ILLINOIS POLLUTION CONTROL BOARD
    November 19, 1992
    IN THE MATTER OF:
    AMENDMENTS TO THE NEW
    )
    R92-21
    SOURCE REVIEW RULES
    )
    (Rulemaking)
    35 ILL. ADM. CODE 203
    )
    Proposed Rule. First Notice.
    OPINION AND ORDER OF THE BOARD (by G. T. Girard):
    On November 13, 1992, the Illinois Environmental Protection
    Agency (Agency) filed this proposal for rulemaking. The proposal
    is intended to address permitting for the construction and
    operation of new or modified major stationary sources in
    nonattainment areas. The proposal represents one part of
    Illinois’ submittal of a complete state implementation plan
    (SIP). Pursuant to Section 182(a) of the Clean Air Act, as
    amended in 1990, Illinois is to adopt and submit its plan by
    November 15, 1992.
    This proposal was filed pursuant to Section 28.5 of the Act
    and is accepted for hearing. (P.A. 87—1213, effective September
    26, 1992.) Pursuant to the provisions of that section the Board
    is required to proceed within set time—frames toward the adoption
    of this regulation. The Board has no discretion to adjust these
    time—frames under any circumstances. Therefore, the Board acts
    today to send this proposal to first notice under the Illinois
    Administrative Procedure Act without commenting on the merits of
    the proposal. The following schedule1 indicates the deadlines by
    which the Board must act under the provisions of Section 28.5:
    First Notice
    November 28, 1992
    First Hearing
    January 7, 1993
    Second Hearing
    February 6, 1993
    Third Hearing
    February 20, 1993
    Second Notice
    March 15 or April 5, 1993
    Final Filing
    21 days after
    receipt of JCAR certification
    of no objection
    The Agency has filed a motion asking that the Board waive
    several requirements which govern the filing of a regulatory
    proposal. Specifically, the Agency asks that it be allowed to
    submit the original and five complete copies of the proposal and
    This schedule includes a second and third hearing which may
    be cancelled if unnecessary. Hearings will be continued from day
    to day as necessary to complete the subject matter established by
    statute for each set of hearings.
    0

    2
    four partial copies of the proposal, rather than the original and
    nine complete copies to the Board. Further, the Agency asks that
    it not be required to supply the Attorney Gereral or the
    Department of Energy and Natural Resources with a complete copy
    of the proposal. Lastly, the Agency asks that it not be required
    to submit documents which are readily available to the Board on
    which the Agency will rely at hearing. The Board grants the
    Agency’s motion.
    The Board notes that it was necessary to format the proposal
    submitted by the Agency to comport with filing and other
    requirements of the Administrative Code Unit of the Secretary of
    State’s Office. The specific changes necessary were:
    1. The table of contents contained italicized
    material;
    2. The authority note did not include
    Section 10 of the Act;
    3. Section 203.145 included a Source note
    which was struck through and was
    incorrectly numbered;
    4. Section 203.206 contained incorrect strike-
    through and underlines and required
    renumbering;
    5. The indent levels in Section 203.302 (a) (3) (A)
    and (B) were incorrect;
    6. Section 203.303 contained incorrect
    strike—through and underlines and an
    error in a citation;
    7. Subpart H in the text had incorrect
    spacing.
    The Board notes that the text of the proposal contains several
    typographical and grammatical errors which the Board cannot
    correct under the provisions of Section 28.5(m) of the Act.
    In the interest of administrative economy, the Board directs
    the Hearing Officer to verify that the persons on the Notice List
    in this proceeding wish to continue to receive mailings in this
    proceeding.
    ORDER
    The Board directs the Clerk to cause the filing of the
    following proposal for First Notice in the Illinois Register:
    TITLE 35: ENVIRONMENTAL PROTECTION
    SUBTITLE B: AIR POLLUTION
    CHAPTER I: POLLUTION CONTROL BOARD
    SUBCHAPTER a: PERMITS AND GENERAL PROVISIONS
    0137-0500

    3
    PART 203
    MAJOR STATIONARY SOURCES CONSTRUCTION AW) MODIFICATION
    SUBPART A: GENERAL PROVISIONS
    Section
    203.101
    203.103
    203.104
    203.107
    203.110
    203.112
    203.113
    203. 116
    203.117
    203. 119
    203
    .
    l2~2~
    203. 123~
    203. 123
    203.124
    203.125
    203.126
    203.127
    203.128
    203.131
    203.134
    203.136
    203.145
    203.150
    203.155
    Definitions
    Actual Construction
    Actual Emissions
    Allowable Emissions
    Available Growth Margin
    Building, Structure and Facility
    Commence
    Construction
    Dispersion Enhancement Techniques
    Emission Baseline
    Emission Offset
    Emissions Unit
    FederallY Enforceable
    Fugitive Emissions
    Installation
    LAERLowest Achievable Emission Rate
    Nonattainment Area
    Potential to Emit
    Reasonable Further Progress
    Secondary Emissions
    Stationary Source
    Volatile Organic CompoundMaterial
    Public Participation
    Severability (Repealed)
    SUBPART B: MAJOR STATIONARY EMICCIONS SOURCES IN
    NONATTAINMENT AREAS
    Section
    203.201 Prohibition
    203.202 Coordination with Permit Requirement and Application
    Pursuant to 35 Ill. Adm. Code 201
    Construction Permit Requirement and Application
    Duration of Construction Permit (Repealed)
    Effect of Permits
    Major Stationary Source
    Major Modification of a Source
    Net Emission Determination
    Significant Emissions Determination
    Relaxation of a Source-Specific Limitation
    Permit Exemption Based on Fugitive Emissions
    SUBPART C: REQUIREMENTS FOR MAJOR STATIONARY SOURCES IN
    NONATTAINMENT AREAS
    Section
    Ot37-O5~1
    203
    203
    203.204
    203.205
    203.206
    203.207
    203.208
    203 .209
    203.210
    203.211

