plainfield-Guilford Township Public Library, 

15 McMillan B Meeting Room, 1120 Stafford Road, 

16 Plainfield, Indiana, on Wednesday, February 1, 

17 2012 at 12:59 o'clock p.m. 

18 

19 

20 

21 

22 

23 

William F. Daniels, RPR/CP CM d/b/a 

ACCURATE REPORTING OF INDIANA 

12922 Brighton Avenue 

Carmel, Indiana 46032 

(317) 848-0088 

1 
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

i 12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

APPEARANCES: 

BOARD MEMBERS: 

James Miner, M.D., Chairman 

Thomas Anderson 

Randy Staley 

Gregory Kissel 

Chris Horn 

Jeffery L. Quyle 

David Benshoof 

Pamela Fisher, Proxy, Indiana 

Economic Development Corporation 

Ronald D. Clark, Proxy, State Board of 

Health 

Cloyce Hedge, Proxy, Department of 

Natural Resources 

Brandon Seitz, Proxy, Lieutenant 

Governor 

IDEM STAFF MEMBERS: 

Thomas W. Easterly, IDEM Commissioner 

Keith Baugues, Asst. Commissioner 

Roger Letterman, Dep. Asst. Commissioner 

Scott Deloney 

Christine Pedersen 

Ryan Knapick 

Susan Bern 

Rob Elstro 

Ann Long 

Catherine Mitchell 

PUBLIC SPEAKERS: 

Jennifer Thompson 

2 
85 

1 yes. I vote yes as well. This is approved 

2 unanimously for final adoption. 

3 The next item on our agenda is a public 

4 hearing before the Air Pollution Control Board of 

5 the State of Indiana regarding preliminary 

6 adoption of amendments, 326 IAC 2, Particulate 

7 

8 

Matter 2.5 Microns. This is NSR Rule No. 11-251. 

We will now introduce Exhibit 7 -- thank 

9 you, Ms. Pedersen -- the draft rule, into the 

10 record of this hearing. Chris, I've got your 

11 name down as the person to speak to this. 

12 

13 

MS. PEDERSEN: That is correct. 

This rule addresses changes to the Federal 

14 NSR Rules concerning Fine Particles, or PM 2 . 5 • 

15 The NSR program is a preconstruction permitting 

16 program that applies when a source is constructed 

17 or modified. It requires state NSR programs to 

18 address any pollutant and its precursors for 

19 which there is National Ambient Air Quality 

20 Standard. 

21 There are four federal rulemakings that we 

22 are incorporate -- or that we're bringing 

23 language in, into this rulemaking. On May 16th 
86 

1 of 2008, the PM 2 _ 5 New Source Review 

2 Implementation Rule was established. It has 

3 minimum requirements for state permitting 

4 programs related to the 2006 PM2 _5 standard. 

5 On October 20th of 2010, the Prevention of 

6 Significant Deterioration, or PSD, for PM2 _5 on 

7 Increments, Significant Impact Levels, and 

8 Significant Monitoring Concentration was issued. 

9 These are supplemental requirements to the PM 2 _5 

10 NSR Implementation Rule. 

11 Also, November 29th of 2005, there was a 

12 Phase 2 Implementation Rule that includes 

13 requirements related to NSR and PSD for PM 2 _5 . 

14 U.S. EPA has revised the PSD regulations by 

15 identifying nitrogen oxides as an ozone precursor 

16 in attainment and unclassifiable areas, and we 

17 needed to change our rules to incorporate that 

18 back into our rules. 

19 July 20th of 2011, the Deferral for Carbon 

20 Dioxide Emissions from Bioenergy and Other 

21 Biogenic Sources Under the PSD and Title V 

22 Programs, that rulemaking was issued. It amends 

23 the definition of •subject to regulation• to be 
1 consistent with the federal regulatory term to 

2 delay the effective date of carbon dioxide 

3 emissions from these types of sources until 

4 July 21st of 2014. 

5 In addition, we've also made some minor 

6 changes for clarification and consistency, which 

7 were based on comments that we received during 

8 the second comment period. 

9 All changes are consistent with the 

10 federal requirements and do not impose any 

11 requirements beyond what is already in the 

12 federal rules. 

87 

13 IDEM requests that the Board preliminarily 

14 adopt this draft rule. 

15 CHAIRMAN MINER: Thank you, 

16 Christine. 

17 Any questions for Christine regarding the 

18 rule from the Board? 

19 (No response.) 

20 CHAIRMAN MINER: Thank you, 

21 Christine. 

22 

23 

I have once again, this is a public 

hearing. I have no cards submitted regarding 
1 speaking to this rule. Is there anyone present 

2 who wishes to make a comment at this time? 

3 (No response.) 

4 CHAIRMAN MINER: Seeing none, this 

5 hearing is now concluded, and we are ready for 

6 Board action on preliminary adoption of 

88 

7 amendments, 326 IAC 2, PM 2.5 Microns, again, NSR 

8 Rule 11-251. 

9 Any questions or discussions from the 

10 Board regarding preliminary adoption of this 

11 rule? 

12 (No response.) 

13 CHAIRMAN MINER: Seeing none, I would 

14 entertain a motion for preliminary adoption. 

15 

16 

MR. ANDERSON: So moved. 

CHAIRMAN MINER: I have a motion from 

17 Mr. Anderson. 

18 

19 

20 

21 

MR. BENSHOOF: (Raised hand.) 

CHAIRMAN MINER: A second from 

Mr. Benshoof. As this is a preliminary adoption, 

we can do a voice vote. All those in favor, 

22 signify by saying aye. 

23 MR. HORN: Aye. 
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

MR. KISSEL: Aye. 

MR. QUYLE: Aye. 

MR. ANDERSON: Aye. 

MR. BENSHOOF: Aye. 

MS. FISHER: Aye. 

MR. CLARK: Aye. 

MR. HEDGE: Aye. 

MR. SEITZ: Aye. 

MR. STALEY: Aye. 

CHAIRMAN MINER: Aye. 

Opposed? 

(No response.) 

CHAIRMAN MINER: The rule passes. 

As, once again, this is a public hearing, 

15 is there anybody present who wishes to make a 

89 

16 comment before the Board at this time, as we near 

17 the closure of the meeting? 

18 (No response.) 

19 CHAIRMAN MINER: Seeing none, our 

20 next Air Pollution Control Board meeting is 

21 tentatively set for April lOth, 2012, 1:00 p.m., 

22 Indiana Government Center South, Conference 

23 Room C, 402 West Washington, Indianapolis, 
92 

1 CERTIFICATE 

2 I, Lindy L. Meyer, Jr., the undersigned 

3 Court Reporter and Notary Public residing in the 

4 City of Shelbyville, Shelby County, Indiana, do 

5 hereby certify that the foregoing is a true and 

6 correct transcript of the proceedings taken by me 

7 on Wednesday, February 1, 2012 in this matter and 

8 transcribed by me. 

9 

10 

11 Lindy L. Meyer, Jr., 

12 Notary Public in and 

13 for the State of Indiana. 

14 

15 My Commission expires October 27, 2016. 

16 

17 

18 

19 

20 

21 

22 

23 
TITLE 326 AIR POLLUTION CONTROL BOARD 

DRAFT RULE 

LSA Document #11-251 

DIGEST 

EXHIBIT -7 

Amends 326 IAC 1-2, 326 IAC 2-1.1, 326 IAC 2-2, 326 IAC 2-3, 326 IAC 2-5.1, 326 IAC 2-5.5, 

326 IAC 2-6.1, 326 IAC 2-7,326 IAC 2-8,326 IAC 4-1 and 326 IAC 5-1 concerning new source 

review (NSR) provisions for particulate matter less than 2.5 microns (PM2.s), amendments to 

definitions of terms in 326 IAC 2 to defer carbon dioxide (C02) emissions from bioenergy and 

other biogenic sources from greenhouse gas permitting requirements, and amendments necessary 

to identify nitrogen oxides (NOx) as a precursor to ozone. Additionally, IDEM is proposing to 

include a reference to PM2.s at 326 IAC 4-1 and 326 IAC 5-1. Effective 30 days after filing with 

. the Publisher. 

HISTORY 

First Notice of Comment Period: May 4, 2011, Indiana Register (DIN: 20110504-IR326110251FNA). 

Continuation of First Notice of Comment Period: September 7, 2011, Indiana Register 

(DIN: 20110907-IR-326110251FCA). 

Second Notice of Comment Period: December 14, 2011, Indiana Register (DIN: 

20111214-IR-326110251SNA). 

Notice of First Hearing: December 14, 2011, Indiana Register (DIN: 20111214-IR326110251PHA). 

Date of First Hearing: February 1, 2012. 

326 lAC 1-2-52; 326 lAC 2-1.1-1; 326 lAC 2-1.1-3; 326 lAC 2-2-1; 326 lAC 2-2-4; 326 lAC 

2-2-6; 326 lAC 2-2-14; 326 lAC 2-3-1; 326 lAC 2-3-2; 326 lAC 2-3-3; 326 lAC 2-5.1-2; 326 

lAC 2-5.1-3; 326 lAC 2-5.5-1; 326 lAC 2-6.1-6; 326 lAC 2-7-1; 326 lAC 2-7-10.5; 326 lAC 

2-8-11.1; 326 lAC 4-1-4.1; 326 lAC 5-1-5. 

DRAFT RULE 

SECTION 1. 326 lAC 1·2·52 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 1-2-52 "Particulate matter" or "PM" defined 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15; IC 13-17 

Sec. 52. "Particulate matter" or "PM" means any airborne fmely divided solid or iiquid material, excluding 

uncombined water, with an aerodynamic diameter smaiJer than one hundred (I 00) micrometers (f!m). (Air Pollution 

Control Board; 326 lAC 1-2-52;filedMar 10, 1988, 1:20 p.m.: 11 IR 2374;filedApr 13, 1988, 3:35p.m.: 11 IR 

3020;filedDec 20, 2004, 2:15p.m.: 28 IR 1471) 

SECTION 2. 326 lAC 2-1.1·1, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, 

SECTION 1, IS AMENDED TO READ AS FOLLOWS: 

1 
326 lAC 2-1.1-1 Definitions 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-11-2; IC 13-15; IC 13-17 

Sec. 1. For purposes ofthis article, the defmition given for a term in this rule shall control in any conflict 

between 326 lAC 1-2 and this article. In addition to the definitions provided in IC 13-11-2 and 326 lAC 1-2, the 

followilig definitions apply throughout this article unless expressly stated otherwise or unless the context clearly 

implies otherwise: 

(1) "Authorized individual" means an individual responsible for the overall operation of one (1) or more 

manufacturing, production, or operating plants or a duly authorized representative of the person. For any 

public agency, the term means either a ranking elected official, the chief executive officer, or a designated 

representative of the person having responsibility for the overall operations of a principal geographic unit 

of the agency. 

(2) "Direct PM2.5" means solid particles emitted directly from an air emissions source or activity, or 

gaseous emissions or liquid droplets from an air emissions source or activity that condense to form 

PM2,5 at ambient temperatures. Direct PM2,

5 emissions include elemental carbon, directly emitted 

organic carbon, directly emitted sulfate, directly emitted nitrate, and other inorganic particles, 

including, but not limited to, crustal material, metals, and sea salt. 

(;lj (3) "General permit" means a permit that is applicable to a class or category of sources or modifications 

thereto, whether or not under common ownership or control, that are subject to similar applicable 

requirements. 

t-8 (4) "Minor source" means any source or facility to which 326 lAC 2-5.1 applies, but to which neither 

326 lAC 2-2 nor 326 lAC 2-3 applies. 

(41 (5) 11New emissions lll1it11 means an emissions unit for which construction commences on or after 

December 25, 1998. 

~ (6) "New portable source" means any portable operation that: 

(A) has not commenced construction as of December 25, 1998; or 

(B) does not have a valid operating permit as ofDecember 25, 1998. 

f61 (7) 11New source 11 means a source for which construction commences on or after December 25, 1998, 

that will be constructed: 

(A) on undeveloped land; or 

(B) at a location for which a valid permit has not been issued. 

\'71 (8) "Opacity" means the degree to which emissions reduce the transmission of light and obscure the 

view of an object in the background. 

t&1 (9) "Operation" means: 

(A) a single piece of equipment or multiple pieces of like equipment; 

(B) a process or multiple like processes; 

(C) a plant or multiple like plants; or 

(D) any combination of clauses (A) through (C); 

that performs similar functions or when operated together produces similar products. The term includes 

equipment or tecimology modifications, process or procedure modifications, reformulation or redesign of 

products, substitution of raw materials, and improvements in housekeeping, maintenance, training, or 

inventory control. The term does not include recycling, energy recovery, treatment, disposal, or the use of 

any add-on air pollution control tecimology. 

(10) "PM10" has the meaning set forth at 326 lAC 1-2-52.4 and, for purposes of this article, includes 

gaseous emissions or liquid droplets from an air emissions source or activity that condense to form 

PM10 at ambient temperatures. 

f91 (11) "Portable source" means any operation, process, or emissions unit, other than mobile sources, that 

emits or has the potential to emit any regulated air pollutant and is specifically designed to be and capable 

of being moved from one(!) location or site to another location or site and is moved to other locations or 

. sites at least one (1) time during the term of the permit. Indicia of transportability include, but are not 

limited to: 

2 
(A) wheels; 

(B) skids; 

(C) trailer; or 

(D) platform. 

f±ll1 (12) "Potential to emit" means the maximum capacity of a stationary source or emissions unit to emit 

any air pollutant under its physical and operational design. Any physical or operational limitation on the 

capacity of a source to emit an air pollutant, including air pollution control equipment and restrictions on 

hours of operation or type or amount of material combusted, stored, or processed, shall be treated as part of 

its design if the limitation is enforceable by the U.S. EPA, the department, or the appropriate local air 

pollution control agency. The term does not alter or affect the use of potential to emit for any other purpose 

under the CAA, (or "capacity factor" as used in Title IV of the CAA) or the regulations promulgated 

thereunder. 

8-B (13) "Process" means any combination of equipment that is physically connected and operated in 

sequence that, when the process is operated, could operate independently to: 

(A) generate energy; 

(B) refme or produce materials or parts; or 

(C) produce a fmished product. 

(Air Pollution Control Board; 326 lAC 2-1.1-1;[1/edNov 25, 1998, 12:13 p.m.: 22 IR 980; errata filed May 12, 

1999, ll:23 a.m.: 22 IR 3105;filed Oct 1, 2010, 3:48p.m.: 20101027-IR-326070372FRA) 

SECTION 3. 326 lAC 2-1.1-3, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, 

SECTION 2, IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-1.1-3 Exemptions 

Authority: IC 13-14-8; IC 13-15-2; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15; IC 13-17 

Sec. 3. (a) The operation of a source that consists solely of emission units, operations, or processes 

identified in this section is exempt from the registration and permitting requirements ofthis article unless the 

potential to emit any regulated pollutant from the entire source exceeds an emission threshold establishing the 

requirement to have a registration or permit under this article. 

(b) (V aided by P.L.ll2-2000, SECTION 7, effective March 16, 2000.) 

(c) Construction or modification of any emission unit, operation, or process identified in this section is 

exempt from the new source requirements in 326 lAC 2-5.1-2 for registrations, new source requirements in 326 lAC 

2-5.1-3 for permits, modification approval requirements in 326 lAC 2-7-10.5, and permit revision requirements in 

326 lAC 2-6.1-6 and 326 lAC 2-8-11.1, unless the constrnction or modification: 

(I) is subject to federal prevention of significant deterioration (PSD) requirements as set out in 326 lAC 2-2 

and 40 CFR 52.21 *; 

(2) is subject to nonattainrnent new source review requirements as set out in 326 lAC 2-3; 

(3) is located at a source that has an operating permit issued under 326 lAC 2-7, where the construction or 

modification would be considered a Title I modification under 40 CFR Part 70*; or 

(4) would result in the source needing to make a transition to an operating permit issued under 326 lAC 2-

6.1, 326 lAC 2-7, or 326 lAC 2-8. 

(d) The new source requirements of326 lAC 2-5.1-2 for registrations and 326 lAC 2-5.1-3 for permits, 

including the requirement to submit an application, do not apply to new or modifications to existing sources as 

follows: 

(1) New sources or modifications to existing sources that obtain and comply with one (1) of the following 

enforceable operating agreements under 326 lAC 2-9: 

(A) 326 lAC 2-9-2.5 or 326 lAC 2-9-3 for surface coating operations. 

(B) 326 lAC 2-9-4(b) through 326 lAC 2-9-4( d) and 326 lAC 2-9-4(f) for woodworking 

operations. 

3 
(C) 326 lAC 2-9-5 for abrasive cleaning operations. 

(D) 326 lAC 2-9-7(b)(l) for sand and gravel operations. 

(E) 326 lAC 2-9-8(b )(!) for CJushed stone processing plants. 

(F) 326 lAC 2-9-9 for concrete batch operations. 

(G) 326 lAC 2-9-10 for coal mines and coal preparation plants that: 

(i) have provided public notice under 312 lAC 25-4-1 08; and 

(ii) included a reference of the application for an operating agreement in the notice. 

(H) 326 lAC 2-9-11 for automobile refmishing operations. 

(I) 326 lAC 2-9-12 for degreasing operations. 

(2) New sources or modifications to existing sources that obtain and comply with up to four (4) of the 

enforceable operating agreements under 326 lAC 2-9 ifthe total source potential to emit is less than the 

following thresholds: 

(A) Twenty-five (25) tons per year of either partioolate ma!!er PM, 61' partis!ila!e matteF less than 

ten f±ll1 misrons PM10, or direct PM2,

5• 

(B) Twenty-five (25) tons per year of the following pollutants: 

(i) Snlfur dioxide (S02). 

(ii) Nitrogen oxides (NOx). 

(C) Twenty-five (25) tons per year ofVOC for sources that are not described by clause (D). 

(D) Twenty-five (25) tons per year ofVOC for sources that require the use of air pollution control 

equipment to comply with the applicable provisions of 326 lAC 8. 

(E) One hundred (100) tons per year of carbon monoxide (CO). 

(F) Five (5) tons per year oflead (Pb). 

(G) Twenty-five (25) tons per year of the following regulated air pollutants: 

(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

(3) New sources that comply with the limitations set forth in 326 lAC 2-11. 

( 4) New sources eligible for and obtaining a general permit that includes emissions limits that are less than 

tbe applicability thresholds in 326 lAC 2-5.1-2 and 326 lAC 2-5.1-3. 

(5) New sources with the potential to emit less than ten (10) tons per year of a single HAP, as defmed under 

Section 112(b) of the CAA, or twenty-five (25) tons per year of any combination of HAPs, and not 

otherwise required to apply for and obtain a registration or permit. 

The exclusion from the new source requirements of326 lAC 2-5.1-2 for registrations and 326 lAC 2-5.1-3 for 

permits under subdivisions (1) through (4) shall only apply to those rules and rule sections that have been approved 

by the U.S. EPA as part of the SIP. 

(e) Except for modifications subject to 326 lAC 2-2 or 326 lAC 2-3, the new source requirements of326 

lAC 2-5.1-2 for registrations and 326 lAC 2-5.1-3 for permits, the modification approval requirements under 326 

lAC 2-7-10.5, and the permit revision requirements under 326 lAC 2-6.1-6 and 326 lAC 2-8-11.1, including the 

requirement to submit an application, do not apply to the following: 

(I) New sources or modifications to existing sources that are proposed to be operated or constructed, that 

have the potential to emit less than the following amounts: 

(A) Five (5) tons per year of either particulate ma!!er PM, 61' partieulate ma!!er with an 

aereaynamie diameteF less than ten f±ll1 misromet&s PMw, or direct PM2.s. 

(B) Ten (10) tons per year of sulfur dioxide (S02). 

(C) Ten (10) tons per year of nitrogen oxides (NOJ. 

(D) Ten (10) tons per year ofVOC for sources or modifications. 

(E) Twenty-five (25) tons per year of carbon monoxide (CO). 

(F) Two-tenths (0.2) ton per year oflead (Pb). 

(G) One (I) ton per year of a single HAP or two and one-half(2.5) tons per year of any 

combination of HAPs listed pursuant to Section 112(b) of the CAA. 

(H) Five (5) tons per year of the following regulated air pollutants: 

4 
(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

(2) Modifications of existing sources that consist of only an emissions unit or units or process or processes 

whose primary pnrpose is to conduct research and development into new processes and products, provided 

the modification: 

(A) is operated under the close supervision of technically trained personnel; 

(B) is conducted for the primary pnrpose of theoretical research or research and development into 

new or improved processes and products; 

(C) does not manufacture more than de minimis amounts of commercial products; 

(D) does not contribute to the manufacture of commercial products by collocated sources in more 

than a de minimis marmer; and 

(E) is not subject to 326 IAC 2-2 or 326 IAC 2-3. 

(3) New sources or modifications of existing sources that consist of only a laboratory as defined in this 

subdivision. As used in this subdivision, 11 laboratory" means a place or activity, such as a medical, 

analytical, or veterinary laboratory, devoted to experimental study or teaching or to the testing and analysis 

of drugs, chemicals, chemical compounds or other substances, or similar activities, provided that the 

activities described in this subdivision are conducted on a laboratory scale. Activities are conducted on a 

laboratory scale ifthe containers used for reactions, transfers, and other handling of substances are 

designed to be easily and safely manipulated by one ( 1) person. If a laboratory manufactures or produces 

products for profit in more than a de minimis marmer, it shall not be considered to be a laboratory under 

this subdivision. Support activities necessary to the operation ofthe laboratory are considered to be part of 

the laboratory. Support activities do not include the provision of power to the laboratory from emission 

units that provide power to multiple projects or from emission units that would otherwise require 

pennitting, such as boilers that provide power to a source or solid waste disposal units, such as incinerators. 

(4) New sources or modifications of existing sources that consist of only educational and teaching activities 

as defined in this subdivision. As used in this subdivision, "educational and teaching activities" means 

activities conducted at public and nonpublic schools and postsecondary educational institutions for 

educational, vocational, agricultural, occupational, employment, or technical training purposes provided the 

activities do not include the production of an intermediate or final product for sale or exchange for 

commercial profit or distribution. Support activities necessary to the educational and teaching activities are 

considered to be part of the educational and teaching activities. Support activities do not include the 

provision of power to the educational and teaching activities from emission units that provide power to 

multiple projects or from emission units that would otherwise require permitting, such as boilers that 

provide power to a source or solid waste disposal units, such as incinerators. 

(5) New sources or modifications of existing sources that consist of only combustion related activities, as 

follows: 

(A) Space heaters, process heaters, heat treat furnaces, or boilers described as follows: 

(i) Natural gas-fired combustion sources with heat input equal to or less than ten million 

(10,000,000) British thermal units per hour. 

(ii) Propane or liquefied petroleum gas or butane-f1red combustion sources with heat 

input equal to or less than six million (6,000,000) British thermal units per hour. 

(iii) Fuel oil-fired combustion sources: 

(AA) with heat input equal to or less than two million (2,000,000) British 

thermal units per hour; and 

(BB) firing fuel containing equal to or less than five-tenths percent (0.5%) sulfur 

by weight. 

(iv) Wood-fired combustion sources: 

(AA) with heat input equal to or less than one million (1,000,000) British 

thermal units per hour; and 

(BB) not burning treated wood or chemically contaminated wood. 

(B) Equipment powered by diesel fuel frred or natural gas fired internal combustion engines of 

5 
capacity equal to or less than five hundred thousand (500,000) British thermal units per hour, 

except where total capacity of equipment operated by one (I) stationary source exceeds two 

million (2,000,000) British thermal units per hour. 

(C) Combustion source flame safety purging on start-up. 

(D) Portable electrical generators that can be moved by hand from one (I) location to another. As 

used in this clause, "moved by hand" means that it can be moved without the assistance of any 

motorized or nomnotorized vehicle, conveyance, or device. 

(E) Combustion emissions from propulsion of mobile sources. 

(F) Fuel use related to food preparation for on-site consumption. 

(G) Tobacco smoking rooms and areas. 

(H) Blacksmith forges. 

(I) Indoor and outdoor kerosene heaters. 

(6) New sources or modifications of existing sources that consist of only activities that dispense fuel, as 

follows: 

(A) A gasoline dispensing operation: 

(i) having a storage tank capacity equal to or less than ten thousand five hundred (10,500) 

gallons; and 

(ii) dispensing less than or equal to one thousand three hundred (1,300) gallons per day. 

Such storage tanks may be in a fiXed location or on mobile equipmeut. 

(B) A petroleum fuel other than a gasoline dispensing facility: 

(i) having a storage tank capacity less than or equal to ten thousand five hundred (10,500) 

gallons; and 

(ii) dispensing three thousand five hundred (3,500) gallons per day or less. 

(7) New sources or modifications of existing sources that consist of only the following VOC and HAP 

storage containers: 

(A) Storage tanks with: 

(i) capacity less than or equal to one thousand (1,000) gallons; and 

(ii) annual throughputs equal to or less than twelve thousand (12,000) gallons. 

(B) Vessels storing the following: 

(i) Lubricating oils. 

(ii) Hydraulic oils. 

(iii) Machining oils. 

(iv) Machining fluids. 

(8) New sources or modifications of existing sources that consist of only refractory storage not requiring air 

pollution control equipment. 

(9) New sources or modifications of existing sources that consist of only equipment used exclusively for 

the following: 

(A) Packaging ofthe following: 

(i) Lubricants. 

(ii) Greases. 

(B) Filling drums, pails, or other packaging containers with the following: 

(i) Lubricating oils. 

(ii) Waxes. 

(iii) Greases. 

(1 0) New sources or modifications of existing sources that consist of only the following: 

(A) Application of: · 

(i) oils; 

(ii) greases; 

(iii) lubricants; and 

(iv) nonvolatile material; 

as temporary protective coatings. 

(B) Machining where an aqueous cutting coolant continuously floods the machining interface. 

(C) Degr·easing operations that do not exceed one hundred forty-five (145) gallons per twelve (12) 

6 
months except if subject to 326 lAC 20-6. 

(D) Cleaners and solvents characterized as having a vapor pressure equal to or less than: 

(i) two (2) kilo Pascals (fifteen (15) millimeters of mercury or three-tenths (0.3) pound 

per square inch) measured at thirty-eight (38) degrees Centigrade (one hundred (100) 

degrees Fahrenheit); or 

(ii) seven-tenths (0.7) kilo Pascal (five (5) millimeters of mercury or one-tenth (0.1) 

pound per square inch) measured at twenty (20) degrees Centigrade (sixty-eight (68) 

degrees Fahrenheit); 

the use of which, for all cleaners and solvents combined, does not exceed one hundred forty-five 

(145) gallons per twelve (12) months. 

(E) The following equipment related to manufacturing activities not resulting in the emission of 

HAPs as defined under Section 112(h) of the CAA: 

(i) Brazing. 

(ii) Cutting torches. 

(iii) Soldering. 

(iv) Welding. 

(F) Closed loop heating and cooling systems. 

(G) Infrared cure equipment. 

(H) Exposure chambers (towers or columns), for curing of ultraviolet inks and ultraviolet coatings 

where heat is the intended discharge. 

(!)Any of the following structural steel and bridge fabrication activities: 

(i) Cutting two hundred thousand (200,000) linear feet or less of one (1) inch plate or 

equivalent per year. 

(ii) Using eighty (80) tons or less of welding consumables per year. 

(11) New sources or modifications of existing sources that consist of only activities associated with the 

following recovery systems: 

(A) Rolling oil recovery systems. 

(B) Ground water oil recovery wells. 

(12) New sources or modifications of existing sources that consist of only solvent recycling systems with 

batch capacity less than or equal to one hundred (1 00) gallons. 

(13) New sources or modifications of existing sources that consist of only the following water based 

activities: 

(A) Activities associated with the treatment of wastewater streams with an oil and grease content 

less than or equal to one percent ( 1%) by volume. 

(B) Water runoff ponds for petroleum coke-cutting and coke storage piles. 

(C) Activities associated with the transportation and treatroent of sanitary sewage, provided 

discharge to the treatroent plant is under the control ofthe owner or operator, that is, an on-site 

sewage treatroent facility. This does not include sanitary sludge incineration. 

(D) Any operation using aqueous solutions containing less than or equal to one percent (1%) by 

weight ofVOCs excluding HAPs as defmed under Section 112(h) of the CAA. 

(E) Water-based adhesives that are less than or equal to five percent (5%) by volume ofVOCs 

excluding HAPs as defined under Section 112(h) of the CAA. 

(F) Noncontact cooling tower systems with either of the following: 

(i) Natural draft cooling towers not regulated under a NESHAP. 

(ii) Forced and induced draft cooling tower systems not regulated under a NESHAP. 

(G) Quenching operations used with heat treating processes. 

Oil, gtease, or VOC content shall be determined by a test method acceptable to the commissioner and the 

U.S. EPA. . 

(14) New sources or modifications of existing sources that consist of only trimmers that: 

(A) do not produce fugitive emissions; and 

(B) are equipped with a dust collection or trim material recovery device, such as a bag filter or 

cyclone. 

(15) New sources or modifications of existing sources that consist of only stockpiled soils from soil 

7 
remediation activities that are covered and waiting transpmt for disposal. 

(16) New sources or modifications of existing sources that consist of only paved and nnpaved roads and 

parking lots with public access. 

(17) New sources or modifications of existing sources that consist of only general construction activities 

not related to the construction of an emissions unit. 

(18) New sources or modifications of existing sources that consist of only conveyors as follows: 

(A) Covered conveyors for solid raw material, including: 

(i) coal or coke conveying less than or equal to three hundred sixty (360) tons per day; or 

(ii) limestone conveying less than or equal to seven thousand two hundred (7,200) tons 

per day for sources other than mineral processing plants constructed after August 31, 

1983. 

(B) Uncovered coal or coke conveying less than or equal to one hundred twenty (120) tons per 

day. 

(C) Underground conveyors. 

(D) Enclosed systems for conveying plastic raw material and plastic fmished goods. 

(19) New sources or modifications of existing sources that consist of only coal bunker and coal scale 

exhausts and associated dust collector vents. 

(20) New sources or modifications of existing sources that consist of only asbestos abatement projects 

regulated by 326 lAC 14-10. 

(21) New sources or modifications of existing sources that consist of only routine maintenance and repair 

of buildings, structures, or vehicles at the source where air emissions from those activities would not be 

associated with any production process, as follows: 

(A) Purging of gas lines. 

(B) Purging of vessels. 

(22) New sources or modifications of existing sources that consist of only flue gas conditioning systems 

and associated chemicals, as follows: 

(A) Sodium sulfate. 

(B) Ammonia. 

(C) Sulfur trioxide. ( 

(23) New sources or modifications of existing sources that consist of only equipment used to collect any 

material that might be released during a malfunction, process upset, or spill cleanup, as follows: 

(A) Catch tanks. 

(B) Temporary liquid separators. 

(C) Tanks. 

(D) Fluid handling equipment. 

(24) New sources or modifications of existing sources that consist of only furnaces used for melting metals 

other than beryllium with a brim full capacity equal to or less than four hundred fifty ( 450) cubic inches by 

volume. 

(25) New sources or modifications of existing sources that consist of only activities associated with 

emergencies, as follows: 

(A) On-site fire training approved by the commissioner. 

(B) Emergency generators as follows: 

(i) Gasoline generators not exceeding one hundred ten (11 0) horsepower. 

(ii) Diesel generators not exceeding one thousand six hundred (1,600) horsepower. 

(iii) Natural gas turbines or reciprocating engines not exceeding sixteen thousand 

(16,000) horsepower. 

(C) Stationary fire pump engines. 

(26) New sources or modifications of existing sources that consist of only grinding, and machining, 

operations controlled with fabric filters, scrubbers, mist collectors, wet collectors, and electrostatic 

precipitators with a design outlet grain loading of less than or equal to three-hundredths (0.03) grain per 

actual cubic foot and a gas flow rate less than or equal to four thousand (4,000) actual cubic feet per 

minute, as follows: 

(A) Deburring. 

8 
(B) Buffmg. 

(C) Polishing. 

(D) Abrasive blasting. 

(E) Pneumatic conveying. 

(F) Woodworking operations. 

(27) New sources or modifications of existing sources that consist of only purge double block and bleed 

valves. 

(28) New sources or modifications of existing sources that consist of only filter or coalescer media 

changeout. 

(29) New sources or modifications of existing sources that consist of only vents from ash transpmt systems 

not operated at positive pressure. 

(30) New sources or modifications of existing somces that consist of only mold release agents using low 

volatile products with a vapor pressure less than or equal to two (2.0) kilo Pascals measmed at thirty-eight 

(38) degrees Centigrade. 

(31) New somces or modifications of existing somces that consist of only farm operations, except 

concentrated animal feeding operations as defined in 40 CFR 122.23. 

(32) New sources or modifications of existing sources that consist of only water-related activities, as 

follows: 

(A) Production of hot water for on-site personal use not related to any industrial or production 

process. 

(B) Water treatment activities used to provide potable and process water for the plant, excluding 

any activities associated with wastewater treatment. 

(C) Stearn traps, vents, leaks, and safety relief valves. 

(D) Cooling ponds. 

(E) Laundry operations using only water solutions of bleach or detergents. 

(F) Demineralized water tanks and dernineralizer vents. 

(G) Boiler water treatment operations, not including cooling towers. 

(H) Oxygen scavenging (deaeration) of water. 

(I) Steam cleaning operations and steam sterilizers. 

(J) Pressure washing of equipment. 

(K) Water jet cutting operations. 

(33) New sources or modifications of existing sources that consist of only ventilation, venting equipment, 

and refrigeration, as follows: 

(A) Ventilation exhaust, central chiller water systems, refrigeration, and air conditioning 

equipment not related to any industrial or production process, including natural draft hoods or 

ventilating systems that do not remove air pollutants. 

(B) Stack and vents from plumbing traps used to prevent the discharge of sewer gases, handling 

domestic sewage only, excluding those at wastewater treatment plants or those handling any 

industrial waste. 

(C) Vents fi·orn continuous emissions monitors and other analyzers. 

(D) Natural gas pressme regulator vents, excluding venting at oil and gas production facilities. 

(E) Air vents from air compressors. 

(F) Vents for air cooling of electric motors provided the air does not commingle with regulated air 

pollutants. 

(G) Vents from equipment used to air blow water from cooled plastics strands or sheets. 

(34) New sources or modifications of existing somces that consist of only activities related to routine 

fabrication, maintenance, and repair of buildings, structures, equipment, or vehicles at the source where air 

emissions from those activities would not be associated with any commercial production process, as 

follows: 

(A) Activities associated with the repair and maintenance of paved and unpaved roads, including 

paving or sealing, or both, of parking lots and roadways. 

(B) Painting, including interior and exterior painting of buildings, and solvent use excluding 

degreasing operations utilizing halogenated organic solvents. 

9 
(C) Brazing, soldering, or welding operations and associated equipment. 

(D) Portable blast-cleaning equipment with enclosures. 

(E) Blast-cleaning equipment using water as the suspension agent and associated equipment. 

(F) Batteries and battery charging stations, except at battery manufacturing plants. 

(G) Lubrication, including: 

(i) hand-held spray can lubrication; 

(ii) dipping metal parts into lubricating oil; or 

(iii) manual or automated addition of cutting oil in machining operations. 

(H) Nonasbestos insulation installation or removal. 

(I) Tarring, retarring, and repair of building roofs. 

(J) Bead blasting of heater tubes. 

(K) Instrument air dryer and filter maintenance. 

(L) Manual tank gauging. 

(M) Open tumblers associated with deburring operations in maintenance shops. 

(35) New sources or modifications of existing sources that consist of only activities performed using handheld equipment, as follows: 

(A) Application of hot melt adhesives with no VOC in the adhesive formulation. 

(B) Buffmg. 

(C) Carving. 

(D) Cutting, excluding cutting torches. 

(E) Drilling. 

(F) Grinding. 

(G) Machining wood, metal, or plastic. 

(H) Polishing. 

(I) Routing. 

(J) Sanding. 

(K) Sawing. 

(L) Surface grinding. 

(M) Turning wood, metal, or plastic. 

(36) New sources or modifications of existing sources that consist of only housekeeping and janitorial 

activities and supplies, as follows: 

(A) Vacuum cleaning systems used exclusively for housekeeping or custodial activities, or both. 

(B) Steam cleaning activities. 

(C) Restrooms and associated cleanup operations and supplies. 

(D) Alkaline or phosphate cleaners and associated equipment. 

(E) Mobile floor sweepers and floor scrubbers. 

(F) Pest control fumigation. 

(37) New sources or modifications of existing sources that consist of only office-related activities, as 

follows: 

(A) Office supplies and equipment. 

(B) Photocopying equipment and associated supplies. 

(C) Paper shredding. 

(D) Blueprint machines, photographic equipment, and associated supplies. 

(38) New sources or modifications of existing sources that consist of only lawn care and landscape 

maintenance activities and equipment, including the storage, spraying, or application of insecticides, 

pesticides, and herbicides. 

(39) New sources or modifications of existing sources that consist of only storage equipment and activities, 

as follows: 

(A) Pressurized storage tanks and associated piping for the following: 

(i) Acetylene. 

(ii) Anhydrous ammonia. 

(iii) Carbon monoxide. 

(iv) Chlorine. 

10 
(v) Inorganic compounds. 

(vi) Liquid petroleum gas (LPG). 

(vii) Liquid natural gas (LNG). 

(viii) Natural gas. 

(ix) Nitrogen dioxide. 

(x) Sulfur dioxide. 

(B) Storage tanks, vessels, and containers holding or storing liquid substances that do not contain 

any VOC or HAP as defined under Section 112(b) of the CAA. 

(C) Storage tanks, reservoirs, and pumping and handling equipment of any size containing: 

(i) soap; 

(ii) vegetable oil; 

(iii) grease; 

(iv) wax; 

(v) animal fat; and 

(vi) nonvolatile aqueous salt solutions; 

provided appropriate lids and covers are utilized. 

(D) Storage of drums containing maintenance raw materials. 

(E) Storage of: 

(i) castings; 

(ii) lance rods; or 

(iii) any non-HAP containing material in solid form stored in a sealed or covered 

container. 

(F) Portable containers used for the collection, storage, or disposal of materials provided the: 

(i) container capacity is equal to or less than forty-six hundredths (0.46) cubic meter; and 

(ii) container is closed, except when the material is added or removed. 

( 40) New sources or modifications of existing sources that consist of only emergency and standby 

equipment, as follows: 

(A) Emergency (backup) electrical generators at residential locations, such as dormitories, prisons, 

and hospitals. 

(B) Safety and emergency equipment except engine driven fire pumps, including frre suppression 

systems and emergency road flares. 

(C) Process safety relief devices installed solely for the purpose of minimizing injury to persons or 

damage to equipment that could result from abnormal process operating conditions, as follows: 

(i) Explosion relief vents, diaphragms, or panels. 

(ii) Rupture discs. 

(iii) Safety relief valves. 

(D) Activities and equipment associated with on-site medical care not otherwise specifically 

regulated. 

(E) Vacuum producing devices for the purpose of removing potential accidental releases. 

( 41) New sources or modifications of existing sources that consist of only sampling and testing equipment 

and activities, as follows: 

(A) Equipmeut used for quality control/assmance or inspection purposes, including sampling 

equipment used to withdraw materials for analysis. 

(B) Hydraulic and hydrostatic testing equipment. 

(C) Ground water monitoring wells and associated sample collection equipment. 

(D) Environmental chambers not using HAP gases. 

(E) Shock chambers. 

(F) Humidity chambers. 

(G) Solar simulators. 

(H) Sampling activities, including: 

(i) sampling of waste; or 

(ii) glove box sampling, charging, and packaging. 

(!) instrument air dryers and distribution. 

11 
(J) VOC sampling activities associated with soil remediation projects. 

( 42) New sources or modifications of existing sources that consist of only use of consumer products and 

equipment where the product or equipment is: 

(A) used at a source in the same manner as normal consumer use; and 

(B) not associated with any production process. 

(43) New sources or modifications of existing sources that consist of only equipment and activities related 

to the handling, treating, and processing of anhnals, as follows: 

(A) Equipment used exclusively to slaughter anhnals, but not including the following: 

(i) Rendering cookers. 

(ii) Boilers. 

(iii) Heating plants. 

(iv) Incinerators. 

(v) Electrical power generating equipment. 

(B) Veterinary operating rooms and laboratories. 

( 44) New somces or modifications of existing sources that consist of only activities generating limited 

amounts of fugitive dust, as follows: 

(A) Fugitive emissions related to movement of passenger vehicles, provided: 

(i) the emissions are not counted for applicability pmposes as a major source under 326 

IAC 2-7-1(22)(B); and 

(ii) any required fugitive dust control plan or its equivalent is submitted. 

(B) Soil boring. 

(C) Road salting and sanding. 

( 45) New sources or modifications of existing sources that consist of only activities associated with 

production, as follows: 

(A) Closed, nonvented tumblers used for cleaning or deburring metal products without abrasive 

blasting. 

(B) Electrical resistance welding. 

(C) Carbon dioxide (C02) lasers, used only on metals and other materials that do not emit HAPs as 

defmed under Section 112(b) of the CAA in the process. 

(D) Laser trimmers that: 

(i) do not produce fugitive emissions; and 

(ii) are equipped with a dust collection device, such as a bag filter, cyclone, or equivalent 

device. 

(E) Application equipment for hot melt adhesives with no VOC in the adhesive formulation. 

(F) Drop hammers or hydraulic presses for forging or metalworking. 

(G) Air compressors and pneumatically operated equipment, including hand tools. 

(H) Compressor or pump lubrication and seal oil systems. 

(I) Equipment used to mix and package: 

(i) soaps; 

(ii) vegetable oil; 

(iii) grease; 

(iv) animal fat; and 

(v) nonvolatile aqueous salt solutions; 

provided appropriate lids and covers are utilized. 

(J) Equipment for washing or drying fabricated glass or metal products, if no: 

(i) VOCs or HAPs as defmed under Section 112(b) of the CAA are used in the process; 

and 

(ii) gas, oil, or solid fuel is burned. 

(K) Handling of solid steel, including coils and slabs, excluding scrap burning, scarfmg, and 

charging into steel making furnaces and vessels. 

( 46) The following types of miscellaneous equipment and activities: 

(A) Equipment used for surface coating, painting, dipping, or spraying operation, except those that 

will emit VOCs or HAPs as defined under Section 112(b) of the CAA. 

12 
(B) Condensate drains for natural gas and landfill gas. 

(C) Electric or steam heated <hying ovens and autoclaves, including only the heating emissions 

and not any associated process emissions. 

(D) Salt baths using nonvolatile salts, including caustic solutions that do not result in emissions of 

any regulated air pollutants. 

(E) Ozone generators. 

(F) Portable dust collectors. 

(G) Scrubber systems circulating water based solutions of inorganic salts or bases that are installed 

to be available for response to emergency situations. 

(H) Soil borrow pits. 

(I) Manual loading and unloading operations. 

(J) Purging of refrigeration devices using a combination of nitrogen and CFC-22 (R-22) as 

pressure test media. 

(K) Construction and demolition operations. 

(L) Mechanical equipment gear boxes and vents that are isolated from process materials. 

(M) Nonvolatile mold release waxes and agents. 

This subdivision is not meant to describe emission units or activities associated with the miscellaneous 

equipment and activities that would otherwise require approval under this article. 

(f) 326 lAC 2-7, 326 lAC 2-8, and 326 lAC 2-9 shall not apply to a source operating in compliance with 

the requirements of 326 lAC 2-10 or 326 lAC 2-11. 

(g) 326 lAC 2-6.1 shall not apply to a source operating pursuant to one (I) of the following: 

(I) A Part 70 permit under 326 lAC 2-7. 

(2) A federally enforceable state operating permit (FESOP) under 326 lAC 2-8. 

(3) An operating agreement under 326 lAC 2-9. 

(4) A permit-by-rule under one (1) of the following rules: 

(A) 326 lAC 2-10. 

(B) 326 lAC 2-11. 

(h) The requirements for an operating permit revision under 326 lAC 2-6.1-6 or 326 lAC 2-8-11.1, 

modification approval under 326 lAC 2-7-10.5, or an administrative amend!nent under 326 lAC 2-8-10 shall not 

apply to the following modifications: 

(I) A modification that has the potential to emit less than one (I) ton per year of a single HAP as defined 

under Section 112(b) of the CAA or two and five-tenths (2.5) tons per year of any combination of HAPs. 

(2) A modification at an existing source that meets the following: 

(A) The modification consists only of the following: 

(i) Changes in a method of operation. 

(ii) Minor physical changes as follows: 

(AA) The reconfiguration of existing equipment. 

(BB) The movement of existing equipment within a building. 

(CC) The replacement, reconfiguration, or addition of secondary equipment that 

supports an emission unit. 

(DD) The replacement, reconfiguration, or addition of supporting devices, such 

as piping or ductwork. 

(EE) The replacement or addition of air pollution control devices. 

(FF) The removal of equipment. 

(iii) A combination-thereef of the changes in items (i) and (ii). 

(B) The modification does not result in an increase in the potential to emit that: 

(i) exceeds the significance levels established in 326 lAC 2-2-1; 

(ii) exceeds the significance levels established in 326 lAC 2-3-1; 

(iii) is subject to 326 lAC 2-4.1 concerning new source toxics control; 

(iv) is greater than or equal to fifteen (15) pounds per day ofVOCs from an existing 

13 
source in Lake County or Porter County that has the potential to emit, as defmed by 326 

lAC 2-3-1 (gg), or actoal emissions of twenty-five (25) tons per year; 

(v) is greater than or equal to twenty-five (25) pounds per day ofNOx from an existing 

source in Lake County or Porter County that has the potential to emit, as defmed by 326 

lAC 2-3-l(gg), or actoal emissions of twenty-five (25) tons per year; 

(vi) is greater than or equal to one (1) ton or more per year oflead or lead compounds 

measured as elemental lead and the source is: 

(AA) a primary lead smelter; 

(BB) a secondary lead smelter; 

(CC) a primary copper smelter; 

(DD) a lead gasoline additive plant; or 

(EE) a lead-acid storage battery manufactoring plant that produces two thousand 

(2,000) or more batteries per day; 

(vii) is greater than or equal to five (5) tons or more per year oflead or lead compounds 

measured as elemental lead and the source is not listed in item (vi); 

(viii) is greater than or equal to six-tenths (0.6) ton per year, for a source oflead 

emissions with a potential to emit greater than or equal to five (5) tons per year; 

(ix) is an emissions increase ofVOC or NOx suhject to 326 lAC 2-3-2(b)(2) or 326 lAC 

2-3-2(b)(3) at an existing source in Lake County or Porter County that emits or has the 

potential to emit twenty-five (25) tons per year ofVOC or NOx; 

(x) is greater than or equal to fifteen (15) tons per year partioola!e ma!tef willl. aa 

aere<lynamie diame!ef less !hall er eqaal te ten f±llj mieremetO£s PM10; er 

(xi) is greater than or equal to ten (10) tons per year direct PM2•5; or 

E*ij (xii) is suhject to the provisions of 326 lAC 8-1-6 that has not previously been 

subject to review in accordance with 326 lAC 8-1-6. 

(3) Temporary operations and experimental trials that involve construction, reconstruction, or modification 

and that meet the following criteria: 

(A) The potential emissions from the construction or reconstruction of a facility or source or the 

potential emissions increase from the modification are less than twenty-five (25) tons for the 

duration of the operation. 

(B) The construction, reconstruction, or modification is not a major source or modification as 

defmed by 326 lAC 2-2, 326 lAC 2-3, or 3261AC 2-7. 

(C) The purpose of the construction, reconstruction, or modification is to: 

(i) collect data for experimental purposes, including, but not limited to, process 

improvements, new product development, and pollution prevention; or 

(ii) temporarily conduct an operation not considered part ofthe normal operation or 

production of the facility or source. 

(D) The duration of the temporary operation or experimental trial is less than thirty (30) days of 

total operating time. 

(E) If the construction, reconstruction, or modification is part of a soil or water remediation 

project, the: 

(i) duration ofthe project is less than twenty-four (24) hours or a greater period, not to 

exceed seventy-two (72) hours, as determined to be necessary by the department 

considering the natore of the project or the manner of testing; and 

(ii) purpose of the project is to identify parameters necessary to design the remediation 

effort. 

(F) Ifthe construction, reconstruction, or modification would otherwise require a modification 

approval or operating permit revision, the owner or operator shall provide the department written 

notice of the proposed construction, reconstruction, or modification at least seven (7) days before 

beginning the construction, reconstruction, or modification. The notice shall contain the following 

information: 

(i) A description of the purpose of the construction, reconstruction, or modification. 

(ii) A description of how the construction, reconstruction, or modification is experimental 

14 
or not part of the normal operation or production of the facility or source. 

(iii) The dates the owner or operator anticipates the construction, reconstruction, or 

modification to begin, operations to begin, and operations to cease. 

(iv) An estimate ofthe potential emissions and aetna! emissions increase resulting from 

the construction or reconstruction. 

(v) The equipment involved iu the construction, reconstruction, or modification. 

(G) If the construction, reconstruction, or modification would otherwise require a modification 

approval or operatiug permit revision, the owner or operator shall provide the department written 

notice of the proposed construction, reconstruction, or modification at most seven (7) days after 

concludiug the temporary operation or experimental trial. The notice shall contain the following 

information: 

(i) The aetna! start date of the construction, reconstruction, or modification. 

(ii) The duration ofthe temporary operation or experimental trial. 

(iii) The aetna! emissions occurring during the temporary operation or experimental trial. 

(H) The exemption provided by this subdivision shall not apply to facilities or sources whose 

operations are: 

(i) experimental iu nature; 

(ii) part of pilot plants; or 

(iii) characterized by frequent product changes. 

*These documents are iucorporated by reference. Copies may be obtaiued from the Government Priuting 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department ofEnviromnental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, I 00 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-1.1-3; filed 

Nov 25, 1998, 12:13 p.m.: 22 IR 982; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3105;filed Dec 20, 2001, 4:30 

p.m.: 25 IR 1550;filed Oct 1, 2010, 3:48p.m.: 20101027-IR-326070372FRA) 

SECTION 4. 326 lAC 2-2-1 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-2-1 Definitions 

Authority: IC 13-14-8; IC 13-17-3 

Affected: IC 13-15; IC 13-17 

Sec. I. (a) The defmiti0ns in this section apply throughout this rule. 

(b) "Aetna! emissions" means the aetna! rate of emissions of a regulated new source review (NSR) pollutant 

from an emissions unit as determiued iu accordance with the followiug: 

(I) In general, aetna! emissions as of a particular date shall equal the average rate, iu tons per year, at which 

the unit actually emitted the pollutant duriug a consecutive twenty-four (24) month period precediug the 

particular date and representative of normal source operation. The department shall allow the use of a 

different time period upon a determination that it is more representative of normal source operation. Aetna! 

emissions shall be calculated using the unit's actual operatiug hours, production rates, and types of 

materials processed, stored, or combusted during the selected time period. 

(2) The department may presume that source-specific allowable emissions for the unit are equivalent to the 

aetna! emissions of the unit. 

(3) For any emissions unit that has not begun normal operations on the particular date, aetna! emissions 

shall equal the potential to emit of the unit on that date. 

(4) The term shall not apply for calculating a significant emissions iucrease under section 2(d) of this rule 

or for establishiug a PAL under 326 lAC 2-2.4. Instead, subsections (e) and (pp) shall apply for those 

purposes. 

(c) "Adverse impact on visibility" means visibility impairment that iuterferes with the management, 

protection, preservation, or enjoyment of the visitor's visual experience of the federal Class I area as defmed iu 

15 
section 13 of this rule. This determination must be made on a case-by-case basis taking into account tbe geographic 

extent, intensity, duration, frequency, and time of visibility impairment, and how these factors correlate with: 

(I) times of visitor use of the federal Class I area; and 

(2) the frequency and timing of natural conditions that reduce visibility. 

(d) "Allowable emissions" means the emissions rate of a stationary source calculated using the maximum 

rated capacity of the source (unless a source is subject to enforceable permit limits that restrict the operating rate or 

hours of operation, or both) and the most stringent ofthe: 

(I) applicable standards as set forth in 40 CFR Part 60* and 40 CFR Part 61 *; 

(2) SIP emissions limitation, including those with a future compliance date; or 

(3) emissions rate specified as an enforceable permit condition, including those with a future compliance 

date. 

(e) "Baseline actual emissions" means the rate of emissions, in tons per year, of a regulated NSR pollutant, 

as determined in accordance with the following: 

(I) For any existing electric utility steam generating unit, the term means the average rate, in tons per year, 

at which the unit actually emitted the pollutant during any consecutive twenty-four (24) month period 

selected by the owner or operator within the five (5) year period immediately preceding when the owner or 

operator begins actual constmction of the project. The commissioner shall allow the use of a different time 

period upon a deteJmination that it is more representative of normal source operation. The baseline actual 

emissions shall be determined in accordance with the following: 

(A) The average rate shall include fugitive emissions to the extent quantifiable and emissions 

associated with start-ups, shutdowns, and malfunctions to the extent they are affected by the 

project. 

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that 

occurred while the source was operating above any emission limitation that was legally 

enforceable during the consecutive twenty-four (24) month period. 

(C) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (I) 

consecutive twenty-four (24) month period may be used to determine the baseline actual emissions 

for the emissions units being changed. A different consecutive twenty-four (24) month period can 

be used for each regulated NSR pollutant. 

(D) The average rate shall not be based on any consecutive twenty-four (24) month period for 

which there is inadequate information available for determining annual emissions, in tons per year, 

and for adjusting this amount if required by clause (B). 

(2) For an existing emissions unit other than an electric utility steam generating unit, the term means the 

average rate, in tons per year, at which the emissions qnit actually emitted the pollutant during any 

consecutive twenty-four (24) month period selected by the owner or operator within the ten (10) year 

period immediately preceding either the date the owner or operator begins actual construction of the project 

or the date a complete permit application is received by the department for a permit required by this rule, 

except that the ten (10) year period shall not include any period earlier than November 15, 1990. The 

baseline actual emissions shall be determined in accordance with the following: 

(A) The average rate shall include fugitive emissions to the extent quantifiable and emissions 

associated with start-ups, shutdowns, and malfunctions to the extent they are affected by the 

project. 

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that 

occurred while the source was operating above an emission limitation that was legally enforceable 

during the consecutive twenty-four (24) month period. 

(C) The average rate shall be adjusted downward to exclude any emissions that would have 

exceeded an emission limitation with which the major stationary source must currently comply 

had the major stationary source been required to comply with the limitations during the 

consecutive twenty-four (24) month period. However, if an emission limitation is part of a 

maximum achievable control technology standard that the U.S. EPA proposed or promulgated 

under 40 CFR Part 63*, the baseline actual emissions need only be adjusted if the department has 

16 
applied the emissions reductions to an attainment demonstration or maintenance plan consistent 

with the requirements of3261AC 2-3-3(b)(l2). 

(D) For a regnlated NSR pollutant, when a project involves multiple emissions units, only one (1) 

consecutive twenty-four (24) month period may be used to determine the baseline actual emissions 

for all the emissions units being changed. A different consecutive twenty-four (24) month period 

can be used for each regulated NSR pollutant. 

(E) The average rate shall not be based on any consecutive twenty-four (24) month period for 

which there is inadequate information available for determining annual emissions, in tons per year, 

and for adjusting this amount if required by clauses (B) and (C). 

(3) For a new emissions nni~ the baseline actual emissions for purposes of determining the emissions 

increase that will result from the initial construction and operation of the unit shall equal zero (0) and 

thereafter, for all other purposes, shall equal the unit's potential to emit. 

(4) For a PAL for a stationary source, the baseline actual emissions shall be calculated as follows: 

(A) For an existing electric utility steam generating unit, in accordance with subdivision (1). 

(B) For an existing emissions nnit except an existing electric utility steam generating unit, in 

accordance with subdivision (2). 

(C) For a new emissions unit, in accordance with subdivision (3). 

(f) "Baseline aiea" means the following: 

(I) Any intrastate area (and every part thereof) designated as attainment or nnclassifiable in accordance 

with 326 lAC 1-4 in which the major stationary source or major modification establishing the minor source 

baseline date would construct or would have an air quality irupact for the pollutant for which the baseline 

date is established: 

(A) equal to or greater than one (1) microgram per cubic meter (f1g/m3

) (annual average) efthe 

pellHtant fuf whish !he minef sooree baseline <late is established. for sulfur dioxide (S02), 

nitrogen dioxide (N02), or PM10; or 

(B) equal to or greater than three-tenths (0.3) microgram per cubic meter (J.tg/m3

) (annual 

average) for PM2.

5• 

(2) Area redesignations nnder 326 lAC 1-4 and Section 107(d)(l)(D) or 107(d)(l)(E) of the CAA cannot 

intersect or be smaller than the area of impact of any major stationary source or m'\ior modification that: 

(A) establishes a minor source baseline date; or 

(B) is subject to 40 CFR Part 52.21* and this rule and would be constructed in the same state as 

the state proposing the redesignation. 

(3) Any baseline area established originally for the total suspended particulate (TSP) increments shall 

remain in effect and shall apply for purposes of determining the amount of available PM10 increments, 

except that the baseline area shall not remain in effect if the U.S. EPA rescinds the corresponding minor 

source baseline date in accordance with 40 CFR Part 52.21 (b )(14)(iv)*. 

(g) "Baseline concentration" means that ambient concentration level that exists in the baseline area at the 

time ofthe applicable minor source baseline date. A baseline concentration is determined for each pollutant for 

which a minor source baseline date is established and shall include the following: 

(I) The actual emissions, as defined in subsection (b), representative of sources in existence on the 

applicable minor source baseline date except as provided in subdivision (3). 

(2) The allowable emissions of major stationary sources that commenced construction before the major 

source baseline date, but were not in operation by the applicable minor source baseline date. 

(3) The following will not be included in the baseline concentration and will affect the applicable 

maximum allowable increase or increases: 

(A) Actual emissions, as defined in subsection (b), from any major stationary source on which 

construction commenced after the major source baseline date. 

(B) Increases and decreases of actual emissions, as defined in subsection (b), at any stationary 

source occurring after the minor source baseline date. 

(h) 11Begin actual construction11 means, in general, initiation of physical on-site construction activities on an 

17 
emissions unit that are of a permanent nature. Such activities include, but are not limited to, the following: 

(I) Installation of building supports and foundations. 

(2) Laying underground pipework. 

(3) Construction of permanent storage structures. 

With respect to a change in method of operations, the term refers to those on-site activities other than preparatory 

activities that mark the initiation of the change. 

(i) "Best available control technology" or "BACT" means an emissions limitation, including a visible 

emissions standard, based on the maximum degree of reduction for each regulated NSR pollutant that would be 

emitted from any proposed major stationary source or major modification, that the commissioner, on a case-by-case 

basis, taking into account energy, environmental, and economic impacts and other costs, determines is achievable 

for the source or modification through application of production processes or available methods, systems, and 

techniques, including fuel cleaning or treatment or innovative fuel combustion techniques for control of the 

pollutant. In no event shall application of BACT result in emissions of any pollutant that would exceed the 

emissions allowed by any applicable standard under 40 CFRPart 60* and 40 CFRPart 61*. If the commissioner 

determines that technological or economic limitations on the application of measurement methodology to a 

pmiicular emissions unit would make the imposition of an emissions standard not feasible, a design, equipment, 

work practice, operational standard, or combination thereof may be prescribed instead to satisfy the requirements for 

the application of BACT. The standard shall, to the degree possible, set forth the emissions reduction achievable by 

implementation of the design, equipment, work practice, or operation and shall provide for compliance by means 

that achieve equivalent results. 

U) "Building, structure, facility, or installation" means all of the pollutant-emitting activities that belong to 

the same industrial grouping, are located on one (1) or more contiguous or adjacent properties, and are under the 

control of the same person (or persons under common control) except the activities of any vessel. Pollutant-emitting 

activities shall be considered as part of the same industrial grouping if they belong to the same major group, for 

example, that have the same first two (2) digit code, as described in the Standard Industrial Classification Manual, 

1972, as amended by the 1977 Supplement (U.S. Goverrunent Printing Office)*. 

(k) "Clean coal technology" means any technology, including technologies applied at the precombustion, 

combustion, or postcombustion stage, at a new or existing facility that will achieve significant reductions in air 

emissions of sulfur dioxide or ffiH<les ef nitregoo nitrogen oxides associated with the utilization of coal in the 

generation of electricity or process steam that was not in widespread use as of November 15, 1990. 

(1) "Clean coal technology demonstration project" means a project using funds appropriated under the 

heading "Department of Energy-Clean Coal Technology", up to a total amount of two billion five hundred million 

dollars ($2,500,000,000) for commercial demonstration of clean coal technology or similar projects funded through 

appropriations for the U.S. EPA. The federal contribution for a qualifying project shall be at least twenty percent 

(20%) of the total cost of the demonstration project. 

(m) 11Commence 11 , as applied to construction of a major stationary source or major modification, means that 

the owner or operator has all necessary preconstruction approvals or permits and either has: 

(1) begun, or caused to begin, a continuous program of actual on-site construction ofthe source to be 

completed within a reasonable time; or 

(2) entered into binding agreements or contractual obligations, which cannot be canceled or modified 

without substantial loss to the owner or operator, to undertake a program of actual construction of the 

source to be completed within a reasonable time. 

(n) "Complete" means, in reference to an application for a permit, that the application contains all of the 

information necessary for processing the application. Designating an application complete for purposes of permit 

processing does not preclude the department from requesting or accepting any additional information. 

( o) "Construction" means any physical change or change in the method of operation, including: 

(I) fabrication; 

18 
(2) erection; 

(3) installation; 

( 4) demolition; or 

(5) modification; 

of an emissions unit, that would result in a change in emissions. 

(p) "Continnons emissions monitoring system" or "CEMS" means all of the equipment that may be 

required to meet the data acquisition and availability requirements of this rule to complete the following: 

(I) Sample emissions on a continuous basis. 

(2) If applicable, condition emissions. 

(3) Analyze emissions on a continuous basis. 

(4) Provide a record of emissions on a continuous basis. 

( q) "Continuous emissions rate monitoring system" or "CERMS" means the total equipment required for 

the determination and recording ofthe pollutant mass emissions rate in terms of mass per unit of time. 

(r) "Continuous parameter monitoring system" or "CPMS" means all of the equipment necessary to meet 

the data acquisition and availability requirements oftbis rule to: 

(I) monitor: 

(A) process and control device operational parameters; and 

(B) other information, such as gas flow rate, 0 2 or C02 concentrations; and 

(2) record the average operational parameter value on a continuous basis. 

(s) "Electric utility steam generating unit" means any steam electric generating unit that is constructed for 

the purpose of supplying more than one-third (1/3) of its potential electric output capacity and more than twenty-five 

(25) megawatts electrical output to any utility power distribution system for sale. Any steam supplied to a steam 

distribution system for the purpose of providing steam to a steam-electric generator that would produce electrical 

energy for sale is also considered in determining the electrical energy output capacity of the affected facility. 

(t) "Emissions unit" means any part of a stationary source that emits or would have the potential to emit any 

regulated NSR pollutant. For purposes of this rule, there are the following two (2) types of emissions units: 

(I) A new emissions unit is any emissions unit that is, or will be, newly constructed and that has existed for 

less than two (2) years from the date the emissions unit first operated. 

(2) An existing emissions unit is any emissions unit that does not meet the requirements in subdivision (1). 

A replacement unit is an existing emissions unit. 

(u) "Federal land manager" means, with respect to any lands in the United States, the secretary of the 

department with authority over the lands. 

(v) "Federally enforceable" means all limitations and conditions that are enforceable by the U.S. EPA, 

including: 

(I) those requirements developed pursuant to 40 CFR Part 60* and 40 CFR Part 61 *; 

(2) requirements within the SIP; and 

(3) any permit requirements established pursuant to 40 CFR Part 52.21 * or under regulations approved 

pursuant to 40 CFR Part 51, Subpart I*, including operating permits issued under an EPA-approved 

program that is incorporated into the SIP and expressly requires adherence to any permit issued under the 

program. 

(w) "Fugitive emissions" means those emissions that could not reasonably pass through a stack, chimney, 

vent, or other functionally equivalent opening. 

(x) "High terrain" means any area having an elevation nine hundred (900) feet or more above the base of 

the stack of a source. 

19 
(y) "Indian governing body" means the governing body of any tribe, band, or group oflndians subject to 

the jurisdiction of the United States and recognized by the United States as possessing power of self-government. 

(z) "Indian reservation" means any federally recognized reservation established by: 

(1) treaty; 

(2) agreement; 

(3) executive order; or 

(4) act of Congress. 

(aa) "Innovative control technology" means any system of air pollution control that has not been adequately 

demonstrated in practice, but would have a substantial likelihood of achieving greater continuous emissions 

reduction than any control system in current practice or of achieving at least comparable reductions at lower cost in 

terms of energy, economics, or nonair quality environmental impacts. 

(bb) 11Lowest achievable emission rate 11 or "LAER11 means, for any source, the more stringent rate of 

emissions based on the most stringent emissions limitation of the following: 

(1) Contained in the SIP for the class or category of stationary source uniess the owner or operator of the 

proposed stationary source demonstrates that the limitations are not achievable. 

(2) Achieved in practice by the class or category of stationary source. This limitation, when applied to a 

modification, means the LAER for the new or modified emissions unit within the stationary source. In no 

event shall the application of the LAER allow a proposed new or modified stationary source to emit any 

pollutant in excess of the amount allowable under applicable new source standards of performance. 

( cc) "Low terrain" means any area other than high terrain. 

( dd) "Major modification" means any physical change in, or change in the method of operation of, a major 

stationary source that would result in a significant emissions increase and a significant net emissions increase of a 

regulated NSR pollutant from the major stationary source. The following shall apply: 

(1) Any significant emissions increase from any emissions units or net emissions increase at a major 

stationary source that is significant for VOC or NO, shall be considered significant for ozone. 

(2) A physical change or change in the method of operation shall not include the following: 

(A) Routine maintenance, repair, and replacement. 

(B) Use of an alternative fuel or raw material by reason of an order under Sections 2(a) and 2(b) of 

the Energy Supply and Environmental Coordination Act of 1974 or by reason of a natural gas 

curtaihnent plan pursuant to the Federal Power Act. 

(C) Use of an alternative fuel by reason of an order under Section 125 of the CAA. 

(D) Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated 

from municipal solid waste. 

(E) Use of an alternative fuel or raw material by a source that the source: 

(i) was capable ofacconnnodating before January 6, 1975, unless the change would be 

prohibited under any enforceable permit condition that was established after January 6, 

1975, pursuant to: 

(AA) 40 CFR Part 52.21 *; 

(BB) this rule; 

(CC) 326 IAC 2-3; or 

(DD) minor new source review regulations approved pursuant to 40 CFR Part 

51.160 through 40 CFRPart 51.166*; or 

(ii) is approved to use under any permit issued under 40 CFR Part 52.21 *or under this 

rule. 

(F) An increase in the hours of operation or in the production rate unless the change would be 

prohibited under any enforceable pmmit condition that was established after January 6, 1975, 

pursuant to 40 CFR Part 52.21 * or under this rule or 326 IAC 2-3. 

20 
(G) Any change in ownership at a source. 

(H) The installation, operation, cessation, or removal of a temporary clean coal technology 

demonstration project provided that the project complies with: 

(i) the SIP; and 

(ii) other requirements necessmy to attain and maintain the national ambient air quality 

standards during the project and after the project is terminated. 

(I) The installation or operation of a permanent clean coal technology demonstration project that 

constitutes repowering provided that the project does not result in an increase in the potential to 

emit of any regulated pollutant emitted by the unit. This exemption shall apply on a pollutant-bypollutant basis. 

(J) The reactivation of a very clean coal-fired electric utility steatn generating unit. 

(3) The term shall not apply to a particular regulated NSR pollutant when the major stationary source is 

complying with the requirements under 326 lAC 2-2.4 for a PAL for that pollutant. Instead, the definition 

at 326 lAC 2-2.4-2(g) shall apply. 

