## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

December 3, 2014

Amendments to the Texas New Source Review (NSR) State Implementation Plan (SIP) submitted by the Texas Commission on Enviro nmental Quality (TCEQ) on July 31, 2014.

No material in this submittal package was de signated as Confidential Business Information.

FOR FURTHER INFORMATION CONTACT: Stephanie Kordzi United States Environmen tal Protection Agency Region 6, Air Permits Section (6PD-R), 1445 Ross Avenue, Suite 1200, Dallas, Texas 75202-2733, (214) 665-7520

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

2 Table of Contents

I. Executive Summary

II. Background A. The EPA’s July 15, 2010, Disapproval of the Flexible Permit Program Rules B. US Court of Appeals for the Fift h Circuit Court’s August 13, 2012, Decision C. TCEQ’s October 21, 2013, Flexible Permit Program SIP Submittal D. The EPA’s July 14, 2014, Final Cond itional Approval of the October 21, 2013, Flexible Permit Program SIP Submittal

III. Summary of the State Submittal

IV. Technical Review of State Submittal A. Part 51, Appendix V Evaluation of the SIP Submittal

V. Does the State Submittal Meet the Applicable Federal Requirements?

VI. The EPA’s Evaluation of the Resubm itted Flexible Permit Program – General Description of the Annotation a nd Evaluation of the Regulations

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

3 I. Executive Summary

This technical support document (TSD) revi ews a proposed revision to the Texas State Implementation Plan (SIP) relating to Flexible Permits. Specifically, this is an evaluation of SIP amendments to Chapter 116 of Title 30 of the Texas Administrative Code (30 TAC) that

relates to Flexible Permits.

Throughout this document, the following terms and abbreviations have the following meanings except where otherwise stated:

• “EPA,” “we,” “us,” and “our” means the Environmental Protection Agency;

• “Act” and “CAA” mean the Federal Clean Air Act;

 “FPP” means Flexible Permit Program.

• “NSR” means New Source Review;

• “PSD” means Prevention of Significant Deterioration ;

• “NNSR” means Nonattainme nt Area New Source Review;

• “TCEQ”, Texas Natural Resource C onservation Commission, “TNRCC”, and “Texas” means the Texas Commission on Environmental Quality; and

• “NAAQS” means National Ambient Air Quality Standards.

II. Background

A. The EPA’s July 15, 2010, Disapproval of the Flexible Permit Program Rules

The EPA took final action to disapprove the FPP amendments to the SIP on July 15, 2010, based on two main issues. It did not meet the Minor NSR SIP requirements and it did not meet the NSR SIP requirements for a substitute Major
NSR SIP amendment.

B. US Court of Appeals for the Fifth Circuit Court’s August 13, 2012, Decision

The US Court of Appeals for the Fift h Circuit Court granted the petition for

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

4 review of the EPA’s disapproval action, v acated the EPA’s Disapproval of Texas’s Flexible Permit SIP plan, and remanded th e decision back to the EPA on August 13,

2012.

C. TCEQ’s October 21, 2013, Flexible Permit Program SIP Submittal

On September 24, 2013, the Commissione rs of the TCEQ considered the Submittal, Resubmittal, and Withdrawal of S ections to the SIP regarding the FPP. The package was approved to be submitted to the EPA on October 21, 2013.

D. The EPA’s July 14, 2014, Final Conditi onal Approval of the October 21, 2013, Flexible Permit Program SIP Submittal

The EPA finalized conditional approv al of the SIP on July 14, 2014 (97 FR 40666). The approved rules gave Texas the ability to issue flexible permits that meet federal standards. The conditional approval was the result of the EPA and Texas collaborating to identify what additional re gulatory elements were needed for an updated rule to meet minimum CAA require ments and was based on 2 letters that TCEQ wrote to the EPA on December 9, 2013. The Interpretive letter discussed implementation of the rules on 5 main i ssues identified by Region 6 and HQ’s. The
Commitment letter was the basis for the EPA’s Conditional Approval package. The letter committed the TCEQ to amending rule s with proper structure to ensure all regulatory citations are labeled and referen ced correctly and placed in proper sequence by November 24, 2014. The proposed rule was published in the Federal Register on February 12, 2014. On July 10, 2014, the Commissioners of the TCEQ adopted amended FPP rules. The package was approved to be submitted to the EPA. The TCEQ’s July 31, 2014, submittal to the EPA are those ru les TCEQ is proposing to meet the commitment made in their December 9, 2013, letter. On September 12, 2014, EPI, et al, filed a Petition for Review challengi ng the EPA conditional approval of the FPP with the Fifth Circuit Court of Appeals. The Appeal is on-going as of the date of publication of this notice.

III. Summary of the State Submittal

The SIP amendments submitted on July 31, 2014, relate to the FPP and were evaluated to determine whether they comply with the applicable requirements of CAA §110 and with 40 CFR part 51 – Requirements for Preparation, Adoption, and Submittal of Implementation Plans. In the Appendix, we include annotations of the regulations submitted for review and a line-by-line ev aluation of each provision of the regulations relating to

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

5 Flexible Permits.

Table 1 below contains a summary of each regulation that is affected.

Table 1

Section Title Comments

Section

116.13 Flexible Permit Definitions Resubmitted 30 TAC §§ 116.13 definitions for (1) emission cap-emission limit, (2) expected maximum capacity, and (3)
individual emission limitation.

Section

116.710 Applicability Revised 30 TAC § 116.710 subsections (a) - (d).

Section

116.711 Flexible Permit Application Revised 30 TAC §§ 116.711(1), (2)(A), (B), and (C)(i) and (ii), (D) – (J), and (L) – (N).

Section

116.715 General and Special
Conditions Revised 30 TAC § 116.715(a) – (e) and (f)(1) and (2)(B).

Section

116.716 Emission Caps and
Individual Emission

Limitations Revised 30 TAC §§ 116.716 (a) - (f).

Section

116.717 Implementation Schedule
for Additional Controls Revised submittal 30 TAC §§ 116.717.

Section

116.718 Significant Emission

Increase Revised submittal 30 TAC §§ 116.718.

Section

116.720 Limitation of Physical and Operational Changes. A SIP amendment was submitted 7/31/2014, as adopted by TCEQ on 12/14/2010, published in the Texas Register on 12/31/2010, and effective on 1/6/2011.

Section

116.721 Amendments and

Alterations Revised 30 TAC §§ 116.721 (a) – (d).

Section 116.740(a) Public Notice and Comment A SIP amendment was submitted 7/31/2014, as adopted by TCEQ on 12/14/2010, published in the Texas Register on 12/31/2010, and effective on 1/6/2011.

Section

116.750 Flexible Permit Fee A SIP amendment was submitted 7/31/2014, as adopted by TCEQ on 12/14/2010, published in the Texas Register on 12/31/2010, and effective on 1/6/2011.

Section

116.765 Compliance Schedule Submittal 30 TAC § 116.765.



## IV. Technical Review of State Submittal

The SIP submittal providing the Texas Flex ible Permit provisions for air quality permits are evaluated for complia nce with the relevant requireme nts of the Act and Title 40 of the Code of Federal Regulations (40 CFR) pa rt 51 – Requirements for Preparation, Adoption,

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

6 and Submittal of Implementation Plans. These requirements include, but are not limited, to the following:

1. §110(a)(2)(C) of the Act which provides: (C) include a program to provide for th e regulation of the modification and construction of any stationary source within the areas covered by th e plan as necessary to assure that NAAQS are achieved, including a permit program as required in parts C and D; 2. §110(l) of the Act which provides: (l) Plan Revisions. – Each revision to an implementation plan submitted by a State under this chapter shall be adopted by such State after reasonab le notice and public hearing. The Administrator shal l not approve a revision of a plan if the revision would interfere with any applicable requireme nt concerning attainment and reasonable further progress (as defined in section 171), or any other applicable requirement of the chapter. 3. 40 CFR Subpart 51.160 – Legally enforceable procedures. The regulatory text of 40 CFR Subpart 51.160 is available on line at Electronic Code of Federal Regulations: http://ecfr.gpoaccess .gov/cgi/t/text/textidx?c=ecfr&sid=07e214c52bbfc82a2781e3e 14c7616ca&rgn=div8&view=text&node
=40:2.0.1.1.2.6.8.1&idno=40 4. 40 CFR Subpart 51.161 – Public availability of information. The regulatory text of 40 CFR Subpart 51.161 is available on line at Electronic Code of Federal Regulations: http://ecfr.gpoaccess .gov/cgi/t/text/textidx?c=ecfr&sid=07e214c52bbfc82a2781e3e 14c7616ca&rgn=div8&view=text&node
=40:2.0.1.1.2.6.8.2&idno=40 5. Other applicable requirements of the Act, 40 CFR part 51, and applicable policy and guidance will be identified in the evaluation where appropriate. 6. 40 CFR 51.230(d). Requirements for all plans. The regulatory text of 40 CFR 51.230(d) is available on line at Electr onic Code of Federal Regulations:http://www.ecfr.gov/cgibin/retrieveECFR?gp=&SID=dadd1aa10a18d5135f902665a5a22d80&n=40y2.0.1.1. 2&r=PART&ty=HTML#40:2.0.1.1.2.9.8.1

.

Specifically, the July 31, 2014, submittal is first reviewed for completeness as a SIP submittal under Part 51, Appendix V, and is then compared with the general requirements for SIP preparation, adoption and submittal at 40 CF R Part 51. This will be followed by a detailed analysis of the minor NSR provisions to ensure all federal requirements at 40 CFR Part 51 for air permitting are satisfied. Then we review the Texas flexible permit requirements with respect to the current SIP- approved minor NSR provisions. Finally, the July 31, 2014, submittal is reviewed with resp ect to section 110(l) of the CAA to determine whether the proposed revisions interfere w ith any applicable CAA provisi ons. These analyses produce a
written technical evaluation wh ich supports our determination in the FR to conditionally approve July 31, 2014, Texas Flexible Permit SIP submittal.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

7 IV.A. Part 51, Appendix V Evaluation of the SIP Submittal

The criteria for completeness determina tion are found in Appendix V to Part 51 - Criteria for determining the completeness of plan submissions and are outlined below:

1.0 Purpose: This appendix V sets forth th e minimum criteria for determining whether a State implementation plan submitted for consideration by the EPA is an official submission for purposes of review under § 51.103.

1.1 The EPA shall return to the submitting offici al any plan or revision thereof which fails

to meet the criteria set forth in this appendix V, and reque st corrective action, identifying the component(s) absent or in sufficient to perform a review of the submitted plan.

1.2 The EPA shall inform the submitting official whether or not a plan submission meets the requirements of this appendix V with in 60 days of the EPA's receipt of the submittal, but no later than 6 months after the date which the State was required to submit the plan or revision. If a completene ss determination is not made by 6 months from receipt of a submittal, the submittal shall be deemed complete by operation of law on the date 6 months from receipt. A determination of completeness under this paragraph means that the submission is an official submission for purposes of §51.103.