    4
    203.301 Lowest Achievable Emission Rate
    203.302 Maintenance of Reasonable Further Progress and Emission
    Offsets
    203. 303
    203
    .
    304
    203.305
    203.306
    Baseline and Emission Offsets Determination
    Exemptions from Emissions Offset Requirement (Repealed)
    Compliance by Existing Sources
    Analysis of Alternatives
    SUBPART F: OPERATION OF A MAJOR STATIONARY SOURCE OR MAJOR
    MODIFICATION
    Section
    203.601
    203 .602
    203.603
    Lowest Achievable Emission Rate Compliance Requirement
    Emission Offset Maintenance Requirement
    Ambient Monitoring Requirement (Repealed)
    SUBPART G: GENERAL MAINTENANCE OF EMISSION OFFSETS
    Section
    203.701
    General Maintenance of Emission Offsets
    SUBPART H: OFFSETS FOR EMISSION INCREASES FROM ROCKET
    ENGINES AND MOTOR FIRING
    Section
    203.801
    Offsets for Emission Increases from Rocket Engines and
    Motor Firing
    AUTHORITY: Implementing Section 9.1 and 10 and authorized by
    Section 27 of the Environmental Protection Act (Ill. Rev. Stat.
    1991, ch. 111 1/2, pars. 1009.1, 1010 and 1027).
    SOURCE: Adopted and codified at 7 Ill. Reg. 9344, effective July
    22, 1983; codified at 7 Ill. Reg. 13588; amended in R85—20 at 12
    Ill. Reg. 6118, effective March 22, 1988; amended in R9l—24 at 16
    Ill. Reg. 13551, effective August 24, 1992; amended in
    _______
    at
    Ill. Reg.
    __________,
    effective
    ____________________
    SUBPART A: GENERAL PROVISIONS
    Section 203.101
    Definitions
    Unless a diffcrcnt meaning of thc term io clear fr
    otherwise sDecifled within this Part, the definitions of the
    terms used in this Part shall be the same as those used in the
    Pollution Control Board (Board) Rules and Regulations 35 Ill.
    Adm. Code 201 and 211.
    Section 203.107
    Allowable Emissions
    a) “Allowable Eeinissions” means the emission rate of a
    ni37~502

    5
    stationary source calculated using the maximum rated
    capacity of the source (unless the source is subject to
    federally enforceable permit conditions or other such
    federally enforceable limits which restrict the
    operating rate, or hours of operation, or both) and the
    most stringent of the following:
    1) Any applicable standards adopted by the United
    States Environmental Protection Agency (USEPA)
    pursuant to Sections 111 and 112 of the Clean Air
    Act (42 U.S.C. 7401, et seq.) and made applicable
    in Illinois pursuant to Section 9.1 of the
    Environmental Protection Act (Act) (Ill. Rev.
    Stat. 19891991, ch. 111 1/2, pars. 1001 et seq.);
    2) The applicable emission standards or limitations
    contained in this Chapter and approved by ~e
    United Ctatca Environmental Protection Agency
    USEPA pursuant to Section 110(a) (2) or 110 (a) (3)
    of the Clean Air Act, including those standards or
    limitations with a future compliance date and any
    other emission standard or limitation enforceable
    under the Environmental Protection Act or by the
    USEPA under Section 113 of the Clean Air Act; or
    3) The emissions rate specified as an a federally
    enforceable permit condition including those
    emissions rates with a future compliance date.
    b) The allowable emissions may be based on a~
    ~,
    federally
    enforceable permit condition limiting material or fuel
    throughput.
    c) If a source is not subject to an emission standard
    described in subsection (a) above and is not subject to
    a permit condition described in subsection (b) above,
    the allowable emissions shall be the source’s potential
    to emit.
    (Source: Amended at
    _____
    Ill. Reg.
    ______,
    effective
    _________)
    Section 203.110
    Available Growth Margin
    “Available ~growth M~argin” means the portion which remains of
    any emission allowance for new or modified major stationary
    sources expressly identified in the attainment demonstration
    approved by the United States U.S. Environmental Protection
    Agency (USEPA) under Section l72(~)(~)(4) of the Clean Air Act
    a(42zoneU.S.C.(within7502(~)(?~)(4))a nonattainmentfor
    aarea)particularto
    whichpollutanteconomicand
    area j11
    development should be targeted, in accordance with Section
    173(a) (1) (B) of the Clean Air Act (42 U.S.C. 7503(a) (1) (B)).
    0137-3503

    6
    (Source: Amended at
    _____
    Ill. Reg.
    ______,
    effective
    _________
    Section 203.112
    Building, Structure and Facility
    a) The terms “building”, “structure”, and “facility”
    include all of the pollutant-emitting activities which
    belong to the same industrial grouping, are located on
    one or more contiguous or adjacent properties, and are
    under the control of the same person (or persons under
    common control). Pollutant—emitting activities shall
    be considered as part of the same “Major Group” (i.e
    •,
    which have the same two-digit code) as described in the
    Standard Industrial Classification Manual, 1972, as
    amended by the 1977 Supplement (U.S. Government
    Printing Office stock numbers 4101-0066 and
    003-005-00176-0, respectively) incorporated by
    reference in 35 Ill. Adm. Code 720.111.
    b) The terms “building”, “structure”, and “facility” shall
    also include:
    1) the transfer of materials, including but not
    limited to grain, gasoline, petroleum liquids,
    coal, fertilizer, crushed stone and ore, from
    vessels, motor vehicles or other conveyances,
    irrespective of ownership or industrial grouping,
    to or from a building, structure, or facility as
    defined in subsection (a) above, and
    2) activities at or adjacent to such building,
    structure or facility which are associated with
    such transfer, including but not limited to idling
    of propuloion cngine3, the operation of engines to
    provide heat, refrigeration or lighting, operating
    of auxiliary engines for pumps or cranes, and
    transfer of materials from hold to hold or tank to
    tank during onloading or off loading operations
    except those activities causing emissions
    resulting directly from internal combustion
    engines from transportation purposes or from a non
    road engine or non road vehicle.
    (Source: Amended at
    Ill. Reg.
    ______,
    effective
    ___________)
    Section 2O3.12~. Emission Offset
    “Emission OQffset” means a creditable emission reduction used to
    compensate for the Increase in emissions resulting from a new
    major source or a major modification in accordance with Sections
    203.302 and 203.303 of this Part.
    0137~05014

