ILLINOIS POLLUTION CONTROL BOARD
    March
    23,
    1989
    CATTY CORPORATION,
    )
    Petitioner,
    v.
    )
    PCB 88—169
    ILLINOIS ENVIRONMENTAL
    PROTECTION AGENCY,
    )
    Respondent.
    ERIC
    E. BOYD,
    OF SIDLEY
    & AUSTIN, APPEARED ON BEHALF OF
    PETITIONER;
    JOSEPH
    R.
    PODLEWSKL,
    JR.,
    ILLINOIS ENVIRONMENTAL PROTECTION
    AGENCY,
    APPEARED ON BEHALF OF RESPONDENT.
    OPINION AND ORDER OF THE BOARD
    (by J. Marlin):
    This matter comes before
    the Board upon
    a request
    for
    variance filed on October
    20, 1988
    by the Catty Corporation
    (~Catty11)
    Catty requests variance from the Board’s regulations
    governing emissions from flexographic and rotogravure printing
    •operations under
    35
    Ill. Adm. Code 215.245(a) until December 31,
    1988.
    On December
    27,
    1988,
    the Illinois Environmental Protection
    Agency
    (“Agency~’) filed
    a recommendation that the requested
    relief be granted subject
    to certain conditions.
    Hearing was
    held
    on January 17,
    1989;
    no members of the public attended.
    BACKGROUND
    Catty performs flexographic and rotogravure printing at
    its
    plant located
    in Huntley, McHenry County, where
    it prints
    patterns and labels on
    foil,
    cellophane and paper wrappers and
    packaging for merchandise.
    The plant operates six rotogravure
    and two flexographic printing pressess which use inks containing
    volatile organic material
    (“VOM”).
    According to the Agency,
    Catty’s annual VOM emissions
    in tons per year
    (“TPY”)
    for
    the
    last three years were:
    1986—143.5 TPY;
    1987—95.6
    TPY; and
    1988—
    120.0 TPY (projected).
    (Agency
    flec.
    at
    2;
    P.
    at
    11).
    Catty’s
    testimony
    at hearing verifies these figures except that
    it
    states
    VOM emissions of approximately 153 TPY
    in 1987 and updates
    the
    actual VOM emissions
    for 1988
    as 120.7 TPY.
    (R.
    at
    13)
    This
    97—183

    —2—
    discrepancy between the Agency’s and Catty’s 1987 figures
    is not
    addressed
    in the record.
    Catty emits
    less than 1,000
    tons of VOM yearly and was
    exempt from the Board’s emission limitations for rotogravure and
    flexographic printing operations,
    until November
    9,
    1987.
    (35
    Ill. Adm. Code 215.401,
    402).
    When the Board amended
    its
    regulations governing
    VONI emissions
    from Elexographic and
    rotogravure printing
    operations,
    the amount of VOM emissions
    triggering
    the exemption from the requirements
    of Section 215.401
    for sources
    in ozone non—attainment areas decreased from 1,000
    TPY to 100 TPY.
    (In re: Proposed Amendments to
    35 Ill.
    Adrn.
    Code
    215:
    Flexographic and Rotogravure Printing,
    R85—21,
    Docket B;
    35
    Ill.
    Adrn.
    Code 215.245).
    Affected facilities were
    required to be
    in compliance by December
    31,
    1987.
    On April
    27,
    1988, Catty was issued
    a permit by the Agency
    for its printing and laminating presses until April
    21,
    1993.
    Pursuant
    to Section 215.245, Catty’s permit was issued subject to
    the condition that VOM emissions from Catty’s facility would not
    exceed
    100 TPY
    in the absence
    of air pollution control equipment.
    (P.
    at Attach.
    “An).
    Section 215.245(a)
    states
    in pertinent
    part:
    The
    limitations
    of
    Subpart
    P
    shall
    apply
    unless
    the
    facility’s
    aggregate
    uncontrolled
    rotogravure and/or flexographic printing press
    emissions
    of
    volatile
    organic
    material
    are
    limited by operating permit conditions
    to 90.7
    Mg
    (100
    tons)
    per year
    or
    less
    in
    the absence
    of
    air
    pollution
    control
    equipment
    or
    whose
    actual
    emissions
    in
    the
    absence
    of
    air
    pollution control equipment would
    be less than
    or
    equal
    to
    90.7
    Mg
    (100
    tons)
    per
    year when
    averaged
    over
    the
    preceding
    three
    calendar
    years.
    35
    Ill.
    Adm. Code 215.245(a).
    The issuance
    of
    a permit with
    a
    special condition limiting Catty
    to 100 TPY of VOM emissions
    eliminated the need to demonstrate average VOM emissions of 100
    TPY or
    less over the last three years.
    Since Catty’s total
    VOM
    emissions were 84.9 tons as
    of September
    23,
    1988,
    it anticipated
    that it would exceed
    its VOM emission limitation of
    100 TPY
    in
    1988 and
    filed
    a petition on October
    20,
    1988 requesting this
    variance until December 31,
    1988.
    (P.
    ~it
    par.
    4).
    In
    its petition, Catty states that
    it has been investigating
    substitute
    inks,
    containing
    lower VOM,
    for approximately two
    years.
    (P.
    at par.
    6).
    As
    of January
    12,
    1989, CaLty has spent
    $43,126.29
    for 1988 on research and development activity in
    reducing VOM emissions.
    (P.
    at
    9).
    97—184

