[Federal Register Volume 60, Number 65 (Wednesday, April 5, 1995)]
[Rules and Regulations]
[Pages 17229-17232]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-8219]



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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 52

[IL92-1-6336a; FRL-5165-8]


Approval and Promulgation of Implementation Plans; Illinois

AGENCY: Environmental Protection Agency.

ACTION: Direct final rule.

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SUMMARY: The United States Environmental Protection Agency (USEPA) 
approves Illinois' February 7, 1994, request to incorporate smaller 
source permit rule amendments into the Illinois State Implementation 
Plan (SIP). The purpose of these smaller source amendments is to lessen 
the permitting burden on small sources and on the permitting authority 
by reducing the frequency and/or the requirement for operating permit 
renewal for sources emitting less than twenty-five tons per year total 
of regulated air pollutants. In the proposed rules section of this 
Federal Register, USEPA is proposing approval of and soliciting public 
comment on this requested SIP revision. If adverse comments are 
received on this action, USEPA will withdraw this final rule and 
address the comments received in response to this action in a final 
rule on the related proposed rule which is being published in the 
proposed rules section of this Federal Register. A second public 
comment period will not be held. Parties interested in commenting on 
this action should do so at this time.

DATES: This final rule will be effective June 5, 1995 unless an adverse 
comment is received by May 5, 1995. If the effective date of this 
action is delayed due to adverse comments, timely notice will be 
published in the Federal Register.

ADDRESSES: Written comments should be sent to: J. Elmer Bortzer, Chief, 
Regulation Development Section, Regulation Development Branch (AR-18J), 
U.S. Environmental Protection Agency, 77 West Jackson Boulevard, 
Chicago, Illinois, 60604.
    Copies of the Illinois submittal are available for public review 
during normal business hours, between 8 a.m. and 4:30 p.m., at the 
above address. A copy of this SIP revision is also available for 
inspection at: Office of Air and Radiation (OAR), Docket and 
Information Center (Air Docket 6102), room 1500, U.S. Environmental 
Protection Agency, 401 M Street, SW., Washington, DC 20460.

FOR FURTHER INFORMATION CONTACT: Genevieve Nearmyer, Permits and Grants 
Section, Regulation Development Branch (AR-18J), U.S. Environmental 
Protection Agency, 77 West Jackson Boulevard, Chicago, Illinois, 60604. 
Telephone: (312) 353-4761.

SUPPLEMENTARY INFORMATION:
    The USEPA is approving the smaller source amendments to Title 35: 
Environmental Protection of the Illinois Administrative Code (35 IAC), 
Subtitle B: Air Pollution, Chapter I: Pollution Control Board Parts 201 
and 211 as received on February 10, 1994, as a requested SIP revision. 
The purpose of the smaller source amendments is to lessen the 
permitting burden on small sources and the permitting authority by 
reducing the frequency and/or the requirement of operating permit 
renewal for sources emitting less than 25 tons per year total of 
regulated air pollutants. A permit obtained through the smaller source 
operating permit rules would not necessarily expire within a five year 
period as in other operating permit programs. The permit will continue 
as a legally binding State document until the source modifies its 
operations, withdraws its permit or becomes subject to a new applicable 
requirement. At that time, the Illinois Environmental Protection Agency 
(IEPA) will [[Page 17230]] determine whether or not the smaller source 
permit rules are still a valid means of permitting the source and 
either issue a revised small source operating permit or direct the 
source in the appropriate permitting procedures. Small source operating 
permits are not exempt from any other permit requirements such as 
annual reporting and obtaining necessary construction permits. However, 
since these permits will not go through a public comment period nor be 
subjected to USEPA review, they will not be federally enforceable for 
the purpose of limiting a source's potential to emit. See 54 FR 27281 
(June 28, 1989). Consequently, they cannot be used for exemption from 
the section 112, Title V Operating Permit Program or any other major 
source requirements of the Act. With an estimated 6,000 sources 
eligible for this program, much of the expense and administrative 
burden of the operating permit renewal process would be eliminated. The 
rationale for USEPA's approval is summarized in this rule. A more 
detailed analysis is set forth in a technical support document which is 
available for inspection at the Region 5 Office listed above.
    The small source air permit program rules originated before the 
Illinois Pollution Control Board (IPCB) on April 2, 1993. Two public 
hearings were held: May 25, 1993 in Chicago and May 26, 1993 in DeKalb. 
On July 22, 1993, the IPCB adopted the amended proposal pursuant to 
comments received for first notice. On October 7, 1993, the IPCB 
adopted and submitted to the Joint Committee on Administrative Rules 
(JCAR) a second notice proposal. On November 16, 1993, JCAR stated they 
had no objections to the rules. The rules became effective on December 
7, 1993.
    The following sections of part 201 have been changed to accommodate 
the small source operating permit program.