    7
    (Source: Amended at
    Ill. Reg.
    ______,
    effective
    Section 203.1232.
    Emissions Unit
    “Emissions ~nit” means any part of a stationary source which
    emits or has the potential to emit any ~ pollutant subject to
    regulation under the Act or this Chapter or by the United States
    Environmental Protection Agency UCEPA under the Clean Air Act (42
    U.S.C. 7401, the Act or et seq.).
    (Source: Added at
    Ill. Reg.
    effective
    )
    Section 203.123
    Federally Enforceable
    “Federally enforceable” means enforceable by the United States
    Environmental Protection Agency.
    (Source: Added at
    Ill. Reg.
    _____,
    effective
    ___________
    Section 203.126
    LAERLowest Achievable Emission Rate
    “LAER” is an abbrcviationacronvm for lowest achievable emission
    rate.
    (Source: Amended at
    Ill. Req.
    ______,
    effective
    __________
    Section 203.128
    Potential to Emit
    “Potential to ~mit” means the maximum capacity of a stationary
    source to emit a pollutant under its physical and operational
    design. Any physical or operational limitation on the capacity
    of the source to emit a pollutant, including air pollution
    control equipment and restrictions on hours of operation or on
    the type or amount of material combusted, stored, or processed,
    shall be treated as part of its design only if the limitation or
    the effect it would have on emissions is federally enforceable.
    Secondary emissions do not count in determining the potential to
    emit of a stationary source.
    Ill. Req.
    ,
    effective
    Volatile Organic CompounciMaterial
    “Volatile Organic Compound” means “volatile organic material”, as
    that term io dcfincd at 35 IlL Adin. Code 211.122.
    ~yp~p~j~p
    nrcs~r,ir~
    m~t~ri~1
    (VflM’i
    m~~ri~
    ~nv r~nmnniini
    e~f
    r~rhrn
    excluding carbon monoxide, carbon dioxide. carbonic acid,
    metallic carbides or carbonates, and ammoniuin arbonate, which
    participates in atmospheric ~hotochemica1 reactions.
    — —— ~.—--——
    ————— ———
    -~—---
    ~j This includes any such organic compound other than the
    0137-0505
    (Source: Amended at
    Section 203.145
    )

    8
    following, which have been determined to have
    negligible photochemical reactivity: Methane; ethane;
    methylene chloride (dichiormethane).
    l,l,l-trichlorethane (methyl chloroform);
    1,1. 1-trichloro-2 .2, 2-trifluoroethane (CFC-113);
    trichlorofluoromethane (CFC—1l);
    dichlorodifluoromethane (CFC-12); chlorodifluoromethane
    (CFC-22); trifluoroinethane (FC-23); 1,2-dichloro
    1, 1,2,2-tetrafluoroethane (CFC-114);
    cloropentafluoroethane (CFC-115); 1,1. 1-trifluoro
    2 ,2—dichloroethane (HCFC-123); 1,1, 12-tetrafluoroethane
    (HFC-134a); 1, 1—dichloro 1—f luoroethane (HCFC-141b);
    1-chloro 1,1-difluoroethane (HCFC-142b);
    2-chloro-1, 1,1, 2-tetrafluoroethane (HCFC-l24);
    pentafluoroethane (HFC-125); 1,1,2, 2—tetrafluoroethane
    (HFC—134); 1,1,1-trifluoroethane (HFC—143a);
    1. 1-difluroethane (HFC-152a): and perfluorocarbon
    compounds which fall into these classes:
    jj~ Cyclic, branched, or linear, completely
    fluorinated alkanes
    Z1. Cyclic, branched, or linear, completely
    fluorinated ethers with no unsaturations
    ~j. Cyclic, branched, or linear, completely
    fluorinated tertiary amines with no unsaturations
    and
    jj.
    Sulfur containing perfluorocarbons with no
    unsaturations and with sulfur bonds only to carbon
    and fluroine.
    ~ For purposes of determining VON emissions and
    compliance with emissions limits, VOM will be measured
    by the test methods in the approved implementation plan
    or 40 CFR Part 60. Appendix A, incorporated by
    reference at Sections 215.105, 218.112. and 219.112, as
    applicable or by source-specific test methods which
    have been established pursuant to a permit issued
    pursuant to a program a~~rpvedor promulgated under
    Title V of the Clean Air Act or under 40 CFR Part 5i,~
    Subpart I or Appendix S. incorporated by reference at
    Sections 218.112 and 219.112 or under 40 CFR Part
    52.21. incorporated by reference at Sections 218.112
    and 219.112, as applicable. Where such a method also
    measures compounds with negligible photochemical
    reactivity, these negligibly—reactive compounds may be
    excluded as VON if the amount of such compounds is
    accurately quantified, and such exclusions is approved
    by the Agency.
    0 13-/-0506