( ee) "Major source baseline date" means the following: 

(I) In the case ofpartisulate ma!tef PM10 and sulfur dioxide, Jauuary 6, 1975. 

(2) In the case of nitrogen dioxide, February 8, 1988. 

(3) In the case ofPM2,

5, October 20,2010. 

(ff) "Major stationary source" means the following: 

(1) Any of the following stationary sources of air pollutants that are located or proposed to be located in an 

attainment or unclassifiable area as designated in 326 lAC 1-4 and that emit or have the potential to emit 

one hundred (100) tons per year or more of any regulated NSR pollutant: 

(A) Fossil fuel-fired steatn electric plants of more than two hundred fifty million (250,000,000) 

British the1mal units per hour heat input. 

(B) Coal cleaning plants (with thermal driers). 

(C) Kraft pulp mills. 

(D) Portland cement plants. 

(E) Primary zinc smelters. 

(F) Iron and steel mill plants. 

(G) Primary aluminum ore reduction plants. 

(H) Primary copper smelters. 

(!)Municipal incinerators capable of charging more than fifty (50) tons of refuse per day. 

(J) Hydrofluoric, sulfuric, and nitric acid plants. 

(K) Petroleum refmeries. 

(L) Lime plants. 

(M) Phosphate rock processing plants. 

(N) Coke oven batteries. 

(0) Sulfur recovery plants. 

(P) Carbon black plants (furnace process). 

(Q) Primary lead smelters. 

(R) Fuel conversion plants. 

(S) Sintering plants. 

(T) Secondary metal production plants. 

(U) Chemical process plants, excluding ethanol production facilities that produce ethanol by 

natural fermentation included in North American Industry Classification System (NAICS) codes 

325193 for Ethyl Alcohol Manufacturing or 312140 for Distilleries, as revised in 2007**. 

(V) Fossil fuel boilers (or combinations thereof) totaling more than two hundred fifty million 

(250,000,000) British thermal units per hour heat input. 

(W) Taconite ore processing plants. 

(X) Glass fiber processing plants. 

(Y) Charcoal production plants. 

21 
(Z) Petroleum storage and transfer units with a total storage capacity exceeding three hundred 

thousand (300,000) barrels. 

(2) Any stationary source with the potential to emit two hundred fifty (250) tons per year or more of a 

regulated NSR pollutant. 

(3) Any of the following stationary sources with potential emissions of five (5) tons per year or more of 

lead or lead compounds measured as elemental lead: 

(A) Primary lead smelters. 

(B) Secondary lead smelters. 

(C) Primary copper smelters. 

(D) Lead gasoline additive plants. 

(E) Lead-acid storage battery manufacturing plants that produce two thousand (2,000) or more 

batteries per day. 

(4) Any other stationary source with potential emissions of twenty-five (25) or more tons per year oflead 

or lead compounds measured as elemental lead. 

(5) Any physical change occurring at a stationary source not qualifYing under subdivisions (1) through (4) 

if the change would by itself qualifY as a major stationary source under subdivisions (1) through (4). 

( 6) Notwithstanding subdivisions (1) through ( 5), a source or modification of a source shall not be 

considered a major stationary source if it would qualifY under subdivisions (1) through (5) only if fugitive 

emissions, to the extent quantifiable, are considered in calculating potential to emit of the stationary source 

or modification and the source does not belong to any of the categories listed in subdivision (1) or any other 

statiomuy source category that, as of August 7, 1980, is being regulated under Section 111 or 112 of the 

CAA (42 U.S. C. 7411 or 42 U.S.C. 7412). 

(7) A major stationary source that is major for VOC or NOx shall be considered major for ozone. 

(gg) "Minor source baseline date" means the earliest date after the trigger date on which a major stationary 

source or major modification subject to the requirements of this rule or to 40 CFR Part 52.21 *submits a complete 

application under the relevant regulations, including the following: 

( 1) The trigger date is the following: 

(A) In the case ofpa!'lioola!e mal!ef PM10 and sulfur dioxide, August 7, 1977. 

(B) In the case of nitrogen dioxide, February 8, 1988. 

(C) In the case ofPM2,5, October 20, 2011. 

(2) The baseline date is established for each pollutant for which increments or other equivalent measures 

have been established if: 

(A) the area in which the proposed source or modification would construct is designated as 

attainment or unclassifiable under 326 lAC 1-4 for the pollutant on the date of its complete 

application under this rule; and 

(B) in the case of a major stationary source, the pollutant would be emitted in significant amounts, 

or, in the case of a major modification, there would be a significant net emissions increase of the 

pollutant. 

(3) Any minor source baseline date established originally for the TSP increments shall remain in effect and 

shall apply for purposes of determining the amount of available PM10 increments, except that the 

commissioner may rescind a minor source baseline date where it can be shown, to the satisfaction of the 

connnissioner, that the emissions increase from the major stationary source, or net emissions increase from 

the major modification, responsible for triggering that date did not result in a significant amount ofPM10 

emissions. 

(hh) "Necessary preconstrnction approvals or permits" means those permits or approvals required under 

federal air quality controllaws and regulations and air quality controllaws and regulations that are part of the SIP. 

(ii) "Net emissions increase", with respect to any regulated NSR pollutant emitted by a major stationary 

source, means the following: 

(1) The amount by which the sum of the following exceeds zero (0): 

(A) The increase in emissions from a particular physical change or change in the method of 

22 
operation at a stationary source as calculated nnder section 2(d) of this rule. 

(B) Any other increases and decreases in actual emissions at the major stationary source that are 

contemporaneous with the particular change and are otherwise creditable. Baseline actual 

emissions for calculating increases and decreases under this clause shall be determined as 

provided in subsection (e), except that subsection ( e)(l)(C) and ( e)(2)(D) shall not apply. 

(2) An increase or decrease in actual emissions is contemporaneous with the increase from the particular 

change only if it occurs between the following: 

(A) The date five (5) years before construction of the particular change commences. 

(B) The date that the increase from the particular change occurs. 

(3) An increase or decrease in actual emissions is creditable only if the department has not relied on the 

increase or decrease in actual emissions in issuing a permit to the source under 40 CFR Part 52.21 * or this 

rule and the permit is in effect when the increase in actual emissions from the particular change occurs. 

(4) An increase or decrease in actual emissions of sulfur dioxide, partieulate ma!tef, PM, or nitrogen oxides 

that occurs before the applicable minor source baseline date is creditable only if it is required to be 

considered in calculating the amount of maximum allowable increases remaining available. 

(5) An increase in actual emissions is creditable only to the extent that a new level of actual emissions 

exceeds the old level. 

(6) A decrease in actual emissions is creditable only to the extent that: 

(A) the old level of actual emissions or the old level of allowable emissions, whichever is lower, 

exceeds the new level of actual emissions; 

(B) it is enforceable as a practical matter at and after the time that actual construction on the 

particular change begins; and 

(C) it has approximately tbe same qualitative significance for public health and welfare as tbat 

attributed to the increase from tbe particular change. 

(7) An increase that results from the physical change at a source occurs when the emissions unit on which 

construction occurred becomes operational and begins to emit a particular pollutant. Any replacement nnit 

that requires shakedown becomes operational only after a reasonable shakedown period not to exceed one 

hnndred eighty (180) days. 

(8) Subsection (b )(1) shall not apply for determining creditable increases and decreases. 

Gj) 11Plant-wide applicability limitation11 or "PAV' means an emission limitation expressed in tons per year, 

for a pollutant at a major stationary source, that is enforceable as a practical matter and established source-wide in 

accordance with this rule. For ll!e purposes of this rule, a PAL is an actuals PAL. 

(kk) "Pollution prevention" means the following: 

(I) Any activity that eliminates or reduces the release of air pollutants, including fugitive emissions, and 

other pollutants to the environment prior to recycling, treatment, or disposal, through: 

(A) process changes; 

(B) product reformulation or redesign; or 

(C) substitution of less polluting raw materials. 

(2) The term does not include: 

(A) recycling, except certain in-process recycling practices; 

(B) energy recovery; 

(C) treatment; or 

(D) disposal. 

(ll) "Potential to emit" means the maximum capacity of a stationary source to emit a pollutant under its 

physical and operational design. Any physical or operational limitation on the capacity of the source to emit a 

pollutant, including air pollution control equipment and restrictions on hours of operation or on the type or arnonnt 

of material combusted, stored, or processed, shall be treated as part of its design if the limitation or the effect it 

would have on emissions is enforceable as a practical matter. Secondary emissions do not count in determining the 

potential to emit of a stationary source. 

23 
(mm) 11Predictive emissions monitoring system11 or 11PEMS" means all of the equipment necessary to, on a 

continuous basis: 

(1) monitor: 

(A) process and control device operational parameters; and 

(B) other information, such as gas flow rate, 0 2 or C02 concentrations; and 

(2) calculate and record the mass emissions rate, such as pouuds per hour. 

(nn) 11Prevention of significant deteriorationprogram11 or 11PSD program" means a major source 

preconstruction permit program that has been approved by the U.S. EPA and incorporated into the SIP to implement 

the requirements of 40 CFR Part 51.166 or the program in 40 CFR Part 52.21. Any permit issued uuder the program 

is a major NSR permit. 

( oo) "Project" means a physical change in, or change in the method of operation of, an existing major 

stationary source. 

(pp) "Projected actual emissions" means the following: 

(1) The maximum annual rate, in tons per year, at which an existing emissions unit is projected to emit a 

regulated NSR pollutant in any consecutive twelve (12) month period of the five (5) years following the 

date the unit resumes regular operation after the project, or in any consecutive twelve (12) month period of 

the ten (1 0) years following the date the unit resumes regular operation, if the project involves increasing 

the emissions unit's design capacity or its potential to emit that regulated NSR pollutant and full utilization 

of the unit would result in a significant emissions increase or a significant net emissions increase at the 

major stationary source. 

(2) In determining the projected actual emissions uuder this subsection, before beginning actual 

construction, the owner or operator of the major stationary source: 

(A) shall: 

(i) consider all relevant information, including, but not limited to: 

(AA) historical operational data; 

(BB) the company's own representations; 

(CC) the company's expected business activity and the company's highest 

projections ofbusiness activity; 

(DD) the company's filings with the state or federal regulatory authorities; and 

(EE) compliance plans under the approved SIP; 

(ii) include fugitive emissions to the extent quantifiable and emissions associated with 

start-ups, shutdowns, and malfunctions to the extent they are affected by the project; and 

(iii) exclude, in calculating any increase in emissions that result from the particular 

project, that portion of the unit's emissions following the project that an existing unit 

could have accommodated during the consecutive twenty-four (24) month period used to 

establish the baseline actual emissions under subsection (e) and that are also unrelated to 

the particular project, including any increased utilization due to product demand growth; 

or 

(B) in lieu of using the method set out in clause (A), may elect to use the emissions unit's potential 

to emit, in tons per year, as defmed uuder subsection (11). 

( qq) "Reactivation of a very clean coal-fired electric utility steam generating unit" means any physical 

change or change in the method of operation associated with the commencement of commercial operations by a 

coal-fired utility unit after a period of discontinued operation where the unit: 

(1) has not been in operation for the two (2) year period prior to the enactroent of the CAA Amendments of 

1990, and the emissions from the unit continue to be carried in the department's emissions inventory at the 

time of enactment; 

(2) was equipped prior to shutdown with a continuous system of emissions control that achieves a removal 

efficiency for sulfur dioxide of not less than eighty-five percent (85%) and a removal efficiency for 

particulates of not less than ninety-eight percent (98%); 

(3) is equipped with low-NOx burners prior to the time of commencement of operations following 

24 
reactivation; and 

(4) is otherwise in compliance with the requirements of the CAA. 

(rr) "Reasonably available control technology" or "RACT11 means devices, systems, process modifications, 

or other apparatus or techniques that are reasonably available taking into account: 

(1) the necessity of imposing the controls in order to attain and maintain a national ambient air quality 

standard; 

(2) the social, environmental, and economic impact of the controls; and 

(3) altemative means of providing for attainment and maintenance of the standard. 

( ss) "Regulated NSR pollutant" means any ef the following: 

(1) Any EA1 pollutant for which a national ambient air quality standard has been promulgated and (Bj 

eenstitaents SF preearsers feF the pellatants iaeatifiea by the l*& Bl'-Ac any pollutant identified as a 

constituent or precursor to the pollutant. For purposes of NSR, in all attainment and unclassifiable 

areas: 

(A) VOC and nitrogen oxides are precursors to ozone; 

(B) sulfur dioxide and nitrogen oxides are precursors to PM2,

5 ; and 

(C) VOC and ammonia are not precursors to PM2•5• 

(2) Any pollutant that is subject to any standard promulgated under Section Ill oftbe CAA. 

(3) Any Class I or II substance subject to a standard promulgated under or established by Title VI of the 

CAA. 

(4) Any pollutant that otherwise is subject to regulation under the CAA as defmed in subsection (zz). 

(5) Notwithstanding subdivisions (I) through (4), any or all HAPs either listed in Section 112 of the CAA 

or added to the list pursuant to Section 112(b )(2) of the CAA, which have not been delisted pursuant to 

Section 112(b )(3) of the CAA, are not regulated NSR pollutants unless the listed HAP is also regulated as a 

constituent or precursor of a general pollutant listed under Section I 08 of the CAA. 

(6) Notwithstanding subdivision (5), any pollutant listed in subsection (ww)(l)(A} through ('wi)(l)(U). 

(ww)(l)(V). 

(tt) "Replacement unit" means an emissions unit for which all the criteria listed in subdivisions (I) through 

( 4) are met. No creditable emission reductions shall be generated from shutting down the existing emission unit that 

is replaced. The following applies: 

(I) The emissions unit is a reconstructed unit within the meaning of 40 CFR 60.15(b)(l)*, or the emissions 

unit completely takes the place of an existing emissions unit. 

(2) The emissions unit is identical to or functionally equivalent to the replaced emissions unit. 

(3) The replacement does not alter the basic desigu parameters, as discussed in 40 CFR 51.165(h)(2), of the 

process unit. 

(4) The replaced emissions unit is permanently removed from the major stationary source, otherwise 

permanently disabled, or permanently barred from operation by a permit that is enforceable as a practical 

matter. If the replaced emissions unit is brought back into operation, it shall constitute a new emissions 

unit. 

(uu) "Repowering" means replacement of an existing coal-fired boiler with one (I) of the following clean 

coal technologies: 

(I) Atmospheric or pressurized fluidized bed combustion. 

(2) Integrated gasification combined cycle. 

(3) Maguetohydrodynamics. 

(4) Direct and indirect coal-fired turbines. 

( 5) Integrated gasification fuel cells. 

(6) As determined by the U.S. EPA, in consultation with the Secretary of Energy, a derivative of one (1) or 

more of these technologies, and any other technology capable of controlling multiple combustion emissions 

simultaneously with improved boiler or generation efficiency and with significantly greater waste reduction 

relative to the performance of technology in widespread commercial use as ofNovember 15, 1990. 

25 
The term shall also include auy oil or gas-fired unit, or both, that has been awarded clean coal technology 

demonstration funding as ofJ anuary 1, 1991, by the Departroent of Energy. The department shall give expedited 

consideration to permit applications for any source that satisfies the requirements of this subsection and is granted an 

extension under Section 409 ofthe CAA. 

(vv) 11 Secondary emissions" means emissions that would occur as a result of the construction or operation 

of a major stationary source or major modification, but do not come from the major stationary source or major 

modification itself. The term includes emissions from any off-site support facility that would not be constructed or 

increase its emissions except as a result of the construction or operation of the major stationary source or major 

modification. For the purpose of this rule, secondary emissions must be specific, well-defmed, quantifiable, and 

impact the same general area as the source or modification that causes the secondary emissions. The term does not 

include any emissions that come directly from a mobile source, such as emissions from: 

(I) the tailpipe of a motor vehicle; 

(2) a train; or 

(3) a vessel. 

(ww) "Significant" means the following: 

(I) In reference to a net emissions increase or the potential of the source to emit any of the following 

pollutants, a rate of emissions that would equal or exceed any of the following rates: 

(A) Carbon monoxide: one hundred (I 00) tons per year. 

(B) Nitrogen oxides: forty (40) tons per year. 

(C) Sulfur dioxide: forty ( 40) tons per year. 

(D) Paftioola!e lllal!e¥. PM: twenty-five (25) tons per year. 

(E) PM10: fifteen (15) tons per year. 

(F) PM2•

8 : ten (10) tons per year direct PM2•5; forty (40) tons per year of sulfur dioxide; forty 

( 40) tons per year of nitrogen oxides. 

fF1 (G) Ozone: forty (40) tons per year ofVOC or nitrogen oxides. 

~(H) Lead: six-tenths (0.6) ton per year. 

\H1 (I) Asbestos: seven one-thousandths (0.007) ton per year. 

Eij (J) Beryllinm: four ten-thousandths (0.0004) ton per year. 

t.Jj (K) Mercmy: one-tenth (0.1) ton per year. 

~ (L) Vinyl chloride: one (I) ton per year. 

€LJ (M) Fluorides: three (3) tons per year. 

€Mj (N) Sulfuric acid mist: seven (7) tons per year. 

€Nj (0) Hydrogen sulfide (H2S): ten (10) tons per year. 

EGj (P) Total reduced sulfur (including H2S): ten (I 0) tons per year. 

EP1 (Q) Reduced sulfur compounds (including H2S): ten (I 0) tons per year. 

EQ1 (R) Municipal waste combustor organics (measured as total tetra- through octa-chlorinated 

dibenzo-p-dioxins and dibenzofurans): thirty-five ten-millionths (0.0000035) or 3.5 x 10"" ton per 

year. 

ERj (S) Municipal waste combustor metals (measured as partiealate mat!er): PM): fifteen (15) tons 

per year. 

tSj (T) Municipal waste combustor acid gases (measured as sulfur dioxide and hydrogen 

chloride): forty ( 40) tons per year. 

tB (U) Municipal solid waste landfills emissions (measured as nonmethane organic compounds): 

fifty (50) tons per year. 

M (V) Ozone-depleting substances (ODS): one hundred (l 00) tons per year. 

M (W) Pollutant greenhouse gases (GHGs): as specified in subsection (zz). 

{¥11 (X) Any regulated NSR pollutant other than the pollutants listed in this subsection: any 

emission rate. 

(2) Any emissions rate or any net emissions increase associated with a major stationary source or major 

modification that: 

(A) would be constructed within ten (10) kilometers of a Class I area; and 

26 
(B) has an impact on the area equal to or greater than one (1) microgram per cubic meter (24-hour 

average). 

(xx) usignificant emissions increase" means, for a regulated NSR pollutant, an increase in emissions that is 

significant, as defined in subsection (ww), for that pollutant. 

(yy) "Stationary source" means any building, structure, facility, or installation that emits or may emit a 

regulated NSR pollutant. A stationary source does not include emissions resulting from au internal combustion 

engine used for transportation purposes or from a nonroad engine or nomoad vehicle. 

(zz) "Subject to regulation" means, for any air pollutant, that the pollutant is subject to either a provision in 

the CAA, or a nationally applicable regulation codified by the U.S. EPA in 40 CFR, Chapter I, Subchapter C, that 

requires actual control of the quantity of emissions of that pollutant, and that the control requirement has taken effect 

and is operative to control, limit, or restrict the quantity of emissions of that pollutant released from that regulated 

activity, except as follows: 

(1) Greenhouse gases (GHGs), the air pollutant defmed in 40 CFR 86.1818-12(a)*, as added by 75 FR 

25686 (May 7, 2010), as the aggregate group of six (6) greenhouse gases shall not be subject to regulation 

except as provided in subdivisions (4) and (5). Pollutant GHGs includes the following: 

(A) Carbon dioxide. 

(B) Nitrous oxide. 

(C) Methane. 

(D) Hydro fluorocarbons. 

(E) Perfluorocarbons. 

(F) Sulfur hexafluoride. 

(2) For purposes of subdivisions (3) through (5), "tons per year (tpy) C02 equivalent emissions (C02e )" 

shall represent an amount of GHGs emitted and shall be calculated as follows: 

(A) Multiply the mass amount of emissions in tpy for each of the six (6) greenhouse gases in the 

pollutant GHGs by the gas's associated global warming potential published in 40 CFR 98, Subpart 

A, Table A-1 (Global Warming Potentials)*, as added by 74 FR 56395 (October 30, 2009). 

(B) Sum the resultant value from clause (A) for each gas to compute a tpy C02e. 

(C) Prior to July 21, 2014, the mass of the greenhouse gas carbon dioxide shall not include 

carbon dioxide emissions resulting from the combustion or decomposition of nonfossilized 

and biodegradable organic material originating from plants, animals, or microorganisms 

(including products, byproducts, residues, and waste from agriculture, forestry, and related 

industries as well as the nonfossilized and biodegradable organic fractions of industrial and 

municipal wastes, including gases and liquids recovered from the decomposition of 

nonfossilized and biodegradable organic material). 

(3) "Emissions increase", as used in subdivisions (4) and (5), means that both a significant emissions 

increase as calculated using the procedures in 40 CFR 51.166(a)(7){iv)* and a significant net emissions 

increase as defmed in subsections (ii) and (ww) occur. For the pollutant GHGs, an emissions increase shall 

be based on tpy C02e, and shall be calculated assuming the pollutant GHGs is a regulated NSR pollutant, 

and "significant" is defmed as seventy-five thousand (75,000) tpy C02e instead of applying the value in 

subsection (ww)(l)(W). 

(4) Beginning January 2, 2011, the pollutant GHGs is subject to regulation if the stationary source is: 

{A) a new major stationary source for a regulated NSR pollutant that is not GHGs and will emit or 

will have the potential to emit seventy-five thousand {75,000) tpy C02e or more; or 

(B) an existing major stationary source for a regulated NSR pollutant that is not GHGs and will 

have an emissions increase of a regulated NSR pollutant, and an emissions increase of seventyfive thousand (75,000) tpy C02e or more. 

(5) Beginning July I, 2011, in addition to the provisions in subdivision (4), the pollutant GHGs shall be 

subject to regulation at: 

(A) a new stationary source that will emit or will have the potential to emit one hundred thousand 

(I 00,000) tpy C02e or more; or 

27 
(B) an existing stationary source that emits or has the potential to emit one hundred thousand 

(100,000) tpy C02e or more, when such stationary source undertakes a physical change or change 

in the method of operation that will result in an emissions increase of seventy-five thousand 

(75,000) tpy C02e or more. 

(aaa) "Temporary clean coal technology demonstration project" means a clean coal technology 

demonstration project that: 

(1) is operated for a period of five (5) years or less; and 

(2) complies with the SIP and other requirements necessary to attain and maintain the national ambient air 

quality standards during the project and after the project is terminated. 

*These documents are incorporated by reference. Copies may be obtained from the Govermnent Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana46204. 

**These documents are incorporated by reference. Copies may be obtained through the U.S. Census 

Bureau website at: www.census.gov/eos/www/naics or are available for review and copying at the Indiana 

Department of Environmental Management, Office of Air Quality, Indiana Govermnent Center North, Tenth Floor, 

100 North Senate Avenue, Indianapolis, Indiana.46204. (Air Pollution Control Board; 326 lAC 2-2-1; filed Mar I 0, 

1988, 1:20 p.m.: 11 IR 239J;filedApr 13, 1988, 3:35p.m.: 11 IR 3022;filed Jan 6, 1989, 3:30p.m.: 12 IR 1102; 

filed Jun 14, 1989, 5:00p.m.: 12 IR 2020;filedNov 25, 1998, 12:13 p.m.: 22 IR 997; errata filed May 12, 1999, 

11:23 a.m.: 22 IR 3105; filed Oct 23, 2000, 9:47a.m.: 24/R 668;filedMar 23, 2001, 3:03p.m.: 24 IR2412;filed 

Dec 20, 2001, 4:30p.m.: 25 IR 1557;filed Mar 9, 2004, 3:45p.m.: 27 IR2216;filedAug 10, 2004, 3:35p.m.: 27 IR 

3889;filed Oct I, 2010, 3:48p.m.: 20101027-JR-326070372FRA;filedFeb 14, 2011, 11:20 a.m.: 20110316-IR326100505FRA; errata filed Feb 16, 2011, 2:28p.m.: 20110316-IR-326110089ACA;filed Ju/21, 2011, 10:45 a.m.: 

20110817-IR-326110099FRA) 

SECTION 5. 326 lAC 2-2-4 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-2-4 Air quality analysis; requirements 

Authority: IC 13-14-8; IC 13-17-3 

Affected: IC 13-15; IC 13-17 

Sec. 4. (a) Any application for a permit under the provisions of this rule shall contain an analysis of 

ambient air quality in the area that the major stationary source or major modification would affect for each ofthe 

following pollutants: 

(I) For a source, each regulated NSR pollutant that the source would have the potential to emit in a 

significant amount. 

(2) For a modification, each regulated NSR pollutant for which the modification would result in a 

significant net emissions increase. 

(b) Exemptions are as follows: 

(I) The requirements of this section shall not apply to a major stationary source or major modification with 

respect to a particular pollutant ifthe allowable emissions of that pollutant from the source or the net 

emissions increase ofthat pollutant from the modification would: 

(A) impact no Class I area and no area where an applicable increment is known to be violated; and 

(B) be temporary. 

(2) A source or modification shall be exempt from the requirements of this section with respect to 

monitoring for a particular pollutant if either of the following apply: 

(A) The emissions increase of the pollutant from a new source or the net emissions increase of the 

pollutant from a modification would cause, in any area, air quality impacts less than the following: 

(i) Carbon monoxide: 575 ~g/m , 8-hour average. 

28 
(ii) Nitrogen dioxide: 14 f!g/m3

, annual average. 

(iii) PM10: 10 f!g/m3

, 24-hour average. 

(iv) PM2•

5: 4JLg/m3

, 24-hour average. 

EivJ (v) Sulfur dioxide: 13 f!g/m3

, 24-hour average. 

M (vi) Ozone: No de mioirais air quality level is provided for ozone; however, any net 

iocrease of one hundred (100) tons per year or more ofVOC or nitrogen oxides subject 

to PSD would be required to provide ozone ambient air quality data. 

EvJj (vii) Lead: 0.1 f!g/m3

, 3-month average. 

E¥li1 (viii) Mercury: 0.25 f!g/m3

, 24-hour average. 

Evffij (ix) Beryllium: 0.001 f!g/m3

, 24-hour average. 

EH<J (x) Fluorides: 0.25 f!g/m3

, 24-hour average. 

W (xi) Vioyl chloride: 15 f!g/m3

, 24-hour average. 

E><B (xii) Total reduced sulfur: 10 mg/m3

, !-hour average. 

f*ii1 (xiii) Hydrogen sulfide: 0.2 f!g/m3

, !-hour average. 

f*iH1 (xiv) Reduced sulfur compounds: 10 f!g/m3

, !-hour average. 

(B) The concentrations of the pollutant in the area affected by the source or modification are less 

than the concentrations listed io clause (A) or the pollutant is not listed io clause (A). 

(3) The requirements of this section shall not apply to a major stationary source or major modification with 

respect to pollutant GHGs. 

(c) All monitoring required by this section shall be done in accordance with the following provisions: 

(1) With respect to any pollutant for which no ambient air quality standard designated in 326 IAC 1-3 

exists, the analysis shall contain such air quality monitoring data as the commissioner determines is 

necessary to assess ambient air quality for that pollutant in any area that the emissions of that pollutant 

would affect. 

(2) With respect to any pollutant (other than nonmethane hydrocarbons) for which an ambient air quality 

standard as designated in 326 IAC 1-3 exists, the analysis shall contain continuous air quality monitoring 

data gathered for the purpose of determining whether emissions of that pollutant would cause or contribute 

to a violation of the standard or any maximum allowable increase. 

(3) In general, the continuous air quality monitoring data that is required shall have been gathered over a 

period of at least one (I) year precediog receipt of the application, except that, if the commissioner 

determioes that a complete and adequate analysis can be accomplished with monitoriog data gathered over 

a period shorter than one ( 1) year (but not less than four ( 4) months), the data that is required shall have 

been gathered over at least that shorter period. 

(4) The owner or operator of the proposed major stationary source or major modification ofVOC or 

nitrogen oxides who satisfies all conditions of 40 CFR Part 51, Appendix S, Section IV* may provide 

post-approval monitoriog data for ozone in lieu of providiog preconstruction data as required under this 

subsection. 

(5) The owner or operator of a major stationary source or major modification shall, after construction of the 

source or modification, conduct such ambient monitoring as the commissioner determines is necessary to 

determioe the effect of the emissions that the source or modification may have, or is haviog, on air quality 

in any area. 

(6) The owner or operator of a major stationary source or major modification shall comply with the 

requirements of 40 CFRPart 58, Appendix B* during operation of monitoring stations for purposes of 

complying with this section. 

(7) All air quality monitoriog shall be done in accordance with state and federal monitoriog procedures as 

set forth io the following references: May 1987 U.S. EPA, "Ambient Air Monitoring Guidelioes for 

Prevention of Significant Deterioration" (EPA 45014-87-007)* and the May 1999, "Indiana Department of 

Environmental Management, Office of Air Management Quality Assurance Manual*". 

*These documents are iocorporated by reference. Copies may be obtaioed from the Govermnent Priotiog 

Office, 732 North Capitol Street NW, Washiogton, D.C. 20401 or are available for review and copying at the 

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth 

29 
Floor, IOO North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-2-4;filed 

Mar 10, 1988, 1:20 p.m.: 11 IR 2396; filed Apr 13, 1988, 3:35p.m.: 11 IR 3026;filed Jan 6, 1989, 3:30p.m.: 12 IR 

1099;filedMar 23, 2001, 3:03p.m.: 241R 2420;filedDec 20, 2001, 4:30p.m.: 25 JR 1565;filedAug 10, 2004, 

3:35p.m.: 27 IR 390l;filed Oct I, 2010, 3:48p.m.: 20101027-JR-326070372FRA;fi/ed Feb 14, 2011, 11:20 a.m.: 

2011 0316-JR-3261 00505FRA) 

SECTION 6. 326 IAC 2-2-6 IS AMENDED TO READ AS FOLLOWS: 

326 IAC 2-2-6 Increment consumption; requirements 

Authority: IC 13-14-8; IC 13-17-3-4 

Affected: IC 13-12 

Sec. 6. (a) Any demonstration under section 5 of this rule shall demonstrate that increased emissions caused 

by the proposed major stationary source or major modification will not exceed eighty percent (80%) of the available 

maximum allowable increases (MAl) over the baseline concentrations for sulfur dioxide, pal'lioolate ma1tef, PM, 

and nitrogen dioxide indicated in subsection (b )(I). Available maximum allowable increases are determined by 

adjusting the MAI to include impacts from actoal emissions: 

(1) from any major stationary source or major modification on which construction commenced after the 

major source baseline date; and 

(2) increases and decreases at any source occurring after the minor source baseline date. 

On a case-by-case basis, a source may petition the commissioner to use in excess of this eighty percent (80%). The 

commissioner may authorize such use provided the source adequately demonstrates the need for the same. 

(b) Increment consumption shall be in accordance with the following: 

(1) The following allowable increments reflect the PSD increments for a Class II area (as defmed in the 

CAA). Indiana has no Class I or Class III areas; however, should some areas of the state be classified as 

Class I or III, the PSD increments pursuant to 40 CFR Part 52.21 * to which it must be adhered. New 

permits issued after Janmuy I, I995, shall use PM10 as the indicator for partieulate ll'll!!ler. PM. The 

allowable increments are as follows: 

Maximum Allowable Increments 

Pollutants Allowable Increments (Micrograms per Cubic Meter, flg/m3 Limits) 

(A) Partiealate ~PM: 

(PMw): 

Annual arithmetic mean 

24-hour maximum 

(PM,.s): 

I7 

30 

Annual arithmetic mean 4 

24-hour maximum 9 

(B) Sulfur dioxide: 

Annual arithmetic mean 20 

24-hour maximum 91 

3-hour maximum 512 

(C) Nitrogen dioxide: 

Annual arithmetic mean 25 

(2) For any period other than the annual period, the applicable maximum allowable increase may be 

exceeded during one (I) such period per year at any one (1) location. 

(3) When an applicant proposes to construct a major stationary source or major modification in an area 

designated as attaimnent or unclassified and the increments listed in subdivision (I) have been consumed, 

the increased emissions from the source or modification may be permitted to be offset by reducing 

emissions in the affected areas by an equal amount of the pollutant for which the area was designated as 

attainment or unclassified. 

(4) The following pollutant concentrations shall be excluded when determining compliance with a 

30 
maximum allowable increase: 

(A) Concentrations attributable to the increase in emissions from sources tbat have converted from 

the use of petroleum products or natural gas, or both, by reason of an order in effect under 

Sections 2(a) and 2(b) oftbe Energy Supply and Enviromnental Coordination Act of 1974 over the 

emissions from Sll€h the sources before tbe effective date of soolHm the order. 

(B) Concentrations attributable to the increase in emissions from sources tbat have converted from 

using natural gas by reason of a natural gas curtaihnent plan in effect pursuant to the Federal 

Power Act over the emissions from Sll€h the sources before tbe effective date of Sll€h the plan. 

(C) Concentrations ofpartim!late mat!ef PM attributable to tbe increase in emissions from 

construction or other temporazy emission-related activities of new or modified sources. 

(D) Concentrations attributable to tbe temporary increase in emissions of sulfur dioxide, 

partioolate matlef, PM, or nitrogen oxides from stationary sources tbat are affected by state 

hnplementation plan revisions approved by U.S. EPA are excluded provided the following criteria 

is met: 

(i) Sooh The exclusion shall not exceed two (2) years in duration unless a longer thne is 

approved by tbe commissioner and tbe U.S. EPA. 

(ii) Sooh The exclusion is not renewable. 

(iii) Sooh The exclusion shall allow no emissions increase tbat would hnpact a Class I 

area or an area where an applicable increment is known to be violated, or cause or 

contribute to a violation of an ambient air quality standard as designated in 326 lAC 1-3. 

(iv) An emission limitation shall be in effect at tbe end oftbe time period specified in 

accordance witb item (i) tbat will ensure that the emissions levels will not exceed those 

levels occurring from Sll€h the source before the exclusion was granted. 

(5) No exclusion of such a concentration under subdivision ( 4)(A) throogli and ( 4)(B) shall apply more 

than five (5) years after tbe date tbe exclusion is granted under this rule. If both such order and plan are 

applicable, no such exclusion shall apply more than five (5) years after tbe latter of ooeh the effective dates. 

*This document is incorporated by reference. Copies may be obtained from the Govermnent Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 2040 I or are available for review and copying at the 

Indiana Departroent ofEnviromnental Management, Office of Air Quality, Indiana Govermnent Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-2-6; filed 

Mar 10, 1988, 1:20 p.m.: II IR 2398;filed Jun 14, 1989, 5:00p.m.: 12 IR 2025;filed Oct 3, 1995, 3:00p.m.: 19 IR 

185;filed Mar 23, 2001, 3:03p.m.: 24 IR 2422;filed Dec 20, 2001, 4:30p.m.: 25 IR 1567;filed Mar 9, 2004, 3:45 

p.m.: 27 IR 2222;filedAug 10, 2004, 3:35p.m.: 27 IR 3903) 

SECTION 7. 326 lAC 2-2-14 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-2-14 Sources impacting federal Class I areas: additional requirements 

Authority: IC 13-14-8; IC 13-17-3 

Affected: IC 13-15; IC 13-17 

Sec. 14. (a) The departroent shall provide written notice of any permit application for a proposed major 

stationary source or major modification, the emissions from which may affect a Class I area, to the federal land 

manager and tbe federal official charged with direct responsibility for management of any lands within any sueh the 

Class I area. Sooh The notification shall be given within thirty (30) days of receipt of a permit application and at 

least sixty (60) days prior to any public hearing on the application for a permit to construct and shall include the 

following: 

(I) A copy of all information relevant to tbe permit application. 

(2) An analysis of the proposed source's anticipated impacts on visibility in the federal Class I area. 

The departroent shall also provide the federal land manager and Sll€h the federal officials witb a copy ofthe 

preliminary determination required uuder tbis section, and shall make available to them any materials used in 

making that determination, promptly after the department makes the determination. The depattment shall also notify 

all affected federal land managers within thirty (30) days of receipt of any advance notification of any Sll€h permit 

31 
application that may affect a Class I area. 

(b) The federal land manager and the federal official charged with direct responsibility for management of 

the Class I area have an affirmative responsibility to protect the air quality related values, including visibility, of the 

Class I area and to consider, in consultation with U.S. EPA, whether a proposed source or modification will have an 

adverse impact on St!€h the values. 

(c) The department shall consider any analysis performed by the federal land manager, provided to the 

department within thirty (30) days of the notification required by subsection (a), that shows that a proposed new 

major stationary source or major modification may have an adverse impact on visibility in any federal Class I area. 

Where the department finds that the analysis does not demonstrate to the satisfaction of the department that an 

adverse impact on visibility will result in the federal Class I area, the department must, in the notice of public 

hearing on the permit application, either explain the decision or give notice as to where the explanation may be 

obtained. 

(d) The federal land manager of any Class I area may demonstrate to the department that the emissions 

from a proposed major stationary source or major modification would have an adverse impact on the air qualityrelated values, including visibility, of a Class I area, notwithstanding that the change in air quality resulting from 

emissions from the major stationary source or major modification would not cause or contribute to concentrations 

that would exceed the maximum allowable increases for a Class I area. If the department concurs with the 

demonstration, then the department shall not issue the permit. 

(e) The owner or operator of a proposed major stationary source or major modification may demonstrate to 

the federal land manager that the emissions from the source or modification would have no adverse impact on the air 

quality related values of any Class I areas, including visibility, notwithstanding that the change in air quality 

resulting from emissions from the major stationary source or major modification would cause or contribute to 

concentrations that would exceed the maximum allowable increases for a Class I area. Ifthe federal land manager 

concurs with the demonstration and the federal land manager so certifies, the department may issue the permit 

provided that the applicable requirements ofthis section are otherwise met, to issue the permit with emission 

limitations as may be necessary to assure that emissions of sulfur dioxide, partioHlate matter, PM, and nitrogen 

oxides shall not exceed the following maximum allowable increases over minor source baseline concentration for 

such pollutants: 

Maximum Allowable Increase 

Pollutant Micrograms Per Cubic Meter (J.tg/m3) 

PartioHlate ma!leF. PM: 

PM10, annual arithmetic mean 

PM10, 24-hour maximum 

PM2.5, annual arithmetic mean 

PM2,

5, 24-hour maximum 

Sulfur dioxide: 

Annual arithmetic mean 

24-hour maximum 

3 -hour maximum 

Nitrogen dioxide: 

Annual arithmetic mean 

17 

30 

4 

9 

20 

91 

325 

25 

(f) The owner or operator of a proposed major stationary source or major modification that cannot be 

approved under subsection (e) may demonstrate to the department that the source cannot be constructed by reason of 

any maximum allowable increase for sulfur dioxide for a period of twenty-four (24) hours or less applicable to any 

Class I area and, in the case of federal mandatory Class I areas, that an exemption under this subsection would not 

adversely affect the air quality related values of the area, including visibility. The department, after consideration of 

the federal land manager's recommendation, if any, and subject to the federal land manager's concurrence, may, after 

32 
notice and public hearing, grant an exemption from 1l'llllh the maximum allowable increase. If 1l'llllh the exemption is 

granted, the department shall issue a permit to 1l'llllh the major stationary source or major modification pursuant to 

the requirements under subsection (h) provided that the applicable requirements ofthis section are otherwise met. 

(g) In any case where the department recommends an exemption in which the federal land manager does 

not concur, the recommendations of the department and the federal land manager shall be transmitted to the 

President. The President may approve the department's recommendation ifthe president finds that the exemption is 

in the national interest. Ifthe exemption is approved, the department shall issue a permit pursuant to the 

requirements nnder subsection (h) provided that the applicable requirements of this section are otherwise met. 

(h) In the case of a permit issued pursuant te under subsection (f) or (g), the major stationary source or 

major modification shall comply with 1l'llllh the emission limitations as may be necessary to assure that emissions of 

sulfur dioxide from the major stationary source or major modification would not, during any day on which the 

otherwise applicable maximum allowable increases are exceeded, cause or contribute to concentrations that would 

exceed the following maximum allowable increases over the baseline concentration and to assure that 1l'llllh the 

emissions would not cause or contribute to concentrations that exceed the otherwise applicable maximum allowable 

increases for periods of exposure of twenty-four (24) hours or less for more than eighteen (18) days, not necessarily 

consecutive, during any annual period: 

Maximum Allowable Increase 

(Micrograms Per Cubic Meter) of Sulfur Dioxide 

Period of Exposure 

24-hour maximum 

3 -hour maximuru 

Terrain Areas 

Low 

36 

130 

High 

62 

221 

(i) The department shall transmit to the U.S. EPA a copy of each permit application relating to a major 

stationary source or major modification and provide notice to the U.S. EPA of the following actions related to 

consideration of 1l'llllh the permit nnder this section: 

(I) Receipt of an advanced notification of a permit application affected by this section. 

(2) Any written notice provided to the federal land manager nnder this section. 

(3) Public notice of a preliminary determination. 

(4) Notices of public hearings. 

(5) Decisions to grant or deny exemptions in accordance with this section. 

(6) Any decision in accordance with subsection (c) tbat an analysis submitted by the federal land manager 

does not demonstrate to the satisfaction ofthe department that an adverse impact on visibility will result in 

the Class I area. 

(7) Denial of a permit. 

(8) Issuance of a permit. 

(Air Pollution Control Board; 326 lAC 2-2-14;filed Mar 23, 2001, 3:03p.m.: 24 IR 2427;filed Mar 23, 2001, 3:03 

p.m.: 241R 2427;filed Dec 20, 2001, 4:30p.m.: 25 IR 1569) 

SECTION 8. 326 lAC 2-3-1 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-3-1 Definitions 

Authority: IC 13-14-8; IC 13-17-3 

Affected: IC 13-15; IC 13-17 

Sec. 1. (a) The defmitions in this section apply throughout this rule. 

(b) "Actual emissions" means the actual rate of emissions of a regulated NSR pollutant from an emissions 

nnit as determined in accordance with the following: 

(I) In general, actual emissions as of a particular date shall equal the average rate, in tons per year, at which 

the nnit actually emitted the pollutant during a consecutive twenty-four (24) month period that: 

33 
(A) precedes the particular date; and 

(B) is representative of normal source operation. 

The connnissioner shall allow the use of a different time period upon a determination that it is more 

representative of normal source operation. Actual emissions shall be calculated usiog the unit's actual 

operatiog hours, production rates, and types of materials processed, stored, or combusted duriog the 

selected time period. 

(2) The commissioner may presume that source-specific allowable emissions for the unit are equivalent to 

the actual emissions of the unit. 

(3) For any emissions unit that has not begun normal operations on the particular date, actual emissions 

shall equal the potential to emit ofthe unit on that date. 

(4) The term shall not apply for calculatiog a significant emissions iocrease under section 2(c) of this rule 

or for establishing a PAL under 326 lAC 2-3.4. Instead, subsections (d) aud (kk) shall apply for those 

purposes. 

(c) "Allowable emissions" means the emissions rate of a source calculated using the maximum rated 

capacity of the source unless a source is subject to enforceable permit limits that restrict the operating rate or hours 

of operation, or both, and the most striogent of the followiog: 

(I) The applicable standards as set forth io 40 CFR Part 60, New Source Performance Standards (NSPS)*, 

and 40 CFR Part 61, National Emission Standards for Hazardous Air Pollutants (NESHAPS)*. 

(2) The emissions limitation imposed by any rule io this title, iocluding those with a future compliance 

date. 

(3) The emissions rate specified as an enforceable permit condition, iocluding those with a future 

compliance date. 

(d) "Baseline actual emissions" means the rate of emissions, io tons per year, of a regulated NSR pollutant, 

as determined as follows: 

(I) For any existing electric utility steam generatiog unit, the term means the average rate, io tons per year, 

at which the unit actually emitted the pollutant duriog any consecutive twenty-four (24) month period 

selected by the owner or operator withio the five (5) year period immediately precediog when the owner or 

operator begios actual construction of the project. The commissioner may allow the use of a different time 

period upon a determioation that it is more representative of normal source operation. The baselioe actual 

emissions shall be determioed io accordance with the following: 

(A) The average rate shall ioclude fugitive emissions to the extent quantifiable and emissions 

associated with start-ups, shutdowns, and malfunctions to the extent they are affected by the 

project. 

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that 

occurred while the source was operating above any emission limitation that was legally 

enforceable duriog the consecutive twenty-four (24) month period. 

(C) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (I) 

consecutive twenty-four (24) month period may be used to determioe the baselioe actual emissions 

for the emissions units being changed. A different consecutive twenty-four (24) month period can 

be used for each regulated NSR pollutant. 

(D) The average rate shall not be based on any consecutive twenty-four (24) month period for 

which there is inadequate information available for determining annual emissions, in tons per year, 

aud for adjustiog this amount if required by clause (B). 

(2) For au existiog emissions unit, other than an electric utility steam generatiog unit, the term means the 

average rate, io tons per year, at which the emissions unit actually emitted the pollutant during any 

consecutive twenty-four (24) month period selected by the owner or operator within the ten (1 0) year 

period immediately preceding either the date the owner or operator begios actual construction of the project 

or the date a complete permit application is received by the department for a permit required under 326 

lAC 2-3, except that the ten (10) year period shall not ioclude any period earlier than November 15, 1990. 

The baseline actual emissions shall be determioed io accordance with the following: 

(A) The average rate shall ioclude fugitive emissions to the extent quantifiable and emissions 

34 
associated with start-ups, shutdowns, and malfunctions and to the extent they are affected by the 

project. 

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that 

occurred while the source was operating above an emission limitation that was legally enforceable 

during the consecutive twenty-four (24) month period. 

(C) The average rate shall be adjusted downward to exclude any emissions that would have 

exceeded an emission limitation with which the major stationary source must currently comply 

had the major stationary source been required to comply with the limitations during the 

consecutive twenty-four (24) month period. However, if an emission limitation is part of a 

maximum achievable control technology standard that the U.S. EPA proposed or promulgated 

under 40 CFR Part 63*, the baseline actual emissions need only be adjusted if the state has applied 

the emissions reduction to an attainment demonstration or maintenance plan consistent with the 

requirements of section 3(b)(l2) of this rule. 

(D) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (I) 

consecutive twenty-four (24) month period must be used to determine the baseline actual 

emissions for the emissions units being changed. A different consecutive twenty-four (24) month 

period can be used for each regulated NSR pollutant. 

(E) The average rate shall not be based on any consecutive twenty-four (24) month period for 

which there is inadequate information available for determining annual emissions, in tons per year, 

and for adjusting this amount if required by clauses (B) and (C). 

(3) For a new emissions unit, the baseline actual emissions for purposes of determining the emissions 

increase that will result from the initial construction and operation of the unit shall equal zero (0) and 

thereafter, for all other purposes, shall equal the unit's potential to emit. 

(4) For a PAL for a major stationary source, the baseline actual emissions shall be calculated for existing 

electric utility steam generating units in accordance with the procedures contained in subdivision (I), for 

other existing emissions units in accordance with the procedures contained in subdivision (2), and for a new 

emissions unit in accordance with the procedures contained in subdivision (3). 

(e) "Begin actual construction11 means, in general, initiation of physical on-site construction activities on an 

emissions unit that are of a permanent nature. These activities include, but are not limited to, the following: 

(I) Installation ofbuilding supports and foundations. 

(2) Laying underground pipework. 

(3) Construction of permanent storage structures. 

With respect to a change in method of operations, the term refers to those on-site activities, other than preparatory 

activities, that mark the initiation of the change. 

(f) "Best available control technology" or "BACT" means an emissions limitation, including a visible 

emission standard, based on the maximum degree of reduction for each regulated NSR pollutant that would be 

emitted from any proposed major stationary source or major modification that the commissioner, on a case-by-case 

basis, taking into account energy, environmental, and economic impacts and other costs, determines is achievable 

for the source or modification through application of production processes or available methods, systems, and 

techniques, including fuel cleaning or treatment or innovative fuel combustion techniques for control of the 

pollutant. In no event shall application of BACT result in emissions of any pollutant that would exceed the 

emissions allowed by any applicable standard under 40 CFR Part 60* or 40 CFRPart 61 *.If the commissioner 

determines !bat technological or economic limitations on the application of measurement methodology to a 

particular emissions unit would make the imposition of an emissions standard infeasible, a design, equipment, work 

practice, operational standard, or combination thereof may be prescribed instead to satisfy the requirement for the 

application of BACT. The standard shall, to the degree possible, set forth the emissions reduction achievable by 

implementation of the design, equipment, work practice, or operation and shall provide for compliance by means 

that achieve equivalent results. 

(g) "Building, structure, facility, or installation" means all of the pollutant-emitting activities that belong to 

the same industrial grouping, are located on one(!) or more contiguous or adjacent properties, and are under the 

35 
control of the same person or persons under common control. Pollutant-emitting activities shall be considered as part 

of the same industrial grouping if they belong to the same major group, that is, those that have the same frrst two (2) 

digit code, as described in the Standard Industrial Classification Manual, 1972, as amended by the 1977 supplement, 

U.S. Government Printing Offrce*. 

(h) "Clean coal technology" means any technology, including technologies applied at the precombustion, 

combustion, or postcombustion stage, at a new or existing facility that will achieve significant reductions in air 

emissions of sulfur dioxide or eJ<ides efnitrogen oxides associated with the utilization of coal in the generation of 

electricity or process steam that was not in widespread use as of November 15, 1990. 

(i) "Clean coal technology demonstration project" means a project using funds appropriated under the 

heading "Department of Energy-Clean Coal Technology", up to a total amount of two billion five hundred million 

dollars ($2,500,000,000) for commercial demonstration of clean coal technology, or shnilar projects funded through 

appropriations for the U.S. EPA. The federal contribution for a qualifying project shall be at least twenty percent 

(20%) of the total cost of the demonstration project. 

(j) "Commence 11 , as applied to construction of a major stationary source or major modification, means that 

the owner or operator has all necessary preconstruction approvals or permits and either has: 

( 1) begun, or caused to begin, a continuous program of actual on-site construction of the source to be 

completed within a reasonable time; or 

(2) entered into binding agreements or contractual obligations, which cannot be canceled or modifred 

without substantial loss to the owner or operator, to undertake a program of actual construction of the 

source to be completed within a reasonable thne. 

(k) "Complete", in reference to an application for a permit, means that the application contains all of the 

information necessary for processing the application. Designating an application complete for pruposes of permit 

processing does not preclude the commissioner from requesting or accepting additional information. 

(I) "Construction" means any physical change or change in the method of operation, including: 

(1) fabrication; 

(2) erection; 

(3) installation; 

( 4) demolition; or 

(5) modification; 

of an emissions unit, that would result in a change in actual emissions. 

(m) "Continuous emissions monitoring system" or "CEMS" means all ofthe equipment that may be 

required to meet the data acquisition and availability requirements of this rule to complete the following: 

(1) Sample emissions on a continuous basis. 

(2) If applicable, condition emissions. 

(3) Analyze emissions on a continuous basis. 

(4) Provide a record of emissions on a continuous basis. 

(n) 11Continuous emissions rate monitoring systern11 or 11CERMS11 means the total equipment required for 

the determination and recording of the pollutant mass emissions rate in terms of mass per unit of time. 

( o) "Continuous parameter monitoring system" or "CPMS" means all of the equipment necessary to meet 

the data acquisition and availability requirements of this rule to: 

( 1) monitor: 

(A) process and control device operational parameters; and 

(B) other information, such as gas flow rate, 0 2 or C02 concentrations; and 

(2) record average operational parameter values on a continuous basis. 

36 
(p) 11De minimis", in reference to an emissions increase ofVOC or S*ides efnitrogen oxides (unless a NOx 

waiver is in effect) from a modification in a serious or severe ozone nonattainment area, means an increase that does 

not exceed tWenty-five (25) tons per year when the net emissions increases from the proposed modification are 

aggregated on a pollutant specific basis with all other net emissions increases from the source over a five (5) 

consecutive calendar year period prior to, and including, the year ofthe modification. 

( q) "Electric utility steam generating unit" means any steam electric generating unit that is constructed for 

the purpose of supplying more than one-third (1/3) of its potential electric output capacity and more than twenty-five 

(25) megawatts electrical output to any utility power distribution system for sale. Any steam supplied to a steam 

distribution system for the purpose of providing steam to a steam-electric generator that would produce electrical 

energy for sale is also considered in determining the electrical energy output capacity of the affected facility. 

(r) "Emissions unit" means any part of a stationary source that emits or would have the potential to emit 

any regulated NSR pollutant. For purposes of this rule, there are the following two (2) types of emissions units: 

(1) A new emissions unit is any emissions unit that is, or will be, newly constructed and that has existed for 

less than two (2) years froin the date the emissions unit first operated. 

(2) An existing emissions unit is any emissions unit that does not meet the requirements in subdivision (1 ). 

A replacement unit is an existing emissions unit. 

(s) "Federal land manager" means, with respect to any lands in the United States, the secretary of the 

department with authority over the lands. 

(t) "Federally enforceable" means all limitations and conditions that are enforceable by the U.S. EPA, 

including: 

( 1) those requirements developed pursuant to 40 CPR Part 60* and 40 CPR Part 61 *; 

(2) requirements within the SIP; and 

(3) any permit requirements established pursuant to 40 CPR Part 52.21 * or under regulations approved 

pursuant to 40 CPR Part 51, Subpmt 1*, including operating permits issued under an EPA-approved 

program that is incorporated into the SIP and expressly requires adherence to any permit issued under the 

program. 

(u) "Fugitive emissions" means those emissions that could not reasonably pass through a stack, chimney, 

vent, or other functionally equivalent opening. 

(v) 11 lncidental emissions reductions" means the reductions in emissions of a pollutant achieved as an 

indirect result of complying witb another rule for another pollutant. 

(w) "Internal offset" means to use net emissions decreases from within the source to compensate for an 

increase in emissions. 

(x) 11Lowest achievable emission rate" or "LAER11 means, for any source, the more stringent rate of 

emissions based on the most stringent emissions limitation of the following: 

(1) Contained in the implementation plan of any state for the class or category of stationary source unless 

the owner or operator ofthe proposed stationary source demonstrates that the limitations are not 

achievable. 

(2) Achieved in practice by the class or category of stationary source. This limitation, when applied to a 

modification, means the LAER for the new or modified emissions unit within the stationary source. In no 

event shall the application of the LAER allow a proposed new or modified stationary source to emit any 

pollutant in excess of the amount allowable under applicable new source standards of performance. 

(y) "Major modification" means any physical change in, or change in the method of operation of, a major 

stationary source that would result in a significant emissions increase and a significant net emissions increase of a 

regulated NSR pollutant from the major stationary source or, in an area that is classified as either a serious or severe 

ozone nonattainrnent area, an increase in VOC or <llfifles efnitrogen oxides (unless a NOx waiver is in effect) 

37 
emissions that is not de minimis. The following provisions apply: 

(I) Any significant emissions increase from any emissions units or net emissions increase at a major 

stationary source that is significant for VOC or <llfides efnitrogen oxides (unless a NOx waiver is in effect) 

shall be considered significant for ozone. 

(2) A physical change or change in the method of operation shall not ioclude the following: 

(A) Routine maintenance, repair, and replacement. 

(B) Use of an alternative fuel or raw material by reason of an order under Sections 2(a) and 2(b) of 

the Energy Supply and Enviromnental Coordination Act of 1974 or by reason of a natural gas 

curtaibnent plan under the Federal Power Act. 

(C) Use of an alternative fuel by reason of an order or rule under Section 125 of the CAA. 

(D) Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated 

from municipal solid waste. 

(E) Use of an alternative fuel or raw material by a source that the source: 

(i) was capable of accormnodating before December 21, 1976, unless the change would 

be prohibited under any enforceable permit condition that was established after 

December 21, 1976, under 40 CFR Part 52.21 * or regulations approved under 40 CFR 

Part 51.160 through 40 CFR Part 51.165* or 40 CFR Part 51.166*; or 

(ii) is approved to use under any permit issued under this rule. 

(F) An increase io the hours of operation or in the production rate unless the change would be 

prohibited under any enforceable permit condition that was established after December 21, 1976, 

under40 CFRPart 52.21 *or regulations approved under 40 CFRPart 51.160 through 40 CFR 

Part 51.165* or 40 CFR Part 51.166*. 

(G) Any change in ownership at a stationary source. 

(H) The iostallation, operation, cessation, or removal of a temporary clean coal technology 

demonstration project provided that the project complies with: 

(i) the SIP; and 

(ii) other requirements necessary to attain and maintain the national ambient air quality 

standards during the project and after it is terminated. 

(3) The term shall not apply to a particular regulated NSR pollutant when the major stationary source is 

complyiog with the requirements under 326 IAC 2-2.4 for a PAL for that pollutant. Instead, the definition 

at 326 IAC 2-2.4-2(g) shall apply. 

(z) "Major stationary source" means the following: 

(1) Any stationary source of air pollutants, except for those subject to subdivision (2), that emits or has the 

potential to emit one hundred (100) tons per year or more of any regulated NSR pollutant. 

(2) For ozone nonattaimnent areas, the term includes any stationary source or group of sources located 

within a contiguous area and under cormnon control that emits or has the potential to emit VOC or fl*i<les 

ef nitrogen oxides (unless a NOx waiver is in effect) that would equal or exceed any ofthe following rates: 

Ozone Classification Rate 

Marginal 100 tons per year 

Moderate 100 tons per year 

Serious 50 tons per year 

Severe 25 tons per year 

(3) Any ofthe following stationary sources with potential emissions of five (5) tons per year or more of 

lead or lead compounds measured as elemental lead: 

(A) Prbnary lead smelters. 

(B) Secondary lead smelters. 

(C) Prbnary copper smelters. 

(D) Lead gasoline additive plants. 

(E) Lead-acid storage battery manufacturing plants that produce two thousand (2,000) or more 

batteries per day. 

(4) Any other stationary source with potential emissions of twenty-five (25) or more tons per year oflead 

or lead compounds measured as elemental lead. 

38 
(5) Any physical change occurring at a stationary source not qualifYing under subdivision(!) ifthe change 

would by itself qualifY as a major stationary source under subdivision(!). 

(aa) "Necessary preconstruction approvals or permits" means those permits or approvals required under 326 

lAC 2-2, 326 lAC 2-5.1, and 326 lAC 2-7. 

(bb) "Net emissions decrease" means the amount by which the sum of the creditable emissions increases 

and decreases from any source modification project is less than zero (0). 

(cc) "Net emissions increase", with respect to any regulated NSR pollutant emitted by a major stationary 

source, means the following: 

(I) The amount by which the sum of the following exceeds zero (0): 

(A) The increase in emissions from a particular physical change or change in the method of 

operation at a stationary source as calculated under section 2(c) and 2(d) of this rule. 

(B) Any other increases and decreases in actual emissions at the major stationary source that are 

contemporaneous with the particular change and are otherwise creditable. Baseline actual 

emissions for calculating increases and decreases under this clause shall be determined as 

provided in subsection (d), except that subsection (d)(l)(C) and (d)(2)(D) shall not apply. 

(2) For the purpose of determining de minimis in an area classified as sedous or severe for ozone, the 

amount by which the sum ofthe emission increases and decreases from any source modification project 

exceeds zero (0). 

(3) The following emissions increases and decreases are to be considered when determining net emissions 

increase: 

(A) Any increase in actual emissions fi-om a particular physical change or change in the method of 

operation. 

(B) Any ofthe following increases and decreases in actual emissions that are contemporaneous 

with the particular change and are otherwise creditable: 

(i) An increase or decrease in actual emissions is contemporaneous with the increase 

fi·om the particular change only if it occurs after January 16, 1979, and between the 

following: 

(AA) The date five (5) years before construction of the particular change 

commences. 

(BB) The date that the increase from the particular change occurs. 

(ii) An increase or decrease in actual emissions is creditable only if the commissioner has 

not relied on the increase or decrease in issuing a permit for the source under this rule, 

which permit is in effect when the increase in actual emissions from the particular change 

occurs. 

(iii) An increase in actual emissions is creditable only to the extent that a new level of 

actual emissions exceeds the old level. 

(iv) A decrease in actual emissions is creditable only to the extent that: 

(AA) the old level of actual emissions or the old level of allowable emissions, 

whichever is lower, exceeds the new level of actual emissions; 

(BB) it is enforceable as a practical matter at and after the time that actual 

construction on the particular change begins; 

(CC) the commissioner has not relied on it in issuing any permit under 

regulations approved under 40 CFR Part 51, Subpart I* or the state has not 

relied on it in demonstrating attainment or reasonable further progress; and 

(DD) it has approximately the same qualitative significance for public health 

and welfare as that attributed to the increase from the pruticular change. 

(v) An increase that results from the physical change at a source occurs when the 

emissions unit on which construction occurred becomes operational and begins to emit a 

particular pollutant. Any replacement unit that requires shakedown becomes operational 

only after a reasonable shakedown pedod not to exceed one hundred eighty (180) days. 

39 
(vi) Subsection (b )(I) shall not apply for determining creditable increases and decreases 

or after a particular change or change in method of operation. 

( dd) 11N ew11, in reference to a: 

(I) major stationary source; 

(2) modified major stationary source; or 

(3) major modification; 

means one that commences construction after the effective date ofthis rule. 

(ee) 11Nonattainment major new source review programn means a major source preconstruction permit 

program that has been approved by the U.S. EPA and incorporated into the SIP to implement the federal 

requirements of 40 CFRPart 51.165*, or a program that implements40 CFRPart 51, Appendix S, Sections I 

through VI*. Any permit issued under the program is a major NSR permit. 

(ft) "Pollution prevention" means the following: 

(I) Any activity that eliminates or reduces the release of air pollutants, including fugitive emissions, and 

other pollutants to the environment prior to recycling, treatment, or disposal through: 

(A) process changes; 

(B) product reformulation or redesign; or 

(C) substitution ofless polluting raw materials. 

(2) The term does not include: 

(A) recycling, except certain in-process recycling practices; 

(B) energy recovery; 

(C) treatment; or 

(D) disposal. 

(gg) "Potential to emit" means the maximum capacity of a stationary source to emit a pollutant under its 

physical and operational design. Any physical or operational limitation on the capacity of the source to emit a 

pollutant, including air pollution control equipment and restrictions on hours of operation or on the type or amount 

of material combusted, stored, or processed, shall be treated as part of its design only if the limitation or the effect it 

would have on emissions is enforceable as a practical matter. Secondary emissions do not count in determining the 

potential to emit of a stationary source. 

(hh) "Predictive emissions monitoring system" or "PEMS" means all of the equipment necessary to: 

( 1) monitor: 

(A) process and control device operational parameters; and 

(B) other information, such as gas flow rate, 0 2 or C02 concentrations; and 

(2) calculate and record the mass emissions rate on a continuous basis. 

(ii) 11Prevention of significant deterioration permie or 11PSD permif1 means any permit that is issued under 

326 lAC 2-2 or under the program in 40 CFR Part 52.21 *. 

(jj) "Project" means a physical change in, or change in the method of operation of, an existing major 

stationary source. 

(kk) "Projected actual emissions" means the following: 

(I) The maximum annual rate, in tons per year, at which an existing emissions unit is projected to emit a 

regulated NSR pollutant in any consecutive twelve (12) month period of the five (5) years following the 

date the unit resumes regular operation after the project, or in any consecutive twelve (12) month period of 

the ten (1 0) years following the date the unit resumes regular operation, if the project involves increasing 

the emissions unit's design capacity or its potential to emit of that regulated NSR pollutant and full 

utilization of the unit would result in a significant emissions increase or a significant net emissions increase 

at the major stationary source. 

40 
(2) In determining the projected actual emissions before beginning actual construction, the owner or 

operator of the major stationmy source: 

(A) shall: 

(i) consider all relevant information, including, but not limited to: 

(AA) historical operational data; 

(BB) the company's own representations; 

(CC) the company's expected business activity and the company's highest 

projections of business activity; 

(DD) the company's filings with the state or federal regulatory authorities; and 

(BE) compliance plans under the approved plan; 

(ii) include fugitive emissions to the extent quantifiable and emissions associated with 

start-ups, shutdowns, and malfunctions to the extent they are affected by the project; and 

(iii) exclude, in calculating any increase in emissions that results from the particular 

project, that portion of the unit's emissions following the project that an existing unit 

could have accommodated during the consecutive twenty-four (24) month period used to 

establish the baseline actual emissions under subsection (d) and that is also unrelated to 

the particular project, including any increased utilization due to product demand growth; 

or 

(B) in lieu of using the method set out in clause (A), may elect to use the emissions unit's potential 

to emit, in tons per year, as defmed under subsection (gg). 

(ll) "Reasonable further progress" or "RFP" means the annual incremental reductions in emissions of a 

pollutant that are sufficient in the judgment of the board to provide reasonable progress towards attainment ofthe 

applicable ambient air quality standards established by 326 lAC 1-3 by the dates set forth in the CAA. 

(mm) "Regulated NSR pollutant" means the following: 

(I) Nitrogen oxides or any VOC. 

(2) Any pollutant for which a national ambient air quality standard has been promulgated. 

(3) Any pollutant that is a constituent or precursor of a general pollutant listed under subdivision (I) or (2) 

provided that a constituent or precursor pollutant may only be regulated under NSR as part of regulation of 

the general pollutant. For purposes of NSR: 

(A) VOC and nitrogen oxides are precursors to ozone in all ozone nonattainment areas; 

(B) sulfur dioxide and nitrogen oxides are precursors to PM2.

5 in all PM2.5 nonattainment 

areas; and 

(C) VOC and ammonia are not precursors to PM2.5 in any PM2.5 nonattainment area. 

(nn) "Replacement uuit" means an emissions unit for which all the criteria listed in subdivisions (1) through 

( 4) are met. No creditable emission reductions shall be generated from shutting down the existing emission unit that 

is replaced. The following applies: 

(I) The emissions unit is a reconstructed unit within the meaning of 40 CFR 60. 15(b)(J)*, or the emissions 

unit completely takes the place of an existing emissions unit. 

(2) The emissions unit is identical to or functionally equivalent to the replaced emissions unit. 

(3) The replacement does not alter the basic design parameters, as discussed in 40 CFR 51.165(h)(2), ofthe 

process unit. 

(4) The replaced emissions unit is permanently removed from the m[\jor stationary source, otherwise 

permanently disabled, or permanently barred from operation by a permit that is enforceable as a practical 

matter. If the replaced emissions unit is brought back into operation, it shall constitute a new emissions 

unit. 

(oo) "Secondaty ernission11 means emissions that would occur as a result of the construction or operation of 

a major stationary source or major modification, but do not come from the major stationary source or major 

modification itself. For the purpose of this rule, secondary emissions must be specific, well-defined, quantifiable, 

and impact the same general area as the stationary source or modification that causes the secondary emissions. 

41 
Secondary emissions may include, but are not limited to, emissions from: 

(I) ships or trains coming to or from the new or modified stationaty source; and 

(2) an off-site support facility that would not otherwise be constructed or increase its emissions as a result 

of the construction or operation of the major stationary source or major modification. 

(pp) nsignificant", in reference to a net emissions increase or the potential of a source to emit any of the 

following pollutants, means a rate of emissions that would equal or exceed any of the following rates: 

Carbon monoxide 100 tons per year (tpy) 

Nitrogen oxides 40 tpy 

Sulfur dioxide 40 tpy 

Partioola!e ma!tef PM 25 tpy 

PM10 15 tpy 

PM,,s 10 tpy direct PM2•5; 40 tpy of sulfur dioxide; 40 tpy nitrogen oxides 

Ozone (marginal and moderate areas) 

Lead 

40 tpy ofVOC or ffi<ides sf nitrogen oxides (unless a NOx waiver is in effect) 

0.6 tpy 

( qq) 11 Significant emissions increase 11 means, for a regulated NSR pollutant, an increase in emissions that is 

significant as defmed in subsection (pp) for that pollutant. 