Subpart D: Section 201.162 Duration

    This section which was incorporated in the Illinois SIP at 40 CFR 
52.720 (c)(84) on December 17, 1992 (57 FR 59928) had stated that the 
duration of an operating permit is defined as being no longer than five 
years but was changed to exempt sources subject to Subpart E of Part 
201, the small source air permit program, from the limited permit life.

Subpart D: Section 201.163 Joint Construction and Operating Permits

    Section 201.163 which was incorporated in the Illinois SIP at 40 
CFR 52.720 (c)(84) on December 17, 1992 (57 FR 59928) had previously 
stated that in cases where the construction of a source or air 
pollution control equipment is sufficiently standard, the Illinois 
Environmental Protection Agency (IEPA) may issue a joint construction 
and operating permit valid for no longer than five years but was 
changed to exempt sources subject to Subpart E of Part 201, the small 
source air permit program, from the limited permit life.
    The following rules have been added to Parts 201 and 211 to define 
the terms of the small source operating permit program.

Subpart E: Section 201.180 Applicability

    Sources are eligible for small source operating permits if their 
total emissions of all regulated air pollutants are less than 25 tons 
per year and are not subject to the title V operating permits program 
under Section 39.5 of the Illinois Environmental Protection Act. Cases 
where sources may appear to be eligible for the small source operating 
permit program but are subject to title V include sources with the 
potential to emit 10 tons per year of any one or 25 tons per year of an 
aggregate of hazardous air pollutants as listed in Section 112(b) of 
the Clean Air Act of 1990 or 25 tons per year of volatile organic 
compounds or nitrous oxides in the severe ozone nonattainment areas, 
specifically McHenry, Lake, Kane, Cook, Du Page, Will Counties and 
Oswego Township in Kendall County and Aux Sable and Goose Lake 
Townships in Grundy County of Illinois. If the source's potential to 
emit is greater than the Act's major source thresholds such as those 
mentioned above but the source's actual emissions are lower than the 
thresholds, a federally enforceable limit on potential to emit would be 
required to avoid title V operating permit requirements. A small source 
operating permit is not federally enforceable for purposes of limiting 
potential to emit because a public comment period and USEPA review are 
not required and, therefore, the small source operating permit can not 
be used to limit a source's potential to emit.
    If the source is eligible for a small source operating permit and 
its existing operating permit has not expired pursuant to a renewal 
request from IEPA then, the permit will remain in effect until the 
permit is superseded by a new or revised permit or it is withdrawn upon 
the request of the permittee.
    Sources obtaining a small source operating permit must still comply 
with all rules in part 201 including, but not limited to, monitoring, 
recordkeeping and annual reporting unless otherwise stated. If a source 
modifies the method of operation or equipment or installs new emission 
units a construction permit must be obtained pursuant to Parts 201 and 
203 of 35 Illinois Administrative Code.

Subpart E: Section 201.181 Expiration and Renewal

    A small source operating permit will terminate if a revised permit 
is issued, if the permittee withdraws the permit or, 180 days after 
IEPA sends a request for renewal.
    A request for renewal of an operating permit may be sent to a 
source in cases where there has been a change in requirements 
applicable to the source, verification of application accuracy, or 
suspicion of noncompliance. Renewal procedures will use the existing 
rules for air permit processing found in Subpart D and for revocation 
and revision rules found in Subpart F of 35 Illinois Administrative 
Code 201.
    Appeals to the IPCB may only be made within 35 days of a final 
determination by IEPA. Final determinations include denial of a permit, 
issuance of a permit with conditions, or an incomplete application 
determination. A request for renewal notice is not grounds for an 
appeal.