The attached checklist outlines the ba sic criteria included under 2.1 and 2.2 of Appendix V that will be used for reviewi ng the July 31, 2014 SIP Submittal which includes
eleven earlier Submittals as di scussed in Section III.

Administrative Materials (2.1)

1. The package is sent with a formal submitta l letter from the Governor or his or her designee requesting the EPA's approval of the revision.

The SIP revision was submitted by a letter from Bryan W. Shaw, PhD, Chairman of the TCEQ, dated July 31, 2014. The SIP subm ittal was received by the EPA Region 6 Air Planning Section on August 4, 2014.

2. Evidence is included that the State has a dopted the revision in the State code or body of regulations, or that the State has issu ed the permit, order, consent agreement (hereafter document) in final form. This evidence would include the date of adoption

or final issuance and the effec tive date of revision, if diffe rent from adoption/issuance

date.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

8 On July 2, 2014, the TCEQ adopted revisions to the SIP. The TCEQ issued an Order adopting the amended rules and revisions on July 10, 2014.

3. Evidence is included that the State has n ecessary legal authority under State law to adopt and implement the revision, e.g., a cita tion of the appropriate State authority.

The authority for promulgating changes to th e Texas State Implemen tation is found in the Texas Clean Air Act, Chapter 382 of the Texas Health and Safety Code.

4. A copy is included of the actual regulation or document submitted for approval and incorporation by reference into the SIP includ ing an indication of the changes made to the existing approved plan where applicable. The submittal shall be a copy of the official State regulation document signed, st amped, and dated by the appropriate State official indicating that it is fully enforceab le by the State. The effective date of the regulation document shall, whenever possibl e, be indicated in the document itself.

The July 31, 2014, cover letter accompany ing the submittal requests the EPA take
action on revisions to the SIP: 1) §§116.13; 116.710; 116.711(1) , (2)(A), (B) and (C)(i) and (ii), (D) – (J), and (L) – (N); 116.715 (a)- (e)) and (f)(1) and (2)(B); 116.716; 116.717; 116.718; 116.721; and 116.765.

5. Evidence is included that the State followed all the procedural requirements of its laws and/or its constitution in the conducting and completing the adoption/issuance of the plan.

The SIP submittal package included a Ju ly 10, 2014, order stating that the SIP submittal was developed pursuant to 40 CFR Subpart 51.102.

6. Evidence is included that public notice was given of the proposed changes consistent with the procedures approved by the EPA, including the date of publication of such notice, (e.g., notarized or certified co pies of any public notices published in newspapers). (The notice should be at le ast 30 days prior to the public hearing(s).

Notices of public hearings were publis hed in the following newspapers on the date

listed:

 Austin American Statesman: February 14, 2014

 Fort Worth Star-Telegram: February 14, 2014

 Houston Chronicle: February 14, 2014

TCEQ conducted a public hearing in Austin, Texas, on March 18, 2014.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

9 TCEQ also provided publica tion in the Texas Register of the proposed rulemaking (35 TexReg 306) and public hearing notice (35 TexReg 398) on February 28, 2014.

7. A certification is included indicating that public hearin g(s) was/were held in accordance with the information provided in the public notice(s) and the State's laws and constitution, if applicable.

An order dated July 10, 2014, adopting revisions to the SIP was included. This order
states that the public hear ing was conducted pursuant to Texas Health and Safety Code § 382.017, Texas Government Code Chapter 2001, and 40 CFR Subpart 51.102.

8. A compilation of public comments and the State's response is included.

The SIP submittal package included a compilation of comments and the State’s response to comments. TCEQ received written testimony from eight parties during the comment period, including the EPA Region 6. TC EQ received no oral testimony from the public during the Februar y 28, 2014, public hearing.

Technical Support (2.2)

The State should include the following t echnical information in its SIP revision request package. The revisions to the rule submitted to the EPA do not affect all the determinations in the conditional approval. The revisions do not affect or change those findings.

1. Identification of all regu lated pollutants affected by the revision is included.

The proposed revisions to the approved SIP do not affect its compliance with this requirement.

2. Identification of the locations of affected sources including the EPA attainment/nonattainment design ation of the locations and th e status of the attainment plan for the affected area(s) is included.

The revisions to the approved SIP do not affect its compliance with this requirement.

3. Quantification of the changes in SIP allowa ble emissions from the affected sources is included. (Examples include estimates of changes in current actual emissions from affected sources and/or, where appropriat e, quantification of changes in actual emissions from affected sources through calculations of the differences between

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

10 certain baseline levels and allowable emissions anticipated if the revisions were approved.)

The revisions to the approved SIP do not affect its compliance with this requirement. Demonstration is included that the NAAQ S/PSD increments/RFP demonstration and visibility as applicable would be prot ected if the revision were approved and implemented. The SIP revision meets the Section 110(l) requirements. It does not change the substantive requirements of the applicable provisions of the SI P-approved regulations

.

4. FOR REDESIGNATIONS:

a. Is there a fully approved maintenance plan for the primary ambient air quality standards for at least 10 years as required by §175A of the CAA?

Not applicable.

b. Are contingency measures included?

Not applicable.

5. Modeling information, if app licable, is required to s upport the proposed revision.

The proposed revisions do not affect the m odeling provisions of the approved SIP.

6. Evidence is included where necessary, that emission limitations are based on continuous emission reduction technology (e.g., add-on controls, industrial/process equipment designs, reformulated materials, etc.).

The revisions to the approved SIP do not affect its compliance with this requirement.

7. Evidence is included indicating that a SIP re vision contains emission limitations, work practice standards, and recordkeeping/reporti ng requirements to ensure stated emission
levels.

These proposed revisions to the approved SI P do not affect its compliance with this requirement.

9. Compliance/enforcement strategies including how compliance will be determined in practice (including at what frequency).

The proposed revisions to the approved SIP do not affect its compliance with this requirement.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

11 10. As appropriate, special economic and tec hnological jus tifications are included per applicable the EPA policies or an explan ation why such justifications are not necessary should be included. For exampl e, requests for alternative RACT may require such justification.

These justifications are not n ecessary for this SIP revision.

V. Does the State Submittal Meet th e Applicable Federal Requirements?

We are proposing to approve the revi sions to Texas Flexible Permits State Program, as submitted by Texas in 30 TAC Chapter 116 – Control of Air Pollution by
Permits for New Construction or Modificatio n, because it meets certain provisions of the Act and the EPA’s NSR regulations. The submittal includes the following regulations under Chapter 116: 30 TAC S ubchapter G – Flexible Permits, the definitions in 30 TAC 116.13, Flexible Perm its. This program meets the Minor NSR SIP requirements.

VI. The EPA’s Evaluation of the Resubmit ted Flexible Permit Program - General Description of the Annotation a nd Evaluation of the Regulations.

This Section includes additional information of each rule, including a crosswalk for each rule, with an underlined and strikethrough annotation documenting how the rule has changed with each submitt ed amendment. The evaluation of each regulation is organized as follows:

1. Background. This section includes a chronol ogy of the current SIP and each amendment that was submitted to the EPA for SIP approval, as well as defines the proposed action.

2. Evaluation Matrix. This section incl udes a table which sets forth the text of each submitted SIP amendment, and an a nnotation of the changes of each SIP
amendment. The revised text is annotated as follows:

 New text is underlined and

 Deleted text is struck out.

 Ellipsis (...) indicates an omission of text in the rule that was not submitted to the EPA for consideration in the SIP package.

The right hand column includes any di scussion and evaluation. Any extended

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

12 comments are included in either:

 Section III, following the evaluation matrix, as “additional comments” which follows the matrix; or

 As discussed in the body or the TSD as identified in the right-hand
column of the Table.

3. Additional Comments. When necessary, this se ction includes additional

comments related to the EPA’s eval uation of the provision, including any

extended comments related to informati on in the right hand column of the

evaluation matrix.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

13 1. Background on 30 TAC § 116.13. Fl exible Permit Definitions.

Current SIP-Approved 30 TAC § 116.13:

• This section is SIP-approved.

Revisions considered in this action:

• A SIP amendment was submitted July 31, 2014; as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revision to 30 TAC § 116.13

2. Evaluation Matrix.

30 TAC § 116.13 – Flexible Permit Definitions Comments

Current SIP §116.13. Flexible Permit Definitions. The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates
otherwise (2) Expected maximum capacity – The maximum capacity of a facility according to its physical and operational design and planned operation. (3) Emission cap – Emission limit for a specific air contaminant based upon total emissions of that pollutant from all facilities that are included in a flexible permit. (5) Individual emission limitation –

Emission limit for a specific air contaminant not covered by an emission cap for an individual facility. Submitted 7/31/2014
Flexible Permit Definitions. The following words and terms, when used in this chapter, shall have the following meanings unless the context clearly indicates otherwise. (1) (3) Emission cap—Emission limit for a specific air contaminant based on total emissions of that pollutant from all facilities that are included in a flexible permit. (2) Expected maximum capacity—The maximum capacity of a facility according to its physical and operational design and planned operation. (3) (5) Individual emission limitation— Emission limit for a specific air contaminant for an individual facility. Approval
No substantive changes to current

SIP. The flexible permit rule

definitions are integral to the implementation of

the minor NSR FPP

and do not

circumvent the requirements of §

110 of the CAA which requires regulation of any stationary source
necessary to assure NAAQS are
achieved.



## .

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

14 1. Background on 30 TAC § 116.710. Applicability

Current SIP-Approved 30 TAC § 116.710:

• This section is SIP-approved.

Revisions considered in this action:

• A SIP amendment was submitted July 31, 2014; as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revision to 30 TAC § 116.710.

2. Evaluation Matrix

Annotation and Evaluation of 30 TAC § 116.710

– Applicabili t y. Comments

Current SIP (a) Flexible Permit. A person may obtain a flexible permit which allows for physical or operational changes as provided by this subchapter as an alternative to obtaining a new source review permit under §116.110 of this title (relating to Applicability), or in lieu of amending an existing permit under §116.116 of this title (relating to Amendments and Alterations). A person may obtain a flexible permit under pursuant to §116.711 of this title (relating to Flexible Permit Application) for a facility, group of facili ties, or account before any actual work is begun, provided however:(1) only one flexible permit may be issued for an account site; (2) modifications to existing facilities covered by the flexible permit may be handled through the amendments of an existing flexible permit; (3) permitting of a new facility may be handled through the amendment of a flexible permit; and (4) a flexible permit ma y not cover sources at more than one account site. Amendment submitted 7/31/2014 (a) Flexible Permit. A person may obtain a flexible permit which allows for physical or operational changes as provided by this subchapter as an alternative to obtaining a new source review permit under §116.110 of this title (relating to Applicability), or in lieu of amending an existing permit under §116.116 of this title (relating to Changes to Facilities
Amendments and Altera tions). A person may obtain a flexible permit under §116.711 of this title (relating to Flexible Permit Application) for a facility, group of facilities, or account before any actual work is begun, provided
however: (1) only one flexible pe rmit may be issued for an account site; (2) modifications to existing facilities covered by the flexible permit may be handled through the amendments of an existing flexible permit; (3) permitting of a new facility may be handled through the amendment of a flexible permit;

and (4) a flexible permit may not cover sources at

more than one account site. Approval.
No substantive changes to current
SIP. Meets 40 CFR Subpart 51.160(b) for establishing applicability criteria
for a minor NSR review permit

program.