(rr) "Source modification project" means all those physical changes or changes in the methods of operation 

at a source that are necessary to achieve a specific operational change. 

(ss) "Stationary source" means any building, structure, facility, or installation, including a stationary 

internal combustion engine, that emits or may emit a regulated NSR pollutant. 

(tt) "Temporary clean coal technology demonstration project" means a clean coal technology demonstration 

project that is operated for a period of five (5) years or less and that complies with the SIP and other requirements 

necessa1y to attain and maintain the national ambient air quality standards during the project and after it is 

terminated. 

*These documents are incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-3-1; filed 

Mar 10, 1988, 1:20 p.m.: 11 IR 2401;fi/ed Jan 6, 1989, 3:30p.m.: 12 IR 1106;fi/ed Nov 12, 1993, 4:00p.m.: 17 IR 

725;filedNov 25, 1998, 12:13 p.m.: 22 IR 1002; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3105;filedAug 17, 

2001, 3:45p.m.: 25 IR 6; errata filed Nov 29, 2001, 12:20 p.m.: 25/R 1183; errata filed Dec 12, 2002, 3:30p.m.: 

261R 1565;filed Aug 10, 2004, 3:35p.m.: 27 JR 3920;fi/ed Oct 1, 2010, 3:48p.m.: 20101027-IR-326070372FRA) 

SECTION 9. 326 lAC 2-3-2 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-3-2 Applicability 

Authority: IC 13-14-8; IC 13-17-3 

Affected: IC 13-15; IC 13-17 

Sec. 2. (a) This rule applies to new major stationary sources or major modifications constructed in an area 

designated, as ofthe date of submittal of a complete application, as nonattainment in 326 lAC 1-4, for a pollutant for 

which the stationary source or modification is major. 

(b) This rule applies to modifications of major stationary sources ofVOC or ffi<ides sf nitrogen oxides 

(unless a NOx waiver is in effect) in serious and severe ozone nonattainment areas as follows: 

(1) A modification of a major stationary source with a de minimis increase in emissions shall be exempt 

42 
from section 3 ofthis rule. 

(2) A modification having an increase in emissions that is not de minimis to an existing major stationary 

sonrce that does not have the potential to emit one hundred (100) tons or more ofVOC or eJ<ides ef 

nitrogen oxides (unless a NOx waiver is in effect) per year will not be subject to section 3(a) of this rule if 

the owner or operator ofthe sonrce elects to internal offset the increase by a ratio of one and three-tenths 

(1.3) to one (1). If the owner or operator does not make the election or is unable to, section 3(a) of this rule 

applies, except that BACT shall be substituted for LAER required by section 3(a)(2) of this rule. 

(3) A modification having an increase in emissions that is not de minimis to an existing major stationary 

sonrce emitting or having the potential to emit one hundred (100) tons ofVOC or eJ<ides efnitrogen oxides 

(unless a NOx waiver is in effect) or more per year will be subject to the requirements of section 3(a) of 

this rule, except that the owner or operator may elect to internal offset the increase at a ratio of one and 

three-tenths (1.3) to one (1) as a substitute for LAERrequired by section 3(a)(2) ofthis rule. 

(c) The requirements of this rule will be applied in accordance with the following: 

(1) Except as otherwise provided in subsection (k) and consistent with the definition of major modification 

in section l(y) ofthis rule, a project is a major modification for a regulated NSR pollutant if it causes a 

significant emissions increase and a significant net emissions increase except for VOC emissions in a 

severe or serious nonattainment area for ozone. The project is not a major modification if it does not cause 

a significant emissions increase. If the project causes a significant emissions increase, then the project is a 

major modification only if it also results in a significant net emissions increase. 

(2) Prior to beginning actual construction, the procedure for calculating whether a sigoificant emissions 

increase will occnr depends upon the type of emissions units being modified, in accordance with this 

subsection, except for VOC emissions in a severe or serious nonattainment area for ozone. The procedure 

for calculating, before beginning actual construction, whether a sigoificant net emissions increase will 

occur at the major stationary sonrce is contained in section I( cc) ofthis rule. Regardless of any 

preconstruction projections, a major modification results if the project causes a significant emissions 

increase and a significant net emissions increase. 

(3) For an actual-to-projected-actual applicability test for projects that only involve existing emissions 

units, a significant emissions increase of a regulated NSR pollutant is projected to occnr ifthe sum of the 

difference between the projected actual emissions and the baseline actual emissions for each existing 

emissions unit equals or exceeds the sigoificant amount for that pollutant. 

( 4) For an actual-to-potential applicability test for projects that only involve construction of new emissions 

units, a significant emissions increase of a regulated NSR pollutant is projected to occnr if the sum of the 

difference between the potential to emit from each new emissions unit following completion of the project 

and the baseline actual emissions of these units before the project equals or exceeds the sigoificant amount 

for that pollutant. 

(5) For projects that involve a combination of emission units using the tests in subdivisions (3) and (4), a 

significant emissions increase of a regulated NSR pollutant is projected to occur if the sum of the emissions 

increases for each emissions unit, using the method specified in subdivisions (3) and ( 4), as applicable, with 

respect to each emissions unit, for each type of emissions unit equals or exceeds the significant amount for 

that pollutant. 

(d) At the time that a particular source or modification becomes a major stationary somce or major 

modification solely by virtue of a relaxation in any enforceable limitation that was established after August 7, 1980, 

on the capacity of the source or modification otherwise to emit a pollutant, such as a restriction on honrs of 

operation, then this rule applies to the sonrce or modification as though constmction had not yet commenced on the 

source or modification. 

(e) In the case of an area that has been redesigoated nonattainment, any source that would not have been 

required to submit a permit application under 326 lAC 2-2 concerning the prevention of significant deterioration 

will not be subject to this rule if construction commences within eighteen (18) months of the area's redesignation. 

(f) Major stationary sources or major modifications that would locate in any area desigoated as attainment 

43 
or unclassifiable io the state and would exceed the followiog significant impact levels at any locality, for any 

pollutant that is designated as nonattaioment, must meet the requirements specified io section 3(a)(l) through 3(a)(3) 

of this rule. All values are expressed io micrograms per cubic meter (!lg/m3): 

Pollutant Aunual 24-hour 8-hour 3-hour 

25 

!-hour 

Sulfur dioxide I 5 X X 

+eta! susperuled partieulateo l !i ,X: ,X: ,X: 

PM10 I 5 X X X 

PM,,s 0.3 1.2 X 

Nitrous oxides I X 

X 

X 

500 

X 

X 

X 

X 

Carbon monoxide X X 2,000 

(g) This rule does not apply to a source or modification, other than a source of VOC or mHdes ef nitrogen 

oxides (unless a NOx waiver is in effect) in a serious or severe ozone nonattainment area or a source ofPM10 in a 

serious PM10 area, that would be a major stationary source or major modification only if fugitive emissions, to the 

extent quantifiable, are considered in calculating the potential to emit of the stationary source or modification and 

the source does not belong to any of the following categories: 

(1) Coal cleaning plants (with thermal driers). 

(2) Kraft pulp mills. 

(3) Portland cement plants. 

(4) Primary zioc smelters. 

(5) Iron and steel mill plants. 

(6) Primary aluminum ore reduction plants. 

(7) Primary copper smelters. 

(8) Municipal iocioerators capable of charging more than two hundred fifty (250) tons of refuse per day. 

(9) Hydrofluoric, sulfuric, and nitric acid plants. 

(I 0) Petroleum refmeries. 

(11) Lime plants. 

( 12) Phosphate rock processiog plants. 

(13) Coke oven batteries. 

(14) Sulfur recovery plants. 

(15) Carbon black plants (furnace process). 

(16) Primary lead smeiters. 

(17) Fuel conversion plants. 

(18) Sioteriogplants. 

( 19) Secondary metal production plants. 

(20) Chemical process plants, excludiog ethanol production facilities that produce ethanol by natural 

fermentation iocluded io North American Industry Classification System (NAICS) codes 325193 for Ethyl 

Alcohol Manufacturiog or 312140 for Distilleries, as revised io 2007*. 

(21) Fossil-fuel boilers (or combioations thereof) totaling more than two hundred fifty million 

(250,000,000) British thermal units per hour heat ioput. 

(22) Petroleum storage and transfer unit with a storage capacity exceediog three hundred thousand 

(300,000) barrels. 

(23) Taconite ore processiog plants. 

(24) Glass fiber processiog plants. 

(25) Charcoal production plants. 

(26) Fossil fuel-fired stearu electric plants of more than two hundred fifty million (250,000,000) British 

thermal units per hour heat ioput. 

(27) Any other stationary source categmy that, as of August 7, 1980, is beiog regulated under Section Ill 

or 112 of the CAA. 

(h) For purposes of this rule, secondary emissions from a source need not be considered io determining 

whether the source would quality as a major source. If a source is subject to this rule on the basis of the direct 

44 
emissions from the source, the applicable conditions must also be met for secondary emissions. The secondary 

emissions may be exempt fi·om the requirements specified in section 3(a)(2) through 3(a)(3) ofthis rule. 

(i) HAPs listed in and regulated by 326 lAC 14-1 are not exempt from this rule. 

G) The installation, operation, cessation, or removal of temporary clean coal technology demonstration 

projects fimded under the Department of Energy-Clean Coal Technology Appropriations may be exempt from the 

requirements of section 3 of this rule. To qualifY for this exemption, the project must: 

(I) be at an existing facility; 

(2) operate for not more than five (5) years; and 

(3) comply with all other applicable rules for the area. 

(k) For any major stationary source operating under a PAL for a regulated NSR pollutant, the major 

stationary source shall comply with requirements under 326 lAC 2-3 .4. 

(I) The following specific provisions apply with respect to any regulated NSR pollutant emitted from 

projects at existing emissions units at a major stationary source, other than projects at a source with a PAL, in 

circumstances where there is a reasonable possibility, within the meaning of this subsection, that a project that is not 

a part of a major modification may result in a significant emissions increase of a regulated NSR pollutant, and the 

owner or operator elects to use the method specified in section l(kk)(2)(A) of this rule for calculating projected 

actual emissions: 

(I) Before beginning actual construction of the project, the owner or operator shall document and maintain 

a record of the following information: 

(A) A description ofthe project. 

(B) Identification of the emissions units whose emissions of a regulated NSR pollutant could be 

affected by the project. 

(C) A description of the applicability test used to determine that the project is not a major 

modification for any regulated NSR pollutant, including the following: 

(i) The baseline actual emissions. 

(ii) The projected actual emissions. 

(iii) The amount of emissions excluded under section 1 (kk)(2)(A)(iii) of this rule and an 

explanation for why the amount was excluded. 

(iv) Any netting calculations, if applicable. 

(2) lfthe emissions unit is an existing electric utility steam generating unit, before beginning actual 

construction, the owner or operator shall provide a copy of the information set out in subdivision (I) to the 

department. Nothing in this subdivision shall be construed to require the owner or operator of the unit to 

obtain any determination from the department before beginning actual construction. 

(3) The owner or operator shall: 

(A) monitor the emissions of any regulated NSR pollutant that could increase as a result of the 

project and that is emitted by any emissions units identified in subdivision (l)(B); and 

(B) calculate and maintain a record of the armual emissions, in tons per year on a calendar year 

basis, for a period of five (5) years following resumption of regular operations after the change, or 

for a period often (I 0) years following resumption of regular operations after the change if the 

project increases the design capacity or potential to emit of that regulated NSR pollutant at the 

emissions unit. 

(4) If the unit is an existing electric utility steam generating unit, the owner or operator shall submit a report 

to the department within sixty (60) days after the end of each year during which records must be generated 

under subdivision (3) setting out the unit's annual emissions during the year that preceded submission of the 

report. 

( 5) If the unit is an existing unit other than an electric utility steam generating unit, the owner or operator 

shall submit a report to the department ifthe annual emissions, in tons per year, from the project identified 

in subdivision (1), exceed the baseline actual emissions, as documented and maintained under subdivision 

(I )(C), by a significant amount for that regulated NSR pollutant, and ifthe emissions differ from the 

45 
preconstruction projection as documented and maintained under subdivision (I )(C). The report shall be 

submitted to the department within sixty (60) days after the end of the year. The repmt shall contain the 

following: 

(A) The name, address, and telephone number of the major stationary source. 

(B) The annual emissions as calculated under subdivision (3). 

(C) The emissions calculated under the actual to projected actual test stated in subsection ( c )(3). 

(D) Any other information that the owner or operator wishes to include in the report. 

(6) A reasonable possibility under this subsection occurs when the owner or operator calculates the project 

to result in either: 

(A) a projected actual emissions increase of at least fifty percent (50%) of the amount that is a 

significant emissions increase, as defined in section I ( qq) ofthis rule, without reference to the 

amount that is a significant net emissions increase, for the regulated NSR pollutant; or 

(B) a projected actual emissions increase that, added to the amount of emissions excluded under 

section 1(kk)(2)(A)(iii), sums to at least fifty percent (50%) of the amount that is a significant 

emissions increase, as defined in section l(qq) of this rule, without reference to the amount that is 

a significant net emissions increase, for the regulated NSR pollutant. For a project for which a 

reasonable possibility occurs only within the meaning of this clause, and not also within the 

meaning of clause (A), then subdivisions (2) through (5) do not apply to the project. 

(7) The owner or operator of the source shall make the information required to be documented and 

maintained under subdivisions (I) tlu·ough (5) available for review upon a request for inspection by the 

department. The general public may request this information from the department under 326 lAC 17.1. 

*These documents are incorporated by reference. Copies may be obtained through the U.S. Census Bureau 

website at: www.census.gov/eos/www/naics or are available for review and copying at the Indiana Department of 

Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor, 100 North 

Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-3-2; filed Mar 10, 1988, 1:20 

p.m.: 11 IR 2404;filed Nov 12, 1993, 4:00p.m.: 17 IR 728;filedAug 17, 2001, 3:45p.m.: 25 IR ll;filedAug 10, 

2004, 3:35p.m.: 27 1R 3929;filed Oct 1, 2010, 3:48p.m.: 20101027-IR-326070372FRA;filedJul21, 2011, 10:45 

a.m.: 20110817-IR-326110099FRA) 

SECTION 10. 326 lAC 2-3-3 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-3-3 Applicable requirements 

Authority: IC 13-14-8; IC 13-17-3 

Affected: IC 13-15; IC 13-17 

Sec. 3. (a) Prior to the issuance of a construction permit to a source subject to this rule, the applicant shall 

comply with the following requirements: 

(I) The proposed major new source or major modification shall demonstrate that the source will meet all 

applicable requirements of this title, any applicable new source performance standard in 40 CFR Part 60*, 

or any national emission standard for HAPs in 40 CFR Part 61 *. If the commissioner determines that the 

proposed major new source cannot meet the applicable emission requirements, the permit to construct will 

be denied. 

(2) The applicant will apply emission limitation devices or techniques to the proposed construction or 

modification such that the LAER for the applicable pollutant will be achieved. 

(3) The applicant shall either demonstrate that: 

(A) all existing major sources owned or operated by the applicant in the state are in compliance 

with all applicable emission limitations and standards contained in the CAA and in this title; or 

(B) they are in compliance with a federally enforceable compliance schedule requiring compliance 

as expeditiously as practicable. 

( 4) The applicant shall submit an analysis of alternative sites, sizes, production processes, and 

enviromnental control techniques for the proposed source that demonstrates that benefits of the proposed 

source significantly outweigh the enviromnental and social costs imposed as a result of its location, 

46 
constmction, or modification. 

(5) Emissions resulting from the proposed construction or modification shall be offset by a reduction in 

actual emissions of the same pollutant from an existing source or combination of existing sources. The 

emission offset shall be such that there will be reasonable further progress toward attainment ofthe 

applicable ambient air quality standards as follows: 

(A) Greater than one-for-one unless otherwise specified. 

(B) For ozone nonattainment areas, the following table shall determine the minimum offset ratio 

requirements for major stationary sources ofVOC or eJ<ides efnitrogen oxides (unless a NOx 

waiver is in effect): 

Ozone Classification 

Marginal 

Minimum Offset Requirements 

1.1 to I 

Moderate 1.15 to I 

Serious 1.2 to I 

Severe 1.3 to I 

(6) The total tonnage of increased emissions, in tons per year, resulting from a major modification that must 

be offset in accordance with Section 173 of the CAA shall be determined by summing the difference 

between the allowable emissions after the modification and the actual emissions before the modification for 

each emissions unit. 

(7) The applicant shall obtain the necessary preconstruction approvals and shall meet all the permit 

requirements specified in 3261AC 2-5.1 or 3261AC 2-7, as applicable. 

(8) Approval to construct shall not relieve any owner or operator of the responsibility to comply fully with 

an applicable provision ofthe SIP and any other requirements under local, state, or federal law. 

(b) The following provisions shall apply to all emission offset evaluations: 

(I) Emission offsets shall be determined on a tons per year and, whenever possible, a pounds per hour basis 

when all facilities requiring offset involved in the emission offset calculations are operating at their 

maximum potential or allowed production rate. When offsets are calculated on a tons per year basis, the 

baseline emissions for existing sources providing the offsets shall be calculated using the allowed or actual 

annual operating hours, whichever is less. 

(2) The baseline for determining credit for emission offsets will be the emission limitations or actual 

emissions, whichever is lower, in effect at the time the application to construct or modify a source is filed. 

Credit for emission offset purposes may be allowable for existing control that goes beyond that required by 

source-specific emission limitations contained in this title. 

(3) in cases where the applicable rule under this title does not contain an emission limitation for a source or 

source category, the emission offset baseline involving the sources shall be the actual emissions determined 

at their maximum expected or allowable production rate. 

(4) In cases where emission limitations for existing sources allow greater emissions than the potential to 

emit of the source, emission offset credit shall only be allowed for emissions controlled below the potential 

to emit. 

(5) A source may receive offset credit fi·om emission reductions achieved by shutting down an existing 

source or permanently curtailing production or operating hours below baseline levels ifthe reductions are 

permanent, quantifiable, and federally enforceable, as follows: 

(A) If the area has an attainment plan approved by the U.S. EPA, the shutdown or curtailment is 

creditable only if it occurred on or after the date of the most recent emissions inventory or 

attainment demonstration. However, in no event may credit be given for shutdowns that occurred 

prior to August 7, 1977. For purposes of this clause, the department may choose to consider a 

prior shutdown or curtailment to have occurred after the date of its most recent emissions 

inventory if the inventory explicitly includes, as current existing emissions, the emissions from the 

previously shutdown or curtailed sources. 

(B) The reductions may be credited in the absence of an approved attainment demonstration only 

if the: 

47 
(i) shutdown or curtailment occurred on or after the date the new source pennit 

application is filed; or 

(ii) applicant can establish that the proposed new source is a replacement for the 

shutdown or curtailed source and the cutoff date provisions in clause (A) are observed. 

(6) Emission offset credit involving an existing fuel combustion source will be based on the allowable 

emissions under other mles of this title for the type of fuel being burned at the time tbe new source 

application is filed. If the existing source commits to switch to a cleaner fuel at some future date, emission 

offset credit based on the allowable emissions for the fuels involved is acceptable, provided the permit is 

conditioned to require the use of a specific alternative control measure that would achieve the same degree 

of emission reduction should the source switch back to a dirtier fuel at some later date. The commissioner 

will grant emission offset credit for fuel switching only after ensuring that adequate supplies of the new 

fuel are available at least for the next ten (1 0) years. 

(7) In the case ofVOC emissions, no emission offset credit may be allowed for replacing one (1) 

hydrocarbon compound with another of lesser reactivity, except for those compounds defmed as 

nonphotochemically reactive hydrocarbons in 326 lAC 1-2-48. 

(8) No emission reduction may be approved to offset emissions that cannot be federally enforced. 

Offsetting emissions shall be considered federally enforceable if the reduction is included as a condition in 

the applicable permit as specified in 326 lAC 2-5.1 or 326 lAC 2-7 if issued nuder a federally-approved air 

permit program. 

(9) Emission reductions required under any other rule adopted by the board shall not be creditable as 

emission reductions and therefore cannot be used for emission offsets. 

(1 0) Incidental emission reductions that are not otherwise required by any other rule adopted by the board 

shall be creditable as emission reductions for emission offsets if the emission reductions meet all of the 

other requirements for offsets. 

(II) A source may offset by alternative or innovative means emission increases from rocket engine or 

motor firing and cleaning related to the frring at an existing or modifred major source that tests rocket 

engines or motors nuder the following conditions: 

(A) Any modification proposed is solely for the purpose of expanding the testing of rocket engines 

or motors at an existing source that is permitted to test the engines on November 15, 1990. 

(B) The source demonstrates to the satisfaction of the department that: 

(i) it has used all reasonable means to obtain and utilize offsets, as determined on an 

annual basis, for the emissions increases beyond allowable levels; 

(ii) all available offsets are being used; and 

(iii) sufficient offsets are not available to the source. 

(C) The source has obtained a written frnding from: 

(i) the Department of Defense; 

(ii) the Department of Transportation; 

(iii) the National Aeronautics and Space Administration; or 

(iv) another appropriate federal agency; 

that the testing of rocket motors or engines at the facility is required for a program essential to the 

national security. 

(D) The source will comply with an alternative measure, imposed by the department, designed to 

offset any emission increases beyond permitted levels not directly offset by the source. 

(12) Credit for an emissions reduction can be claimed to the extent that the department has not relied on the 

emission reduction credit in: 

(A) issuing any permit nuder regulations approved pursuant to 40 CFR Part 51 Subpart I*; or 

(B) a demonstration for attaimnent or reasonable further progress. 

*This document is incorporated by reference. Copies may be obtained from the Government Printing 

Offrce, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department ofEnviromnental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-3-3; filed 

Mar 10, 1988, 1:20 p.m.: 11 IR 2406;filed Nov 12, 1993, 4:00p.m.: 17 IR 730;filedNov 25, 1998, 12:13 p.m.: 22 

48 
IR 1005;filedAug 17, 2001, 3;45 p.m.: 25 IR 12;filedAug 10, 2004, 3:35p.m.: 27 IR 3931;filed Oct 1, 2010, 3:48 

p.m.: 20101027-IR-326070372FRA) 

SECTION I I. 326 lAC 2-5.1-2 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-5.1-2 Registrations 

Anthority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 4-21.5-3-4; IC 13-15-4-9; IC 13-17 

Sec. 2. (a) On and after December 25, 1998, this section applies to the foiiowing new sources: 

(1) Sources with a potential to emit within the foiiowing ranges: 

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

either particulate mat!ef PM, ""parti611la!e mat!efless than !tm EWj mierens PM10, or direct 

PM2.s. 

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of 

the foil owing poiiutants: 

(i) Sulfur dioxide (S02). 

(ii) Nitrogen oxides (NOx). 

(C) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of 

VOC for sources not described in clause (D). 

(D) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

VOC for sources that require the use of air poiiution control equipment to comply with the 

applicable provisions of326 lAC 8. 

(E) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons 

per year of carbon monoxide (CO). 

(F) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of 

lead (Pb). 

(G) Less than twenty-five (25) tons per year and equal to or greater !ban five (5) tons per year of 

the following regulated air poiiutants: 

(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

(2) Any source that: 

(A) is subject to 326 lAC 20-8; and 

(B) consists of only decorative chromium electroplating tanks that use a trivalent chromium 

process that incorporates a wetting agent. 

(b) No person subject to subsection (a) shaii construct or operate any new source subject to this section 

without registering the new source with the commissioner. 

(c) The registrant shaii submit an application in accordauce with this rule to the commissioner. The 

application shall include the foiiowing information: 

(1) The company name and address. 

(2) Descriptive information as foiiows: 

(A) A description of the nature and location ofthe proposed construction. 

(B) The design capacity and typical operating schedule of the proposed construction. 

(C) A description of the source and the emissions unit or units comprising the source. 

(D) A description of any emission control equipment, including design specifications. 

(3) A schedule for construction of the source. 

(4) Information on the nature and amount ofpoiiutauts to be emitted and any other information determined 

by the commissioner as necessary to demonstrate compliance with the ambient air quality standards. 

(5) Each application shaii be signed by an authorized individual, unless otherwise noted, whose signature 

49 
constitutes an acknowledgement that the applicant assumes the responsibility of assuring that the source, 

emissions unit or units, or emission control equipment will be constructed and will operate in compliance 

with all applicable state air pollution control rules and the requirements of the CAA. The signature shall: 

(A) constitute affirmation that the statements in the application are true and complete, as known at 

the tirae of completion of the application; and 

(B) subject the applicant to liability under state laws forbidding false or misleading statements. 

(d) Upon receipt of the information requested, the commissioner shall make a final determination within 

the time period described under 326 lAC 2-1.1-8. 

(e) Ifthe commissioner fmds an application submitted in accordance with this rule to be incomplete, the 

commissioner shall mail a notice of deficiency to the applicant that specifies the portions of the application that: 

(I) do not contain adequate information for the commissioner to process the application; or 

(2) are not consistent with applicable law or rules. 

The applicant shall forward the required additional information to the commissioner, or request additional time for 

providing the information, within sixty (60) days of receipt of the notice of deficiency. Ifthe additional information 

is not submitted within sixty (60) days, or the additional time provided by the commissioner, the application may be 

denied in accordance with IC 13-15-4-9. 

(f) A registration issued by the commissioner shall include terms and conditions that include all of the 

following: 

(I) Identification of any and all applicable requirements. 

(2) A physical description ofthe emissions unit or units and operating information consistent with the 

application information. 

(3) A requirement that an authorized individual provide an annual notice to the department that the source 

is in operation and in compliance with the registration. 

(4) An approval to operate in accordance with 326 IAC 2-5.5. 

(g) A registration issued by the commissioner may include terms and conditions that require monitoring, 

record keeping, and reporting as necessary to assure compliance with all applicable requirements. 

(h) The issuance of a registration shall not be subject to the public notice requirements under 326 IAC 2-

1.1-6, but the commissioner shall provide for public notice under IC 4-21.5-3-4. 

(i) The commissioner shall not issue a registration that liraits a source's potential to emit. (,4ir Pollution 

Control Board; 326 lAC 2-5.1-2;filedNov 25, 1998, 12:13 p.m.: 22 IR 1008; readopted filed Oct 22, 2004, 10:35 

a.m.: 28IR 79l;filed0ct I, 2010, 3:48p.m.: 20101027-IR-326070372FRA) 

SECTION 12. 326 IAC 2-5.1-3, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, 

SECTION 6, IS AMENDED TO READ AS FOLLOWS: 

326 IAC 2-5.1-3 Permits 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15-4-9; IC 13-17 

Sec. 3. (a) On and after December 25, 1998, a new source must obtain a construction permit prior to 

beginning constmction of an emissions unit under either of the following conditions: 

(I) The potential to emit is equal to or greater than the following: 

(A) One (I) ton or more per year of lead or lead compounds measured as elemental lead and the 

source is one(!) of the following: 

(i) A primary lead smelter. 

(ii) A secondary lead smelter. 

(iii) A primary copper smelter. 

(iv) A lead gasoline additive plant. 

50 
(v) A lead-acid storage battery manufacturing plant that produces two thousand (2,000) 

or more batteries per day. 

(B) Five (5) tons or more per year oflead or lead compounds measured as elemental lead and the 

source is not listed in clause (A). 

(C) One hundred (100) tons per year of carbon monoxide (CO). 

(D) Ten (10) tons per year of any single HAP or twenty-five (25) tons per year of any combination 

of HAPs listed pursuant to Section 112(b) ofthe CAA. 

(E) Twenty-five (25) tons per year ofthe following regulated air pollutants: 

(i) Partiffiiale maltef PM, eF partioola!e ma!!eFiess than le!lf±jlj mierens PM10, or direct 

PM2.s. 

(ii) Sulfur dioxide (S02). 

(iii) Nitrogen oxides (NOx). 

(iv) VOC. 

(v) Hydrogen sulfide (H2S). 

(vi) Total reduced sulfur (TRS). 

(vii) Reduced sulfur compounds. 

(viii) Fluorides. 

(2) The source belongs to any ofthe following source categories: 

(A) A source consisting of a chromium electroplating tank, chromium anodizing tank, or an 

operation subject to 326 lAC 20-8. Sources consisting only of decorative chromium electroplating 

tanks that use a trivalent chromium process that incorporates a wetting agent that are subject to 

section 2 of this rule are not included. 

(B) A source that includes medical waste incinerators subject to 40 CFR 60, Subpart Ec*. 

(C) Area or minor sources that include an emission unit or units that require a Part 70 operating 

permit under 326 lAC 2-7. 

(b) Any person proposing the constmction of a new source and required to obtain a construction permit 

under subsection (a), including any source or emissions unit that is subject to 326 lAC 2-2, 326 lAC 2-3, or 326 lAC 

2-4.1, shall prepare and submit a permit application to the commissioner in accordance with subsection (c). 

(c) At a minimum, an application shall include the following information: 

(1) The company name and address. 

(2) The following descriptive information: 

(A) A description ofthe nature and location of the proposed construction. 

(B) The design capacity and typical operating schedule of the proposed construction. 

(C) A description ofthe source and the emissions unit or units comprising the source. 

(D) A description of any emission control equipment, including design specifications. 

(3) A schedule for construction of the source. 

(4) The following information as needed to assure all reasonable information is provided to evaluate 

compliance consistent with the permit terms and conditions, the underlying requirements of this title and 

the CAA, the ambient air quality standards set forth in 326 lAC 1-3, or the prevention of significant 

deterioration maximum allowable increase under 326 lAC 2-2: 

(A) Information on the nature and amount ofthe pollutants to be emitted, including an estimate of 

the potential to emit any regulated air pollutants. 

(B) Estimates of offset credits as required under 326 lAC 2-3, for sources to be constructed in 

nonattainment areas. 

(C) Monitoring, testing, reporting, and record keeping requirements. 

(D) Any other information (including, but not limited to, the air quality impact) determined by the 

commissioner to be necessary to demonstrate compliance with the requirements of this title and 

the requirements of the CAA, whichever are applicable. 

(5) Each application shall be signed by an authorized individual, unless otherwise noted, whose signature 

constitutes an acknowledgment that the applicant assumes the responsibility of assuring that the source, 

emissions unit or units, or emission control equipment will be constructed and will operate in compliance 

51 
with all applicable Indiana air pollution control rules and the requirements of the CAA. The signature shall: 

(A) constitute affirmation that the statements in the application are true and complete, as known at 

the time of completion of the application; and 

(B) subject the applicant to liability under state laws forbidding false or misleading statements. 

(d) If the commissioner finds an application submitted in accordance with this rule to be incomplete, the 

commissioner shall mail a notice of deficiency to the applicant that specifies the portions of the application that: 

(1) do not contain adequate information for the commissioner to process the application; or 

(2) are not consistent with applicable law or rules. 

The applicant shall forward the required additional information to the commissioner, or request additional time for 

providing the information, within thirty (30) calendar days of receipt of the notice of deficiency. If the additional 

information is not submitted within thirty (30) calendar days, or the additional time provided by the commissioner, 

the application may be denied in accordance with JC 13-15-4-9. 

(e) Permits issued under this article shall contain the following: 

(I) Emission limitations for any source or emissions unit that assure: 

(A) the ambient air quality standards set forth in 326 lAC 1-3 will be attained or maintained, or 

both; 

(B) the applicable prevention of significant deterioration maximum allowable increases set fmth in 

326 lAC 2-2 will be maintained; 

(C) the public health will be protected; and 

(D) compliance with the requirements ofthis title and the requirements of the CAA will be 

maintained. 

(2) Monitoring, testing, reporting, and record keeping requirements that assure reasonable information is 

provided to evaluate compliance consistent with the permit terms and conditions, the underlying 

requirements of this title and the CAA. The requirements shall be in accordance with 326 lAC 3 and other 

applicable regulations. 

(3) A requirement that any revision of an emission limitation, monitoring, testing, reporting, and record 

keeping requirements shall be made consistent with the permit revision requirements under 326 lAC 2-6.1-

6, 326 lAC 2-7-12, or 326 lAC 2-8-11.1. 

( 4) The following requirements with respect to compliance: 

(A) The commissioner may require stack testing, monitoring, or reporting at any time to assure 

compliance with all applicable requirements. Any monitoring or testing shall be performed in 

accordance with 326 lAC 3 or other methods approved by the commissioner. 

(B) Upon presentation of credentials and other documents as may be required by law, the owner or 

operator shall allow the commissioner, an authorized representative of the commissioner, or the 

U.S. EPA to perform the following: 

(i) Enter upon the premises where: 

(AA) a permitted source is located or emissions related activity is conducted; or 

(BB) records required by a permit term or condition are kept. 

(ii) Have access to and copy any records that must be kept under this title or the 

conditions of a permit or permit revision. 

(iii) Inspect any: 

(AA) operations; 

(BB) processes; 

(CC) emissions units (including monitoring and air pollution control 

equipment); or 

(DD) practices; 

regulated or required under a permit or permit revision. 

(iv) Sample or monitor substances or parameters for the purpose of assming compliance 

with a permit, permit revision, or applicable requirement, as authorized by the CAA and 

this title. 

(v) Document alleged violations using cameras or video equipment. The documentation 

52 
may be subject to a claim of confidentiality uuder 326 IAC 17 .1. 

(5) For sources that will operate pursuant to an operating permit uuder 326 IAC 2-6.1, a requirement that an 

authorized individual provide an annual notice to the department that the source is in operation and in 

compliance with the permit. The commissioner may request that the source provide an identification of all 

emissions units that have been installed that are described uuder 326 IAC 2-l.l-3(d)(l) through 326 IAC 2-

1.1-3 ( d)(31) with the annual notification. 

(f) Any pe1mit issued uuder this section shall conform to the permit content requirements under subsection 

(e), except for the following: 

(I) Any permit that includes limitations on the potential to emit of a source must conform with the federally 

enforceable state operating permit (FESOP) permit content and compliance requirements uuder 326 IAC 2-

8-4 and 326 IAC 2-8-5. 

(2) An applicant may request that the permit content and compliance requirements conform with the Part 

70 requirements uuder 326 lAC 2-7-5 and 326 IAC 2-7-6 if the applicant is also requesting that the Part 70 

permit issuance requirements uuder 326 IAC 2-7 apply. 

(g) The commissioner shall provide for public notice and comment in accordance with 326 IAC 2-1.1-6 

prior to issuing a construction permit 

(h) After receiving an approval to construct and prior to receiving approval to operate, a source shall 

prepare an affidavit of construction as follows: 

(I) The affidavit shall include the following: 

(A) The name and title ofthe authorized individual. 

(B) The company name. 

(C) An affirmation that the source was constructed in conformance with the requirements and 

intent ofthe constmction permit application. 

(D) Identification of any changes to the source not included in the construction permit application 

or any amendment thereof. 

(E) The signature of the authorized individual. 

(2) The affidavit shall be notarized. 

(3) A source shall submit the affidavit to the commissioner after construction has been completed. 

(i) A source may not operate any air pollutant emitting source or emissions unit prior to receiving a 

validation letter issued by the commissioner, except as provided in the following: 

(I) A source may operate upon submission of an affidavit of construction that affirms that the source is 

described by, and will comply with, the construction permit as issued or previously amended. 

(2) The commissioner shall issue a validation letter within five (5) working days of receipt of the affidavit 

of construction. 

(3) The validation letter may authorize the operation of all or part of the source. 

( 4) The validation letter may include amendments to the permit if the amendments are requested by the 

source and if the amendment does not constitute a revision and require public notice and comment uuder 

326 IAC 2-1.1-6. 

(5) A validation letter may not approve the operation of any emissions unit if an amendment requested by 

the source would constitute a revision and require public notice and comment uuder 326 IAC 2-1.1-6. 

*This document is incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department ofEnviromnental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, I 00 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326IAC 2-5.1-3; filed 

Nov 25, 1998, 12:13 p.m.: 22JR 1009; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3106;filedMay 21, 2002, 

10:20 a.m.: 251R 3059;filed Oct 1, 2010, 3:48p.m.: 20101027-IR-326070372FRA) 

SECTION 13. 326 lAC 2-5.5-1 IS AMENDED TO READ AS FOLLOWS: 

53 
326 lAC 2-5.5-1 Applicability 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15; IC 13-17 

Sec. I. (a) The following shall be exempt from the requirements of this rule: 

(I) Existing sources that: 

(A) meet the criteria for an exemption nnder 326 lAC 2-1.1-3; or 

(B) are not specifically required to obtain a registration under this rule. 

(2) Existing sources operating pursuant to one (1) of the following: 

(A) APart 70 permitnnder 326 lAC 2-7. 

(B) A federally enforceable state operating pmmit (FESOP) nnder 326 lAC 2-8. 

(C) A source specific operating agreement nnder 326 lAC 2-9. 

(D) A permit by rule under 326 lAC 2-10. 

(E) A permit by rule under 326 lAC 2-11. 

(F) A minor source operating permit nnder 326 lAC 2-6.1. 

(b) On and after the effective date of this mle, this rule applies to the following existing sources: 

(1) Sources with a potential to emit within the following ranges: 

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of · 

either flarlioulate matteF PM,"" flarlioulate matteF less than ten flG1 mierens PM10, or direct 

PM2,5• 

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of 

the following pollutants: 

(i) Sulfur dioxide (S02). 

(ii) Nitrogen oxides (NO,J. 

(C) Less than twenty-five (25) tons per year and equal to or greater than ten (I 0) tons per year of 

velatile <lfg3Bie seml'eun<ls VOC for somces that are not described in clause (D). 

(D) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

velatile <lfg3Bie SSlliflSUIIas VOC for sources that require the use of air pollution control 

equipment to comply with the applicable provisions of326 lAC 8. 

(E) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons 

per year of carbon monoxide (CO). 

(F) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of 

lead (Pb). 

(G) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

the following regulated air pollutants: 

(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

(2) Any existing source that: 

(A) is subject to 326 lAC 20-8; and 

(B) consists of only decorative chromium electroplating tanks that use a trivalent chromium 

process that incorporates a wetting agent. 

(c) No person subject to subsection (b) shall operate an existing source subject to this mle without 

registering the somce with the commissioner. (Air Pollution Control Board; 3261AC 2-5.5-1; filed Nov 25, 1998, 

12:13 p.m.: 22 IR 1012; readopted filed Oct 22, 2004, 10:35 a.m.: 28 IR 792; readopted filed Aug 25, 2010, 2:42 

p.m.: 20100922-IR-326100394BFA) 

SECTION 14. 326 lAC 2-6.1-6, PROPOSED TO BE AMENDED AT 20 II 0831-IR-326090493PRA, 

SECTION 10, IS AMENDED TO READ AS FOLLOWS: 

54 
326 lAC 2-6.1-6 Permit revisions 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15-5; IC 13-17 

Sec. 6. (a) Any person proposing to construct new emission units, modifY existing emission units, or 

otherwise modifY the source as described in this section shall submit an application or notification for a permit 

revision in accordance with this rule. 

(b) Notwithstanding any other provision of this rule, the owner or operator of a source may repair or 

replace an emissions unit or air pollution control equipment or components thereof, without prior approval, if the 

repair or replacement: 

(1) results in a potential to emit for each regulated pollutant that is less than or equal to the potential to emit 

of the equipment or the affected emissions unit that was repaired or replaced; 

(2) is not a major modification under 3261AC 2-2-1, 326 lAC 2-3-1, or 326 lAC 2-4.1; and 

(3) returns the emissions unit, process, or control equipment to normal operation after an upset, 

malfunction, or mechanical failure or prevents impending and imminent failure of the emissions unit, 

process, or control equipment. 

If the repair or replacement qualifies as a reconstruction or is a complete replacement of an emissions unit or air 

pollution control equipment and would require a permit or operating permit revision under a provision of this rule, 

the owner or operator of the source must submit an application for a petmit or permit revision to the commissioner 

not later than thirty (30) calendar days after initiating the repair or replacement. 

(c) An application or notification required nuder this section shall contain the following information: 

(I) The company name and address. 

(2) A description of the change and the emissions resulting from the change. 

(3) An identification ofthe applicable requirements to which the source is newly subject as a result of the 

change, including the applicable: 

(A) emission limits and standards; 

(B) monitoring and test methods; and 

(C) record keeping and reporting requirements. 

( 4) A schedule of compliance, if applicable. 

(5) Each application or notification shall be signed by an authorized individual whose signature constitutes 

an acknowledgment that the applicant assumes the responsibility of assuring that the source, emissions nnit 

or units, or emission control equipment will be modified and will operate in compliance with all applicable 

Indiana air pollution control rules and the requirements of the CAA. The signature shall: 

(A) constitute affirmation that the statements in the application are true and complete, as known at 

the time of completion of the application; and 

(B) subject the applicant to liability under state laws forbidding false or misleading statements. 

(d) Notwithstanding the public participation requirements under 326 lAC 2-1.1-6, the following changes 

shall be designated as administrative amendments and shall not require public notice or prior approval by the 

commissioner: 

(1) Changes correcting typographical errors. 

(2) Minor administrative changes such as a change in: 

(A) the name, address, or telephone number of any person identified in a permit; or 

(B) descriptive information concerning the source or emissions unit or units. 

(3) Changes in ownership or operational control of a source. 

( 4) Modifications that would require more frequent monitoring or reporting. 

(5) Incorporation or deletion of applicable requirements as a result of a change in applicability, and there is 

no new equipment or no change to operations or processes. 

(6) Incorporation of alternative testing or compliance monitoring requirements that have received U.S. EPA 

approval nuder 40 CFR 60*, 40 CFR 61 *,or 40 CFR 63*, and there is no new equipment and no change to 

55 
operations or processes. 

(7) Incorporation of newly applicable monitoring or testing requirements specified in 40 CFR 60*, 40 CFR 

61 *,or 40 CFR 63* that apply as the result of a change in applicability ofthose requirements to the source, 

including removal from the permit of monitoring or testing requirements that no longer apply as a result of 

the change in applicability, and there is no new equipment and no change to operations or processes. 

(8) Incorporation of test methods or monitoring requirements specified in an applicable requirement that 

the source may use under the applicable requirement as an alternative to the testing or monitoring 

requirements contained in the permit, and there is no new equipment and no change to operations or 

processes. 

(9) Modifications that have the potential to emit greater than or equal to one (I) ton per year but less than 

ten (10) tons per year of a single HAP as defined under Section 112(b) of the CAA or greater than or equal 

to two and one-half (2.5) tons per year but less than twenty-five (25) tons per year of any combination of 

HAPs. 

(1 0) A modification that meets the applicability criteria and can meet and will comply with the operational 

limitations for a source specific operating agreement under 326 IAC 2-9 or a general permit under 326 IAC 

~12. . 

(11) A modification that adds an emissions unit or units ofthe same type that are already permitted or 

replaces an existing unit and that will comply with the same applicable requirements and permit terms and 

conditions as the existing emission unit or units, except if the modification would result in a potential to 

emit greater than the thresholds in 326 IAC 2-2 or 326 IAC 2-3 or would result in a potential to emit equal 

to or greater than the thresholds in 326 IAC 2-7. 

(12) A modification that is subject to the following reasonably available control technology (RACT), a new 

source performance standard (NSPS), or a national emission standard for hazardous air pollutants 

(NESHAP) and the RACT, NSPS, or NESHAP is the most stringent applicable requirement, except for 

those modifications that would be subject to the provisions of 40 CFR 63, Subpart B Hazardous Air 

Pollutants: Regulations Governing Constructed or Reconstructed Major Sources*: 

(A) 40 CFR 60.40c*, except for modifications to a source located in Lake County. 

(B) 40 CFR60.110b*. 

(C) 40 CFR 60.250*, except for modifications that include thermal dryers. 

(D) 40 CFR 60.330* for modifications that only include emergency generators. 

(E) 40 CFR 60.670*. 

(F) 40 CFR 61.110* 

As part of the application reqnired under subsection (c), the applicant shall acknowledge the requirement to 

comply with the RACT, NSPS, or NESHAP. For modifications under clauses (A) through (D), the source 

must use the monitoring specified in the relevant RACT, NSPS, or NESHAP. 

(13) A modification that is subject to the following new source performance standards (NSPSs), except for 

modifications that would be subject to 326 IAC 8-1-6: 

(A)40 CFR60.310*. 

(B) 40 CFR 60.390* 

(C) 40 CFR 60.430*. 

(D) 40 CFR 60.440*. 

(E) 40 CFR 60.450*. 

(F) 40 CFR 60.460*. 

(G) 40 CFR 60.490* 

(H) 40 CFR 60.540*. 

(I) 40 CFR 60.560*. 

(J) 40 CFR 60.580*. 

(K) 40 CFR 60.600*. 

(L) 40 CFR 60.660*. 

(M) 40 CFR 60.720*. 

As part of the application required under subsection (c), the applicant shall acknowledge the requirement to 

comply with the NSPS. For modifications under clauses (A) through (H), the source must use the 

monitoring specified in the NSPS. 

56 
(14) The addition of ali exempt emissions unit at the request of the applicant. 

(e) Any person proposing to make a change or modification described in subsection (d) shall submit a 

notification concerning the change or modification within thirty (30) calendar days of making the change or 

modification and shall include the information required under subsection (c). The notification shall be sent by one 

(!)of the following means: 

(l) Certified mail. 

(2) Delivery by hand or express service. 

(3) Transmission by other equally reliable means of notification by the source to the commissioner. 

(f) The commissioner shall revise the permit within thirty (30) days of receipt ofthe notification. The 

commissioner shall provide the permittee with a copy of the revised permit. Notwithstanding IC 13-15-5, the permit 

revision shall be effective immediately. 

(g) The following modifications shall require minor permit revisions and shall require approval prior to 

construction and operation: 

(1) Modifications that would reduce the frequency of any monitoring or reporting required by a permit 

condition or applicable requirement. 

(2) The addition of a portable source or relocation of a portable source to an existing source, if the addition 

or relocation would require a change to any permit terms or conditions. 

(3) Modifications that would have a potential to emit within the following ranges: 

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

either partieula!e matter PM, er partieulate matter less than ten E±{)j mismns PM10, or direct 

PM2.5• 

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (1 0) tons per year of 

the following pollutants: 

(i) Sulfur dioxide (S02). 

(ii) Nitrogen oxides (NOx). 

(iii) VOC for modifications that are not described in clause (C). 

(C) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

VOC for modifications that require the use of air pollution control equipment to comply with the 

applicable provisions of326 lAC 8. · 

(D) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons 

per year of carbon monoxide (CO). 

(E) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of 

lead (Pb). 

(F) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

the following regulated air pollutants: 

(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

(4) Modifications for which the potential to emit is limited to less than twenty-five (25) tons per year of any 

regulated pollutant other than HAPs, ten (1 0) tons per year of any single HAP as defmed under Section 

112(b) of the CAA, or twenty-five (25) tons per year of any combination of HAPs by complying with one 

(1) of the following constraints: 

(A) Limiting total annual solvent usage or maximum VOC content, or both. 

(B) Limiting annual hours of operation of the process or business. 

(C) Using a particulate air pollution control device as follows: 

(i) Achieving and maintaining ninety-nine percent (99%) efficiency. 

(ii) Complying with a no visible emission standard. 

(iii) The potential to emit before air po)lution controls does not exceed m:Uor source 

thresholds for federal permitting programs. 

57 
(iv) Certifying to the commissioner that the air pollution control device supplier 

guarantees that a specific outlet concentration, in conjunction with design air flow, will 

result in actual emissions less than twenty-five (25) tons ofpartienlate mal!ef PM, or 

fifteen (15) tons per year of partiGHlate mal!eF with an aeredynamie diameter less than er 

e<jUal te ten fWj mieremetars PM10, or direct PM2,

5• 

(D) Liroiting individual fuel usage and fuel type for a combustion source. 

(E) Liroiting raw material throughput or sulfur content of raw materials, or both. 

(5) A modification that is not described under subsection (d)(l2) or (d)(l3) and is subject to a RACT, a 

NSPS, or a NESHAP, and the RACT, NSPS, or NESHAP is the most stringent applicable requirement, 

except for those modifications that would be subject to the provisions of 40 CFR 63, Subpart B Hazardous 

Air Pollutants: Regulations Governing Constructed or Reconstructed Major Sources*. As part of the 

application required under subsection (c), the applicant shall acknowledge the requirement to comply with 

the RACT, NSPS, or NESHAP. 

(6) A change for which a source requests an emission liroit to avoid 3261AC 8-1-6. 

(h) Minor permit revision procedures are as follows: 

(!)Any person proposing to make a modification described in subsection (g) shall: 

(A) submit an application concerning the modification; and 

(B) include the information under subsection (c). 

(2) Except as provided in 326 lAC 2-13, the source may not begin construction on any emissions unit that 

is necessary to implement the modification until the commissioner has revised the permit. 

(3) Within forty-five ( 45) calendar days from receipt of an application for a minor permit revision, the 

commissioner shall do one(!) of the following: 

(A) Approve the minor permit revision request. 

(B) Deny the minor permit revision request. 

(C) Determine that the minor permit revision request would: 

(i) cause or contribute to a violation of the National Ambient Air Quality Standard 

(NAAQS) or prevention of significant deterioration (PSD) standards; 

(ii) allow for an increase in emissions greater than the thresholds in subsection (i); or 

(iii) not provide for compliance monitoring consistent with this rule; 

and should be processed as a significant permit revision. 

( 4) The permit shall be revised by incorporating the minor permit revision into the permit. The 

commissioner shall do the following: 

(A) Make all changes necessary to assure compliance with this title and the CAA prior to attaching 

the amendment to the permit. 

(B) Notify the source upon attachment of the minor permit revision to the permit. 

Notwithstanding IC 13-15-5, the permit revision shall be effective immediately. 

(i) Significant permit revision procedures are as follows: 

(1) Significant permit revisions are those changes that are not subject to subsection (d) or (g) and include 

the following: 

(A) Any modification that would be subject to 326 lAC 2-2, 326 lAC 2-3, or 326 IAC 2-4.1. 

(B) Any modification that results in the source needing to obtain a FESOP under 3261AC 2-8 or a 

Part 70 permit under 3261AC 2-7. 

(C) A modification that is subject to 326 lAC 8-1-6. 

(D) Any modification with a potential to emit lead at greater than or equal to one(!) ton per year. 

(E) Any modification with a potential to emit greater than or equal to twenty-five (25) tons per 

year of the following pollutants: 

(i) PwiiGHlate mal!eF PM, er partienlate mal!eF with an aeredynamie diameter less than er 

e<jUal te ten fWj miereme!ers PM10, or direct PM2,

5• 

(ii) Sulfur dioxide (S02). 

(iii) Nitrogen oxides (NOJ. 

(iv) VOC. 

58 
(v) Hydrogen sulfide (H2S). 

(vi) Total reduced sulfur (TRS). 

(vii) Reduced sulfur compounds. 

(viii) Fluorides. 

(F) For a source oflead with a potential to emit greater than or equal to five (5) tons per year, a 

modification that would increase the potential to emit greater than or equal to six-tenths (0.6) ton 

per year. 

(G) Any modification with a potential to emit greater than or equal to ten (10) tons per year of a 

single HAP as defined under Section 112(b) of the CAA or twenty-five (25) tons per year of any 

combination of HAPs. 

(H) Any modification with a potential to emit greater than or equal to one hundred (1 00) tons per 

year of carbon monoxide (CO). 

(I) Any modification that removes or reduces compliance monitoring, testing, record keeping, 

reporting, or its frequency, unless the modification is a result of a change in applicability under 

subsection (d)(5). 

(2) The following shall apply to significant permit revisions: 

(A) Any person proposing to make a modification described in subdivision (I) shall: 

(i) submit an application concerning the modification; and 

(ii) include the information under subsection (c). 

(B) Except as provided in 326 lAC 2-13, the source may not begin construction on any emissions 

unit that is necessary to implement the modification until the commissioner has revised the permit. 

(C) The commissioner shall do the following: 

(i) Provide for public notice and comment in accordance with 326 lAC 2-1.1-6. 

(ii) Approve or deny the significant permit revision as follows: 

(AA) Within one hundred twenty (120) calendar days from receipt of an 

application for a significant permit revision, except for a significant permit 

revision under subdivision (l)(A). 

(BB) Within two hundred seventy (270) calendar days from receipt of an 

application for a significant permit revision under subdivision (l)(A). 

(D) The permit shall be revised by incorporating the significant pe1mit revision into the permit. 

The commissioner shall make any changes necessary to assure compliance with this title and the 

CAA prior to attaching the significant permit revision to the permit. 

*These documents are incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department ofEnviromnental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-6.1-6; filed 

Nov 25, 1998, 12:13 p.m.: 22 IR 1017; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3106;filed May 21, 2002, 

10:20 a.m.: 25 IR 3062; readopted filed Oct 22, 2004, 10:35 a.m.: 28 IR 797; errata filed Jul23, 2007, 4:19p.m.: 

20070815-IR-326070466ACA; readopted filed Aug 25, 2010, 2:42p.m.: 20100922-IR-326100394BFA) 

SECTION 15.326 IAC2-7-1, PROPOSED TO BE AMENDED AT20110831-IR-326090493PRA, 

SECTION 11, IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-7-1 Definitions 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-11-2 

Sec. 1. For purposes of this rule, the definition given for a term in this rule shall control in any conflict 

between 326 lAC 1-2 and this rule. In addition to the definitions provided in IC 13-11-2, 326 lAC 1-2, and 326 lAC 

2-1.1, the following defmitions apply throughout this rule unless expressly stated otherwise or unless the context 

clearly implies otherwise: 

(I) "Acid rain program" means the national sulfur dioxide and nitrogen oxides air pollution control and 

59 
emissions reduction program established in accordance with Title IV of the CAA, 40 CFR 72 *, and 40 CFR 

75* through40 CFR 78*, 58 FR3590*, and regulations implementing Sections 407 and 410 of the CAA. 

(2) "Actual emissions" means the actual rate of emissions in tons per year of any regulated pollutant 

emitted from a Part 70 source over the preceding calendar year or any other period determined by the 

commissioner to be representative of normal source operation. 

(3) "Affected source" shall have the meaulng given to it in the regulations promulgated under Title IV of 

theCAA. 

( 4) "Affected states" means all states: 

(A) whose air quality may be affected and are contiguous to the state of Indiana; or 

(B) that are within fifty (50) miles of the permitted source. 

(5) "Affected unit" shall have the meaulng given to it in the regulations promulgated under Title IV of the 

CAA. 

(6) "Applicable requirement" means all ofthe following as they apply to emissions units in a Part 70 source 

(including requirements that have been promulgated or approved by the U.S. EPA through rulemaking at 

the time of permit issuance but have future effective compliance dates): 

(A) Any standard or other requirement provided for in the applicable implementation plan 

approved or promulgated by the U.S. EPA through rulemaking under Title I of the CAA that 

implements the relevant requirements of the CAA, including any revisions to that plan 

promulgated in 40 CFR 52*. 

(B) Any term or condition of any preconstruction permits issued under regulations approved or 

promulgated through rulemaking under Title I, including Part C or D ofthe CAA. 

(C) Any standard or other requirement under Section 111 of the CAA, including Section lll(d) of 

theCAA. 

(D) Any standard or other requirement under Section 112 of the CAA, including any requirement 

concerning accident prevention under Section 112(r)(7) of the CAA. 

(E) Any standard or other requirement of the acid rain program under Title IV of the CAA or the 

regulations promulgated thereunder. 

(F) Any requirements established under Section 504(b) or 114(a)(3) of the CAA. 

(G) Any standard or other requirement under Section 126(a)(1) and 126(c) of the CAA. 

(H) Any standard or other requirement governing solid waste incineration under Section 129 of 

theCAA. 

(!) Any standard or other requirement for consumer and conunercial products under Section 

183(e) of the CAA. 

(J) Any standard or other requirement for tank vessels under Section 183(1) ofthe CAA. 

(K) Any standard or other requirement of the Code of Federal Regulations promulgated to protect 

stratospheric ozone under Title VI ofthe CAA, unless the U.S. EPA has determined that the 

requirements need not be contained in a Part 70 permit. 

(L) Any national ambient air quality standard or increment or visibility requirement under Part C 

of Title I of the CAA, but only as it would apply to temporary sources permitted under Section 

504(e) of the CAA. 

(7) "Area source" means any stationary source ofHAPs that is not a major source. The term does not 

include motor vehicles or nonroad vehicles subject to regulation under Title II of the CAA. 

(8) "Clean Air Act" or "CAA" means the Clean Air Act, as amended (including the Clean Air Act 

Amendments of 1990 (P.L.101-549)), 42 U.S. C. 7401, et seq. 

(9) "Code of Federal Regulations" or "CFR", unless otherwise provided, has the same meaning as set forth 

in 326 lAC 1-1-3. 

(10) "Desiguated representative" shall have the meaning given to it in Section 402(26) of the CAA and the 

regulations promulgated thereunder. 

(11) "Draft Part 70 permit" means the version of a Part 70 permit for which the conunissioner offers public 

participation and notice to affected states under section 17 of this rule. 

(12) "Emergency" means any situation, including acts of God, arising fi·om sudden and reasonably 

unforeseeable events beyond the reasonable control of the source that: 

(A) requires immediate corrective action to restore normal operation; and 

60 
(B) causes the source to exceed an emission limit under a Part 70 permit due to unavoidable 

increases in emissions attributable to the emergency. 

The term shall not include noncompliance to the extent caused by improperly designed equipment, failure 

to implement an adequate preventive maintenance plan, careless or improper operation, or operator error. 

(13) "Emission limitation or standard" means any of the following as defined under the CAA: 

(A) A federally enforceable emission limitation or standard. 

(B) A standard of performance. 

(C) A means of emission limitation. 

An emission limitation or standard may be expressed in terms of the pollutant, expressed either as a 

specific quantity, rate, or concentration of emissions (for example, pounds of sulfur dioxide (S02) per hour, 

pounds of sulfur dioxide (S02) per mmBtu, or kilograms ofVOC per liter of applied coating solids) or as 

the relationship of uncontrolled to controlled emissions (for example, percent capture and destruction 

efficiency ofVOC or percent reduction of S02). An emission limitation or standard may also be expressed 

either as a work practice process or other form of design, equipment operation, or operation and 

maintenance requirement. 

(14) "Emissions allowable under the Part 70 permit" means a federally enforceable Part 70 permit term or 

condition determined at issuance to be required by an applicable requirement that establishes an emissions 

limit (including a work practice standard) or a federally enforceable emissions cap that the source has 

assumed to avoid an applicable requirement to which the source would otherwise be subject. 

(15) "Emissions unit" means any part or activity of a stationary source that emits or has the potential to 

emit any regulated air pollutant or any pollutant listed under Section 112(b) of the CAA. The term is not 

meant to alter or affect the defmition of unit for purposes of Title IV of the CAA. 

(16) "Federally enforceable state operating permit" or "FESOP" means a pe1mit issued under 326 lAC 2-8. 

(17) "Final Part 70 permit" means the version of a Part 70 permit issued by the commissioner that has 

completed all review procedures required by sections 17 and 18 ofthis rule. 

(18) 11Fugitive emissions 11 means emissions that could not reasonably pass through a stack, chimney, vent, 

or other functionally equivalent opening. 

(19) "General Part 70 permit" means a Part 70 permit that is applicable to a class or category of sources or 

modifications thereto, whether or not under common ownership or control, that are subject to similar 

applicable requirements. 

(20) "Health-based emission limit" means any enforceable condition the sole purpose of which is to protect 

public health or welfare without regard to technical achievability, including, but not limited to, any 

requirement in a permit based on: 

(A) an emission standard for HAPs promulgated under 40 CFR 61 *,including 326 lAC 14; 

(B) conditions to prevent significant deterioration of air quality established under 40 CFR 52.21 *, 

including 326 lAC 2-2-5 and 326 lAC 2-2-6 but excluding conditions based on BACT; 

(C) limits relied upon in a formal attainment demonstration supporting a SIP approved by the U.S. 

EPA under Section l!O(a)(2)(K.) of the CAA, with the exception of limits based on RACT for 

sources ofVOCs in areas designated attainment for ozone in accordance with the CAA; or 

(D) conditions established as residual risk standards under 42 U.S. C. 7412(f). 

(21) "Insignificant activity" has any of the meanings, subject to clauses (A) through (D), specified in 

clauses (E) through (J) as follows: 

(A) Detailed information concerning emissions from activities or equipment listed in clauses (E) 

through (J) is not required in a permit application submitted under this rule or 326 lAC 2-8; 

however, additional emissions information must be provided upon request by the department. 

(B) Notwithstanding any other requirements in this rule, the applicant shall include all emissions 

sources and quantify emissions if needed to dete1mine: 

(i) major source status; 

(ii) compliance with any applicable requirement; or 

(iii) the applicability of any applicable requirement. 

Identification of an activity or equipment as insignificant under this section does not preclude the 

inclusion of the activity or equipment in a compliance plan or protocol as appropriate. 

(C) Notwithstanding any other provision of this rule or 326 lAC 2-6, emissions from activities 

61 
defined as insignificant in this subdivision or trivial in subdivision ( 42) need not be included in a 

source's annual emission statement required by 326 lAC 2-6. 

(D) A change in a source's insignificant or trivial activities or the addition of an insignificant 

activity or trivial activity shall not constitute a modification for purposes of sections 10.5 and 12 

of this rule, if the new activity or modified activity: 

(i) meets the defrnition of insignificant activity of this subdivision or trivial activity of 

subdivision ( 42); 

(ii) has all applicable requirements and associated monitoring in the current permit; and 

(iii) is not a modification under any provision of Title I of the CAA. 

The department may request that the source update its list of insignificant activities as part of its 

annual compliance certification. 

(E) An emission unit or activity whose potential uncontrolled emissions meet the exemption levels 

specified in 326 lAC 2-1.1-3( e )(1) or the exemption levels specified in the following, whichever is 

lower: 

(i) For lead or lead compounds measured as elemental lead, the exemption level is sixtenths (0.6) ton per year or three and twenty-nine hundredths (3 .29) pounds per day. 

(ii) For carbon monoxide (CO), the exemption limit is twenty-five (25) pounds per day. 

(iii) For sulfur dioxide, the exemption level is five (5) pounds per hour or twenty-five 

(25) pounds per day. 

(iv) For VOC, the exemption limit is three (3) pounds per hour or fifteen (15) pounds per 

day. 

(v) For nitrogen oxides (NOx), the exemption limit is five (5) pounds per hour or twentyfive (25) pounds per day. 

(vi) For PM10 or direct PM2.5, the exemption level is either five (5) pounds per hour or 

twenty-five (25) pounds per day. 

(F) For units with potential uncontrolled emissions of HAPs, that are not listed as insignificant in 

clauses fH1 (G) through Ebj (J) or defmed as trivial in subdivision ( 42), an insignificant activity is 

any of the following: 

(i) Any unit, not regulated by a NESHAP, emitting greater than one (1) pound per day but 

less than five ( 5) pounds per day or one (1) ton per year of a single HAP. 

(ii) Any unit, not regulated by a NESHAP, emitting greater than one (1) pound per day 

but less than twelve and five-tenths (12.5) pounds per day or two and five-tenths (2.5) 

tons per year of any combination of HAPs. 

The source shall provide a description of the insignificant activity, including identification of the 

HAPs emitted and any applicable requirements. A source may rely on MSDS sheets, product 

labels, other manufacturer's information, or other technical and scientific judgement for 

identification of HAPs. Insignificant activities that are part of a multistep process line shall be 

reported as such on the operating permit application, and the source shall include a description of 

the ftmction and components of the process line on the operating permit application. Insignificant 

· activities that perform equivalent functions shall be grouped, and the function and number of those 

units shall be included on the operating permit application. 

(G) Emissions from a laboratory as defmed in this clause. As used in this clause, "laboratory" 

means a place or activity devoted to experimental study or teaching, or to the testing and analysis 

of drugs, chemicals, chemical compounds or other substances, or similar activities, provided that 

the activities described in this clause are conducted on a laboratory scale. Activities are conducted 

on a laboratory scale if the containers used for reactions, transfers, and other handling of 

substances are designed to be easily and safely manipulated by one ( 1) person. If a facility 

manufactures or produces products for profit in any quantity, it shall not be considered to be a 

laboratory under this clause. Support activities necessary to the operation of the laboratory are 

considered to be part of the laboratory. Support activities do not include the provision of power to 

the laboratory from sources that provide power to multiple projects or from sources that would 

otherwise require permitting, such as boilers that provide power to an entire facility. 

(H) Emissions from research and development activities as defined in this clause. As used in this 

62 
clause, "research and development activities" means activities conducted under close supervision 

oftechnically trained personnel that are not engaged in the manufacture of products for sale, 

exchange for commercial profit, or distribution, except in a de minimis manner and the primary 

pmpose of which is to: 

(i) test more efficient production processes; 

(ii) test methods for preventing or reducing adverse environmental impacts; or 

(iii) conduct research and development into new processes and products. 

Support activities necessary to the research and development activities are considered to be part of 

the research and development activities. Support activities do not include the provision of power 

to the research and development activities from sources that provide power to multiple projects or 

from somces that would otherwise require permitting, such as boilers that provide power to a 

source or solid waste disposal units, such as incinerators. 

(I) Emissions from educational and teaching activities as defined in this clause. As used in this 

clause, It educational and teaching activities" means activities conducted at public and nonpublic 

schools and postsecondary educational institutions for educational, vocational, agricultural, 

occupational, employment, or technical training purposes provided the activities do not include the 

production of an intermediate or fmal product for sale or exchange for commercial profit or 

distribution. Support activities necessary to the educational and teaching activities are considered 

to be part of the educational and teaching activities. Support activities do not include the provision 

of power to the educational and teaching activities from sources that provide power to multiple 

projects or from somces that would otherwise require permitting, such as boilers that provide 

power to a source or solid waste disposal units, such as incinerators. 

(J) Any of the following listed activities: 

(i) Combustion related activities, as follows: 

(AA) Space heaters, process heaters, heat treat furnaces, or boilers using the 

following fuels: 

(aa) Natural gas-fired combustion sources with heat input equal to or 

less than ten million (I 0,000,000) British thermal units per hom. 

(bb) Propane or liquefied petroleum gas or butane-fired combustion 

sources with heat input equal to or less than six million (6,000,000) 

British thermal units per hour. 

(cc) Fuel oil-fired combustion somces with heat input equal to or less 

than two million (2,000,000) British thermal units per hom and firing 

fuel containing equal to or less than five-tenths percent (0.5%) sulfur 

by weight. 

(dd) Wood-fired combustion somces with heat input equal to or less 

than one million (1,000,000) British themml units per hom and not 

burning treated wood or chemically contaminated wood. 

(BB) Equipment powered by diesel fuel frred or natural gas fired intemal 

combustion engines of capacity equal to or less than frve hundred thousand 

(500,000) British thermal units per hom except where total capacity of 

equipment operated by one (I) stationary somce as defmed by subdivision (38) 

exceeds two million (2,000,000) British thermal units per hour. 

(CC) Combustion somce flame safety purging on start-up. 

(ii) Fuel dispensing activities, as follows: 

(AA) A gasoline fuel transfer dispensing operation handling less than or equal to 

one thousand three hundred (1,300) gallons per day and frlling storage tanks 

having a capacity equal to or less than ten thousand frve hundred (10,500) 

gallons. Such storage tanks may be in a fixed location or on mobile equipment. 

(BB) A petroleum fuel other than gasoline dispensing facility, having a storage 

tank capacity less than or equal to ten thousand frve hundred (10,500) gallons, 

and dispensing three thousand five hundred (3,500) gallons per day or less. 

(iii) The following VOC and HAP storage containers: 

63 
(AA) Storage tanks with capacity less than or equal to one thousand (1,000) 

gallons and annual throughputs equal to or less than twelve thousand (12,000) 

gallons. 

(BB) Vessels storing the following: 

(aa) Lubricating oils. 

(bb) Hydraulic oils. 

(cc) Machining oils. 

( dd) Machining fluids. 

(iv) Refractory storage not requiring air pollution control equipment. 