    9
    ~gj As a precondition to excluding these
    negligibly-reactive compounds as VO~or at any time
    thereafter, the Agency may require an owner or operator
    to provide monitoring or testing methods and results
    demonstrating, to the satisfaction of the Agency. the
    amount of negli~ib1y—reactive compounds in the source’s
    emissions.
    ~ The USEPA shall not be bound by any State determination
    as to appropriate methods for testing or monitoring
    negligibly-reactive compounds if such determination is
    not reflected in any of the provisions of paragraph
    (2).
    (Source: Amended at
    Ill. Reg.
    ________,
    effective
    _________)
    Section 203.150
    Public Participation
    Prior to the initial issuance or revision of a permit pursuant to
    Subpart B, the Agency shall provide at a minimum, notice of the
    proposed issuance of a permit~&n4 a comment period, and
    opportunity for public hearing pursuant to the Agency public
    participation procedures found at set forth at 35 Ill. Adm. Code
    ~64
    2~Z.
    (Source: Amended at
    Ill. Reg.
    _____,
    effective
    ___________
    SUBPART B: MAJOR STATIONARY EMISSIONS SOURCES IN
    NONATTAINNENT AREAS
    Section 203.201
    Prohibition
    In any nonattainment area, no person shall cause or allow the
    construction of a new major stationary source or major
    modification that is major for the pollutant for which the area
    is designated a nonattainment area, except as in compliance with
    this Part for that pollutant. In areas designated nonattainment
    for ozone, this prohibition shall apply to new malor stationary
    sources or malor modifications of sources that emit volatile
    organic materials or nitrogen oxides.
    (Source: Amended at
    Ill. Reg.
    _____,
    effective
    __________
    Section 203.203
    Construction Permit Requirement and
    Application
    a) A construction permit is required prior to actual
    construction of a major new source or major
    modification.
    b) Applications for construction permits required under
    0137-0507

    10
    this Section shall contain sufficient information to
    demonstrate compliance with 35 Ill. Adm. Code 201 and
    the requirements of this Subchapter Part including, but
    not limited to, Subpart C.
    c) The permit shall include conditions specifying the
    manner in which the requirements of Subparts B and C of
    this Part are satisfied.
    d) No permittee shall violate any condition contained in a
    construction permit issued for a new major stationary
    source or major modification which is subject to this
    Part.
    (Source: Amended at
    Ill. Reg.
    _____,
    effective
    ____________)
    Section 203.206
    Major Stationary Source
    a) The following constitute a major stationary source:
    1) Any otationary oource of air pollutanto which
    emito, or haa the potential to emit, 100 tono per
    year or more of any pollutant for which pollutant
    the area ic a nenattainment arca.For an area
    designated as nonattainment for ozone, a major
    stationary source is a stationary source which
    emits or has the potential to emit volatile
    organic material in an amount equal to or greater
    than the following:
    ~ 100 tons per year in an area classified as
    marginal or moderate nonattainment for ozone
    ~ 50 tons per year in an area classified as
    serious nonattainment for ozone
    ~j 25 tons per year in an area classified as
    severe nonattainment for ozone; and
    Qj
    10 tons per year in an area classified as
    extreme nonattairunent for ozone
    2) Any phyaioal change that would occur at a
    ui~.&on~rycrnurcc not qualifying under paragraph 1
    a major otationary couroc, if the change would
    constitute a major otationary oource by it~clf.
    For an area designated as nonattainment for
    nitrogen dioxide, a major stationary source is a
    stationary source which emits or has the potential
    to emit 100 tons per year or more of nitrogen
    dioxide.
    a
    j37-0508

    11
    fl For an area designated as nonattainment for ozone,
    a malor stationary source is a stationary source
    which emits or has the potential to emit nitrogen
    oxides in an amount equal to or greater than the
    following, unless USEPA has made a finding under
    Sections 110 and 182(f) of the Clean Air Act that
    controlling of emissions of nitrogen oxides from
    such sources shall not be required:
    ~j 100 tons per year in an area classified as
    marginal or moderate nonattainment for ozone
    ~j. 50 tons per year in an area classified as
    serious nonattainment for ozone,
    çj 25 tons per year in an area classified as
    severe nonattainment for ozone, and
    Qj 10 tons ~er year in an area classified as
    extreme nonattainment for ozone.
    41 For an area designated nonattainment for PM-b a
    malor stationary source is a stationary source
    which emits or has the potential to emit:
    ~j 100 tons per year or more of PM—b in an area
    classified as moderate nonattainment area, or
    ~j 70 tons per year or more of PM—b in an area
    classified as serious nonattaininent.
    ~j For an area designated nonattainment for carbon
    monoxide. carbon monoxide. a malor stationary
    source is a stationary source which emits or has
    the potential to emit:
    ~j. 100 tons per year or more of carbon monoxide
    in a nonattainment area, except as provided
    in (B) below,
    ~j 50 tons ~er year or more in an area
    classified as “serious” nonattainment for
    carbon monoxide where stationary sources
    significantly contribute to ambient carbon
    monoxide levels, as determined under rules
    issued by USEPA.
    ~
    an area designated nonattainment for a
    pollutant other than ozone, nitrogen dioxideL
    PM-la or carbon monoxide, a malor stationary
    source is a stationary source which emits or has
    0137-0509

    12
    the potential to emit 100 tons per year or more of
    the pollutant.
    b) A major otationary ocuroc that ic a major for volatile
    organic compoundo ohall be oonoidcrcd major for ozone.
    Any physical change that occurs at a stationary source
    which does not qualify under paragraph (a) of this
    Section as a maior stationary source will be considered
    a malor stationary source, if the change would
    constitute a major stationary source by itself.
    c) The reconstruction of a major stationary source will be
    treated as the construction of a new major stationary
    source if the fixed capital cost of new components
    exceeds approximately half of the fixed capital cost of
    an entirely new stationary source. Determining whether
    reconstruction will occur is based on the following:
    1) Fixed capital cost shall mean the capital needed
    to provide all the depreciable components;
    2) The fixed capital cost for the replacements in
    comparison to the fixed capital cost that would be
    required to construct a comparable entirely new
    source;
    3) The estimated life of the source after the
    replacements compared to the life of a comparable
    entirely new source; and
    4) The extent to which the components being replaced
    cause or contribute to the emissions from the
    source.
    d) For purposes of this Part, the fugitive emissions of a
    stationary source shall not be included in determining
    whether it is a major stationary source, unless the
    source belongs to one of the following categories of
    stationary sources:
    1) Coal cleaning plants (with thermal dryers);
    2) Kraft pulp mills;
    3) Portland cement plants;
    4) Primary zinc smelters;
    5) Iron and steel mills;
    6) Primary aluminum ore reduction plants;
    0137-05 10