    —3—
    Catty has been recently converting
    its new customers to
    water—based inks.
    Catty’s second largest customer
    is “virtually
    all water—based” and
    it has converted its third and fourth
    largest customers
    to water—based.
    (P.
    at
    19,
    20).
    Catty is
    currently working
    on
    a water—based
    ink
    for its largest customer
    and was planning test runs in January of 1989 for
    a water—based
    ink
    to be used
    in an item for this customer.
    (P.
    at
    17).
    HARDSHIP AND ENVIRONMENTAL IMPACT
    In addressing
    the matter
    of hardship,
    the Agency relies on
    Catty’s statement that “immediate compliance would mean a total
    plant shutdown which would result
    in
    the loss of
    40 jobs.”
    (Agency Rec.
    at
    6).
    Catty states
    in
    its Petition that to achieve
    immediate compliance with Section
    215.245
    by installing
    a
    capture
    and control system would
    impose “extreme and unnecessary costs
    on
    Catty”.
    (P.
    at par.
    8).
    Catty also stated at
    the hearing
    its
    concerns
    of losing
    its largest customer
    which would cause the
    plant
    to shut down.
    (P.
    at 16).
    The
    Agency
    states
    in
    its
    Recommendation
    what
    regulations
    Catty will
    be required to meet
    if
    it
    is
    no longer exempt under
    Section 215.245:
    If
    Catty
    cannot
    keep VOM emissions at
    100 TPY
    or
    less,
    it
    will
    be
    required
    to
    meet
    the
    substantive requirements of
    Section 215.401:
    a.
    Under
    Section
    215.401(a)
    the
    inks would
    have
    to
    be
    reformulated
    so
    that the volatile
    fraction
    of
    the
    ink
    is
    either
    a)
    25
    or
    less
    by
    volume
    organic
    solvent
    and
    75
    or
    more
    by
    volume
    water
    or
    b)
    as
    applied
    to
    the
    substrate,
    less water,
    40
    or
    less by volume.
    b.
    Under Section 215.401(c)
    and
    (d)
    a control
    system
    which
    provides
    at
    least
    a
    90
    destruction
    efficiency
    would
    have
    to
    be
    installed
    in
    conjunction with capture
    systems
    which
    will
    afford
    a
    65
    overall
    reduction
    in
    VOM emissions from Catty’s rotogravure presses
    and
    a
    60
    overall
    reduction
    in VOM
    emissions
    from Catty’s flexographic presses.
    (Agency Rec.
    at 4).
    The Agency states
    that refusal
    to grant this variance would
    impose an arbitrary ~r unreasonable hardship upon Catty.
    (Agency
    Rec.
    at.
    6).
    Catty
    is
    located
    in Mcflenry County.
    Although McHenry County
    is an attainment county for ozone,
    it
    is
    situated
    in
    a major
    urbanized area
    (Chicago Metropolitan area), which
    is non—
    97—185