Current SIP (b) Change in ownership. The new owner of a facility, group of facili ties, or account shall comply with §116.110(d) § 116.110(c) of this S ubmitted 7/31/201 4 (b) Change in ownership. The new owner of a facility, group of facilit ies, or account shall comply with §116.110(ed) of this title, provided Approval

No substantive changes to current

SIP. Meets 40 CFR

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

15 Annotation and Evaluation of 30 TAC § 116.710

– Applicabili t y. Comments title, provided however, that all facilities covered by a flexible permit must change ownership at the same time and to the same persons, or both the new owner and existing permit holder must obtain a permit alteration allocating the emission caps or individual emission limitation prior to transfer of the permit by the commission. After the sale of the facility, or facilities, but prior to the transfer of a permit requiring a permit alteration, the original permit holder remains responsible for ensuring compliance with the existing flexible permit and all rules and regulations of the commission. however, that all facilities cove r e d b y a flexible permit must change ownership at the same time and to the same persons, or both the new owner and existing permit holder must obtain a permit alteration allocating the emission caps or individual emission limitation prior to transfer of the permit by the commission. After the sale of the facility, or facilities, but prior to the transfer of a permit requiring a permit alteration, the original permit holder remains responsible for ensuring compliance with the existing flexible permit and all rules and regulations of the commission. Subpart 51.160(b) for establishing applicability
criteria for a minor NSR review permit

program.

Current SIP (c) Submittal under seal of Texas licensed registered professional engineer. All applications for a flexib le permit or flexible permit amendment shall comply with §116.110(e) §116.110(d) of this title. Submitted 7/31/2014 (c) Submittal under seal of Texas licensed professional engineer. All applications for a flexible permit or flexible permit amendment shall comply with §116.110(fd) of this title. Approval.

No substantive changes to current

SIP. Meets 40 CFR Subpart 51.160 for establishing applicability
criteria for a minor NSR review permit

p rogram. Current SIP (d) Responsibility fo r flexible permit application. The owner of the facility, group of facilities, or acc ount who is authorized to act for the owner is responsible complying with this section, except as provided in subsection (b) of

this section. S ubmitted 7 / 31/201 4 (d) Responsibility for flexible permit application. The owner of the facility, group of facilities, or account who is authorized to act for the owner is responsible complying with this section, except as provided in subsection (b) of
this section. Approval. No change to SIP approved language.
Recodification of original submittal.
Meets 40 CFR Subpart 51.160(a) for establishing applicability criteria
for a minor NSR review permit

p rogram.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

16 1. Background on 30 TAC § 116.711. Flexible Permit Application.

Current SIP-Approve d 30 TAC § 116.711:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revision to 30 TAC § 116.711.

2. Evaluation Matrix

Annotation and Evaluation of 30 TAC § 116.711

– Flexible Permit Application. Comments

Current SIP Any application for a new flexible permit or flexible permit amendment must include a completed Form PI-1 General Application. The Form PI-1 must be signed by an authorized representative of the applicant. The Form PI-1 specifies additional support information which must be provided before the application is deemed complete. In order to be granted a flexible permit or flexible permit amendment, the owner or operator of the proposed facility shall submit to the
commission Texas Natural Resource
Conservation Commission which demonstrates that the following are met. (1) Protection of public health and welfare. The emissions from the proposed facility, group of facilities, or account as determined under pursuant to §116.716 of this title (relating to Emission Caps and Individual Emission Limitations) will comply with all rules and regulations of the commission
TNRCC and with the intent of the TCAA Texas Clean Air Act (TCAA), including protection of health and physical property of the people. In considering the issuance of a flexible permit for the construction or modification of any facility, group of facilities, or account within 3,000 feet or less of an elementary, junior high/middle, or senior high school the commission TNRCC shall consider any possible adverse short-term or long-term side effects that an
air conta m inant o r nuisance odo r f

r o m the S ubmitted 7/31/ 201 4 Any application for a new flexible permit or flexible permit amendment must include a completed Form PI-1 General Application. The Form PI-1 must be signed by an authorized representative of the applicant. The Form PI-1 specifies additional support information which must be provided before the application is deemed complete. In order to be granted a flexible permit or flexible permit amendment, the owner or operator of the proposed facility shall submit to the
commission which dem onstrates that the following are met.

In order to be granted a flexible permit or flexible permit amendment, the owner or operator of the proposed facility shall submit a permit application which must include: (1) a completed Form PI-1 General Application signed by an authorized representative of the applicant. All additional support information specified on the form must be provided before the application is complete; (2) information which demonstrates that emissions from the facility, including any associated dockside vessel emissions, meet all of the following: (A1) Protection of public health and welfare. (i) The emissions from the proposed facility, group of facilities, or account as determined under §116.716 of this title (relating to Emission Caps an d Indivi d ual Emission Approval. Meets 40 CFR Subpart 51.160(c) for establishing permit application requirements, including
submission of emission

information for a minor NSR review permit

program.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

17 Annotation and Evaluation of 30 TAC § 116.711

– Flexible Permit Application. Comments facility, group of facilities, o r account may have on the individuals attending these
school facilities. Li m itations) will comply with all rules and regulations of the commission and with the intent of the Texas Clean Air Act, including protection of health and physical property of the people. (ii) In considering the issuance of a flexible permit for the construction or modification of any facility, group of facilities, or account within 3,000 feet or less of an elementary, junior high/middle, or senior high school the commission shall consider any possible
adverse short-term or long-term side effects
that an air contaminant or nuisance odor from the facility, gr oup of facilities, or account may have on the individuals attending these school facilities.

Current SIP Measurement of emissions. The proposed facility, group of facilit ies, or account will have provisions for m easuring the emissions as determined by the executive director. This may include installation of sampling ports on exhaust stacks and construction of sampling platforms in accordance with guidelines in
the “Texas Natural Resource Conservation Commission Sampling Procedures Manual.” “Compliance Sampling.” Submitted 7/31/2014 (B) Measurement of emissions. The proposed facility, group of facilities, or account will have provisions for measuring the emissions as determined by the executive director. This may include installation of sampling ports on exhaust stacks and construction of sampling platforms in accordance with guidelines in
the “Texas Natural Resource Conservation Commission Sampling Procedures Manual.”
“Texas Commission on Environmental Quality Sampling Procedures Manual. Approval. No substantive changes to
the current SIP. Meets 40 CFR Subpart 51.160(c) for establishing permit application requirements, including submission of
emission information for a minor NSR review permit

program.

Current SIP (3) Best available control technology (BACT). The proposed facility, group of facilities, or account w ill utilize BACT, with consideration given to the technical practicability and ec onomic reasonableness of reducing or eliminating the emissions from the propose facility, group of facilities,
or account basis. C ontrol technology beyond BACT may be used on certain facilities to provide the emission re ductions necessary to comply with this requirement on a facility, group of facilities, or account basis provided however, that the existing level of control may not be lessened for any facility. For new facilities and proposed affected sources (as defined in §116.15(1) of this title (relating to Section 112(g) Definitions)) subject to Subchapter C of this chapter (relating to Hazardous Air Pollutants: Regulations Governing Constructed or Reconstructed Major Sources (FCAA), §112(g), 40 CFR Part 63)), the use of BACT
shall be demonstrated for the individual facility. or affected source. Submitted 7/31/2014 (C3) Best available control technology (BACT). The proposed facility, group of facilities, or account will (i) All facilities authorized by the flexible permit shall utilize BACT consistent with the following:

(I) All new facilities must utilize BACT. (II) Existing facilities must utilize BACT with consideration gi ven to the technical practicability and economic reasonableness of reducing or eliminating the emissions. Control technology beyond BACT that is more stringent than BACT may be used on certain facilities to provide the emission reductions necessary to comply with this requirement on a facility, group of ex isting facilities, or account basis provided however, that the existing level of control may not be lessened for any facility from its current
authorization. For new facilities the use of
BACT shall be demonstrated for the individual facility. (ii) For pollutants from new or modified facilities that constitute a new major stationary source or major modification as defined by §116.12 of th is title (relating to
Nonattainment and Prevention of Approval. Meets 40 CFR Subpart 51.160(c) for establishing permit application requirements to submit

emission information for
a minor NSR review permit program.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

18 Annotation and Evaluation of 30 TAC § 116.711

– Flexible Permit Application. Comments Significant Deterioration Review Definitions), control technology shall be demonstrated as required by §§116.150, 116.151, or 116.160 of th is title (relating to New Major Source or Major
Modification in Ozone Nonattainment Areas; New Major Source or Major
Modification in Nonattainment Area Other Than Ozone; and Prevention of Significant Deterioration Requirements, respectively), as applicable, for each new or modified facility.

Current SIP (4) Federal New Source Performance Standards (NSPS). The emissions from each affected facility as defined in 40 Code of Federal Regulations (C FR), Part 60 will meet at least the requirements of any applicable NSPS as listed under Title 40 CFR Part 60, promulgated by the EPA under authority granted under the FCAA, §111, as

amended. Submitted 7/31/2014 (D4) New Source Performance Standards (NSPS). The emissions from each affected facility as defined in 40 Code of Federal Regulations (CFR), Part 60 will meet at least the requirements of any applicable NSPS as listed under Title 40 CFR Part 60, promulgated by the United States Environmental Protection Agency under authority granted under the Federal Clean Air Act, §111, as amended. Approval. No substantive changes to
current SIP. Meets the requirements of FCAA § 111, as amended.

Current SIP (5) National Emission Standards for hazardous Air Pollutants (NESHAPS). The emissions from each facility as defined in 40
CFR Part 61 will meet at least the requirements of any applicable NESHAPS, as listed under 40 CFR Part 61 promulgated by EPA under authority granted under the FCAA, §112, as amended. S ubmitted 7/31/201 4 (E5) National Emi ssion Standards for hazardous Air Pollutants (NESHAPS). The emissions from each facility subject to as
defined in 40 CFR Part 61 will meet at least the requirements of any applicable NESHAPS, as listed under 40 CFR Part 61promulgated by EPA under authority granted under the FCAA, §112, as amended. Approval. No substantive changes to
current SIP. Meets the requirements of FCAA § 112, as amended.

