TITLE 35: ENVIRONMENTAL PROTECTION
SUBTITLE B: AIR POLLUTION
CHAPTER I: POLLUTION CONTROL BOARD
SUBCHAPTER b: ALTERNATIVE REDUCTION PROGRAMS
PART 207
VEHICLE SCRAPPAGE ACTIVITIES
SUBPART A: GENERAL PROVISIONS
Section
207.100 Purpose
207.102 Definitions
207.104 Severability
SUBPART B: APPLICABILITY
Section
207.200 Applicability
SUBPART C: REQUIREMENTS OF VEHICLE SCRAPPAGE PROJECTS AND
PROGRAMS
Section
207.300 Scope
207.302 Vehicle Scrappage Sponsors and Managers
207.304 Vehicle Eligibility
207.306 Vehicle Ownership
207.308 Notification of Intent to Retire Vehicles
207.310 Notification to Vehicle Collectors and Automotive Rebuilders and Suppliers
207.312 Operability Check
207.314 Collection and Testing
207.316 Disassembly, Recycling and Disposal Based on Vehicle Scrappage Activities
207.318 Documentation Requirements
SUBPART D: OPTIONS FOR VEHICLE SCRAPPAGE
PROJECTS AND PROGRAMS
Section
207.400 Optional Project or Program Enhancements
207.402 Targeting of Vehicles by Model Year
207.404 Targeting of High Emissions Vehicles
207.406 Targeting of High Usage Vehicles
207.408 Use of Enhanced Prescreening Inspection
207.410 Use of Evaporative System Integrity Test
SUBPART E: MEASUREMENT TECHNIQUES AND CER CALCULATION AND
REVIEW
Section
207.500 Vehicle Scrappage as a Basis for CERs
207.502 Methods for Determining Emissions Reductions
207.504 CER Calculation Methodology
207.506 CER Adjustments
207.508 Remaining Useful Life of Vehicles and Lifetime of CERs
207.510 Submission and Agency Review of CER Claims
207.512 CERs Based on Agency Sponsored Vehicle Scrappage Activities
SUBPART F: VEHICLE SCRAPPAGE PLAN CRITERIA, SUBMITTAL, REVIEW AND
SUPPLEMENTAL NOTICE PROCEDURE
Section
207.600 Proposed Vehicle Scrappage Plans
207.602 Submittal of Proposed Vehicle Scrappage Plans
207.604 Notice of Proposed Vehicle Scrappage Plans
207.606 Agency Review of Proposed Vehicle Scrappage Plans
207.608 Notice of Commencement of Vehicle Scrappage Activities
207.610 Supplemental Notices Pursuant to Approved Vehicle Scrappage Plans
207.612 Plans for Agency Sponsored Projects or Programs
SUBPART G: VEHICLE SCRAPPAGE SPONSOR AND MANAGER ELIGIBILITY,
TRAINING AND APPLICATION PROCEDURE
Section
207.700 Qualifications for Vehicle Scrappage Managers
207.702 Financial Responsibility of Vehicle Scrappage Sponsors
SUBPART H: VEHICLE SCRAPPAGE PLAN FEES
Section
207.800 Vehicle Scrappage Plan and Plan Renewal Fees
207.802 Form of Payment
207.804 Non-Refundability of Fees and Credits for Overpayments
207.806 Fee Exemption for Agency Sponsored Vehicle Scrappage Projects or Programs
SUBPART I: ENFORCEMENT AND PENALTIES
Section
207.900 Enforcement
207.902 Agency Right of Inspection
207.904 Agency Right to Revoke Approval of Plan
AUTHORITY: Implementing and authorized by the Vehicle Emissions Inspection Law of 1995
[625 ILCS 5/13B-30(d)] and the Illinois Environmental Protection Act [415 ILCS 5/5, 10, 27, 28
and 39].
SOURCE: Adopted in R00-16 at 24 Ill. Reg. 8979, effective June 14, 2000.
SUBPART A: GENERAL PROVISIONS
Section 207.100 Purpose
a) This Part sets forth the procedures and performance requirements to be followed
when conducting vehicle scrappage activities within the State of Illinois for the
purpose of receiving Creditable Emissions Reductions (CERs).
b) This Part is designed to achieve the following objectives:
1) Provide an option for regulated sources and interested parties to achieve
emissions reductions;
2) Ensure compatibility with applicable guidance for vehicle scrappage
activities developed by the United States Environmental Protection
Agency (USEPA);
3) Provide vehicle
scrappage training to help ensure that vehicle scrappage
activities conducted to generate CERs are only managed by qualified
individuals; and
4) Strike an equitable balance
among various parties that may be interested in
vehicle scrappage, including regulated sources, potential sponsors of
scrappage activities, owners of vehicles eligible to be scrapped, vehicle
collectors, automotive rebuilders and other interest groups.
Section 207.102 Definitions
Unless otherwise specified in this Part and unless a different meaning of a term is clear from its
context, the definitions for the terms used in this Part shall be the same as those found in the
Environmental Protection Act [415 ILCS 5] or in 35 Ill. Adm. Code 211 or 240. As used in this
Part, the following terms have the meanings set forth below:
“Creditable Emissions Reductions” or “CER” means a unit of emissions reductions based
on vehicle retirement activities in accordance with an Agency-approved vehicle
scrappage plan.
“Eligible vehicle” means any vehicle that qualifies for retirement in a vehicle scrappage
project or program as specified in Section 207.304 of this Part.
“Emissions-related parts” means the engine
and other vehicle parts involved with fuel
intake, combustion, exhaust, or the control of the evaporation of fuel, which have a direct
relation to the type or quantity of emissions produced by the vehicle.
“IM240 Test” means a transient loaded mode exhaust test procedure, as specified in 35
Ill. Adm. Code 276, designed to measure mass quantities of vehicle exhaust emissions of
hydrocarbons, carbon monoxide, carbon dioxide and oxides of nitrogen generated during
vehicle operation on a chassis dynamometer.