(v) Equipment used exclusively for the following: 

(AA) Packaging the following: 

(aa) Lubricants. 

(bb) Greases. 

(BB) Filling drums, pails, or other packaging containers with the following: 

(aa) Lubricating oils. 

(bb) Waxes. 

(cc) Greases. 

(vi) Production related activities, including the following: 

(AA) Application of: 

(aa) oils; 

(bb) greases; 

(cc) lubricants; and 

( dd) nonvolatile material; 

as temporary protective coatings. 

(BB) Machining where an aqueous cutting coolant continuously floods the 

machining interface. 

(CC) Degreasing operations that do not exceed one hundred forty-five (145) 

gallons per twelve (12) months, except if subject to 326 lAC 20-6. 

(DD) Cleaners and solvents characterized as having a vapor pressure equal to or 

less than: 

(aa) two (2.0) kilo Pascals (fifteen (15) millimeters of mercury or threetenths (0.3) pound per square inch) measured at thirty-eight (38) 

degrees Centigrade (one hundred (1 00) degrees Fahrenheit); or 

(bb) seven-tenths (0.7) kilo Pascal (five (5) millimeters of mercury or 

one-tenth (0.1) pound per square inch) measured at twenty (20) degrees 

Centigrade (sixty-eight (68) degrees Fahrenheit); 

the use of which, for all cleaners and solvents combined, does not exceed one 

hundred forty-five (145) gallons per twelve (12) months. 

(EE) The following equipment related to manufacturing activities not resulting 

in the emission of HAPs: 

(aa) Brazing. 

(bb) Cutting torches. 

( cc) Soldering. 

( dd) Welding. 

(FF) Closed loop heating and cooling systems. 

(GG) Infrared cure equipment. 

(HH) Exposure charobers (towers or columns), for curing of ultraviolet inks and 

ultraviolet coatings where heat is the intended discharge. 

(II) Any of the following structural steel and bridge fabrication activities: 

(aa) Cutting two hundred thousand (200,000) linear feet or less of one 

(!)inch plate or equivalent per year. 

(bb) Using eighty (80) tons or less of welding consumables per year. 

(vii) Activities associated with the following recovery systems: 

64 
(AA) Rolling oil recovery systems. 

(BB) Ground water oil recovery wells. 

(viii) Solvent recycling systems with batch capacity less than or equal to one hundred 

(I 00) gallons. 

(ix) Water based activities, including the following: 

(AA) Activities associated with the treatment of wastewater streams with an oil 

and grease content less than or equal to one percent (1 %) by volume. 

(BB) Water run-off ponds for petroleum coke-cutting and coke storage piles. 

(CC) Activities associated with the transportation and treatment of sanitary 

sewage, provided discharge to the treatment plant is under the control of the 

owner or operator, that is, an on-site sewage treatment facility. This does not 

include sanitary sludge incineration. 

(DD) Any operation using aqueous solutions containing less than or equal to one 

percent (1 %) by weight ofVOCs excluding HAPs. 

(BE) Water based adhesives that are less than or equal to five percent (5%) by 

volume ofVOCs excluding HAPs. 

(FF) Noncontact cooling tower systems with either of the following: 

(aa) Natural draft cooling towers not regulated under a NESHAP. 

(bb) Forced and induced draft cooling tower systems not regulated 

under a NESHAP. 

(GG) Quenching operations used with heat treating processes. 

Oil, grease, or VOC content shall be determined by a test method acceptable to the 

department and the U.S. EPA. 

(x) Repair activities, including the following: 

(AA) Replacement or repair of electrostatic precipitators, bags in baghouses, and 

filters in other air filtration equipment. 

(BB) Heat exchanger cleaning and repair. 

(CC) Process vessel degassing and cleaning to prepare for internal repairs. 

(xi) Trimmers that: 

(AA) do not produce fugitive emissions; and 

(BB) are equipped with a dust collection or trim material recovery device, such 

as a bag filter or cyclone. 

(xii) Stockpiled soils from soil remediation activities that are covered and waiting 

transport for disposal. 

(xiii) Paved and unpaved roads and parking lots with public access. 

(xiv) Conveyors as follows: 

(AA) Covered conveyors for solid raw material, including the following: 

(aa) Coal or coke conveying of less than or equal to three hundred sixty 

(360) tons per day. 

(bb) Limestone conveying of less than or equal to seven thousand two 

hundred (7,200) tons per day for sources other than mineral processing 

plants constructed after August 31, 1983. 

(BB) Uncovered coal or coke conveying ofless than or equal to one hundred 

twenty (120) tons per day. 

(CC) Underground conveyors. 

(DD) Enclosed systems for conveying plastic raw material and plastic frnished 

goods. 

(xv) Coal bunker and coal scale exhausts and associated dust collector vents. 

(xvi) Asbestos abatement projects regulated by 326 lAC 14-10. 

(xvii) Routine maintenance and repair of buildings, structures, or vehicles at the source 

where air emissions from those activities would not be associated with any production 

process, including the following: 

(AA) Purging of gas lines. 

65 
(BB) Purging of vessels. 

(xviii) Flue gas conditioning systems and associated chemicals, such as the following: 

(AA) Sodium sulfate. 

(BB) Ammonia. 

(CC) Sulfur trioxide. 

(xix) Equipment used to collect any material that might be released during a malfunction, 

process upset, or spill cleanup, including the following: 

(AA) Catch tanks. 

(BB) Temporary liquid separators. 

(CC) Tanks. 

(DD) Fluid handling equipment. 

(xx) Blowdown for the following: 

(AA) Sight glass. 

(BB) Boiler. 

(CC) Cooling tower. 

(DD) Compressors. 

(EE) Pumps. 

(xxi) Furnaces used for melting metals other than beryllium with a brim full capacity 

equal to or less tban four hundred fifty ( 450) cubic inches by volume. 

(xxii) Activities associated with emergencies, including the following: 

(AA) On-site fire training approved by the department. 

(BB) Emergency generators as follows: 

(aa) Gasoline generators not exceeding one hundred ten (110) 

horsepower. 

(bb) Diesel generators not exceeding one thousand six hundred (I ,600) 

horsepower. 

( cc) Natural gas turbines or reciprocating engines not exceeding sixteen 

thousand (16,000) horsepower. 

(CC) Stationary fire pump engines. 

(xxiii) Grinding and machining operations controlled with fabric filters, scrubbers, mist 

collectors, wet collectors, and electrostatic precipitators with a design grain loading of 

less than or equal to three one-hundredths (0.03) grains per actual cubic foot and a gas 

flow rate less than or equal to four thousand ( 4,000) actual cubic feet per minute, 

including the following: 

(AA) Deburring. 

(BB) Buffmg. 

(CC) Polishing. 

(DD) Abrasive blasting. 

(EE) Pneumatic conveying. 

(FF) Woodworking operations. 

(xxiv) Purge double block and bleed valves. 

(xxv) Filter or coalescer media changeout. 

(xxvi) Vents from ash transport systems not operated at positive pressure. 

(xxvii) Mold release agents using low volatile products (vapor pressure less than or equal 

to two (2) kilo Pascals measured at thirty-eight (38) degrees Centigrade). 

(xxviii) Farm operations, except concentrated animal feeding operations as defmed in 40 

CFR 122.23. 

(xxix) Woodworking equipment controlled by a baghouse provided that the following 

criteria are met: 

(AA) The baghouse does not exhaust to the atmosphere greater than one 

hundred twenty-five thousand (125,000) cubic feet per minute. 

(BB) The baghouse does not emit partioolate mattef with a diameter less than 

!en 8{)1 miereas PM10 in excess of three-thousandths (0.003) grain per diy 

66 
standard cubic feet of outlet air. 

(CC) Opacity from the baghouse does not exceed ten percent (10%). 

(DD) The baghouse is in operation at all times that the woodworking equipment 

is in use. 

(EE) Visible emissions from the baghouse are observed daily using procedures 

in accordance with 40 CFR 60, Appendix A, Method 22* and normal or 

abnormal emissions are recorded. In the event abnormal emissions are observed 

for greater than six (6) minutes in duration, the following shall occur: 

(aa) The baghouse shall be inspected. 

(bb) Corrective actions, such as replacing or resealing bags, are 

initiated, when necessary. 

(FF) The baghouse is inspected quarterly when vented to the atmosphere. 

(GG) The owner or operator keeps the following records: 

(aa) Records documenting the date when the baghouse redirected 

indoors or to the atmosphere. 

(bb) Quarterly inspection reports, when vented to the atmosphere. 

(cc) Visible observation reports. 

( dd) Records of corrective actions. 

(xxx) Woodworking equipment controlled by a baghouse provided that the following 

criteria are met: 

(AA) The baghouse does not exhaust to the atmosphere greater than forty 

thousand ( 40,000) cubic feet per minute. 

(BB) The baghouse does not emit partioola!e matte< with a diameter less than 

lea 8-01 mierens PM10 in excess of one-hundredth (0.01) grain per dry standard 

cubic feet of outlet air. 

(CC) Opacity from the baghouse does not exceed ten percent (10%). 

(DD) The baghouse is in operation at all times that the woodworking equipment 

is in use. 

(EE) Visible emissions from the baghouse are observed daily using procedures 

in accordance with 40 CFR 60, Appendix A, Method 22* and normal or 

abnormal emissions are recorded. In the event abnormal emissions are observed 

for greater than six (6) minutes in duration, the following shall occur: 

(aa) The baghouse shall be inspected. 

(bb) Corrective actions, such as replacing or resealing bags, are 

initiated, when necessary. 

(FF) The baghouse is inspected quarterly when vented to the atmosphere. 

(GG) The owner or operator keeps the following records: 

(aa) Records documenting the date when the baghouse redirected 

indoors or to the atmosphere. 

(bb) Quarterly inspection reports, when vented to the atmosphere. 

( cc) Visible observation reports. 

( dd) Records of corrective actions. 

(22) "Major source" means any stationary source or any group of stationary sources as described in this 

subdivision. For purposes of clauses (B) and (C), the term shall include any group of stationary sources that 

are located on one (1) or more contiguous or adjacent properties and are under common control ofthe same 

person (or persons under common control) belonging to a single major industrial grouping. In addition, for 

the purposes of defining major source in clause (B) or (C), a stationary source or group of stationary 

sources shall be considered part of a single industrial grouping if all of the pollutant emitting activities at 

the source or group of stationary sources on contiguous or adjacent properties belong to the saroe major 

group (that is, all have the same two (2) digit code) as described in the Standard Industrial Classification 

Manual, 1987*. For purposes of clauses (B) and (C), any stationary source (or group of stationary sources) 

that supports another source, where both are under common control of the same person (or persons under 

common control) and are located on contiguous or adjacent properties, shall be considered a support 

67 
facility and part of the same source regardless of the two (2) digit SIC code for that snpport facility. A 

stationary source (or group of stationary sources) is considered a support facility to a source if at least fifty 

percent (50%) of the output of the support facility is dedicated to the source. The term includes the 

following: 

(A) A major source under Section 112 of the CAA, which is defined as follows: 

(i) For pollutants other than radionuclides, any stationary source or group of stationary 

sources located within a contiguous area and under common control that emits or has the 

potential to emit, in the aggregate: 

(AA) ten (I 0) tons per year (tpy) or more of any HAP that has been listed in 

Section 112(b) of the CAA; 

(BB) twenty-five (25) tpy or more of any combination of such HAPs; or 

(CC) such lesser quantity as the U.S. EPA may establish by rule. 

(ii) Notwithstanding item (i): 

(AA) emissions from any oil or gas exploration or production well (with its 

associated equipment) and emissions from any pipeline compressor or pump 

station shall not be aggregated with emissions from other similar units, whether 

or not the units are in a contiguous area or under common control, to determine 

whether the units or stations are major sources; and 

(BB) research and development activities may be considered separately for 

purposes of determining whether a major source is present and need not be 

aggregated with collocated stationary sources unless the research and 

development activities contribute to the product produced or service rendered by 

the collocated sources in a more than de minimis manner. · 

(iii) For radionuclides, major source shall have the meaning specified by the U.S. EPA by 

rule. 

(B) A major stationary source of air pollutants, as defined in Section 302 of the CAA, that directly 

emits or has the potential to emit, one hundred ( 100) tpy or more of auy air pollutant subject to 

regulation (including any major source of fugitive emissions of any such pollutant, as determined 

by the U.S. EPA by rule). The fugitive emissions of a stationary source shall not be considered in 

determining whether it is a major stationary source for the purposes of Section 302G) of the CAA 

unless the source belongs to one(!) of the following categories of stationary sources: 

(i) Coal cleaning plants (with thermal dryers). 

(ii) Kraft pulp mills. 

(iii) Portland cement plants. 

(iv) Primary zinc smeJters. 

(v) Iron and steel mills. 

(vi) Primary aluminum ore reduction plants. 

(vii) Primary copper smelters. 

(viii) Municipal incinerators, or combinations of municipal incinerators, capable of 

charging more than fifty (50) tons of refuse per day. 

(ix) Hydrofluoric, sulfuric, or nitric acid plants. 

(x) Petroleum refineries. 

(xi) Lime plants. 

(xii) Phosphate rock processing plants. 

(xiii) Coke oven batteries. 

(xiv) Sulfur recovery plants. 

(xv) Carbon black plants (furnace process). 

(xvi) Primary lead smelters. 

(xvii) Fuel conversion plants. 

(xviii) Sintering plants. 

(xix) Secondary metal production plants. 

(xx) Chemical process plants, excluding ethanol production facilities that produce ethanol 

by natural fermentation included in North American Industry Classification System 

68 
(NAICS) codes 325193 for Ethyl Alcohol Manufacturing or 312140 for Distilleries, as 

revised in 2007.** 

(xxi) Fossil fuel boilers (or combination thereof) totaling more than two hundred fifty 

million (250,000,000) British thermal units per hour heat input. 

(xxii) Petroleum storage and transfer units with a total storage capacity exceeding three 

hundred thousand (300,000) barrels. 

(xxiii) Taconite ore processing plants. 

(xxiv) Glass fiber processing plants. 

(xxv) Charcoal production plants. 

(xxvi) Fossil fuel fired steam electric plants of more than two hundred fifty million 

(250,000,000) British thermal units per hour heat input. 

(xxvii) Any other stationary source category regulated under Section Ill or 112 of the 

CAA and for which the U.S. EPA has made an affirmative determination under Section 

3020) of the CAA. 

(C) A major stationary source as defined in Part D of Title I of the CAA, including the following: 

(i) For ozone nonattainment areas, sources with the potential to emit: 

(AA) one hundred (100) tpy or more ofVOC or ffi<ides afnitrogen oxides in 

areas classified as marginal or moderate; 

(BB) fifty (50) tpy or more ofVOC or oxides of nitrogen in areas classified as 

serious; 

(CC) twenty-five (25) tpy or more ofVOC or ffi<ides afnitrogen oxides in areas 

classified as severe; or 

(DD) ten (10) tpy or more of VOC or ffi<ides af nitrogen oxides in areas 

classified as extreme; 

except that the references in this item to one hundred (100), fifty (50), twenty-five (25), 

and ten (10) tpy of nitrogen oxides shall not apply with respect to any source for which 

the U.S. EPA has made a fmding, under Section 182(1)(1) or 182(1)(2) of the CAA, that 

requirements under Section 182(1) of the CAA do not apply. 

(ii) For ozone transport regions established under Section 184 ofthe CAA, sources with 

the potential to emit fifty (50) or more tpy ofVOC. 

(iii) For carbon monoxide nonattainment areas: 

(AA) that are classified as serious; and 

(BB) in which stationary sources contribute significantly to carbon monoxide 

levels as determined under rules issued by the U.S. EPA; 

sources with the potential to emit fifty (50) tpy or more of carbon monoxide. 

(iv) For partisalate matteF PM10 nonattairunent areas classified as serious, sources with 

the potential to emit seventy (70) tpy or more ofPM10• 

(23) "Part 70 permit" or "permit" means any Part 70 permit or group ofPart 70 permits authorizing the 

operation of a Part 70 source that is issued, renewed, amended, or revised under this 1ule. 

(24) "Part 70 permit modification" means a revision to a Part 70 permit that meets the requirements of 

section 12 of this rule. 

(25) "Part 70 permit program costs" means all reasonable (direct and indirect) costs required to develop and 

administer a Part 70 permit program, as set forth in section 19 of this rule (whether the costs are incurred by 

the commissioner or other state or local agencies that do not issue Part 70 permits directly, but that support 

Part 70 pe1mit issuance or administration). 

(26) "Part 70 permit revision" means any Part 70 permit modification or administrative P!llt 70 permit 

amendment. 

(27) "Part 70 program" means the operating permit program established by this rule and approved by the 

U.S. EPA under 40 CFR 70*. 

(28) "Part 70 source" means any source subject to the permitting requirements as provided in section 2 of 

this rule. 

(29) "Part 70 source modification" means a modification to a Part 70 source that meets the requirements of 

section 10.5 of this rule. 

69 
(30) "Potential to emit" means the maximum capacity of a stationary source to emit any air pollutant under 

its physical and operational design. Any physical or operational limitation on the capacity of a source to 

emit an air pollutant, including air pollution control equipment and restrictions on hours of operation or 

type or amount of material combusted, stored, or processed shall be treated as part of its design ifthe 

limitation is enforceable by the U.S. EPA. This term does not alter or affect the use of this te1m for any 

other purpose under the CAA, (or the term "capacity factor" as used in Title IV ofthe CAA) (or the 

regulations promulgated thereunder). 

(31) "Proposed Part 70 permit" means the version of a Part 70 permit that the commissioner proposes to 

issue and forwards to the U.S. EPA for review in compliance with section 18 of this rule. 

(32) "Regulated air pollutant" means any of the following: 

(A) Nitrogen oxides or any VOC. 

(B) Any pollutant for which a national ambient air quality standard has been promulgated. 

(C) Any pollutant that is subject to any standard promulgated under Section Ill of the CAA. 

(D) Any Class I or Class II substance subject to a standard promulgated under or established by 

Title VI of the CAA. 

(E) Any pollutant subject to a standard promulgated under Section 112 of the CAA or other 

requirements established under Section 112 ofthe CAA, including Section 112(g), 112Q), and 

112(r) ofthe CAA, including the following: 

(i) Any pollutant subject to requirements under Section 112Q) of the CAA. If the U.S. 

EPA fails to promulgate a standard by the date established under Section 112(e) of the 

CAA, any pollutant for which a subject source would be major shall be considered to be 

regulated on the date eighteen (18) months after the applicable date established under 

Section 112(e) of the CAA. 

(ii) Any pollutant for which the requirements of Section 112(g)(2) of the CAA have been 

met, but only with respect to the individual source subject to Section 112(g)(2) of the 

CAA. 

The term does not include particulate matter greater than ten (I 0) micrometers (ltm). 

(33) "Regulated pollutant that is used only for purposes of section 19 of this rule" means any regulated air 

pollutant, except the following: 

(A) Carbon monoxide. 

(B) Any pollutant that is a regulated air pollutant solely because it is a Class I or Class II substance 

subject to a standard promulgated under or established by Title VI of the CAA. 

(C) Any pollutant that is a regulated air pollutant solely because it is subject to a standard or 

regulation under Section 112(r) of the CAA. 

(D) Any pollutant emitted by an insigoificant or trivial activity as defmed in this rule. 

(34) "Renewal" means the process by which a Part 70 permit is reissued at the end of its term. 

(35) "Responsible official" means the following: 

(A) For a corporation: 

(i) a president; 

(ii) a secretary; 

(iii) a treasurer; 

(iv) a vice president of the corporation in charge of a principal business function; 

( v) any other person who performs similar policy or decision making functions for the 

corporation; or 

(vi) a duly authorized representative of any person listed in this clause if the 

representative is responsible for the overall operation of one (I) or more manufacturing, 

production, or operating facilities applying for or subject to a Part 70 permit and either 

the: 

(AA) facilities employ more than two hundred fifty (250) persons or have gross 

armual sales or expenditures exceeding twenty-five million dollars 

($25,000,000) (in second quarter 1980 dollars); or 

(BB) delegation of authority to the representative is approved in advance by the 

connnissioner. 

70 
(B) For a partnership or sole proprietorship, a general partner or the proprietor, respectively. 

(C) For a municipality, state, federal, or other public agency, either a principal executive officer or 

ranking elected official. As used in this clause, "principal executive officer of a federal agency" 

includes the chief executive officer having responsibility for the overall operations of a principal 

geographic unit of the agency, for example, a regional administrator of the U.S. EPA. 

(D) For affected sources: 

(i) the designated representative for actions, standards, requirements, or prohibitions 

under Title IV of the CAA or the regulations promulgated thereunder; and 

(ii) the designated representative for any other purposes under a Part 70 permit. 

(36) "Risk management plan" means a plan specified by Section 112(r) of the CAA. 

(37) "Section 502(b)(l0) changes" means changes that contravene an express Part 70 permit term. Such 

changes do not include changes that would violate applicable requirements or contravene federally 

enforceable Part 70 permit terms and conditions that are monitoring (including test methods), record 

keeping, reporting, or compliance certification requirements. 

(38) "State" means any nonfederal permitting authority, including any local agency, interstate association, 

or statewide program. The term shall have its conventional meaning where the meaning is clear from the 

context. For purposes of the acid rain program, the term shall be limited to authorities within the forty-eight 

(48) contiguous states and the District of Columbia as provided in Section 402(14) of the CAA. 

(39) "Stationary source" means any building, structure, facility, or installation that emits or may emit any 

regulated air pollutant or any pollutant listed under Section 112(b) of the CAA. 

(40) "Subject to regulation" means, for any air pollutant, that the pollutant is subject to either a provision in 

the CAA, or a nationally applicable regulation codified by the U.S. EPA in 40 CFR, Chapter I, Subchapter 

C, that requires actual control of the quantity of emissions of that pollutant, and that the control requirement 

has taken effect and is operative to control, limit, or restrict the quantity of emissions of that pollutant 

released from that regulated activity, except as follows: 

(A) Greenhouse gases (GHGs), the air pollutant defmed in 40 CFR 86.1818-12(a)*, as added by 

75 FR 25686 (May 7, 2010), as the aggregate group of six (6) greenhouse gases shall not be 

subject to regulation unless, as of July 1, 2011, the GHG emissions are at a stationary source 

emitting or having the potential to emit one hundred thousand (1 00,000) tpy C02 equivalent 

emissions (C02e) or more. Pollutant GHGs includes the following: 

(i) Carbon dioxide. 

(ii) Nitrous oxide. 

(iii) Methane. 

(iv) Hydrotluorocarbons. 

(v) Perfluorocarbons. 

(vi) Sulfur hexafluoride. 

(B) "Tons per year (tpy) C02 equivalent emissions (C02e )" shall represent an amount of GHGs 

emitted and shall be calculated as follows: 

(i) Multiply the mass amount of emissions in tpy for each of the six (6) greenhouse gases 

in the pollutant GHGs by the gas's associated global warming potential published in 40 

CFR 98, Subpart A, Table A-1 (Global Warming Potentials)*, as added by 74 FR 56395 

(October 30, 2009). 

(ii) Sum the resultant value from item (i) for each gas to compute a tpy C02e. 

(iii) Prior to July 21, 2014, the mass ofthe greenhouse gas carbon dioxide shall not 

include carbon dioxide emissions resulting from the combustion or decomposition of 

nonfossilized and biodegradable organic material originating from plants, animals, 

or microorganisms (including products, byproducts, residues, and waste from 

agriculture, forestry, and related industries as well as the nonfossilized and 

biodegradable organic fractions of industrial and municipal wastes, including gases 

and liquids recovered from the decomposition of nonfossilized and biodegradable 

organic material). 

( 41) "Technology-based emission limit" means any enforceable condition that is derived solely or in part 

from the capabilities of man-made equipment or processes, including, but not limited to, any requirement in 

71 
a permit based on: 

(A)RACT; 

(B) BACT; 

(C) maximum achievable control technology (MACT); 

(D) lowest achievable emissions reduction (LAER); 

(E) generally available control technology (GACT); 

(F) best available retrofit technology (BART); 

(G) any manufacturers' specifications; or 

(H) the sources' physical potential to emit; 

unless the applicable requirement was relied upon in a formal attahunent demonstration supporting a SIP 

approved by the U.S. EPA under Section IIO(a)(2)(K) of the CAA. 

(42) "Trivial activity" has any of the following meanings, subject to clauses (A) and (B), specified in 

clauses (C) through (S), as follows: 

(A) A change in a source's trivial activities or the addition of a trivial activity shall not constitute a 

modification for purposes of section 12 ofthis rule, if the new activity or modified activity: 

(i) meets the definition of trivial activity of this subdivision; 

(ii) has all applicable requirements and associated monitoring in the current permit; and 

(iii) is not a modification under any provision of Title I of the CAA. 

(B) Trivial activities do not need to be included in a permit application required under this rule or 

326 lAC 2-8, provided that the applicant documents applicable requirements and compliance 

status as required by section 4 of this rule. Upon request, the applicant shall submit any 

information necessary to fulfill the requirements of this rule or 326 lAC 2-8. 

(C) Any activity or emission unit: 

(i) not regulated by a NESHAP, with potential uncontrolled emissions that are equal to or 

less than one (I) pound per day on an emission unit basis for any single HAP or 

combination of HAPs; and 

(ii) for which the potential uncontrolled emissions meet the exemption levels specified in 

the following: 

(AA) For lead or lead compounds measured as elemental lead, potential 

uncontrolled emissions that are equal to or less than one(!) pound per day. 

(BB) For carbon monoxide (CO), potential uncontrolled emissions that are equal 

to or less than one (I) pound per day. 

(CC) For sulfur dioxide, potential uncontrolled emissions that are equal to or 

less than one (I) pound per day. 

(DD) For VOC, potential uncontrolled emissions that are equal to or less than 

one (I) pound per day. 

(EE) For nitrogen oxides (NOJ, potential uncontrolled emissions that are equal 

to or less than one (I) pound per day. 

(FF) For paitisula!e ma!teF with an aered)'llamie diameter less than er equal !e 

lea fMj mieremeters PM10 or direct PM2,

5, potential uncontrolled emissions 

that are equal to or less than one (1) pound per day. 

(D) Water related activities, including the following: 

(i) Production of hot water for on-site personal use not related to any industrial or 

production process. 

(ii) Water treatment activities used to provide potable and process water for the plant, 

excluding any activities associated with wastewater treatment. 

(iii) Steam traps, vents, leaks, and safety relief valves. 

(iv) Cooling ponds. 

(v) Laundry operations using only water solutions ofbleach or detergents. 

(vi) Demineralized water tanks and demineralizer vents. 

(vii) Boiler water treatment operations, not including cooling towers. 

(viii) Oxygen scavenging (deaeration) of water. 

(ix) Stearn cleaning operations and steam sterilizers. 

72 
(x) Pressure washing of equipment. 

(xi) Water jet cutting operations. 

(E) Combustion activities, including the following: 

(i) Portable electrical generators that can be moved by hand from one (I) location to 

another. As used in this item, "moved by hand" means that it can be moved without the 

assistance of any motorized or nonmotorized vehicle, conveyance, or device. 

(ii) Combustion emissions from propulsion of mobile sources. 

(iii) Fuel use related to food preparation for on-site consumption. 

(iv) Tobacco smoking rooms and areas. 

(v) Blacksmith forges. 

(vi) Indoor and outdoor kerosene heaters. 

(F) Activities related to ventilation, venting equipment, and refrigeration, including the following: 

(i) Ventilation exhaust, central chiller water systems, refrigeration, and air conditioning 

equipment, not related to any industrial or production process, including natural draft 

hoods or ventilating systems that do not remove air pollutants. 

(ii) Stack and vents from plumbing traps used to prevent the discharge of sewer gases, 

handling domestic sewage only, excluding those at wastewater treatment plants or those 

handling any industrial waste. 

(iii) Vents from continuous emissions monitors and other analyzers. 

(iv) Natural gas pressure regulator vents, excluding venting at oil and gas production 

facilities. 

(v) Air vents from air compressors. 

(vi) Vents for air cooling of electric motors provided the air does not commingle with 

regulated air pollutants. 

(vii) Vents from equipment used to air blow water from cooled plastics strands or sheets. 

(G) Activities related to routine fabrication, maintenance, and repair of buildings, structures, 

equipment, or vehicles at the source where air emissions from those activities would not be 

associated with any commercial production process, including the following: 

(i) Activities associated with the repair and maintenance of paved and unpaved roads, 

including paving or sealing, or both, of parking lots and roadways. 

(ii) Painting, including interior and exterior painting of buildings, and solvent use 

excluding deg~·easing operations utilizing halogenated organic solvents. 

(iii) Brazing, soldering, or welding operations and associated equipment. 

(iv) Portable blast-cleaning equipment with enclosures. 

(v) Blast-cleaning equipment using water as the suspension agent and associated 

equipment. 

(vi) Batteries and battery charging stations except at battery manufacturing plants. 

(vii) Lubrication, including the following: 

(AA) Hand-held spray can lubrication. 

(BB) Dipping metal parts into lubricating oil. 

(CC) Manual or automated addition of cutting oil in machining operations. 

(viii) Nonasbestos insulation installation or removal. 

(ix) Tarring, retarring, and repair of building roofs. 

(x) Bead blasting of heater tubes. 

(xi) Instrument air dryer and filter maintenance. 

(xii) Manual tank gauging. 

(xiii) Open tumblers associated with de burring operations in maintenance shops. 

(H) Activities performed using hand-held equipment, including the following: 

(i) Application of hot melt adhesives with no VOC in the adhesive formulation. 

(ii) Buffmg. 

(iii) Carving. 

(iv) Cutting, excluding cutting torches. 

(v) Drilling. 

73 
(vi) Grinding. 

(vii) Machining wood, metal, or plastic. 

(viii) Polishing. 

(ix) Routing. 

(x) Sanding. 

(xi) Sawing. 

(xii) Surface grinding. 

(xiii) Turning wood, metal, or plastic. 

(I) Housekeeping and janitorial activities and supplies, including the following: 

(i) Vacuum cleaning systems used exclusively for housekeeping or custodial activities, or 

both. 

(ii) Steam cleaning activities. 

(iii) Restrooms and associated cleanup operations and supplies. 

(iv) Alkaline or phosphate cleaners and associated equipment. 

(v) Mobile floor sweepers and floor scrubbers. 

(vi) Pest control fumigation. 

(J) Office related activities, including the following: 

(i) Office supplies and equipment. 

(ii) Photocopying equipment and associated supplies. 

(iii) Paper shredding. 

(iv) Blueprint machines, photographic equipment, and associated supplies. 

(K) Lawn care and landscape maintenance activities and equipment, including the storage, 

spraying, or application of insecticides, pesticides, and herbicides. 

(L) Storage equipment and activities, including the following: 

(i) Pressurized storage tanks and associated piping for the following: 

(AA) Acetylene. 

(BB) Anhydrous anunonia. 

( CC) Carbon monoxide. 

(DD) Chlorine. 

(EE) Inorganic compounds. 

(FF) Liquid petroleum gas (LPG). 

(GG) Liquid natural gas (LNG). 

(HH) Natural gas. 

(II) Nitrogen dioxide. 

(JJ) Sulfur dioxide. 

(ii) Storage tanks, vessels, and containers holding or storing liquid substances that do not 

contain any VOC or HAP. 

(iii) Storage tanks, reservoirs, and pumping and handling equipment of any size 

containing: 

(AA) soap; 

(BB) vegetable oil; 

(CC) grease; 

(DD)wax; 

(EE) animal fat; and 

(FF) nonvolatile aqueous salt solutions; 

provided appropriate lids and covers are utilized. 

(iv) Storage of drums containing maintenance raw materials. 

(v) Storage ofthe following: 

(AA) Castings. 

(BB) Lance rods. 

(CC) Any non-HAP containing material in solid form stored in a sealed or 

covered container. 

(vi) Portable containers used for the collection, storage, or disposal of materials provided 

74 
the container capacity is equal to or less than forty-six hundredths (0.46) cubic meters 

and the container is closed, except when the material is added or removed. 

(M) Emergency and standby equipment, including the following: 

(i) Emergency (backup) electrical generators at residential locations, such as dmmitories, 

prisons, and hospitals. 

(ii) Safety and emergency equipment except engine driven fire pumps, including frre 

suppression systems and emergency road flares. 

(iii) Process safety relief devices installed solely for the purpose of minimizing injury to 

persons or damage to equipment that could result from abnormal process operating 

conditions, including the following: 

(AA) Explosion relief vents, diaphragms, or panels. 

(BB) Rupture discs. 

(CC) Safety relief valves. 

(iv) Activities and equipment associated with on-site medical care not otherwise 

specifically regulated. 

(v) Vacuum-producing devices for the purpose of removing potential accidental releases. 

(N) Sampling and testing equipment and activities, including the following: 

(i) Equipment used for quality control/assurance or inspection purposes, including 

sampling equipment used to withdraw materials for analysis. 

(ii) Hydraulic and hydrostatic testing equipment. 

(iii) Ground water monitoring wells and associated sample collection equipment. 

(iv) Environmental chambers not using HAP gases. 

(v) Shock chambers. 

(vi) Humidity chambers. 

(vii) Solar simulators. 

(viii) Sampling activities, including the following: 

(AA) Sampling of waste. 

(BB) Glove box sampling, charging, and packaging. 

(ix) Instrument air dryers and distribution. 

(0) Use of consumer products and equipment where the product or equipment is: 

(i) used at a source in the same manner as normal consumer use; and 

(ii) not associated with any production process. 

(P) Equipment and activities related to the handling, treating, and processing of animals, including 

the following: 

(i) Equipment used exclusively to slaughter animals, but not including the following: 

(AA) Rendering cookers. 

(BB) Boilers. 

(CC) Heating plants. 

(DO) Incinerators. 

(BE) Electrical power generating equipment. 

(ii) Veterinary operating rooms. 

(Q) Activities generating limited amounts of fugitive dust, including the following: 

(i) Fugitive emissions related to movement of passenger vehicles, provided the emissions 

are not counted for applicability purposes under subdivision (22)(B), and any required 

fugitive dust control plan or its equivalent is submitted. 

(ii) Soil boring. 

(iii) Road salting and sanding. 

(R) Activities associated with production, including the following: 

(i) Closed, nonvented tumblers used for cleaning or de burring metal products without 

abrasive blasting. 

(ii) Electrical resistance welding. 

(iii) C02 lasers, used only on metals and other materials that do not emit HAPs in the 

process. 

75 
(iv) Laser trimmers that: 

(AA) do not produce fugitive emissions; and 

(BB) are equipped with a dust collection device, such as a bag filter, cyclone, or 

equivalent device. 

(v) Application equipment for hot melt adhesives with no VOC in the adhesive 

formulation. 

(vi) Drop hammers or hydraulic presses for forging or metalworking. 

(vii) Air compressors aud pneumatically operated equipment, including band tools. 

(viii) Compressor or pump lubrication and seal oil systems. 

(ix) Equipment used to mix and package: 

(AA) soaps; 

(BB) vegetable oil; 

(CC) grease; 

(DD) anirual fat; and 

(EE) nonvolatile aqueous salt solutions; 

provided appropriate lids and covers are utilized. 

(x) Equipment for washiug or drying fabricated glass or metal products, if no: 

(AA) VOCs or HAPs are used in the process; and 

(BB) gas, oil, or solid fuel is burned. 

(xi) Handling of solid steel, including coils and slabs, excluding scrap burning, scarfing, 

and charging into steehnaking furnaces and vessels. 

(S) Miscellaneous equipment, but not emissions associated with the process for which the 

equipment is used, and activities, including the following: 

(i) Equipment used for surface coating, painting, dipping, or spraying operation, except 

those that will emit VOCs or HAPs. 

(ii) Condensate drains for natural gas aud landfill gas. 

(iii) Electric or steam heated drying ovens and autoclaves, including only the heating 

emissions and not any associated process emissions. 

(iv) Salt baths using nonvolatile salts, including caustic solutions that do not result in 

emissions of any regulated air pollutauts. 

(v) Ozone generators. 

(vi) Pmiable dust collectors. 

(vii) Scrubber systems circulating water based solutions of inorganic salts or bases that 

are installed to be available for response to emergency situations. 

(viii) Soil borrow pits. 

(ix) Manual loading and unloading operations. 

(x) Purging of refrigeration devices using a combination of nitrogen and CFC-22 (R-22) 

as pressure test media. 

(xi) Construction and demolition operations. 

(xii) Mechanical equipment gear boxes and vents that are isolated from process materials. 

(xiii) Nonvolatile mold release waxes and agents. 

(43) "U.S. EPA" means the administrator of the United States Environmental Protection Agency or the 

administrator's designee. 

*These documents are incorporated by reference. Copies may be obtained from the Govermnent Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department of Environmental Management, Office of Air Quality, Indiana Govermnent Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204. · 

**These documents are incorporated by reference. Copies may be obtained through the U.S. Census 

Bureau website at: www.census.gov/eos/www/naics or are available for review and copying at the Indiana 

Department of Environmental Management, Office of Air Quality, Indiana Govermnent Center Nmih, Tenth Floor, 

100 North Senate Avenue, Indiauapolis, Indiaua 46204. (Air Pollution Control Board; 326 lAC 2-7-1; filed May 25, 

76 
1994, 11:00 a.m.: 17 IR 2249;fi/ed Dec 19, 1995, 3:05p.m.: 19 IR 1051; errata filed Apr 9, 1996, 2:30p.m.: 19 IR 

2045;fi/ed May 31, 1996, 4:00p.m.: 19 IR 2856;filedApr 22, 1997, 2:00p.m.: 20 IR 2326;filedNov 25, 1998, 

12:13 p.m.: 22 IR 1020; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3106;filedDec 20, 2001, 4:30p.m.: 25IR 

1573;filed Oct I, 2010, 3:48p.m.: 20101027-IR-326070372FRA;filed Feb 14, 201J, 11:20 a.m.: 20110316-IR326100505FRA;fi/ed May 25, 2011, 1:07 p.m.: 20110622-IR-326110085FRA;filed Ju/21, 2011, 10:45 a.m.: 

201108!7-IR-326110099FRA) 

SECTION 16. 326 lAC 2-7-10.5, PROPOSED TO BE AMENDED AT 2011 0831-IR-326090493PRA, 

SECTION 13, IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-7-10.5 Part 70 permits; source modifications 

Authority: IC 13-14-8; IC 13-15-2; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15-5; IC 13-17 

Sec. 10.5. (a) An owner or operator of a Part 70 source proposing to: 

(1) construct new emission units; 

(2) modify existing emission units; or 

(3) otherwise modify the source as described in this section; 

shall submit a request for a modification approval in accordance with this section. 

(b) In addition to the request for modification approval in subsection (a), the commissioner may issue a 

source modification for the purpose of incorporating the control requirements and emission limitations that are set 

forth in a: 

(I) fmal federal district court order that adjudicates violations of the prevention of significant deterioration 

provisions under Sections 160 through 169B of the CAA (42 U.S. C. 7470 through 42 U.S.C. 7492), the 

nonattainment new source review requirements under Sections 171 through 193 ofthe CAA (42 U.S.C. 

7501 through42 U.S.C. 7515), Section 112(g) and 112U) of the CAA (42 U.S.C. 7412(g) and 42 U.S.C. 

7412U)), 326 lAC 2-2, 326 lAC 2-3, or 326 lAC 20; or 

(2) federal consent decree that is entered into for the purpose of resolving alleged violations of the 

prevention of significant deterioration provisions under Sections 160 through 169B of the CAA (42 U.S.C. 

7470 through 42 U.S.C. 7492), the nonattainment new source review requirements under Sections 171 

through 193 of the CAA (42 U.S.C. 7501 through42 U.S. C. 7515), Section 112(g) and 112(j) of the CAA 

(42 U.S.C. 7412(g) and42 U.S. C. 7412(j)), 326 lAC 2-2, 326 lAC 2-3, or 326 lAC 20. 

(c) Notwithstanding any other provision of this rule, the owner or operator of a source may repair or replace 

an emissions unit or air pollution control equipment or components thereof without prior approval if the repair or 

replacement: 

(1) results in a potential to emit for each regulated pollutant that is less than or equal to the potential to emit 

of the equipment or the affected emissions unit that was repaired or replaced; 

(2) is not a major modification under 326 lAC 2-2, 326 lAC 2-3, or 326 lAC 2-4.1; and 

(3) returns the emissions unit, process, or control equipment to normal operation after an upset, 

malfunction, or mechanical failure or prevents impending and imminent failure of the emissions unit, 

process, or control equipment. 

If the repair or replacement qualifies as a reconstruction or is a complete replacement of an emissions unit or air 

pollution control equipment and would require a modification approval or operating permit revision under a 

provision ofthis rule, the owner or operator of the source must submit an application for a permit or permit revision 

to the commissioner not later than thirty (30) calendar days after initiating the repair or replacement. 

(d) Any person proposing to make a modification described in subsection (e) or (g) shall submit an 

application to the commissioner concerning the modification as follows: 

(1) If only preconstruction approval is requested, the application shall contain the following information: 

(A) The company name and address. 

(B) The following descriptive information: 

77 
(i) A description of the nature and location of the proposed construction or modification. 

(ii) The design capacity and typical operating schedule of the proposed construction or 

modification. 

(iii) A description of the following: 

(AA) The sonrce and the emissions unit or units comprising the source. 

(BB) Any proposed emission control equipment, including design specifications. 

(C) A schedule for proposed construction or modification of the source. 

(D) The following information as needed to assure all reasonable information is provided to 

evaluate compliance consistent with the permit terms and conditions, the underlying requirements 

of this title and the CAA, the ambient air quality standards set forth in 326 IAC 1-3, or the 

prevention of significant deterioration maximum allowable increase under 326 IAC 2-2: 

(i) Information on the nature and amount ofthe pollutant to be emitted, including an 

estimate ofthe potential to emit any regulated air pollutants. 

(ii) Estimates of offset credits, as required under 326 lAC 2-3, for sonrces to be 

constructed in nonattaimnent areas. 

(iii) Any other information, including, but not limited to, the air quality impact, 

determined by the commissioner to be necessary to reasonably demonstrate compliance 

with the requirements ofthis title and the requirements of the CAA, whichever are 

applicable. 

(E) Each application shall be signed by an authorized individual, unless otherwise noted, whose 

signature constitutes the following: 

(i) An acknowledgment that the applicant assumes the responsibility of assuring that the 

source, emissions unit or units, or emission control equipment will be constmcted and 

will operate in compliance with all applicable Indiana air pollution control rules and the 

requirements ofthe CAA. 

78 
drm #11-251 

PM2.5 NSR Amendments 

February I, 2012 

(ii) Affirmation that the statements in the application are true and complete, as known at 

the time of completion of the application, and shall subject the applicant to liability under 

state laws forbidding false or misleading statements. 

(2) Iftbe source requests that the preconstruction approval and operating permit revision be combined, the 

application shall contain the information in subdivision (1) and the following information consistent with 

section 4( c) of this rule: 

(A) An identification of the applicable requirements to which the source will be subject as a result 

of the modification, including the applicable emission limits and standards, applicable monitoring 

and test methods, and applicable record keeping and reporting requirements. 

(B) A description ofthe Part 70 permit terms and conditions that will apply to the modification 

and that are consistent with sections 5 and 6 of this rule. 

(C) A schedule of compliance, if applicable. 

(D) A statement describing what the compliance status ofthe modification will be after 

construction has been completed consistent with section 4( c)( 1 0) of this rule. 

(E) A certification consistent with section 4(f) of this rule. 

(e) The following minor modifications shall be processed in accordance with subsection (f): 

(1) Modifications that would reduce the frequency of any monitoring or reporting required by a permit 

condition or applicable requirement. 

(2) The addition of a portable source or relocation of a portable source to an existing source if the addition 

or relocation would require a change to any permit terms or conditions. 

(3) Modifications that would have a potential to emit within any of the following ranges: 

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

either j3artioola!e mat!<lF PM, eF J3arlioola!e mat!<lF!ess than ten fWj misrens PM10, or direct 

PM,.s. 

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of 

the following pollutants: 

(i) Sulfur dioxide (S02). 

(ii) Nitrogen oxides (NOx)· 

(iii) VOC for modifications that are not described in clause (C). 

(C) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

VOC for modifications that require the use of air pollution control equipment to comply with the 

applicable provisions of 326 IAC 8. 

(D) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons 

per year of carbon monoxide (CO). 

(E) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of 

lead (Pb). 

(F) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

the following regulated air pollutants: 

(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

( 4) Modifications for which the potential to emit is limited to less than twenty-five (25) tons per year of any 

regulated pollutant other than HAPs, ten (10) tons per year of any single HAP as defmed under Section 

112(b) of the CAA, or twenty-five (25) tons per year of any combination of HAPs by complying with one 

(I) of the following constraints: 

(A) Limiting total annual solvent usage or maximum VOC content, or both. 

(B) Limiting annual hours of operation of the process or business. 

(C) Using a particulate air pollution control device as follows: 

79 
follows: 

drm#ll-251 

PM2.5 NSR Amendments 

February 1, 2012 

(i) Achieving and maintaining ninety-nine percent (99%) efficiency. 

(ii) Complying with a no visible emission standard. 

(iii) The potential to emit before controls does not exceed major source thresholds for 

federal permitting programs. 

(iv) CertifYing to the commissioner that the control device supplier guarantees that a 

specific outlet concentration, in conjunction with design air flow, will result in actual 

emissions less than twenty-five (25) tons ofpartisela!e ma!teF PM, or fifteen (15) tons per 

year of partisela!e ma!teF with an aere<lynamis diameter less than OF 8fjllal to ten f±ll1 

misremeters PM10 or direct PM2.5• 

(D) Limiting individual fuel usage and fuel type for a combustion source. 

(E) Limiting raw material throughput or sulfur content of raw materials, or both. 

(5) A modification that is subject to a RACT, a new source performance standard (NSPS), or a national 

emission standard for hazardous air pollutants (NESHAP) and the RACT, NSPS, or NESHAP is the most 

stringent applicable requirement, except for those modifications that would be subject to the provisions of 

40 CFR Part 63, Subpart B, Hazardous Air Pollutants: Regulations Governing Constructed or 

Reconstructed Major Sources*. As part of the application required under subsection (d), the applicant shall 

acknowledge the requirement to comply with the RACT, NSPS, or NESHAP. 

(6) A change for which a source requests an emission limit to avoid 326 lAC 8-1-6. 

(7) A modification of an existing source that has a potential to emit greater than the thresholds under 

subdivision {3) ifthe modification will replace or repair a part or piece of equipment in an existing process 

unless the modification: 

(A) results in the replacement or repair of an entire process; 

(B) qualifies as a reconstruction of an entire process; 

(C) may result in an increase of actual emissions; or 

(D) would result in a net emissions increase greater than the siguificant levels in 326 lAC 2-2 or 

326 lAC 2-3. 

(8) A modification that has a potential to emit greater than the thresholds under subdivision (3) that adds an 

emissions unit or units of the same type that are already permitted and that will comply with the same 

applicable requirements and permit terms and conditions as the existing emission unit or units, except ifthe 

modification would result in a potential to emit greater than the thresholds in 326 lAC 2-2 or 326 lAC 2-3. 

(9) For a source in Lake County or Porter County with the potential to emit twenty-five (25) tons per year 

of either VOC or NO" any modification that would result in an increase of either emissions greater than or 

equal to the following: 

(A) Fifteen (15) pounds per day ofVOCs. 

(B) Twenty-five (25) pounds per day ofNO,. 

(f) Minor modification approval procedures for modifications described under subsection (d) are as 

(1) Except as provided in 326 lAC 2-13, the source may not begin construction on any emissions unit that 

is necessary to implement the modification until the commissioner has approved the modification request. 

(2) Within forty-five ( 45) calendar days from receipt of an application for a modification described under 

subsection (e), the commissioner shall do one (1) of the following: 

{A) Approve the modification request. 

(B) Deny the modification request. 

(C) Determine that the minor permit revision request would cause or contribute to a violation of 

the National Ambient Air Quality Standard {NAAQS) or prevention of significant deterioration 

(PSD) standards would allow for an increase in emissions greater than the thresholds in subsection 

(g) or would not provide for compliance monitoring consistent with this rule and should be 

processed under subsection (h). 

(3) The source may begin construction as follows: 

80 
dtm#ll-251 

PM2.5 NSR Amendments 

February I, 2012 

(A) If the source has a fmal Part 70 permit and only requests preconstruction approval or if the 

source does not have a fmal Part 70 permit, the source may begin construction upon approval by 

the commissioner. NotwithstandingiC 13-15-5, the commissioner's approval shall become 

effective immediately. Operation ofthe modification shall be as follows: 

(i) For a source that has a fmal Part 70 permit, operation of the modification may 

commence in accordance with section 12 of this rule. 

(ii) For a source without a fmal Part 70 permit, operation may begin after construction is 

completed. 

(B) If the source requests that the preconstruction approval and operating permit revision be 

combined, the source may begin construction upon approval and operation may begin in 

accordance with section 12 ofthis rule. 

(g) The following significant modifications shall be processed in accordance with subsection (h): 

(I) Any modification that is subject to 326 lAC 2-2, 326 lAC 2-3, or 326 lAC 2-4.1. 

(2) A modification that is subject to 326 lAC 8-1-6. 

(3) Any modification with a potential to emit lead at greater than or equal to one (I) ton per year. 

(4) Any modification with a potential to emit greater than or equal to twenty-five (25) tons per year ofauy 

ofthe following pollutants: 

(A) Partieula!e ma!!ef PM, eF partieula!e ma!!ef with lUI aere<lylllllllie !liamelel' less than eF e<jWl 

te tea Elllj mieremeters PM10, or direct PM2.5• 

(B) Sulfur dioxide (S02). 

(C) Nitrogen oxides (NO,J. 

(D)VOC. 

(E) Hydrogen sulfide (H2S). 

(F) Total reduced sulfur (TRS). 

(G) Reduced sulfin· compounds. 

(H) Fluorides. 

(5) For a source of lead with a potential to emit greater than or equal to five (5) tons per year, a 

modification that would increase the potential to emit greater than or equal to six-tenths (0.6) ton per year. 

(6) Any modification with a potential to emit greater than or equal to ten (I 0) tons per year of a single HAP 

as defmed under Section 112(b) of the CAA or twenty-five (25) tons per year of any combination of HAPs. 

(7) Any modification with a potential to emit greater than or equal to one hundred (I 00) tons per year of 

carbon monoxide (CO). 

(h) The following shall apply to the significant modifications described in subsection (g): 

(I) Any person proposing to make a modification described in subsection (g) shall: 

(A) submit an application concerning the modification; and 

(B) include the information under subsection (d). 

(2) Except as provided in 326 lAC 2-13, the source may not begin construction on any emissions unit that 

is necessary to implement the modification until the commissioner has issued a modification approval. 

(3) The commissioner shall approve or deny the modification as follows: 

(A) Within one hundred twenty (120) calendar days from receipt of an application for a 

modification in subsection (g) except subsection (g)(!). 

(B) Within two hundred seventy (270) calendar days from receipt of an application for a 

modification under subsection (g)(l). 

(4) A modification approval under this subsection may be issued only if all ofthe following conditions 

have been met: 

(A) The commissioner has received a complete application for a modification. 

(B) The commissioner has complied with the requirements for public notice as follows: 

(i) For modifications for which a source is only requesting preconstruction approval, the 

81 
drm#ll-251 

PM2.5 NSRAmendments 

February I, 2012 

commissioner has complied with the requirements under 326 IAC 2-1,1-6, 

(ii) For modifications for which a source is requesting a combined preconstruction 

approval and operating permit revision, the commissioner has complied with the 

requirements under section 17 ofthis rule, 

(C) The conditions of the modification approval provide for compliance with all applicable 

requirements and this rule, 

(D) For modifications for which a source is requesting a combined preconstruction approval and 

operating permit revision, the US. EPA has received a copy of the proposed modification 

approval and any notices required and has not objected to the issuance of the modification 

approval within the time period specified in section 18 of this rule, 

(5) The commissioner shall do the following: 

(A) Provide a technical support document that sets forth the legal and factual basis for draft 

modification approval conditions, including references to the applicable statutory and regulatory 

provisions. 

(B) Send this technical support document to: 

(i) the US, EPA; 

(ii) the applicant; and 

(iii) any other person who requests it 

(i) The following shall apply to a modification approval described in subsection (g) for a source that has not 

received a fmal Part 70 permit: 

(1) After receiving an approval to construct and prior to receiving approval to operate, a source shall 

prepare an affidavit of construction as follows: 

(A) The affidavit shall include the following: 

(i) The name and title of the authorized individuaL 

(ii) The company name. 

(iii) Subject to item (iv), an affirmation that the emissions units described in the 

modification approval: 

(AA) were constructed in conformance with the request for modification 

approval; and 

(BB) will comply with the modification approvaL 

(iv) Identification of any changes to emissions units not included in the request for 

modification approval, but which should have been included under subsection (a). 

(v) The sigoature of the authorized individuaL 

(B) The affidavit shall be notarized. 

(C) A source shall submit the affidavit to the commissioner either after construction of all the 

emission units described in the modification approval or after each phase of construction of the 

emission units described in the modification approval, as applicable, has been completed. 

(2) A source may not operate any emissions units described in the modification approval prior to receiving 

a validation letter issued by the commissioner, except as provided in the following: 

(A) A source may operate the emissions units covered by the affirmation in the affidavit of 

construction upon submission of the affidavit of construction. 

(B) The commissioner shall issue a validation letter within five (5) working days of receipt ofthe 

affidavit of construction. 

(C) The validation letter shall authorize the operation of all or part of each emissions unit covered 

by the affmnation in the affidavit of construction. 

(D) Subject to clause (E), the validation letter shall include any amendments to the modification 

approval if the amendment is requested by the source and if the amendment does not constitute a 

modification and require public notice and comment under 326 IAC 2-1.1-6. 

(E) A validation letter shall not approve the operation of any emissions unit if an amendment to 

82 
drm #11-251 

PM2.5 NSR Amendments 

February I, 2012 

the modification approval requested by the source would constitute a modification and require 

public notice and comment under 326 lAC 2-1.1-6. 

(j) Each modification approval issued under this rule shall provide that construction must commence within 

eighteen (18) months of the issuance of the modification approval. 

(k) All modification approval proceedings noder this section shall provide adequate procedures for public 

notice, including offering an opportuuity for public comment and a hearing on the draft modification approval as 

established in 326 lAC 2-1.1-6 or section 17 of this rule. 

(1) The commissioner shall provide for review by the U.S. EPA and affected states of each: 

(I) modification application; 

(2) draft modification approval; 

(3) proposed modification approval; and 

( 4) fmal modification approval; 

in accordance with the procedures established in section 18 of this rule for modifications that a source is requesting a 

combined preconstruction approval and operating pennit revision. 

(m) A modification approval issued in accordance with this section shall be incorporated into the source's 

Part 70 permit or permit application as follows: 

(I) For a source that has a fmal Part 70 permit and requested that the preconstruction approval and permit 

revision be combined, the modification approval shall be incorporated into the Part 70 permit as an 

administrative amendment in accordance with section II of this rule. 

(2) For a source that has a final Part 70 permit and requested only a preconstruction approval, the source 

may begin operation in accordance with section 12 of this rule. 

(3) For a source that has a complete Part 70 pe1mit application on file, but does not have a fmal Part 70 

permit aod requested only preconstruction approval, the modification approval: 

(A) shall be deemed incorporated in the Part 70 permit application; and 

(B) will be included in the Part 70 permit when issued. 

*This document is incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indiaoapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-7-10.5; 

filed Nov 25, 1998, 12:13 p.m.: 221R 1039; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3107;filed Oct 23, 2000, 

9:47a.m.: 24 IR 672;fi/edMay 21, 2002, 10:20 a.m.: 251R 3065; filed Aug 10, 2004, 3:35p.m.: 27 IR 3947; errata 

fi/edJu/23, 2007, 4:19p.m.: 20070815-IR-326070466ACA;filed Oct I, 2010, 3:48p.m.: 20101027-1R326070372FRA) 

. SECTION 17. 326 lAC 2-8-11.1, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, 

SECTION 17, IS AMENDED TO READ AS FOLLOWS: 

326 lAC 2-8-11.1 Permit revisions 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11 

Affected: IC 13-15-5; IC 13-17 

Sec. 11.1. (a) Any person proposing to add additional emission units, modizy existing emission units, or 

otherwise modizy a FESOP source as described in this section shall submit a permit revision request in accordance 

with this section. 

83 
drm#ll-251 

PM2.5 NSR Amendments 

February 1, 2012 

(b) Notwithstanding any other provision ofthis rule, the owner or operator of a source may repair or 

replace an emissions unit or air pollution control equipment, or components thereof, without prior approval, if the 

repair or replacement: 

(1) results in a potential to emit for each regulated pollutant that is less than or equal to the potential to emit 

for the equipment or the affected emissions unit that was repaired or replaced; 

(2) is not a major modification under 326 lAC 2-2-1, 326 lAC 2-3-1, or 326 lAC 2-4.1; and 

(3) returns the emissions unit, process, or control equipment to normal operation after an upset, 

malthnction, or mechanical failure or prevents impending and inuninent failure of the emissions unit, 

process, or control equipment. 

Ifthe repair or replacement qualifies as a reconstruction or is a complete replacement of an emissions unit or air 

pollution control equipment and would require a permit or operating permit revision under a provision of this rule, 

the owner or operator ofthe source must submit an application for a permit or permit revision to the commissioner 

not later than thirty (30) calendar days after initiating the repair or replacement. 

(c) An application required under this section shall meet the requirements of section 3( c) of this rule and 

include the following information: 

(1) The company name and address. 

(2) A description ofthe change and the emissions resulting from the change. 

(3) An identification of the applicable requirements to which the source is newly subject as a result of the 

change, including the applicable emission limits and standards, applicable monitoring and test methods, 

and applicable record keeping and reporting requirements. 

( 4) Proposed permit terms and conditions required to implement the change, including limitations and 

methods to be used to comply with the limitations for modifications described in subsection (d)( 4). 

(5) A schedule of compliance, if applicable. 

(6) A certification consistent with section 3(d) of this rule. 

(d) The following modifications shall require minor permit revisions and shall require approval prior to 

construction and operation: 

(1) Modifications that reduce the frequency of any monitoring or reporting required by a permit condition 

or applicable requirement. 

(2) The addition of a portable source or relocation of a portable source to an existing source, if the addition 

or relocation would require a change to any permit terms or conditions. 

(3) Modifications that would have a potential to emit within the following ranges: 

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

either partioola!e matteF PM, eF partioola!e mattefless than ten E+{)j microns PM10, or direct 

PM,.s. 

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (1 0) tons per year of 

sulfur dioxide (S02). 

(C) Less than twenty-five (25) tons per year and equal to or greater than ten (1 0) tons per year of 

nitrogen oxides (NOx). 

(D) Less than twenty-five (25) tons per year and equal to or greater tban ten (1 0) tons per year of 

VOC for modifications that are not described in clause (E). 

(E) Less than twenty-five (25) tons per year and equal to or greater than five (5} tons per year of 

VOC for modifications that require the use of air pollution control equipment to comply with the 

applicable provisions of326 lAC 8. 

(F) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons 

per year of carbon monoxide (CO). 

(G) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of 

lead (Pb}. 

(H) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of 

84 
the following regulated air pollutants: 

(i) Hydrogen sulfide (H2S). 

(ii) Total reduced sulfur (TRS). 

(iii) Reduced sulfur compounds. 

(iv) Fluorides. 

drm#ll-251 

PM2.5 NSR Amendments 

February 1, 2012 

(4) Modifications for which the potential to emit is limited to less thao twenty-five (25) tons per year of any 

regulated pollutant other than HAPs, ten (10) tons per year of any single HAP as defined uuder Section 

112(b) of the CAA, or twenty-five (25) tons per year of any combination of HAPs by complying with one 

(1) of the following constraints: 

(A) Limiting total annual solvent usage or maximum VOC content, or both. 

(B) Limiting annual hours of operation of the process or business. 

(C) Using a particulate air pollution control device as follows: 

(i) Achieving and maintaining ninety-nine percent (99%) efficiency. 

(ii) Complying with a no visible emission staodard. 

(iii) The potential to emit before air pollution controls does not exceed major source 

thresholds for federal permitting programs. 

(iv) Certifying to the commissioner that the air pollution control device supplier 

guarantees that a specific outlet concentration, in conjunction with design air flow, will 

result in actual emissions less than twenty-five (25) tons ofpartirnlale malleF PM, or 

fifteen (15) tons per year of partieala!e malleF with an aeredynamis diameter less tl!an er 

O<jlllll !e ten fM1 mieremeters PM10 or direct PM2.

5• 

(D) Limiting individual fuel usage aod fuel type for a combustion source. 

(E) Limiting raw material throughput or sulfur content of raw materials, or both. 

(5) A chaoge that is not described under section 10(a)(15) or IO(a)(16) of this rule and is subject to a 

RACT, a new source performance standard (NSPS), or a national emission standard for hazardous air 

pollutants (NESHAP) aod the RACT, NSPS, or NESHAP is the most stringent applicable requirement, 

except for those modifications that would be subject to the provisions of 40 CFR 63, Subpart B Hazardous 

Air Pollutants: Regulations Governing Constructed or Reconstructed Major Sources*. As part of the 

application required under subsection (c), the applicant shall acknowledge the requirement to comply with 

the RACT, NSPS, or NESHAP. 

(6) A modification for which a source requests an emission limit to avoid 326 lAC 8-1-6. 

(e) Minor permit revision procedures shall be as follows: 

(I) Any person proposing to make a chaoge described in subsection (d) shall: 

(A) submit an application concerning the change; and 

(B) include the information uuder subsection (c). 

(2) Except as provided in 326 lAC 2-13, the source may not begin construction on any emissions unit that 

is necessary to implement the change until the commissioner has revised the permit. 

(3) Within forty-five ( 45) calendar days from receipt of an application for a minor permit revision, the 

commissioner shall either: 

(A) approve the minor permit revision request; 

(B) deny the minor permit revision; or 

(C) determine that the minor permit revision request would cause or contribute to a violation of 

the National Ambient Air Quality Standard (NAAQS) or prevention of significant deterioration 

(PSD) standards, would allow for ao increase in emissions greater thao the thresholds in 

subsection (f), or would not provide for compliance monitoring consistent with this rule and 

should be processed as a significant permit revision. 

( 4) If approved, the permit shall be revised by incorporating the minor permit revision into the permit. The 

commissioner shall make any changes necessary to assure compliance with this title and the CAA prior to 

attaching the minor permit revision to the permit. The commissioner shall do the following: 

85 
drm #11-251 

PM2.5 NSR Amendments 

February I, 2012 

(A) Notify the permittee upon incorporation of the minor permit revision to the permit. 

(B) Provide a copy of the minor permit revision to the permittee. 

Notwithstanding IC 13-15-5, the commissioner's decision shall become effective inunediate1y. 

(f) Significant permit revision procednres are as follows: 

(1) A significant permit revision is a modification that is not an administrative amendment under section 10 

ofthis rule or subject to subsection (d) and includes the following: 

(A) Any modification that would be subject to 326 lAC 2-2, 326 lAC 2-3, or 326 lAC 2-4.1. 

(B) Any modification that results in the sonrce needing to obtain a Part 70 permit under 326 lAC 

2-7. 

(C) A modification that is subject to 326 lAC 8-1-6. 

(D) Any modification with a potential to emit lead at greater than or equal to one (1) ton per year. 

(E) Any modification with a potential to emit greater than or equal to twenty-five (25) tons per 

year of the following pollutants: 

(i) PartiOlllate mattef PM, <lf partiOlllate mattef with an aere<lynamie diameter less than eF 

6Eflll'l te teH EWj mioremetOFs PM10, or direct PM2.5• 

(ii) Sulfur dioxide (S02). 

(iii) Nitrogen oxides (NOxl· 

(iv) VOC. 

(v) Hydrogen sulfide (H2S). 

(vi) Total reduced sulfur (TRS). 

(vii) Reduced sulfur compounds. 

(viii) Fluorides. 

(F) For a source of!ead with a potential to emit greater than or equal to five (5) tons per year, a 

modification that would increase the potential to emit greater than or equal to six-tenths (0.6) ton 

per year. 

(G) Any modification with a potential to emit greater than or equal to ten (10) tons per year of a 

single HAP as defined under Section 112(b) ofthe CAA or twenty-five (25) tons per year of any 

combination ofHAPs. 

(H) Any modification with a potential to emit greater than or equal to one hundred (100) tons per 

year of carbon monoxide (CO). 

(I) Any modification that removes or reduces compliance monitoring, testing, record keeping, 

reporting, or its frequency. 

(2) The following conditions shall apply to significant permit revisions: 

(A) Any person proposing to make a modification described in this subsection shall: 

(i) submit an application concerning the modification; and 

(ii) include the information under subsection (c). 

(B) The commissioner shall provide a copy of the significant permit revision application and draft 

and fmal operating permit revision to the U.S. EPA. 

(C) Except as provided in 326 lAC 2-13, the sonrce may not begin constrnction on any emissions 

unit that is necessary to implement the change until the commissioner has revised the permit. 

(D) The commissioner shall provide for public notice and comment in accordance with section 13 

of this rule. 

(E) The commissioner shall approve or deny the significant permit revision as follows: 

(i) Within one hundred twenty (120) calendar days from receipt of an application for a 

significant permit revision, except for a significant pennit revision under subdivision 

(!)(A). 

(ii) Within two hundred seventy (270) calendar days from receipt of an application for a 

significant permit revision under subdivision (I )(A). 

(F) If approved, the permit shall be revised by incorporating the significant permit revision into 

86 
dnn#ll-251 

PM2.5 NSR Amendments 

February I, 2012 

the permit. The commissioner shall make any changes necessary to assure compliance with this 

title and the CAA prior to attaching the significant permit revision to the permit. 

(g) Notwithstanding a permit requirement for emissions to remain below major source thresholds under 

Part 70 in 326 lAC 2-7, PSD in 326 lAC 2-2, or emission offset in 326 lAC 2-3, any modifications that require an 

adjustment to the FESOP emission limitations shall be required to be reviewed in accordance with the procedures in 

subsection (f). 

*This document is incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department ofEnviromnental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 326 lAC 2-8-11.1; 

filed Nov 25, 1998, 12:13 p.m.: 221R 1055; errata filed May 12, 1999, 11:23 a.m.: 221R 3107;filed May 21, 2002, 

10:20 a.m.: 25IR3072; erratafiledJul23, 2007,4:19 p.m.: 20070815-IR-326070466ACA;filed0ct I, 2010,3:48 

p.m.: 20101027-IR-326070372FRA) 

SECTION 18.326 lAC 4-1-4.1 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 4-1-4.1 Open burning approval; criteria and conditions 

Authority: IC 13-15-2-1; IC 13-17-3-4 

Affected: IC 4-21.5; IC 13-12; IC 13-17-9 

Sec. 4.1. (a) Burning not exempted by section 3 or 4 ofthis rule may be authorized by the issuance of an 

approval by the commissioner or the commissioner's designated agent after consideration of an approval application. 

Such burning may be authorized for, but not limited to, the following: 

(1) Burning for the purpose of fire training. 

(2) Burning of natural growth derived from a clearing operation, such as removal of natural growth for 

change in nse ofthe land. 

(3) Burning ofhighly explosive or other dangerous materials for which no alternative disposal method 

exists or where transportation of such materials is hazardous. 

(4) Burning of clean wood products. 

(5) Burning of natural growth for the purpose efland management. 

(b) The following criteria may be considered for approval under this section: 

(1) The applicant has demonstrated that alternative methods for disposal are impractical or prohibitively 

expensive. 

(2) There are not more than five (5) residences or structures within five hundred (500) feet of the proposed 

burning site. 

(3) There have been no open burning violations at the site ofthe proposed burning or by the applicant. 

(4) If the application involves a structure for frre training, the structure has not been demolished prior to 

training activities. 