Current SIP (6) NESHAPS for source categories. The emissions from each affected facility shall meet at least the requirements of any applicable MACT standard, as listed under 40 CFR Part 63, promulgated by EPA under FCAA, §112, or as listed under Chapter 113. Submitted 7/22/1998; resubmitted 7/31/2014 (F6) NESHAPS for source categories. The emissions from each affected facility shall meet at least the requirements of any applicable maximum achievable control technology (MACT) standard, as listed under 40 CFR Part 63, promulgated by EPA under FCAA, §112, or as listed under Chapter 113, Subchapter C of this title (relating to National Emissions Standards
for Hazardous Air Pollutants for Source Categories (FCAA, . §112, 40 CFR Part 63)). Approval. No substantive changes to
current SIP. Meets the requirements of FCAA §§
112 or 113.

Current SIP (7) Performance demonstration. The

proposed facility, group of facilities, or account will achieve the performance specified in the flexible permit application. The applicant may be required to submit additional engineering data after a flexible permit has been issued in order to demonstrate further that the proposed facility, group of facilities, or account will achieve the performance specified in the flexible permit. In addition, initial S ubmitted 7/31/201 4 (G7) Performance demonstration. The proposed facility, group of facilities, or account will achieve the performance specified in the flexible permit application. The applicant may be required to submit additional engineering data after a flexible permit has been issued in order to demonstrate further that the proposed facility, group of facilities, or account will achieve the performance specified in the flexible permit. In addition, initial

co m p liance testing with ongoing Approval. No substantive changes to
current SIP. Meets 40 CFR Subparts 51.160(a) and (b)
for determination of NAAQS violations for a minor NSR review permit

program.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

19 Annotation and Evaluation of 30 TAC § 116.711

– Flexible Permit Application. Comments compliance testing with ongoing compliance determined through engineering calculations based on measured process vari ables or predictive monitoring, stack m onitoring, or stack testing may be require d

. compliance dete r m ine d th r ough engineering calculations based on measured process variables or predictive monitoring, stack monitoring, or stack testing may be required as specified in each flexible permit.

Current SIP (8) Nonattainment review. If the proposed facility, group of faci lities, or account is located in a nonattainment area each facility shall comply with all applicable requirements under the undesignated head concerning nonattainment review in Subchapter B of this chapter (relating to
New Source Review Pe r m its). Submitted 7/31/2014 (H8) Nonattainment review. If the proposed facility, group of faci lities, or account is located in a nonattainment area each facility shall comply with all applicable requirements under the designated head concerning nonattainment review in this chapter (relating to New Source Review
Permits. Approval. No substantive changes to
current SIP. Meets 40 CFR Subparts 51.160(a) and (b)
for determination of NAAQS violations for a minor NSR review permit

program.

Current SIP (9) Prevention of Significant Deterioration (PSD) review. If the proposed facility, group of facilities, or a ccount is located in an attainment area each facility shall comply with all applicable requirements under the undesignated head concerning PSD review in Subchapter B of this chapter. Submitted 7/31/2014 (I9) Prevention of Significant Deterioration (PSD) review, If the proposed facility, group of facilities, or account is located in an attainment area, each facility shall comply with all applicable requirements under the undesignated head in this chapter concerning PSD review. in Subchapter B of this chapter.. Approval. No substantive changes to

current SIP. Meets 40 CFR Subparts 51.160(a) and (b)
for determination of NAAQS violations for a minor NSR review permit

program

Current SIP (10) Air dispersion modeling or ambient monitoring. Computerized air dispersion modeling and/or ambient monitoring may be required by the commission’s New Source
Review Permits Division to determine the air quality impacts from th e facility, group of facilities, or account. In conducting a review of a permit application for a shipbuilding or ship repair operation, the commission will not require and may not consider air dispersion modeling results predicting

ambient concentrations of non- criteria air
contaminants over coastal waters of the state. The commission shall determine compliance

with non-criteria air contaminant standards and guidelines at land-based off- property

locations. Submitted 7/31/2014 (J10) Air dispersion modeling or ambient monitoring. Computerized air dispersion modeling and/or ambient monitoring may be required by the commission’s New Source
Review Permits Division to determine the air quality impacts from the facility, group of facilities, or a ccount. In conducting a review of a permit application for a shipbuilding or ship repair operation, the commission will not require and may not consider air dispersion modeling resultspredicting ambient concentrations of noncriteria air contaminants over coastal waters
of the state. The commission shall determine compliance with non-criteria air contaminant standards and guidelines at land-based off- property locations. Approval. No substantive changes to
current SIP. Meets 40 CFR Subparts 51.160(f)
for determination of NAAQS violations.

Current SIP (12) Mass cap and trade allocations. If subject to Chapter 101, Subchapter H, Division 3 of this title (relating to Mass Cap and Trade Program) the proposed facility, facilities, or account must obtain allocations to operate. S ubmitted 7/31/201 4 (L12) Mass cap and trade allocations. If subject to Chapter 101, Subchapter H, Division 3 of this title (relating to Mass Cap and Trade Program) the proposed facility, facilities, or account must obtain allocations to operate. Approval. No substantive changes to
current SIP. Meets 40 CFR Subpart 51.160(c) for establishing permit application requirements
for a minor NSR review

p ermit program.

Current SIP (13) Application Content. In addition to any other requirements of this chapter, the applicant shall: (A) identify each air contaminant for which the emission cap is desired; Submitted 7/31/2014 (M13) Application Conten t. In addition to any other requirements of this chapter, the applicant shall: (iA) identify each air contaminant for which the emission cap is desired; Approval. No substantive changes to
current SIP. Meets 40 CFR Subpart 51.160(c) for establishing permit application requirements

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

20 Annotation and Evaluation of 30 TAC § 116.711

– Flexible Permit Application. Comments (B) identify each facility to be included in the flexible permit;(C) identify each source

of emissions to be included in the flexible permit and for each source of emissions identify the Emission Point Number (EPN) and the air contaminants emitted; (D) for each emission cap, identify associated EPNs and provide emission rate calculations based upon expected maximum capacity and the proposed control technology; (E) for each individual emission limitation, identify the EPN and provide emission rate calculations based on the expected maximum production capacity.

(2)(M) Application conten t. In addition to other requirements of this chapter, the applicant shall:

(iv) for each emission cap, identify all

associated EPNs and facilities (including description, common name, and facility identification number) and provide

emission rate calcul ations based on the expected maximum capacity and the proposed control technology;

(vii) if the flexible permit application includes facilities currently authorized by a permit issued under Subchapter B of this chapter (relating to New Source Review Permits), the applicant shall identify any terms, conditions, and representations in the Subchapter B permit or permits which will be superceded by or incorporated into the flexible permit. The applicant shall include an analysis of how the conditions and control requirements of Subchapter B permits will be carried forward in the proposed flexible permit. (iiB) identify each facility to be included in the flexible permit; (iiiC) identify each source of emissions to be included in the flexible permit and for each source of emissions identify the Emission Point Number (EPN) and the air contaminants emitted; (ivD) for each emission cap, identify all associated EPNs and provide emission rate calculations based upon expected maximum capacity and the proposed control technology; (vE) for each individual emission limitation, identify the EPN and provide
emission rate calculations based on the expected maximum pr oduction capacity and the proposed control technology; and

(2)(M) Application conten t. In addition to other requirements of this chapter, the applicant shall: (vii) if the flexible permit application includes facilities currently authorized by a permit issued under Subchapter B of this chapter (relating to New Source Review Permits), the applicant shall identify any terms, conditions, and representations in the Subchapter B permit or permits which will be superceded by or incorporated into the flexible permit. The applicant shall include an analysis of how the conditions and control requirements of Subchapter B permits will be carried forward in the proposed flexible permit. for a minor NSR review permit program.

Current SIP (14) Proposed control technology and compliance demonstration. The applicant shall specify the control technology proposed for each unit to meet the emission cap and demonstrate compliance with all emission caps at expected maximum production capacity. Submitted 7/31/2014 (N13) Proposed control technology and compliance demonstration. The applicant shall specify the control technology proposed for each unit to meet the emission cap and demonstrate compliance with all emission caps at expected maximum production capacity. Approval. No substantive changes to

current SIP. Meets 40 CFR Subpart 51.160(c) for establishing permit application requirements
for a minor NSR review permit program.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

21 1. Background on 30 TAC § 116.715. General and Special Conditions.

Current SIP-Approved 30 TAC § 116.715:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revision to 30 TAC § 116.715.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.715

– General and Special Conditions. Comments

Current SIP Flexible permits may contain general and specific conditions. The holders of flexible permits shall comply with any and all such conditions. Upon a specific finding by the
executive director that an increase of a particular air contaminant could result in a significant impact on th e air environment, or could cause the facility, group of facilities, of account to become subject to review under §116.150 and §116.151 and §§116.160-116.163 of this title (relating to Nonattainment Review or Prevention of Significant Deterioration Review), the permit may include a special condition which requires the permittee to obtain written approval from the executive director before constructing a facility under a standard permit of an exemption under Chapter 106 of this title (relating to Exemptions from Permitting) Submitted 7/31/2014 (a) Flexible permits may contain general and specific conditions. The holders of flexible permits shall comply with any and all such conditions. Upon a specific finding by the executive director that an increase of a particular

air contaminant could re sult in a significant impact on the air envir onment, or could cause the facility, group of fa cilities, of account to become subject to review under §116.150 and §116.151 and §§116.160-116.163 of this title r (relating to Nonattainment Review or Prevention of Significant Deterioration Review) the permit may include a special condition which requires the permittee to obtain written approval from the executive director before constructing a facility under a standard permit of an exemption under Chapter 106 of this title (relating to Exemptions from Permitting) Approval.
Meets Section 110(2)(A) and (C)

of CAA. Meets 40 CFR 51.160(a) and 51.230(b)

Current SIP (b) A pollutant specific emission cap or multiple emissions caps and/or individual

emission limits shall be for each air contaminant for all facilities authorized by the flexible permit. Submitted 7/31/2014 (b) A pollutant specific emission cap or multiple emissions caps and/or individual

emission limits shall be for each air contaminant for all facilities authorized by the flexible permit. A flexible permit may contain more than one emission cap for a specific air contaminant. The holder of a flexible permit shall comply with all flexible permit emission cap(s) and
individual emission limitat ions. An exceedance of the flexible permit emission cap(s) of Approval.

The rule definition change does not

circumvent the requirements of

Section 110 of the
CAA which requires regulation of any stationary
source necessary to assure NAAQS are
achieved.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

22 Annotation and Evaluation of 30 TAC § 116.715

– General and Special Conditions. Comments

individual emission limitations is a violation of the permit.

Current SIP (c) The following general and conditions shall be applicable to every flexible permit: Submitted 7/31/2014 (c) The following general and conditions shall be applicable to every flexible permit: Approval. No change to current
SIP. Meets Section 110(a)(2)(A) and (C) of CAA.