“Light-duty truck 1” means a motor vehicle rated at 6000 pounds maximum gross vehicle
weight rate (GVWR) or less and which has a vehicle frontal area of 45 square feet or less,
and which is designed primarily for purposes of transportation of property or is a
derivation of such a vehicle, or is designed primarily for transportation of persons and has
a capacity of more than 12 persons, or is available with special features enabling off-
street or off-highway operation and use.
“Light-duty truck 2” means a motor vehicle rated between 6001 and 8500 pounds
maximum GVWR and which has a vehicle frontal area of 45 square feet or less, and
which is designed primarily for purposes of transportation of property or is a derivation
of such a vehicle, or is designed primarily for transportation of persons and has a capacity
of more than 12 persons, or is available with special features enabling off-street or off-
highway operation and use.
“Light-duty vehicle” means a passenger car or passenger car derivative capable
of seating
twelve passengers or fewer.
“Non-emissions-related parts” means vehicle parts not involved with fuel intake,
combustion or exhaust, or the control of evaporation of fuel, and which do not have a
direct relation to the type or quantity of emissions produced by the vehicle.
“Recognized repair technician” means a person professionally engaged in vehicle repair,
employed by a going concern whose purpose is the repair of vehicles, or possessing a
nationally recognized certification for emissions-related diagnosis and repair.
“Vehicle retirement” means the permanent rendering of an eligible vehicle into an
inoperable condition, in accordance with this Part and a vehicle scrappage plan.
“Vehicle scrappage” means activities related to the retirement of eligible vehicles for the
purpose of receiving CERs under this Part.
“Vehicle scrappage
manager” means a natural person who satisfies all qualification
requirements specified in Section 207.700 of this Part and is eligible to conduct vehicle
scrappage activities pursuant to this Part.
“Vehicle scrappage plan” means a type of plan that satisfies all applicable requirements
of Subpart F of this Part, and has been approved or sponsored by the Agency, under
which the vehicle scrappage activities for the applicable vehicle scrappage project or
program must be conducted.
“Vehicle scrappage program” means periodic or ongoing vehicle scrappage activities
conducted in accordance with the applicable requirements of this Part and a vehicle
scrappage plan.
“Vehicle scrappage project” means a one-time vehicle scrappage event conducted in
accordance with the applicable requirements of this Part and a vehicle scrappage plan.
“Vehicle scrappage sponsor” means any interested person or entity that satisfies all of the
requirements of Section 207.702 of this Part and financially underwrites a vehicle
scrappage project or program conducted under this Part.
Section 207.104 Severability
If any Section, subsection, sentence or clause of this Part is judged invalid, such adjudication
shall not affect the validity of this Part as a whole or any Section, subsection, sentence or clause
thereof not judged invalid.
SUBPART B: APPLICABILITY
Section 207.200 Applicability
This Part applies to vehicle scrappage activities in the State of Illinois conducted to receive
CERs and to all persons or entities that are, or desire to be, vehicle scrappage managers,
sponsors, or other participants.
SUBPART C: REQUIREMENTS OF VEHICLE SCRAPPAGE
PROJECTS AND PROGRAMS
Section 207.300 Scope
Each vehicle scrappage project or program conducted pursuant to the provisions of this Part must
satisfy all of the requirements specified in this Subpart.
Section 207.302 Vehicle Scrappage Sponsors and Managers
Each vehicle scrappage project or program shall be financially underwritten by a vehicle
scrappage sponsor who satisfies all of the requirements of Section 207.702 of this Part, and shall
be directed by a vehicle scrappage manager who satisfies all of the requirements of Section
207.700 of this Part.
Section 207.304 Vehicle Eligibility
Each vehicle that is retired in a vehicle scrappage project or program shall satisfy the following
criteria:
a) Be a light-duty vehicle, light-duty truck 1 or light-duty truck 2;
b) Shall not be from a model year 25 years old or older;
c) Have been continuously registered with the Illinois Secretary of State for the
12
month period immediately prior to the date of its sale for use in a vehicle
scrappage project or program;
d) If the vehicle will be used to claim CERs that are intended to address a specific
pollution problem (e.g., ozone nonattainment), the vehicle must have been
registered at an address within an area where emissions reductions are required
for the applicable pollutant or pollutant precursor for the 12 month period
immediately prior to the date of its sale for use in a vehicle scrappage project or
program;
e) Be legally driven to the collection site and have the applicable equipment required
to drive the vehicle on any highway as specified in Chapter 12 of the Illinois
Vehicle Code [625 ILCS 5/12];
f) Be powered by a spark ignition internal combustion engine;
g) Have arrived at the place of sale under its own power;
h) Have passed the operability check specified in Section 207.312 of this Subpart;
and
i) Be in compliance with the Illinois vehicle emissions testing program as specified
by the Illinois Vehicle Emissions Inspection Law of 1995 [625 ILCS 5/13B] and
regulations promulgated thereunder.
Section 207.306 Vehicle Ownership
a) Each vehicle retired pursuant to a vehicle scrappage project or program must have
a valid, legally transferable title.
b) An owner listed on the title, a legal representative of the owners, or, if the owner
is an entity, an agent of the entity must appear at the collection site with the
vehicle at the time of its sale to a vehicle scrappage project or program.
c) It shall be the responsibility of the vehicle scrappage sponsor or manager to
provide the Illinois Secretary of State with all vehicle transfer records necessary
to document the proper transfer and retirement of vehicles that are scrapped. The
Agency assumes no responsibility for documentation or legality of transfer of
vehicle titles.