(5) The burning site is located in a county not designated as a nonattainment area for PM10, PM2•5, or ozone 

and is not located in Clark County or Floyd County. The commissioner or the commissioner's agent may 

allow open burning in these areas, subject to conditions necessary to protect air quality. 

(c) No approval shall be granted at any time for residential burning in Clark County, Floyd County, Lake 

County, or Porter county. 

(d) Any approval shall be subject to the following conditions unless otherwise stipulated in the open 

burning approval letter: 

(1) Only clean wood products shall be burned. 

87 
(2) No asbestos-containing material shall be burned. 

drm#ll-251 

PM2.5 NSR Amendments 

February I, 2012 

(3) No burning shall be conducted during unfavorable meteorological conditions, such as: 

(A) high winds, temperature inversions, or air stagnation; or 

(B) when a pollution alert or ozone action day has been declared. 

( 4) Burning shall be conducted during daylight hours only, and all frres shall be extinguished prior to 

sunset. 

(5) If at any time the frre creates: 

(A) an air pollution problem; 

(B) a threat to public health; 

(C) a nuisance; or 

(D) a frre hazard; 

the burning shall be extinguished. 

( 6) The local frre department and health department must be notified at least twenty-four (24) homs in 

advance of the date, time, and location of the burning. 

(7) The approval letter shall be made available at the burning site to state and local officials upon request 

except during emergency burning. 

(8) Adequate frre fighting equipment shall be on-site for extinguishing purposes during burning times. 

(9) No burning shall take place within: 

(A) one hundred (100) feet of any structure or·powerline; or 

(B) three hundred (300) feet of a frequently traveled road, fuel storage area, or pipeline. 

(I 0) Fires must be attended at all times until completely extinguished. 

(II) All burning must comply with other federal, state, or local laws, regulations, or ordinances, including 

40 CFR 61, Subpart M* (National Emissions Standards for Asbestos). 

(12) No waste that is regularly generated as a result of a routine business operation shall be burned. 

(13) The material to be burned shall not exceed one thousand (1,000) cubic feet. 

(e) An approval letter shall be valid for nn not longer than one (1) year from the date of issuance. However, 

an approval letter may be valid for as long as five (5) years if the approval application is accompanied by an open 

burning plan. The plan shall: 

(1) contain a description of the open burning proposed for the period of time for which an approval letter is 

sought; and 

(2) be incorporated as a condition ofthe approval letter under subsection (d) or (f). 

Any change in the plan must receive an additional approval letter, unless the change is to reduce open burning or the 

change is to conduct burning exempted under section 3 of this rule. The plan shall be available for review upon the 

request by the department. 

(f) The commissioner or the commissioner's designated agent may add conditions to an approval letter, as 

necessary, to prevent a public nuisance or protect the public health or the environment. Such conditions may be 

based on local air quality conditions, including whether the area is a nonattainment county as defmed in 326 lAC 1-

4-1 or has been redesignated from nonattainment to attainment status. 

(g) A decision on the open burning approval letter is subject to IC 4-21.5 (Administrative Orders and 

Procedures Act). 

*This document is incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth 

Floor, 100 North Senate Avenue, Indianapolis, Indiana46204. (Air Pollution Control Board; 326 lAC 4-1-4.1;filed 

Ju/30, 1996, 2:00p.m.: 19 IR 3343; readopted filed Jan 10, 2001, 3:20p.m.: 24 IR 1477;filedNov 15, 2002, 11:17 

a.m.: 26 IR 1077) 

88 
SECTION 19. 326 lAC 5-1-5 IS AMENDED TO READ AS FOLLOWS: 

326 lAC 5-1-5 Violations 

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11; IC 13-17-3-12 

Affected: IC 13-11; IC 13-17 

dnn#ll-251 

PM2.5 NSR Amendments 

February 1, 2012 

Sec. 5. (a) Except as provided in section 4(b) of this rule, a violation of this rule shall constitute prima facie 

evidence of a violation of the applicable mass emission limitation. A violation of the mass emission rule may be 

refuted by a performance test conducted in accordance with 326 lAC 3-6. The test shall refute the mass emission 

violation only if the source is shown to be in compliance with the allowable mass emission limit. An exceedance of 

the allowable opacity emission limit during a performance test shall not be treated as a violation of the applicable 

mass emission limitation if, during the test described in 326 lAC 3-6, the source demonstrates compliance with the 

allowable mass emission limit while simultaneously having opacity more than or equal to the reading at which the 

exceedance was originally observed. 

(b) If a source or facility believes it can operate in compliance with the applicable mass emission limitation, 

but exceeds the limits specified in section 2 ofthis rule, the owner or operator may submit a written petition to the 

commissioner requesting that an alternate opacity limitation (AOL) be established, as follows: 

(I) The petition must be submitted to the commissioner, and a copy submitted to the local air pollution 

control agency, if applicable, ne not later than sixty (60) days prior to the scheduled performance test date. 

The petition must contain, contain, at a minimum, the following information: 

(A) Source name and address. 

(B) Address of affected source if different from clause (A). 

(C) List of potentially affected patties. 

(D) Identification of control device or devices and typical operating parameters. 

(E) Applicable particulate matter (PM, 01' PM10, or PM2.5) and opacity limits. 

(F) Other applicable rule requirements or permit conditions. 

(G) Proposed alternative opacity limit. 

(H) The reason or reasons for requesting the alternative opacity limit. 

(I) Complete test protocol in accordance with 326 IAC 3-6. 

(2) The alternative opacity limit shall be based upon a series ofthree (3) complete mass emission tests (nine 

(9) sample runs) conducted according to the procedures specified in 326 lAC 3 and three (3) opacity tests 

conducted simultaneously, according to section 4 of this rule. Where the commissioner determines there is 

no acceptable test method available, a request for an alternative opacity limit shall be denied. 

(3) The performance tests must be wituessed by the commissioner, U.S. EPA, the local air pollution control 

agency, or their authorized representatives unless other arrangements are made in advance ofthe start of the 

testing that will allow the testing to proceed without agency staff present to observe the tests. 

(4) The owner or operator must demonstrate that the following conditions were met during the performance 

test: 

(A) The source or emissions unit was operated according to its permitted conditions and under 

normal or representative operating conditions. 

(B) The associated air pollution control system was installed and was being operated as specified 

in any applicable permit condition or conditions. 

(C) The air pollution control equipment was: 

(i) properly maintained and in good operating condition; and Waf! 

(ii) ·operated according to the manufacturer's recommended operating conditions to 

minimize emissions and opacity. 

(D) The affected emissions unit and associated air pollution control equipment were incapable of 

being adjusted or operated to meet the applicable opacity limit, except during: 

89 
drm #11-251 

PM2.5 NSR Amendments 

February I, 2012 

(i) periods when the control equipment is not operating properly; or 

(ii) other exempt periods under section 3 of this rule. 

(E) Each test was conducted under reasonably similar operating conditions. 

(F) Any other conditions as required by the commissioner or the U.S. EPA. 

(5) The commissioner may require one (I) or more of the following: , 

(A) The installation of a continuous opacity monitoring system that meets the requirements of 326 

IAC3. 

(B) Monitoring sufficient to demonstrate compliance with the alternative opacity limit. 

(C) Regular reporting to verifY compliance with the alternative opacity limit. 

(6) The alternative opacity limit shall only apply to the emissions unit for which the alternative opacity 

limit was originally established and shall not be extended to any other unit or units. 

(7) For multiple units or processes with a common stack, all units must be in operation during the entire test 

series unless operational limitations are specified in the operation permit or simultaneous operation does 

not conform with the source's operating procedures. 

(8) The alternative opacity limit shall be determined based on the results ofthe performance tests. 

(9) The particnlate matter test results for each sample run must demonstrate compliance with all applicable 

particulate matter limits or standards. If noncompliance is demonstrated during any sample run, the test 

series is not valid for an alternative opacity limit determination. 

(1 0) The alternative opacity limit established for a source shall be incorporated by amendment into the 

source's operating pennlt and submitted to the U.S. EPA in accordance with section 7 of this rule. 

(11) If the alternative opacity limit exceeds an applicable new source performance standard (NSPS) opacity 

limit, the provisions in 40 CFR 60.11 * must be satisfied in addition to the procedures in this rule. The 

procedures shall be approved by the U.S. EPA, the commissioner, and the local air pollution control agency 

as appropriate. 

(c) Nothing in this rule shall be construed as allowing an exception or exemption from a requirement in a 

state or federal new source performance standard without approval by the U.S. EPA. 

*This document is incorporated by reference. Copies may be obtained from the Government Printing 

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the 

Indiana Department ofEnviromnental Management, Office of Air Quality, Indiana Govermnent Center North, Tenth 

Floor, I 00 North Senate Avenue, Indianapolis, Indiana 46204. (Air Pollution Control Board; 3261AC 5-1-5; filed 

Mar 10, 1988, 1:20 p.m.: 111R 2423;filed May 12, 1993, 11:30 a.m.: 16JR 2366;filed Oct 9, 1998, 3:56p.m.: 22 

IR 431; errata filed Dec 12, 2002, 3:35p.m.: 261R 1567;filedAug 26, 2004, 11:30 a.m.: 281R 41) 

90 
G 
TITLE 326 AIR POLLUTION CONTROL BOARD

Proposed Rule

LSA Document #11-251

DIGEST

Amends 326 IAC 1-2-52, 326 IAC 2-1.1-1, 326 IAC 2-1.1-3, 326 IAC 2-2-1, 326 IAC 2-2-4, 326 IAC 2-2-6,

326 IAC 2-2-14, 326 IAC 2-3-1, 326 IAC 2-3-2, 326 IAC 2-3-3, 326 IAC 2-5.1-2, 326 IAC 2-5.1-3, 326 IAC 2-5.5-1,

326 IAC 2-6.1-6, 326 IAC 2-7-1, 326 IAC 2-7-10.5, 326 IAC 2-8-11.1, 326 IAC 4-1-4.1, and 326 IAC 5-1-5

concerning new source review (NSR) provisions for particulate matter less than 2.5 microns (PM2.5), amendments

to definitions of terms in 326 IAC 2 to defer carbon dioxide (CO2) emissions from bioenergy and other biogenic

sources from greenhouse gas permitting requirements, and amendments necessary to identify nitrogen oxides

(NOx) as a precursor to ozone, and IDEM is proposing to include a reference to PM2.5 at 326 IAC 4-1 and 326 IAC

5-1. Effective 30 days after filing with the Publisher.

HISTORY

First Notice of Comment Period: May 4, 2011, Indiana Register (DIN: 20110504-IR-326110251FNA).

Continuation of First Notice of Comment Period: September 7, 2011, Indiana Register (DIN:

20110907-IR-326110251FCA).

Second Notice of Comment Period: December 14, 2011, Indiana Register (DIN:

20111214-IR-326110251SNA).

Notice of First Hearing: December 14, 2011, Indiana Register (DIN: 20111214-IR-326110251PHA).

Date of First Hearing: February 1, 2012.

PUBLIC COMMENTS UNDER IC 13-14-9-4.5

IC 13-14-9-4.5 states that a board may not adopt a rule under IC 13-14-9 that is substantively different from

the draft rule published under IC 13-14-9-4 until the board has conducted a third comment period that is at least

21 days long. Because this proposed rule is not substantively different from the draft rule published on December

14, 2011, at DIN: 20111214-IR-326110251SNA, the Indiana Department of Environmental Management (IDEM) is

not requesting additional comment on this proposed rule.

SUMMARY/RESPONSE TO COMMENTS FROM THE SECOND COMMENT PERIOD

The Indiana Department of Environmental Management (IDEM) requested public comment from December

14, 2011, through January 13, 2012, on IDEM's draft rule language. IDEM received comments from the following

parties:

United States Environmental Protection Agency (EPA)

Bingham Greenebaum Doll, LLP on behalf of CASE Coalition (CASE)

Following is a summary of the comments received and IDEM's responses thereto:

Comment: In IDEM's draft rules, the definition of "major source baseline date" (326 IAC 2-2-1(ee)(1)) says "in

the case of PM and sulfur dioxide, January 6, 1975" and the definition of "minor source baseline date" (326 IAC 2-

2-1(gg)(1)(A)) says "in case of PM and sulfur dioxide, August 7, 1977." However, the Environmental Protection

Agency's October 20, 2010 PM2.5 PSD final rule (75 FR 64864) made revisions to these definitions in the federal

rule. The definition of "major source baseline date" in 40 CFR 51.166(b)(14)(i)(a) was revised to say "in case of

PM10 and sulfur dioxide, January 6, 1975." Likewise, the definition of "minor source baseline date" in 40 CFR

51.166(b)(14)(ii)) was revised to say "in case of PM10 and sulfur dioxide, August 7, 1977." We recommend that

IDEM revise these definitions to be consistent with the changes to the federal rule. (EPA)

Response: IDEM concurs and has made the suggested changes.

Comment: A lawsuit has been filed challenging the PM2.5 significant impact levels (SILs) and significant

monitoring concentration (SMC) that EPA promulgated as part of the October 20, 2010, PM2.5 PSD final rule.

While Region 5 has no adverse comments on IDEM's adoption of the PM2.5 SILs and SMC from the federal rule,

the legal challenge may result in a court decision or agency action that could affect the approvability of state

submittals such as Indiana's that include the current PM2.5 SILs and SMC.

Response: IDEM appreciates the information concerning the legal challenge. IDEM proposes to continue

forward with the addition of the SILs and SMC to be consistent with the current federal rules. If the legal challenge

results in changes to these requirements, IDEM will reconsider the rules and may make changes in a future

rulemaking.

Comment: The provision at 326 IAC 2-2-1(ss)(1)(C) should be amended to expressly exclude ammonia as a

precursor to PM2.5. As proposed, the definition of "regulated NSR pollutant" in 326 IAC 2-3-1(mm)(3)(C) includes

the statement: "VOC and ammonia are not precursors to PM2.5 in any PM2.5 nonattainment area." However, the

definition of "regulated NSR pollutant" in 326 IAC 2-2-1(ss) only expressly excludes VOC as a precursor to PM2.5.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 1
Expressly excluding both VOC and ammonia as precursors to PM2.5 in 326 IAC 2-3, but only expressly excluding

VOC in 326 IAC 2-2 creates an inconsistency that could be misinterpreted. Therefore, 326 IAC 2-2-1(ss)(1)(C)

should be amended to expressly exclude both VOC and ammonia as follows: "VOC and ammonia are not

precursors to PM2.5." (CASE)

Response: IDEM concurs and has made the suggested change.

Comment: CASE Coalition understands that IDEM is considering whether 326 IAC 26-1-6 actually needs to

be amended given the scope of the current rule language. However, if 326 IAC 26-1-6(d)(2) is amended, the

language should be replaced with "PM10 and direct PM2.5" rather than "PM10 and PM2.5."

Response: Upon consideration, IDEM recognizes that because PM2.5 is a subset of PM10, it is already

included in the calculation for determining whether or not a BART analysis is required. IDEM has determined that

no changes are necessary in 326 IAC 26-1-6 and is removing this section from the rulemaking.

SUMMARY/RESPONSE TO COMMENTS RECEIVED AT THE FIRST PUBLIC HEARING

On February 1, 2012, the Air Pollution Control Board (board) conducted the first public hearing/board meeting

concerning the development of amendments to 326 IAC 2. No comments were made at the first hearing.

326 IAC 1-2-52; 326 IAC 2-1.1-1; 326 IAC 2-1.1-3; 326 IAC 2-2-1; 326 IAC 2-2-4; 326 IAC 2-2-6; 326 IAC 2-2-

14; 326 IAC 2-3-1; 326 IAC 2-3-2; 326 IAC 2-3-3; 326 IAC 2-5.1-2; 326 IAC 2-5.1-3; 326 IAC 2-5.5-1; 326 IAC

2-6.1-6; 326 IAC 2-7-1; 326 IAC 2-7-10.5; 326 IAC 2-8-11.1; 326 IAC 4-1-4.1; 326 IAC 5-1-5

SECTION 1. 326 IAC 1-2-52 IS AMENDED TO READ AS FOLLOWS:

326 IAC 1-2-52 "Particulate matter" or "PM" defined

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15; IC 13-17

Sec. 52. "Particulate matter" or "PM" means any airborne finely divided solid or liquid material, excluding

uncombined water, with an aerodynamic diameter smaller than one hundred (100) micrometers (μm).

(Air Pollution Control Board; 326 IAC 1-2-52; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2374; filed Apr 13, 1988, 3:35

p.m.: 11 IR 3020; filed Dec 20, 2004, 2:15 p.m.: 28 IR 1471)

SECTION 2. 326 IAC 2-1.1-1, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, SECTION

1, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-1.1-1 Definitions

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-11-2; IC 13-15; IC 13-17

Sec. 1. For purposes of this article, the definition given for a term in this rule shall control in any conflict

between 326 IAC 1-2 and this article. In addition to the definitions provided in IC 13-11-2 and 326 IAC 1-2, the

following definitions apply throughout this article unless expressly stated otherwise or unless the context clearly

implies otherwise:

(1) "Authorized individual" means an individual responsible for the overall operation of one (1) or more

manufacturing, production, or operating plants or a duly authorized representative of the person. For any

public agency, the term means either a ranking elected official, the chief executive officer, or a designated

representative of the person having responsibility for the overall operations of a principal geographic unit of the

agency.

(2) "Direct PM2.5" means solid particles emitted directly from an air emissions source or activity, or

gaseous emissions or liquid droplets from an air emissions source or activity that condense to form

PM2.5 at ambient temperatures. Direct PM2.5 emissions include elemental carbon, directly emitted

organic carbon, directly emitted sulfate, directly emitted nitrate, and other inorganic particles,

including, but not limited to, crustal material, metals, and sea salt.

(2) (3) "General permit" means a permit that is applicable to a class or category of sources or modifications

thereto, whether or not under common ownership or control, that are subject to similar applicable

requirements.

(3) (4) "Minor source" means any source or facility to which 326 IAC 2-5.1 applies, but to which neither 326

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 2
IAC 2-2 nor 326 IAC 2-3 applies.

(4) (5) "New emissions unit" means an emissions unit for which construction commences on or after

December 25, 1998.

(5) (6) "New portable source" means any portable operation that:

(A) has not commenced construction as of December 25, 1998; or

(B) does not have a valid operating permit as of December 25, 1998.

(6) (7) "New source" means a source for which construction commences on or after December 25, 1998, that

will be constructed:

(A) on undeveloped land; or

(B) at a location for which a valid permit has not been issued.

(7) (8) "Opacity" means the degree to which emissions reduce the transmission of light and obscure the view

of an object in the background.

(8) (9) "Operation" means:

(A) a single piece of equipment or multiple pieces of like equipment;

(B) a process or multiple like processes;

(C) a plant or multiple like plants; or

(D) any combination of clauses (A) through (C);

that performs similar functions or when operated together produces similar products. The term includes

equipment or technology modifications, process or procedure modifications, reformulation or redesign of

products, substitution of raw materials, and improvements in housekeeping, maintenance, training, or

inventory control. The term does not include recycling, energy recovery, treatment, disposal, or the use of any

add-on air pollution control technology.

(10) "PM10" has the meaning set forth at 326 IAC 1-2-52.4 and, for purposes of this article, includes

gaseous emissions or liquid droplets from an air emissions source or activity that condense to form

PM10 at ambient temperatures.

(9) (11) "Portable source" means any operation, process, or emissions unit, other than mobile sources, that

emits or has the potential to emit any regulated air pollutant and is specifically designed to be and capable of

being moved from one (1) location or site to another location or site and is moved to other locations or sites at

least one (1) time during the term of the permit. Indicia of transportability include, but are not limited to:

(A) wheels;

(B) skids;

(C) trailer; or

(D) platform.

(10) (12) "Potential to emit" means the maximum capacity of a stationary source or emissions unit to emit any

air pollutant under its physical and operational design. Any physical or operational limitation on the capacity of

a source to emit an air pollutant, including air pollution control equipment and restrictions on hours of operation

or type or amount of material combusted, stored, or processed, shall be treated as part of its design if the

limitation is enforceable by the U.S. EPA, the department, or the appropriate local air pollution control agency.

The term does not alter or affect the use of potential to emit for any other purpose under the CAA, (or

"capacity factor" as used in Title IV of the CAA) or the regulations promulgated thereunder.

(11) (13) "Process" means any combination of equipment that is physically connected and operated in

sequence that, when the process is operated, could operate independently to:

(A) generate energy;

(B) refine or produce materials or parts; or

(C) produce a finished product.

(Air Pollution Control Board; 326 IAC 2-1.1-1; filed Nov 25, 1998, 12:13 p.m.: 22 IR 980; errata filed May 12,

1999, 11:23 a.m.: 22 IR 3105; filed Oct 1, 2010, 3:48 p.m.: 20101027-IR-326070372FRA)

SECTION 3. 326 IAC 2-1.1-3, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, SECTION

2, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-1.1-3 Exemptions

Authority: IC 13-14-8; IC 13-15-2; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15; IC 13-17

Sec. 3. (a) The operation of a source that consists solely of emission units, operations, or processes identified

in this section is exempt from the registration and permitting requirements of this article unless the potential to

emit any regulated pollutant from the entire source exceeds an emission threshold establishing the requirement to

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 3
have a registration or permit under this article.

(b) (Voided by P.L.112-2000, SECTION 7, effective March 16, 2000.)

(c) Construction or modification of any emission unit, operation, or process identified in this section is exempt

from the new source requirements in 326 IAC 2-5.1-2 for registrations, new source requirements in 326 IAC 2-5.1-

3 for permits, modification approval requirements in 326 IAC 2-7-10.5, and permit revision requirements in 326

IAC 2-6.1-6 and 326 IAC 2-8-11.1, unless the construction or modification:

(1) is subject to federal prevention of significant deterioration (PSD) requirements as set out in 326 IAC 2-2

and 40 CFR 52.21*;

(2) is subject to nonattainment new source review requirements as set out in 326 IAC 2-3;

(3) is located at a source that has an operating permit issued under 326 IAC 2-7, where the construction or

modification would be considered a Title I modification under 40 CFR Part 70*; or

(4) would result in the source needing to make a transition to an operating permit issued under 326 IAC 2-6.1,

326 IAC 2-7, or 326 IAC 2-8.

(d) The new source requirements of 326 IAC 2-5.1-2 for registrations and 326 IAC 2-5.1-3 for permits,

including the requirement to submit an application, do not apply to new or modifications to existing sources as

follows:

(1) New sources or modifications to existing sources that obtain and comply with one (1) of the following

enforceable operating agreements under 326 IAC 2-9:

(A) 326 IAC 2-9-2.5 or 326 IAC 2-9-3 for surface coating operations.

(B) 326 IAC 2-9-4(b) through 326 IAC 2-9-4(d) and 326 IAC 2-9-4(f) for woodworking operations.

(C) 326 IAC 2-9-5 for abrasive cleaning operations.

(D) 326 IAC 2-9-7(b)(1) for sand and gravel operations.

(E) 326 IAC 2-9-8(b)(1) for crushed stone processing plants.

(F) 326 IAC 2-9-9 for concrete batch operations.

(G) 326 IAC 2-9-10 for coal mines and coal preparation plants that:

(i) have provided public notice under 312 IAC 25-4-108; and

(ii) included a reference of the application for an operating agreement in the notice.

(H) 326 IAC 2-9-11 for automobile refinishing operations.

(I) 326 IAC 2-9-12 for degreasing operations.

(2) New sources or modifications to existing sources that obtain and comply with up to four (4) of the

enforceable operating agreements under 326 IAC 2-9 if the total source potential to emit is less than the

following thresholds:

(A) Twenty-five (25) tons per year of either particulate matter PM, or particulate matter less than ten (10)

microns PM10, or direct PM2.5.

(B) Twenty-five (25) tons per year of the following pollutants:

(i) Sulfur dioxide (SO2).

(ii) Nitrogen oxides (NOx).

(C) Twenty-five (25) tons per year of VOC for sources that are not described by clause (D).

(D) Twenty-five (25) tons per year of VOC for sources that require the use of air pollution control equipment

to comply with the applicable provisions of 326 IAC 8.

(E) One hundred (100) tons per year of carbon monoxide (CO).

(F) Five (5) tons per year of lead (Pb).

(G) Twenty-five (25) tons per year of the following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(3) New sources that comply with the limitations set forth in 326 IAC 2-11.

(4) New sources eligible for and obtaining a general permit that includes emissions limits that are less than the

applicability thresholds in 326 IAC 2-5.1-2 and 326 IAC 2-5.1-3.

(5) New sources with the potential to emit less than ten (10) tons per year of a single HAP, as defined under

Section 112(b) of the CAA, or twenty-five (25) tons per year of any combination of HAPs, and not otherwise

required to apply for and obtain a registration or permit.

The exclusion from the new source requirements of 326 IAC 2-5.1-2 for registrations and 326 IAC 2-5.1-3 for

permits under subdivisions (1) through (4) shall only apply to those rules and rule sections that have been

approved by the U.S. EPA as part of the SIP.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 4
(e) Except for modifications subject to 326 IAC 2-2 or 326 IAC 2-3, the new source requirements of 326 IAC 2-

5.1-2 for registrations and 326 IAC 2-5.1-3 for permits, the modification approval requirements under 326 IAC 2-7-

10.5, and the permit revision requirements under 326 IAC 2-6.1-6 and 326 IAC 2-8-11.1, including the

requirement to submit an application, do not apply to the following:

(1) New sources or modifications to existing sources that are proposed to be operated or constructed, that

have the potential to emit less than the following amounts:

(A) Five (5) tons per year of either particulate matter PM, or particulate matter with an aerodynamic diameter

less than ten (10) micrometers PM10, or direct PM2.5.

(B) Ten (10) tons per year of sulfur dioxide (SO2).

(C) Ten (10) tons per year of nitrogen oxides (NOx).

(D) Ten (10) tons per year of VOC for sources or modifications.

(E) Twenty-five (25) tons per year of carbon monoxide (CO).

(F) Two-tenths (0.2) ton per year of lead (Pb).

(G) One (1) ton per year of a single HAP or two and one-half (2.5) tons per year of any combination of HAPs

listed pursuant to Section 112(b) of the CAA.

(H) Five (5) tons per year of the following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(2) Modifications of existing sources that consist of only an emissions unit or units or process or processes

whose primary purpose is to conduct research and development into new processes and products, provided

the modification:

(A) is operated under the close supervision of technically trained personnel;

(B) is conducted for the primary purpose of theoretical research or research and development into new or

improved processes and products;

(C) does not manufacture more than de minimis amounts of commercial products;

(D) does not contribute to the manufacture of commercial products by collocated sources in more than a de

minimis manner; and

(E) is not subject to 326 IAC 2-2 or 326 IAC 2-3.

(3) New sources or modifications of existing sources that consist of only a laboratory as defined in this

subdivision. As used in this subdivision, "laboratory" means a place or activity, such as a medical, analytical,

or veterinary laboratory, devoted to experimental study or teaching or to the testing and analysis of drugs,

chemicals, chemical compounds or other substances, or similar activities, provided that the activities

described in this subdivision are conducted on a laboratory scale. Activities are conducted on a laboratory

scale if the containers used for reactions, transfers, and other handling of substances are designed to be

easily and safely manipulated by one (1) person. If a laboratory manufactures or produces products for profit

in more than a de minimis manner, it shall not be considered to be a laboratory under this subdivision. Support

activities necessary to the operation of the laboratory are considered to be part of the laboratory. Support

activities do not include the provision of power to the laboratory from emission units that provide power to

multiple projects or from emission units that would otherwise require permitting, such as boilers that provide

power to a source or solid waste disposal units, such as incinerators.

(4) New sources or modifications of existing sources that consist of only educational and teaching activities as

defined in this subdivision. As used in this subdivision, "educational and teaching activities" means activities

conducted at public and nonpublic schools and postsecondary educational institutions for educational,

vocational, agricultural, occupational, employment, or technical training purposes provided the activities do not

include the production of an intermediate or final product for sale or exchange for commercial profit or

distribution. Support activities necessary to the educational and teaching activities are considered to be part of

the educational and teaching activities. Support activities do not include the provision of power to the

educational and teaching activities from emission units that provide power to multiple projects or from

emission units that would otherwise require permitting, such as boilers that provide power to a source or solid

waste disposal units, such as incinerators.

(5) New sources or modifications of existing sources that consist of only combustion related activities, as

follows:

(A) Space heaters, process heaters, heat treat furnaces, or boilers described as follows:

(i) Natural gas-fired combustion sources with heat input equal to or less than ten million (10,000,000)

British thermal units per hour.

(ii) Propane or liquefied petroleum gas or butane-fired combustion sources with heat input equal to or less

than six million (6,000,000) British thermal units per hour.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 5
(iii) Fuel oil-fired combustion sources:

(AA) with heat input equal to or less than two million (2,000,000) British thermal units per hour; and

(BB) firing fuel containing equal to or less than five-tenths percent (0.5%) sulfur by weight.

(iv) Wood-fired combustion sources:

(AA) with heat input equal to or less than one million (1,000,000) British thermal units per hour; and

(BB) not burning treated wood or chemically contaminated wood.

(B) Equipment powered by diesel fuel fired or natural gas fired internal combustion engines of capacity

equal to or less than five hundred thousand (500,000) British thermal units per hour, except where total

capacity of equipment operated by one (1) stationary source exceeds two million (2,000,000) British thermal

units per hour.

(C) Combustion source flame safety purging on start-up.

(D) Portable electrical generators that can be moved by hand from one (1) location to another. As used in

this clause, "moved by hand" means that it can be moved without the assistance of any motorized or

nonmotorized vehicle, conveyance, or device.

(E) Combustion emissions from propulsion of mobile sources.

(F) Fuel use related to food preparation for on-site consumption.

(G) Tobacco smoking rooms and areas.

(H) Blacksmith forges.

(I) Indoor and outdoor kerosene heaters.

(6) New sources or modifications of existing sources that consist of only activities that dispense fuel, as

follows:

(A) A gasoline dispensing operation:

(i) having a storage tank capacity equal to or less than ten thousand five hundred (10,500) gallons; and

(ii) dispensing less than or equal to one thousand three hundred (1,300) gallons per day.

Such storage tanks may be in a fixed location or on mobile equipment.

(B) A petroleum fuel other than a gasoline dispensing facility:

(i) having a storage tank capacity less than or equal to ten thousand five hundred (10,500) gallons; and

(ii) dispensing three thousand five hundred (3,500) gallons per day or less.

(7) New sources or modifications of existing sources that consist of only the following VOC and HAP storage

containers:

(A) Storage tanks with:

(i) capacity less than or equal to one thousand (1,000) gallons; and

(ii) annual throughputs equal to or less than twelve thousand (12,000) gallons.

(B) Vessels storing the following:

(i) Lubricating oils.

(ii) Hydraulic oils.

(iii) Machining oils.

(iv) Machining fluids.

(8) New sources or modifications of existing sources that consist of only refractory storage not requiring air

pollution control equipment.

(9) New sources or modifications of existing sources that consist of only equipment used exclusively for the

following:

(A) Packaging of the following:

(i) Lubricants.

(ii) Greases.

(B) Filling drums, pails, or other packaging containers with the following:

(i) Lubricating oils.

(ii) Waxes.

(iii) Greases.

(10) New sources or modifications of existing sources that consist of only the following:

(A) Application of:

(i) oils;

(ii) greases;

(iii) lubricants; and

(iv) nonvolatile material;

as temporary protective coatings.

(B) Machining where an aqueous cutting coolant continuously floods the machining interface.

(C) Degreasing operations that do not exceed one hundred forty-five (145) gallons per twelve (12) months

except if subject to 326 IAC 20-6.

(D) Cleaners and solvents characterized as having a vapor pressure equal to or less than:

(i) two (2) kilo Pascals (fifteen (15) millimeters of mercury or three-tenths (0.3) pound per square inch)

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 6
measured at thirty-eight (38) degrees Centigrade (one hundred (100) degrees Fahrenheit); or

(ii) seven-tenths (0.7) kilo Pascal (five (5) millimeters of mercury or one-tenth (0.1) pound per square inch)

measured at twenty (20) degrees Centigrade (sixty-eight (68) degrees Fahrenheit);

the use of which, for all cleaners and solvents combined, does not exceed one hundred forty-five (145)

gallons per twelve (12) months.

(E) The following equipment related to manufacturing activities not resulting in the emission of HAPs as

defined under Section 112(b) of the CAA:

(i) Brazing.

(ii) Cutting torches.

(iii) Soldering.

(iv) Welding.

(F) Closed loop heating and cooling systems.

(G) Infrared cure equipment.

(H) Exposure chambers (towers or columns), for curing of ultraviolet inks and ultraviolet coatings where heat

is the intended discharge.

(I) Any of the following structural steel and bridge fabrication activities:

(i) Cutting two hundred thousand (200,000) linear feet or less of one (1) inch plate or equivalent per year.

(ii) Using eighty (80) tons or less of welding consumables per year.

(11) New sources or modifications of existing sources that consist of only activities associated with the

following recovery systems:

(A) Rolling oil recovery systems.

(B) Ground water oil recovery wells.

(12) New sources or modifications of existing sources that consist of only solvent recycling systems with batch

capacity less than or equal to one hundred (100) gallons.

(13) New sources or modifications of existing sources that consist of only the following water based activities:

(A) Activities associated with the treatment of wastewater streams with an oil and grease content less than

or equal to one percent (1%) by volume.

(B) Water runoff ponds for petroleum coke-cutting and coke storage piles.

(C) Activities associated with the transportation and treatment of sanitary sewage, provided discharge to the

treatment plant is under the control of the owner or operator, that is, an on-site sewage treatment facility.

This does not include sanitary sludge incineration.

(D) Any operation using aqueous solutions containing less than or equal to one percent (1%) by weight of

VOCs excluding HAPs as defined under Section 112(b) of the CAA.

(E) Water-based adhesives that are less than or equal to five percent (5%) by volume of VOCs excluding

HAPs as defined under Section 112(b) of the CAA.

(F) Noncontact cooling tower systems with either of the following:

(i) Natural draft cooling towers not regulated under a NESHAP.

(ii) Forced and induced draft cooling tower systems not regulated under a NESHAP.

(G) Quenching operations used with heat treating processes.

Oil, grease, or VOC content shall be determined by a test method acceptable to the commissioner and the

U.S. EPA.

(14) New sources or modifications of existing sources that consist of only trimmers that:

(A) do not produce fugitive emissions; and

(B) are equipped with a dust collection or trim material recovery device, such as a bag filter or cyclone.

(15) New sources or modifications of existing sources that consist of only stockpiled soils from soil remediation

activities that are covered and waiting transport for disposal.

(16) New sources or modifications of existing sources that consist of only paved and unpaved roads and

parking lots with public access.

(17) New sources or modifications of existing sources that consist of only general construction activities not

related to the construction of an emissions unit.

(18) New sources or modifications of existing sources that consist of only conveyors as follows:

(A) Covered conveyors for solid raw material, including:

(i) coal or coke conveying less than or equal to three hundred sixty (360) tons per day; or

(ii) limestone conveying less than or equal to seven thousand two hundred (7,200) tons per day for sources

other than mineral processing plants constructed after August 31, 1983.

(B) Uncovered coal or coke conveying less than or equal to one hundred twenty (120) tons per day.

(C) Underground conveyors.

(D) Enclosed systems for conveying plastic raw material and plastic finished goods.

(19) New sources or modifications of existing sources that consist of only coal bunker and coal scale exhausts

and associated dust collector vents.

(20) New sources or modifications of existing sources that consist of only asbestos abatement projects

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 7
regulated by 326 IAC 14-10.

(21) New sources or modifications of existing sources that consist of only routine maintenance and repair of

buildings, structures, or vehicles at the source where air emissions from those activities would not be

associated with any production process, as follows:

(A) Purging of gas lines.

(B) Purging of vessels.

(22) New sources or modifications of existing sources that consist of only flue gas conditioning systems and

associated chemicals, as follows:

(A) Sodium sulfate.

(B) Ammonia.

(C) Sulfur trioxide.

(23) New sources or modifications of existing sources that consist of only equipment used to collect any

material that might be released during a malfunction, process upset, or spill cleanup, as follows:

(A) Catch tanks.

(B) Temporary liquid separators.

(C) Tanks.

(D) Fluid handling equipment.

(24) New sources or modifications of existing sources that consist of only furnaces used for melting metals

other than beryllium with a brim full capacity equal to or less than four hundred fifty (450) cubic inches by

volume.

(25) New sources or modifications of existing sources that consist of only activities associated with

emergencies, as follows:

(A) On-site fire training approved by the commissioner.

(B) Emergency generators as follows:

(i) Gasoline generators not exceeding one hundred ten (110) horsepower.

(ii) Diesel generators not exceeding one thousand six hundred (1,600) horsepower.

(iii) Natural gas turbines or reciprocating engines not exceeding sixteen thousand (16,000) horsepower.

(C) Stationary fire pump engines.

(26) New sources or modifications of existing sources that consist of only grinding, and machining, operations

controlled with fabric filters, scrubbers, mist collectors, wet collectors, and electrostatic precipitators with a

design outlet grain loading of less than or equal to three-hundredths (0.03) grain per actual cubic foot and a

gas flow rate less than or equal to four thousand (4,000) actual cubic feet per minute, as follows:

(A) Deburring.

(B) Buffing.

(C) Polishing.

(D) Abrasive blasting.

(E) Pneumatic conveying.

(F) Woodworking operations.

(27) New sources or modifications of existing sources that consist of only purge double block and bleed

valves.

(28) New sources or modifications of existing sources that consist of only filter or coalescer media changeout.

(29) New sources or modifications of existing sources that consist of only vents from ash transport systems

not operated at positive pressure.

(30) New sources or modifications of existing sources that consist of only mold release agents using low

volatile products with a vapor pressure less than or equal to two (2.0) kilo Pascals measured at thirty-eight

(38) degrees Centigrade.

(31) New sources or modifications of existing sources that consist of only farm operations, except

concentrated animal feeding operations as defined in 40 CFR 122.23.

(32) New sources or modifications of existing sources that consist of only water-related activities, as follows:

(A) Production of hot water for on-site personal use not related to any industrial or production process.

(B) Water treatment activities used to provide potable and process water for the plant, excluding any

activities associated with wastewater treatment.

(C) Steam traps, vents, leaks, and safety relief valves.

(D) Cooling ponds.

(E) Laundry operations using only water solutions of bleach or detergents.

(F) Demineralized water tanks and demineralizer vents.

(G) Boiler water treatment operations, not including cooling towers.

(H) Oxygen scavenging (deaeration) of water.

(I) Steam cleaning operations and steam sterilizers.

(J) Pressure washing of equipment.

(K) Water jet cutting operations.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 8
(33) New sources or modifications of existing sources that consist of only ventilation, venting equipment, and

refrigeration, as follows:

(A) Ventilation exhaust, central chiller water systems, refrigeration, and air conditioning equipment not

related to any industrial or production process, including natural draft hoods or ventilating systems that do

not remove air pollutants.

(B) Stack and vents from plumbing traps used to prevent the discharge of sewer gases, handling domestic

sewage only, excluding those at wastewater treatment plants or those handling any industrial waste.

(C) Vents from continuous emissions monitors and other analyzers.

(D) Natural gas pressure regulator vents, excluding venting at oil and gas production facilities.

(E) Air vents from air compressors.

(F) Vents for air cooling of electric motors provided the air does not commingle with regulated air pollutants.

(G) Vents from equipment used to air blow water from cooled plastics strands or sheets.

(34) New sources or modifications of existing sources that consist of only activities related to routine

fabrication, maintenance, and repair of buildings, structures, equipment, or vehicles at the source where air

emissions from those activities would not be associated with any commercial production process, as follows:

(A) Activities associated with the repair and maintenance of paved and unpaved roads, including paving or

sealing, or both, of parking lots and roadways.

(B) Painting, including interior and exterior painting of buildings, and solvent use excluding degreasing

operations utilizing halogenated organic solvents.

(C) Brazing, soldering, or welding operations and associated equipment.

(D) Portable blast-cleaning equipment with enclosures.

(E) Blast-cleaning equipment using water as the suspension agent and associated equipment.

(F) Batteries and battery charging stations, except at battery manufacturing plants.

(G) Lubrication, including:

(i) hand-held spray can lubrication;

(ii) dipping metal parts into lubricating oil; or

(iii) manual or automated addition of cutting oil in machining operations.

(H) Nonasbestos insulation installation or removal.

(I) Tarring, retarring, and repair of building roofs.

(J) Bead blasting of heater tubes.

(K) Instrument air dryer and filter maintenance.

(L) Manual tank gauging.

(M) Open tumblers associated with deburring operations in maintenance shops.

(35) New sources or modifications of existing sources that consist of only activities performed using hand-held

equipment, as follows:

(A) Application of hot melt adhesives with no VOC in the adhesive formulation.

(B) Buffing.

(C) Carving.

(D) Cutting, excluding cutting torches.

(E) Drilling.

(F) Grinding.

(G) Machining wood, metal, or plastic.

(H) Polishing.

(I) Routing.

(J) Sanding.

(K) Sawing.

(L) Surface grinding.

(M) Turning wood, metal, or plastic.

(36) New sources or modifications of existing sources that consist of only housekeeping and janitorial activities

and supplies, as follows:

(A) Vacuum cleaning systems used exclusively for housekeeping or custodial activities, or both.

(B) Steam cleaning activities.

(C) Restrooms and associated cleanup operations and supplies.

(D) Alkaline or phosphate cleaners and associated equipment.

(E) Mobile floor sweepers and floor scrubbers.

(F) Pest control fumigation.

(37) New sources or modifications of existing sources that consist of only office-related activities, as follows:

(A) Office supplies and equipment.

(B) Photocopying equipment and associated supplies.

(C) Paper shredding.

(D) Blueprint machines, photographic equipment, and associated supplies.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 9
(38) New sources or modifications of existing sources that consist of only lawn care and landscape

maintenance activities and equipment, including the storage, spraying, or application of insecticides,

pesticides, and herbicides.

(39) New sources or modifications of existing sources that consist of only storage equipment and activities, as

follows:

(A) Pressurized storage tanks and associated piping for the following:

(i) Acetylene.

(ii) Anhydrous ammonia.

(iii) Carbon monoxide.

(iv) Chlorine.

(v) Inorganic compounds.

(vi) Liquid petroleum gas (LPG).

(vii) Liquid natural gas (LNG).

(viii) Natural gas.

(ix) Nitrogen dioxide.

(x) Sulfur dioxide.

(B) Storage tanks, vessels, and containers holding or storing liquid substances that do not contain any VOC

or HAP as defined under Section 112(b) of the CAA.

(C) Storage tanks, reservoirs, and pumping and handling equipment of any size containing:

(i) soap;

(ii) vegetable oil;

(iii) grease;

(iv) wax;

(v) animal fat; and

(vi) nonvolatile aqueous salt solutions;

provided appropriate lids and covers are utilized.

(D) Storage of drums containing maintenance raw materials.

(E) Storage of:

(i) castings;

(ii) lance rods; or

(iii) any non-HAP containing material in solid form stored in a sealed or covered container.

(F) Portable containers used for the collection, storage, or disposal of materials provided the:

(i) container capacity is equal to or less than forty-six hundredths (0.46) cubic meter; and

(ii) container is closed, except when the material is added or removed.

(40) New sources or modifications of existing sources that consist of only emergency and standby equipment,

as follows:

(A) Emergency (backup) electrical generators at residential locations, such as dormitories, prisons, and

hospitals.

(B) Safety and emergency equipment except engine driven fire pumps, including fire suppression systems

and emergency road flares.

(C) Process safety relief devices installed solely for the purpose of minimizing injury to persons or damage

to equipment that could result from abnormal process operating conditions, as follows:

(i) Explosion relief vents, diaphragms, or panels.

(ii) Rupture discs.

(iii) Safety relief valves.

(D) Activities and equipment associated with on-site medical care not otherwise specifically regulated.

(E) Vacuum producing devices for the purpose of removing potential accidental releases.

(41) New sources or modifications of existing sources that consist of only sampling and testing equipment and

activities, as follows:

(A) Equipment used for quality control/assurance or inspection purposes, including sampling equipment

used to withdraw materials for analysis.

(B) Hydraulic and hydrostatic testing equipment.

(C) Ground water monitoring wells and associated sample collection equipment.

(D) Environmental chambers not using HAP gases.

(E) Shock chambers.

(F) Humidity chambers.

(G) Solar simulators.

(H) Sampling activities, including:

(i) sampling of waste; or

(ii) glove box sampling, charging, and packaging.

(I) Instrument air dryers and distribution.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 10
(J) VOC sampling activities associated with soil remediation projects.

(42) New sources or modifications of existing sources that consist of only use of consumer products and

equipment where the product or equipment is:

(A) used at a source in the same manner as normal consumer use; and

(B) not associated with any production process.

(43) New sources or modifications of existing sources that consist of only equipment and activities related to

the handling, treating, and processing of animals, as follows:

(A) Equipment used exclusively to slaughter animals, but not including the following:

(i) Rendering cookers.

(ii) Boilers.

(iii) Heating plants.

(iv) Incinerators.

(v) Electrical power generating equipment.

(B) Veterinary operating rooms and laboratories.

(44) New sources or modifications of existing sources that consist of only activities generating limited amounts

of fugitive dust, as follows:

(A) Fugitive emissions related to movement of passenger vehicles, provided:

(i) the emissions are not counted for applicability purposes as a major source under 326 IAC 2-7-1(22)(B);

and

(ii) any required fugitive dust control plan or its equivalent is submitted.

(B) Soil boring.

(C) Road salting and sanding.

(45) New sources or modifications of existing sources that consist of only activities associated with production,

as follows:

(A) Closed, nonvented tumblers used for cleaning or deburring metal products without abrasive blasting.

(B) Electrical resistance welding.

(C) Carbon dioxide (CO2) lasers, used only on metals and other materials that do not emit HAPs as defined

under Section 112(b) of the CAA in the process.

(D) Laser trimmers that:

(i) do not produce fugitive emissions; and

(ii) are equipped with a dust collection device, such as a bag filter, cyclone, or equivalent device.

(E) Application equipment for hot melt adhesives with no VOC in the adhesive formulation.

(F) Drop hammers or hydraulic presses for forging or metalworking.

(G) Air compressors and pneumatically operated equipment, including hand tools.

(H) Compressor or pump lubrication and seal oil systems.

(I) Equipment used to mix and package:

(i) soaps;

(ii) vegetable oil;

(iii) grease;

(iv) animal fat; and

(v) nonvolatile aqueous salt solutions;

provided appropriate lids and covers are utilized.

(J) Equipment for washing or drying fabricated glass or metal products, if no:

(i) VOCs or HAPs as defined under Section 112(b) of the CAA are used in the process; and

(ii) gas, oil, or solid fuel is burned.

(K) Handling of solid steel, including coils and slabs, excluding scrap burning, scarfing, and charging into

steel making furnaces and vessels.

(46) The following types of miscellaneous equipment and activities:

(A) Equipment used for surface coating, painting, dipping, or spraying operation, except those that will emit

VOCs or HAPs as defined under Section 112(b) of the CAA.

(B) Condensate drains for natural gas and landfill gas.

(C) Electric or steam heated drying ovens and autoclaves, including only the heating emissions and not any

associated process emissions.

(D) Salt baths using nonvolatile salts, including caustic solutions that do not result in emissions of any

regulated air pollutants.

(E) Ozone generators.

(F) Portable dust collectors.

(G) Scrubber systems circulating water based solutions of inorganic salts or bases that are installed to be

available for response to emergency situations.

(H) Soil borrow pits.

(I) Manual loading and unloading operations.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 11
(J) Purging of refrigeration devices using a combination of nitrogen and CFC-22 (R-22) as pressure test

media.

(K) Construction and demolition operations.

(L) Mechanical equipment gear boxes and vents that are isolated from process materials.

(M) Nonvolatile mold release waxes and agents.

This subdivision is not meant to describe emission units or activities associated with the miscellaneous

equipment and activities that would otherwise require approval under this article.

(f) 326 IAC 2-7, 326 IAC 2-8, and 326 IAC 2-9 shall not apply to a source operating in compliance with the

requirements of 326 IAC 2-10 or 326 IAC 2-11.

(g) 326 IAC 2-6.1 shall not apply to a source operating pursuant to one (1) of the following:

(1) A Part 70 permit under 326 IAC 2-7.

(2) A federally enforceable state operating permit (FESOP) under 326 IAC 2-8.

(3) An operating agreement under 326 IAC 2-9.

(4) A permit-by-rule under one (1) of the following rules:

(A) 326 IAC 2-10.

(B) 326 IAC 2-11.

(h) The requirements for an operating permit revision under 326 IAC 2-6.1-6 or 326 IAC 2-8-11.1, modification

approval under 326 IAC 2-7-10.5, or an administrative amendment under 326 IAC 2-8-10 shall not apply to the

following modifications:

(1) A modification that has the potential to emit less than one (1) ton per year of a single HAP as defined under

Section 112(b) of the CAA or two and five-tenths (2.5) tons per year of any combination of HAPs.

(2) A modification at an existing source that meets the following:

(A) The modification consists only of the following:

(i) Changes in a method of operation.

(ii) Minor physical changes as follows:

(AA) The reconfiguration of existing equipment.

(BB) The movement of existing equipment within a building.

(CC) The replacement, reconfiguration, or addition of secondary equipment that supports an emission

unit.

(DD) The replacement, reconfiguration, or addition of supporting devices, such as piping or ductwork.

(EE) The replacement or addition of air pollution control devices.

(FF) The removal of equipment.

(iii) A combination thereof. of the changes in items (i) and (ii).

(B) The modification does not result in an increase in the potential to emit that:

(i) exceeds the significance levels established in 326 IAC 2-2-1;

(ii) exceeds the significance levels established in 326 IAC 2-3-1;

(iii) is subject to 326 IAC 2-4.1 concerning new source toxics control;

(iv) is greater than or equal to fifteen (15) pounds per day of VOCs from an existing source in Lake County

or Porter County that has the potential to emit, as defined by 326 IAC 2-3-1(gg), or actual emissions of

twenty-five (25) tons per year;

(v) is greater than or equal to twenty-five (25) pounds per day of NOxfrom an existing source in Lake

County or Porter County that has the potential to emit, as defined by 326 IAC 2-3-1(gg), or actual

emissions of twenty-five (25) tons per year;

(vi) is greater than or equal to one (1) ton or more per year of lead or lead compounds measured as

elemental lead and the source is:

(AA) a primary lead smelter;

(BB) a secondary lead smelter;

(CC) a primary copper smelter;

(DD) a lead gasoline additive plant; or

(EE) a lead-acid storage battery manufacturing plant that produces two thousand (2,000) or more

batteries per day;

(vii) is greater than or equal to five (5) tons or more per year of lead or lead compounds measured as

elemental lead and the source is not listed in item (vi);

(viii) is greater than or equal to six-tenths (0.6) ton per year, for a source of lead emissions with a potential

to emit greater than or equal to five (5) tons per year;

(ix) is an emissions increase of VOC or NOxsubject to 326 IAC 2-3-2(b)(2) or 326 IAC 2-3-2(b)(3) at an

existing source in Lake County or Porter County that emits or has the potential to emit twenty-five (25) tons

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 12
per year of VOC or NOx

;

(x) is greater than or equal to fifteen (15) tons per year particulate matter with an aerodynamic diameter

less than or equal to ten (10) micrometers PM10; or

(xi) is greater than or equal to ten (10) tons per year direct PM2.5; or

(xi) (xii) is subject to the provisions of 326 IAC 8-1-6 that has not previously been subject to review in

accordance with 326 IAC 8-1-6.

(3) Temporary operations and experimental trials that involve construction, reconstruction, or modification and

that meet the following criteria:

(A) The potential emissions from the construction or reconstruction of a facility or source or the potential

emissions increase from the modification are less than twenty-five (25) tons for the duration of the operation.

(B) The construction, reconstruction, or modification is not a major source or modification as defined by 326

IAC 2-2, 326 IAC 2-3, or 326 IAC 2-7.

(C) The purpose of the construction, reconstruction, or modification is to:

(i) collect data for experimental purposes, including, but not limited to, process improvements, new product

development, and pollution prevention; or

(ii) temporarily conduct an operation not considered part of the normal operation or production of the facility

or source.

(D) The duration of the temporary operation or experimental trial is less than thirty (30) days of total

operating time.

(E) If the construction, reconstruction, or modification is part of a soil or water remediation project, the:

(i) duration of the project is less than twenty-four (24) hours or a greater period, not to exceed seventy-two

(72) hours, as determined to be necessary by the department considering the nature of the project or the

manner of testing; and

(ii) purpose of the project is to identify parameters necessary to design the remediation effort.

(F) If the construction, reconstruction, or modification would otherwise require a modification approval or

operating permit revision, the owner or operator shall provide the department written notice of the proposed

construction, reconstruction, or modification at least seven (7) days before beginning the construction,

reconstruction, or modification. The notice shall contain the following information:

(i) A description of the purpose of the construction, reconstruction, or modification.

(ii) A description of how the construction, reconstruction, or modification is experimental or not part of the

normal operation or production of the facility or source.

(iii) The dates the owner or operator anticipates the construction, reconstruction, or modification to begin,

operations to begin, and operations to cease.

(iv) An estimate of the potential emissions and actual emissions increase resulting from the construction or

reconstruction.

(v) The equipment involved in the construction, reconstruction, or modification.

(G) If the construction, reconstruction, or modification would otherwise require a modification approval or

operating permit revision, the owner or operator shall provide the department written notice of the proposed

construction, reconstruction, or modification at most seven (7) days after concluding the temporary

operation or experimental trial. The notice shall contain the following information:

(i) The actual start date of the construction, reconstruction, or modification.

(ii) The duration of the temporary operation or experimental trial.

(iii) The actual emissions occurring during the temporary operation or experimental trial.

(H) The exemption provided by this subdivision shall not apply to facilities or sources whose operations are:

(i) experimental in nature;

(ii) part of pilot plants; or

(iii) characterized by frequent product changes.

*These documents are incorporated by reference. Copies may be obtained from the Government Printing

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North,

Tenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-1.1-3; filed Nov 25, 1998, 12:13 p.m.: 22 IR 982; errata filed May 12,

1999, 11:23 a.m.: 22 IR 3105; filed Dec 20, 2001, 4:30 p.m.: 25 IR 1550; filed Oct 1, 2010, 3:48 p.m.:

20101027-IR-326070372FRA)

SECTION 4. 326 IAC 2-2-1 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-2-1 Definitions

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 13
Authority: IC 13-14-8; IC 13-17-3

Affected: IC 13-15; IC 13-17

Sec. 1. (a) The definitions in this section apply throughout this rule.

(b) "Actual emissions" means the actual rate of emissions of a regulated new source review (NSR) pollutant

from an emissions unit as determined in accordance with the following:

(1) In general, actual emissions as of a particular date shall equal the average rate, in tons per year, at which

the unit actually emitted the pollutant during a consecutive twenty-four (24) month period preceding the

particular date and representative of normal source operation. The department shall allow the use of a

different time period upon a determination that it is more representative of normal source operation. Actual

emissions shall be calculated using the unit's actual operating hours, production rates, and types of materials

processed, stored, or combusted during the selected time period.

(2) The department may presume that source-specific allowable emissions for the unit are equivalent to the

actual emissions of the unit.

(3) For any emissions unit that has not begun normal operations on the particular date, actual emissions shall

equal the potential to emit of the unit on that date.

(4) The term shall not apply for calculating a significant emissions increase under section 2(d) of this rule or for

establishing a PAL under 326 IAC 2-2.4. Instead, subsections (e) and (pp) shall apply for those purposes.

(c) "Adverse impact on visibility" means visibility impairment that interferes with the management, protection,

preservation, or enjoyment of the visitor's visual experience of the federal Class I area as defined in section 13 of

this rule. This determination must be made on a case-by-case basis taking into account the geographic extent,

intensity, duration, frequency, and time of visibility impairment, and how these factors correlate with:

(1) times of visitor use of the federal Class I area; and

(2) the frequency and timing of natural conditions that reduce visibility.

(d) "Allowable emissions" means the emissions rate of a stationary source calculated using the maximum

rated capacity of the source (unless a source is subject to enforceable permit limits that restrict the operating rate

or hours of operation, or both) and the most stringent of the:

(1) applicable standards as set forth in 40 CFR Part 60* and 40 CFR Part 61*;

(2) SIP emissions limitation, including those with a future compliance date; or

(3) emissions rate specified as an enforceable permit condition, including those with a future compliance date.

(e) "Baseline actual emissions" means the rate of emissions, in tons per year, of a regulated NSR pollutant, as

determined in accordance with the following:

(1) For any existing electric utility steam generating unit, the term means the average rate, in tons per year, at

which the unit actually emitted the pollutant during any consecutive twenty-four (24) month period selected by

the owner or operator within the five (5) year period immediately preceding when the owner or operator begins

actual construction of the project. The commissioner shall allow the use of a different time period upon a

determination that it is more representative of normal source operation. The baseline actual emissions shall be

determined in accordance with the following:

(A) The average rate shall include fugitive emissions to the extent quantifiable and emissions associated

with start-ups, shutdowns, and malfunctions to the extent they are affected by the project.

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that occurred

while the source was operating above any emission limitation that was legally enforceable during the

consecutive twenty-four (24) month period.

(C) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (1)

consecutive twenty-four (24) month period may be used to determine the baseline actual emissions for the

emissions units being changed. A different consecutive twenty-four (24) month period can be used for each

regulated NSR pollutant.

(D) The average rate shall not be based on any consecutive twenty-four (24) month period for which there is

inadequate information available for determining annual emissions, in tons per year, and for adjusting this

amount if required by clause (B).

(2) For an existing emissions unit other than an electric utility steam generating unit, the term means the

average rate, in tons per year, at which the emissions unit actually emitted the pollutant during any

consecutive twenty-four (24) month period selected by the owner or operator within the ten (10) year period

immediately preceding either the date the owner or operator begins actual construction of the project or the

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 14
date a complete permit application is received by the department for a permit required by this rule, except that

the ten (10) year period shall not include any period earlier than November 15, 1990. The baseline actual

emissions shall be determined in accordance with the following:

(A) The average rate shall include fugitive emissions to the extent quantifiable and emissions associated

with start-ups, shutdowns, and malfunctions to the extent they are affected by the project.

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that occurred

while the source was operating above an emission limitation that was legally enforceable during the

consecutive twenty-four (24) month period.

(C) The average rate shall be adjusted downward to exclude any emissions that would have exceeded an

emission limitation with which the major stationary source must currently comply had the major stationary

source been required to comply with the limitations during the consecutive twenty-four (24) month period.

However, if an emission limitation is part of a maximum achievable control technology standard that the U.S.

EPA proposed or promulgated under 40 CFR Part 63*, the baseline actual emissions need only be adjusted

if the department has applied the emissions reductions to an attainment demonstration or maintenance plan

consistent with the requirements of 326 IAC 2-3-3(b)(12).

(D) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (1)

consecutive twenty-four (24) month period may be used to determine the baseline actual emissions for all

the emissions units being changed. A different consecutive twenty-four (24) month period can be used for

each regulated NSR pollutant.

(E) The average rate shall not be based on any consecutive twenty-four (24) month period for which there is

inadequate information available for determining annual emissions, in tons per year, and for adjusting this

amount if required by clauses (B) and (C).

(3) For a new emissions unit, the baseline actual emissions for purposes of determining the emissions

increase that will result from the initial construction and operation of the unit shall equal zero (0) and

thereafter, for all other purposes, shall equal the unit's potential to emit.

(4) For a PAL for a stationary source, the baseline actual emissions shall be calculated as follows:

(A) For an existing electric utility steam generating unit, in accordance with subdivision (1).

(B) For an existing emissions unit except an existing electric utility steam generating unit, in accordance with

subdivision (2).

(C) For a new emissions unit, in accordance with subdivision (3).

(f) "Baseline area" means the following:

(1) Any intrastate area (and every part thereof) designated as attainment or unclassifiable in accordance with

326 IAC 1-4 in which the major stationary source or major modification establishing the minor source baseline

date would construct or would have an air quality impact for the pollutant for which the baseline date is

established:

(A) equal to or greater than one (1) microgram per cubic meter (μg/m3) (annual average) of the pollutant for

which the minor source baseline date is established. for sulfur dioxide (SO2), nitrogen dioxide (NO2), or

PM10; or

(B) equal to or greater than three-tenths (0.3) microgram per cubic meter (μg/m3) (annual average)

for PM2.5.

(2) Area redesignations under 326 IAC 1-4 and Section 107(d)(1)(D) or 107(d)(1)(E) of the CAA cannot

intersect or be smaller than the area of impact of any major stationary source or major modification that:

(A) establishes a minor source baseline date; or

(B) is subject to 40 CFR Part 52.21* and this rule and would be constructed in the same state as the state

proposing the redesignation.

(3) Any baseline area established originally for the total suspended particulate (TSP) increments shall remain

in effect and shall apply for purposes of determining the amount of available PM10 increments, except that the

baseline area shall not remain in effect if the U.S. EPA rescinds the corresponding minor source baseline date

in accordance with 40 CFR Part 52.21(b)(14)(iv)*.

(g) "Baseline concentration" means that ambient concentration level that exists in the baseline area at the time

of the applicable minor source baseline date. A baseline concentration is determined for each pollutant for which

a minor source baseline date is established and shall include the following:

(1) The actual emissions, as defined in subsection (b), representative of sources in existence on the applicable

minor source baseline date except as provided in subdivision (3).

(2) The allowable emissions of major stationary sources that commenced construction before the major source

baseline date, but were not in operation by the applicable minor source baseline date.

(3) The following will not be included in the baseline concentration and will affect the applicable maximum

allowable increase or increases:

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 15
(A) Actual emissions, as defined in subsection (b), from any major stationary source on which construction

commenced after the major source baseline date.

(B) Increases and decreases of actual emissions, as defined in subsection (b), at any stationary source

occurring after the minor source baseline date.

(h) "Begin actual construction" means, in general, initiation of physical on-site construction activities on an

emissions unit that are of a permanent nature. Such activities include, but are not limited to, the following:

(1) Installation of building supports and foundations.

(2) Laying underground pipework.

(3) Construction of permanent storage structures.

With respect to a change in method of operations, the term refers to those on-site activities other than preparatory

activities that mark the initiation of the change.

(i) "Best available control technology" or "BACT" means an emissions limitation, including a visible emissions

standard, based on the maximum degree of reduction for each regulated NSR pollutant that would be emitted

from any proposed major stationary source or major modification, that the commissioner, on a case-by-case

basis, taking into account energy, environmental, and economic impacts and other costs, determines is

achievable for the source or modification through application of production processes or available methods,

systems, and techniques, including fuel cleaning or treatment or innovative fuel combustion techniques for control

of the pollutant. In no event shall application of BACT result in emissions of any pollutant that would exceed the

emissions allowed by any applicable standard under 40 CFR Part 60* and 40 CFR Part 61*. If the commissioner

determines that technological or economic limitations on the application of measurement methodology to a

particular emissions unit would make the imposition of an emissions standard not feasible, a design, equipment,

work practice, operational standard, or combination thereof may be prescribed instead to satisfy the requirements

for the application of BACT. The standard shall, to the degree possible, set forth the emissions reduction

achievable by implementation of the design, equipment, work practice, or operation and shall provide for

compliance by means that achieve equivalent results.

(j) "Building, structure, facility, or installation" means all of the pollutant-emitting activities that belong to the

same industrial grouping, are located on one (1) or more contiguous or adjacent properties, and are under the

control of the same person (or persons under common control) except the activities of any vessel.

Pollutant-emitting activities shall be considered as part of the same industrial grouping if they belong to the same

major group, for example, that have the same first two (2) digit code, as described in the Standard Industrial

Classification Manual, 1972, as amended by the 1977 Supplement (U.S. Government Printing Office)*.

(k) "Clean coal technology" means any technology, including technologies applied at the precombustion,

combustion, or postcombustion stage, at a new or existing facility that will achieve significant reductions in air

emissions of sulfur dioxide or oxides of nitrogen oxides associated with the utilization of coal in the generation of

electricity or process steam that was not in widespread use as of November 15, 1990.

(l) "Clean coal technology demonstration project" means a project using funds appropriated under the heading

"Department of Energy-Clean Coal Technology", up to a total amount of two billion five hundred million dollars

($2,500,000,000) for commercial demonstration of clean coal technology or similar projects funded through

appropriations for the U.S. EPA. The federal contribution for a qualifying project shall be at least twenty percent

(20%) of the total cost of the demonstration project.

(m) "Commence", as applied to construction of a major stationary source or major modification, means that the

owner or operator has all necessary preconstruction approvals or permits and either has:

(1) begun, or caused to begin, a continuous program of actual on-site construction of the source to be

completed within a reasonable time; or

(2) entered into binding agreements or contractual obligations, which cannot be canceled or modified without

substantial loss to the owner or operator, to undertake a program of actual construction of the source to be

completed within a reasonable time.

(n) "Complete" means, in reference to an application for a permit, that the application contains all of the

information necessary for processing the application. Designating an application complete for purposes of permit

processing does not preclude the department from requesting or accepting any additional information.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 16
(o) "Construction" means any physical change or change in the method of operation, including:

(1) fabrication;

(2) erection;

(3) installation;

(4) demolition; or

(5) modification;

of an emissions unit, that would result in a change in emissions.

(p) "Continuous emissions monitoring system" or "CEMS" means all of the equipment that may be required to

meet the data acquisition and availability requirements of this rule to complete the following:

(1) Sample emissions on a continuous basis.

(2) If applicable, condition emissions.

(3) Analyze emissions on a continuous basis.

(4) Provide a record of emissions on a continuous basis.

(q) "Continuous emissions rate monitoring system" or "CERMS" means the total equipment required for the

determination and recording of the pollutant mass emissions rate in terms of mass per unit of time.

(r) "Continuous parameter monitoring system" or "CPMS" means all of the equipment necessary to meet the

data acquisition and availability requirements of this rule to:

(1) monitor:

(A) process and control device operational parameters; and

(B) other information, such as gas flow rate, O2or CO2concentrations; and

(2) record the average operational parameter value on a continuous basis.

(s) "Electric utility steam generating unit" means any steam electric generating unit that is constructed for the

purpose of supplying more than one-third (1/3) of its potential electric output capacity and more than twenty-five

(25) megawatts electrical output to any utility power distribution system for sale. Any steam supplied to a steam

distribution system for the purpose of providing steam to a steam-electric generator that would produce electrical

energy for sale is also considered in determining the electrical energy output capacity of the affected facility.

(t) "Emissions unit" means any part of a stationary source that emits or would have the potential to emit any

regulated NSR pollutant. For purposes of this rule, there are the following two (2) types of emissions units:

(1) A new emissions unit is any emissions unit that is, or will be, newly constructed and that has existed for

less than two (2) years from the date the emissions unit first operated.

(2) An existing emissions unit is any emissions unit that does not meet the requirements in subdivision (1). A

replacement unit is an existing emissions unit.

(u) "Federal land manager" means, with respect to any lands in the United States, the secretary of the

department with authority over the lands.

(v) "Federally enforceable" means all limitations and conditions that are enforceable by the U.S. EPA,

including:

(1) those requirements developed pursuant to 40 CFR Part 60* and 40 CFR Part 61*;

(2) requirements within the SIP; and

(3) any permit requirements established pursuant to 40 CFR Part 52.21* or under regulations approved

pursuant to 40 CFR Part 51, Subpart I*, including operating permits issued under an EPA-approved program

that is incorporated into the SIP and expressly requires adherence to any permit issued under the program.

(w) "Fugitive emissions" means those emissions that could not reasonably pass through a stack, chimney,

vent, or other functionally equivalent opening.

(x) "High terrain" means any area having an elevation nine hundred (900) feet or more above the base of the

stack of a source.

(y) "Indian governing body" means the governing body of any tribe, band, or group of Indians subject to the

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 17
jurisdiction of the United States and recognized by the United States as possessing power of self-government.

(z) "Indian reservation" means any federally recognized reservation established by:

(1) treaty;

(2) agreement;

(3) executive order; or

(4) act of Congress.