Meets 40 CFR Subparts 51.160(a) and 51.230(b).

Current SIP This section does not apply to physical or operational changes allowed without an amendment under §116.721 of this title (relating
to Amendments and Alterations). Submitted 7/31/2014 (1) Applicability. This section does not apply to physical or operational changes allowed without an amendment under §116.721 of this title (relating to Amendments and Alterations). Approval.
No substantive changes to current
SIP. Meets Section 110(a)2)(A) and (C) of CAA.

Meets 40 CFR Subparts 51.160(a) and 51.230(b).

Current SIP (2) Construction progress. The start of construction, construction interruptions exceeding 45 days, and completion of construction shall be reported to the appropriate regional office of the commission no later than 15 working days after occurrence of the event. Submitted 7/31/2014 (2) Construction progress. The start of construction, construction interruptions exceeding 45 days, and completion of construction shall be reported to the appropriate regional office of the commission no later than 15 working days after occurrence of the event. Approval. No change to

current SIP. Meets
Section 110(a)(2)(A) and (C) of CAA.

Meets 40 CFR Subparts 51.160(a) and 51.230(b).

Current SIP (3) Start-up notification. (A) The appropriate regional office of the commission and any local program having jurisdiction shall be notified prior to commencement of operations of the facilities authorized by permit in such a manner that a representative of the commission may be
present. Submitted 7/31/2014 (3) Start-up notification. (A) The permit holder shall notify the appropriate regional office of the commission and any local program having jurisdiction shall be notified prior to the commencement of operations of the facilities authorized by the permit in such a manner that a representative of the commission may be
present. Approval.
No substantive changes to current
SIP. Meets Section 110(a)(2)(A) and (C) of CAA. Meets 40 CFR Subparts 51.160(a) and 51.230(b).

Current SIP (B) Phase construction, which may involve a
series of facilities co mmencing operations at different times, shall provide separate
notification for the commencement of operations for each facility. Submitted 7/31/2014 (B) The permit holder sh all provide a separate
notification for the commencement of operations for each unit of phased construction, which may involve a series of facilities commencing operations at different
times. Approval.
Meets Section 110(a)(2)(A) and (C) of CAA. Meets 40 CFR Subparts 51.160(a) and 51.230(b).

Current SIP (C) Prior to beginning operations of the facilities authorized by the permit, the permit holder shall identify to the Office of Permitting, Remediation, and Regist ration the source or
sources of allowances to be utilized for compliance with Chapter 101, Subchapter H, Submitted 7/31/2014 (C) Prior to beginning operations of the facilities authorized by the permit, the permit holder shall identify to the Office of Permitting, Remediation, and Regist ration the source or
sources of allowances to be utilized for compliance with Chapter 101, Subchapter H, Approval.
Meets Section 110(a)(2)(A) and (C) of CAA. Meets 40 CFR Subparts 51.160(a) and 51.230(b).

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

23 Annotation and Evaluation of 30 TAC § 116.715

– General and Special Conditions. Comments Division 3 of this title (relating to Mass Emissions Cap and Trade Program. Division 3 of this title (relating to Mass Emissions Cap and Trade Program.

Current SIP (4) Sampling requirements. If sampling of stacks or process vents is required, the flexible permit holder shall contact the commission’s Engineering Services Section, Office of Compliance and Enforcement prior to sampling to obtain proper data forms and procedures. All sampling and testing procedures must be approved by the executive director and coordinated with the appropriate regional office of the commission. The flexible permit holder is also responsible for providing sampling facilities and conducting the sampling operations or contracting with an independent sampling consultant. Submitted 7/31/2014 (4) Sampling requirements. (A) If sampling is required, the flexible permit
holder shall contact the commission’s appropriate regional office prior to sampling to obtain proper data forms and procedures. (B) All sampling and testing procedures must be approved by the executive director and coordinated with the appr opriate regional office
of the commission. ( C ) The flexible permit holder is also responsible for providi ng sampling facilities and conducting the sampling operations or contracting with an independent sampling
consultant. Approval.
No substantive changes to current
SIP. Meets Section 110(a)(2)(A) and (C) of CAA.

Meets 40 CFR Subpart 51.160(c).

Current SIP (5) Monitoring, Calculat ions, and Equivalency
of methods. (A) Each flexible permit shall specify requirements for monitoring or demonstrating compliance with emission caps and individual emission limits in the flexible permit. (B) Each flexible permit shall specify methods for calculating annual and short term emissions for each pollutant for a given type of facility. Submitted 7/31/2014 (5) Monitoring, Calculat ions, and Equivalency

of methods. (A) Each flexible permit shall specify requirements for monitoring or demonstrating compliance with emission caps and individual emission limits in the flexible permit. (B) Each flexible permit shall specify methods for calculating annual a nd short term emissions for each pollutant for a given type of facility. (C) The flexible permit holder must demonstrate or otherwise justify the equivalency of emi ssion control methods, sampling or other emission testing methods, and monitoring or calculation methods proposed as alternatives to methods indicated in the conditions of the flexible permit. Requests for alternative emission control, sampling, monitoring, or calculation methods must be submitted in writing for review and approval by the executive director prior to their use in fulfilling any requirements of the permit. Approval.
Meets Section 110(a)(2)(A) and (C) of CAA.

Meets 40 CFR Subpart 51.160(c). See the TCEQ 12/9/2013, interpretive letter to Ron Curry, EPA, regarding
Director Discretion
for further basis of §116.715 (5)(C).

Current SIP (6) Recordkeeping. The permit holder shall: (A) maintain a copy of the flexible permit along
with information and data sufficient to demonstrate continuous compliance with the emission caps and individual emission limitations contained in the flexible permit. This information and data shall include, but is
not limited to: (i) emission cap and individual emission
limitation calculations based upon a 12-month rolling basis; (ii) emission cap and individual emission limitation calculations corresponding to any
short term emission limitation; and Submitted 7/31/2014 (6) Recordkeeping. The permit holder shall: (A) maintain a copy of the flexible permit along with information and data sufficient to demonstrate continuous compliance with the emission caps and individual emission limitations contained in the flexible permit. This information and data shall include, but is
not limited to:

(i) emission cap and individual emission
limitation calculations based upon a 12-month rolling basis; (ii) emission cap and individual emission limitation calculations corresponding to any short term emission limitation; and (iii) Production records and operating hours. Approval.

7/31/2014
Submittal meets
Section 110(a)(2)(A) and (C) of CAA.

Meets 40 CFR Subpart 51.160(c).

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

24 Annotation and Evaluation of 30 TAC § 116.715

– General and Special Conditions. Comments

(B) keep all required records in a file at the plant site. If, however, th e facility site normally operates unattended, records must be maintained at an office within Texas having day-to-day operational control of the facility site; (C) make the records available at the request of personnel from the commission or any local air pollution control agency having jurisdiction over the site, which, upon request, the commission shall make any such records of compliance available to the public in a timely

manner. (D) comply with any additional recordkeeping requirements specified in special conditions in the permit; and (E) retain information in the file for at least two years following the date the information or data
is obtained.

Current SIP (7) Maximum allowable emission rates. A flexible permit covers only those sources of
emissions and those air contaminants listed in the table entitled “Emission Sources, Emission Caps and Individual Emission Limitations” attached to the flexible permit. Submitted 7/31/2014 (7) Maximum allowable emission rates. A flexible permit covers only those sources of
emissions and those air contaminants listed in the table entitled “Emission Sources, Emission Caps and Individual Emission Limitations” attached to the flexible permit. Approval. No change to

current SIP. Meets
Section 110(a)(2)(A) and (C) of CAA.

Meets 40 CFR Subparts 51.160(a) and 51.230(b).

Submitted 7/31/2014 (8) Representations. The representations with regard to construction plans and operation procedures in an application for a permit or permit amendment are the condi tions upon which a flexible permit or permit amendment is issued. Approval.

The rule
definition is integral to the implementatio
n of the minor
NSR flexible permit program and
does not
circumvent the requirements
of Section 110
of the CAA which requires regulation of any stationary

source necessary to

assure NAAQS are
achieved.
Recodification.

Current SIP (8) Emission cap readjustment. If a schedule to
install additional controls is included in the flexible permit and the facility subject to such a
schedule is taken out of service, the emission cap contained in the flexible permit will be Submitted 7/31/2014 (89) Emission cap readju stment. If a schedule

to install additional controls is included in the flexible permit and the facility subject to such a

schedule is taken out of service, the emission cap contained in the flexible permit will be Approval.
No substantive changes to current
SIP. The rule

definition is integral to the

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

25 Annotation and Evaluation of 30 TAC § 116.715

– General and Special Conditions. Comments readjusted for the period the unit is out of
service to a level as if no schedule had been established. Unless a sp ecial provision specifies the method of readjustment of the cap, a permit
alteration shall be obtained. readjusted for the period the unit is out of

service to a level as if no schedule had been established. Unless a sp ecial provision specifies the method of readjustment of the cap, a permit

alteration shall be obtained. implementation of

the minor NSR flexible permit program and does
not circumvent the requirements of
Section 110 of the

CAA which requires regulation of any stationary
source necessary to assure NAAQS are
achieved.

Recodification.

Current SIP (9) Maintenance of emission control. The facilities covered by the flexible permit shall not be operated unless all air pollution emission capture and abatement equipment is maintained in good working order and operating properly during normal facility operations. Notification of
emission events and sc heduled maintenance shall be made in accordance with §101.201 and §101.211 if this title (relating to Emissions Event and Reporting requirements; and Scheduled Maintenance, Startup, and Shutdown Reporting and Recordkeeping Requirements). Submitted 7/31/2014 (910) Maintenance of emission control. The facilities covered by the flexible permit shall not be operated unless all air pollution emission capture and abatement equipment is maintained in good working order and operating properly during normal facility operations. Notification
of emission events and scheduled maintenance
shall be made in acco rdance with §101.201 and §101.211 if this title (relating to Emissions Event and Reporting requirements; and Scheduled Maintenance, Startup, and Shutdown Reporting and Recordkeeping Requirements). Approval.
No substantive changes to current
SIP. Meets Section 110(a)(2)(A) of the

CAA.