Subpart E: Section 201.187   Requirement of a Revised Permit

    The permittee has the obligation to obtain a new or revised permit 
prior to the operational changes. Changes are considered to be 
increases in emissions in excess of the permitted emissions, a 
modification as defined at 35 Illinois Administrative Code 201.102, 
changes in operations that violate an existing permit condition, or a 
change in ownership, company name, or address. If a revised permit is 
not obtained the source remains subject to the existing operating 
permit and may be in violation of the obligation to apply for a new or 
revised permit. If the operational changes remove the source from the 
applicability of the small source air permit program, the permittee 
shall apply for a revised permit under subpart D of part 201 or under 
section 39.5 of the Illinois Environmental Protection Act.

Subpart B: Section 211.5500  Regulated Air Pollutant

    The definition of regulated air pollutant which was incorporated in 
the Illinois SIP at 40 CFR 52.720(c)(100) on September 9, 1994 (59 FR 
46562) has been changed to reflect the definition in 40 CFR part 70. 
The definition of regulated air pollutant as it pertains to the 
applicability of a small source eligible for a small source operating 
[[Page 17231]] permit has been changed to incorporate any air 
contaminant that is regulated by the air pollution subtitle.
    When summing the source's emissions it is IEPA's intention to focus 
on the five criteria pollutants; nitrogen oxides, sulfur dioxides, 
particulate matter, volatile organic compounds, and carbon monoxides. 
This is to avoid double counting of pollutants which fall under both 
the hazardous air pollutant category and either the volatile organic 
compound or particulate matter category in the 25 ton per year 
applicability cut-off. This method of accounting for emissions does not 
relieve the source of the obligation of accounting for hazardous air 
pollutants emissions for title V applicability purposes.

Final Rulemaking Action

    This permitting program was designed to alleviate the permitting 
burden on IEPA. Since it is IEPA's intention to permit all sources 
within the state, this program will allow IEPA more time to spend on 
the larger sources by greatly reducing the number of smaller source 
permits that must be renewed every five years. These permits can also 
be processed much faster without the public comment and USEPA review 
requirements. The trade-off for the faster processing time is that the 
small source operating permits can not be used for sources requiring 
federally enforceable permits for such things as limiting their 
potential to emit below the major source thresholds. This permitting 
program does not exempt sources from other permit requirements such as 
annual reporting and obtaining construction permits thus allowing IEPA 
to maintain oversight of the smaller sources. IEPA also has the 
authority to require a source to apply for renewal of its permit if 
there has been a change in requirements applicable to the source, IEPA 
wishes to verify application accuracy, or IEPA suspects noncompliance.
     For the reasons stated above, USEPA is approving the State's 
request to incorporate small source permit rules into the Illinois SIP. 
The specific rules being approved are as follows: Sections 201.162 
Duration, 201.163 Joint Construction and Operating Permits, 201.180 
Applicability, 201.181 Expiration and Renewal and 211.5500 Regulated 
Air Pollutant.
     The USEPA is publishing this action without prior proposal because 
USEPA views this as a noncontroversial amendment and anticipates no 
adverse comments. However, in a separate document in this Federal 
Register publication, the USEPA is proposing to approve the requested 
SIP revision should adverse or critical comments be filed. This action 
will be effective on June 5, 1995 unless adverse or critical comments 
are received by May 5, 1995.
    If the USEPA receives such comments, this action will be withdrawn 
before the effective date by publishing a subsequent rule that 
withdraws this final action. All public comments received will then be 
addressed in a subsequent final rule based on this action serving as a 
proposed rule. The USEPA will not institute a second comment period on 
this action. Any parties interested in commenting on this action should 
do so at this time. If no such comments are received, the public is 
advised that this action will be effective June 5, 1995.
    This action has been classified as a Table 2 action by the Regional 
Administrator under the procedures published in the Federal Register on 
January 19, 1989 (54 FR 2214-2225), as revised by an October 4, 1993 
memorandum from Michael H. Shapiro, Acting Assistant Administrator for 
Air and Radiation. The Office of Management and Budget has exempted 
this regulatory action from Executive Order 12866 review.
     Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any SIP. Each request for revision to any SIP shall be 
considered separately in light of specific technical, economic, and 
environmental factors and in relation to relevant statutory and 
regulatory requirements.
    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., USEPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
Alternatively, USEPA may certify that the rule will not have a 
significant economic impact on a substantial number of small entities. 
Small entities include small businesses, small not-for-profit 
enterprises, and government entities with jurisdiction over populations 
of less than 50,000.
     The SIP approvals under section 110 and subchapter I, part D, of 
the Act do not create any new requirements, but simply approve 
requirements that the State is already imposing. Therefore, because the 
Federal SIP approval does not impose any new requirements, I certify 
that it does not have a significant impact on small entities. Moreover, 
due to the nature of the Federal-State relationship under the Act, 
preparation of a regulatory flexibility analysis would constitute 
Federal inquiry into the economic reasonableness of State action. The 
Act forbids the USEPA to base its actions concerning SIPs on such 
grounds. Union Electric Co. v. U.S. E.P.A., 427 U.S. 246, 256-66 
(1976).
     Under section 307(b)(1) of the Act, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by June 5, 1995. Filing a petition for 
reconsideration by the Administrator of this final rule does not affect 
the finality of this rule for the purpose of judicial review nor does 
it extend the time within which a petition for judicial review may be 
filed, and shall not postpone the effectiveness of such rule or action. 
This action may not be challenged later in proceedings to enforce its 
requirements (see section 307(b)(2)).

