Tribal Minor NSR Program

1. Part of NSR Program Applicable to Minor Sources in All Areas of Indian Country Tribal Minor NSR Program

2. Presentation Outline • Minor Sources • Covered Sources • Permitting Process • Tribal Minor NSR Requirements • Summary of Main Requirements • Tribal Minor NSR Rule Implementation

3. Types of NSR Permitting Programs

4. Minor Source in Tribal NSR Rule • Generally, a source with emissions below the major source thresholds and above the minor NSR thresholds (per pollutant) • Attainment areas: • Major Source Thresholds: 250 or 100 tpy • Minor Source Thresholds: 0.1 to 10 tpy • Nonattainment areas • Major Source Thresholds: 100 tpy or lower depending on nonattainment severity • Minor Source Thresholds: 0.1 to 5 tpy • Regulated pollutants NAAQS and other pollutants • NAAQS: Carbon Monoxide (CO), Lead (Pb), Nitrogen Dioxide (NO2), Ozone, Particulate Matter (PM), and Sulfur Dioxide (SO2) • Other Pollutants Include: Sulfuric Acid Mist (H2SO4), Hydrogen Sulfide (H2S) • Excludes Air Toxics or Hazardous Air Pollutants: Mercury (Hg), Cadmium (Cd), Benzene (C6H6), etc.

5. Applicability: Thresholds Attainment Areas

6. Applicability: Thresholds Nonattainment Areas

7. 100 tons/year

8. 250 tons/year

9. Tribal Minor NSR Program • 3 types of sources are regulated: • True Minor Sources • Sources with emissions below major source thresholds and, in the case of this rule, above minor NSR thresholds • Synthetic Minor Sources • Major sources who restrict their emissions to become minor sources • Minor Modifications at Major Sources • Small modifications (low emissions) at major sources

10. Start Are the source proposed emissions ≥ applicable thresholds or emission rates? (per pollutant, may include fugitives) Is source in an area that is attaining or nonattaining the NAAQS? Is the permit for a new source or a modification to an existing source? Is the source exempted? Source not subject to NSR No APPLICABILITY Permitting Process Simplified Public hearing Yes • Reviewing authority reviews: • Application • Proposed/Required Control • Technologies • Compliance with other • applicable requirements Source owner submits permit application Draft permit developed Final permit Issued 30 day comment period APPLICATION After appeal process ends, permit is finally approved or revoked. Usually appealed within 30 days of final permit decision EPA issued permits may be appealed through EPA’s Environmental Appeals Board (EAB). After EAB process, permits may be appealed in Federal Court. End APPEALS

11. Applicability: Exempted Units & Activities Consumer Use of Office Equipment and Products Noncommercial Food Preparation Internal Combustion Engines used for Landscaping Purposes Mobile Sources Consumer Use of Office Equipment and Products Bench Scale Laboratory Activities, except for Laboratory Fume Hoods and Vents Ventilating Units for Comfort that do not Exhaust Air Pollutants into the Ambient Air from any Manufacturing or Other Industrial Processes

12. Applicability: Source in an Attainment or Nonattainment Area • To identify the applicable thresholds • Attainment or nonattainment data for a location can be obtained at: • The EPA Green Book: Nonattainment Areas for Criteria Pollutants http://www.epa.gov/oaqps001/greenbk/ • EPA regional offices can answer any questions concerning the status of nonattainment areas and their classification • http://www.epa.gov/air/tribal/pdfs/PermitReviewingAuthorities.pdf

13. Applicability: New Sources • Emissions calculations are based on Potential to Emit - Maximum amount of a pollutant that the source could release into the air in a year (based on the physical and operational design, per pollutant) • Includes fugitive emissions if the source is part of the 28 source category list • Emissions that enter the atmosphere from a source without first passing through a stack or duct designed to direct or control their flow • It can also consider limitations on source operation and emission controls • E.g., Restrictions on hours of operation instead of 8760 hrs/year • E.g., Emissions control through quality controls, product recovery, or operating efficiency

14. Applicability: Modifications • Emissions calculations are based on Allowable Emissions – enforceable emission limitations on maximum capacity • Allowable emissions = emissions after the change – emissions before the change (allowable-to-allowable test) • If unit was unpermitted or is added, emission increase based on PTE • Includes fugitive emissions if the source is part of the 28 source category list Are proposed modification emissions ≥ minor NSR thresholds(per pollutant) Start Modification is a minor modification and subject to minor NSR Yes No Modification notsubject to Minor NSR

15. Applicability: Potential to Emit and Allowables Emissions Calculations • Various methods exist to quantify emissions. For example: • On-site measurement (e.g. stack testing) • Vendor design capacity or rated capacity information • Material (i.e. mass balance) balance calculations • Emission factors - http://www.epa.gov/ttnchie1/ap42/ • Tools are available to help source owners/operators calculate these emissions • For example, EPA’s Potential to Emit: A Guide for Small Businesses http://www.epa.gov/ttn/atw/1998sbapptebroc.pdf • EPA Regional offices can also provide assistance • http://www.epa.gov/air/tribal/pdfs/PermitReviewingAuthorities.pdf

16. Applicability: Steps • Identify all sources of emissions. • Identify all regulated NSR pollutants that the source emits. • Select a method to determine the source emissions. • On-site measurement (e.g. stack testing) • Vendor design capacity or rated capacity information • Material (i.e. mass balance) balance calculations • Emission factors • For each regulated NSR pollutant, determine the maximum amount that each production process or piece of equipment in the source can emit in one year. • For each regulated NSR pollutant, add the maximum emissions from all production processes/equipment.