Current SIP (10) Compliance with rules. Acceptance of a flexible permit by a permit applicant constitutes an acknowledgement and agreement that the holder will comply with all Rules, Regulations,
and Orders of the commission issued in conformity with the TCAA and the conditions precedent to the granting of the permit. If more than one state or federal rule or regulation or flexible permit conditions are applicable, then the most stringent limit or conditions shall govern and be the standard by which compliance shall be demonstrated. Acceptance includes
consent to the entrance of commission employees and agents into the permitted premises at reasonable times to investigate conditions relating to the emissions or concentration of air contaminants, including compliance with the flexible permit. Submitted 7/31/2014 (110) Compliance with rules. Acceptance of a flexible permit by a permit applicant constitutes an acknowledgement and agreement that the holder will comply with all Rules, Regulations,
and Orders of the commission issued in conformity with the Texas Clean Air Act and the conditions precedent to the granting of the permit. If more than one state or federal rule or regulation or flexible permit conditions are applicable, then the most stringent limit or conditions shall govern and be the standard by which compliance shall be demonstrated. Acceptance includes consent to the entrance of commission employees and agents into the permitted premises at reasonable times to investigate conditions re lating to the emissions or concentration of air contaminants, including compliance with the flexible permit. Approval.
No substantive changes to current

SIP. Meets 40 CFR Subpart 51.160(a)(1)..

Current SIP (d), Each permit with emission caps must include special conditions that satisfy the following requirements for facilities subject to those caps. . . . These requirements do not apply to facilities that are not subject to an emission cap. (1) The monitoring system must accurately determine all emissions of the pollutants in Submitted 7/31/2014 (d), Each permit with emission caps must include special conditions that satisfy the following requirements for facilities subject to those caps. (1) The monitoring system must accurately determine all emissions of the pollutants in terms of mass per unit time. Any monitoring system author ized for use in the

p ermit must be based on sound science and meet Approval.
No substantive changes to current

SIP. Meets 40 CFR Subpart 51.160(a)(1).

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

26 Annotation and Evaluation of 30 TAC § 116.715

– General and Special Conditions. Comments terms of mass per unit of time. Any monitoring system authorized for use in the permit must be

based on sound science and meet generally acceptable scientific procedures for data quality and manipulation. generally acceptable scientific procedures for data quality and manipulation. These requirements do not apply to facilities that are not subject to an emission cap.

Submitted 7/31/2014 (e) There may be additional special conditions included in a flexible permit upon issuance or amendment of the permit. Such conditions in a flexible permit may be more restrictive than the requirements of this title. Approval.

Meets 40 CFR Subpart 51.160(a)(1).

Current SIP (f) The executive director may require as a special condition that the permit holder obtain written approval before constructing a source under a standard permit under Subchapter F of this chapter (relating to Standard Permits) or a permit by rule under Chapter 106 of this title. Such written approval may be required if the executive director specifically finds than an increase of a particular pollutant could either: (1) result in a significant impact on the air environment, or (2) cause the facility, group of facilities, or account to become subject to
review . . .

(B) the provisions in Subchapter B, Divisions 5 and 6 of this chapter (relating to Nonattainment Review Permits; and Prevention of Significant Deterioration Review, respectively). Submitted 7/31/2014 (f) The executive director may require as a special condition that the permit holder obtain written approval before constructing a source under a standard permit under Subchapter F of this chapter (relating to Standard Permits) or a permit by rule under Chapter 106 of this title. Such written approval may be required if the executive director specifically finds than an increase of a particular pollutant could either:

(1) result in a significant impact on the air environment, or (2) cause the facility, group of facilities, or account to become subject to review under: (B) the provisions in Subchapter B, Divisions 5 and 6 of this chapter (relating to Nonattainment Review Permits; and Prevention of Significant Deterioration Review, respectively). Approval, except (f)(2)(A). No substantive changes

to current SIP.

Meets 40 CFR Subpart 51.160(a)(1). Excludes : (A) Subchapter E of this chapter (relating to
Hazardous Air
Pollutants: Regulations, Governing
Constructed or
Reconstructed Major Sources (FCAA, 112(g), 40 CFR Part 63)); or

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

27 1. Background on 30 TAC § 116.716. Emission Caps and Individual Emission
Limitations.

Current SIP-Approved 30 TAC § 116.716:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revisions to 30 TAC § 116.716.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.716

– Emission Caps and
Individual Emission Limits. Comments

Current SIP (a) Emission caps. To establish a cap for a

p ollutant, the executive director will develop an emission cap for:

(1) all facilities at an account; or (2) a designated group of facilities at an

account. S ubmitted 7/31/2014 (a) Emission caps. To establish a cap for a pollutant, the executive director will develop an emission cap for: (1) all facilities at an account; or (2) a designated group of facilities at an

account. Approval. No change to SIP. The rule is integral to the implementation of the

minor NSR FPP and does
not circumvent the requirements of § 110(a)
of the CAA which requires regulation of any stationary source
necessary to assure NAAQS are achieved. See 40 CFR Subpart 51.160.

Current SIP (b) Individual emission limitations. An
individual emission limitation will be established in the same permit for each pollutant not covered by an emission cap for facilities covered by the flexible permit. In addition, an individual emission limitation may be established for a pollutan t covered by an emission cap when the expected capacity of a facility is less than the expected maximum capacity to prevent a facility from exceeding emission levels appropriate for the proposed controls. Submitted 7/31/2014 (b) Notwithstanding subsection (a) of this section, the executive director reserves the right to exclude any facility from an emissions cap if necessary to ensure compliance with the permit or to ensure the protection of human health and the
environment. Individual emission
limitations. An individual emission
limitation will be established in the same permit for each pollutant not covered by an emission cap for facilities covered by the flexible permit. In addition, and individual emission limitation may be established for a

p ollutant covere d b y an e m ission cap when Approval Meets the requirements of
40 CFR 51.230 for
emission limitations.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

28 Annotation and Evaluation of 30 TAC § 116.716

– Emission Caps and
Individual Emission Limits. Comments

the expected capacity of a facility is less than the expected maximum capacity to prevent a facility from exceeding emission levels appropriate fo r the propose d cont r ols.

Current SIP (c) Emissions will be calculated for each facility within an emission cap as follows: (1) Determination of control technology: (A) if the permit is used to authorize any facility, group of fa cilities or account, or any change to existing facilities, that constitutes a new major stationary source or major modification for the pollutant as defined by §116.12 of this title (relating to Nonattainment and Prevention of Significant Deterioration Review Definitions), Significant Deterioration Review Definitions),

emissions shall be based on control technology determined in accordance with Subchapter B, Division 5 or 6 of this chapter (relating to Nonattainment Review Permits; and Prevention of Significant Deterioration Review, respectively) as applicable, at expected maximum capacity or (B) based on application of best available control technology as defined in §116.10 of this title (relating to General Definitions), at expected maximum capacity. (2) pollutants emitted from facilities subject to lowest achievable emission rate review in accordance with Subchapter B, Division 5 of this chapter must be included in a separate emissions cap or
listed as individual emission limitations. (3) the calculated emissions for all facilities within an emission cap will be

summed. (4) a lower emission cap than that determined by paragraph (3) of this subsection may be propos ed by the permit applicant if technical information is provided to demonstrate that it is feasible to operate in compliance with the proposed emission cap. Submitted 7/31/2014 (c) Emissions will be calculated for each facility within an emission cap as follows: (1) Determination of control technology: (A) if the permit is used to authorize any facility, group of fa cilities or account, or any change to existing facilities, that constitutes a new major stationary source or major modification for the pollutant as defined by §116.12 of this title (relating to Nonattainment and Prevention of Significant Deterioration Review Definitions), Significant Deterioration Review Definitions),

emissions shall be based on control technology determined in accordance with Subchapter B, Division 5 or 6 of this chapter (relating to Nonattainment Review Permits; and Prevention of Significant Deterioration Review, respectively) as applicable, at expected maximum capacity or (B) based on application of best available control technology as defined in §116.10 of this title (relating to General Definitions), at expected maximum capacity. (2) pollutants emitted from facilities subject to lowest achievable emission rate review in accordance with Subchapter B, Division 5 of this chapter must be include d in a separate emissions cap or listed as
individual emissi on limitations. (3) the calculated emissions for all facilities within an emission cap will be

summed. (4) a lower emission cap than that determined by paragraph (3) of this subsection may be propos ed by the permit applicant if technical information is provided to demonstrate that it is feasible to operate in compliance with the propose d emission cap. Approval. No change to current SIP. The rule is integral to the implementation of the

minor NSR FPP and does

not circumvent the requirements of § 110(a) of the CAA which requires regulation of any stationary
source necessary to assure NAAQS are achieved. See 40 CFR Subpart 51.160.

Current SIP (d) Individual emission limitations. An

individual emission limitation will be established in the same permit for each pollutant not included in an emission cap for facilities authorized by the flexible permit. In addition, an individual

emission limitation ma y be established Submitted 7/31/2014 (d) Individual emission limitations. An

individual emission limitation will be established in the same permit for each pollutant not included in an emission cap for facilities authorized by the flexible permit. In addition, an individual emission limitation may be established for Approval. No change to the current SIP. The rule is integral to the implementation of the

minor NSR FPP and does

not circumvent the requirements of Section 110(a) of the CAA which

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

29 Annotation and Evaluation of 30 TAC § 116.716

– Emission Caps and
Individual Emission Limits. Comments

for a pollutant included in an emission cap when the expected capacity of a facility is less than the expected maximum capacity to prevent a facility from exceeding emission levels appropriate for the proposed controls. a pollutant included in an emission cap when the expected capacity of a facility is less than the expected maximum capacity to prevent a facility from exceeding emission levels appropriate for the proposed controls. requires regulation of any stationary source necessary to assure NAAQS are

achieved.

Current SIP

(e) The permit shall clearly identify, by a table or other appropriate means, the facilities that are subject to an emission cap, and the facilities that are subject to
individual emission lim itations. A facility may be subject to both an emission cap and
an individual emission limitation. Submitted 7/31/2014 (e) The permit shall clearly identify, by a table or other appropriate means, the facilities that are subject to an emission cap, and the facilities that are subject to
individual emission lim itations. A facility may be subject to both an emission cap and
an individual emission limitation. Approval. No change to the current SIP. The rule is integral to the implementation of the minor NSR flexible permit program
and does not circumvent the requirements of Section 110(a) of the CAA which requires regulation of any stationary source necessary to assure NAAQS are
achieved. See 40 CFR Subpart 51.160.