List of Subjects in 40 CFR Part 52

     Environmental protection, Air pollution control, Carbon monoxide, 
Hydrocarbons, Incorporation by reference, Nitrogen dioxide, Ozone, 
Particulate matter, Sulfur dioxide, Volatile organic compounds.

    Dated: February 24, 1995.
Valdas V. Adamkus,
Regional Administrator.

    Part 52, chapter I, title 40 of the Code of Federal Regulations is 
amended as follows:

PART 52--[AMENDED]

    1. The authority citation for part 52 continues to read as follows:

    Authority: 42 U.S.C. 7401-7671q.

Subpart O--Illinois

    2. Section 52.720 is amended by adding paragraph (c)(105) to read 
as follows:


Sec. 52.720  Identification of plan.

* * * * *
    (c)* * *
    (105) On February 7, 1994, the State submitted revisions intended 
to create a permit program for small sources. The purpose of these 
revisions is to lessen the permitting burden on small sources and the 
permitting authority by reducing the frequency and/or the requirement 
of operating permit renewal for sources emitting a total of less than 
25 tons per year of regulated air pollutants. A permit obtained through 
these procedures is intended to continue as a legally binding State 
document until the source modifies its operations, withdraws its permit 
or becomes subject to a new applicable requirement. At that time, the 
State will determine whether the small source procedures continue to be 
appropriate and issue a revised small source permit [[Page 17232]] or 
direct the source in following the correct permit procedures. Since 
small source permits are not subject to a public comment period or 
review by USEPA, they are not federally enforceable and cannot be used 
to limit sources' potential to emit and thereby exempt them from the 
requirements of the title v operating permit program.
    (i) Incorporation by reference. Illinois Administrative Code, Title 
35: Environmental Protection, Subtitle B: Air Pollution, Chapter I: 
Pollution Control Board.
    (A) Subchapter a: Permits and General Provisions, Part 201: Permits 
and General Provisions.
    (1) Subpart D: Permit Applications and Review Process, Section 
201.162 Duration and Section 201.163 Joint Construction and Operating 
Permits. Amended at 17 Ill. Reg., effective December 7, 1993.
    (2) Subpart E: Special Provisions for Operating Permits for Certain 
Smaller Sources, Section 201.180 Applicability, Section 201.181 
Expiration and Renewal and Section 201.187 Requirement for a Revised 
Permit Added at 17 Ill. Reg., effective December 7, 1993.
    (B) Subchapter C: Emission Standards and Limitations for Stationary 
Sources, Part 211: Definitions and General Provisions, Subpart B: 
Definitions, Section 211.5500 Regulated Air Pollutant. Adopted at 17 
Ill. Reg., effective December 7, 1993.

[FR Doc. 95-8219 Filed 4-4-95; 8:45 am]
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