    13
    7) Primary copper smelters;
    8) Municipal incinerators capable of charging more
    than 250 tons of refuse per day;
    9) Hydrofluoric, sulfuric, or nitric acid plants;
    10) Petroleum refineries;
    11) Lime plants;
    12) Phosphate rock processing plants;
    13) Coke oven batteries;
    14) Sulfur recovery plants;
    15) Carbon black plants (furnace process);
    16) Primary lead smelters;
    17) Fuel conversion plants;
    18) Sintering plants;
    19) Secondary metal production plants;
    20) Chemical process plants;
    21) Fossil-fuel boilers (or combination thereof)
    totaling more than 250 million Btu per hour heat
    input;
    22) Petroleum storage and transfer units with a total
    storage capacity exceeding 300,000 barrels;
    23) Taconite ore processing plants;
    24) Glass fiber processing plants;
    25) Charcoal production plants;
    26) Fossil fuel-fired steam electric plants of more
    than 250 million Btu per hour heat input;
    27) Any other stationary source categorjg~which was
    regulated as of Auguct 7, 1980 by USEPA by a
    standard promulgated under Section ill or 112 of
    the Clean Air Act (42 U.S.C. 7411, 7412), but only
    witn respect to those air pollutants that have
    been regulated for that category
    0137-0511

    14
    211. Any other stationary source category designated by
    the United States Environmenta! Protection Agency
    bY rule.
    (Source: Amended at
    Ill. Reg.
    _____,
    effective
    ____________
    Section 203.207
    Major Modification of a Source
    a) Except as provided in subsection (c) below, a physical
    change, or change in the method of operation of a major
    stationary source that would result in a significant
    net emissions increase of any pollutant for which the
    area is designated a nonattainment area, shall
    constitute a major modification of a source.
    b) Any net emissions increase that is significant for
    volatile organic compoundo material or nitrogen oxides
    shall be considered significant for ozone.
    c) A physical change or change in the method of operation
    shall not include:
    1) Routine maintenance, repair, and replacement which
    does not constitute reconstruction pursuant to
    Section 203.206(c).
    2) Use of an alternative fuel or raw material by
    reason of any order under Sections 2(a) and (b) of
    the Energy Supply and
    Environmental Coordination Act of 1974 (15 U.S.C.
    791), the Power Plant and Industrial Fuel Use Act
    of 1978 (42 U.S.C. 8301) (or any superseding
    legislation) or by reason of a natural gas
    curtailment plan pursuant to the Federal Power Act
    (16 U.S.C. 791, et seq.).
    3) Use of an alternative fuel by reason of an order
    or rule under Section 125 of the Clean Air Act (42
    U.S.C. 7425).
    4) Use of an alternative fuel at a steam generating
    unit to the extent that the fuel is generated from
    municipal solid waste.
    5) Use of an alternative fuel or raw material by a
    stationary source which:
    A) Was capable of accommodating such alternative
    fuel or raw material before December 21,
    1976, and which has continuously remained
    capable of accommodating such fuels or
    materials unless such change would be
    0137-0512

    15
    prohibited under any enforceable permit
    condition established after December 21,
    1976, pursuant to 40 CFR 52.21, this Part, or
    35 Ill. Adm. Code 201.142 or 201.143, or
    B) Is approved for use under any permit issued
    pursuant to this Part or 35 Ill. Adm. Code
    201.142 or 201.143.
    6) An increase in the hours of operation or in the
    production rate, unless such change is prohibited
    under any enforceable permit condition which was
    established after December 21, 1976 pursuant to 40
    CFR 52.21, this Part, or 35 Ill. Adm. Code 201.142
    or 201.143.
    7) Any change in ownership at a stationary source.
    ~j. In areas classified as serious or severe nonattaininent
    for ozone, beginning November 15, 1992 or such later
    date that an area is classified by the United States
    Environmental Protection A~encv (USEPA) as a serious or
    severe nonattainment area for ozone, anY physical
    change or change in the method of operation of a major
    stationary source which results in an increase in
    emissions of 25 tons per year or more of volatile
    organic material or nitrogen oxides from any discrete
    operation, unit, or other pollutant emitting activity
    at the source shall be considered a malor modification
    unless:
    fl The emissions and potential to emit emissions of
    such pollutants i.e.. volatile organic material or
    nitrogen oxides, are less than 100 tons ~er year.
    and
    ~ The owner or operator of the source elects to
    offset the increase by a greater reduction in
    emissions of such pollutant i.e. volatile organic
    material or nitrogen oxides, from other
    operations, units, or activities within the source
    at an internal offset ratio of at least 1.3. to 1.
    ~j In areas classified as extreme nonattainment for ozone.
    beginning on the date that an area is classified by
    USEPA as an extreme nonattairiment area for ozone, any
    physical change in or chan~ein the method of operation
    of a mai~rstationary source which results in any
    increase in emissions of volatile organic material or
    nitrogen oxides from a discrete operation, unit, or
    other pollutant emitting activity shall be considered a
    0137-0513