Current SIP (f) Adjustment of emission cap. To ensure caps are practically enforceable,
the executive director will use the following criteria and procedures for adjustment of a cap. (1) If a facility subject to an emission cap is shut down for a period longer than six months, the emissi on cap shall be adjusted by lowering the emission cap by an amount that the shut down facility contributed to the original calculation of the emission cap. If a shut down facility is returned to operation, the emission cap shall be adjusted by increasing the emission cap by the amount that the facility contributed to the original calculation of the emission cap; however, the emission cap cannot be increased beyond the original emission cap amount. (2) If a facility is to be added to the flexible permit, a permit amendment is required to establish a revised emission cap. If a facilit y is to be added to the flexible permit, a

p ermit amendment is required to establish a revised emission cap. (3) If an existing emission cap is to be increased as a result o f adding a new facility or the modification of a facility within the emission cap, an amendment application is required. In considering the application, the commission
shall: (A) Determine whether an increase in the emission cap constitutes a major modification for the pollutant as defined by §116.12 of this title. For purposes of this determination, all facilities under that cap Submitted 7/31/2014 (f) Adjustment of emission cap. To ensure caps are practically enforceable, The executive director will use the following criteria and procedures for adjustment of

a cap. (1) If a facility subject to an emission cap is shut down for a period longer than six months, the emissi on cap shall be adjusted by decreasing lowering the emission cap by an amount that the shut down facility contributed to the original calculation of the emission cap. If a shut down facility is returned to operation, the emission cap shall be adjusted by increasing the emission cap by the amount that the facility contributed to the original calculation of the emission cap; however, the emission cap cannot be increased beyond the original emission
cap amount. (2) If a facility is to be added to the flexible permit, a permit amendment is required to establish a revised emission cap. If a facility is to be added to the flexible permit, a permit amendment is required to establish a revised emission cap. If an existing emission cap is to be increased as a result of adding a new facility or the modification of a facility within the emission cap, an amendment application is required. (3) If an existing emission cap is to be increased as a result of adding a new facilit y or the modification of a facility within the emission cap, an amendment application is required. In considering the application, the Approval. The rule is integral to the implementation of the minor NSR flexible permit program and does not

circumvent the requirements of Section 110(a) of the CAA which requires regulation of any stationary source necessary to assure NAAQS are

achieved. See 40 CFR Subpart 51.160.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

30 Annotation and Evaluation of 30 TAC § 116.716

– Emission Caps and
Individual Emission Limits. Comments

shall be included in the evaluation. (B) for facilities that are not major modifications as determined by the analysis in paragraph (3)(A) of this subsection, increase the emission cap by the sum of the
emissions from each of the new or modified
facilities determined in accordance with subsection (c) of this section and decrease the emission cap by the sum of the previous emission cap contributions from the
facilities to be modified. commission shall: (A) Determine whether an increase in the emission cap constitutes a major modification for the pollutant as defined by §116.12 of this title. For purposes of this determination, all facilities under that cap
shall be included in the evaluation. (B) for facilities that are not major modifications as determined by the analysis in paragraph (3)(A) of this subsection, increase the emission cap by
the sum of the emissions from each of the
new or modified facilities determined in accordance with subsection (c) of this section and decrease the emission cap by the sum of the previous emission cap
contributions from the facilities to be modified.(3) An emission cap will be decreased for any facility, group of facilities, or account authorized by a flexible permit if that facility becomes subject to any new state or federal rule or regulation which would lower emissions or require an emission reduction. The adjustment will be made the next time the flexible permit is amended or altered. If an amendment to a flexible permit is not required to meet the new requirement, then within 60 days of making the change, the permittee must submit a request to alter the permit and include information describing how compliance with the new requirement will be
demonstrated.

## TECHNICAL SUPPORT DOCUMENT
Revisions to the New Source Review Stat e Implementation Plan; Flexible Permi t Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

31 1. Background on 30 TAC § 116.717 – Implementation Schedule for Additional
Controls.

Current SIP-Approved 30 TAC § 116.717:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revisions to 30 TAC § 116.717.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.717

– Implementation Schedule for
Additional Controls. Comments

Current SIP If a facility requires the installation of

additional controls to meet an emission cap for a pollutant, the flexible permit shall specify an implementation schedule for such additional controls. The permit may also specify how the emission cap will be adjusted if such a facility is taken
out of service or fails to install the additional control equipment as provided by the implementation schedule. Submitted 7/31/2014 If a facility requires the installation of
additional control or controls to meet an emission cap for a pollutant, the flexible permit shall specify an implementation
schedule for such additional controls. The permit may also specify how the emission cap will be adjusted if such a facility is
taken out of service or fails to install the additional control equipment as provided by the implementation schedule. Approval. No change to the current SIP. The rule is integral to the implementation of the
minor NSR FPP and does
not circumvent the requirements of Section 110(a) of the CAA which requires regulation of any stationary source necessary to assure NAAQS are
achieved. See 40 CFR Subpart 51 160

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

32 1. Background on 30 TAC § 116.718. Significant Emission Increase.

Current SIP-Approved 30 TAC § 116.718:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revisions to 30 TAC § 116.718.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.718

– Significant Emission Increase. Comments

Current SIP

An increase in emissions from operational or physical changes at an existing facility covered by a flexible permit is insignificant, for purposes of
state new source review under this subchapter, if the increase does not exceed either the emission cap or
individual emission limitation. This section does not apply to an increase from a new facility nor to the emission of an air contaminant not previously emitted by an existing facility. Submitted 7/31/2014
An increase in emissions from operational or physical changes at an existing facility covered by a flexible permit is insignificant, for purposes of
state new source review under this subchapter, if the increase does not exceed either the emission cap or
individual emission limitation. This section does not apply to an increase from a new facility nor to the emission of an air contaminant not previously emitted by an existing facility. Approval. No change to the current SIP. The rule is integral to the implementation of the minor
NSR FPP and does not circumvent the requirements of Section 110(a) of the CAA which requires regulation of any stationary source necessary to assure NAAQS are achieved. It allows flexibility under the cap but ensures that the cap and
individual emission limits are met. Thus its’ protective of the NAAQS. See 40 CFR Subpart

51 160

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

33 1. Background on 30 TAC § 116.720. Limitation of Ph ysical and Operational Changes.

Current SIP-Approved 30 TAC § 116.720:

 This Section was conditionally approv ed into the SIP on July 14, 2014, and incorporated the original 11/29/1994, rule submission which was officially resubmitted by the TCEQ on October 21, 2013.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on December 14, 2010, published in the Texas Register on December 31, 2010, and effective on January 6, 2011.

Proposed Action:

 Approval of the 30 TAC § 116.720 as adopted on December 14, 2010.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.720

– Limitation of Physical and Operational Changes Comments

Current SIP Neither operational nor physical changes authorized under this subchapter may result
in an increase in actual emissions at facilities not covered by the flexible permit
unless those facilities are authorized pursuant to §116.110 of this title (relating to Applicability). Submitted 7/31/2014 Operational or Neither operational nor physical changes authorized under this subchapter may result in an increase in
actual emissions at facilities not covered by the flexible permit unless those facilities are authorized pursuant to §116.110 of this title (relating to Applicability). Approval. No substantive changes to
current SIP. The 30 TAC §116.720 as adopted on 12/14/2010, is approvable

. Section 110(a) of the CAA requires regulation of any stationary source necessary to assure NAAQS are achieved. 40 CFR Subpart 51.160 helps to ensure
non- interference with
attainment or national
standar d

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

34 1. Background on 30 TAC § 116.721. Amendments and Alterations.

Current SIP-Approved 30 TAC § 116.721:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revisions to 30 TAC § 116.721.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.721

– Amendments and Alterations Comments

Current SIP (a) Flexible permit amendments. All representations with regard to construction plans and operation in an application for a flexible permit, as well as any general and specific provisions attached become conditions upon which the subsequent flexible permit is issued. It shall be unlawful for any person to vary from such representation or flexible permit provision if the change will cause a change in the method of control of emissions, the character of emissions, or will result in a significant increase in emissions, unless application is
made to the executive director to amend the flexible permit in that regard and such amendment is approved by the executive director or commission. Applications to amend a flexible permit shall be submitted with a completed Form PI-1 and are subject to the requirements of §116.711 of this title (relating to Flexible Permit Application). Submitted 7/31/2014 (a) Flexible permit amendments. All representations with regard to construction plans and operation procedures in an application for a flexible permit or flexible permit amendment, as well as any general and special specific provisions attached become conditions, become conditions upon which the subsequent flexible permit is issued. It shall be unlawful for any person to vary from such representation or flexible permit provision if the change will cause a change in

the method of control of emissions or the character of emissions, will relax emission controls, or will result in a significant increase in emissions, unless application is
made to the executive director to amend the flexible permit in that regard and such amendment is approved by the executive director or commission. Applications to amend a flexible permit shall be submitted with a completed Form PI-1 and are subject to the requirements of §116.711 of this title (relating to Flexible Permit Application). Approval. No substantive changes

to current SIP. Meets 4 0 CFR Subpart 51.160(a) part of the legally enforceable procedures
the state must have to modify a facility.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

35 Annotation and Evaluation of 30 TAC § 116.721

– Amendments and Alterations Comments

Current SIP (b) Flexible permit alterations: (1) A flexible permit alteration is for any variation from a representation in a flexible permit application or a general or special provision of a flexible permit that does not require a flexible permit amendment. (2) All flexible permit alterations which may involve a change in a general or special condition contained in a flexible permit, or affect control equipment performance must receive prior approval by the executive director. The executive director shall be notified in writing of all other flexible permit alterations within ten days of implementing the change unless the permit provides for a different method of notification. Any flexible permit alteration request shall include
information sufficient to demonstrate that the change does not interfere with the owner or operator’s previous demonstrations of compliance with the requirements of §116.711 of this title, including protection of public health and property and welfare. The appropriate commission regional office and any local air program having jurisdiction shall be provided copies of the flexible permit alteration documents.(3) Flexible permit alterations shall not be subject to the requirements of beat available control technology identified in §116.711(3) of this title. Submitted 7/31/2014 (b) Flexible permit alterations: (1) A flexible permit alteration is for any variation from a representation in a flexible permit application or a general or special provision of a flexible permit that does not require a flexible permit amendment. (2) All flexible pe rmit alterations which may involve a change in a general or special condition contained in a flexible permit, or affect control equipment performance must receive prior approval by the executive director. The executive director shall be notified in writing of all other flexible permit alterations within ten days of implementing the change unless the permit provides for a different method of notification. Any flexible permit alteration request shall include
information sufficient to demonstrate that the change does not interfere with the owner or operator’s previous demonstrations of compliance with the requirements of §116.711 of this title, including protection of public health and property and welfare. The appropriate commission regional offi ce and any local air program having jurisdiction shall be provided copies of the flexible permit
alteration documents. (3) Flexible permit alterations shall not be subject to the requirements of best available control technology identified in §116.711(32)

of this title. Approval.
No substantive changes to current SIP. EPA has previously approved alterations

for minor source programs. We would

also note that Fifth Cir.
Co. determined in its ruling overturning EPA disapproval that

the State has substantial flexibility in creating minor

source programs. Meets 40 CFR Subpart 51.160(a) part of the legally enforceable procedures the state must have to modify a facility.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

36 Annotation and Evaluation of 30 TAC § 116.721

– Amendments and Alterations Comments

Current SIP (c) Changes not requiring an amendment or alteration. The following changes do not require an amendment or alteration, except that an amendment is required if the change will cause a change in the method of control of emissions, the character of emissions, or will result in a significant increa se in emissions. (1) a change in throughput; or (2) a change in the feedstock. Submitted 7/31/2014 (c) Changes not requiring an amendment or alteration. The following changes do not require an amendment or alteration, except that an amendment is required if the change will cause a change in the method of control of emissions, or the character of the emissions, will relax emission controls, or will result in a significant increase in

emissions. as determ ined under §116.718 of this title (relating to Significant Emission Increase), or conflicts with an existing permit condition:

(1) a change in throughput; or (2) a change in the feedstock. Approval.
No substantive changes to current SIP. Meets 40 CFR Subpart 51.160(a) part of the legally enforceable procedures necessary to protect the NAAQS
or violation a control
strategy.

