ILLINOIS POLLUTION CONTROL BOARD
February 23, 1989
IN THE MATTER OF:
)
ALLSTEEL,
INC. ADJUSTED RACT
)
AS—88-3
PETITION PURSUANT TO
)
35
ILL.
ADM.
CODE
215.
SUBPART
I.
)
PERCY
L.
ANGELO AND VINCENT
S.
OLESZKIEWICZ,
OF MAYER, BROWN
&
PLATT,
APPEARED ON BEHALF OF ALLSTEEL,
INC.
JAMES MORRIS APPEARED ON
BEHP.LSF OF THE ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY.
OPINION AND ORDER OF THE BOARD
(by
3.
Marlin):
This matter comes before the Board on an August
4,
1988
Petition filed
by Alisteel,
Inc.
(Alisteel) pursuant to
35
Ill.
Adm.
Code 215,
Subpart
I, Adjusted PACT Emissions Limitations.
On June
3,
1988, Alisteel filed
its Notice of Intent to file
a
Petition
for Adjusted PACT Emission Limitation.
Public Act 85—1321, which became effective August
31,
1988,
amends
Section 10 of the Environmental Protection Act
(Act) by
adding the following language:
Any
person
who
prior
to
June
8,
1988,
has
filed
a
timely Notice
of
Intent
to
Petition
for
an Adjusted RACT Emissions Limitation
and
who
subsequently
timely
files
a
completed
petition
for
an
adjusted
RACT
emissions
limitation
pursuant
to
35
Ill.
Adm.
Code,
Part
215,
Subpart
I,
shall
be subject
to
the
procedures
contained
in
Subpart
I
but
shall
be excluded
by operation
of
law from
35
Ill.
Adm.
Code,
Part
215, Subparts PP,
00 and RP,
including
the
applicable
definitions
in
35
Ill.
Adm.
Code,
Part 211.
Such persons
shall
instead
be
subject
to
a
separate
regulation
which
the Board
is hereby authorized
to adopt
pursuant
to
the
adjusted
PACT
emissions
limitation
procedure
in
35
Ill.
Adm.
Code,
Part
215,
Subpart
I.
In
its final
action on
the
petition,
the
Board
shall
create
a
separate
rule
which
establishes
Reasonably
Available
Control
Technology
(PACT)
for such
person.
The purpose
of
this procedure
is
to
create
separate
and
independent
regulations
for
purposes
of
SIP
submittal,
review,
and
approval by USEPA.
96—431
2
Section 215.260,
of Subpart
I, provides that the Notice of
Intent must be filed within 60 days after the effective date of
the Subpart and that
a Petition must be filed within 120 days
after the effective date of the Subpart.
Subpart
I became
effective on April
8,
1988.
Pursuant
to Section 101.105, the
computation of the time period begins with the first business day
following
“the day on which the act, event, or development
occurs.”
Given this computation method,
Alisteel’s Notice of
Intent and Petition were both timely filed.
As
a result,
the
provisions
of P.A.
85—1321 apply to Alisteel.
Public Act 85—1321 provides that the Board
is
“authorized
to
adopt pursuant
to the adjusted RACT emissions limitation
procedure
in 35
Ill.
Adm.
Code Part
215,
Subpart
I”
a “separate
regulation”
for persons who meet the specific
requirements set
forth by P.A.
85—1321.
As stated above, Allsteel meets those
requirements.
Subpart
I was promulgated by the Board
in Docket
P86—18 which
is commonly referred to as the Generic
Rule.
The
control
requirements of the Generic Rule
are provided
in Subparts
AA,
PP,
00,
and
PR of Part
215.
The Board adopted the Generic
Rule on April
7,
1988.
12 Ill.
Peg.
7284,
7311
(April
22,
1988).
However, persons who fall under
the applicability of P.A.
85—1321 are “excluded by operation of law”
from Subparts PP, 00
and PR.
Subpart
I of Part 215 was adopted by the Board pursuant
to
the authority of Section 28.1 of the Act.
When Subpart
I was
promulgated
,
that Section provided:
In
adopting
a
regulation
of
general
applicability,
the Board
may provide
for
the
subsequent
determination
of
an
adjusted
standard
for persons who
can
justify such
an
adjustment
consistent
with subsection
(a)
of
Section
27
of
the
Act.
The
regulation
of
general applicability shall specify the level
of
justification required
of
a
petitioner
to
qualify
for
an
adjusted
standard.
The rule-
making
provisions
of
the
Illinois
Administrative
Procedure
Act
in Title VII of
this
Act
shall
not apply
to
such
subsequent
determinations.
Ill.
Rev.
Stat.
1987,
ch.
1111/2,
par.
1028.1.
The Generic
Rule provided
a mechanism by which
the Board
could determine adjusted standards
for that rule.
Subpart
I of
1The Board notes
that Section 28.1 was amended
by P.A.