    16
    major modification.
    (Source: Amended at
    Ill. Reg.
    ______,
    effective
    Section 203.208
    Net Emission Determination
    A net emissions increase is the amount by which the sum of any
    increase in actual emissions from a particular physical change or
    change in method of operation at a source, and any other
    increases and decreases in actual emissions at the source that
    are contemporaneous with the particular change and are otherwise
    creditable, exceeds zero. The following steps determine whether
    the increase or decrease in emissions is available.
    a) Except for increases or decreases in VOC and NOx
    emissions in serious and severe ozone nonattainment
    areas which are addressed in Section 203.209(b), an
    increase or decrease in actual emissions is
    contemporaneous only if it occurs between the date that
    an increase from a particular change occurs and the
    date five years before a timely and complete
    application is submitted for the particular change. It
    must also occur after either April 24, 1979, or the
    date the area is designated by the U.C.United States
    Environmental Protection Agency (USEPA) as a
    nonattainment area for the pollutant, whichever is more
    recent;
    b) An increase or decrease in actual emissions is
    creditable:
    1) Only if there is not in effect for the source at
    the time the particular change occurs, a permit
    which relied on the same increase or decrease in
    actual emissions; and
    2) Only to the extent the new and old levels differ.
    c) A decrease in actual emissions is creditable to the
    extent that:
    1) It is federally enforceable at and after the time
    that actual construction on the particular change
    begins;
    2) It has approximately the same qualitative
    significance for public health and welfare as that
    attributed to the increase from the particular
    change;
    3) The old level of actual emissions or the old level
    of allowable emissions, whichever is lower,
    0137-051
    i~

    17
    exceeds the new level of actual emissions; and
    4) It is demonstrated by the Agency not to have been
    previously relied on in issuing any permit
    pursuant to this part or 35 Ill. Adm. Code 201.142
    or 201.143 or for demonstrating attainment or
    reasonable further progress in the nonattainment
    area which the particular change will impact.
    d) An increase that results from a physical change at a
    source occurs when the emissions unit on which
    construction occurred becomes operational and begins to
    emit a particular pollutant. Any replacement unit that
    requires shakedown becomes operational only after a
    shakedown period not to exceed 180 days.
    (Source: Amended at
    Ill. Reg.
    _____,
    effective
    ____________
    Section 203.209
    Significant Emissions Determination
    ~j A net emission increase in the pollutant emitted is
    significant if the rate of emission is equal to or in
    excess of the following:
    ~j Carbon monoxide: 100 tons per year (tpy)
    ~j Nitrogen oxides: 40 tpy for a nonattainment area
    for nitrogen dioxide and 40 t~vfor an ozone
    nonattainment area, except as provided in
    subsection (b) of this Section
    ~ej Sulfur dioxide: 40 tpy
    4.41 Particulate matter measured as PM-b: 15 tpy
    ~e) Ozone: 40 tpy of volatile organic compoundo
    material, except as provided in subsection (b) of
    this Section
    ~) Lead: 0.6 tpy
    ~j For areas classified as serious or severe nonattainment
    for ozone, an increase in emissions of volatile organic
    material or nitrogen oxides shall be considered
    significant if the net emissions increase of such air
    p~lutant from a stationary source located within such
    area exceeds 25 tons when agre~atedwith all other net
    increases in emissions from the source over any period
    of 5 consecutive calendar years which includes the
    calendar year in which such increase occurred. This
    provision shall become effective beginning November 15,
    1992 or such later date that an area is classified as a
    01370515

    18
    serious or severe nonattainment area for ozone.
    (Source: Amended at
    Ill. Reg.
    ______,
    effective
    ___________)
    SUBPART C: REQUIREMENTS FOR MAJOR STATIONARY SOURCES IN
    NONATTAINMENT AREAS
    Section 203.301 Lowest Achievable Emission Rate
    a) For any source, lowest achievable emission rate (LAER)
    will be the more stringent rate of emissions based on
    the following:
    1) The most stringent emission limitation which is
    contained in the implementation plan of any state
    for such class or category of stationary source,
    unless it is demonstrated that such limitation is
    not achievable; or
    2) The most stringent emission limitation which is
    achieved in practice by such a class or category
    of stationary source. This limitation, when
    applied to a modification, means the lowest
    achievable emissions rate for the new or modified
    emissions units within the stationary source. In
    no event shall the application of this term permit
    a proposed new or modified stationary source to
    emit any pollutant in excess of the amount
    allowable under an applicable new source
    performance standard adopted by USEPA pursuant to
    Section 111 of the Clean Air Act and made
    applicable in Illinois pursuant to Section 9.1 of
    the Act.
    b) The owner or operator of a new major stationary source
    shall demonstrate that the control equipment and
    process measures applied to the source will produce
    LAER.
    c) The owner or operator of a major modification shall
    demonstrate that the control equipment and process
    measures applied to the major modification will produce
    LAER. This requirement applies to each emissions unit
    at which a net increase in emissions of the pollutant
    has occurred or would occur as a result of a physical
    change or change in the method of operation.
    d) The owner or operator shall provide a detailed showing
    that the proposed emission limitations constitute LAER.
    Such demonstration shall include:
    1) A description of the manner in which the proposed
    0137-0516