Section 207.308 Notification of Intent to Retire Vehicles
a) If the vehicle scrappage plan targets certain vehicles, as provided in Subpart D of
this Part, the vehicle scrappage manager or sponsor may request that the Agency
provide notice of the applicable vehicle scrappage activities to owners of vehicles
that meet the specifications in the plan. This notice will provide information to
allow the vehicle owners to contact the relevant vehicle scrappage sponsor or
manager for more information about the proposed vehicle scrappage activities.
b) If a vehicle scrappage manager or sponsor does not request the Agency to provide
notification as provided in subsection (a) of this Section, the vehicle scrappage
sponsor or manager must notify owners of vehicles that are prospective
candidates for retirement of the proposed vehicle scrappage activities.
Notification may be provided by general public notification methods.
c) Any notification provided to vehicle owners by vehicle scrappage sponsors or
managers must, at a minimum, convey the following information:
1) That participation in the program or project is strictly voluntary;
2) The
name and address of the vehicle scrappage sponsor or manager;
3) All conditions that the vehicle owner and the vehicle itself must satisfy in
order to participate in the vehicle scrappage project or program;
4) The amount of money that is being offered to the owner by the vehicle
scrappage sponsor or manager for the purchase of the owner’s vehicle if
all conditions of vehicle eligibility are met;
5) That the identification of the owner’s vehicle as a candidate for retirement
does not constitute an allegation of any environmental or other violation
by that owner; and
6) A clear statement that the notice is being provided by that sponsor or
manager, not by the Agency or by any other governmental entity, unless
the Agency is the vehicle scrappage sponsor.
Section 207.310 Notification to Vehicle Collectors and Automotive Rebuilders and
Suppliers
a) The Agency will make available to vehicle scrappage sponsors or managers a list
of recognized vehicle collector associations and persons normally engaged in
either the business of rebuilding vehicle parts or supplying such parts to rebuilders
that may be interested in purchasing vehicles collected under projects and
programs. Recognized vehicle collector associations and persons normally
engaged in either the business of rebuilding vehicle parts or supplying such parts
to rebuilders must submit a written request to the Agency for inclusion on the list.
b)
Vehicle scrappage sponsors or managers shall provide notification of the
availability of vehicles to be retired by either posting notice on the Internet or
providing written notice to the persons or entities identified by the Agency on the
list specified in subsection (a) of this Section. Vehicles may not be retired until
21 days after the notification required by this subsection is provided.
c) A vehicle scrappage manager or sponsor may utilize Agency capabilities to
provide the notification required under this Section on the Internet.
d) Vehicle scrappage sponsors and managers may sell vehicles to interested persons
in lieu of retiring the vehicle for CERs. Vehicle scrappage managers and
sponsors remain eligible for CERs if non-emissions-related parts are sold to
interested persons or emissions-related parts are sold to either vehicle collectors
or persons normally engaged in either the business of rebuilding vehicle parts or
supplying such parts to rebuilders, provided that disassembly of emissions-related
parts has been performed as specified in Section 207.316(e) of this Subpart. If a
vehicle or emissions-related parts from a vehicle are resold without disassembly
as specified in Section 207.316(e) of this Subpart, CERs may not be claimed for
the vehicle.
Section 207.312 Operability Check
Each vehicle that is to be retired pursuant to this Part shall pass an operability check prior to
purchase and collection. The operability check shall include, at a minimum:
a) Start-up of the vehicle;
b) Test-drive of the vehicle for five or more feet in forward gear;
c)
Test-drive of the vehicle for five or more feet in reverse gear;
d) Shut-off of the vehicle; and
e) Visual
inspection for fluid leakage or any malfunction or other damage that would
render the vehicle unsuitable for normal operation.
Section 207.314 Collection and Testing
a) Each vehicle that is purchased and collected by a vehicle scrappage sponsor or
manager shall be photographed at the collection site, along with all owners or
representatives or agents of the owners of the vehicle that are present. Each
vehicle shall also be marked with a unique identification number that is visible in
the photograph.
b) After arrival at the collection site, a vehicle scrappage sponsor or manager shall
take adequate measures to ensure that a vehicle that is to be retired is not adjusted,
repaired or tampered with in any way until any testing has been completed. If
non-emissions-related parts are no longer in operable condition after the vehicle is
collected and passes the operability requirements in Section 207.312 of this
Subpart, repairs may be made if needed to allow testing (e.g., batteries, tires). No
parts may be removed from any vehicle prior to the completion of any testing.
c) The mileage indicated on the odometer must be recorded at the time of collection.
d) If vehicles to be retired must undergo emissions testing pursuant to the applicable
vehicle scrappage plan and are not tested within 45 calendar days after collection
of the vehicle, any CERs claimed which are attributable to that vehicle will be
discounted by ten percent. If emissions testing is not conducted within 90
calendar days after collection of vehicles, vehicle scrappage managers and
sponsors will be able to claim CERs only on the basis of modeled emissions.
e) In lieu of performing emissions testing on a vehicle, vehicle scrappage managers
and sponsors may use the most recent emissions test results for that vehicle from
an Agency administered IM240 Test conducted under the Illinois vehicle
emissions test program established and operated pursuant to the Vehicle
Emissions Inspection Law of 1995 [625 ILCS 5/13B], provided that such test was
performed no more than 90 calendar days before collection of the vehicle.
Section 207.316 Disassembly, Recycling and Disposal Based on Vehicle Scrappage
Activities
a) All vehicles for which CERs are claimed shall be crushed or otherwise recycled
or ultimately disposed of in accordance with this Section, the applicable vehicle
scrappage plan and the schedule specified in that plan.
b) Any residual materials or wastes that are derived from the permanent retirement
of vehicles, including all fluids, gases and environmentally sensitive materials,
shall be recycled or disposed of in an environmentally sound manner, in
conformity with the applicable vehicle scrappage plan and in accordance with all
federal and State laws and regulations.
c) Used tires derived from the permanent retirement of vehicles shall be recycled or
ultimately disposed of in accordance with Title XIV of the Environmental
Protection Act [415 ILCS 5/53-55.15] and regulations promulgated thereunder.
d) Non-emissions-related parts may be resold or recycled.
e) Vehicle scrappage managers, sponsors and scrap yards identified in vehicle
scrappage plans may resell or recycle emissions-related parts (including engines)
to vehicle collectors or to persons normally engaged in either the business of
rebuilding vehicle parts or normally engaged in supplying such parts to rebuilders,
provided the following requirements are met:
1) The engine must be disassembled into the cylinder head, block, crankshaft
and connecting rods; and
2) All other emissions-related parts must be disassembled into their major
components.
f) Any recycling of emissions-related or non-emissions-related parts shall be
conducted in conformity with a vehicle scrappage plan expressly providing for
appropriate disassembly, rebuilding or reconditioning, if applicable, and sale.