17. Applicability: PTE Calculation Example • Goal is to calculate the yearly amount of emissions of a pollutant • Great Paint Job, Inc. is a source in an attainment area that has one coating operation booth with a single spray gun. Spray gun operations emit VOCs. • The gun capacity is 5 gallons per hour. • The coating density is 9.85 lbs/gal and contains 75 percent VOC by weight. • VOC Content • (9.85 lbs coating/gal)*(0.75 lbs VOC/lb coating) = 7.39 lbs VOC/gal coating • Annual Potential Emissions of VOCs • (5 gal coating/hr)*(7.39 lbs VOC/gal of coating) = 36.95 lbs of VOC/hr • (36.95 lbs VOC/hr)*(8,760 hrs/yr) = 323,682.0 lbs of VOC/yr • (323,682 lbs VOC/yr)*(1 ton/2,000 lbs) = 161.84 tons of VOC/yr Excerpt from State of Michigan Potential to Emit Workbook http://www.michigan.gov/documents/deq/deq-ess-caap-pte-workbook-part2_314117_7.pdf

18. Start Are the source proposed emissions ≥ applicable thresholds or emission rates? (per pollutant, may include fugitives) Is source in an area that is attaining or nonattaining the NAAQS? Is the permit for a new source or a modification to an existing source? Is the source exempted? Source not subject to NSR No APPLICABILITY Permitting Process Simplified Public hearing Yes • Reviewing authority reviews: • Application • Proposed/Required Control • Technologies • Compliance with other • applicable requirements Source owner submits permit application Draft permit developed Final permit Issued 30 day comment period APPLICATION After appeal process ends, permit is finally approved or revoked. Usually appealed within 30 days of final permit decision EPA issued permits may be appealed through EPA’s Environmental Appeals Board (EAB). After EAB process, permits may be appealed in Federal Court. End APPEALS

19. Application: Types of Permit Applications • Site-Specific Permit • Case-by-case determination of source emissions limits and control technology requirements, if any are required • Available for new and modified true minor sources & minor modifications at major sources • General Permit (GP) • Requirements are determined in advance fora number of similar equipment types or facilities to simplify permit issuance process • Developed after the opportunity of public notice and comment • Available for new and modified true minor sources • Not allowed for sources seeking synthetic minor permits

20. Application: Types of Permit Applications (Cont.) • Synthetic Minor Permit • Limits PTE for sources that have the capacity to emit pollutants at or above the major source thresholds, but voluntarily accept emissions limitations to operate as minor sources • These permits terminate the policy of using the Title V program to obtain synthetic minor permits for NSR purposes • These permits also terminate the 1999 PTE Transition Policy • Sources that would otherwise be major were allowed to obtain synthetic minor status for purposes of the Title V program if their actual emissions remained below 50% of major source threshold

21. Application: Types of Permit Applications (Cont.) • Site-specific permits and synthetic minor permits can be used to comply with Maximum Achievable Control Technology (MACT) determinations • MACT compliance determined on a case-by-case basis if: • No MACT standard for a source category has been established • There is no EPA-approved program • Usually applicable to sources that are major for HAPs and minor for regulated NSR pollutants • A source is major for HAP purposes if its emissions are equal to or higher than 25 tpy for a combination of air toxics or equal to or higher than 10 tpy for one air toxic • Sources will eventually need a Part 71 permit for major HAP emissions

22. Application: Permit Application Information • Identifying information (name, address, etc.) • Description of Source's Processes and Products • List of all affected emissions units and its emissions • New Units – PTE, including any restrictions on PTE • Modified Units – allowables both before and after the modification, including any restrictions on emissions • Description of any existing air pollution control equipment • Description of any limitations on source operation

23. Application: Permit Fees • CAA does not give the Agency explicit authority to charge permit fees for preconstruction permitting • Under a delegation agreement or TIP, tribes can charge fees under their own authority

24. Application: Control Technology Review • By control technology we mean: • Pollution prevention techniques • Add-on pollution control equipment • Design and equipment specifications • Work practices and operational standards • Site-Specific Permits • Case-by-case determination • General Permits • Determined during the dev. of the GP and after opportunity for public notice & comment

25. Application: Air Quality Impact Analysis (AQIA) • Analysis conducted if reviewing authority is concerned that minor source will cause or contribute to a NAAQS or increment violation • In accordance with 40 CFR Part 51, Appendix W • We plan to develop guidance on scope of AQIA