    19
    emission limitation was selected, including a
    detailed listing of informatior resources,
    2) Alternative emission limitations, and
    3) Such other reasonable information as the Agency
    may request as necessary to determine whether the
    proposed emission limitation is LAER.
    ~J In areas classified as serious or severe nonattainment
    for ozone, for modifications which are malor pursuant
    to the applicability provisions of Section 203.207(d)
    for volatile organic material and nitrogen oxide
    emissions, LAER shall a~~lvexcept as provided as
    follows:
    fl In the case of a stationary source which does not
    emit or have the potential to emit 100 tons per
    year or more of volatile organic material or
    nitrogen oxides. a requirement for Best Available
    Control Technolo~v (BACT) as defined in Section
    169 of the Clean Air Act (42 U.S.C. 7401 et seq.)
    substitutes for LAER. BACT shall be determined in
    accordance with policies and Procedures published
    by the USEPA.
    ~j In the case of a stationary source which emits or
    has the potential to emit 100 tons per year or
    more of volatile organic material or nitrogen
    oxides, the requirements for LAER shall not a~P1v
    if the owner or oPerator of the source elects to
    offset the increase by
    p
    greater reduction in
    emissions of such pollutant from other operations.
    units or activities within the source at an
    internal offset ratio of at least 1.3. to 1.
    (Source: Amended at
    Ill. Reg.
    ______,
    effective
    ___________
    ection 203.302
    Maintenance of Reasonable Further Progress
    and Emission Offsets
    a) j~) The owner or operator of a new major source or
    major modification shall provide emission offsets
    equal to or greater than the allowable emissions
    from the source or the net increase in emissions
    from the modification sufficient to allow the
    Agency to determine that the source or
    modification will not interfere with reasonable
    further progress as set forth in Section 173 of
    the Clean Air Act (42 U.S.C. 7401 et seq.).
    21
    For new major sources or malor modifications in
    0 137-0517

    20
    ozone nonattainment areas the ratio of total
    emission reductions provided by emission offsets
    for volatile organic material ~ nitrogen oxides
    to total increased emissions of such contaminants
    shall be at least as follows:
    ~j 1.1 to 1 in areas classified as marginal
    ~J 1.15 to 1 in areas classified as moderate
    ,çj 1.2 to 1 in areas classified as serious
    ~j 1.3 to 1 in areas classified as severe; and
    ~j 1.5 to 1 in areas classified as extreme.
    ~ The offset requirement provided in subsection (2)
    above shall not be applicable in extreme areas to
    a modification of an existing source:
    ~j if such modification consists of installation
    of equipment required to comply with the
    implementation plan or the Clean Air Act; or
    ~j if the owner or operator of the source elects
    to offset the increase by a greater reduction
    in emissions of such pollutant from other
    discrete operations, units, or activities
    within the source at an internal offset ratio
    of at least 1.3 to 1.
    b) The Agency shall allow the use of all or some portion
    of the available growth margin to satisfy subsection
    (a) above if the owner or operator can Present evidence
    that the possible sources of emission offsets were
    investigated~a*~4none were available at that time ~
    the new or modified major stationary source is located
    in a zone (within the nonattainment area) identified by
    USEPA in consultation with the Secretary of Housing and
    Urban Development, as a zone to which economic
    development should be targeted.
    (Source: Amended at
    Ill. Reg.
    ______,
    effective
    ___________)
    Section 203.303
    Baseline and Emission Offsets Determination
    a) An emission offset must be obtained from a source in
    operation prior to the permit application for the new
    or modified source. Emission offsets must be effective
    prior to start—up of the new or modified source.
    0137-0518

    21
    b) The emission offsets provided:
    1) Must be of the same pollutant and further be of a
    type with approximately the same qualitative
    significance for public health and welfare as that
    attributed to the increase from a particular
    change;
    2) Must, in the case of a shutdown, have occurred
    since April 24, 1979 or the date the area is
    designated by the UCEPAUnited States Environmental
    Protection Aaencv (USEPA) as a nonattainment area
    for the pollutant, whichever is more recent, and
    the shutdown source is being replaced by a similar
    new source; and must, in the case of a fuel
    combustion source, be based on the type of fuel
    being burned at the time the permit application is
    filed, and, if offset is to be produced by a
    future switch to a cleaner fuel, be accompanied by
    evidence that long-term supplies of the clean fuel
    are available and a commitment to a specified
    alternative control measure which would achieve
    the same degree of emission reduction if return of
    the dirtier fuel is proposed;
    3) Must, in the case of a shutdown of a source or
    permanent curtailment of production or operating
    hours occurring on or after the date a permit
    application is filed for a new or modified source,
    have been made known to the affected work force;
    4) Must, in the case of a past shutdown of a source
    or permanent curtailment of production or
    operating hours, have occurred since April 24,
    1979, or the date the area is designated a
    nonattainment area for the pollutant, whichever is
    more recent, and the proposed new or modified
    source must be a replacement for the shutdown or
    curtailment;
    5) Must be federally enforceable by permit;
    6) Must not have been previously relied on, as
    demonstrated by the Agency, in issuing any permit
    pursuant to 35 Ill. Adm. Code 201.142 or 201.143
    or this Part, or for demonstrating attainment or
    reasonable further progress.
    c) The ~~nco for determining cmiooion of fsct3 arc
    Q3
    folbowo:
    Except ao provided in oubocotion (2), tlhe baseline for
    0137-0519

    22
    determining the extent to which emission reductions are
    creditable as offsets shall be the actual emissions of
    the source from which the offset is to be obtained, to
    the extent they are within any applicable emissions
    limitations of this Chapter or the Act or any
    applicable standards adopted by USEPA pursuant to
    Section 111 and 112 of the Clean Air Act, and made
    applicable in Illinois pursuant to Section 9.1 of the
    Environmental Protection Act (Ill. Rev. Stat. 1991 ch.
    111 1/2, par. 1009.1).
    progress and attainment of ambient air quality
    standards approved by UCEPA pursuant to Section
    110(a) (2) or 110(a) (3) of the Clean Air Act is
    based
    on the applicable emission limitations of
    this Chapter or the Act or any applicable
    standards adopted by UCEPA pursuant to Section 111
    and 112 of the Clean Air Act and made applicable
    in Illinois pursuant to Section 9.1 of the
    Environmental Protection Act for sources within an
    area, and thc source from which the offset is to
    be obtained is subject to ouch limitations, the
    baseline for offsets shall be the lesser of ouch
    limitation or the potential to emit of the source.
    d) The location of sources providing the emission
    effects ireductions to fulfill the offset requirements
    of this Section:
    Must, for particulate matter, sulfur dioxide and
    carbon monoxide, be ouch that, relative to the
    site of the proposed new or modified source, the
    location of the offset, together with its
    effective stack height, ensures a positive net air
    quality benefit. This shall be demonstrated by
    atmospheric simulation modeling, unless the
    sources providing the offset arc on the same
    premises or in the immediate vicinity of the new
    or modified source and the pollutants disperse
    substantiall”
    .7
    the same effective stack
    height. In dctcrminin; off~..4....stack height,
    credit shall not be given for dispersion
    enhancement techniques. The owner or operator of
    a proposed new or modified source shall perform
    the analysis to demonstrate the acceptability of
    the location of an offset, if the Agency declines
    to make such analysis. Effective stack height
    means actual stack height plus plume rise. Where
    actual stack height exceeds good enginccrii~g
    practices, as determined pursuant to 40 CFR 51.100
    (1987) (no future amendments or editions are
    ---
    ~-
    cfl
    37-0520
    1)