Section 207.318 Documentation Requirements
a) Each vehicle scrappage sponsor or manager shall maintain records for at least five
years of all vehicle scrappage activities conducted as specified in the applicable
vehicle scrappage plan, including the following information:
1) Identification of eligible vehicles accepted in the vehicle scrappage project
or program, including the vehicle identification number and
documentation indicating that these vehicles meet the eligibility criteria
specified in Section 207.304 of this Subpart;
2) Documentation to verify vehicle ownership and appropriate transfer of
ownership for all eligible vehicles, as specified in Section 207.306 of this
Subpart;
3) Photographic
documentation relative to vehicle collection activities, as
specified in Section 207.314(a) of this Subpart;
4) Records verifying mileage for each vehicle, as specified in Section
207.314(c);
5) Documentation of all vehicle testing performed in accordance with the
applicable vehicle scrappage plan and Section 207.314 of this Subpart and
Section 207.502 of this Part;
6) All records and supporting documentation related to any calculations of
emissions that are performed;
7) Documentation of all vehicle disassembly, recycling and disposal
activities, as specified in Section 207.316 of this Subpart, including any
waste disposal manifests or receipts obtained from scrap yards, recyclers
or disposal facilities evidencing recycling or disposal of all residual
materials and wastes derived from vehicle scrappage;
8) If emissions-related parts are resold or recycled, documentation
demonstrating that appropriate disassembly has occurred, as specified in
Section 207.316(e) of this Subpart; and
9)
Documentation supporting the use of any enhanced vehicle scrappage
options such as the options described in Subpart D.
b) Vehicle scrappage sponsors or managers shall:
1) Maintain all records required under this Part at one location within
Illinois;
2) Maintain a copy of the applicable vehicle scrappage plan at the site of
each vehicle scrappage activity;
3) Make a copy of all documentation required to be maintained pursuant to
this Part available to Agency representatives for inspection upon request;
and
4) Submit to the Agency a copy of any of the documentation required to be
maintained pursuant to this Part, upon request by the Agency.
SUBPART D: OPTIONS FOR VEHICLE SCRAPPAGE PROJECTS AND PROGRAMS
Section 207.400 Optional Project or Program Enhancements
Vehicle scrappage sponsors and managers proposing to conduct vehicle scrappage projects or
programs may include options in proposed plans that exceed the requirements of Subpart C of
this Part. The options contained in this Subpart are examples of possible options. Vehicle
scrappage sponsors and managers of proposed vehicle scrappage programs or projects shall
identify any options in their proposed vehicle scrappage plans and shall specify the rationale and
any supporting information which would indicate that the proposed options will generate greater
emissions reductions or more reliable documentation of any claimed CERs.
Section 207.402 Targeting of Vehicles by Model Year
Vehicle scrappage plans may be limited to include only eligible vehicles from specific model
years.
Section 207.404 Targeting of High Emissions Vehicles
Vehicle scrappage plans may include only eligible vehicles with demonstrated high emissions.
A certificate of waiver under 35 Ill. Adm. Code 276.403 or test results, pursuant to the vehicle
inspection and maintenance program administered under the Vehicle Inspection Law of 1995
[625 ILCS 5/13B], may demonstrate that a vehicle has high emissions.
Section 207.406 Targeting of High Usage Vehicles
Vehicle scrappage plans may be limited to eligible vehicles that have been driven at least a
specified number of miles per year.
Section 207.408 Use of Enhanced Prescreening Inspection
Vehicle scrappage plans may include operability inspections of vehicles which are to be retired
beyond the operability requirements specified in Section 207.312 of this Part with the intent of
determining the probable recent use patterns of a vehicle and the remaining useful life of that
vehicle. Such inspections shall be conducted and certified by a recognized repair technician, as
defined in Section 207.102 of this Part.
Section 207.410 Use of Evaporative System Integrity Test
Vehicle scrappage plans may include an evaporative system integrity test to determine the ability
of each vehicle's system to recycle vapors. The results of these tests may be used to characterize
the functional status of the vehicle's evaporative control system for use as an input to USEPA’s
MOBILE model. If the applicable vehicle scrappage plan is for a vehicle scrappage project, the
evaporative system integrity test administered at an official vehicle emissions test station of the
Agency pursuant to 625 ILCS 5/13B-10 must be used to measure evaporative emissions.
Vehicle scrappage plans for programs may specify the use of the evaporative system test
administered at an official test station of the Agency or the use of another test.
SUBPART E: MEASUREMENT TECHNIQUES AND
CER CALCULATION AND REVIEW
Section 207.500 Vehicle Scrappage as a Basis for CERs
Vehicle scrappage sponsors and managers may receive CERs for emissions reductions achieved
based on vehicle scrappage activities conducted pursuant to this Part in accordance with the
requirements specified in this Subpart. CERs may be used in conjunction with an emissions
reduction program or as new source review offsets under 35 Ill. Adm. Code 203 to the extent that
the recognition or use of CERs is allowed under and fulfills the requirements of the applicable
rule.