26. Application: Monitoring, Recordkeeping & Reporting Requirements • Monitoring • Sufficient to assure compliance with control technology requirements • May include: CEMS, PEMS, CPMS, equipment inspections, mass balances, periodic performance tests and/or emissions factors • Recordkeeping • Sufficient to assure compliance with emission limitations • Records should be retained for 5 years • Reporting • Annual monitoring reports to show compliance with emission limitations • Prompt reports of deviations from permit requirements

27. Tribal Minor NSR - Application: Permit Issuance Process

28. Final Permit • After a decisions to issue or deny the permit, reviewing authority must notify the applicant in writing • If a final permit is issued, we must provide adequate public notice of the decision • Synthetic minor permits and site-specific permits for minor modifications at major sources • Copy of decision available at all locations where draft permit was made available • Site-specific permits for true minor sources • Decision noticed using one ore more of the additional approaches to public noticing such as websites, newspapers, and mailing lists • General permits for true minor sources • Copy of the letter granting request for coverage posted at site

29. Permit Term • Permit remains valid as long as source: • Commences construction within 18 months after effective date of permit • Does not discontinue construction for a period of 18 months or more • Completes construction in a reasonable time

30. Start Are the source proposed emissions ≥ applicable thresholds or emission rates? (per pollutant, may include fugitives) Is source in an area that is attaining or nonattaining the NAAQS? Is the permit for a new source or a modification to an existing source? Is the source exempted? Source not subject to NSR No APPLICABILITY Permitting Process Simplified Public hearing Yes • Reviewing authority reviews: • Application • Proposed/Required Control • Technologies • Compliance with other • applicable requirements Source owner submits permit application Draft permit developed Final permit Issued 30 day comment period APPLICATION After appeal process ends, permit is finally approved or revoked. Usually appealed within 30 days of final permit decision EPA issued permits may be appealed through EPA’s Environmental Appeals Board (EAB). After EAB process, permits may be appealed in Federal Court. End APPEALS

31. Appeals: Permit Appeals • Appeals must be filed to the EPA Environmental Appeals Board (EAB) within 30 days after a final permit decision has been issued • Upon filing of a petition for review, the permit will be stayed • Motion to reconsider the final EAB order must be filed within 10 days • If all remedies are exhausted, person may appeal to Federal Court

32. Key Points to Remember: Minor NSR • Program for minor sources in both attainment and nonattainment areas (generally for emissions lower than 100 or 250 tpy and equal to or higher than minor NSR thresholds) • Pollutants regulated: NAAQS and other pollutants • Main requirement: Case-by-Case Control Technology Review • Three types of permit options: site-specific permits, general permits, and synthetic minor permits

33. Tribal Minor NSR Rule Implementation

34. Delegation of Enforcement Authority to Tribes • Any permits issued through delegation remain Federal in character and continue to be enforceable by EPA (civilly and criminally) in Federal court • This is different from TAS approval under the TAR • Under TAS, tribe at least demonstrates authority to pursue appropriate civil enforcement • EPA will retain primary criminal enforcement for all circumstances in which a tribe is precluded from exercising such authority

35. Treatment of Existing Synthetic Minor Sources • Proposed that these sources must submit a permit application within 1 year of rule’s effective date • Finalized various avenues to allow these sources to retain their synthetic minor status depending on the mechanism used to obtain it • Existing synthetic minor sources under Region 10’s Federal Air Rule for Reservations (FARR) or an EPA-approved rule or program limiting PTE • No action needed unless source proposes a modification after rule’s effective date

36. Treatment of Existing Synthetic Minor Sources (Cont.) • Existing synthetic minor sources established under a permit pursuant to the Title V part 71 program. Reviewing authority has the discretion to: • Require a permit application within 1 year after August 30, 2011 • Require a permit application under this rule at the same time the source owner applies to renew its part 71 permit, or • Allow source to continue to maintain synthetic minor status through part 71 permit • Existing synthetic minor source status established through a mechanism other than those described above (e.g. State permit) • Require a permit application within 1 year after August 30, 2011

37. Treatment of Existing True Minor Sources • Existing true minor sources do not need to apply for a permit unless they modify their operations after September 2, 2014 (implementation date for true minor sources) • Prior to September 2, 2014, existing true minor sources are required to register their air emissions with EPA • True minor sources in existence prior to August 30, 2011 (the effective date of the rule) are required to register by March 1, 2013 • All other true minor sources need to register up to 90-days after they begin operation

38. Registration Requirements • Identifying information • Description of source processes and products • List of all emission units and activities • Production rates information • Identification and description of any existing air pollution control equipment • Existing limitations on source operation • Additional requirements: • Report of relocation • Report of change of ownership • Report of closure

39. Tribal Minor NSR: Rule Implementation Also the deadline for obtaining new NA NSR permits for those sources that might be operating under State permits

40. Appendix

41. 28 PSD Source Categories