(aa) "Innovative control technology" means any system of air pollution control that has not been adequately

demonstrated in practice, but would have a substantial likelihood of achieving greater continuous emissions

reduction than any control system in current practice or of achieving at least comparable reductions at lower cost

in terms of energy, economics, or nonair quality environmental impacts.

(bb) "Lowest achievable emission rate" or "LAER" means, for any source, the more stringent rate of emissions

based on the most stringent emissions limitation of the following:

(1) Contained in the SIP for the class or category of stationary source unless the owner or operator of the

proposed stationary source demonstrates that the limitations are not achievable.

(2) Achieved in practice by the class or category of stationary source. This limitation, when applied to a

modification, means the LAER for the new or modified emissions unit within the stationary source. In no event

shall the application of the LAER allow a proposed new or modified stationary source to emit any pollutant in

excess of the amount allowable under applicable new source standards of performance.

(cc) "Low terrain" means any area other than high terrain.

(dd) "Major modification" means any physical change in, or change in the method of operation of, a major

stationary source that would result in a significant emissions increase and a significant net emissions increase of

a regulated NSR pollutant from the major stationary source. The following shall apply:

(1) Any significant emissions increase from any emissions units or net emissions increase at a major

stationary source that is significant for VOC or NOxshall be considered significant for ozone.

(2) A physical change or change in the method of operation shall not include the following:

(A) Routine maintenance, repair, and replacement.

(B) Use of an alternative fuel or raw material by reason of an order under Sections 2(a) and 2(b) of the

Energy Supply and Environmental Coordination Act of 1974 or by reason of a natural gas curtailment plan

pursuant to the Federal Power Act.

(C) Use of an alternative fuel by reason of an order under Section 125 of the CAA.

(D) Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated from

municipal solid waste.

(E) Use of an alternative fuel or raw material by a source that the source:

(i) was capable of accommodating before January 6, 1975, unless the change would be prohibited under

any enforceable permit condition that was established after January 6, 1975, pursuant to:

(AA) 40 CFR Part 52.21*;

(BB) this rule;

(CC) 326 IAC 2-3; or

(DD) minor new source review regulations approved pursuant to 40 CFR Part 51.160 through 40 CFR

Part 51.166*; or

(ii) is approved to use under any permit issued under 40 CFR Part 52.21* or under this rule.

(F) An increase in the hours of operation or in the production rate unless the change would be prohibited

under any enforceable permit condition that was established after January 6, 1975, pursuant to 40 CFR Part

52.21* or under this rule or 326 IAC 2-3.

(G) Any change in ownership at a source.

(H) The installation, operation, cessation, or removal of a temporary clean coal technology demonstration

project provided that the project complies with:

(i) the SIP; and

(ii) other requirements necessary to attain and maintain the national ambient air quality standards during

the project and after the project is terminated.

(I) The installation or operation of a permanent clean coal technology demonstration project that constitutes

repowering provided that the project does not result in an increase in the potential to emit of any regulated

pollutant emitted by the unit. This exemption shall apply on a pollutant-by-pollutant basis.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 18
(J) The reactivation of a very clean coal-fired electric utility steam generating unit.

(3) The term shall not apply to a particular regulated NSR pollutant when the major stationary source is

complying with the requirements under 326 IAC 2-2.4 for a PAL for that pollutant. Instead, the definition at 326

IAC 2-2.4-2(g) shall apply.

(ee) "Major source baseline date" means the following:

(1) In the case of particulate matter PM10 and sulfur dioxide, January 6, 1975.

(2) In the case of nitrogen dioxide, February 8, 1988.

(3) In the case of PM2.5, October 20, 2010.

(ff) "Major stationary source" means the following:

(1) Any of the following stationary sources of air pollutants that are located or proposed to be located in an

attainment or unclassifiable area as designated in 326 IAC 1-4 and that emit or have the potential to emit one

hundred (100) tons per year or more of any regulated NSR pollutant:

(A) Fossil fuel-fired steam electric plants of more than two hundred fifty million (250,000,000) British thermal

units per hour heat input.

(B) Coal cleaning plants (with thermal driers).

(C) Kraft pulp mills.

(D) Portland cement plants.

(E) Primary zinc smelters.

(F) Iron and steel mill plants.

(G) Primary aluminum ore reduction plants.

(H) Primary copper smelters.

(I) Municipal incinerators capable of charging more than fifty (50) tons of refuse per day.

(J) Hydrofluoric, sulfuric, and nitric acid plants.

(K) Petroleum refineries.

(L) Lime plants.

(M) Phosphate rock processing plants.

(N) Coke oven batteries.

(O) Sulfur recovery plants.

(P) Carbon black plants (furnace process).

(Q) Primary lead smelters.

(R) Fuel conversion plants.

(S) Sintering plants.

(T) Secondary metal production plants.

(U) Chemical process plants, excluding ethanol production facilities that produce ethanol by natural

fermentation included in North American Industry Classification System (NAICS) codes 325193 for Ethyl

Alcohol Manufacturing or 312140 for Distilleries, as revised in 2007**.

(V) Fossil fuel boilers (or combinations thereof) totaling more than two hundred fifty million (250,000,000)

British thermal units per hour heat input.

(W) Taconite ore processing plants.

(X) Glass fiber processing plants.

(Y) Charcoal production plants.

(Z) Petroleum storage and transfer units with a total storage capacity exceeding three hundred thousand

(300,000) barrels.

(2) Any stationary source with the potential to emit two hundred fifty (250) tons per year or more of a regulated

NSR pollutant.

(3) Any of the following stationary sources with potential emissions of five (5) tons per year or more of lead or

lead compounds measured as elemental lead:

(A) Primary lead smelters.

(B) Secondary lead smelters.

(C) Primary copper smelters.

(D) Lead gasoline additive plants.

(E) Lead-acid storage battery manufacturing plants that produce two thousand (2,000) or more batteries per

day.

(4) Any other stationary source with potential emissions of twenty-five (25) or more tons per year of lead or

lead compounds measured as elemental lead.

(5) Any physical change occurring at a stationary source not qualifying under subdivisions (1) through (4) if the

change would by itself qualify as a major stationary source under subdivisions (1) through (4).

(6) Notwithstanding subdivisions (1) through (5), a source or modification of a source shall not be considered a

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 19
major stationary source if it would qualify under subdivisions (1) through (5) only if fugitive emissions, to the

extent quantifiable, are considered in calculating potential to emit of the stationary source or modification and

the source does not belong to any of the categories listed in subdivision (1) or any other stationary source

category that, as of August 7, 1980, is being regulated under Section 111 or 112 of the CAA (42 U.S.C. 7411

or 42 U.S.C. 7412).

(7) A major stationary source that is major for VOC or NOxshall be considered major for ozone.

(gg) "Minor source baseline date" means the earliest date after the trigger date on which a major stationary

source or major modification subject to the requirements of this rule or to 40 CFR Part 52.21* submits a complete

application under the relevant regulations, including the following:

(1) The trigger date is the following:

(A) In the case of particulate matter PM10 and sulfur dioxide, August 7, 1977.

(B) In the case of nitrogen dioxide, February 8, 1988.

(C) In the case of PM2.5, October 20, 2011.

(2) The baseline date is established for each pollutant for which increments or other equivalent measures have

been established if:

(A) the area in which the proposed source or modification would construct is designated as attainment or

unclassifiable under 326 IAC 1-4 for the pollutant on the date of its complete application under this rule; and

(B) in the case of a major stationary source, the pollutant would be emitted in significant amounts, or, in the

case of a major modification, there would be a significant net emissions increase of the pollutant.

(3) Any minor source baseline date established originally for the TSP increments shall remain in effect and

shall apply for purposes of determining the amount of available PM10 increments, except that the

commissioner may rescind a minor source baseline date where it can be shown, to the satisfaction of the

commissioner, that the emissions increase from the major stationary source, or net emissions increase from

the major modification, responsible for triggering that date did not result in a significant amount of PM10 emissions.

(hh) "Necessary preconstruction approvals or permits" means those permits or approvals required under

federal air quality control laws and regulations and air quality control laws and regulations that are part of the SIP.

(ii) "Net emissions increase", with respect to any regulated NSR pollutant emitted by a major stationary source,

means the following:

(1) The amount by which the sum of the following exceeds zero (0):

(A) The increase in emissions from a particular physical change or change in the method of operation at a

stationary source as calculated under section 2(d) of this rule.

(B) Any other increases and decreases in actual emissions at the major stationary source that are

contemporaneous with the particular change and are otherwise creditable. Baseline actual emissions for

calculating increases and decreases under this clause shall be determined as provided in subsection (e),

except that subsection (e)(1)(C) and (e)(2)(D) shall not apply.

(2) An increase or decrease in actual emissions is contemporaneous with the increase from the particular

change only if it occurs between the following:

(A) The date five (5) years before construction of the particular change commences.

(B) The date that the increase from the particular change occurs.

(3) An increase or decrease in actual emissions is creditable only if the department has not relied on the

increase or decrease in actual emissions in issuing a permit to the source under 40 CFR Part 52.21* or this

rule and the permit is in effect when the increase in actual emissions from the particular change occurs.

(4) An increase or decrease in actual emissions of sulfur dioxide, particulate matter, PM, or nitrogen oxides

that occurs before the applicable minor source baseline date is creditable only if it is required to be considered

in calculating the amount of maximum allowable increases remaining available.

(5) An increase in actual emissions is creditable only to the extent that a new level of actual emissions

exceeds the old level.

(6) A decrease in actual emissions is creditable only to the extent that:

(A) the old level of actual emissions or the old level of allowable emissions, whichever is lower, exceeds the

new level of actual emissions;

(B) it is enforceable as a practical matter at and after the time that actual construction on the particular

change begins; and

(C) it has approximately the same qualitative significance for public health and welfare as that attributed to

the increase from the particular change.

(7) An increase that results from the physical change at a source occurs when the emissions unit on which

construction occurred becomes operational and begins to emit a particular pollutant. Any replacement unit that

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 20
requires shakedown becomes operational only after a reasonable shakedown period not to exceed one

hundred eighty (180) days.

(8) Subsection (b)(1) shall not apply for determining creditable increases and decreases.

(jj) "Plant-wide applicability limitation" or "PAL" means an emission limitation expressed in tons per year, for a

pollutant at a major stationary source, that is enforceable as a practical matter and established source-wide in

accordance with this rule. For the purposes of this rule, a PAL is an actuals PAL.

(kk) "Pollution prevention" means the following:

(1) Any activity that eliminates or reduces the release of air pollutants, including fugitive emissions, and other

pollutants to the environment prior to recycling, treatment, or disposal, through:

(A) process changes;

(B) product reformulation or redesign; or

(C) substitution of less polluting raw materials.

(2) The term does not include:

(A) recycling, except certain in-process recycling practices;

(B) energy recovery;

(C) treatment; or

(D) disposal.

(ll) "Potential to emit" means the maximum capacity of a stationary source to emit a pollutant under its physical

and operational design. Any physical or operational limitation on the capacity of the source to emit a pollutant,

including air pollution control equipment and restrictions on hours of operation or on the type or amount of

material combusted, stored, or processed, shall be treated as part of its design if the limitation or the effect it

would have on emissions is enforceable as a practical matter. Secondary emissions do not count in determining

the potential to emit of a stationary source.

(mm) "Predictive emissions monitoring system" or "PEMS" means all of the equipment necessary to, on a

continuous basis:

(1) monitor:

(A) process and control device operational parameters; and

(B) other information, such as gas flow rate, O2or CO2concentrations; and

(2) calculate and record the mass emissions rate, such as pounds per hour.

(nn) "Prevention of significant deterioration program" or "PSD program" means a major source preconstruction

permit program that has been approved by the U.S. EPA and incorporated into the SIP to implement the

requirements of 40 CFR Part 51.166 or the program in 40 CFR Part 52.21. Any permit issued under the program

is a major NSR permit.

(oo) "Project" means a physical change in, or change in the method of operation of, an existing major

stationary source.

(pp) "Projected actual emissions" means the following:

(1) The maximum annual rate, in tons per year, at which an existing emissions unit is projected to emit a

regulated NSR pollutant in any consecutive twelve (12) month period of the five (5) years following the date

the unit resumes regular operation after the project, or in any consecutive twelve (12) month period of the ten

(10) years following the date the unit resumes regular operation, if the project involves increasing the

emissions unit's design capacity or its potential to emit that regulated NSR pollutant and full utilization of the

unit would result in a significant emissions increase or a significant net emissions increase at the major

stationary source.

(2) In determining the projected actual emissions under this subsection, before beginning actual construction,

the owner or operator of the major stationary source:

(A) shall:

(i) consider all relevant information, including, but not limited to:

(AA) historical operational data;

(BB) the company's own representations;

(CC) the company's expected business activity and the company's highest projections of business

activity;

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 21
(DD) the company's filings with the state or federal regulatory authorities; and

(EE) compliance plans under the approved SIP;

(ii) include fugitive emissions to the extent quantifiable and emissions associated with start-ups,

shutdowns, and malfunctions to the extent they are affected by the project; and

(iii) exclude, in calculating any increase in emissions that result from the particular project, that portion of

the unit's emissions following the project that an existing unit could have accommodated during the

consecutive twenty-four (24) month period used to establish the baseline actual emissions under

subsection (e) and that are also unrelated to the particular project, including any increased utilization due

to product demand growth; or

(B) in lieu of using the method set out in clause (A), may elect to use the emissions unit's potential to emit, in

tons per year, as defined under subsection (ll).

(qq) "Reactivation of a very clean coal-fired electric utility steam generating unit" means any physical change

or change in the method of operation associated with the commencement of commercial operations by a

coal-fired utility unit after a period of discontinued operation where the unit:

(1) has not been in operation for the two (2) year period prior to the enactment of the CAA Amendments of

1990, and the emissions from the unit continue to be carried in the department's emissions inventory at the

time of enactment;

(2) was equipped prior to shutdown with a continuous system of emissions control that achieves a removal

efficiency for sulfur dioxide of not less than eighty-five percent (85%) and a removal efficiency for particulates

of not less than ninety-eight percent (98%);

(3) is equipped with low-NOxburners prior to the time of commencement of operations following reactivation;

and

(4) is otherwise in compliance with the requirements of the CAA.

(rr) "Reasonably available control technology" or "RACT" means devices, systems, process modifications, or

other apparatus or techniques that are reasonably available taking into account:

(1) the necessity of imposing the controls in order to attain and maintain a national ambient air quality

standard;

(2) the social, environmental, and economic impact of the controls; and

(3) alternative means of providing for attainment and maintenance of the standard.

(ss) "Regulated NSR pollutant" means any of the following:

(1) Any (A) pollutant for which a national ambient air quality standard has been promulgated and (B)

constituents or precursors for the pollutants identified by the U.S. EPA. any pollutant identified as a

constituent or precursor to the pollutant. For purposes of NSR, in all attainment and unclassifiable

areas:

(A) VOC and nitrogen oxides are precursors to ozone;

(B) sulfur dioxide and nitrogen oxides are precursors to PM2.5; and

(C) VOC and ammonia are not precursors to PM2.5.

(2) Any pollutant that is subject to any standard promulgated under Section 111 of the CAA.

(3) Any Class I or II substance subject to a standard promulgated under or established by Title VI of the CAA.

(4) Any pollutant that otherwise is subject to regulation under the CAA as defined in subsection (zz).

(5) Notwithstanding subdivisions (1) through (4), any or all HAPs either listed in Section 112 of the CAA or

added to the list pursuant to Section 112(b)(2) of the CAA, which have not been delisted pursuant to Section

112(b)(3) of the CAA, are not regulated NSR pollutants unless the listed HAP is also regulated as a

constituent or precursor of a general pollutant listed under Section 108 of the CAA.

(6) Notwithstanding subdivision (5), any pollutant listed in subsection (ww)(1)(A) through (ww)(1)(U).

(ww)(1)(V).

(tt) "Replacement unit" means an emissions unit for which all the criteria listed in subdivisions (1) through (4)

are met. No creditable emission reductions shall be generated from shutting down the existing emission unit that

is replaced. The following applies:

(1) The emissions unit is a reconstructed unit within the meaning of 40 CFR 60.15(b)(1)*, or the emissions unit

completely takes the place of an existing emissions unit.

(2) The emissions unit is identical to or functionally equivalent to the replaced emissions unit.

(3) The replacement does not alter the basic design parameters, as discussed in 40 CFR 51.165(h)(2), of the

process unit.

(4) The replaced emissions unit is permanently removed from the major stationary source, otherwise

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 22
permanently disabled, or permanently barred from operation by a permit that is enforceable as a practical

matter. If the replaced emissions unit is brought back into operation, it shall constitute a new emissions unit.

(uu) "Repowering" means replacement of an existing coal-fired boiler with one (1) of the following clean coal

technologies:

(1) Atmospheric or pressurized fluidized bed combustion.

(2) Integrated gasification combined cycle.

(3) Magnetohydrodynamics.

(4) Direct and indirect coal-fired turbines.

(5) Integrated gasification fuel cells.

(6) As determined by the U.S. EPA, in consultation with the Secretary of Energy, a derivative of one (1) or

more of these technologies, and any other technology capable of controlling multiple combustion emissions

simultaneously with improved boiler or generation efficiency and with significantly greater waste reduction

relative to the performance of technology in widespread commercial use as of November 15, 1990.

The term shall also include any oil or gas-fired unit, or both, that has been awarded clean coal technology

demonstration funding as of January 1, 1991, by the Department of Energy. The department shall give expedited

consideration to permit applications for any source that satisfies the requirements of this subsection and is

granted an extension under Section 409 of the CAA.

(vv) "Secondary emissions" means emissions that would occur as a result of the construction or operation of a

major stationary source or major modification, but do not come from the major stationary source or major

modification itself. The term includes emissions from any off-site support facility that would not be constructed or

increase its emissions except as a result of the construction or operation of the major stationary source or major

modification. For the purpose of this rule, secondary emissions must be specific, well-defined, quantifiable, and

impact the same general area as the source or modification that causes the secondary emissions. The term does

not include any emissions that come directly from a mobile source, such as emissions from:

(1) the tailpipe of a motor vehicle;

(2) a train; or

(3) a vessel.

(ww) "Significant" means the following:

(1) In reference to a net emissions increase or the potential of the source to emit any of the following

pollutants, a rate of emissions that would equal or exceed any of the following rates:

(A) Carbon monoxide: one hundred (100) tons per year.

(B) Nitrogen oxides: forty (40) tons per year.

(C) Sulfur dioxide: forty (40) tons per year.

(D) Particulate matter: PM: twenty-five (25) tons per year.

(E) PM10: fifteen (15) tons per year.

(F) PM2.5: ten (10) tons per year direct PM2.5; forty (40) tons per year of sulfur dioxide; forty (40) tons

per year of nitrogen oxides.

(F) (G) Ozone: forty (40) tons per year of VOC or nitrogen oxides.

(G) (H) Lead: six-tenths (0.6) ton per year.

(H) (I) Asbestos: seven one-thousandths (0.007) ton per year.

(I) (J) Beryllium: four ten-thousandths (0.0004) ton per year.

(J) (K) Mercury: one-tenth (0.1) ton per year.

(K) (L) Vinyl chloride: one (1) ton per year.

(L) (M) Fluorides: three (3) tons per year.

(M) (N) Sulfuric acid mist: seven (7) tons per year.

(N) (O) Hydrogen sulfide (H2S): ten (10) tons per year.

(O) (P) Total reduced sulfur (including H2S): ten (10) tons per year.

(P) (Q) Reduced sulfur compounds (including H2S): ten (10) tons per year.

(Q) (R) Municipal waste combustor organics (measured as total tetra- through octa-chlorinated

dibenzo-p-dioxins and dibenzofurans): thirty-five ten-millionths (0.0000035) or 3.5 × 10-6 ton per year.

(R) (S) Municipal waste combustor metals (measured as particulate matter): PM): fifteen (15) tons per year.

(S) (T) Municipal waste combustor acid gases (measured as sulfur dioxide and hydrogen chloride): forty

(40) tons per year.

(T) (U) Municipal solid waste landfills emissions (measured as nonmethane organic compounds): fifty (50)

tons per year.

(U) (V) Ozone-depleting substances (ODS): one hundred (100) tons per year.

(V) (W) Pollutant greenhouse gases (GHGs): as specified in subsection (zz).

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 23
(W) (X) Any regulated NSR pollutant other than the pollutants listed in this subsection: any emission rate.

(2) Any emissions rate or any net emissions increase associated with a major stationary source or major

modification that:

(A) would be constructed within ten (10) kilometers of a Class I area; and

(B) has an impact on the area equal to or greater than one (1) microgram per cubic meter (24-hour

average).

(xx) "Significant emissions increase" means, for a regulated NSR pollutant, an increase in emissions that is

significant, as defined in subsection (ww), for that pollutant.

(yy) "Stationary source" means any building, structure, facility, or installation that emits or may emit a

regulated NSR pollutant. A stationary source does not include emissions resulting from an internal combustion

engine used for transportation purposes or from a nonroad engine or nonroad vehicle.

(zz) "Subject to regulation" means, for any air pollutant, that the pollutant is subject to either a provision in the

CAA, or a nationally applicable regulation codified by the U.S. EPA in 40 CFR, Chapter I, Subchapter C, that

requires actual control of the quantity of emissions of that pollutant, and that the control requirement has taken

effect and is operative to control, limit, or restrict the quantity of emissions of that pollutant released from that

regulated activity, except as follows:

(1) Greenhouse gases (GHGs), the air pollutant defined in 40 CFR 86.1818-12(a)*, as added by 75 FR 25686

(May 7, 2010), as the aggregate group of six (6) greenhouse gases shall not be subject to regulation except as

provided in subdivisions (4) and (5). Pollutant GHGs includes the following:

(A) Carbon dioxide.

(B) Nitrous oxide.

(C) Methane.

(D) Hydrofluorocarbons.

(E) Perfluorocarbons.

(F) Sulfur hexafluoride.

(2) For purposes of subdivisions (3) through (5), "tons per year (tpy) CO2equivalent emissions (CO2e)" shall

represent an amount of GHGs emitted and shall be calculated as follows:

(A) Multiply the mass amount of emissions in tpy for each of the six (6) greenhouse gases in the pollutant

GHGs by the gas's associated global warming potential published in 40 CFR 98, Subpart A, Table A-1

(Global Warming Potentials)*, as added by 74 FR 56395 (October 30, 2009).

(B) Sum the resultant value from clause (A) for each gas to compute a tpy CO2e.

(C) Prior to July 21, 2014, the mass of the greenhouse gas carbon dioxide shall not include carbon

dioxide emissions resulting from the combustion or decomposition of nonfossilized and

biodegradable organic material originating from plants, animals, or microorganisms (including

products, byproducts, residues, and waste from agriculture, forestry, and related industries as well

as the nonfossilized and biodegradable organic fractions of industrial and municipal wastes,

including gases and liquids recovered from the decomposition of nonfossilized and biodegradable

organic material).

(3) "Emissions increase", as used in subdivisions (4) and (5), means that both a significant emissions increase

as calculated using the procedures in 40 CFR 51.166(a)(7)(iv)* and a significant net emissions increase as

defined in subsections (ii) and (ww) occur. For the pollutant GHGs, an emissions increase shall be based on

tpy CO2e, and shall be calculated assuming the pollutant GHGs is a regulated NSR pollutant, and "significant"

is defined as seventy-five thousand (75,000) tpy CO2e instead of applying the value in subsection (ww)(1)(W).

(4) Beginning January 2, 2011, the pollutant GHGs is subject to regulation if the stationary source is:

(A) a new major stationary source for a regulated NSR pollutant that is not GHGs and will emit or will have

the potential to emit seventy-five thousand (75,000) tpy CO2e or more; or

(B) an existing major stationary source for a regulated NSR pollutant that is not GHGs and will have an

emissions increase of a regulated NSR pollutant, and an emissions increase of seventy-five thousand

(75,000) tpy CO2e or more.

(5) Beginning July 1, 2011, in addition to the provisions in subdivision (4), the pollutant GHGs shall be subject

to regulation at:

(A) a new stationary source that will emit or will have the potential to emit one hundred thousand (100,000)

tpy CO2e or more; or

(B) an existing stationary source that emits or has the potential to emit one hundred thousand (100,000) tpy

CO2e or more, when such stationary source undertakes a physical change or change in the method of

operation that will result in an emissions increase of seventy-five thousand (75,000) tpy CO2e or more.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 24
(aaa) "Temporary clean coal technology demonstration project" means a clean coal technology demonstration

project that:

(1) is operated for a period of five (5) years or less; and

(2) complies with the SIP and other requirements necessary to attain and maintain the national ambient air

quality standards during the project and after the project is terminated.

*These documents are incorporated by reference. Copies may be obtained from the Government Printing

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North,

Tenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

**These documents are incorporated by reference. Copies may be obtained through the U.S. Census Bureau

website at: www.census.gov/eos/www/naics or are available for review and copying at the Indiana Department of

Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor, 100 North

Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-2-1; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2391; filed Apr 13, 1988, 3:35

p.m.: 11 IR 3022; filed Jan 6, 1989, 3:30 p.m.: 12 IR 1102; filed Jun 14, 1989, 5:00 p.m.: 12 IR 2020; filed Nov 25,

1998, 12:13 p.m.: 22 IR 997; errata filed May 12, 1999, 11:23 a.m.: 22 IR 3105; filed Oct 23, 2000, 9:47 a.m.: 24

IR 668; filed Mar 23, 2001, 3:03 p.m.: 24 IR 2412; filed Dec 20, 2001, 4:30 p.m.: 25 IR 1557; filed Mar 9, 2004,

3:45 p.m.: 27 IR 2216; filed Aug 10, 2004, 3:35 p.m.: 27 IR 3889; filed Oct 1, 2010, 3:48 p.m.:

20101027-IR-326070372FRA; filed Feb 14, 2011, 11:20 a.m.: 20110316-IR-326100505FRA; errata filed Feb 16,

2011, 2:28 p.m.: 20110316-IR-326110089ACA; filed Jul 21, 2011, 10:45 a.m.: 20110817-IR-326110099FRA)

SECTION 5. 326 IAC 2-2-4 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-2-4 Air quality analysis; requirements

Authority: IC 13-14-8; IC 13-17-3

Affected: IC 13-15; IC 13-17

Sec. 4. (a) Any application for a permit under the provisions of this rule shall contain an analysis of ambient air

quality in the area that the major stationary source or major modification would affect for each of the following

pollutants:

(1) For a source, each regulated NSR pollutant that the source would have the potential to emit in a significant

amount.

(2) For a modification, each regulated NSR pollutant for which the modification would result in a significant net

emissions increase.

(b) Exemptions are as follows:

(1) The requirements of this section shall not apply to a major stationary source or major modification with

respect to a particular pollutant if the allowable emissions of that pollutant from the source or the net emissions

increase of that pollutant from the modification would:

(A) impact no Class I area and no area where an applicable increment is known to be violated; and

(B) be temporary.

(2) A source or modification shall be exempt from the requirements of this section with respect to monitoring

for a particular pollutant if either of the following apply:

(A) The emissions increase of the pollutant from a new source or the net emissions increase of the pollutant

from a modification would cause, in any area, air quality impacts less than the following:

(i) Carbon monoxide: 575 μg/m3, 8-hour average.

(ii) Nitrogen dioxide: 14 μg/m3, annual average.

(iii) PM10: 10 μg/m3, 24-hour average.

(iv) PM2.5: 4 μg/m3, 24-hour average.

(iv) (v) Sulfur dioxide: 13 μg/m3, 24-hour average.

(v) (vi) Ozone: No de minimis air quality level is provided for ozone; however, any net increase of one

hundred (100) tons per year or more of VOC or nitrogen oxides subject to PSD would be required to

provide ozone ambient air quality data.

(vi) (vii) Lead: 0.1 μg/m3, 3-month average.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 25
(vii) (viii) Mercury: 0.25 μg/m3

, 24-hour average.

(viii) (ix) Beryllium: 0.001 μg/m3, 24-hour average.

(ix) (x) Fluorides: 0.25 μg/m3, 24-hour average.

(x) (xi) Vinyl chloride: 15 μg/m3, 24-hour average.

(xi) (xii) Total reduced sulfur: 10 mg/m3, 1-hour average.

(xii) (xiii) Hydrogen sulfide: 0.2 μg/m3, 1-hour average.

(xiii) (xiv) Reduced sulfur compounds: 10 μg/m3, 1-hour average.

(B) The concentrations of the pollutant in the area affected by the source or modification are less than the

concentrations listed in clause (A) or the pollutant is not listed in clause (A).

(3) The requirements of this section shall not apply to a major stationary source or major modification with

respect to pollutant GHGs.

(c) All monitoring required by this section shall be done in accordance with the following provisions:

(1) With respect to any pollutant for which no ambient air quality standard designated in 326 IAC 1-3 exists,

the analysis shall contain such air quality monitoring data as the commissioner determines is necessary to

assess ambient air quality for that pollutant in any area that the emissions of that pollutant would affect.

(2) With respect to any pollutant (other than nonmethane hydrocarbons) for which an ambient air quality

standard as designated in 326 IAC 1-3 exists, the analysis shall contain continuous air quality monitoring data

gathered for the purpose of determining whether emissions of that pollutant would cause or contribute to a

violation of the standard or any maximum allowable increase.

(3) In general, the continuous air quality monitoring data that is required shall have been gathered over a

period of at least one (1) year preceding receipt of the application, except that, if the commissioner determines

that a complete and adequate analysis can be accomplished with monitoring data gathered over a period

shorter than one (1) year (but not less than four (4) months), the data that is required shall have been

gathered over at least that shorter period.

(4) The owner or operator of the proposed major stationary source or major modification of VOC or nitrogen

oxides who satisfies all conditions of 40 CFR Part 51, Appendix S, Section IV* may provide post-approval

monitoring data for ozone in lieu of providing preconstruction data as required under this subsection.

(5) The owner or operator of a major stationary source or major modification shall, after construction of the

source or modification, conduct such ambient monitoring as the commissioner determines is necessary to

determine the effect of the emissions that the source or modification may have, or is having, on air quality in

any area.

(6) The owner or operator of a major stationary source or major modification shall comply with the

requirements of 40 CFR Part 58, Appendix B* during operation of monitoring stations for purposes of

complying with this section.

(7) All air quality monitoring shall be done in accordance with state and federal monitoring procedures as set

forth in the following references: May 1987 U.S. EPA, "Ambient Air Monitoring Guidelines for Prevention of

Significant Deterioration" (EPA 45014-87-007)* and the May 1999, "Indiana Department of Environmental

Management, Office of Air Management Quality Assurance Manual*".

*These documents are incorporated by reference. Copies may be obtained from the Government Printing

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North,

Tenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-2-4; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2396; filed Apr 13, 1988, 3:35

p.m.: 11 IR 3026; filed Jan 6, 1989, 3:30 p.m.: 12 IR 1099; filed Mar 23, 2001, 3:03 p.m.: 24 IR 2420; filed Dec 20,

2001, 4:30 p.m.: 25 IR 1565; filed Aug 10, 2004, 3:35 p.m.: 27 IR 3901; filed Oct 1, 2010, 3:48 p.m.:

20101027-IR-326070372FRA; filed Feb 14, 2011, 11:20 a.m.: 20110316-IR-326100505FRA)

SECTION 6. 326 IAC 2-2-6 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-2-6 Increment consumption; requirements

Authority: IC 13-14-8; IC 13-17-3-4

Affected: IC 13-12

Sec. 6. (a) Any demonstration under section 5 of this rule shall demonstrate that increased emissions caused

by the proposed major stationary source or major modification will not exceed eighty percent (80%) of the

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 26
available maximum allowable increases (MAI) over the baseline concentrations for sulfur dioxide, particulate

matter, PM, and nitrogen dioxide indicated in subsection (b)(1). Available maximum allowable increases are

determined by adjusting the MAI to include impacts from actual emissions:

(1) from any major stationary source or major modification on which construction commenced after the major

source baseline date; and

(2) increases and decreases at any source occurring after the minor source baseline date.

On a case-by-case basis, a source may petition the commissioner to use in excess of this eighty percent (80%).

The commissioner may authorize such use provided the source adequately demonstrates the need for the same.

(b) Increment consumption shall be in accordance with the following:

(1) The following allowable increments reflect the PSD increments for a Class II area (as defined in the CAA).

Indiana has no Class I or Class III areas; however, should some areas of the state be classified as Class I or

III, the PSD increments pursuant to 40 CFR Part 52.21* to which it must be adhered. New permits issued after

January 1, 1995, shall use PM10 as the indicator for particulate matter. PM. The allowable increments are as

follows:

Maximum Allowable Increments

Pollutants

Allowable Increments (Micrograms per Cubic Meter, μg/m3

Limits)

(A) Particulate matter: PM:

(PM10):

Annual arithmetic mean 17

24-hour maximum 30

(PM2.5):

Annual arithmetic mean 4

24-hour maximum 9

(B) Sulfur dioxide:

Annual arithmetic mean 20

24-hour maximum 91

3-hour maximum 512

(C) Nitrogen dioxide:

Annual arithmetic mean 25

(2) For any period other than the annual period, the applicable maximum allowable increase may be exceeded

during one (1) such period per year at any one (1) location.

(3) When an applicant proposes to construct a major stationary source or major modification in an area

designated as attainment or unclassified and the increments listed in subdivision (1) have been consumed, the

increased emissions from the source or modification may be permitted to be offset by reducing emissions in

the affected areas by an equal amount of the pollutant for which the area was designated as attainment or

unclassified.

(4) The following pollutant concentrations shall be excluded when determining compliance with a maximum

allowable increase:

(A) Concentrations attributable to the increase in emissions from sources that have converted from the use

of petroleum products or natural gas, or both, by reason of an order in effect under Sections 2(a) and 2(b) of

the Energy Supply and Environmental Coordination Act of 1974 over the emissions from such the sources

before the effective date of such an the order.

(B) Concentrations attributable to the increase in emissions from sources that have converted from using

natural gas by reason of a natural gas curtailment plan in effect pursuant to the Federal Power Act over the

emissions from such the sources before the effective date of such the plan.

(C) Concentrations of particulate matter PM attributable to the increase in emissions from construction or

other temporary emission-related activities of new or modified sources.

(D) Concentrations attributable to the temporary increase in emissions of sulfur dioxide, particulate matter,

PM, or nitrogen oxides from stationary sources that are affected by state implementation plan revisions

approved by U.S. EPA are excluded provided the following criteria is met:

(i) Such The exclusion shall not exceed two (2) years in duration unless a longer time is approved by the

commissioner and the U.S. EPA.

(ii) Such The exclusion is not renewable.

(iii) Such The exclusion shall allow no emissions increase that would impact a Class I area or an area

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 27
where an applicable increment is known to be violated, or cause or contribute to a violation of an ambient

air quality standard as designated in 326 IAC 1-3.

(iv) An emission limitation shall be in effect at the end of the time period specified in accordance with item

(i) that will ensure that the emissions levels will not exceed those levels occurring from such the source

before the exclusion was granted.

(5) No exclusion of such a concentration under subdivision (4)(A) through and (4)(B) shall apply more than

five (5) years after the date the exclusion is granted under this rule. If both such order and plan are applicable,

no such exclusion shall apply more than five (5) years after the latter of such the effective dates.

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-2-6; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2398; filed Jun 14, 1989, 5:00

p.m.: 12 IR 2025; filed Oct 3, 1995, 3:00 p.m.: 19 IR 185; filed Mar 23, 2001, 3:03 p.m.: 24 IR 2422; filed Dec 20,

2001, 4:30 p.m.: 25 IR 1567; filed Mar 9, 2004, 3:45 p.m.: 27 IR 2222; filed Aug 10, 2004, 3:35 p.m.: 27 IR 3903)

SECTION 7. 326 IAC 2-2-14 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-2-14 Sources impacting federal Class I areas: additional requirements

Authority: IC 13-14-8; IC 13-17-3

Affected: IC 13-15; IC 13-17

Sec. 14. (a) The department shall provide written notice of any permit application for a proposed major

stationary source or major modification, the emissions from which may affect a Class I area, to the federal land

manager and the federal official charged with direct responsibility for management of any lands within any such

the Class I area. Such The notification shall be given within thirty (30) days of receipt of a permit application and

at least sixty (60) days prior to any public hearing on the application for a permit to construct and shall include the

following:

(1) A copy of all information relevant to the permit application.

(2) An analysis of the proposed source's anticipated impacts on visibility in the federal Class I area.

The department shall also provide the federal land manager and such the federal officials with a copy of the

preliminary determination required under this section, and shall make available to them any materials used in

making that determination, promptly after the department makes the determination. The department shall also

notify all affected federal land managers within thirty (30) days of receipt of any advance notification of any such

permit application that may affect a Class I area.

(b) The federal land manager and the federal official charged with direct responsibility for management of the

Class I area have an affirmative responsibility to protect the air quality related values, including visibility, of the

Class I area and to consider, in consultation with U.S. EPA, whether a proposed source or modification will have

an adverse impact on such the values.

(c) The department shall consider any analysis performed by the federal land manager, provided to the

department within thirty (30) days of the notification required by subsection (a), that shows that a proposed new

major stationary source or major modification may have an adverse impact on visibility in any federal Class I area.

Where the department finds that the analysis does not demonstrate to the satisfaction of the department that an

adverse impact on visibility will result in the federal Class I area, the department must, in the notice of public

hearing on the permit application, either explain the decision or give notice as to where the explanation may be

obtained.

(d) The federal land manager of any Class I area may demonstrate to the department that the emissions from

a proposed major stationary source or major modification would have an adverse impact on the air quality-related

values, including visibility, of a Class I area, notwithstanding that the change in air quality resulting from emissions

from the major stationary source or major modification would not cause or contribute to concentrations that would

exceed the maximum allowable increases for a Class I area. If the department concurs with the demonstration,

then the department shall not issue the permit.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 28
(e) The owner or operator of a proposed major stationary source or major modification may demonstrate to the

federal land manager that the emissions from the source or modification would have no adverse impact on the air

quality related values of any Class I areas, including visibility, notwithstanding that the change in air quality

resulting from emissions from the major stationary source or major modification would cause or contribute to

concentrations that would exceed the maximum allowable increases for a Class I area. If the federal land

manager concurs with the demonstration and the federal land manager so certifies, the department may issue the

permit provided that the applicable requirements of this section are otherwise met, to issue the permit with

emission limitations as may be necessary to assure that emissions of sulfur dioxide, particulate matter, PM, and

nitrogen oxides shall not exceed the following maximum allowable increases over minor source baseline

concentration for such pollutants:

Maximum Allowable Increase

Pollutant Micrograms Per Cubic Meter (μg/m3)

Particulate matter: PM:

PM10, annual arithmetic mean 17

PM10, 24-hour maximum 30

PM2.5, annual arithmetic mean 4

PM2.5, 24-hour maximum 9

Sulfur dioxide:

Annual arithmetic mean 20

24-hour maximum 91

3-hour maximum 325

Nitrogen dioxide:

Annual arithmetic mean 25

(f) The owner or operator of a proposed major stationary source or major modification that cannot be approved

under subsection (e) may demonstrate to the department that the source cannot be constructed by reason of any

maximum allowable increase for sulfur dioxide for a period of twenty-four (24) hours or less applicable to any

Class I area and, in the case of federal mandatory Class I areas, that an exemption under this subsection would

not adversely affect the air quality related values of the area, including visibility. The department, after

consideration of the federal land manager's recommendation, if any, and subject to the federal land manager's

concurrence, may, after notice and public hearing, grant an exemption from such the maximum allowable

increase. If such the exemption is granted, the department shall issue a permit to such the major stationary

source or major modification pursuant to the requirements under subsection (h) provided that the applicable

requirements of this section are otherwise met.

(g) In any case where the department recommends an exemption in which the federal land manager does not

concur, the recommendations of the department and the federal land manager shall be transmitted to the

President. The President may approve the department's recommendation if the President finds that the exemption

is in the national interest. If the exemption is approved, the department shall issue a permit pursuant to the

requirements under subsection (h) provided that the applicable requirements of this section are otherwise met.

(h) In the case of a permit issued pursuant to under subsection (f) or (g), the major stationary source or major

modification shall comply with such the emission limitations as may be necessary to assure that emissions of

sulfur dioxide from the major stationary source or major modification would not, during any day on which the

otherwise applicable maximum allowable increases are exceeded, cause or contribute to concentrations that

would exceed the following maximum allowable increases over the baseline concentration and to assure that

such the emissions would not cause or contribute to concentrations that exceed the otherwise applicable

maximum allowable increases for periods of exposure of twenty-four (24) hours or less for more than eighteen

(18) days, not necessarily consecutive, during any annual period:

Maximum Allowable Increase

(Micrograms Per Cubic Meter) of Sulfur Dioxide

Terrain Areas

Period of Exposure Low High

24-hour maximum 36 62

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 29
3-hour maximum 130 221

(i) The department shall transmit to the U.S. EPA a copy of each permit application relating to a major

stationary source or major modification and provide notice to the U.S. EPA of the following actions related to

consideration of such the permit under this section:

(1) Receipt of an advanced notification of a permit application affected by this section.

(2) Any written notice provided to the federal land manager under this section.

(3) Public notice of a preliminary determination.

(4) Notices of public hearings.

(5) Decisions to grant or deny exemptions in accordance with this section.

(6) Any decision in accordance with subsection (c) that an analysis submitted by the federal land manager

does not demonstrate to the satisfaction of the department that an adverse impact on visibility will result in the

Class I area.

(7) Denial of a permit.

(8) Issuance of a permit.

(Air Pollution Control Board; 326 IAC 2-2-14; filed Mar 23, 2001, 3:03 p.m.: 24 IR 2427; filed Mar 23, 2001, 3:03

p.m.: 24 IR 2427; filed Dec 20, 2001, 4:30 p.m.: 25 IR 1569)

SECTION 8. 326 IAC 2-3-1 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-3-1 Definitions

Authority: IC 13-14-8; IC 13-17-3

Affected: IC 13-15; IC 13-17

Sec. 1. (a) The definitions in this section apply throughout this rule.

(b) "Actual emissions" means the actual rate of emissions of a regulated NSR pollutant from an emissions unit

as determined in accordance with the following:

(1) In general, actual emissions as of a particular date shall equal the average rate, in tons per year, at which

the unit actually emitted the pollutant during a consecutive twenty-four (24) month period that:

(A) precedes the particular date; and

(B) is representative of normal source operation.

The commissioner shall allow the use of a different time period upon a determination that it is more

representative of normal source operation. Actual emissions shall be calculated using the unit's actual

operating hours, production rates, and types of materials processed, stored, or combusted during the selected

time period.

(2) The commissioner may presume that source-specific allowable emissions for the unit are equivalent to the

actual emissions of the unit.

(3) For any emissions unit that has not begun normal operations on the particular date, actual emissions shall

equal the potential to emit of the unit on that date.

(4) The term shall not apply for calculating a significant emissions increase under section 2(c) of this rule or for

establishing a PAL under 326 IAC 2-3.4. Instead, subsections (d) and (kk) shall apply for those purposes.

(c) "Allowable emissions" means the emissions rate of a source calculated using the maximum rated capacity

of the source unless a source is subject to enforceable permit limits that restrict the operating rate or hours of

operation, or both, and the most stringent of the following:

(1) The applicable standards as set forth in 40 CFR Part 60, New Source Performance Standards (NSPS)*,

and 40 CFR Part 61, National Emission Standards for Hazardous Air Pollutants (NESHAPS)*.

(2) The emissions limitation imposed by any rule in this title, including those with a future compliance date.

(3) The emissions rate specified as an enforceable permit condition, including those with a future compliance

date.

(d) "Baseline actual emissions" means the rate of emissions, in tons per year, of a regulated NSR pollutant, as

determined as follows:

(1) For any existing electric utility steam generating unit, the term means the average rate, in tons per year, at

which the unit actually emitted the pollutant during any consecutive twenty-four (24) month period selected by

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 30
the owner or operator within the five (5) year period immediately preceding when the owner or operator begins

actual construction of the project. The commissioner may allow the use of a different time period upon a

determination that it is more representative of normal source operation. The baseline actual emissions shall be

determined in accordance with the following:

(A) The average rate shall include fugitive emissions to the extent quantifiable and emissions associated

with start-ups, shutdowns, and malfunctions to the extent they are affected by the project.

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that occurred

while the source was operating above any emission limitation that was legally enforceable during the

consecutive twenty-four (24) month period.

(C) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (1)

consecutive twenty-four (24) month period may be used to determine the baseline actual emissions for the

emissions units being changed. A different consecutive twenty-four (24) month period can be used for each

regulated NSR pollutant.

(D) The average rate shall not be based on any consecutive twenty-four (24) month period for which there is

inadequate information available for determining annual emissions, in tons per year, and for adjusting this

amount if required by clause (B).

(2) For an existing emissions unit, other than an electric utility steam generating unit, the term means the

average rate, in tons per year, at which the emissions unit actually emitted the pollutant during any

consecutive twenty-four (24) month period selected by the owner or operator within the ten (10) year period

immediately preceding either the date the owner or operator begins actual construction of the project or the

date a complete permit application is received by the department for a permit required under 326 IAC 2-3,

except that the ten (10) year period shall not include any period earlier than November 15, 1990. The baseline

actual emissions shall be determined in accordance with the following:

(A) The average rate shall include fugitive emissions to the extent quantifiable and emissions associated

with start-ups, shutdowns, and malfunctions and to the extent they are affected by the project.

(B) The average rate shall be adjusted downward to exclude any noncompliant emissions that occurred

while the source was operating above an emission limitation that was legally enforceable during the

consecutive twenty-four (24) month period.

(C) The average rate shall be adjusted downward to exclude any emissions that would have exceeded an

emission limitation with which the major stationary source must currently comply had the major stationary

source been required to comply with the limitations during the consecutive twenty-four (24) month period.

However, if an emission limitation is part of a maximum achievable control technology standard that the U.S.

EPA proposed or promulgated under 40 CFR Part 63*, the baseline actual emissions need only be adjusted

if the state has applied the emissions reduction to an attainment demonstration or maintenance plan

consistent with the requirements of section 3(b)(12) of this rule.

(D) For a regulated NSR pollutant, when a project involves multiple emissions units, only one (1)

consecutive twenty-four (24) month period must be used to determine the baseline actual emissions for the

emissions units being changed. A different consecutive twenty-four (24) month period can be used for each

regulated NSR pollutant.

(E) The average rate shall not be based on any consecutive twenty-four (24) month period for which there is

inadequate information available for determining annual emissions, in tons per year, and for adjusting this

amount if required by clauses (B) and (C).

(3) For a new emissions unit, the baseline actual emissions for purposes of determining the emissions

increase that will result from the initial construction and operation of the unit shall equal zero (0) and

thereafter, for all other purposes, shall equal the unit's potential to emit.

(4) For a PAL for a major stationary source, the baseline actual emissions shall be calculated for existing

electric utility steam generating units in accordance with the procedures contained in subdivision (1), for other

existing emissions units in accordance with the procedures contained in subdivision (2), and for a new

emissions unit in accordance with the procedures contained in subdivision (3).

(e) "Begin actual construction" means, in general, initiation of physical on-site construction activities on an

emissions unit that are of a permanent nature. These activities include, but are not limited to, the following:

(1) Installation of building supports and foundations.

(2) Laying underground pipework.

(3) Construction of permanent storage structures.

With respect to a change in method of operations, the term refers to those on-site activities, other than

preparatory activities, that mark the initiation of the change.

(f) "Best available control technology" or "BACT" means an emissions limitation, including a visible emission

standard, based on the maximum degree of reduction for each regulated NSR pollutant that would be emitted

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 31
from any proposed major stationary source or major modification that the commissioner, on a case-by-case basis,

taking into account energy, environmental, and economic impacts and other costs, determines is achievable for

the source or modification through application of production processes or available methods, systems, and

techniques, including fuel cleaning or treatment or innovative fuel combustion techniques for control of the

pollutant. In no event shall application of BACT result in emissions of any pollutant that would exceed the

emissions allowed by any applicable standard under 40 CFR Part 60* or 40 CFR Part 61*. If the commissioner

determines that technological or economic limitations on the application of measurement methodology to a

particular emissions unit would make the imposition of an emissions standard infeasible, a design, equipment,

work practice, operational standard, or combination thereof may be prescribed instead to satisfy the requirement

for the application of BACT. The standard shall, to the degree possible, set forth the emissions reduction

achievable by implementation of the design, equipment, work practice, or operation and shall provide for

compliance by means that achieve equivalent results.

(g) "Building, structure, facility, or installation" means all of the pollutant-emitting activities that belong to the

same industrial grouping, are located on one (1) or more contiguous or adjacent properties, and are under the

control of the same person or persons under common control. Pollutant-emitting activities shall be considered as

part of the same industrial grouping if they belong to the same major group, that is, those that have the same first

two (2) digit code, as described in the Standard Industrial Classification Manual, 1972, as amended by the 1977

supplement, U.S. Government Printing Office*.

(h) "Clean coal technology" means any technology, including technologies applied at the precombustion,

combustion, or postcombustion stage, at a new or existing facility that will achieve significant reductions in air

emissions of sulfur dioxide or oxides of nitrogen oxides associated with the utilization of coal in the generation of

electricity or process steam that was not in widespread use as of November 15, 1990.

(i) "Clean coal technology demonstration project" means a project using funds appropriated under the heading

"Department of Energy-Clean Coal Technology", up to a total amount of two billion five hundred million dollars

($2,500,000,000) for commercial demonstration of clean coal technology, or similar projects funded through

appropriations for the U.S. EPA. The federal contribution for a qualifying project shall be at least twenty percent

(20%) of the total cost of the demonstration project.

(j) "Commence", as applied to construction of a major stationary source or major modification, means that the

owner or operator has all necessary preconstruction approvals or permits and either has:

(1) begun, or caused to begin, a continuous program of actual on-site construction of the source to be

completed within a reasonable time; or

(2) entered into binding agreements or contractual obligations, which cannot be canceled or modified without

substantial loss to the owner or operator, to undertake a program of actual construction of the source to be

completed within a reasonable time.

(k) "Complete", in reference to an application for a permit, means that the application contains all of the

information necessary for processing the application. Designating an application complete for purposes of permit

processing does not preclude the commissioner from requesting or accepting additional information.

(l) "Construction" means any physical change or change in the method of operation, including:

(1) fabrication;

(2) erection;

(3) installation;

(4) demolition; or

(5) modification;

of an emissions unit, that would result in a change in actual emissions.

(m) "Continuous emissions monitoring system" or "CEMS" means all of the equipment that may be required to

meet the data acquisition and availability requirements of this rule to complete the following:

(1) Sample emissions on a continuous basis.

(2) If applicable, condition emissions.

(3) Analyze emissions on a continuous basis.

(4) Provide a record of emissions on a continuous basis.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 32
(n) "Continuous emissions rate monitoring system" or "CERMS" means the total equipment required for the

determination and recording of the pollutant mass emissions rate in terms of mass per unit of time.

(o) "Continuous parameter monitoring system" or "CPMS" means all of the equipment necessary to meet the

data acquisition and availability requirements of this rule to:

(1) monitor:

(A) process and control device operational parameters; and

(B) other information, such as gas flow rate, O2or CO2concentrations; and

(2) record average operational parameter values on a continuous basis.

(p) "De minimis", in reference to an emissions increase of VOC or oxides of nitrogen oxides (unless a NOX

waiver is in effect) from a modification in a serious or severe ozone nonattainment area, means an increase that

does not exceed twenty-five (25) tons per year when the net emissions increases from the proposed modification

are aggregated on a pollutant specific basis with all other net emissions increases from the source over a five (5)

consecutive calendar year period prior to, and including, the year of the modification.

(q) "Electric utility steam generating unit" means any steam electric generating unit that is constructed for the

purpose of supplying more than one-third (1/3) of its potential electric output capacity and more than twenty-five

(25) megawatts electrical output to any utility power distribution system for sale. Any steam supplied to a steam

distribution system for the purpose of providing steam to a steam-electric generator that would produce electrical

energy for sale is also considered in determining the electrical energy output capacity of the affected facility.

(r) "Emissions unit" means any part of a stationary source that emits or would have the potential to emit any

regulated NSR pollutant. For purposes of this rule, there are the following two (2) types of emissions units:

(1) A new emissions unit is any emissions unit that is, or will be, newly constructed and that has existed for

less than two (2) years from the date the emissions unit first operated.

(2) An existing emissions unit is any emissions unit that does not meet the requirements in subdivision (1). A

replacement unit is an existing emissions unit.

(s) "Federal land manager" means, with respect to any lands in the United States, the secretary of the

department with authority over the lands.

(t) "Federally enforceable" means all limitations and conditions that are enforceable by the U.S. EPA,

including:

(1) those requirements developed pursuant to 40 CFR Part 60* and 40 CFR Part 61*;

(2) requirements within the SIP; and

(3) any permit requirements established pursuant to 40 CFR Part 52.21* or under regulations approved

pursuant to 40 CFR Part 51, Subpart I*, including operating permits issued under an EPA-approved program

that is incorporated into the SIP and expressly requires adherence to any permit issued under the program.

(u) "Fugitive emissions" means those emissions that could not reasonably pass through a stack, chimney,

vent, or other functionally equivalent opening.

(v) "Incidental emissions reductions" means the reductions in emissions of a pollutant achieved as an indirect

result of complying with another rule for another pollutant.

(w) "Internal offset" means to use net emissions decreases from within the source to compensate for an

increase in emissions.

(x) "Lowest achievable emission rate" or "LAER" means, for any source, the more stringent rate of emissions

based on the most stringent emissions limitation of the following:

(1) Contained in the implementation plan of any state for the class or category of stationary source unless the

owner or operator of the proposed stationary source demonstrates that the limitations are not achievable.

(2) Achieved in practice by the class or category of stationary source. This limitation, when applied to a

modification, means the LAER for the new or modified emissions unit within the stationary source. In no event

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 33
shall the application of the LAER allow a proposed new or modified stationary source to emit any pollutant in

excess of the amount allowable under applicable new source standards of performance.

(y) "Major modification" means any physical change in, or change in the method of operation of, a major

stationary source that would result in a significant emissions increase and a significant net emissions increase of

a regulated NSR pollutant from the major stationary source or, in an area that is classified as either a serious or

severe ozone nonattainment area, an increase in VOC or oxides of nitrogen oxides (unless a NOXwaiver is in

effect) emissions that is not de minimis. The following provisions apply:

(1) Any significant emissions increase from any emissions units or net emissions increase at a major

stationary source that is significant for VOC or oxides of nitrogen oxides (unless a NOXwaiver is in effect)

shall be considered significant for ozone.

(2) A physical change or change in the method of operation shall not include the following:

(A) Routine maintenance, repair, and replacement.

(B) Use of an alternative fuel or raw material by reason of an order under Sections 2(a) and 2(b) of the

Energy Supply and Environmental Coordination Act of 1974 or by reason of a natural gas curtailment plan

under the Federal Power Act.

(C) Use of an alternative fuel by reason of an order or rule under Section 125 of the CAA.

(D) Use of an alternative fuel at a steam generating unit to the extent that the fuel is generated from

municipal solid waste.

(E) Use of an alternative fuel or raw material by a source that the source:

(i) was capable of accommodating before December 21, 1976, unless the change would be prohibited

under any enforceable permit condition that was established after December 21, 1976, under 40 CFR Part

52.21* or regulations approved under 40 CFR Part 51.160 through 40 CFR Part 51.165* or 40 CFR Part

51.166*; or

(ii) is approved to use under any permit issued under this rule.

(F) An increase in the hours of operation or in the production rate unless the change would be prohibited

under any enforceable permit condition that was established after December 21, 1976, under 40 CFR Part

52.21* or regulations approved under 40 CFR Part 51.160 through 40 CFR Part 51.165* or 40 CFR Part

51.166*.

(G) Any change in ownership at a stationary source.

(H) The installation, operation, cessation, or removal of a temporary clean coal technology demonstration

project provided that the project complies with:

(i) the SIP; and

(ii) other requirements necessary to attain and maintain the national ambient air quality standards during

the project and after it is terminated.

(3) The term shall not apply to a particular regulated NSR pollutant when the major stationary source is

complying with the requirements under 326 IAC 2-2.4 for a PAL for that pollutant. Instead, the definition at 326

IAC 2-2.4-2(g) shall apply.

(z) "Major stationary source" means the following:

(1) Any stationary source of air pollutants, except for those subject to subdivision (2), that emits or has the

potential to emit one hundred (100) tons per year or more of any regulated NSR pollutant.

(2) For ozone nonattainment areas, the term includes any stationary source or group of sources located within

a contiguous area and under common control that emits or has the potential to emit VOC or oxides of nitrogen

oxides (unless a NOXwaiver is in effect) that would equal or exceed any of the following rates:

Ozone Classification Rate

Marginal 100 tons per year

Moderate 100 tons per year

Serious 50 tons per year

Severe 25 tons per year

(3) Any of the following stationary sources with potential emissions of five (5) tons per year or more of lead or

lead compounds measured as elemental lead:

(A) Primary lead smelters.

(B) Secondary lead smelters.

(C) Primary copper smelters.

(D) Lead gasoline additive plants.

(E) Lead-acid storage battery manufacturing plants that produce two thousand (2,000) or more batteries per

day.

(4) Any other stationary source with potential emissions of twenty-five (25) or more tons per year of lead or

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 34
lead compounds measured as elemental lead.

(5) Any physical change occurring at a stationary source not qualifying under subdivision (1) if the change

would by itself qualify as a major stationary source under subdivision (1).

(aa) "Necessary preconstruction approvals or permits" means those permits or approvals required under 326

IAC 2-2, 326 IAC 2-5.1, and 326 IAC 2-7.

(bb) "Net emissions decrease" means the amount by which the sum of the creditable emissions increases and

decreases from any source modification project is less than zero (0).

(cc) "Net emissions increase", with respect to any regulated NSR pollutant emitted by a major stationary

source, means the following:

(1) The amount by which the sum of the following exceeds zero (0):

(A) The increase in emissions from a particular physical change or change in the method of operation at a

stationary source as calculated under section 2(c) and 2(d) of this rule.

(B) Any other increases and decreases in actual emissions at the major stationary source that are

contemporaneous with the particular change and are otherwise creditable. Baseline actual emissions for

calculating increases and decreases under this clause shall be determined as provided in subsection (d),

except that subsection (d)(1)(C) and (d)(2)(D) shall not apply.

(2) For the purpose of determining de minimis in an area classified as serious or severe for ozone, the amount

by which the sum of the emission increases and decreases from any source modification project exceeds zero

(0).

(3) The following emissions increases and decreases are to be considered when determining net emissions

increase:

(A) Any increase in actual emissions from a particular physical change or change in the method of

operation.

(B) Any of the following increases and decreases in actual emissions that are contemporaneous with the

particular change and are otherwise creditable:

(i) An increase or decrease in actual emissions is contemporaneous with the increase from the particular

change only if it occurs after January 16, 1979, and between the following:

(AA) The date five (5) years before construction of the particular change commences.

(BB) The date that the increase from the particular change occurs.

(ii) An increase or decrease in actual emissions is creditable only if the commissioner has not relied on the

increase or decrease in issuing a permit for the source under this rule, which permit is in effect when the

increase in actual emissions from the particular change occurs.

(iii) An increase in actual emissions is creditable only to the extent that a new level of actual emissions

exceeds the old level.

(iv) A decrease in actual emissions is creditable only to the extent that:

(AA) the old level of actual emissions or the old level of allowable emissions, whichever is lower, exceeds

the new level of actual emissions;

(BB) it is enforceable as a practical matter at and after the time that actual construction on the particular

change begins;

(CC) the commissioner has not relied on it in issuing any permit under regulations approved under 40

CFR Part 51, Subpart I* or the state has not relied on it in demonstrating attainment or reasonable further

progress; and

(DD) it has approximately the same qualitative significance for public health and welfare as that attributed

to the increase from the particular change.

(v) An increase that results from the physical change at a source occurs when the emissions unit on which

construction occurred becomes operational and begins to emit a particular pollutant. Any replacement unit

that requires shakedown becomes operational only after a reasonable shakedown period not to exceed

one hundred eighty (180) days.

(vi) Subsection (b)(1) shall not apply for determining creditable increases and decreases or after a

particular change or change in method of operation.

(dd) "New", in reference to a:

(1) major stationary source;

(2) modified major stationary source; or

(3) major modification;

means one that commences construction after the effective date of this rule.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 35
(ee) "Nonattainment major new source review program" means a major source preconstruction permit

program that has been approved by the U.S. EPA and incorporated into the SIP to implement the federal

requirements of 40 CFR Part 51.165*, or a program that implements 40 CFR Part 51, Appendix S, Sections I

through VI*. Any permit issued under the program is a major NSR permit.

(ff) "Pollution prevention" means the following:

(1) Any activity that eliminates or reduces the release of air pollutants, including fugitive emissions, and other

pollutants to the environment prior to recycling, treatment, or disposal through:

(A) process changes;

(B) product reformulation or redesign; or

(C) substitution of less polluting raw materials.

(2) The term does not include:

(A) recycling, except certain in-process recycling practices;

(B) energy recovery;

(C) treatment; or

(D) disposal.

(gg) "Potential to emit" means the maximum capacity of a stationary source to emit a pollutant under its

physical and operational design. Any physical or operational limitation on the capacity of the source to emit a

pollutant, including air pollution control equipment and restrictions on hours of operation or on the type or amount

of material combusted, stored, or processed, shall be treated as part of its design only if the limitation or the effect

it would have on emissions is enforceable as a practical matter. Secondary emissions do not count in determining

the potential to emit of a stationary source.

(hh) "Predictive emissions monitoring system" or "PEMS" means all of the equipment necessary to:

(1) monitor:

(A) process and control device operational parameters; and

(B) other information, such as gas flow rate, O2or CO2concentrations; and

(2) calculate and record the mass emissions rate on a continuous basis.

(ii) "Prevention of significant deterioration permit" or "PSD permit" means any permit that is issued under 326

IAC 2-2 or under the program in 40 CFR Part 52.21*.

(jj) "Project" means a physical change in, or change in the method of operation of, an existing major stationary

source.

(kk) "Projected actual emissions" means the following:

(1) The maximum annual rate, in tons per year, at which an existing emissions unit is projected to emit a

regulated NSR pollutant in any consecutive twelve (12) month period of the five (5) years following the date

the unit resumes regular operation after the project, or in any consecutive twelve (12) month period of the ten

(10) years following the date the unit resumes regular operation, if the project involves increasing the

emissions unit's design capacity or its potential to emit of that regulated NSR pollutant and full utilization of the

unit would result in a significant emissions increase or a significant net emissions increase at the major

stationary source.

(2) In determining the projected actual emissions before beginning actual construction, the owner or operator

of the major stationary source:

(A) shall:

(i) consider all relevant information, including, but not limited to:

(AA) historical operational data;

(BB) the company's own representations;

(CC) the company's expected business activity and the company's highest projections of business

activity;

(DD) the company's filings with the state or federal regulatory authorities; and

(EE) compliance plans under the approved plan;

(ii) include fugitive emissions to the extent quantifiable and emissions associated with start-ups,

shutdowns, and malfunctions to the extent they are affected by the project; and

(iii) exclude, in calculating any increase in emissions that results from the particular project, that portion of

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 36
the unit's emissions following the project that an existing unit could have accommodated during the

consecutive twenty-four (24) month period used to establish the baseline actual emissions under

subsection (d) and that is also unrelated to the particular project, including any increased utilization due to

product demand growth; or

(B) in lieu of using the method set out in clause (A), may elect to use the emissions unit's potential to emit, in

tons per year, as defined under subsection (gg).

(ll) "Reasonable further progress" or "RFP" means the annual incremental reductions in emissions of a

pollutant that are sufficient in the judgment of the board to provide reasonable progress towards attainment of the

applicable ambient air quality standards established by 326 IAC 1-3 by the dates set forth in the CAA.

(mm) "Regulated NSR pollutant" means the following:

(1) Nitrogen oxides or any VOC.

(2) Any pollutant for which a national ambient air quality standard has been promulgated.

(3) Any pollutant that is a constituent or precursor of a general pollutant listed under subdivision (1) or (2)

provided that a constituent or precursor pollutant may only be regulated under NSR as part of regulation of the

general pollutant. For purposes of NSR:

(A) VOC and nitrogen oxides are precursors to ozone in all ozone nonattainment areas;

(B) sulfur dioxide and nitrogen oxides are precursors to PM2.5 in all PM2.5 nonattainment areas; and

(C) VOC and ammonia are not precursors to PM2.5 in any PM2.5 nonattainment area.

(nn) "Replacement unit" means an emissions unit for which all the criteria listed in subdivisions (1) through (4)

are met. No creditable emission reductions shall be generated from shutting down the existing emission unit that

is replaced. The following applies:

(1) The emissions unit is a reconstructed unit within the meaning of 40 CFR 60.15(b)(1)*, or the emissions unit

completely takes the place of an existing emissions unit.

(2) The emissions unit is identical to or functionally equivalent to the replaced emissions unit.

(3) The replacement does not alter the basic design parameters, as discussed in 40 CFR 51.165(h)(2), of the

process unit.

(4) The replaced emissions unit is permanently removed from the major stationary source, otherwise

permanently disabled, or permanently barred from operation by a permit that is enforceable as a practical

matter. If the replaced emissions unit is brought back into operation, it shall constitute a new emissions unit.

(oo) "Secondary emission" means emissions that would occur as a result of the construction or operation of a

major stationary source or major modification, but do not come from the major stationary source or major

modification itself. For the purpose of this rule, secondary emissions must be specific, well-defined, quantifiable,

and impact the same general area as the stationary source or modification that causes the secondary emissions.

Secondary emissions may include, but are not limited to, emissions from:

(1) ships or trains coming to or from the new or modified stationary source; and

(2) an off-site support facility that would not otherwise be constructed or increase its emissions as a result of

the construction or operation of the major stationary source or major modification.

(pp) "Significant", in reference to a net emissions increase or the potential of a source to emit any of the

following pollutants, means a rate of emissions that would equal or exceed any of the following rates:

Carbon monoxide 100 tons per year (tpy)

Nitrogen oxides 40 tpy

Sulfur dioxide 40 tpy

Particulate matter PM 25 tpy

PM10 15 tpy

PM2.5 10 tpy direct PM2.5; 40 tpy of sulfur dioxide; 40 tpy nitrogen oxides

Ozone (marginal and moderate

areas)

40 tpy of VOC or oxides of nitrogen oxides (unless a NOXwaiver is in

effect)

Lead 0.6 tpy

(qq) "Significant emissions increase" means, for a regulated NSR pollutant, an increase in emissions that is

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 37
significant as defined in subsection (pp) for that pollutant.

(rr) "Source modification project" means all those physical changes or changes in the methods of operation at

a source that are necessary to achieve a specific operational change.

(ss) "Stationary source" means any building, structure, facility, or installation, including a stationary internal

combustion engine, that emits or may emit a regulated NSR pollutant.

(tt) "Temporary clean coal technology demonstration project" means a clean coal technology demonstration

project that is operated for a period of five (5) years or less and that complies with the SIP and other requirements

necessary to attain and maintain the national ambient air quality standards during the project and after it is

terminated.

*These documents are incorporated by reference. Copies may be obtained from the Government Printing

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North,

Tenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-3-1; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2401; filed Jan 6, 1989, 3:30

p.m.: 12 IR 1106; filed Nov 12, 1993, 4:00 p.m.: 17 IR 725; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1002; errata filed

May 12, 1999, 11:23 a.m.: 22 IR 3105; filed Aug 17, 2001, 3:45 p.m.: 25 IR 6; errata filed Nov 29, 2001, 12:20

p.m.: 25 IR 1183; errata filed Dec 12, 2002, 3:30 p.m.: 26 IR 1565; filed Aug 10, 2004, 3:35 p.m.: 27 IR 3920; filed

Oct 1, 2010, 3:48 p.m.: 20101027-IR-326070372FRA)

SECTION 9. 326 IAC 2-3-2 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-3-2 Applicability

Authority: IC 13-14-8; IC 13-17-3

Affected: IC 13-15; IC 13-17

Sec. 2. (a) This rule applies to new major stationary sources or major modifications constructed in an area

designated, as of the date of submittal of a complete application, as nonattainment in 326 IAC 1-4, for a pollutant

for which the stationary source or modification is major.