Section 207.502 Methods for Determining Emissions Reductions
a) Emission rates from both retired and replacement vehicles must be either
measured (measure/measure method), modeled (model/model method), or a
combination of measurement and modeling (measure/model method). The
vehicle scrappage sponsor or manager shall propose the measurement and/or
modeling techniques to be used in the applicable vehicle scrappage plan.
b) Modeled emission rates for retired and replacement vehicles must be calculated
using the USEPA MOBILE model, as applied in accordance with USEPA
guidance for MOBILE model use for vehicle scrappage activities.
c) The IM240 Test shall be used for any measured VOM emission rate
determinations.
d) The remaining useful life of retired vehicles is limited to three years.
Section 207.504 CER Calculation Methodology
a) Except as provided in subsection (b) of this Section, the following formula
shall be used to calculate proposed CERs:
CER = [sigma] ([(a)(b)(c)] - [(d)(e)(c)]) (1-(f/100)) / (1000)
Where:
a represents the retired vehicle emissions in grams/mile
b represents miles per year traveled by the retired vehicle based on
recent usage, as established in accordance with
Section 207.510(a)(2)(B)
c
represents remaining life of the retired vehicle in years
d represents the replacement vehicle emissions in grams/mile
e represents miles per year traveled by the replacement vehicle
(which shall be equal to or greater than “b”, unless demonstrated
otherwise in a vehicle scrappage plan)
f represents the environmental discount factor that must be applied,
pursuant to Section 207.506 of
this Subpart, if applicable.
CER represents a creditable emissions reduction unit in kilograms.
b) Vehicle scrappage sponsors and managers may request Agency approval to
deviate from the general formula in subsection (a) of this Section to calculate
CERs in their proposed vehicle scrappage plan. This request must demonstrate
that the deviation is necessary based on elements of the proposed vehicle
scrappage project or program.
Section 207.506 CER Adjustments
a) If the vehicle scrappage
plan provides that the emissions of both retired and
replacement vehicles are to be modeled (model/model method), the total value of
CERs claimed shall be:
1) Reduced by 20 percent to account for the natural retirement of vehicles;
and
2) Discounted by an additional 5 percent.
b) If the vehicle scrappage plan provides that emissions of vehicles to be retired are
to be measured and emissions of replacement vehicles are to be modeled
(measure/model method), the total value of CERs claimed shall be reduced by 10
percent to account for the natural retirement of vehicles, unless enhanced
prescreening inspection is conducted, as provided in Section 207.408 of this Part.
If enhanced prescreening is conducted, no reduction to CERs claimed shall be
assessed, except as provided in Section 207.314(d) of this Part.
c) Except as provided in Section 207.314(d) of this Part, if the vehicle scrappage
plan provides that emissions of both retired and replacement vehicles are to be
measured (measure/measure method), no reduction to the value of CERs claimed
shall be assessed.
Section 207.508 Remaining Useful Life of Vehicles and Lifetime of CERs
a) If emissions from retired vehicles are modeled, the remaining useful life of retired
vehicles shall be three years.
b) If emissions from retired vehicles are measured, the remaining useful life of
retired vehicles shall be a minimum of two years. Vehicle scrappage sponsors
and managers may demonstrate to the Agency that a remaining useful life of more
than two years should apply to CERs generated using a measure/model or a
measure/measure method. To make this demonstration, the vehicle scrappage
sponsor or manager shall provide the Agency with sufficient information to
substantiate that a greater remaining useful life of retired vehicles is justified.
c) CERs are valid for the same period as the remaining useful life of the retired
vehicle as specified in this Section.
Section 207.510 Submission and Agency Review of CER Claims
a) Except as provided in Section 207.512 of this Subpart, a vehicle scrappage
sponsor or manager must submit a CER claim to the Agency for review
within 120 days of completion of vehicle collection for vehicle scrappage
projects or quarterly for a vehicle scrappage program. The following
information must be included in each CER claim, in addition to any
information required in the applicable vehicle scrappage plan:
1) The amount of CERs claimed to have been generated by vehicle
retirement; and
2) Sufficient calculations
and supporting documentation to
substantiate such claim, including:
A) Identification (i.e., make, model year and vehicle
identification number) of retired vehicles upon which the
claim is based;
B) Estimates of recent mileage for each retired vehicle based
on data recorded in the most recent two years or on
established mileage estimation methods;
C) Mileage for each replacement vehicle, which may not be
less than the mileage estimated for the retired vehicle
unless demonstrated otherwise in a vehicle scrappage plan;
D) The method used to determine emissions from each retired and
replacement vehicle;
E) The method used to identify replacement vehicles;
F) Any discounting of CERs required by this Part; and
G) A log identifying for each returned vehicle whether enhanced
options or disassembly and recycling were used.
b) CERs may not be claimed for a vehicle until it has been acquired and retired by
the vehicle scrappage sponsor or manager.
c) CERs may be claimed on a lump sum basis for the total aggregate emissions
reduction over the remaining useful life of the retired vehicle(s), or allocated on
an annual basis over the remaining useful life, not to exceed the total aggregate
emissions reduction.
d) Except for Agency sponsored projects or programs, a vehicle scrappage manager,
vehicle scrappage sponsor, or, if the vehicle scrappage sponsor is an entity, the
responsible official of the entity submitting a CER claim for Agency review
pursuant to this Subpart shall make the following statement as part of the claim:
I certify that the information submitted in this CER claim is, to the best of
my knowledge and belief, true, accurate and complete. I am aware that I
may be subject to enforcement pursuant to the Environmental Protection
Act if any information submitted in this CER claim is determined to be
false or misleading.
e)
Except as provided in Section 207.512 of this Subpart, the Agency will review
each CER claim submitted and will issue its written determination regarding how
many CERs have been generated, if any, within 45 calendar days after the
Agency's receipt of a complete claim. CERs are not valid until the Agency has
completed its CER determination and notified the vehicle scrappage sponsor or
manager in writing of its determination of the amount of CERs generated.