    23
    21
    uecd. Must be achieved in the same nonattainment
    area as the increase being offset, except as
    provided as follows:
    ~j An owner or operator may obtain the necessary
    emission reductions from another
    nonattainment area where such other area has
    an eaual or higher nonattainment
    classification than the area in which the
    source is located, and
    ~ The emission reductions from such other area
    contribute to a violation of the national
    ambient air quality standard in the
    nonattainment area in which the new or
    modified source is located.
    0137-0521
    ---—4
    .3
    1__ -i
    -— —~
    t.
    _~_ £
    — ~ S
    Must, for nitrogen oxides, be in the general
    vicinity of the proposed new or modified
    sourcc.Must. for particulate matter, sulfur
    dioxide and carbon monoxide. be such that,
    relative to the site of the proposed new or
    modified source, the location of the offset.
    together with its effective stack height, ensures
    a positive net air quality benefit. This shall be
    demonstrated by atmospheric simulation modeling.
    unless the sources providing the offset are on the
    same premises or in the immediate vicinity of the
    new or modified source and the pollutants disperse
    from substantially the same effective stack
    height. In determining effective stack height.
    credit shall not be given for dispersion
    enhancement techniques. The owner or operator of
    a proposed new or modified source shall perform
    the analysis to demonstrate the acce~tabiljtyof
    the location of an offset, if the Agency declines
    to make such analysis. Effective stack height
    means actual stack height plus plume rise. Where
    actual stack height exceeds good engineering
    practices, as determined pursuant to 40 CFR 51.100
    (1987) (no future amendments or editions are
    included), the creditable stack height shall be
    used.
    Must, for volatile organic compounds, be in the
    broad vicinity of the proposed new or modified
    source; that is, offsets must be obtained from
    within the Air Quality Control Region of the new
    or moril
    fit~d
    ~niirr~
    ~
    frni.~
    ~t-~h~r
    nr~rir~
    ~.jhieh

    24
    buting to the o~oncnroblcm at the site
    :w or moaiziea source.
    e) Replacement of one volatile organic eompoundmaterial
    with another of lesser reactivity does not constitute
    an emission reduction.
    ~j Emission reductions otherwise required by the Clean Air
    Act (42 U.S.C. 7401 et seq.) shall not be creditable
    for purposes of any such offset requirement.
    Incidental emission reductions which are not otherwise
    required by the Clean Air Act shall be creditable as
    emission reductions for such purposes if such emissions
    reductions meet the requirements of this subpart.
    (Source: Amended at
    Ill. Reg.
    ,
    effective
    ___________
    Section 203.306
    Analysis of Alternatives
    For emission of volatile organic compounds or carbon monoxide,
    ~The owner or operator shall demonstrate that benefits of the new
    major source or major modification significantly outweigh the
    environmental and social costs imposed as a result of its
    location, construction, or modification, based upon an analysis
    of alternative sites, sizes, production processes and
    environmental control techniques for such proposed source.
    (Source: Amended at
    Ill. Reg.
    ,
    effective
    ___________)
    SUBPART H: OFFSETS FOR EMISSION INCREASES FROM ROCKET ENGINES
    AND MOTOR FIRING
    Section 203.801
    Offsets for Emission Increases from Rocket
    Engines and Motor Firing
    A source may offset, by alternative or innovative means emission
    increases from rocket engine and motor firing, and cleaning
    related to such firing, at an existing or modified ina-jor source
    that tests rocket engines or motors under the following
    conditions:
    al.
    Any modification proposed is solely for the purpose of
    expanding the testing of rocket engines or motors at an
    existing source that is permitted to test such engines
    on November 15. 1990
    ~ The source demonstrates to the satisfaction of the
    Agency that it has used all reasonable means to obtain
    and utilize offsets, as determined on an annual basis,
    for the emissions increases beyond allowable levels,
    that all available offsets are being used, and that
    It
    ~7-nc~

    25
    sufficient offsets are not available to the source
    ~j The source has obtained a written finding from the
    Department of Defense, Department of Transportation,
    National Aeronautics and Space Administration or other
    appropriate Federal agency, that the testing of rocket
    motors or engines at the facility is required for a
    proaram essential to the national security; and
    ~ The source will comply with an alternative measure,
    im.posed by the A~encvor Board, designed to offset any
    emission increases beyond permitted levels not directly
    offset by the source.
    (Source: Added at
    Ill. Reg.
    ______,
    effective
    _____________
    IT IS SO ORDERED.
    I, Dorothy M. Gunn, Clerk of the Illinois Pollution Control
    Board, hereby certify that the above opinion and order was
    adopted on the /~/ day of
    _______________,
    1992, by a vote
    of
    7-C
    .
    ‘~Dorothy N.
    Gui~, Clerk
    Illinois PolUition Control Board
    0137-0523

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