(b) This rule applies to modifications of major stationary sources of VOC or oxides of nitrogen oxides (unless

a NOXwaiver is in effect) in serious and severe ozone nonattainment areas as follows:

(1) A modification of a major stationary source with a de minimis increase in emissions shall be exempt from

section 3 of this rule.

(2) A modification having an increase in emissions that is not de minimis to an existing major stationary source

that does not have the potential to emit one hundred (100) tons or more of VOC or oxides of nitrogen oxides

(unless a NOXwaiver is in effect) per year will not be subject to section 3(a) of this rule if the owner or operator

of the source elects to internal offset the increase by a ratio of one and three-tenths (1.3) to one (1). If the

owner or operator does not make the election or is unable to, section 3(a) of this rule applies, except that

BACT shall be substituted for LAER required by section 3(a)(2) of this rule.

(3) A modification having an increase in emissions that is not de minimis to an existing major stationary source

emitting or having the potential to emit one hundred (100) tons of VOC or oxides of nitrogen oxides (unless a

NOXwaiver is in effect) or more per year will be subject to the requirements of section 3(a) of this rule, except

that the owner or operator may elect to internal offset the increase at a ratio of one and three-tenths (1.3) to

one (1) as a substitute for LAER required by section 3(a)(2) of this rule.

(c) The requirements of this rule will be applied in accordance with the following:

(1) Except as otherwise provided in subsection (k) and consistent with the definition of major modification in

section 1(y) of this rule, a project is a major modification for a regulated NSR pollutant if it causes a significant

emissions increase and a significant net emissions increase except for VOC emissions in a severe or serious

nonattainment area for ozone. The project is not a major modification if it does not cause a significant

emissions increase. If the project causes a significant emissions increase, then the project is a major

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 38
modification only if it also results in a significant net emissions increase.

(2) Prior to beginning actual construction, the procedure for calculating whether a significant emissions

increase will occur depends upon the type of emissions units being modified, in accordance with this

subsection, except for VOC emissions in a severe or serious nonattainment area for ozone. The procedure for

calculating, before beginning actual construction, whether a significant net emissions increase will occur at the

major stationary source is contained in section 1(cc) of this rule. Regardless of any preconstruction

projections, a major modification results if the project causes a significant emissions increase and a significant

net emissions increase.

(3) For an actual-to-projected-actual applicability test for projects that only involve existing emissions units, a

significant emissions increase of a regulated NSR pollutant is projected to occur if the sum of the difference

between the projected actual emissions and the baseline actual emissions for each existing emissions unit

equals or exceeds the significant amount for that pollutant.

(4) For an actual-to-potential applicability test for projects that only involve construction of new emissions

units, a significant emissions increase of a regulated NSR pollutant is projected to occur if the sum of the

difference between the potential to emit from each new emissions unit following completion of the project and

the baseline actual emissions of these units before the project equals or exceeds the significant amount for

that pollutant.

(5) For projects that involve a combination of emission units using the tests in subdivisions (3) and (4), a

significant emissions increase of a regulated NSR pollutant is projected to occur if the sum of the emissions

increases for each emissions unit, using the method specified in subdivisions (3) and (4), as applicable, with

respect to each emissions unit, for each type of emissions unit equals or exceeds the significant amount for

that pollutant.

(d) At the time that a particular source or modification becomes a major stationary source or major

modification solely by virtue of a relaxation in any enforceable limitation that was established after August 7, 1980,

on the capacity of the source or modification otherwise to emit a pollutant, such as a restriction on hours of

operation, then this rule applies to the source or modification as though construction had not yet commenced on

the source or modification.

(e) In the case of an area that has been redesignated nonattainment, any source that would not have been

required to submit a permit application under 326 IAC 2-2 concerning the prevention of significant deterioration

will not be subject to this rule if construction commences within eighteen (18) months of the area's redesignation.

(f) Major stationary sources or major modifications that would locate in any area designated as attainment or

unclassifiable in the state and would exceed the following significant impact levels at any locality, for any pollutant

that is designated as nonattainment, must meet the requirements specified in section 3(a)(1) through 3(a)(3) of

this rule. All values are expressed in micrograms per cubic meter (μg/m3):

Pollutant Annual 24-hour 8-hour 3-hour 1-hour

Sulfur dioxide 1 5 X 25 X

Total suspended particulates 1 5 X X X

PM10 1 5 X X X

PM2.5 0.3 1.2 X X X

Nitrous oxides 1 X X X X

Carbon monoxide X X 500 X 2,000

(g) This rule does not apply to a source or modification, other than a source of VOC or oxides of nitrogen

oxides (unless a NOXwaiver is in effect) in a serious or severe ozone nonattainment area or a source of PM10 in

a serious PM10 area, that would be a major stationary source or major modification only if fugitive emissions, to

the extent quantifiable, are considered in calculating the potential to emit of the stationary source or modification

and the source does not belong to any of the following categories:

(1) Coal cleaning plants (with thermal driers).

(2) Kraft pulp mills.

(3) Portland cement plants.

(4) Primary zinc smelters.

(5) Iron and steel mill plants.

(6) Primary aluminum ore reduction plants.

(7) Primary copper smelters.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 39
(8) Municipal incinerators capable of charging more than two hundred fifty (250) tons of refuse per day.

(9) Hydrofluoric, sulfuric, and nitric acid plants.

(10) Petroleum refineries.

(11) Lime plants.

(12) Phosphate rock processing plants.

(13) Coke oven batteries.

(14) Sulfur recovery plants.

(15) Carbon black plants (furnace process).

(16) Primary lead smelters.

(17) Fuel conversion plants.

(18) Sintering plants.

(19) Secondary metal production plants.

(20) Chemical process plants, excluding ethanol production facilities that produce ethanol by natural

fermentation included in North American Industry Classification System (NAICS) codes 325193 for Ethyl

Alcohol Manufacturing or 312140 for Distilleries, as revised in 2007*.

(21) Fossil-fuel boilers (or combinations thereof) totaling more than two hundred fifty million (250,000,000)

British thermal units per hour heat input.

(22) Petroleum storage and transfer unit with a storage capacity exceeding three hundred thousand (300,000)

barrels.

(23) Taconite ore processing plants.

(24) Glass fiber processing plants.

(25) Charcoal production plants.

(26) Fossil fuel-fired steam electric plants of more than two hundred fifty million (250,000,000) British thermal

units per hour heat input.

(27) Any other stationary source category that, as of August 7, 1980, is being regulated under Section 111 or

112 of the CAA.

(h) For purposes of this rule, secondary emissions from a source need not be considered in determining

whether the source would qualify as a major source. If a source is subject to this rule on the basis of the direct

emissions from the source, the applicable conditions must also be met for secondary emissions. The secondary

emissions may be exempt from the requirements specified in section 3(a)(2) through 3(a)(3) of this rule.

(i) HAPs listed in and regulated by 326 IAC 14-1 are not exempt from this rule.

(j) The installation, operation, cessation, or removal of temporary clean coal technology demonstration projects

funded under the Department of Energy-Clean Coal Technology Appropriations may be exempt from the

requirements of section 3 of this rule. To qualify for this exemption, the project must:

(1) be at an existing facility;

(2) operate for not more than five (5) years; and

(3) comply with all other applicable rules for the area.

(k) For any major stationary source operating under a PAL for a regulated NSR pollutant, the major stationary

source shall comply with requirements under 326 IAC 2-3.4.

(l) The following specific provisions apply with respect to any regulated NSR pollutant emitted from projects at

existing emissions units at a major stationary source, other than projects at a source with a PAL, in circumstances

where there is a reasonable possibility, within the meaning of this subsection, that a project that is not a part of a

major modification may result in a significant emissions increase of a regulated NSR pollutant, and the owner or

operator elects to use the method specified in section 1(kk)(2)(A) of this rule for calculating projected actual

emissions:

(1) Before beginning actual construction of the project, the owner or operator shall document and maintain a

record of the following information:

(A) A description of the project.

(B) Identification of the emissions units whose emissions of a regulated NSR pollutant could be affected by

the project.

(C) A description of the applicability test used to determine that the project is not a major modification for

any regulated NSR pollutant, including the following:

(i) The baseline actual emissions.

(ii) The projected actual emissions.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 40
(iii) The amount of emissions excluded under section 1(kk)(2)(A)(iii) of this rule and an explanation for why

the amount was excluded.

(iv) Any netting calculations, if applicable.

(2) If the emissions unit is an existing electric utility steam generating unit, before beginning actual

construction, the owner or operator shall provide a copy of the information set out in subdivision (1) to the

department. Nothing in this subdivision shall be construed to require the owner or operator of the unit to obtain

any determination from the department before beginning actual construction.

(3) The owner or operator shall:

(A) monitor the emissions of any regulated NSR pollutant that could increase as a result of the project and

that is emitted by any emissions units identified in subdivision (1)(B); and

(B) calculate and maintain a record of the annual emissions, in tons per year on a calendar year basis, for a

period of five (5) years following resumption of regular operations after the change, or for a period of ten

(10) years following resumption of regular operations after the change if the project increases the design

capacity or potential to emit of that regulated NSR pollutant at the emissions unit.

(4) If the unit is an existing electric utility steam generating unit, the owner or operator shall submit a report to

the department within sixty (60) days after the end of each year during which records must be generated

under subdivision (3) setting out the unit's annual emissions during the year that preceded submission of the

report.

(5) If the unit is an existing unit other than an electric utility steam generating unit, the owner or operator shall

submit a report to the department if the annual emissions, in tons per year, from the project identified in

subdivision (1), exceed the baseline actual emissions, as documented and maintained under subdivision

(1)(C), by a significant amount for that regulated NSR pollutant, and if the emissions differ from the

preconstruction projection as documented and maintained under subdivision (1)(C). The report shall be

submitted to the department within sixty (60) days after the end of the year. The report shall contain the

following:

(A) The name, address, and telephone number of the major stationary source.

(B) The annual emissions as calculated under subdivision (3).

(C) The emissions calculated under the actual to projected actual test stated in subsection (c)(3).

(D) Any other information that the owner or operator wishes to include in the report.

(6) A reasonable possibility under this subsection occurs when the owner or operator calculates the project to

result in either:

(A) a projected actual emissions increase of at least fifty percent (50%) of the amount that is a significant

emissions increase, as defined in section 1(qq) of this rule, without reference to the amount that is a

significant net emissions increase, for the regulated NSR pollutant; or

(B) a projected actual emissions increase that, added to the amount of emissions excluded under section

1(kk)(2)(A)(iii), sums to at least fifty percent (50%) of the amount that is a significant emissions increase, as

defined in section 1(qq) of this rule, without reference to the amount that is a significant net emissions

increase, for the regulated NSR pollutant. For a project for which a reasonable possibility occurs only within

the meaning of this clause, and not also within the meaning of clause (A), then subdivisions (2) through (5)

do not apply to the project.

(7) The owner or operator of the source shall make the information required to be documented and maintained

under subdivisions (1) through (5) available for review upon a request for inspection by the department. The

general public may request this information from the department under 326 IAC 17.1.

*These documents are incorporated by reference. Copies may be obtained through the U.S. Census Bureau

website at: www.census.gov/eos/www/naics or are available for review and copying at the Indiana Department of

Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor, 100 North

Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-3-2; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2404; filed Nov 12, 1993, 4:00

p.m.: 17 IR 728; filed Aug 17, 2001, 3:45 p.m.: 25 IR 11; filed Aug 10, 2004, 3:35 p.m.: 27 IR 3929; filed Oct 1,

2010, 3:48 p.m.: 20101027-IR-326070372FRA; filed Jul 21, 2011, 10:45 a.m.: 20110817-IR-326110099FRA)

SECTION 10. 326 IAC 2-3-3 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-3-3 Applicable requirements

Authority: IC 13-14-8; IC 13-17-3

Affected: IC 13-15; IC 13-17

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 41
Sec. 3. (a) Prior to the issuance of a construction permit to a source subject to this rule, the applicant shall

comply with the following requirements:

(1) The proposed major new source or major modification shall demonstrate that the source will meet all

applicable requirements of this title, any applicable new source performance standard in 40 CFR Part 60*, or

any national emission standard for HAPs in 40 CFR Part 61*. If the commissioner determines that the

proposed major new source cannot meet the applicable emission requirements, the permit to construct will be

denied.

(2) The applicant will apply emission limitation devices or techniques to the proposed construction or

modification such that the LAER for the applicable pollutant will be achieved.

(3) The applicant shall either demonstrate that:

(A) all existing major sources owned or operated by the applicant in the state are in compliance with all

applicable emission limitations and standards contained in the CAA and in this title; or

(B) they are in compliance with a federally enforceable compliance schedule requiring compliance as

expeditiously as practicable.

(4) The applicant shall submit an analysis of alternative sites, sizes, production processes, and environmental

control techniques for the proposed source that demonstrates that benefits of the proposed source

significantly outweigh the environmental and social costs imposed as a result of its location, construction, or

modification.

(5) Emissions resulting from the proposed construction or modification shall be offset by a reduction in actual

emissions of the same pollutant from an existing source or combination of existing sources. The emission

offset shall be such that there will be reasonable further progress toward attainment of the applicable ambient

air quality standards as follows:

(A) Greater than one-for-one unless otherwise specified.

(B) For ozone nonattainment areas, the following table shall determine the minimum offset ratio

requirements for major stationary sources of VOC or oxides of nitrogen oxides (unless a NOXwaiver is in

effect):

Ozone Classification Minimum Offset Requirements

Marginal 1.1 to 1

Moderate 1.15 to 1

Serious 1.2 to 1

Severe 1.3 to 1

(6) The total tonnage of increased emissions, in tons per year, resulting from a major modification that must be

offset in accordance with Section 173 of the CAA shall be determined by summing the difference between the

allowable emissions after the modification and the actual emissions before the modification for each emissions

unit.

(7) The applicant shall obtain the necessary preconstruction approvals and shall meet all the permit

requirements specified in 326 IAC 2-5.1 or 326 IAC 2-7, as applicable.

(8) Approval to construct shall not relieve any owner or operator of the responsibility to comply fully with an

applicable provision of the SIP and any other requirements under local, state, or federal law.

(b) The following provisions shall apply to all emission offset evaluations:

(1) Emission offsets shall be determined on a tons per year and, whenever possible, a pounds per hour basis

when all facilities requiring offset involved in the emission offset calculations are operating at their maximum

potential or allowed production rate. When offsets are calculated on a tons per year basis, the baseline

emissions for existing sources providing the offsets shall be calculated using the allowed or actual annual

operating hours, whichever is less.

(2) The baseline for determining credit for emission offsets will be the emission limitations or actual emissions,

whichever is lower, in effect at the time the application to construct or modify a source is filed. Credit for

emission offset purposes may be allowable for existing control that goes beyond that required by

source-specific emission limitations contained in this title.

(3) In cases where the applicable rule under this title does not contain an emission limitation for a source or

source category, the emission offset baseline involving the sources shall be the actual emissions determined

at their maximum expected or allowable production rate.

(4) In cases where emission limitations for existing sources allow greater emissions than the potential to emit

of the source, emission offset credit shall only be allowed for emissions controlled below the potential to emit.

(5) A source may receive offset credit from emission reductions achieved by shutting down an existing source

or permanently curtailing production or operating hours below baseline levels if the reductions are permanent,

quantifiable, and federally enforceable, as follows:

(A) If the area has an attainment plan approved by the U.S. EPA, the shutdown or curtailment is creditable

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 42
only if it occurred on or after the date of the most recent emissions inventory or attainment demonstration.

However, in no event may credit be given for shutdowns that occurred prior to August 7, 1977. For purposes

of this clause, the department may choose to consider a prior shutdown or curtailment to have occurred

after the date of its most recent emissions inventory if the inventory explicitly includes, as current existing

emissions, the emissions from the previously shutdown or curtailed sources.

(B) The reductions may be credited in the absence of an approved attainment demonstration only if the:

(i) shutdown or curtailment occurred on or after the date the new source permit application is filed; or

(ii) applicant can establish that the proposed new source is a replacement for the shutdown or curtailed

source and the cutoff date provisions in clause (A) are observed.

(6) Emission offset credit involving an existing fuel combustion source will be based on the allowable

emissions under other rules of this title for the type of fuel being burned at the time the new source application

is filed. If the existing source commits to switch to a cleaner fuel at some future date, emission offset credit

based on the allowable emissions for the fuels involved is acceptable, provided the permit is conditioned to

require the use of a specific alternative control measure that would achieve the same degree of emission

reduction should the source switch back to a dirtier fuel at some later date. The commissioner will grant

emission offset credit for fuel switching only after ensuring that adequate supplies of the new fuel are available

at least for the next ten (10) years.

(7) In the case of VOC emissions, no emission offset credit may be allowed for replacing one (1) hydrocarbon

compound with another of lesser reactivity, except for those compounds defined as nonphotochemically

reactive hydrocarbons in 326 IAC 1-2-48.

(8) No emission reduction may be approved to offset emissions that cannot be federally enforced. Offsetting

emissions shall be considered federally enforceable if the reduction is included as a condition in the applicable

permit as specified in 326 IAC 2-5.1 or 326 IAC 2-7 if issued under a federally-approved air permit program.

(9) Emission reductions required under any other rule adopted by the board shall not be creditable as

emission reductions and therefore cannot be used for emission offsets.

(10) Incidental emission reductions that are not otherwise required by any other rule adopted by the board

shall be creditable as emission reductions for emission offsets if the emission reductions meet all of the other

requirements for offsets.

(11) A source may offset by alternative or innovative means emission increases from rocket engine or motor

firing and cleaning related to the firing at an existing or modified major source that tests rocket engines or

motors under the following conditions:

(A) Any modification proposed is solely for the purpose of expanding the testing of rocket engines or motors

at an existing source that is permitted to test the engines on November 15, 1990.

(B) The source demonstrates to the satisfaction of the department that:

(i) it has used all reasonable means to obtain and utilize offsets, as determined on an annual basis, for the

emissions increases beyond allowable levels;

(ii) all available offsets are being used; and

(iii) sufficient offsets are not available to the source.

(C) The source has obtained a written finding from:

(i) the Department of Defense;

(ii) the Department of Transportation;

(iii) the National Aeronautics and Space Administration; or

(iv) another appropriate federal agency;

that the testing of rocket motors or engines at the facility is required for a program essential to the national

security.

(D) The source will comply with an alternative measure, imposed by the department, designed to offset any

emission increases beyond permitted levels not directly offset by the source.

(12) Credit for an emissions reduction can be claimed to the extent that the department has not relied on the

emission reduction credit in:

(A) issuing any permit under regulations approved pursuant to 40 CFR Part 51 Subpart I*; or

(B) a demonstration for attainment or reasonable further progress.

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-3-3; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2406; filed Nov 12, 1993, 4:00

p.m.: 17 IR 730; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1005; filed Aug 17, 2001, 3:45 p.m.: 25 IR 12; filed Aug 10,

2004, 3:35 p.m.: 27 IR 3931; filed Oct 1, 2010, 3:48 p.m.: 20101027-IR-326070372FRA)

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 43
SECTION 11. 326 IAC 2-5.1-2 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-5.1-2 Registrations

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 4-21.5-3-4; IC 13-15-4-9; IC 13-17

Sec. 2. (a) On and after December 25, 1998, this section applies to the following new sources:

(1) Sources with a potential to emit within the following ranges:

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of either

particulate matter PM, or particulate matter less than ten (10) microns PM10, or direct PM2.5.

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of the

following pollutants:

(i) Sulfur dioxide (SO2).

(ii) Nitrogen oxides (NOx).

(C) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of VOC for

sources not described in clause (D).

(D) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of VOC for

sources that require the use of air pollution control equipment to comply with the applicable provisions of

326 IAC 8.

(E) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons per year of

carbon monoxide (CO).

(F) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of lead (Pb).

(G) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of the

following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(2) Any source that:

(A) is subject to 326 IAC 20-8; and

(B) consists of only decorative chromium electroplating tanks that use a trivalent chromium process that

incorporates a wetting agent.

(b) No person subject to subsection (a) shall construct or operate any new source subject to this section

without registering the new source with the commissioner.

(c) The registrant shall submit an application in accordance with this rule to the commissioner. The application

shall include the following information:

(1) The company name and address.

(2) Descriptive information as follows:

(A) A description of the nature and location of the proposed construction.

(B) The design capacity and typical operating schedule of the proposed construction.

(C) A description of the source and the emissions unit or units comprising the source.

(D) A description of any emission control equipment, including design specifications.

(3) A schedule for construction of the source.

(4) Information on the nature and amount of pollutants to be emitted and any other information determined by

the commissioner as necessary to demonstrate compliance with the ambient air quality standards.

(5) Each application shall be signed by an authorized individual, unless otherwise noted, whose signature

constitutes an acknowledgement that the applicant assumes the responsibility of assuring that the source,

emissions unit or units, or emission control equipment will be constructed and will operate in compliance with

all applicable state air pollution control rules and the requirements of the CAA. The signature shall:

(A) constitute affirmation that the statements in the application are true and complete, as known at the time

of completion of the application; and

(B) subject the applicant to liability under state laws forbidding false or misleading statements.

(d) Upon receipt of the information requested, the commissioner shall make a final determination within the

time period described under 326 IAC 2-1.1-8.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 44
(e) If the commissioner finds an application submitted in accordance with this rule to be incomplete, the

commissioner shall mail a notice of deficiency to the applicant that specifies the portions of the application that:

(1) do not contain adequate information for the commissioner to process the application; or

(2) are not consistent with applicable law or rules.

The applicant shall forward the required additional information to the commissioner, or request additional time for

providing the information, within sixty (60) days of receipt of the notice of deficiency. If the additional information is

not submitted within sixty (60) days, or the additional time provided by the commissioner, the application may be

denied in accordance with IC 13-15-4-9.

(f) A registration issued by the commissioner shall include terms and conditions that include all of the

following:

(1) Identification of any and all applicable requirements.

(2) A physical description of the emissions unit or units and operating information consistent with the

application information.

(3) A requirement that an authorized individual provide an annual notice to the department that the source is in

operation and in compliance with the registration.

(4) An approval to operate in accordance with 326 IAC 2-5.5.

(g) A registration issued by the commissioner may include terms and conditions that require monitoring, record

keeping, and reporting as necessary to assure compliance with all applicable requirements.

(h) The issuance of a registration shall not be subject to the public notice requirements under 326 IAC 2-1.1-6,

but the commissioner shall provide for public notice under IC 4-21.5-3-4.

(i) The commissioner shall not issue a registration that limits a source's potential to emit.

(Air Pollution Control Board; 326 IAC 2-5.1-2; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1008; readopted filed Oct 22,

2004, 10:35 a.m.: 28 IR 791; filed Oct 1, 2010, 3:48 p.m.: 20101027-IR-326070372FRA)

SECTION 12. 326 IAC 2-5.1-3, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, SECTION

6, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-5.1-3 Permits

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15-4-9; IC 13-17

Sec. 3. (a) On and after December 25, 1998, a new source must obtain a construction permit prior to

beginning construction of an emissions unit under either of the following conditions:

(1) The potential to emit is equal to or greater than the following:

(A) One (1) ton or more per year of lead or lead compounds measured as elemental lead and the source is

one (1) of the following:

(i) A primary lead smelter.

(ii) A secondary lead smelter.

(iii) A primary copper smelter.

(iv) A lead gasoline additive plant.

(v) A lead-acid storage battery manufacturing plant that produces two thousand (2,000) or more batteries

per day.

(B) Five (5) tons or more per year of lead or lead compounds measured as elemental lead and the source is

not listed in clause (A).

(C) One hundred (100) tons per year of carbon monoxide (CO).

(D) Ten (10) tons per year of any single HAP or twenty-five (25) tons per year of any combination of HAPs

listed pursuant to Section 112(b) of the CAA.

(E) Twenty-five (25) tons per year of the following regulated air pollutants:

(i) Particulate matter PM, or particulate matter less than ten (10) microns PM10, or direct PM2.5.

(ii) Sulfur dioxide (SO2).

(iii) Nitrogen oxides (NOx).

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 45
(iv) VOC.

(v) Hydrogen sulfide (H2S).

(vi) Total reduced sulfur (TRS).

(vii) Reduced sulfur compounds.

(viii) Fluorides.

(2) The source belongs to any of the following source categories:

(A) A source consisting of a chromium electroplating tank, chromium anodizing tank, or an operation subject

to 326 IAC 20-8. Sources consisting only of decorative chromium electroplating tanks that use a trivalent

chromium process that incorporates a wetting agent that are subject to section 2 of this rule are not

included.

(B) A source that includes medical waste incinerators subject to 40 CFR 60, Subpart Ec*.

(C) Area or minor sources that include an emission unit or units that require a Part 70 operating permit

under 326 IAC 2-7.

(b) Any person proposing the construction of a new source and required to obtain a construction permit under

subsection (a), including any source or emissions unit that is subject to 326 IAC 2-2, 326 IAC 2-3, or 326 IAC 2-

4.1, shall prepare and submit a permit application to the commissioner in accordance with subsection (c).

(c) At a minimum, an application shall include the following information:

(1) The company name and address.

(2) The following descriptive information:

(A) A description of the nature and location of the proposed construction.

(B) The design capacity and typical operating schedule of the proposed construction.

(C) A description of the source and the emissions unit or units comprising the source.

(D) A description of any emission control equipment, including design specifications.

(3) A schedule for construction of the source.

(4) The following information as needed to assure all reasonable information is provided to evaluate

compliance consistent with the permit terms and conditions, the underlying requirements of this title and the

CAA, the ambient air quality standards set forth in 326 IAC 1-3, or the prevention of significant deterioration

maximum allowable increase under 326 IAC 2-2:

(A) Information on the nature and amount of the pollutants to be emitted, including an estimate of the

potential to emit any regulated air pollutants.

(B) Estimates of offset credits as required under 326 IAC 2-3, for sources to be constructed in

nonattainment areas.

(C) Monitoring, testing, reporting, and record keeping requirements.

(D) Any other information (including, but not limited to, the air quality impact) determined by the

commissioner to be necessary to demonstrate compliance with the requirements of this title and the

requirements of the CAA, whichever are applicable.

(5) Each application shall be signed by an authorized individual, unless otherwise noted, whose signature

constitutes an acknowledgment that the applicant assumes the responsibility of assuring that the source,

emissions unit or units, or emission control equipment will be constructed and will operate in compliance with

all applicable Indiana air pollution control rules and the requirements of the CAA. The signature shall:

(A) constitute affirmation that the statements in the application are true and complete, as known at the time

of completion of the application; and

(B) subject the applicant to liability under state laws forbidding false or misleading statements.

(d) If the commissioner finds an application submitted in accordance with this rule to be incomplete, the

commissioner shall mail a notice of deficiency to the applicant that specifies the portions of the application that:

(1) do not contain adequate information for the commissioner to process the application; or

(2) are not consistent with applicable law or rules.

The applicant shall forward the required additional information to the commissioner, or request additional time for

providing the information, within thirty (30) calendar days of receipt of the notice of deficiency. If the additional

information is not submitted within thirty (30) calendar days, or the additional time provided by the commissioner,

the application may be denied in accordance with IC 13-15-4-9.

(e) Permits issued under this article shall contain the following:

(1) Emission limitations for any source or emissions unit that assure:

(A) the ambient air quality standards set forth in 326 IAC 1-3 will be attained or maintained, or both;

(B) the applicable prevention of significant deterioration maximum allowable increases set forth in 326 IAC

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 46
2-2 will be maintained;

(C) the public health will be protected; and

(D) compliance with the requirements of this title and the requirements of the CAA will be maintained.

(2) Monitoring, testing, reporting, and record keeping requirements that assure reasonable information is

provided to evaluate compliance consistent with the permit terms and conditions, the underlying requirements

of this title and the CAA. The requirements shall be in accordance with 326 IAC 3 and other applicable

regulations.

(3) A requirement that any revision of an emission limitation, monitoring, testing, reporting, and record keeping

requirements shall be made consistent with the permit revision requirements under 326 IAC 2-6.1-6, 326 IAC

2-7-12, or 326 IAC 2-8-11.1.

(4) The following requirements with respect to compliance:

(A) The commissioner may require stack testing, monitoring, or reporting at any time to assure compliance

with all applicable requirements. Any monitoring or testing shall be performed in accordance with 326 IAC 3

or other methods approved by the commissioner.

(B) Upon presentation of credentials and other documents as may be required by law, the owner or operator

shall allow the commissioner, an authorized representative of the commissioner, or the U.S. EPA to perform

the following:

(i) Enter upon the premises where:

(AA) a permitted source is located or emissions related activity is conducted; or

(BB) records required by a permit term or condition are kept.

(ii) Have access to and copy any records that must be kept under this title or the conditions of a permit or

permit revision.

(iii) Inspect any:

(AA) operations;

(BB) processes;

(CC) emissions units (including monitoring and air pollution control equipment); or

(DD) practices;

regulated or required under a permit or permit revision.

(iv) Sample or monitor substances or parameters for the purpose of assuring compliance with a permit,

permit revision, or applicable requirement, as authorized by the CAA and this title.

(v) Document alleged violations using cameras or video equipment. The documentation may be subject to

a claim of confidentiality under 326 IAC 17.1.

(5) For sources that will operate pursuant to an operating permit under 326 IAC 2-6.1, a requirement that an

authorized individual provide an annual notice to the department that the source is in operation and in

compliance with the permit. The commissioner may request that the source provide an identification of all

emissions units that have been installed that are described under 326 IAC 2-1.1-3(d)(1) through 326 IAC 2-

1.1-3(d)(31) with the annual notification.

(f) Any permit issued under this section shall conform to the permit content requirements under subsection (e),

except for the following:

(1) Any permit that includes limitations on the potential to emit of a source must conform with the federally

enforceable state operating permit (FESOP) permit content and compliance requirements under 326 IAC 2-8-4

and 326 IAC 2-8-5.

(2) An applicant may request that the permit content and compliance requirements conform with the Part 70

requirements under 326 IAC 2-7-5 and 326 IAC 2-7-6 if the applicant is also requesting that the Part 70 permit

issuance requirements under 326 IAC 2-7 apply.

(g) The commissioner shall provide for public notice and comment in accordance with 326 IAC 2-1.1-6 prior to

issuing a construction permit.

(h) After receiving an approval to construct and prior to receiving approval to operate, a source shall prepare

an affidavit of construction as follows:

(1) The affidavit shall include the following:

(A) The name and title of the authorized individual.

(B) The company name.

(C) An affirmation that the source was constructed in conformance with the requirements and intent of the

construction permit application.

(D) Identification of any changes to the source not included in the construction permit application or any

amendment thereof.

(E) The signature of the authorized individual.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 47
(2) The affidavit shall be notarized.

(3) A source shall submit the affidavit to the commissioner after construction has been completed.

(i) A source may not operate any air pollutant emitting source or emissions unit prior to receiving a validation

letter issued by the commissioner, except as provided in the following:

(1) A source may operate upon submission of an affidavit of construction that affirms that the source is

described by, and will comply with, the construction permit as issued or previously amended.

(2) The commissioner shall issue a validation letter within five (5) working days of receipt of the affidavit of

construction.

(3) The validation letter may authorize the operation of all or part of the source.

(4) The validation letter may include amendments to the permit if the amendments are requested by the

source and if the amendment does not constitute a revision and require public notice and comment under 326

IAC 2-1.1-6.

(5) A validation letter may not approve the operation of any emissions unit if an amendment requested by the

source would constitute a revision and require public notice and comment under 326 IAC 2-1.1-6.

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-5.1-3; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1009; errata filed May 12,

1999, 11:23 a.m.: 22 IR 3106; filed May 21, 2002, 10:20 a.m.: 25 IR 3059; filed Oct 1, 2010, 3:48 p.m.:

20101027-IR-326070372FRA)

SECTION 13. 326 IAC 2-5.5-1 IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-5.5-1 Applicability

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15; IC 13-17

Sec. 1. (a) The following shall be exempt from the requirements of this rule:

(1) Existing sources that:

(A) meet the criteria for an exemption under 326 IAC 2-1.1-3; or

(B) are not specifically required to obtain a registration under this rule.

(2) Existing sources operating pursuant to one (1) of the following:

(A) A Part 70 permit under 326 IAC 2-7.

(B) A federally enforceable state operating permit (FESOP) under 326 IAC 2-8.

(C) A source specific operating agreement under 326 IAC 2-9.

(D) A permit by rule under 326 IAC 2-10.

(E) A permit by rule under 326 IAC 2-11.

(F) A minor source operating permit under 326 IAC 2-6.1.

(b) On and after the effective date of this rule, this rule applies to the following existing sources:

(1) Sources with a potential to emit within the following ranges:

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of either

particulate matter PM, or particulate matter less than ten (10) microns PM10, or direct PM2.5.

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of the

following pollutants:

(i) Sulfur dioxide (SO2).

(ii) Nitrogen oxides (NOx).

(C) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of volatile

organic compounds VOC for sources that are not described in clause (D).

(D) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of volatile

organic compounds VOC for sources that require the use of air pollution control equipment to comply with

the applicable provisions of 326 IAC 8.

(E) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons per year of

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 48
carbon monoxide (CO).

(F) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of lead (Pb).

(G) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of the

following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(2) Any existing source that:

(A) is subject to 326 IAC 20-8; and

(B) consists of only decorative chromium electroplating tanks that use a trivalent chromium process that

incorporates a wetting agent.

(c) No person subject to subsection (b) shall operate an existing source subject to this rule without registering

the source with the commissioner.

(Air Pollution Control Board; 326 IAC 2-5.5-1; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1012; readopted filed Oct 22,

2004, 10:35 a.m.: 28 IR 792; readopted filed Aug 25, 2010, 2:42 p.m.: 20100922-IR-326100394BFA)

SECTION 14. 326 IAC 2-6.1-6, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, SECTION

10, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-6.1-6 Permit revisions

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15-5; IC 13-17

Sec. 6. (a) Any person proposing to construct new emission units, modify existing emission units, or otherwise

modify the source as described in this section shall submit an application or notification for a permit revision in

accordance with this rule.

(b) Notwithstanding any other provision of this rule, the owner or operator of a source may repair or replace an

emissions unit or air pollution control equipment or components thereof, without prior approval, if the repair or

replacement:

(1) results in a potential to emit for each regulated pollutant that is less than or equal to the potential to emit of

the equipment or the affected emissions unit that was repaired or replaced;

(2) is not a major modification under 326 IAC 2-2-1, 326 IAC 2-3-1, or 326 IAC 2-4.1; and

(3) returns the emissions unit, process, or control equipment to normal operation after an upset, malfunction,

or mechanical failure or prevents impending and imminent failure of the emissions unit, process, or control

equipment.

If the repair or replacement qualifies as a reconstruction or is a complete replacement of an emissions unit or air

pollution control equipment and would require a permit or operating permit revision under a provision of this rule,

the owner or operator of the source must submit an application for a permit or permit revision to the commissioner

not later than thirty (30) calendar days after initiating the repair or replacement.

(c) An application or notification required under this section shall contain the following information:

(1) The company name and address.

(2) A description of the change and the emissions resulting from the change.

(3) An identification of the applicable requirements to which the source is newly subject as a result of the

change, including the applicable:

(A) emission limits and standards;

(B) monitoring and test methods; and

(C) record keeping and reporting requirements.

(4) A schedule of compliance, if applicable.

(5) Each application or notification shall be signed by an authorized individual whose signature constitutes an

acknowledgment that the applicant assumes the responsibility of assuring that the source, emissions unit or

units, or emission control equipment will be modified and will operate in compliance with all applicable Indiana

air pollution control rules and the requirements of the CAA. The signature shall:

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 49
(A) constitute affirmation that the statements in the application are true and complete, as known at the time

of completion of the application; and

(B) subject the applicant to liability under state laws forbidding false or misleading statements.

(d) Notwithstanding the public participation requirements under 326 IAC 2-1.1-6, the following changes shall

be designated as administrative amendments and shall not require public notice or prior approval by the

commissioner:

(1) Changes correcting typographical errors.

(2) Minor administrative changes such as a change in:

(A) the name, address, or telephone number of any person identified in a permit; or

(B) descriptive information concerning the source or emissions unit or units.

(3) Changes in ownership or operational control of a source.

(4) Modifications that would require more frequent monitoring or reporting.

(5) Incorporation or deletion of applicable requirements as a result of a change in applicability, and there is no

new equipment or no change to operations or processes.

(6) Incorporation of alternative testing or compliance monitoring requirements that have received U.S. EPA

approval under 40 CFR 60*, 40 CFR 61*, or 40 CFR 63*, and there is no new equipment and no change to

operations or processes.

(7) Incorporation of newly applicable monitoring or testing requirements specified in 40 CFR 60*, 40 CFR 61*,

or 40 CFR 63* that apply as the result of a change in applicability of those requirements to the source,

including removal from the permit of monitoring or testing requirements that no longer apply as a result of the

change in applicability, and there is no new equipment and no change to operations or processes.

(8) Incorporation of test methods or monitoring requirements specified in an applicable requirement that the

source may use under the applicable requirement as an alternative to the testing or monitoring requirements

contained in the permit, and there is no new equipment and no change to operations or processes.

(9) Modifications that have the potential to emit greater than or equal to one (1) ton per year but less than ten

(10) tons per year of a single HAP as defined under Section 112(b) of the CAA or greater than or equal to two

and one-half (2.5) tons per year but less than twenty-five (25) tons per year of any combination of HAPs.

(10) A modification that meets the applicability criteria and can meet and will comply with the operational

limitations for a source specific operating agreement under 326 IAC 2-9 or a general permit under 326 IAC 2-

12.

(11) A modification that adds an emissions unit or units of the same type that are already permitted or replaces

an existing unit and that will comply with the same applicable requirements and permit terms and conditions as

the existing emission unit or units, except if the modification would result in a potential to emit greater than the

thresholds in 326 IAC 2-2 or 326 IAC 2-3 or would result in a potential to emit equal to or greater than the

thresholds in 326 IAC 2-7.

(12) A modification that is subject to the following reasonably available control technology (RACT), a new

source performance standard (NSPS), or a national emission standard for hazardous air pollutants (NESHAP)

and the RACT, NSPS, or NESHAP is the most stringent applicable requirement, except for those modifications

that would be subject to the provisions of 40 CFR 63, Subpart B Hazardous Air Pollutants: Regulations

Governing Constructed or Reconstructed Major Sources*:

(A) 40 CFR 60.40c*, except for modifications to a source located in Lake County.

(B) 40 CFR 60.110b*.

(C) 40 CFR 60.250*, except for modifications that include thermal dryers.

(D) 40 CFR 60.330* for modifications that only include emergency generators.

(E) 40 CFR 60.670*.

(F) 40 CFR 61.110*.

As part of the application required under subsection (c), the applicant shall acknowledge the requirement to

comply with the RACT, NSPS, or NESHAP. For modifications under clauses (A) through (D), the source must

use the monitoring specified in the relevant RACT, NSPS, or NESHAP.

(13) A modification that is subject to the following new source performance standards (NSPSs), except for

modifications that would be subject to 326 IAC 8-1-6:

(A) 40 CFR 60.310*.

(B) 40 CFR 60.390*.

(C) 40 CFR 60.430*.

(D) 40 CFR 60.440*.

(E) 40 CFR 60.450*.

(F) 40 CFR 60.460*.

(G) 40 CFR 60.490*.

(H) 40 CFR 60.540*.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 50
(I) 40 CFR 60.560*.

(J) 40 CFR 60.580*.

(K) 40 CFR 60.600*.

(L) 40 CFR 60.660*.

(M) 40 CFR 60.720*.

As part of the application required under subsection (c), the applicant shall acknowledge the requirement to

comply with the NSPS. For modifications under clauses (A) through (H), the source must use the monitoring

specified in the NSPS.

(14) The addition of an exempt emissions unit at the request of the applicant.

(e) Any person proposing to make a change or modification described in subsection (d) shall submit a

notification concerning the change or modification within thirty (30) calendar days of making the change or

modification and shall include the information required under subsection (c). The notification shall be sent by one

(1) of the following means:

(1) Certified mail.

(2) Delivery by hand or express service.

(3) Transmission by other equally reliable means of notification by the source to the commissioner.

(f) The commissioner shall revise the permit within thirty (30) days of receipt of the notification. The

commissioner shall provide the permittee with a copy of the revised permit. Notwithstanding IC 13-15-5, the

permit revision shall be effective immediately.

(g) The following modifications shall require minor permit revisions and shall require approval prior to

construction and operation:

(1) Modifications that would reduce the frequency of any monitoring or reporting required by a permit condition

or applicable requirement.

(2) The addition of a portable source or relocation of a portable source to an existing source, if the addition or

relocation would require a change to any permit terms or conditions.

(3) Modifications that would have a potential to emit within the following ranges:

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of either

particulate matter PM, or particulate matter less than ten (10) microns PM10, or direct PM2.5.

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of the

following pollutants:

(i) Sulfur dioxide (SO2).

(ii) Nitrogen oxides (NOx).

(iii) VOC for modifications that are not described in clause (C).

(C) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of VOC for

modifications that require the use of air pollution control equipment to comply with the applicable provisions

of 326 IAC 8.

(D) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons per year of

carbon monoxide (CO).

(E) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of lead (Pb).

(F) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of the

following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(4) Modifications for which the potential to emit is limited to less than twenty-five (25) tons per year of any

regulated pollutant other than HAPs, ten (10) tons per year of any single HAP as defined under Section 112(b)

of the CAA, or twenty-five (25) tons per year of any combination of HAPs by complying with one (1) of the

following constraints:

(A) Limiting total annual solvent usage or maximum VOC content, or both.

(B) Limiting annual hours of operation of the process or business.

(C) Using a particulate air pollution control device as follows:

(i) Achieving and maintaining ninety-nine percent (99%) efficiency.

(ii) Complying with a no visible emission standard.

(iii) The potential to emit before air pollution controls does not exceed major source thresholds for federal

permitting programs.

(iv) Certifying to the commissioner that the air pollution control device supplier guarantees that a specific

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 51
outlet concentration, in conjunction with design air flow, will result in actual emissions less than twenty-five

(25) tons of particulate matter PM, or fifteen (15) tons per year of particulate matter with an aerodynamic

diameter less than or equal to ten (10) micrometers PM10, or direct PM2.5.

(D) Limiting individual fuel usage and fuel type for a combustion source.

(E) Limiting raw material throughput or sulfur content of raw materials, or both.

(5) A modification that is not described under subsection (d)(12) or (d)(13) and is subject to a RACT, a NSPS,

or a NESHAP, and the RACT, NSPS, or NESHAP is the most stringent applicable requirement, except for

those modifications that would be subject to the provisions of 40 CFR 63, Subpart B Hazardous Air Pollutants:

Regulations Governing Constructed or Reconstructed Major Sources*. As part of the application required

under subsection (c), the applicant shall acknowledge the requirement to comply with the RACT, NSPS, or

NESHAP.

(6) A change for which a source requests an emission limit to avoid 326 IAC 8-1-6.

(h) Minor permit revision procedures are as follows:

(1) Any person proposing to make a modification described in subsection (g) shall:

(A) submit an application concerning the modification; and

(B) include the information under subsection (c).

(2) Except as provided in 326 IAC 2-13, the source may not begin construction on any emissions unit that is

necessary to implement the modification until the commissioner has revised the permit.

(3) Within forty-five (45) calendar days from receipt of an application for a minor permit revision, the

commissioner shall do one (1) of the following:

(A) Approve the minor permit revision request.

(B) Deny the minor permit revision request.

(C) Determine that the minor permit revision request would:

(i) cause or contribute to a violation of the National Ambient Air Quality Standard (NAAQS) or prevention of

significant deterioration (PSD) standards;

(ii) allow for an increase in emissions greater than the thresholds in subsection (i); or

(iii) not provide for compliance monitoring consistent with this rule;

and should be processed as a significant permit revision.

(4) The permit shall be revised by incorporating the minor permit revision into the permit. The commissioner

shall do the following:

(A) Make all changes necessary to assure compliance with this title and the CAA prior to attaching the

amendment to the permit.

(B) Notify the source upon attachment of the minor permit revision to the permit.

Notwithstanding IC 13-15-5, the permit revision shall be effective immediately.

(i) Significant permit revision procedures are as follows:

(1) Significant permit revisions are those changes that are not subject to subsection (d) or (g) and include the

following:

(A) Any modification that would be subject to 326 IAC 2-2, 326 IAC 2-3, or 326 IAC 2-4.1.

(B) Any modification that results in the source needing to obtain a FESOP under 326 IAC 2-8 or a Part 70

permit under 326 IAC 2-7.

(C) A modification that is subject to 326 IAC 8-1-6.

(D) Any modification with a potential to emit lead at greater than or equal to one (1) ton per year.

(E) Any modification with a potential to emit greater than or equal to twenty-five (25) tons per year of the

following pollutants:

(i) Particulate matter PM, or particulate matter with an aerodynamic diameter less than or equal to ten (10)

micrometers PM10, or direct PM2.5.

(ii) Sulfur dioxide (SO2).

(iii) Nitrogen oxides (NOx).

(iv) VOC.

(v) Hydrogen sulfide (H2S).

(vi) Total reduced sulfur (TRS).

(vii) Reduced sulfur compounds.

(viii) Fluorides.

(F) For a source of lead with a potential to emit greater than or equal to five (5) tons per year, a modification

that would increase the potential to emit greater than or equal to six-tenths (0.6) ton per year.

(G) Any modification with a potential to emit greater than or equal to ten (10) tons per year of a single HAP

as defined under Section 112(b) of the CAA or twenty-five (25) tons per year of any combination of HAPs.

(H) Any modification with a potential to emit greater than or equal to one hundred (100) tons per year of

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 52
carbon monoxide (CO).

(I) Any modification that removes or reduces compliance monitoring, testing, record keeping, reporting, or its

frequency, unless the modification is a result of a change in applicability under subsection (d)(5).

(2) The following shall apply to significant permit revisions:

(A) Any person proposing to make a modification described in subdivision (1) shall:

(i) submit an application concerning the modification; and

(ii) include the information under subsection (c).

(B) Except as provided in 326 IAC 2-13, the source may not begin construction on any emissions unit that is

necessary to implement the modification until the commissioner has revised the permit.

(C) The commissioner shall do the following:

(i) Provide for public notice and comment in accordance with 326 IAC 2-1.1-6.

(ii) Approve or deny the significant permit revision as follows:

(AA) Within one hundred twenty (120) calendar days from receipt of an application for a significant permit

revision, except for a significant permit revision under subdivision (1)(A).

(BB) Within two hundred seventy (270) calendar days from receipt of an application for a significant permit

revision under subdivision (1)(A).

(D) The permit shall be revised by incorporating the significant permit revision into the permit. The

commissioner shall make any changes necessary to assure compliance with this title and the CAA prior to

attaching the significant permit revision to the permit.

*These documents are incorporated by reference. Copies may be obtained from the Government Printing

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North,

Tenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-6.1-6; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1017; errata filed May 12,

1999, 11:23 a.m.: 22 IR 3106; filed May 21, 2002, 10:20 a.m.: 25 IR 3062; readopted filed Oct 22, 2004, 10:35

a.m.: 28 IR 797; errata filed Jul 23, 2007, 4:19 p.m.: 20070815-IR-326070466ACA; readopted filed Aug 25, 2010,

2:42 p.m.: 20100922-IR-326100394BFA)

SECTION 15. 326 IAC 2-7-1, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA, SECTION

11, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-7-1 Definitions

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-11-2

Sec. 1. For purposes of this rule, the definition given for a term in this rule shall control in any conflict between

326 IAC 1-2 and this rule. In addition to the definitions provided in IC 13-11-2, 326 IAC 1-2, and 326 IAC 2-1.1,

the following definitions apply throughout this rule unless expressly stated otherwise or unless the context clearly

implies otherwise:

(1) "Acid rain program" means the national sulfur dioxide and nitrogen oxides air pollution control and

emissions reduction program established in accordance with Title IV of the CAA, 40 CFR 72*, and 40 CFR 75*

through 40 CFR 78*, 58 FR 3590*, and regulations implementing Sections 407 and 410 of the CAA.

(2) "Actual emissions" means the actual rate of emissions in tons per year of any regulated pollutant emitted

from a Part 70 source over the preceding calendar year or any other period determined by the commissioner

to be representative of normal source operation.

(3) "Affected source" shall have the meaning given to it in the regulations promulgated under Title IV of the

CAA.

(4) "Affected states" means all states:

(A) whose air quality may be affected and are contiguous to the state of Indiana; or

(B) that are within fifty (50) miles of the permitted source.

(5) "Affected unit" shall have the meaning given to it in the regulations promulgated under Title IV of the CAA.

(6) "Applicable requirement" means all of the following as they apply to emissions units in a Part 70 source

(including requirements that have been promulgated or approved by the U.S. EPA through rulemaking at the

time of permit issuance but have future effective compliance dates):

(A) Any standard or other requirement provided for in the applicable implementation plan approved or

promulgated by the U.S. EPA through rulemaking under Title I of the CAA that implements the relevant

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 53
requirements of the CAA, including any revisions to that plan promulgated in 40 CFR 52*.

(B) Any term or condition of any preconstruction permits issued under regulations approved or promulgated

through rulemaking under Title I, including Part C or D of the CAA.

(C) Any standard or other requirement under Section 111 of the CAA, including Section 111(d) of the CAA.

(D) Any standard or other requirement under Section 112 of the CAA, including any requirement concerning

accident prevention under Section 112(r)(7) of the CAA.

(E) Any standard or other requirement of the acid rain program under Title IV of the CAA or the regulations

promulgated thereunder.

(F) Any requirements established under Section 504(b) or 114(a)(3) of the CAA.

(G) Any standard or other requirement under Section 126(a)(1) and 126(c) of the CAA.

(H) Any standard or other requirement governing solid waste incineration under Section 129 of the CAA.

(I) Any standard or other requirement for consumer and commercial products under Section 183(e) of the

CAA.

(J) Any standard or other requirement for tank vessels under Section 183(f) of the CAA.

(K) Any standard or other requirement of the Code of Federal Regulations promulgated to protect

stratospheric ozone under Title VI of the CAA, unless the U.S. EPA has determined that the requirements

need not be contained in a Part 70 permit.

(L) Any national ambient air quality standard or increment or visibility requirement under Part C of Title I of

the CAA, but only as it would apply to temporary sources permitted under Section 504(e) of the CAA.

(7) "Area source" means any stationary source of HAPs that is not a major source. The term does not include

motor vehicles or nonroad vehicles subject to regulation under Title II of the CAA.

(8) "Clean Air Act" or "CAA" means the Clean Air Act, as amended (including the Clean Air Act Amendments

of 1990 (P.L.101-549)), 42 U.S.C. 7401, et seq.

(9) "Code of Federal Regulations" or "CFR", unless otherwise provided, has the same meaning as set forth in

326 IAC 1-1-3.

(10) "Designated representative" shall have the meaning given to it in Section 402(26) of the CAA and the

regulations promulgated thereunder.

(11) "Draft Part 70 permit" means the version of a Part 70 permit for which the commissioner offers public

participation and notice to affected states under section 17 of this rule.

(12) "Emergency" means any situation, including acts of God, arising from sudden and reasonably

unforeseeable events beyond the reasonable control of the source that:

(A) requires immediate corrective action to restore normal operation; and

(B) causes the source to exceed an emission limit under a Part 70 permit due to unavoidable increases in

emissions attributable to the emergency.

The term shall not include noncompliance to the extent caused by improperly designed equipment, failure to

implement an adequate preventive maintenance plan, careless or improper operation, or operator error.

(13) "Emission limitation or standard" means any of the following as defined under the CAA:

(A) A federally enforceable emission limitation or standard.

(B) A standard of performance.

(C) A means of emission limitation.

An emission limitation or standard may be expressed in terms of the pollutant, expressed either as a specific

quantity, rate, or concentration of emissions (for example, pounds of sulfur dioxide (SO2) per hour, pounds of

sulfur dioxide (SO2) per mmBtu, or kilograms of VOC per liter of applied coating solids) or as the relationship

of uncontrolled to controlled emissions (for example, percent capture and destruction efficiency of VOC or

percent reduction of SO2). An emission limitation or standard may also be expressed either as a work practice

process or other form of design, equipment operation, or operation and maintenance requirement.

(14) "Emissions allowable under the Part 70 permit" means a federally enforceable Part 70 permit term or

condition determined at issuance to be required by an applicable requirement that establishes an emissions

limit (including a work practice standard) or a federally enforceable emissions cap that the source has

assumed to avoid an applicable requirement to which the source would otherwise be subject.

(15) "Emissions unit" means any part or activity of a stationary source that emits or has the potential to emit

any regulated air pollutant or any pollutant listed under Section 112(b) of the CAA. The term is not meant to

alter or affect the definition of unit for purposes of Title IV of the CAA.

(16) "Federally enforceable state operating permit" or "FESOP" means a permit issued under 326 IAC 2-8.

(17) "Final Part 70 permit" means the version of a Part 70 permit issued by the commissioner that has

completed all review procedures required by sections 17 and 18 of this rule.

(18) "Fugitive emissions" means emissions that could not reasonably pass through a stack, chimney, vent, or

other functionally equivalent opening.

(19) "General Part 70 permit" means a Part 70 permit that is applicable to a class or category of sources or

modifications thereto, whether or not under common ownership or control, that are subject to similar applicable

requirements.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 54
(20) "Health-based emission limit" means any enforceable condition the sole purpose of which is to protect

public health or welfare without regard to technical achievability, including, but not limited to, any requirement

in a permit based on:

(A) an emission standard for HAPs promulgated under 40 CFR 61*, including 326 IAC 14;

(B) conditions to prevent significant deterioration of air quality established under 40 CFR 52.21*, including

326 IAC 2-2-5 and 326 IAC 2-2-6 but excluding conditions based on BACT;

(C) limits relied upon in a formal attainment demonstration supporting a SIP approved by the U.S. EPA

under Section 110(a)(2)(K) of the CAA, with the exception of limits based on RACT for sources of VOCs in

areas designated attainment for ozone in accordance with the CAA; or

(D) conditions established as residual risk standards under 42 U.S.C. 7412(f).

(21) "Insignificant activity" has any of the meanings, subject to clauses (A) through (D), specified in clauses (E)

through (J) as follows:

(A) Detailed information concerning emissions from activities or equipment listed in clauses (E) through (J)

is not required in a permit application submitted under this rule or 326 IAC 2-8; however, additional

emissions information must be provided upon request by the department.

(B) Notwithstanding any other requirements in this rule, the applicant shall include all emissions sources and

quantify emissions if needed to determine:

(i) major source status;

(ii) compliance with any applicable requirement; or

(iii) the applicability of any applicable requirement.

Identification of an activity or equipment as insignificant under this section does not preclude the inclusion of

the activity or equipment in a compliance plan or protocol as appropriate.

(C) Notwithstanding any other provision of this rule or 326 IAC 2-6, emissions from activities defined as

insignificant in this subdivision or trivial in subdivision (42) need not be included in a source's annual

emission statement required by 326 IAC 2-6.

(D) A change in a source's insignificant or trivial activities or the addition of an insignificant activity or trivial

activity shall not constitute a modification for purposes of sections 10.5 and 12 of this rule, if the new activity

or modified activity:

(i) meets the definition of insignificant activity of this subdivision or trivial activity of subdivision (42);

(ii) has all applicable requirements and associated monitoring in the current permit; and

(iii) is not a modification under any provision of Title I of the CAA.

The department may request that the source update its list of insignificant activities as part of its annual

compliance certification.

(E) An emission unit or activity whose potential uncontrolled emissions meet the exemption levels specified

in 326 IAC 2-1.1-3(e)(1) or the exemption levels specified in the following, whichever is lower:

(i) For lead or lead compounds measured as elemental lead, the exemption level is six-tenths (0.6) ton per

year or three and twenty-nine hundredths (3.29) pounds per day.

(ii) For carbon monoxide (CO), the exemption limit is twenty-five (25) pounds per day.

(iii) For sulfur dioxide, the exemption level is five (5) pounds per hour or twenty-five (25) pounds per day.

(iv) For VOC, the exemption limit is three (3) pounds per hour or fifteen (15) pounds per day.

(v) For nitrogen oxides (NOx), the exemption limit is five (5) pounds per hour or twenty-five (25) pounds per

day.

(vi) For PM10 or direct PM2.5, the exemption level is either five (5) pounds per hour or twenty-five (25)

pounds per day.

(F) For units with potential uncontrolled emissions of HAPs, that are not listed as insignificant in clauses (H)

(G) through (L) (J) or defined as trivial in subdivision (42), an insignificant activity is any of the following:

(i) Any unit, not regulated by a NESHAP, emitting greater than one (1) pound per day but less than five (5)

pounds per day or one (1) ton per year of a single HAP.

(ii) Any unit, not regulated by a NESHAP, emitting greater than one (1) pound per day but less than twelve

and five-tenths (12.5) pounds per day or two and five-tenths (2.5) tons per year of any combination of

HAPs.

The source shall provide a description of the insignificant activity, including identification of the HAPs

emitted and any applicable requirements. A source may rely on MSDS sheets, product labels, other

manufacturer's information, or other technical and scientific judgement for identification of HAPs.

Insignificant activities that are part of a multistep process line shall be reported as such on the operating

permit application, and the source shall include a description of the function and components of the process

line on the operating permit application. Insignificant activities that perform equivalent functions shall be

grouped, and the function and number of those units shall be included on the operating permit application.

(G) Emissions from a laboratory as defined in this clause. As used in this clause, "laboratory" means a place

or activity devoted to experimental study or teaching, or to the testing and analysis of drugs, chemicals,

chemical compounds or other substances, or similar activities, provided that the activities described in this

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 55
clause are conducted on a laboratory scale. Activities are conducted on a laboratory scale if the containers

used for reactions, transfers, and other handling of substances are designed to be easily and safely

manipulated by one (1) person. If a facility manufactures or produces products for profit in any quantity, it

shall not be considered to be a laboratory under this clause. Support activities necessary to the operation of

the laboratory are considered to be part of the laboratory. Support activities do not include the provision of

power to the laboratory from sources that provide power to multiple projects or from sources that would

otherwise require permitting, such as boilers that provide power to an entire facility.

(H) Emissions from research and development activities as defined in this clause. As used in this clause,

"research and development activities" means activities conducted under close supervision of technically

trained personnel that are not engaged in the manufacture of products for sale, exchange for commercial

profit, or distribution, except in a de minimis manner and the primary purpose of which is to:

(i) test more efficient production processes;

(ii) test methods for preventing or reducing adverse environmental impacts; or

(iii) conduct research and development into new processes and products.

Support activities necessary to the research and development activities are considered to be part of the

research and development activities. Support activities do not include the provision of power to the research

and development activities from sources that provide power to multiple projects or from sources that would

otherwise require permitting, such as boilers that provide power to a source or solid waste disposal units,

such as incinerators.

(I) Emissions from educational and teaching activities as defined in this clause. As used in this clause,

"educational and teaching activities" means activities conducted at public and nonpublic schools and

postsecondary educational institutions for educational, vocational, agricultural, occupational, employment, or

technical training purposes provided the activities do not include the production of an intermediate or final

product for sale or exchange for commercial profit or distribution. Support activities necessary to the

educational and teaching activities are considered to be part of the educational and teaching activities.

Support activities do not include the provision of power to the educational and teaching activities from

sources that provide power to multiple projects or from sources that would otherwise require permitting,

such as boilers that provide power to a source or solid waste disposal units, such as incinerators.

(J) Any of the following listed activities:

(i) Combustion related activities, as follows:

(AA) Space heaters, process heaters, heat treat furnaces, or boilers using the following fuels:

(aa) Natural gas-fired combustion sources with heat input equal to or less than ten million (10,000,000)

British thermal units per hour.

(bb) Propane or liquefied petroleum gas or butane-fired combustion sources with heat input equal to or

less than six million (6,000,000) British thermal units per hour.

(cc) Fuel oil-fired combustion sources with heat input equal to or less than two million (2,000,000) British

thermal units per hour and firing fuel containing equal to or less than five-tenths percent (0.5%) sulfur by

weight.

(dd) Wood-fired combustion sources with heat input equal to or less than one million (1,000,000) British

thermal units per hour and not burning treated wood or chemically contaminated wood.

(BB) Equipment powered by diesel fuel fired or natural gas fired internal combustion engines of capacity

equal to or less than five hundred thousand (500,000) British thermal units per hour except where total

capacity of equipment operated by one (1) stationary source as defined by subdivision (38) exceeds two

million (2,000,000) British thermal units per hour.

(CC) Combustion source flame safety purging on start-up.

(ii) Fuel dispensing activities, as follows:

(AA) A gasoline fuel transfer dispensing operation handling less than or equal to one thousand three

hundred (1,300) gallons per day and filling storage tanks having a capacity equal to or less than ten

thousand five hundred (10,500) gallons. Such storage tanks may be in a fixed location or on mobile

equipment.

(BB) A petroleum fuel other than gasoline dispensing facility, having a storage tank capacity less than or

equal to ten thousand five hundred (10,500) gallons, and dispensing three thousand five hundred (3,500)

gallons per day or less.

(iii) The following VOC and HAP storage containers:

(AA) Storage tanks with capacity less than or equal to one thousand (1,000) gallons and annual

throughputs equal to or less than twelve thousand (12,000) gallons.

(BB) Vessels storing the following:

(aa) Lubricating oils.

(bb) Hydraulic oils.

(cc) Machining oils.

(dd) Machining fluids.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 56
(iv) Refractory storage not requiring air pollution control equipment.

(v) Equipment used exclusively for the following:

(AA) Packaging the following:

(aa) Lubricants.

(bb) Greases.

(BB) Filling drums, pails, or other packaging containers with the following:

(aa) Lubricating oils.

(bb) Waxes.

(cc) Greases.

(vi) Production related activities, including the following:

(AA) Application of:

(aa) oils;

(bb) greases;

(cc) lubricants; and

(dd) nonvolatile material;

as temporary protective coatings.

(BB) Machining where an aqueous cutting coolant continuously floods the machining interface.

(CC) Degreasing operations that do not exceed one hundred forty-five (145) gallons per twelve (12)

months, except if subject to 326 IAC 20-6.

(DD) Cleaners and solvents characterized as having a vapor pressure equal to or less than:

(aa) two (2.0) kilo Pascals (fifteen (15) millimeters of mercury or three-tenths (0.3) pound per square

inch) measured at thirty-eight (38) degrees Centigrade (one hundred (100) degrees Fahrenheit); or

(bb) seven-tenths (0.7) kilo Pascal (five (5) millimeters of mercury or one-tenth (0.1) pound per square

inch) measured at twenty (20) degrees Centigrade (sixty-eight (68) degrees Fahrenheit);

the use of which, for all cleaners and solvents combined, does not exceed one hundred forty-five (145)

gallons per twelve (12) months.

(EE) The following equipment related to manufacturing activities not resulting in the emission of HAPs:

(aa) Brazing.

(bb) Cutting torches.

(cc) Soldering.

(dd) Welding.

(FF) Closed loop heating and cooling systems.

(GG) Infrared cure equipment.

(HH) Exposure chambers (towers or columns), for curing of ultraviolet inks and ultraviolet coatings where

heat is the intended discharge.

(II) Any of the following structural steel and bridge fabrication activities:

(aa) Cutting two hundred thousand (200,000) linear feet or less of one (1) inch plate or equivalent per

year.

(bb) Using eighty (80) tons or less of welding consumables per year.

(vii) Activities associated with the following recovery systems:

(AA) Rolling oil recovery systems.

(BB) Ground water oil recovery wells.

(viii) Solvent recycling systems with batch capacity less than or equal to one hundred (100) gallons.

(ix) Water based activities, including the following:

(AA) Activities associated with the treatment of wastewater streams with an oil and grease content less

than or equal to one percent (1%) by volume.

(BB) Water run-off ponds for petroleum coke-cutting and coke storage piles.

(CC) Activities associated with the transportation and treatment of sanitary sewage, provided discharge to

the treatment plant is under the control of the owner or operator, that is, an on-site sewage treatment

facility. This does not include sanitary sludge incineration.

(DD) Any operation using aqueous solutions containing less than or equal to one percent (1%) by weight

of VOCs excluding HAPs.

(EE) Water based adhesives that are less than or equal to five percent (5%) by volume of VOCs

excluding HAPs.

(FF) Noncontact cooling tower systems with either of the following:

(aa) Natural draft cooling towers not regulated under a NESHAP.

(bb) Forced and induced draft cooling tower systems not regulated under a NESHAP.

(GG) Quenching operations used with heat treating processes.

Oil, grease, or VOC content shall be determined by a test method acceptable to the department and the

U.S. EPA.

(x) Repair activities, including the following:

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 57
(AA) Replacement or repair of electrostatic precipitators, bags in baghouses, and filters in other air

filtration equipment.

(BB) Heat exchanger cleaning and repair.

(CC) Process vessel degassing and cleaning to prepare for internal repairs.

(xi) Trimmers that:

(AA) do not produce fugitive emissions; and

(BB) are equipped with a dust collection or trim material recovery device, such as a bag filter or cyclone.

(xii) Stockpiled soils from soil remediation activities that are covered and waiting transport for disposal.

(xiii) Paved and unpaved roads and parking lots with public access.

(xiv) Conveyors as follows:

(AA) Covered conveyors for solid raw material, including the following:

(aa) Coal or coke conveying of less than or equal to three hundred sixty (360) tons per day.

(bb) Limestone conveying of less than or equal to seven thousand two hundred (7,200) tons per day for

sources other than mineral processing plants constructed after August 31, 1983.

(BB) Uncovered coal or coke conveying of less than or equal to one hundred twenty (120) tons per day.

(CC) Underground conveyors.

(DD) Enclosed systems for conveying plastic raw material and plastic finished goods.

(xv) Coal bunker and coal scale exhausts and associated dust collector vents.

(xvi) Asbestos abatement projects regulated by 326 IAC 14-10.

(xvii) Routine maintenance and repair of buildings, structures, or vehicles at the source where air

emissions from those activities would not be associated with any production process, including the

following:

(AA) Purging of gas lines.

(BB) Purging of vessels.

(xviii) Flue gas conditioning systems and associated chemicals, such as the following:

(AA) Sodium sulfate.

(BB) Ammonia.

(CC) Sulfur trioxide.

(xix) Equipment used to collect any material that might be released during a malfunction, process upset, or

spill cleanup, including the following:

(AA) Catch tanks.

(BB) Temporary liquid separators.

(CC) Tanks.

(DD) Fluid handling equipment.

(xx) Blowdown for the following:

(AA) Sight glass.

(BB) Boiler.

(CC) Cooling tower.

(DD) Compressors.

(EE) Pumps.

(xxi) Furnaces used for melting metals other than beryllium with a brim full capacity equal to or less than

four hundred fifty (450) cubic inches by volume.

(xxii) Activities associated with emergencies, including the following:

(AA) On-site fire training approved by the department.

(BB) Emergency generators as follows:

(aa) Gasoline generators not exceeding one hundred ten (110) horsepower.

(bb) Diesel generators not exceeding one thousand six hundred (1,600) horsepower.

(cc) Natural gas turbines or reciprocating engines not exceeding sixteen thousand (16,000) horsepower.

(CC) Stationary fire pump engines.

(xxiii) Grinding and machining operations controlled with fabric filters, scrubbers, mist collectors, wet

collectors, and electrostatic precipitators with a design grain loading of less than or equal to three

one-hundredths (0.03) grains per actual cubic foot and a gas flow rate less than or equal to four thousand

(4,000) actual cubic feet per minute, including the following:

(AA) Deburring.

(BB) Buffing.