Section 207.512 CERs Based on Agency Sponsored Vehicle Scrappage Activities
If the Agency generates CERs based on vehicle scrappage activities it has sponsored, it shall
develop and maintain documentation to substantiate the CERs generated, including the
information specified in Section 207.510(a)(2) of this Subpart.
SUBPART F: VEHICLE SCRAPPAGE PLAN CRITERIA, SUBMITTAL,
REVIEW AND SUPPLEMENTAL NOTICE PROCEDURE
Section 207.600 Proposed Vehicle Scrappage Plans
No vehicle scrappage project or program may be conducted within Illinois pursuant to this Part
without Agency approval or sponsorship of a vehicle scrappage plan designed to cover that
specific vehicle scrappage project or program.
Section 207.602 Submittal of Proposed Vehicle Scrappage Plans
a) A vehicle scrappage sponsor or manager may submit a proposed vehicle
scrappage plan to the Agency. Each proposed vehicle scrappage plan shall, at a
minimum, include:
1) The name and address of the vehicle scrappage sponsor and manager that
will be responsible for the vehicle scrappage project or program;
2) Proof that
the vehicle scrappage sponsor identified in the plan meets the
financial responsibility requirements of Section 207.702 of this Part;
3) Proof that the vehicle
scrappage manager has fulfilled the applicable
requirements in Section 207.700 of this Part;
4) The estimated number of vehicles to be retired during the course of the
proposed project or program;
5) The locations to be used for all proposed vehicle scrappage activities;
6) The name and address of any person or entity to be used to perform any of
the proposed activities, including, but not limited to, any scrap yard,
recycling or disposal facility proposed to be used;
7) A schedule identifying key dates of the proposed project or program,
including the planned dates for: notification to owners of vehicles;
purchase of vehicles; measurement of emissions, if any; retirement of
vehicles; and completion of the project or program;
8) Method of notification to owners of vehicles that are candidates to sell
their vehicles in accordance with Section 207.308 of this Part;
9) Procedures to be used for collection and testing, if any, of vehicles to be
retired in accordance with Section 207.314 of this Part;
10) Procedures, if any, for disassembly, rebuilding or reconditioning, and
resale of vehicle parts to eligible persons, in accordance with Section
207.316 of this Part;
11) Procedures for recycling or disposal of all residual materials and wastes
generated from the permanent retirement of vehicles, in accordance with
Section 207.316(b) of this Part;
12) Method of determining what replacement vehicles are obtained by owners
whose vehicles have been retired;
13) Method for measuring or modeling emissions of applicable pollutants for
vehicles purchased for retirement and for replacement vehicles, in
accordance with Section 207.502 of this Part;
14) Method for calculation of any CERs that may be generated by the project
or program, in accordance with Section 207.504 of this Part;
15) If the vehicle scrappage plan is for a vehicle scrappage program,
identification of any options that will be used to generate greater
emissions reductions or produce more reliable documentation, as provided
in Subpart D of this Part, and sufficient justification that the options
proposed will achieve these objectives. Additionally, if the use of
enhanced prescreening inspection is proposed, as specified in Section
207.408 of this Part, the recognized repair technician who will be used
must be identified and information verifying that the technician qualifies
as a recognized repair technician must be included;
16) If the vehicle scrappage plan is for a vehicle scrappage project, the vehicle
sponsor or manager is not required to obtain prior approval from the
Agency for its use of the options described in Subpart D of this Part, but
must maintain documentation to support its use of such options.
b) In addition to the information specified in subsection (a) of this Section, the
Agency may request additional information from the vehicle scrappage sponsor or
manager as needed to determine if the vehicle scrappage plan meets the
requirements of this Part.
c) Each vehicle scrappage manager and sponsor, or, if the vehicle scrappage sponsor
is an entity, a responsible official of the entity, submitting a proposed plan for
Agency approval shall make the following statement as part of the submission to
the Agency:
I certify that
the information submitted in this proposed vehicle scrappage
plan is, to the best of my knowledge and belief, true, accurate and
complete, based on reasonable inquiry. I am aware that I may be subject
to enforcement under the Environmental Protection Act and may be
disqualified from conducting or sponsoring scrappage projects or
programs in the State of Illinois,
pursuant to 35 Ill. Adm. Code Part 207, if
any information submitted in this proposed vehicle scrappage plan is
determined to be false or misleading.
Section 207.604 Notice of Proposed Vehicle Scrappage Plans
a) Within 14 days after submitting a vehicle scrappage plan to the Agency, the
vehicle scrappage manager or sponsor that submitted the plan shall cause, at its
own expense, the publication of notice by advertisement in a newspaper of
general circulation
in the area where the collection site for vehicles to be retired is
located or, if the vehicle scrappage sponsor is a source, the notice shall be in a
newspaper of general circulation in the area the source is located.
b) The notice shall be titled “Notice of Proposed Vehicle Scrappage Plan
Submission to the Illinois Environmental Protection Agency.”
c) The notice shall contain the name and address of the proposed sponsor and the
address of the proposed vehicle collection location.
d) The notice shall state the following:
“Any person may review the proposed plan, to the extent allowed by applicable
laws and regulations, by contacting the Illinois Environmental Protection Agency.
Any person may submit comments to the Illinois Environmental Protection
Agency and request a hearing. Comments and requests for hearing must be
submitted in writing to Illinois EPA at:
Public Information for the Bureau of Air
Illinois Environmental Protection Agency
P.O. Box 19276
Springfield, Illinois 62794
These comments and requests for a hearing must be received by the Illinois EPA
within 21 days after the date of publication.”
e) The Agency will determine whether to hold a hearing on any vehicle scrappage
plan in accordance with 35 Ill. Adm. Code 252.205. Any hearing on a proposed
vehicle scrappage plan shall be conducted in accordance with the Agency's
“Procedures for Permit and Closure Plan Hearings” (35 Ill. Adm. Code 166:
Subpart A, Informational Permit and Closure Plan Hearings).