    —4—
    attainment
    for ozone
    and
    is therefore included
    in the Board’s
    regulations from which Catty
    is requesting this variance.
    (See
    P85—21).
    According
    to the Agency’s Recommendation,
    the ozone
    monitor located closest to Catty is
    in Cary,
    approximately twelve
    miles northeast of Catty.
    In 1987 there was one day when the
    monitor recorded an ozone reading above 0.12 ppm.
    (Agency Rec.
    at
    5).
    Regarding compliance
    with
    federal
    law,
    the Agency states
    that:
    Because
    Section
    215.245
    has
    not
    yet
    been
    approved
    by
    the
    United
    States
    Environmental
    Protection
    Agency
    (“USEPA”)
    as
    part
    of
    the
    State
    Implementation
    Plan
    (“SIP”)
    to
    attain
    and maintain primary and secondary
    air quality
    standards,
    the
    Agency
    does
    not
    believe
    that
    the
    variance
    requested,
    if
    granted,
    needs
    to
    be submitted
    to the USEPA
    as
    a revision
    to the
    Illinois
    SIP.
    Since
    the
    variance
    petition
    submitted
    by Catty Corporation is only
    to last
    until
    December
    31,
    1988,
    and
    Section
    215.245
    will not be approved by the USEPA by then,
    the
    Agency
    feels
    it
    is
    not
    necessary
    to
    obtain
    approval of
    the variance
    as
    a
    revision
    to the
    SIP by USEPA.
    (Agency Rec.
    at 5).*
    CONCLUSION
    Based on the
    record before
    it, including environmental
    impact,
    the Board finds that Catty has presented adequate proof
    that compliance with Section
    215.245 would impose an arbitrary or
    unreasonable hardship upon Catty.
    In
    so
    finding,
    the
    Board takes
    special note of Catty’s assertions that
    it will
    be
    in compliance
    in 1989 and subsequent years.
    For these reasons,
    the Board will
    grant
    the requested relief,
    subject
    to conditions.
    The Board notes
    that two conditions contained
    in
    the
    Agency’s recommendation have been omitted from the Board’s Order
    following
    this Opinion.
    Catty will not
    be
    required by the Board
    to submit
    a
    final report to the Agency;
    it
    is after
    the term of
    the variance has ended and also the Board considers
    this reguest
    by the Agency
    for
    a final report to be entirely reasonable and
    may
    be required pursuant to
    35 Ill.
    Adm.
    Code Section 215.404
    without
    a Board Order.
    *
    The Board takes Administrative Notice
    that USEPA took
    final
    rulemaking action to disapprove
    the Chicago portion of the
    Illinois SIP for ozone, effective November
    16,
    1988.
    (53
    Fed.
    Peg.
    200,
    40415 (1988)).
    97—186

    —5—
    Secondly,
    the Agency’s recommended condition of
    prospectively requiring Catty
    to
    be
    in compliance in
    1989 or
    impose
    a production cap
    is surplusage.
    The Board’s regulations
    require Catty
    to be
    in compliance in 1989 and subsequent years,
    absent a variance.
    The Board notes that compliance with the
    Agency’s permit limiting emissions to
    100 TPY is an alternative
    method
    to the three year demonstration required
    in Section
    215.245.
    Also,
    this grant
    of variance
    is not an appropriate
    vehicle
    for imposing
    a production cap remedy for
    a potential
    future violation.
    Issues
    as
    to whether
    a violation has occurred
    and
    if
    so,
    what
    is an appropriate remedy must
    be resolved on
    their merits
    in another proceeding.
    In
    so saying,
    the Board
    cautions Catty
    that it gave
    it the benefit of
    the doubt
    in this
    case regarding the timing of its projections of non—compliance
    and its petition for variance
    in the last quarter
    of the year.
    This Opinion
    constitutes
    the Board’s findings of fact and
    conclusions
    of law
    in this matter.
    ORDER
    1.
    Catty Corporation
    is hereby granted variance for the calendar
    year 1988 from
    35
    Ill.
    Adm. Code 215.245, subject to the
    following conditions:
    A.
    This variance terminates on December
    31,
    1988.
    B.
    No new high solvent coatings shall
    be introduced during
    the time of
    the variance.
    2.
    Within forty—five
    (45) days after
    the date of the Board Order
    the Petitioner
    shall execute and send to:
    Mr. Joseph R.
    Podlewski,
    Jr.
    Enforcement Attorney
    Illinois Environmental Protection Agency
    1701 South First Avenue, Suite
    600
    Maywood, Illinois
    60153
    a certification
    of
    its acceptance
    of this variance by which
    it agrees to be bound by
    its terms and conditions.
    This
    forty—five
    (45) day period shall be held
    in abeyance
    for any period which this matter
    is appealed.
    Failure
    to execute
    and forward
    the Certificate within 45 days renders
    this variance
    void and of no force and effect as
    a shield against enforcement
    of rules
    from which variance was granted.
    The form of the
    certification shall
    be
    as
    follows:
    97—187

    —6—
    CERTIFICATION
    I,
    (We), ______________________________, having read the
    Order of the Illinois Pollution Control Board,
    in PCB 88—169,
    dated March 23,
    1989, understand and accept the said Order,
    realizing that such acceptance renders all terms and conditions
    thereto binding
    and enforceable.
    Petitioner
    By:
    Authorized Agent
    Title
    Date
    Section
    41 of the Environmental Protection Act,
    Ill. Rev.
    Stat.
    1987 ch.
    ill 1/2 par.
    1041,
    provides for
    appeal of Final
    Orders
    of the Board within
    35 days.
    The Rules of the Supreme
    Court
    of Illinois establish filing requirements.
    IT
    IS SO ORDERED.
    I, Dorothy M. Gunn, Clerk of the Illinois Pollution Control
    Board,
    hereby certify that the ~ove
    Opinion and Order was
    adopted on the
    ‘~~‘-‘~
    day of
    ~
    ,
    1989, by
    a vote
    of
    7-~
    Dorothy M.
    n, Clerk
    Illinois
    Poj4ution
    Control
    Board
    97—188

    Back to top