Current SIP (d) Permits by rule under Chapter 106 of this title (relating to Exemptions from Permitting) in lieu of permit amendment or
alteration. (1) Notwithstanding subsections (a) or (b) of this section, no permit amendment or alteration is required if the changes to the permitted facility qualify for a permit by under Chapter 106 of this title unless prohibited by permit provision as provided in §116.715 of this title (relating to General and Special conditions). All such changes permitted by rule to a permitted facility shall be incorporated into that facility’s permit at such time as the permit is
amended or renewed. (2) Emission increases authorized by Chapter 106 of this title at an existing facility covered by a flexible permit shall
not cause an exceedance of the emissions

cap o r in d ividual emission limit. Submitted 7/31/2014 (d) Permits by rule under Chapter 106 of this title (relating to Exemptions from Permitting) in lieu of permit amendment or alteration.

(1) Notwithstanding subsections (a) or (b) of this section, no permit amendment or alteration is required if the changes to the permitted facility qualify for a permit by rule under Chapter 106 of this title unless prohibited by permit provision as provided in §116.715 of this title (relating to General and Special Conditions). All such changes permitted by rule to a permitted facility shall be incorporated into that facility’s permit at such time as the permit is amended or
renewed. (2) Emission increases authorized by Chapter 106 of this title at an existing facility covered by a flexible permit shall
not cause an exceedance of the emissions cap or individual emission limitation. Approval. No substantive changes

to current SIP. Meets 40 CFR Subpart 51.160(a) part of the legally enforceable

p rocedures necessary to protect the NAAQS or

violation a control
strategy.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

37 1. Background on 30 TAC § 116.740(a). Public Notice.

Current SIP-Approved 30 TAC § 116.740(a):

 This Section was conditionally approv ed into the SIP on July 14, 2014, and incorporated the 10/25/1999, rule submission which was officially re-submitted by the TCEQ on October 21, 2013.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on December 14, 2010, published in the Texas Register on December 31, 2010, and effective on January 6, 2011.

Proposed Action:

 Approval of the 30 TAC § 116.740(a) as adopted on December 14, 2010.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.740

– Public Notice Comments

Current SIP (a) Any person who applies for a flexible permit or an amendment to a flexible permit shall comply with the provisions in Chapter 39 of this title relating to Public Notice) Submitted 7/31/2014 (a) Any person who applies for a flexible permit or an amendment to a flexible permit shall comply with the requirements provisions in Chapter 39 of this title relating to Public Notice). Approval No substantive changes

to current SIP. The 30 TAC §116.740(a) as adopted on 12/14/2010, is approvable

. This section

cross references the previously approved Public Participation provisions for the Texas Air Permit programs at Chapter 39. The Chapter
39 rules contained in the July 14, 2014, conditional approval did not need reformatting.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

38 1. Background on 30 TAC § 116.750. Flexible Permit Fee.

Current SIP-Approved 30 TAC § 116.750:

 This Section was conditionally approv ed into the SIP on July 14, 2014, and incorporated the original 11/29/1994 (§ 116.750(a)), 10/4/2002 (§ 116.750(b) and (c)), and 9/11/2000 (§ 116.750(d)), rule submissions which were officially re-submitted by the TCEQ on October 21, 2013.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on December 14, 2010, published in the Texas Register on December 31, 2010, and effective on January 6, 2011.

Proposed Action:

 Approval of the 30 TAC § 116.750 as adopted on December 14, 2010.

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.750

– Flexible Permit Fee Comments

Current SIP (a) Fees required. Any person who applies for a flexible permit or for an amendment to an existing flexible permit shall remit, at the time of application for such permit, a fee as set forth in subsection (b) of this section. Fees will not be charged for flexible permit
alterations. SIP Approved Rule Re-Submitted
7/31/2014 (a) Fees required. Any person who applies for a flexible permit or for an amendment to an existing flexible permit shall remit, at the time of application for such permit, a fee as set forth in subsection (b) of this section. Fees will not be charged for flexible permit

alterations. Approval. The 30 TAC §116.750(a) as adopted on 12/14/2010, is approvable and is not separable from other provisions relating to the

Texas Flexible Permits Program. The minor
source federal rules have no fees requirements, it is a more stringent provision and therefore protective of the NAAQS.

Current SIP (b) Fee amounts. The fee to be remitted with a flexible permit application shall be

based on the total annual allowable emissions from the permitted facility, group of facilities, or account for which the flexible permit is being sought. The fee shall be $32 per ton with the minimum fee being $900 and the maximum fee $75,000. For flexible permit amendments, the fee shall be calculated based on $32 per ton for

the incremental emission increase with the minimum fee being $900 and the maximum fee being $75,000. Submitted 7/31/2014 (b) Fee amounts. The fee to be remitted with a flexible permit application shall be determined as set forth in §116.141 of this title (relating to Determination of Fees)

based on the total annual allowable emissions from the permitted facility, group of facilities, or account for which the flexible permit is be ing sought. The fee shall be $32 per ton with the minimum fee being $900 and the maximum fee $75,000. For flexible permit amendments, the fee shall be calculated based on $32 per ton for

the incremental emission increase with the minimum fee being $900 and the maximum fee being $75,000. Approval. The 30 TAC §116.750(b) as adopted on 12/31/2010, is approvable and is not separable from other provisions relating to the

Texas Flexible Permits Program. The minor source
federal rules have no fees requirements, it is a more stringent provision and therefore protective of the NAAQS.

Current SIP Submitted 7/31/2014 Approval.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review Stat e Implementation Plan ; Flexible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

39 Annotation and Evaluation of 30 TAC § 116.750

– Flexible Permit Fee Comments (c) Payment of fees. All permit fees for a flexible permit shall be remitted in the form of a check, certified check, electronic funds transfer, or money order made payable to the Texas
Commission on Environmental Quality and delivered with the application for a flexible permit or flexible permit amendment to the
commission’s New Source Review Permitting Division. Required fees must be received before the agency will begin examination of the application. (c) Payment of fees. All permit fees for a flexible permit shall be remitted in the form of a check, certified check, electronic funds transfer, or money order made payable to the Texas Commission on Environmental Quality and delivered with the application for a flexible permit or flexible permit amendment to the

commission’s Air New Source Review Permits ting Division. Required fees must be received before the agency will begin examination of the application. Non-substantive changes to
the current SIP. The 30 TAC §116.750(c) as adopted on 12/31/2010, is approvable

. Not separable from other provisions relating to the

Texas Flexible Permits Program. The minor source

federal rules have no fees requirements, it is a more stringent provision and therefore protective of the NAAQS.

Current SIP (d) Return of fees. Fees must be paid at the time an application for a flexible permit or flexible permit amendment is submitted. If the applicant withdraws the application prior to issuance of the flexible permit or flexible permit amendment, one-half of the fee will be refunded, except that the entire fee will be refunded for any such application for which a permit by rule under Chapter 106 of this chapter (relating to Permits by Rule ) is allowed. No fees
will be refunded after a deficient application has been voided, denied, or after a flexible permit or flexible permit amendment has been issued by the agency. Submitted 7/31/2014 (d) Return of fees. Fees must be paid at the time an application for a flexible permit or flexible permit amendment is submitted. If the applicant withdraws the application prior to issuance of the flexible permit or flexible permit amendment, one-half of the fee will be refunded, except that the entire fee will be refunded for any such application for which a permit by rule under Chapter 106 of this chapter (relating to Permits by Rule ) is allowed. No fees
will be refunded after a deficient application has been voided, denied, or after a flexible permit or flexible permit amendment has been issued by the agency. Approval. No changes to the current
SIP. The 30 TAC §116.750(d) as adopted on 12/31/2010, is approvable

. Not separable from other provisions relating to the

Texas Flexible Permits Program. The minor source

federal rules have no fees requirements, it is a more stringent provision and therefore protective of the NAAQS.

## TECHNICAL SUPPORT DOCUMENT
Amendments to the New Source Review State Im plementation Plan; Flex ible Permits Program 30 TAC Chapter 116
Docket No. EPA-R06-OAR-2013-0542

40 1. Background on 30 TAC § 116.765. Compliance Schedule.

Current SIP-Approved 30 TAC § 116.765:

• This section is SIP-approved.

Revisions considered in this action:

 A SIP amendment was submitted July 31, 2014, as adopted by TCEQ on July 2, 2014.

Proposed Action:

• Approval of the revisions to 30 TAC § 116.765 (a) and (b).

2. Evaluation Matrix.

Annotation and Evaluation of 30 TAC § 116.765

– Compliance Schedule Comments

Current SIP (b) The compliance date is 60 days after publication in the Federal Register of the final approval by the United States Environmental Protection Agency of these sections as
revisions to the Texa s State Implementation

Plan. (c) Until the compliance date specified by subsection (b) of this section, applications for flexible permits are governed by §§116.710, 116.711, 116.715 - 116.718, 116.720, 116.721, 116.730, 116.740 and 116.750 of this title, as they existed immediately before January 5, 2011, and those rules are continued in effect for that purpose. All other sections in this subchapter remain applic able to applications for flexible permits. S ubmitted 7/31/201 4 (ba) The compliance date is 60 days after publication in the Federal Register of the final approval by the United States Environmental Protection Agency (EPA) of all or portions of §§116.13, 116.710, 116.711, 116.714-116.718, 116.720=116.722, 116.740, 116.750, 116.760, 116.765 of this title (relating to Flexible Permit Definitions; Applicability; Flexible Permit Application; Applica tion Review Schedule; General and Special Conditions; Emission Caps and Individual Emission Limitations; Implementation Schedule for Additional Controls; Significant Emission Increase; Limitation on Physical and Operational Changes; Amendments and Alterations; Distance Limitations; Public Notice and Comment; Flexible Permit Fee; Flexible Permit Renewal; and Compliance Schedule)

submitted to the EPA of these sections as
revisions to the Texa s State Implementation

Plan. (cb) Until the compliance date specified by subsection (a)(b) of this section, applications for flexible permits are governed by §§116.710, 116.711, 116.715 - 116.718, 116.720, 116.721, 116.730, 116.740 and 116.750 of this title, as they existed immediately before January 5, 2011, and those rules are continued in effect for that purpose. All other sections in this subchapter remain applicable to applications for flexible permits. Approval. Not separable from other provisions relating to the
Texas Flexible Permits Program.