Section 207.606 Agency Review of Proposed Vehicle Scrappage Plans
a) The Agency will approve or disapprove the proposed vehicle scrappage plan
within 90 calendar days after the Agency's receipt of a complete proposed plan,
except that this time period is extended to 180 days when a hearing is held, as
provided in Section 207.604(e) of this Subpart.
b) A proposed plan will be deemed complete within 30 days after receipt by the
Agency unless the Agency provides written notification to the applicant of its
determination that the plan is incomplete. A proposed plan will be deemed
complete if it includes information addressing each of the applicable elements
required under this Section. A notification of incompleteness
shall specifically
identify the deficiencies with the plan identified by the Agency. After a plan has
been deemed complete, the Agency may request additional information as needed
to complete its review of the proposed plan.
c) Upon receipt of a notice of approval from the Agency, the vehicle scrappage
sponsor or manager who submitted the plan may proceed to implement it pursuant
to the schedule specified in the plan.
d) Upon receipt of a notice of disapproval from the Agency, the person who
submitted the plan may request that the Board review the Agency's determination.
Such review will be filed pursuant to 35 Ill. Adm. Code 105.
e) Any plan that identifies a scrap yard, recycling or disposal facility for use in the
applicable vehicle scrappage project or program that has violated any requirement
specified in this Part may be disapproved by the Agency. The Agency will notify
the vehicle scrappage plan applicant in writing of this deficiency with the plan
and afford the applicant a reasonable period to identify another scrap yard,
recycling or disposal facility to use for its vehicle scrappage activities prior to
disapproving the plan.
Section 207.608 Notice of Commencement of Vehicle Scrappage Activities
The vehicle scrappage manager or sponsor must submit written notification to the Agency at
least 14 days prior to collecting vehicles for the project or program, indicating the date and
location of
vehicle collection activities.
Section 207.610 Supplemental Notices Pursuant to Approved Vehicle Scrappage Plans
A vehicle scrappage plan may be renewed if the vehicle scrappage sponsor or manager submits
to the Agency a written supplemental notice of his or her intent to conduct more vehicle
scrappage activities at least 60 days in advance of the intended date for notification to owners of
vehicles of the opportunity to sell his or her vehicles. The supplemental notice shall reference
the date and number of the already approved plan and shall update the dates and any changes in
collection locations. If any deviation is planned from the terms and conditions of the approved
plan, other than dates or collection locations, a new proposed plan must be submitted to the
Agency, which shall be reviewed in the same manner and time frames provided in Section
207.606 of this Subpart.
Section 207.612 Plans for Agency Sponsored Projects or Programs
Notwithstanding the requirements in this Subpart, if the Agency sponsors a vehicle scrappage
project or program, it shall develop a vehicle scrappage plan that meets the requirements of
Section 207.602 of this Subpart and provide public notice of its proposed plan, as specified in
Section 207.604 of this Subpart.
SUBPART G: VEHICLE SCRAPPAGE SPONSOR AND MANAGER
ELIGIBILITY, TRAINING AND APPLICATION PROCEDURE
Section 207.700 Qualifications for Vehicle Scrappage Managers
a) No person or entity may conduct a vehicle scrappage project or program without
participation of a vehicle scrappage manager who meets the requirements of this
Section supervising vehicle scrappage activities.
b)
Any natural person
may qualify to be a vehicle scrappage manager if he or she
meets the following criteria:
1) Is at least eighteen years old;
2) Is an American citizen or legal alien; and
3) Has never been convicted of or had a final judgment entered against him
or her in any State or federal court for a violation of State or federal air
pollution laws or regulations, for fraud or for felony theft.
c) Each natural person who wishes to become a vehicle
scrappage manager must
successfully complete the training course offered by the Agency.
1) The Agency will offer the training program annually, based on need. The
Agency will provide advance public notice of the time, date and location
for each training course.
2) The curriculum
for the Agency training course will include the following
subjects:
A) The development of acceptable vehicle scrappage plans;
B) Methods for CER calculations;
C) Procedures for modeling and measurement of emissions;
D) Collector vehicle and vehicle parts rebuilder provisions;
E) Proper vehicle disassembly and recycling of vehicle parts; and
F) Methods for proper recycling and/or disposal of residual materials
and wastes derived from the retirement of vehicles.
3) For the applicant to be authorized to manage a vehicle scrappage program,
he or she must pass the examination administered by the Agency at the
conclusion of each Agency training course, which will test each
applicant's knowledge of the material covered in the training course.
4) If an applicant fails the Agency-administered examination specified in
subsection (c)(3) of this Section on the first attempt, he or she shall have
the opportunity to take and pass the examination one additional time. If an
applicant fails the Agency-administered examination on the second
attempt, he or she may reapply for approval to manage a vehicle scrappage
program, subject to the same requirements as a first time applicant.
5) The Agency will offer the examination biannually, if needed. When an
Agency-administered examination is to be offered at a different time than
immediately following the Agency training course, the Agency will
provide advance public notice of the time, date and location for the
examination.
d) Prior to conducting any vehicle scrappage activities, each natural person who
wishes to be a vehicle scrappage manager must submit an application for the
Agency's approval which demonstrates that he or she satisfies all of the
qualifications specified in subsection (b) of this Section. Applicants may indicate
that they intend to satisfy the requirements specified in subsection (c) of this
Section by attending the next Agency training course and taking the examination,
if applicable, at that time.
e) The Agency will approve or disapprove a vehicle scrappage manager application
in writing within 30 calendar days after the Agency's receipt of an application or
at the conclusion of the Agency training course the applicant is scheduled to
attend, whichever occurs later. Approval will indicate if the applicant is
authorized to manage both vehicle scrappage projects and programs or only
vehicle scrappage projects.
f) Upon receipt of a notice of approval from the Agency,
the applicant is considered
a vehicle scrappage manager and may conduct a vehicle scrappage project or, if
approved, a vehicle scrappage program in accordance with this Part. Only an
approved vehicle scrappage manager may be identified as the vehicle scrappage
manager in any proposed vehicle scrappage plan.