(CC) Polishing.

(DD) Abrasive blasting.

(EE) Pneumatic conveying.

(FF) Woodworking operations.

(xxiv) Purge double block and bleed valves.

(xxv) Filter or coalescer media changeout.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 58
(xxvi) Vents from ash transport systems not operated at positive pressure.

(xxvii) Mold release agents using low volatile products (vapor pressure less than or equal to two (2) kilo

Pascals measured at thirty-eight (38) degrees Centigrade).

(xxviii) Farm operations, except concentrated animal feeding operations as defined in 40 CFR 122.23.

(xxix) Woodworking equipment controlled by a baghouse provided that the following criteria are met:

(AA) The baghouse does not exhaust to the atmosphere greater than one hundred twenty-five thousand

(125,000) cubic feet per minute.

(BB) The baghouse does not emit particulate matter with a diameter less than ten (10) microns PM10 in

excess of three-thousandths (0.003) grain per dry standard cubic feet of outlet air.

(CC) Opacity from the baghouse does not exceed ten percent (10%).

(DD) The baghouse is in operation at all times that the woodworking equipment is in use.

(EE) Visible emissions from the baghouse are observed daily using procedures in accordance with 40

CFR 60, Appendix A, Method 22* and normal or abnormal emissions are recorded. In the event abnormal

emissions are observed for greater than six (6) minutes in duration, the following shall occur:

(aa) The baghouse shall be inspected.

(bb) Corrective actions, such as replacing or reseating bags, are initiated, when necessary.

(FF) The baghouse is inspected quarterly when vented to the atmosphere.

(GG) The owner or operator keeps the following records:

(aa) Records documenting the date when the baghouse redirected indoors or to the atmosphere.

(bb) Quarterly inspection reports, when vented to the atmosphere.

(cc) Visible observation reports.

(dd) Records of corrective actions.

(xxx) Woodworking equipment controlled by a baghouse provided that the following criteria are met:

(AA) The baghouse does not exhaust to the atmosphere greater than forty thousand (40,000) cubic feet

per minute.

(BB) The baghouse does not emit particulate matter with a diameter less than ten (10) microns PM10 in

excess of one-hundredth (0.01) grain per dry standard cubic feet of outlet air.

(CC) Opacity from the baghouse does not exceed ten percent (10%).

(DD) The baghouse is in operation at all times that the woodworking equipment is in use.

(EE) Visible emissions from the baghouse are observed daily using procedures in accordance with 40

CFR 60, Appendix A, Method 22* and normal or abnormal emissions are recorded. In the event abnormal

emissions are observed for greater than six (6) minutes in duration, the following shall occur:

(aa) The baghouse shall be inspected.

(bb) Corrective actions, such as replacing or reseating bags, are initiated, when necessary.

(FF) The baghouse is inspected quarterly when vented to the atmosphere.

(GG) The owner or operator keeps the following records:

(aa) Records documenting the date when the baghouse redirected indoors or to the atmosphere.

(bb) Quarterly inspection reports, when vented to the atmosphere.

(cc) Visible observation reports.

(dd) Records of corrective actions.

(22) "Major source" means any stationary source or any group of stationary sources as described in this

subdivision. For purposes of clauses (B) and (C), the term shall include any group of stationary sources that

are located on one (1) or more contiguous or adjacent properties and are under common control of the same

person (or persons under common control) belonging to a single major industrial grouping. In addition, for the

purposes of defining major source in clause (B) or (C), a stationary source or group of stationary sources shall

be considered part of a single industrial grouping if all of the pollutant emitting activities at the source or group

of stationary sources on contiguous or adjacent properties belong to the same major group (that is, all have

the same two (2) digit code) as described in the Standard Industrial Classification Manual, 1987*. For

purposes of clauses (B) and (C), any stationary source (or group of stationary sources) that supports another

source, where both are under common control of the same person (or persons under common control) and are

located on contiguous or adjacent properties, shall be considered a support facility and part of the same

source regardless of the two (2) digit SIC code for that support facility. A stationary source (or group of

stationary sources) is considered a support facility to a source if at least fifty percent (50%) of the output of the

support facility is dedicated to the source. The term includes the following:

(A) A major source under Section 112 of the CAA, which is defined as follows:

(i) For pollutants other than radionuclides, any stationary source or group of stationary sources located

within a contiguous area and under common control that emits or has the potential to emit, in the

aggregate:

(AA) ten (10) tons per year (tpy) or more of any HAP that has been listed in Section 112(b) of the CAA;

(BB) twenty-five (25) tpy or more of any combination of such HAPs; or

(CC) such lesser quantity as the U.S. EPA may establish by rule.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 59
(ii) Notwithstanding item (i):

(AA) emissions from any oil or gas exploration or production well (with its associated equipment) and

emissions from any pipeline compressor or pump station shall not be aggregated with emissions from

other similar units, whether or not the units are in a contiguous area or under common control, to

determine whether the units or stations are major sources; and

(BB) research and development activities may be considered separately for purposes of determining

whether a major source is present and need not be aggregated with collocated stationary sources unless

the research and development activities contribute to the product produced or service rendered by the

collocated sources in a more than de minimis manner.

(iii) For radionuclides, major source shall have the meaning specified by the U.S. EPA by rule.

(B) A major stationary source of air pollutants, as defined in Section 302 of the CAA, that directly emits or

has the potential to emit, one hundred (100) tpy or more of any air pollutant subject to regulation (including

any major source of fugitive emissions of any such pollutant, as determined by the U.S. EPA by rule). The

fugitive emissions of a stationary source shall not be considered in determining whether it is a major

stationary source for the purposes of Section 302(j) of the CAA unless the source belongs to one (1) of the

following categories of stationary sources:

(i) Coal cleaning plants (with thermal dryers).

(ii) Kraft pulp mills.

(iii) Portland cement plants.

(iv) Primary zinc smelters.

(v) Iron and steel mills.

(vi) Primary aluminum ore reduction plants.

(vii) Primary copper smelters.

(viii) Municipal incinerators, or combinations of municipal incinerators, capable of charging more than fifty

(50) tons of refuse per day.

(ix) Hydrofluoric, sulfuric, or nitric acid plants.

(x) Petroleum refineries.

(xi) Lime plants.

(xii) Phosphate rock processing plants.

(xiii) Coke oven batteries.

(xiv) Sulfur recovery plants.

(xv) Carbon black plants (furnace process).

(xvi) Primary lead smelters.

(xvii) Fuel conversion plants.

(xviii) Sintering plants.

(xix) Secondary metal production plants.

(xx) Chemical process plants, excluding ethanol production facilities that produce ethanol by natural

fermentation included in North American Industry Classification System (NAICS) codes 325193 for Ethyl

Alcohol Manufacturing or 312140 for Distilleries, as revised in 2007.**

(xxi) Fossil fuel boilers (or combination thereof) totaling more than two hundred fifty million (250,000,000)

British thermal units per hour heat input.

(xxii) Petroleum storage and transfer units with a total storage capacity exceeding three hundred thousand

(300,000) barrels.

(xxiii) Taconite ore processing plants.

(xxiv) Glass fiber processing plants.

(xxv) Charcoal production plants.

(xxvi) Fossil fuel fired steam electric plants of more than two hundred fifty million (250,000,000) British

thermal units per hour heat input.

(xxvii) Any other stationary source category regulated under Section 111 or 112 of the CAA and for which

the U.S. EPA has made an affirmative determination under Section 302(j) of the CAA.

(C) A major stationary source as defined in Part D of Title I of the CAA, including the following:

(i) For ozone nonattainment areas, sources with the potential to emit:

(AA) one hundred (100) tpy or more of VOC or oxides of nitrogen oxides in areas classified as marginal

or moderate;

(BB) fifty (50) tpy or more of VOC or oxides of nitrogen in areas classified as serious;

(CC) twenty-five (25) tpy or more of VOC or oxides of nitrogen oxides in areas classified as severe; or

(DD) ten (10) tpy or more of VOC or oxides of nitrogen oxides in areas classified as extreme;

except that the references in this item to one hundred (100), fifty (50), twenty-five (25), and ten (10) tpy of

nitrogen oxides shall not apply with respect to any source for which the U.S. EPA has made a finding,

under Section 182(f)(1) or 182(f)(2) of the CAA, that requirements under Section 182(f) of the CAA do not

apply.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 60
(ii) For ozone transport regions established under Section 184 of the CAA, sources with the potential to

emit fifty (50) or more tpy of VOC.

(iii) For carbon monoxide nonattainment areas:

(AA) that are classified as serious; and

(BB) in which stationary sources contribute significantly to carbon monoxide levels as determined under

rules issued by the U.S. EPA;

sources with the potential to emit fifty (50) tpy or more of carbon monoxide.

(iv) For particulate matter PM10 nonattainment areas classified as serious, sources with the potential to

emit seventy (70) tpy or more of PM10.

(23) "Part 70 permit" or "permit" means any Part 70 permit or group of Part 70 permits authorizing the

operation of a Part 70 source that is issued, renewed, amended, or revised under this rule.

(24) "Part 70 permit modification" means a revision to a Part 70 permit that meets the requirements of section

12 of this rule.

(25) "Part 70 permit program costs" means all reasonable (direct and indirect) costs required to develop and

administer a Part 70 permit program, as set forth in section 19 of this rule (whether the costs are incurred by

the commissioner or other state or local agencies that do not issue Part 70 permits directly, but that support

Part 70 permit issuance or administration).

(26) "Part 70 permit revision" means any Part 70 permit modification or administrative Part 70 permit

amendment.

(27) "Part 70 program" means the operating permit program established by this rule and approved by the U.S.

EPA under 40 CFR 70*.

(28) "Part 70 source" means any source subject to the permitting requirements as provided in section 2 of this

rule.

(29) "Part 70 source modification" means a modification to a Part 70 source that meets the requirements of

section 10.5 of this rule.

(30) "Potential to emit" means the maximum capacity of a stationary source to emit any air pollutant under its

physical and operational design. Any physical or operational limitation on the capacity of a source to emit an

air pollutant, including air pollution control equipment and restrictions on hours of operation or type or amount

of material combusted, stored, or processed shall be treated as part of its design if the limitation is enforceable

by the U.S. EPA. This term does not alter or affect the use of this term for any other purpose under the CAA,

(or the term "capacity factor" as used in Title IV of the CAA) (or the regulations promulgated thereunder).

(31) "Proposed Part 70 permit" means the version of a Part 70 permit that the commissioner proposes to issue

and forwards to the U.S. EPA for review in compliance with section 18 of this rule.

(32) "Regulated air pollutant" means any of the following:

(A) Nitrogen oxides or any VOC.

(B) Any pollutant for which a national ambient air quality standard has been promulgated.

(C) Any pollutant that is subject to any standard promulgated under Section 111 of the CAA.

(D) Any Class I or Class II substance subject to a standard promulgated under or established by Title VI of

the CAA.

(E) Any pollutant subject to a standard promulgated under Section 112 of the CAA or other requirements

established under Section 112 of the CAA, including Section 112(g), 112(j), and 112(r) of the CAA, including

the following:

(i) Any pollutant subject to requirements under Section 112(j) of the CAA. If the U.S. EPA fails to

promulgate a standard by the date established under Section 112(e) of the CAA, any pollutant for which a

subject source would be major shall be considered to be regulated on the date eighteen (18) months after

the applicable date established under Section 112(e) of the CAA.

(ii) Any pollutant for which the requirements of Section 112(g)(2) of the CAA have been met, but only with

respect to the individual source subject to Section 112(g)(2) of the CAA.

The term does not include particulate matter greater than ten (10) micrometers (μm).

(33) "Regulated pollutant that is used only for purposes of section 19 of this rule" means any regulated air

pollutant, except the following:

(A) Carbon monoxide.

(B) Any pollutant that is a regulated air pollutant solely because it is a Class I or Class II substance subject

to a standard promulgated under or established by Title VI of the CAA.

(C) Any pollutant that is a regulated air pollutant solely because it is subject to a standard or regulation

under Section 112(r) of the CAA.

(D) Any pollutant emitted by an insignificant or trivial activity as defined in this rule.

(34) "Renewal" means the process by which a Part 70 permit is reissued at the end of its term.

(35) "Responsible official" means the following:

(A) For a corporation:

(i) a president;

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 61
(ii) a secretary;

(iii) a treasurer;

(iv) a vice president of the corporation in charge of a principal business function;

(v) any other person who performs similar policy or decision making functions for the corporation; or

(vi) a duly authorized representative of any person listed in this clause if the representative is responsible

for the overall operation of one (1) or more manufacturing, production, or operating facilities applying for or

subject to a Part 70 permit and either the:

(AA) facilities employ more than two hundred fifty (250) persons or have gross annual sales or

expenditures exceeding twenty-five million dollars ($25,000,000) (in second quarter 1980 dollars); or

(BB) delegation of authority to the representative is approved in advance by the commissioner.

(B) For a partnership or sole proprietorship, a general partner or the proprietor, respectively.

(C) For a municipality, state, federal, or other public agency, either a principal executive officer or ranking

elected official. As used in this clause, "principal executive officer of a federal agency" includes the chief

executive officer having responsibility for the overall operations of a principal geographic unit of the agency,

for example, a regional administrator of the U.S. EPA.

(D) For affected sources:

(i) the designated representative for actions, standards, requirements, or prohibitions under Title IV of the

CAA or the regulations promulgated thereunder; and

(ii) the designated representative for any other purposes under a Part 70 permit.

(36) "Risk management plan" means a plan specified by Section 112(r) of the CAA.

(37) "Section 502(b)(10) changes" means changes that contravene an express Part 70 permit term. Such

changes do not include changes that would violate applicable requirements or contravene federally

enforceable Part 70 permit terms and conditions that are monitoring (including test methods), record keeping,

reporting, or compliance certification requirements.

(38) "State" means any nonfederal permitting authority, including any local agency, interstate association, or

statewide program. The term shall have its conventional meaning where the meaning is clear from the context.

For purposes of the acid rain program, the term shall be limited to authorities within the forty-eight (48)

contiguous states and the District of Columbia as provided in Section 402(14) of the CAA.

(39) "Stationary source" means any building, structure, facility, or installation that emits or may emit any

regulated air pollutant or any pollutant listed under Section 112(b) of the CAA.

(40) "Subject to regulation" means, for any air pollutant, that the pollutant is subject to either a provision in the

CAA, or a nationally applicable regulation codified by the U.S. EPA in 40 CFR, Chapter I, Subchapter C, that

requires actual control of the quantity of emissions of that pollutant, and that the control requirement has taken

effect and is operative to control, limit, or restrict the quantity of emissions of that pollutant released from that

regulated activity, except as follows:

(A) Greenhouse gases (GHGs), the air pollutant defined in 40 CFR 86.1818-12(a)*, as added by 75 FR

25686 (May 7, 2010), as the aggregate group of six (6) greenhouse gases shall not be subject to regulation

unless, as of July 1, 2011, the GHG emissions are at a stationary source emitting or having the potential to

emit one hundred thousand (100,000) tpy CO2equivalent emissions (CO2e) or more. Pollutant GHGs

includes the following:

(i) Carbon dioxide.

(ii) Nitrous oxide.

(iii) Methane.

(iv) Hydrofluorocarbons.

(v) Perfluorocarbons.

(vi) Sulfur hexafluoride.

(B) "Tons per year (tpy) CO2equivalent emissions (CO2e)" shall represent an amount of GHGs emitted and

shall be calculated as follows:

(i) Multiply the mass amount of emissions in tpy for each of the six (6) greenhouse gases in the pollutant

GHGs by the gas's associated global warming potential published in 40 CFR 98, Subpart A, Table A-1

(Global Warming Potentials)*, as added by 74 FR 56395 (October 30, 2009).

(ii) Sum the resultant value from item (i) for each gas to compute a tpy CO2e.

(iii) Prior to July 21, 2014, the mass of the greenhouse gas carbon dioxide shall not include carbon

dioxide emissions resulting from the combustion or decomposition of nonfossilized and

biodegradable organic material originating from plants, animals, or microorganisms (including

products, byproducts, residues, and waste from agriculture, forestry, and related industries as well

as the nonfossilized and biodegradable organic fractions of industrial and municipal wastes,

including gases and liquids recovered from the decomposition of nonfossilized and biodegradable

organic material).

(41) "Technology-based emission limit" means any enforceable condition that is derived solely or in part from

the capabilities of man-made equipment or processes, including, but not limited to, any requirement in a permit

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 62
based on:

(A) RACT;

(B) BACT;

(C) maximum achievable control technology (MACT);

(D) lowest achievable emissions reduction (LAER);

(E) generally available control technology (GACT);

(F) best available retrofit technology (BART);

(G) any manufacturers' specifications; or

(H) the sources' physical potential to emit;

unless the applicable requirement was relied upon in a formal attainment demonstration supporting a SIP

approved by the U.S. EPA under Section 110(a)(2)(K) of the CAA.

(42) "Trivial activity" has any of the following meanings, subject to clauses (A) and (B), specified in clauses (C)

through (S), as follows:

(A) A change in a source's trivial activities or the addition of a trivial activity shall not constitute a

modification for purposes of section 12 of this rule, if the new activity or modified activity:

(i) meets the definition of trivial activity of this subdivision;

(ii) has all applicable requirements and associated monitoring in the current permit; and

(iii) is not a modification under any provision of Title I of the CAA.

(B) Trivial activities do not need to be included in a permit application required under this rule or 326 IAC 2-

8, provided that the applicant documents applicable requirements and compliance status as required by

section 4 of this rule. Upon request, the applicant shall submit any information necessary to fulfill the

requirements of this rule or 326 IAC 2-8.

(C) Any activity or emission unit:

(i) not regulated by a NESHAP, with potential uncontrolled emissions that are equal to or less than one (1)

pound per day on an emission unit basis for any single HAP or combination of HAPs; and

(ii) for which the potential uncontrolled emissions meet the exemption levels specified in the following:

(AA) For lead or lead compounds measured as elemental lead, potential uncontrolled emissions that are

equal to or less than one (1) pound per day.

(BB) For carbon monoxide (CO), potential uncontrolled emissions that are equal to or less than one (1)

pound per day.

(CC) For sulfur dioxide, potential uncontrolled emissions that are equal to or less than one (1) pound per

day.

(DD) For VOC, potential uncontrolled emissions that are equal to or less than one (1) pound per day.

(EE) For nitrogen oxides (NOx), potential uncontrolled emissions that are equal to or less than one (1)

pound per day.

(FF) For particulate matter with an aerodynamic diameter less than or equal to ten (10) micrometers PM10 or direct PM2.5, potential uncontrolled emissions that are equal to or less than one (1) pound per day.

(D) Water related activities, including the following:

(i) Production of hot water for on-site personal use not related to any industrial or production process.

(ii) Water treatment activities used to provide potable and process water for the plant, excluding any

activities associated with wastewater treatment.

(iii) Steam traps, vents, leaks, and safety relief valves.

(iv) Cooling ponds.

(v) Laundry operations using only water solutions of bleach or detergents.

(vi) Demineralized water tanks and demineralizer vents.

(vii) Boiler water treatment operations, not including cooling towers.

(viii) Oxygen scavenging (deaeration) of water.

(ix) Steam cleaning operations and steam sterilizers.

(x) Pressure washing of equipment.

(xi) Water jet cutting operations.

(E) Combustion activities, including the following:

(i) Portable electrical generators that can be moved by hand from one (1) location to another. As used in

this item, "moved by hand" means that it can be moved without the assistance of any motorized or

nonmotorized vehicle, conveyance, or device.

(ii) Combustion emissions from propulsion of mobile sources.

(iii) Fuel use related to food preparation for on-site consumption.

(iv) Tobacco smoking rooms and areas.

(v) Blacksmith forges.

(vi) Indoor and outdoor kerosene heaters.

(F) Activities related to ventilation, venting equipment, and refrigeration, including the following:

(i) Ventilation exhaust, central chiller water systems, refrigeration, and air conditioning equipment, not

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 63
related to any industrial or production process, including natural draft hoods or ventilating systems that do

not remove air pollutants.

(ii) Stack and vents from plumbing traps used to prevent the discharge of sewer gases, handling domestic

sewage only, excluding those at wastewater treatment plants or those handling any industrial waste.

(iii) Vents from continuous emissions monitors and other analyzers.

(iv) Natural gas pressure regulator vents, excluding venting at oil and gas production facilities.

(v) Air vents from air compressors.

(vi) Vents for air cooling of electric motors provided the air does not commingle with regulated air

pollutants.

(vii) Vents from equipment used to air blow water from cooled plastics strands or sheets.

(G) Activities related to routine fabrication, maintenance, and repair of buildings, structures, equipment, or

vehicles at the source where air emissions from those activities would not be associated with any

commercial production process, including the following:

(i) Activities associated with the repair and maintenance of paved and unpaved roads, including paving or

sealing, or both, of parking lots and roadways.

(ii) Painting, including interior and exterior painting of buildings, and solvent use excluding degreasing

operations utilizing halogenated organic solvents.

(iii) Brazing, soldering, or welding operations and associated equipment.

(iv) Portable blast-cleaning equipment with enclosures.

(v) Blast-cleaning equipment using water as the suspension agent and associated equipment.

(vi) Batteries and battery charging stations except at battery manufacturing plants.

(vii) Lubrication, including the following:

(AA) Hand-held spray can lubrication.

(BB) Dipping metal parts into lubricating oil.

(CC) Manual or automated addition of cutting oil in machining operations.

(viii) Nonasbestos insulation installation or removal.

(ix) Tarring, retarring, and repair of building roofs.

(x) Bead blasting of heater tubes.

(xi) Instrument air dryer and filter maintenance.

(xii) Manual tank gauging.

(xiii) Open tumblers associated with deburring operations in maintenance shops.

(H) Activities performed using hand-held equipment, including the following:

(i) Application of hot melt adhesives with no VOC in the adhesive formulation.

(ii) Buffing.

(iii) Carving.

(iv) Cutting, excluding cutting torches.

(v) Drilling.

(vi) Grinding.

(vii) Machining wood, metal, or plastic.

(viii) Polishing.

(ix) Routing.

(x) Sanding.

(xi) Sawing.

(xii) Surface grinding.

(xiii) Turning wood, metal, or plastic.

(I) Housekeeping and janitorial activities and supplies, including the following:

(i) Vacuum cleaning systems used exclusively for housekeeping or custodial activities, or both.

(ii) Steam cleaning activities.

(iii) Restrooms and associated cleanup operations and supplies.

(iv) Alkaline or phosphate cleaners and associated equipment.

(v) Mobile floor sweepers and floor scrubbers.

(vi) Pest control fumigation.

(J) Office related activities, including the following:

(i) Office supplies and equipment.

(ii) Photocopying equipment and associated supplies.

(iii) Paper shredding.

(iv) Blueprint machines, photographic equipment, and associated supplies.

(K) Lawn care and landscape maintenance activities and equipment, including the storage, spraying, or

application of insecticides, pesticides, and herbicides.

(L) Storage equipment and activities, including the following:

(i) Pressurized storage tanks and associated piping for the following:

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 64
(AA) Acetylene.

(BB) Anhydrous ammonia.

(CC) Carbon monoxide.

(DD) Chlorine.

(EE) Inorganic compounds.

(FF) Liquid petroleum gas (LPG).

(GG) Liquid natural gas (LNG).

(HH) Natural gas.

(II) Nitrogen dioxide.

(JJ) Sulfur dioxide.

(ii) Storage tanks, vessels, and containers holding or storing liquid substances that do not contain any VOC

or HAP.

(iii) Storage tanks, reservoirs, and pumping and handling equipment of any size containing:

(AA) soap;

(BB) vegetable oil;

(CC) grease;

(DD) wax;

(EE) animal fat; and

(FF) nonvolatile aqueous salt solutions;

provided appropriate lids and covers are utilized.

(iv) Storage of drums containing maintenance raw materials.

(v) Storage of the following:

(AA) Castings.

(BB) Lance rods.

(CC) Any non-HAP containing material in solid form stored in a sealed or covered container.

(vi) Portable containers used for the collection, storage, or disposal of materials provided the container

capacity is equal to or less than forty-six hundredths (0.46) cubic meters and the container is closed,

except when the material is added or removed.

(M) Emergency and standby equipment, including the following:

(i) Emergency (backup) electrical generators at residential locations, such as dormitories, prisons, and

hospitals.

(ii) Safety and emergency equipment except engine driven fire pumps, including fire suppression systems

and emergency road flares.

(iii) Process safety relief devices installed solely for the purpose of minimizing injury to persons or damage

to equipment that could result from abnormal process operating conditions, including the following:

(AA) Explosion relief vents, diaphragms, or panels.

(BB) Rupture discs.

(CC) Safety relief valves.

(iv) Activities and equipment associated with on-site medical care not otherwise specifically regulated.

(v) Vacuum-producing devices for the purpose of removing potential accidental releases.

(N) Sampling and testing equipment and activities, including the following:

(i) Equipment used for quality control/assurance or inspection purposes, including sampling equipment

used to withdraw materials for analysis.

(ii) Hydraulic and hydrostatic testing equipment.

(iii) Ground water monitoring wells and associated sample collection equipment.

(iv) Environmental chambers not using HAP gases.

(v) Shock chambers.

(vi) Humidity chambers.

(vii) Solar simulators.

(viii) Sampling activities, including the following:

(AA) Sampling of waste.

(BB) Glove box sampling, charging, and packaging.

(ix) Instrument air dryers and distribution.

(O) Use of consumer products and equipment where the product or equipment is:

(i) used at a source in the same manner as normal consumer use; and

(ii) not associated with any production process.

(P) Equipment and activities related to the handling, treating, and processing of animals, including the

following:

(i) Equipment used exclusively to slaughter animals, but not including the following:

(AA) Rendering cookers.

(BB) Boilers.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 65
(CC) Heating plants.

(DD) Incinerators.

(EE) Electrical power generating equipment.

(ii) Veterinary operating rooms.

(Q) Activities generating limited amounts of fugitive dust, including the following:

(i) Fugitive emissions related to movement of passenger vehicles, provided the emissions are not counted

for applicability purposes under subdivision (22)(B), and any required fugitive dust control plan or its

equivalent is submitted.

(ii) Soil boring.

(iii) Road salting and sanding.

(R) Activities associated with production, including the following:

(i) Closed, nonvented tumblers used for cleaning or deburring metal products without abrasive blasting.

(ii) Electrical resistance welding.

(iii) CO2lasers, used only on metals and other materials that do not emit HAPs in the process.

(iv) Laser trimmers that:

(AA) do not produce fugitive emissions; and

(BB) are equipped with a dust collection device, such as a bag filter, cyclone, or equivalent device.

(v) Application equipment for hot melt adhesives with no VOC in the adhesive formulation.

(vi) Drop hammers or hydraulic presses for forging or metalworking.

(vii) Air compressors and pneumatically operated equipment, including hand tools.

(viii) Compressor or pump lubrication and seal oil systems.

(ix) Equipment used to mix and package:

(AA) soaps;

(BB) vegetable oil;

(CC) grease;

(DD) animal fat; and

(EE) nonvolatile aqueous salt solutions;

provided appropriate lids and covers are utilized.

(x) Equipment for washing or drying fabricated glass or metal products, if no:

(AA) VOCs or HAPs are used in the process; and

(BB) gas, oil, or solid fuel is burned.

(xi) Handling of solid steel, including coils and slabs, excluding scrap burning, scarfing, and charging into

steelmaking furnaces and vessels.

(S) Miscellaneous equipment, but not emissions associated with the process for which the equipment is

used, and activities, including the following:

(i) Equipment used for surface coating, painting, dipping, or spraying operation, except those that will emit

VOCs or HAPs.

(ii) Condensate drains for natural gas and landfill gas.

(iii) Electric or steam heated drying ovens and autoclaves, including only the heating emissions and not

any associated process emissions.

(iv) Salt baths using nonvolatile salts, including caustic solutions that do not result in emissions of any

regulated air pollutants.

(v) Ozone generators.

(vi) Portable dust collectors.

(vii) Scrubber systems circulating water based solutions of inorganic salts or bases that are installed to be

available for response to emergency situations.

(viii) Soil borrow pits.

(ix) Manual loading and unloading operations.

(x) Purging of refrigeration devices using a combination of nitrogen and CFC-22 (R-22) as pressure test

media.

(xi) Construction and demolition operations.

(xii) Mechanical equipment gear boxes and vents that are isolated from process materials.

(xiii) Nonvolatile mold release waxes and agents.

(43) "U.S. EPA" means the administrator of the United States Environmental Protection Agency or the

administrator's designee.

*These documents are incorporated by reference. Copies may be obtained from the Government Printing

Office, 732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the

Indiana Department of Environmental Management, Office of Air Quality, Indiana Government Center North,

Tenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 66
**These documents are incorporated by reference. Copies may be obtained through the U.S. Census Bureau

website at: www.census.gov/eos/www/naics or are available for review and copying at the Indiana Department of

Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor, 100 North

Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-7-1; filed May 25, 1994, 11:00 a.m.: 17 IR 2249; filed Dec 19, 1995, 3:05

p.m.: 19 IR 1051; errata filed Apr 9, 1996, 2:30 p.m.: 19 IR 2045; filed May 31, 1996, 4:00 p.m.: 19 IR 2856; filed

Apr 22, 1997, 2:00 p.m.: 20 IR 2326; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1020; errata filed May 12, 1999, 11:23

a.m.: 22 IR 3106; filed Dec 20, 2001, 4:30 p.m.: 25 IR 1573; filed Oct 1, 2010, 3:48 p.m.:

20101027-IR-326070372FRA; filed Feb 14, 2011, 11:20 a.m.: 20110316-IR-326100505FRA; filed May 25, 2011,

1:07 p.m.: 20110622-IR-326110085FRA; filed Jul 21, 2011, 10:45 a.m.: 20110817-IR-326110099FRA)

SECTION 16. 326 IAC 2-7-10.5, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA,

SECTION 13, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-7-10.5 Part 70 permits; source modifications

Authority: IC 13-14-8; IC 13-15-2; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15-5; IC 13-17

Sec. 10.5. (a) An owner or operator of a Part 70 source proposing to:

(1) construct new emission units;

(2) modify existing emission units; or

(3) otherwise modify the source as described in this section;

shall submit a request for a modification approval in accordance with this section.

(b) In addition to the request for modification approval in subsection (a), the commissioner may issue a source

modification for the purpose of incorporating the control requirements and emission limitations that are set forth in

a:

(1) final federal district court order that adjudicates violations of the prevention of significant deterioration

provisions under Sections 160 through 169B of the CAA (42 U.S.C. 7470 through 42 U.S.C. 7492), the

nonattainment new source review requirements under Sections 171 through 193 of the CAA (42 U.S.C. 7501

through 42 U.S.C. 7515), Section 112(g) and 112(j) of the CAA (42 U.S.C. 7412(g) and 42 U.S.C. 7412(j)),

326 IAC 2-2, 326 IAC 2-3, or 326 IAC 20; or

(2) federal consent decree that is entered into for the purpose of resolving alleged violations of the prevention

of significant deterioration provisions under Sections 160 through 169B of the CAA (42 U.S.C. 7470 through

42 U.S.C. 7492), the nonattainment new source review requirements under Sections 171 through 193 of the

CAA (42 U.S.C. 7501 through 42 U.S.C. 7515), Section 112(g) and 112(j) of the CAA (42 U.S.C. 7412(g) and

42 U.S.C. 7412(j)), 326 IAC 2-2, 326 IAC 2-3, or 326 IAC 20.

(c) Notwithstanding any other provision of this rule, the owner or operator of a source may repair or replace an

emissions unit or air pollution control equipment or components thereof without prior approval if the repair or

replacement:

(1) results in a potential to emit for each regulated pollutant that is less than or equal to the potential to emit of

the equipment or the affected emissions unit that was repaired or replaced;

(2) is not a major modification under 326 IAC 2-2, 326 IAC 2-3, or 326 IAC 2-4.1; and

(3) returns the emissions unit, process, or control equipment to normal operation after an upset, malfunction,

or mechanical failure or prevents impending and imminent failure of the emissions unit, process, or control

equipment.

If the repair or replacement qualifies as a reconstruction or is a complete replacement of an emissions unit or air

pollution control equipment and would require a modification approval or operating permit revision under a

provision of this rule, the owner or operator of the source must submit an application for a permit or permit

revision to the commissioner not later than thirty (30) calendar days after initiating the repair or replacement.

(d) Any person proposing to make a modification described in subsection (e) or (g) shall submit an application

to the commissioner concerning the modification as follows:

(1) If only preconstruction approval is requested, the application shall contain the following information:

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 67
(A) The company name and address.

(B) The following descriptive information:

(i) A description of the nature and location of the proposed construction or modification.

(ii) The design capacity and typical operating schedule of the proposed construction or modification.

(iii) A description of the following:

(AA) The source and the emissions unit or units comprising the source.

(BB) Any proposed emission control equipment, including design specifications.

(C) A schedule for proposed construction or modification of the source.

(D) The following information as needed to assure all reasonable information is provided to evaluate

compliance consistent with the permit terms and conditions, the underlying requirements of this title and the

CAA, the ambient air quality standards set forth in 326 IAC 1-3, or the prevention of significant deterioration

maximum allowable increase under 326 IAC 2-2:

(i) Information on the nature and amount of the pollutant to be emitted, including an estimate of the

potential to emit any regulated air pollutants.

(ii) Estimates of offset credits, as required under 326 IAC 2-3, for sources to be constructed in

nonattainment areas.

(iii) Any other information, including, but not limited to, the air quality impact, determined by the

commissioner to be necessary to reasonably demonstrate compliance with the requirements of this title

and the requirements of the CAA, whichever are applicable.

(E) Each application shall be signed by an authorized individual, unless otherwise noted, whose signature

constitutes the following:

(i) An acknowledgment that the applicant assumes the responsibility of assuring that the source, emissions

unit or units, or emission control equipment will be constructed and will operate in compliance with all

applicable Indiana air pollution control rules and the requirements of the CAA.

(ii) Affirmation that the statements in the application are true and complete, as known at the time of

completion of the application, and shall subject the applicant to liability under state laws forbidding false or

misleading statements.

(2) If the source requests that the preconstruction approval and operating permit revision be combined, the

application shall contain the information in subdivision (1) and the following information consistent with section

4(c) of this rule:

(A) An identification of the applicable requirements to which the source will be subject as a result of the

modification, including the applicable emission limits and standards, applicable monitoring and test

methods, and applicable record keeping and reporting requirements.

(B) A description of the Part 70 permit terms and conditions that will apply to the modification and that are

consistent with sections 5 and 6 of this rule.

(C) A schedule of compliance, if applicable.

(D) A statement describing what the compliance status of the modification will be after construction has

been completed consistent with section 4(c)(10) of this rule.

(E) A certification consistent with section 4(f) of this rule.

(e) The following minor modifications shall be processed in accordance with subsection (f):

(1) Modifications that would reduce the frequency of any monitoring or reporting required by a permit condition

or applicable requirement.

(2) The addition of a portable source or relocation of a portable source to an existing source if the addition or

relocation would require a change to any permit terms or conditions.

(3) Modifications that would have a potential to emit within any of the following ranges:

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of either

particulate matter PM, or particulate matter less than ten (10) microns PM10, or direct PM2.5.

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of the

following pollutants:

(i) Sulfur dioxide (SO2).

(ii) Nitrogen oxides (NOx).

(iii) VOC for modifications that are not described in clause (C).

(C) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of VOC for

modifications that require the use of air pollution control equipment to comply with the applicable provisions

of 326 IAC 8.

(D) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons per year of

carbon monoxide (CO).

(E) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of lead (Pb).

(F) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of the

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 68
following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(4) Modifications for which the potential to emit is limited to less than twenty-five (25) tons per year of any

regulated pollutant other than HAPs, ten (10) tons per year of any single HAP as defined under Section 112(b)

of the CAA, or twenty-five (25) tons per year of any combination of HAPs by complying with one (1) of the

following constraints:

(A) Limiting total annual solvent usage or maximum VOC content, or both.

(B) Limiting annual hours of operation of the process or business.

(C) Using a particulate air pollution control device as follows:

(i) Achieving and maintaining ninety-nine percent (99%) efficiency.

(ii) Complying with a no visible emission standard.

(iii) The potential to emit before controls does not exceed major source thresholds for federal permitting

programs.

(iv) Certifying to the commissioner that the control device supplier guarantees that a specific outlet

concentration, in conjunction with design air flow, will result in actual emissions less than twenty-five (25)

tons of particulate matter PM, or fifteen (15) tons per year of particulate matter with an aerodynamic

diameter less than or equal to ten (10) micrometers PM10 or direct PM2.5.

(D) Limiting individual fuel usage and fuel type for a combustion source.

(E) Limiting raw material throughput or sulfur content of raw materials, or both.

(5) A modification that is subject to a RACT, a new source performance standard (NSPS), or a national

emission standard for hazardous air pollutants (NESHAP) and the RACT, NSPS, or NESHAP is the most

stringent applicable requirement, except for those modifications that would be subject to the provisions of 40

CFR Part 63, Subpart B, Hazardous Air Pollutants: Regulations Governing Constructed or Reconstructed

Major Sources*. As part of the application required under subsection (d), the applicant shall acknowledge the

requirement to comply with the RACT, NSPS, or NESHAP.

(6) A change for which a source requests an emission limit to avoid 326 IAC 8-1-6.

(7) A modification of an existing source that has a potential to emit greater than the thresholds under

subdivision (3) if the modification will replace or repair a part or piece of equipment in an existing process

unless the modification:

(A) results in the replacement or repair of an entire process;

(B) qualifies as a reconstruction of an entire process;

(C) may result in an increase of actual emissions; or

(D) would result in a net emissions increase greater than the significant levels in 326 IAC 2-2 or 326 IAC 2-

3.

(8) A modification that has a potential to emit greater than the thresholds under subdivision (3) that adds an

emissions unit or units of the same type that are already permitted and that will comply with the same

applicable requirements and permit terms and conditions as the existing emission unit or units, except if the

modification would result in a potential to emit greater than the thresholds in 326 IAC 2-2 or 326 IAC 2-3.

(9) For a source in Lake County or Porter County with the potential to emit twenty-five (25) tons per year of

either VOC or NOx, any modification that would result in an increase of either emissions greater than or equal

to the following:

(A) Fifteen (15) pounds per day of VOCs.

(B) Twenty-five (25) pounds per day of NOx.

(f) Minor modification approval procedures for modifications described under subsection (d) are as follows:

(1) Except as provided in 326 IAC 2-13, the source may not begin construction on any emissions unit that is

necessary to implement the modification until the commissioner has approved the modification request.

(2) Within forty-five (45) calendar days from receipt of an application for a modification described under

subsection (e), the commissioner shall do one (1) of the following:

(A) Approve the modification request.

(B) Deny the modification request.

(C) Determine that the minor permit revision request would cause or contribute to a violation of the National

Ambient Air Quality Standard (NAAQS) or prevention of significant deterioration (PSD) standards would

allow for an increase in emissions greater than the thresholds in subsection (g) or would not provide for

compliance monitoring consistent with this rule and should be processed under subsection (h).

(3) The source may begin construction as follows:

(A) If the source has a final Part 70 permit and only requests preconstruction approval or if the source does

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 69
not have a final Part 70 permit, the source may begin construction upon approval by the commissioner.

Notwithstanding IC 13-15-5, the commissioner's approval shall become effective immediately. Operation of

the modification shall be as follows:

(i) For a source that has a final Part 70 permit, operation of the modification may commence in accordance

with section 12 of this rule.

(ii) For a source without a final Part 70 permit, operation may begin after construction is completed.

(B) If the source requests that the preconstruction approval and operating permit revision be combined, the

source may begin construction upon approval and operation may begin in accordance with section 12 of this

rule.

(g) The following significant modifications shall be processed in accordance with subsection (h):

(1) Any modification that is subject to 326 IAC 2-2, 326 IAC 2-3, or 326 IAC 2-4.1.

(2) A modification that is subject to 326 IAC 8-1-6.

(3) Any modification with a potential to emit lead at greater than or equal to one (1) ton per year.

(4) Any modification with a potential to emit greater than or equal to twenty-five (25) tons per year of any of the

following pollutants:

(A) Particulate matter PM, or particulate matter with an aerodynamic diameter less than or equal to ten (10)

micrometers PM10, or direct PM2.5.

(B) Sulfur dioxide (SO2).

(C) Nitrogen oxides (NOx).

(D) VOC.

(E) Hydrogen sulfide (H2S).

(F) Total reduced sulfur (TRS).

(G) Reduced sulfur compounds.

(H) Fluorides.

(5) For a source of lead with a potential to emit greater than or equal to five (5) tons per year, a modification

that would increase the potential to emit greater than or equal to six-tenths (0.6) ton per year.

(6) Any modification with a potential to emit greater than or equal to ten (10) tons per year of a single HAP as

defined under Section 112(b) of the CAA or twenty-five (25) tons per year of any combination of HAPs.

(7) Any modification with a potential to emit greater than or equal to one hundred (100) tons per year of carbon

monoxide (CO).

(h) The following shall apply to the significant modifications described in subsection (g):

(1) Any person proposing to make a modification described in subsection (g) shall:

(A) submit an application concerning the modification; and

(B) include the information under subsection (d).

(2) Except as provided in 326 IAC 2-13, the source may not begin construction on any emissions unit that is

necessary to implement the modification until the commissioner has issued a modification approval.

(3) The commissioner shall approve or deny the modification as follows:

(A) Within one hundred twenty (120) calendar days from receipt of an application for a modification in

subsection (g) except subsection (g)(1).

(B) Within two hundred seventy (270) calendar days from receipt of an application for a modification under

subsection (g)(1).

(4) A modification approval under this subsection may be issued only if all of the following conditions have

been met:

(A) The commissioner has received a complete application for a modification.

(B) The commissioner has complied with the requirements for public notice as follows:

(i) For modifications for which a source is only requesting preconstruction approval, the commissioner has

complied with the requirements under 326 IAC 2-1.1-6.

(ii) For modifications for which a source is requesting a combined preconstruction approval and operating

permit revision, the commissioner has complied with the requirements under section 17 of this rule.

(C) The conditions of the modification approval provide for compliance with all applicable requirements and

this rule.

(D) For modifications for which a source is requesting a combined preconstruction approval and operating

permit revision, the U.S. EPA has received a copy of the proposed modification approval and any notices

required and has not objected to the issuance of the modification approval within the time period specified in

section 18 of this rule.

(5) The commissioner shall do the following:

(A) Provide a technical support document that sets forth the legal and factual basis for draft modification

approval conditions, including references to the applicable statutory and regulatory provisions.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 70
(B) Send this technical support document to:

(i) the U.S. EPA;

(ii) the applicant; and

(iii) any other person who requests it.

(i) The following shall apply to a modification approval described in subsection (g) for a source that has not

received a final Part 70 permit:

(1) After receiving an approval to construct and prior to receiving approval to operate, a source shall prepare

an affidavit of construction as follows:

(A) The affidavit shall include the following:

(i) The name and title of the authorized individual.

(ii) The company name.

(iii) Subject to item (iv), an affirmation that the emissions units described in the modification approval:

(AA) were constructed in conformance with the request for modification approval; and

(BB) will comply with the modification approval.

(iv) Identification of any changes to emissions units not included in the request for modification approval,

but which should have been included under subsection (a).

(v) The signature of the authorized individual.

(B) The affidavit shall be notarized.

(C) A source shall submit the affidavit to the commissioner either after construction of all the emission units

described in the modification approval or after each phase of construction of the emission units described in

the modification approval, as applicable, has been completed.

(2) A source may not operate any emissions units described in the modification approval prior to receiving a

validation letter issued by the commissioner, except as provided in the following:

(A) A source may operate the emissions units covered by the affirmation in the affidavit of construction upon

submission of the affidavit of construction.

(B) The commissioner shall issue a validation letter within five (5) working days of receipt of the affidavit of

construction.

(C) The validation letter shall authorize the operation of all or part of each emissions unit covered by the

affirmation in the affidavit of construction.

(D) Subject to clause (E), the validation letter shall include any amendments to the modification approval if

the amendment is requested by the source and if the amendment does not constitute a modification and

require public notice and comment under 326 IAC 2-1.1-6.

(E) A validation letter shall not approve the operation of any emissions unit if an amendment to the

modification approval requested by the source would constitute a modification and require public notice and

comment under 326 IAC 2-1.1-6.

(j) Each modification approval issued under this rule shall provide that construction must commence within

eighteen (18) months of the issuance of the modification approval.

(k) All modification approval proceedings under this section shall provide adequate procedures for public

notice, including offering an opportunity for public comment and a hearing on the draft modification approval as

established in 326 IAC 2-1.1-6 or section 17 of this rule.

(l) The commissioner shall provide for review by the U.S. EPA and affected states of each:

(1) modification application;

(2) draft modification approval;

(3) proposed modification approval; and

(4) final modification approval;

in accordance with the procedures established in section 18 of this rule for modifications that a source is

requesting a combined preconstruction approval and operating permit revision.

(m) A modification approval issued in accordance with this section shall be incorporated into the source's Part

70 permit or permit application as follows:

(1) For a source that has a final Part 70 permit and requested that the preconstruction approval and permit

revision be combined, the modification approval shall be incorporated into the Part 70 permit as an

administrative amendment in accordance with section 11 of this rule.

(2) For a source that has a final Part 70 permit and requested only a preconstruction approval, the source may

begin operation in accordance with section 12 of this rule.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 71
(3) For a source that has a complete Part 70 permit application on file, but does not have a final Part 70 permit

and requested only preconstruction approval, the modification approval:

(A) shall be deemed incorporated in the Part 70 permit application; and

(B) will be included in the Part 70 permit when issued.

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-7-10.5; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1039; errata filed May 12,

1999, 11:23 a.m.: 22 IR 3107; filed Oct 23, 2000, 9:47 a.m.: 24 IR 672; filed May 21, 2002, 10:20 a.m.: 25 IR

3065; filed Aug 10, 2004, 3:35 p.m.: 27 IR 3947; errata filed Jul 23, 2007, 4:19 p.m.:

20070815-IR-326070466ACA; filed Oct 1, 2010, 3:48 p.m.: 20101027-IR-326070372FRA)

SECTION 17. 326 IAC 2-8-11.1, PROPOSED TO BE AMENDED AT 20110831-IR-326090493PRA,

SECTION 17, IS AMENDED TO READ AS FOLLOWS:

326 IAC 2-8-11.1 Permit revisions

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11

Affected: IC 13-15-5; IC 13-17

Sec. 11.1. (a) Any person proposing to add additional emission units, modify existing emission units, or

otherwise modify a FESOP source as described in this section shall submit a permit revision request in

accordance with this section.

(b) Notwithstanding any other provision of this rule, the owner or operator of a source may repair or replace an

emissions unit or air pollution control equipment, or components thereof, without prior approval, if the repair or

replacement:

(1) results in a potential to emit for each regulated pollutant that is less than or equal to the potential to emit for

the equipment or the affected emissions unit that was repaired or replaced;

(2) is not a major modification under 326 IAC 2-2-1, 326 IAC 2-3-1, or 326 IAC 2-4.1; and

(3) returns the emissions unit, process, or control equipment to normal operation after an upset, malfunction,

or mechanical failure or prevents impending and imminent failure of the emissions unit, process, or control

equipment.

If the repair or replacement qualifies as a reconstruction or is a complete replacement of an emissions unit or air

pollution control equipment and would require a permit or operating permit revision under a provision of this rule,

the owner or operator of the source must submit an application for a permit or permit revision to the commissioner

not later than thirty (30) calendar days after initiating the repair or replacement.

(c) An application required under this section shall meet the requirements of section 3(c) of this rule and

include the following information:

(1) The company name and address.

(2) A description of the change and the emissions resulting from the change.

(3) An identification of the applicable requirements to which the source is newly subject as a result of the

change, including the applicable emission limits and standards, applicable monitoring and test methods, and

applicable record keeping and reporting requirements.

(4) Proposed permit terms and conditions required to implement the change, including limitations and methods

to be used to comply with the limitations for modifications described in subsection (d)(4).

(5) A schedule of compliance, if applicable.

(6) A certification consistent with section 3(d) of this rule.

(d) The following modifications shall require minor permit revisions and shall require approval prior to

construction and operation:

(1) Modifications that reduce the frequency of any monitoring or reporting required by a permit condition or

applicable requirement.

(2) The addition of a portable source or relocation of a portable source to an existing source, if the addition or

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 72
relocation would require a change to any permit terms or conditions.

(3) Modifications that would have a potential to emit within the following ranges:

(A) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of either

particulate matter PM, or particulate matter less than ten (10) microns PM10, or direct PM2.5.

(B) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of sulfur

dioxide (SO2).

(C) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of nitrogen

oxides (NOx).

(D) Less than twenty-five (25) tons per year and equal to or greater than ten (10) tons per year of VOC for

modifications that are not described in clause (E).

(E) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of VOC for

modifications that require the use of air pollution control equipment to comply with the applicable provisions

of 326 IAC 8.

(F) Less than one hundred (100) tons per year and equal to or greater than twenty-five (25) tons per year of

carbon monoxide (CO).

(G) Less than five (5) tons per year and equal to or greater than two-tenths (0.2) ton per year of lead (Pb).

(H) Less than twenty-five (25) tons per year and equal to or greater than five (5) tons per year of the

following regulated air pollutants:

(i) Hydrogen sulfide (H2S).

(ii) Total reduced sulfur (TRS).

(iii) Reduced sulfur compounds.

(iv) Fluorides.

(4) Modifications for which the potential to emit is limited to less than twenty-five (25) tons per year of any

regulated pollutant other than HAPs, ten (10) tons per year of any single HAP as defined under Section 112(b)

of the CAA, or twenty-five (25) tons per year of any combination of HAPs by complying with one (1) of the

following constraints:

(A) Limiting total annual solvent usage or maximum VOC content, or both.

(B) Limiting annual hours of operation of the process or business.

(C) Using a particulate air pollution control device as follows:

(i) Achieving and maintaining ninety-nine percent (99%) efficiency.

(ii) Complying with a no visible emission standard.

(iii) The potential to emit before air pollution controls does not exceed major source thresholds for federal

permitting programs.

(iv) Certifying to the commissioner that the air pollution control device supplier guarantees that a specific

outlet concentration, in conjunction with design air flow, will result in actual emissions less than twenty-five

(25) tons of particulate matter PM, or fifteen (15) tons per year of particulate matter with an aerodynamic

diameter less than or equal to ten (10) micrometers PM10 or direct PM2.5.

(D) Limiting individual fuel usage and fuel type for a combustion source.

(E) Limiting raw material throughput or sulfur content of raw materials, or both.

(5) A change that is not described under section 10(a)(15) or 10(a)(16) of this rule and is subject to a RACT, a

new source performance standard (NSPS), or a national emission standard for hazardous air pollutants

(NESHAP) and the RACT, NSPS, or NESHAP is the most stringent applicable requirement, except for those

modifications that would be subject to the provisions of 40 CFR 63, Subpart B Hazardous Air Pollutants:

Regulations Governing Constructed or Reconstructed Major Sources*. As part of the application required

under subsection (c), the applicant shall acknowledge the requirement to comply with the RACT, NSPS, or

NESHAP.

(6) A modification for which a source requests an emission limit to avoid 326 IAC 8-1-6.

(e) Minor permit revision procedures shall be as follows:

(1) Any person proposing to make a change described in subsection (d) shall:

(A) submit an application concerning the change; and

(B) include the information under subsection (c).

(2) Except as provided in 326 IAC 2-13, the source may not begin construction on any emissions unit that is

necessary to implement the change until the commissioner has revised the permit.

(3) Within forty-five (45) calendar days from receipt of an application for a minor permit revision, the

commissioner shall either:

(A) approve the minor permit revision request;

(B) deny the minor permit revision; or

(C) determine that the minor permit revision request would cause or contribute to a violation of the National

Ambient Air Quality Standard (NAAQS) or prevention of significant deterioration (PSD) standards, would

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 73
allow for an increase in emissions greater than the thresholds in subsection (f), or would not provide for

compliance monitoring consistent with this rule and should be processed as a significant permit revision.

(4) If approved, the permit shall be revised by incorporating the minor permit revision into the permit. The

commissioner shall make any changes necessary to assure compliance with this title and the CAA prior to

attaching the minor permit revision to the permit. The commissioner shall do the following:

(A) Notify the permittee upon incorporation of the minor permit revision to the permit.

(B) Provide a copy of the minor permit revision to the permittee.

Notwithstanding IC 13-15-5, the commissioner's decision shall become effective immediately.

(f) Significant permit revision procedures are as follows:

(1) A significant permit revision is a modification that is not an administrative amendment under section 10 of

this rule or subject to subsection (d) and includes the following:

(A) Any modification that would be subject to 326 IAC 2-2, 326 IAC 2-3, or 326 IAC 2-4.1.

(B) Any modification that results in the source needing to obtain a Part 70 permit under 326 IAC 2-7.

(C) A modification that is subject to 326 IAC 8-1-6.

(D) Any modification with a potential to emit lead at greater than or equal to one (1) ton per year.

(E) Any modification with a potential to emit greater than or equal to twenty-five (25) tons per year of the

following pollutants:

(i) Particulate matter PM, or particulate matter with an aerodynamic diameter less than or equal to ten (10)

micrometers PM10, or direct PM2.5.

(ii) Sulfur dioxide (SO2).

(iii) Nitrogen oxides (NOx).

(iv) VOC.

(v) Hydrogen sulfide (H2S).

(vi) Total reduced sulfur (TRS).

(vii) Reduced sulfur compounds.

(viii) Fluorides.

(F) For a source of lead with a potential to emit greater than or equal to five (5) tons per year, a modification

that would increase the potential to emit greater than or equal to six-tenths (0.6) ton per year.

(G) Any modification with a potential to emit greater than or equal to ten (10) tons per year of a single HAP

as defined under Section 112(b) of the CAA or twenty-five (25) tons per year of any combination of HAPs.

(H) Any modification with a potential to emit greater than or equal to one hundred (100) tons per year of

carbon monoxide (CO).

(I) Any modification that removes or reduces compliance monitoring, testing, record keeping, reporting, or its

frequency.

(2) The following conditions shall apply to significant permit revisions:

(A) Any person proposing to make a modification described in this subsection shall:

(i) submit an application concerning the modification; and

(ii) include the information under subsection (c).

(B) The commissioner shall provide a copy of the significant permit revision application and draft and final

operating permit revision to the U.S. EPA.

(C) Except as provided in 326 IAC 2-13, the source may not begin construction on any emissions unit that is

necessary to implement the change until the commissioner has revised the permit.

(D) The commissioner shall provide for public notice and comment in accordance with section 13 of this

rule.

(E) The commissioner shall approve or deny the significant permit revision as follows:

(i) Within one hundred twenty (120) calendar days from receipt of an application for a significant permit

revision, except for a significant permit revision under subdivision (1)(A).

(ii) Within two hundred seventy (270) calendar days from receipt of an application for a significant permit

revision under subdivision (1)(A).

(F) If approved, the permit shall be revised by incorporating the significant permit revision into the permit.

The commissioner shall make any changes necessary to assure compliance with this title and the CAA prior

to attaching the significant permit revision to the permit.

(g) Notwithstanding a permit requirement for emissions to remain below major source thresholds under Part

70 in 326 IAC 2-7, PSD in 326 IAC 2-2, or emission offset in 326 IAC 2-3, any modifications that require an

adjustment to the FESOP emission limitations shall be required to be reviewed in accordance with the procedures

in subsection (f).

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 74
732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 2-8-11.1; filed Nov 25, 1998, 12:13 p.m.: 22 IR 1055; errata filed May 12,

1999, 11:23 a.m.: 22 IR 3107; filed May 21, 2002, 10:20 a.m.: 25 IR 3072; errata filed Jul 23, 2007, 4:19 p.m.:

20070815-IR-326070466ACA; filed Oct 1, 2010, 3:48 p.m.: 20101027-IR-326070372FRA)

SECTION 18. 326 IAC 4-1-4.1 IS AMENDED TO READ AS FOLLOWS:

326 IAC 4-1-4.1 Open burning approval; criteria and conditions

Authority: IC 13-15-2-1; IC 13-17-3-4

Affected: IC 4-21.5; IC 13-12; IC 13-17-9

Sec. 4.1. (a) Burning not exempted by section 3 or 4 of this rule may be authorized by the issuance of an

approval by the commissioner or the commissioner's designated agent after consideration of an approval

application. Such burning may be authorized for, but not limited to, the following:

(1) Burning for the purpose of fire training.

(2) Burning of natural growth derived from a clearing operation, such as removal of natural growth for change

in use of the land.

(3) Burning of highly explosive or other dangerous materials for which no alternative disposal method exists or

where transportation of such materials is hazardous.

(4) Burning of clean wood products.

(5) Burning of natural growth for the purpose of land management.

(b) The following criteria may be considered for approval under this section:

(1) The applicant has demonstrated that alternative methods for disposal are impractical or prohibitively

expensive.

(2) There are not more than five (5) residences or structures within five hundred (500) feet of the proposed

burning site.

(3) There have been no open burning violations at the site of the proposed burning or by the applicant.

(4) If the application involves a structure for fire training, the structure has not been demolished prior to training

activities.

(5) The burning site is located in a county not designated as a nonattainment area for PM10, PM2.5, or ozone

and is not located in Clark County or Floyd County. The commissioner or the commissioner's agent may allow

open burning in these areas, subject to conditions necessary to protect air quality.

(c) No approval shall be granted at any time for residential burning in Clark County, Floyd County, Lake

County, or Porter County.

(d) Any approval shall be subject to the following conditions unless otherwise stipulated in the open burning

approval letter:

(1) Only clean wood products shall be burned.

(2) No asbestos-containing material shall be burned.

(3) No burning shall be conducted during unfavorable meteorological conditions, such as:

(A) high winds, temperature inversions, or air stagnation; or

(B) when a pollution alert or ozone action day has been declared.

(4) Burning shall be conducted during daylight hours only, and all fires shall be extinguished prior to sunset.

(5) If at any time the fire creates:

(A) an air pollution problem;

(B) a threat to public health;

(C) a nuisance; or

(D) a fire hazard;

the burning shall be extinguished.

(6) The local fire department and health department must be notified at least twenty-four (24) hours in advance

of the date, time, and location of the burning.

(7) The approval letter shall be made available at the burning site to state and local officials upon request

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 75
except during emergency burning.

(8) Adequate fire fighting equipment shall be on-site for extinguishing purposes during burning times.

(9) No burning shall take place within:

(A) one hundred (100) feet of any structure or powerline; or

(B) three hundred (300) feet of a frequently traveled road, fuel storage area, or pipeline.

(10) Fires must be attended at all times until completely extinguished.

(11) All burning must comply with other federal, state, or local laws, regulations, or ordinances, including 40

CFR 61, Subpart M* (National Emissions Standards for Asbestos).

(12) No waste that is regularly generated as a result of a routine business operation shall be burned.

(13) The material to be burned shall not exceed one thousand (1,000) cubic feet.

(e) An approval letter shall be valid for no not longer than one (1) year from the date of issuance. However, an

approval letter may be valid for as long as five (5) years if the approval application is accompanied by an open

burning plan. The plan shall:

(1) contain a description of the open burning proposed for the period of time for which an approval letter is

sought; and

(2) be incorporated as a condition of the approval letter under subsection (d) or (f).

Any change in the plan must receive an additional approval letter, unless the change is to reduce open burning or

the change is to conduct burning exempted under section 3 of this rule. The plan shall be available for review

upon the request by the department.

(f) The commissioner or the commissioner's designated agent may add conditions to an approval letter, as

necessary, to prevent a public nuisance or protect the public health or the environment. Such conditions may be

based on local air quality conditions, including whether the area is a nonattainment county as defined in 326 IAC

1-4-1 or has been redesignated from nonattainment to attainment status.

(g) A decision on the open burning approval letter is subject to IC 4-21.5 (Administrative Orders and

Procedures Act).

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

(Air Pollution Control Board; 326 IAC 4-1-4.1; filed Jul 30, 1996, 2:00 p.m.: 19 IR 3343; readopted filed Jan 10,

2001, 3:20 p.m.: 24 IR 1477; filed Nov 15, 2002, 11:17 a.m.: 26 IR 1077)

SECTION 19. 326 IAC 5-1-5 IS AMENDED TO READ AS FOLLOWS:

326 IAC 5-1-5 Violations

Authority: IC 13-14-8; IC 13-17-3-4; IC 13-17-3-11; IC 13-17-3-12

Affected: IC 13-11; IC 13-17

Sec. 5. (a) Except as provided in section 4(b) of this rule, a violation of this rule shall constitute prima facie

evidence of a violation of the applicable mass emission limitation. A violation of the mass emission rule may be

refuted by a performance test conducted in accordance with 326 IAC 3-6. The test shall refute the mass emission

violation only if the source is shown to be in compliance with the allowable mass emission limit. An exceedance of

the allowable opacity emission limit during a performance test shall not be treated as a violation of the applicable

mass emission limitation if, during the test described in 326 IAC 3-6, the source demonstrates compliance with

the allowable mass emission limit while simultaneously having opacity more than or equal to the reading at which

the exceedance was originally observed.

(b) If a source or facility believes it can operate in compliance with the applicable mass emission limitation, but

exceeds the limits specified in section 2 of this rule, the owner or operator may submit a written petition to the

commissioner requesting that an alternate opacity limitation (AOL) be established, as follows:

(1) The petition must be submitted to the commissioner, and a copy submitted to the local air pollution control

agency, if applicable, no not later than sixty (60) days prior to the scheduled performance test date. The

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 76
petition must contain, contain, at a minimum, the following information:

(A) Source name and address.

(B) Address of affected source if different from clause (A).

(C) List of potentially affected parties.

(D) Identification of control device or devices and typical operating parameters.

(E) Applicable particulate matter (PM, or PM10, or PM2.5) and opacity limits.

(F) Other applicable rule requirements or permit conditions.

(G) Proposed alternative opacity limit.

(H) The reason or reasons for requesting the alternative opacity limit.

(I) Complete test protocol in accordance with 326 IAC 3-6.

(2) The alternative opacity limit shall be based upon a series of three (3) complete mass emission tests (nine

(9) sample runs) conducted according to the procedures specified in 326 IAC 3 and three (3) opacity tests

conducted simultaneously, according to section 4 of this rule. Where the commissioner determines there is no

acceptable test method available, a request for an alternative opacity limit shall be denied.

(3) The performance tests must be witnessed by the commissioner, U.S. EPA, the local air pollution control

agency, or their authorized representatives unless other arrangements are made in advance of the start of the

testing that will allow the testing to proceed without agency staff present to observe the tests.

(4) The owner or operator must demonstrate that the following conditions were met during the performance

test:

(A) The source or emissions unit was operated according to its permitted conditions and under normal or

representative operating conditions.

(B) The associated air pollution control system was installed and was being operated as specified in any

applicable permit condition or conditions.

(C) The air pollution control equipment was:

(i) properly maintained and in good operating condition; and was

(ii) operated according to the manufacturer's recommended operating conditions to minimize emissions

and opacity.

(D) The affected emissions unit and associated air pollution control equipment were incapable of being

adjusted or operated to meet the applicable opacity limit, except during:

(i) periods when the control equipment is not operating properly; or

(ii) other exempt periods under section 3 of this rule.

(E) Each test was conducted under reasonably similar operating conditions.

(F) Any other conditions as required by the commissioner or the U.S. EPA.

(5) The commissioner may require one (1) or more of the following:

(A) The installation of a continuous opacity monitoring system that meets the requirements of 326 IAC 3.

(B) Monitoring sufficient to demonstrate compliance with the alternative opacity limit.

(C) Regular reporting to verify compliance with the alternative opacity limit.

(6) The alternative opacity limit shall only apply to the emissions unit for which the alternative opacity limit was

originally established and shall not be extended to any other unit or units.

(7) For multiple units or processes with a common stack, all units must be in operation during the entire test

series unless operational limitations are specified in the operation permit or simultaneous operation does not

conform with the source's operating procedures.

(8) The alternative opacity limit shall be determined based on the results of the performance tests.

(9) The particulate matter test results for each sample run must demonstrate compliance with all applicable

particulate matter limits or standards. If noncompliance is demonstrated during any sample run, the test series

is not valid for an alternative opacity limit determination.

(10) The alternative opacity limit established for a source shall be incorporated by amendment into the

source's operating permit and submitted to the U.S. EPA in accordance with section 7 of this rule.

(11) If the alternative opacity limit exceeds an applicable new source performance standard (NSPS) opacity

limit, the provisions in 40 CFR 60.11* must be satisfied in addition to the procedures in this rule. The

procedures shall be approved by the U.S. EPA, the commissioner, and the local air pollution control agency as

appropriate.

(c) Nothing in this rule shall be construed as allowing an exception or exemption from a requirement in a state

or federal new source performance standard without approval by the U.S. EPA.

*This document is incorporated by reference. Copies may be obtained from the Government Printing Office,

732 North Capitol Street NW, Washington, D.C. 20401 or are available for review and copying at the Indiana

Department of Environmental Management, Office of Air Quality, Indiana Government Center North, Tenth Floor,

100 North Senate Avenue, Indianapolis, Indiana 46204.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 77
(Air Pollution Control Board; 326 IAC 5-1-5; filed Mar 10, 1988, 1:20 p.m.: 11 IR 2423; filed May 12, 1993, 11:30

a.m.: 16 IR 2366; filed Oct 9, 1998, 3:56 p.m.: 22 IR 431; errata filed Dec 12, 2002, 3:35 p.m.: 26 IR 1567; filed

Aug 26, 2004, 11:30 a.m.: 28 IR 41)

Notice of Public Hearing

Posted: 02/29/2012 by Legislative Services Agency

An html version of this document.

Indiana Register

Date: Jul 11,2012 10:45:30AM EDT DIN: 20120229-IR-326110251PRA Page 78
TITLE 326 AIR POLLUTION CONTROL BOARD

Notice of Public Hearing

LSA Document #11-251

Notice of Public Hearing

Under IC 4-22-2-24, IC 13-14-8-6, and IC 13-14-9, notice is hereby given that on April 10, 2012, at 1:00 p.m.,

at the Indiana Government Center South, 302 West Washington Street, Conference Center Room C,

Indianapolis, Indiana, the Air Pollution Control Board will hold a public hearing on amendments concerning new

source review (NSR) provisions for particulate matter less than 2.5 microns (PM2.5), amendments to definitions of

terms to defer carbon dioxide (CO2) emissions from bioenergy and other biogenic sources from greenhouse gas

permitting requirements, and amendments necessary to identify nitrogen oxides (NOx) as a precursor to ozone in

326 IAC 2.

The purpose of this hearing is to receive comments from the public prior to final adoption of these rules by

the board. All interested persons are invited and will be given reasonable opportunity to express their view

concerning the proposed amendments. Oral statements will be heard, but, for the accuracy of the record, all

comments should be submitted in writing.

Additional information regarding this action may be obtained from Christine Pedersen, Rule and State

Implementation Plan Development Section, Office of Air Quality, (317) 233-5684 or (800) 451-6027 (in Indiana).

Individuals requiring reasonable accommodations for participation in this event should contact the Indiana

Department of Environmental Management, Americans with Disabilities Act coordinator at:

Attn: ADA Coordinator

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

or call (317) 233-1785 (V). Speech and hearing impaired callers may contact IDEM via the Indiana Relay Service

(711) or (800) 743-3333. Please provide a minimum of 72 hours notification.

Copies of these rules are now on file at the Office of Air Quality, Indiana Department of Environmental

Management, Indiana Government Center North, 100 North Senate Avenue, Tenth Floor East and Legislative

Services Agency, Indiana Government Center North, 100 North Senate Avenue, Room N201, Indianapolis,

Indiana and are open for public inspection.

Scott Deloney, Chief

Air Programs Branch

Office of Air Quality

Posted: 02/29/2012 by Legislative Services Agency

An html version of this document.

Indiana Register

Date: Jul 11,2012 10:46:25AM EDT DIN: 20120229-IR-326110251PHA Page 1