g) Each natural person submitting an application pursuant to this Subpart shall sign
and date the following statement as part of his or her application:
I certify that I satisfy all of the qualification requirements for a vehicle
scrappage manager and that the information submitted in this application
is, to the best of my knowledge and belief, true, accurate and complete. I
am aware that I may be subject to enforcement under the Environmental
Protection Act and may be disqualified from conducting vehicle scrappage
activities in the State of Illinois pursuant to 35 Ill. Adm. Code 207 if any
information submitted in this application is determined to be false or
misleading.
h) To retain authorization to be a vehicle scrappage manager of a vehicle scrappage
program, each person approved to manage a vehicle scrappage program shall
submit a renewal application to the Agency every three years on or before the date
on which he or she received initial approval, and shall take a refresher training
course at the next available course offered.
i) In the event a vehicle scrappage manager unexpectedly leaves that position, the
vehicle scrappage sponsor may submit the application specified in subsection (d)
of this Section requesting permission from the Agency to allow the substitution of
a new manager for up to one year, provided that the candidate for substitution
meets the qualifications contained in subsection (b) of this Section and will fulfill
the remaining requirements of this Section as soon as practicable, but in any
event, no later than one year from the date approval of the substitution is
requested.
j) Notwithstanding the requirements in this Section, if the Agency sponsors a
vehicle scrappage project or program, it may obtain the services of a vehicle
scrappage manager or designate an employee of the Agency to serve in this
capacity. To qualify to manage an Agency sponsored vehicle scrappage project
or program, an Agency employee must complete the training course specified in
subsection (c)(2) of this Section.
Section 207.702 Financial Responsibility of Vehicle Scrappage Sponsors
Any person or entity may qualify
to be a vehicle scrappage sponsor if it can demonstrate to the
Agency that it has the financial resources necessary to fully complete a project or program in
accordance with this Part, including, but not limited to, payment for all vehicles proposed to be
retired, testing and analytical costs associated with the proposed project or program, and proper
recycling or disposal of all residual materials and wastes generated from the scrappage process,
in accordance with this Part. The sufficiency of the financial resources of a potential sponsor
must be demonstrated upon submittal of a proposed vehicle scrappage plan in accordance with
Subpart F of this Part. A corporate entity may provide the Agency with its most recent Section
10(k) filing submitted to the U.S. Securities and Exchange Commission in order to attempt to
demonstrate financial resources sufficient to conduct and complete a scrappage project or
program. Corporations for which a Section 10(k) filing is not required and other entities or
persons may provide the Agency with audited financial statements or other evidence of a level of
capital sufficient to conduct and complete the applicable vehicle scrappage project or program,
taking into account the proposed number of vehicles proposed for scrappage. If the Agency
sponsors a vehicle scrappage project or program, it is not required to make the demonstration
specified in this Section.
SUBPART H: VEHICLE SCRAPPAGE PLAN FEES
Section 207.800 Vehicle Scrappage Plan and Plan Renewal Fees
Each vehicle scrappage sponsor or manager submitting a proposed vehicle scrappage plan or
supplemental notice renewal pursuant to Subpart D of this Part shall submit to the Agency the
following fee amount:
a) If the plan is for a vehicle scrappage project, a fee of $250 shall be submitted with
the proposed vehicle scrappage plan and with any supplemental notification;
b)
If the plan is for a
vehicle scrappage program, an initial fee of $250 shall be
submitted with the proposed vehicle scrappage plan and an annual fee of $175
shall be submitted for each 12 month period or portion thereof it is in operation
thereafter. The annual fee shall be submitted to the Agency each year by the date
the applicable program was approved; or
c) If the plan requests that the Agency provide notification to owners of vehicles for
retirement as provided in Section 207.308(a) of this Part, the fees listed in
subsection (a) or (b) of this Section shall be increased by $50 for the initial fee
and $25 for the annual fee, if applicable.
Section 207.802 Form of Payment
a) All fees required under this
Subpart shall be paid by check or money order
payable to “Treasurer, State of Illinois,” for deposit in the Environmental
Protection Permit and Inspection Fund.
b) Payment shall identify the associated vehicle scrappage sponsor, vehicle
scrappage manager and proposed vehicle scrappage plan, and be sent to:
Illinois Environmental Protection Agency
Fiscal Services Center
P.O. Box 19276
Springfield, Illinois 62794-9276
Section 207.804 Non-Refundability of Fees and Credits for Overpayments
a) Any fees received by the Agency pursuant to this Subpart in a correct amount, as
specified in Section 207.800 of this Subpart, shall be not be refunded at any time
or for any reason, either in part or in full.
b) In the event that the vehicle scrappage sponsor or manager submits payment in an
incorrect amount that results in overpayment, the Agency will return the overpaid
amount within 90 days after discovering the overpayment.
Section 207.806 Fee Exemption for Agency Sponsored Vehicle Scrappage Projects or
Programs
In the event the Agency sponsors a vehicle scrappage project or program, it shall not be subject
to fees specified in this Subpart.
SUBPART I: ENFORCEMENT AND PENALTIES
Section 207.900 Enforcement
Any person or entity that violates any requirement of this Part shall be subject to enforcement as
provided in Title XII of the Environmental Protection Act [415 ILCS 5/42-45].
Section 207.902 Agency Right of Inspection
The Agency shall be entitled to inspect any location used for any activity conducted pursuant to
any approved vehicle scrappage plan in accordance with Section 4 of the Environmental
Protection Act [415 ILCS 5/4].
Section 207.904 Agency Right to Revoke Approval of Plan
If any authorized representative of the Agency determines that any vehicle scrappage project or
program is not being conducted in accordance with the applicable vehicle scrappage plan or this
Part, the Agency may revoke its approval of the plan.