85—1048,
effective January
1,
1989.
96—4 32
3
the Generic Rule prescribed
this adjusted standard procedure.
Public Act 85—1321 excludes Alisteel from requirements
of the
Generic Rule
(Subparts
PP,
QQ,
and PR), yet it retains the
adjusted standard procedure
to be used for Alisteel.
Adjusted
standards are determined by Board Order
and are not subject
to
the rule—making requirements of the Illinois Administrative
Procedure Act
(APA).
Although P.A.
85—1321 uses the term
“regulation”,
it
is clear that the General Assembly has required
the Board
to utilize
the adjusted standard procedure of Subpart
I,
not the rulemaking procedure of the APA,
when adopting control
requirements
for the emission sources that are subject
to P.A.
85—1321.
These adjusted standards,
adopted by the Board, will
have similar
force and effect
as standards promulgated through
the rule—making process.
Therefore,
the Board’s role is to adopt
a PACT volatile
organic material
(VOM)
standard
for Allsteel, pursuant
to the
procedures
of Subpart
I.
This standard will
be considered
separate and independent from other Board determinations
for the
purposes of the State Implementation Plan
(SIP)
review by the
U.S.
Environemtnal Protection Agency
(U.S.
EPA).
Subpart
I puts the burden of proof upon
the petitioner,
in
this case, Allsteel.
The Illinois Environmental Protection
Agency (Agency)
filed
a Response
to Allsteel’s Petition on
September
22, 1988.
A hearing was held on October
6,
1988.
The
Mayor of the Village of Montgomery attended the hearing;
no other
members of the public were present.
Both Allsteel and the Agency
filed post—hearing comments on November
4,
1988.
Allsteel filed
Reply Comments on November
14,
1988.
The Agency filed no Reply
Comments.
Effectively, Section 215.263
requires Allsteel
to show that
an 81
reduction
in uncontrolled VOM emissions or
a limit
of 3.5
pounds per gallon
(lb/gal)
for coating materials
is not PACT for
Allsteel,
and that the emission levels proposed by Allsteel are
PACT
arid would not interfere
in the State’s plan for achieving
ambient air quality standards.
PACT
is defined by Section 211.122 as
“the lowest emission
limitation that an emission source
is capable of meeting by the
application of control technology
that
is reasonably available
considering technological and economic
feasibility”.
In its April
7,
1988 Opinion for P86—18,
the Board quotes
a
U.S.
EPA comment which expands further on
the concept of PACT.
In
evaluating
economic
feasibility
for
PACT,
the
Agency
(U.S.
EPA)
gives
significant
weight
to
cost—effectiveness.
However,
no
specific cost—effectiveness
threshold
exists
to
determine
PACT.
Numerous
other
factors,
(i.e.,
age
of
facility,
quantity
of
emissions,
nature
of
emissions,
severity
of
96—433
4
existing
air
quality
problems,
extent
of
controls
present,
comparability
to
standard
industry
practice
in
related
industries,
cross media
impacts,
economic
impacts, etc.)
must by considered
in establishing PACT.
In The Matter of: Organic
Material
Emission
Standards and Limitation:
Organic
Emission
Generic
Rule,
R86—l8,
(April
7,
1988).
slip op.
at
39.
The
facility at issue
in this matter
is Alisteel’s
manufacturing plant located
in
Montgomery,
Kane County.
The
facility manufactures office furniture and employs between 1600
and 1800 people.
Construction of the plant began
in 1957 and has
continued
over
time
in various stages.
According
to Allsteel,
it
paid over $1.6 million in state
and
local
taxes
in
1987.
(P.11—
12).
If Subpart PP of the Generic Rule were
to apply to Allsteel,
Allsteel would have
to control emissions
from two adhesive curing
ovens:
the panel
slab curing oven and the Number
2 desk top
curing
oven.
(P.11;
Ag. Response, p.1).
The control
requirements of Subpart PP would not apply
to emissions of curing
ovens
for furniture adhesive
if emissions were less than 10 tons
per year
(tpy).
With regard
to the panel slab curing
oven, the Agency takes
the position that the oven emits
20
to 30
of the estimated 37.5
tpy of VOM emission produced by the panel slab adhesive coating
operation.
(Ag.
Response, Attach
*5).
Using this assumption the
pan~lslab curing oven emissions
are calculated
at
7.5 to 11.25
tpy
.
Alisteel has estimated compliance control costs
for this
oven
to be $12,000 per ton of VOM removed.
(P.13).
The Agency
takes
the position that the current level of Allsteel’s panel
slab emissions
is PACT and that further controls are not
necessary.
(Ag. Response, p.1).
According
to Allsteel, the Number
2 curing oven of the desk
top line has an annual VOM emission rate of 11.2 tons.
Allsteel
further
asserts that the
actual emissions from this oven are less
than that figure,
since the 11.2 tpy value is computed from total
solvent usage
and some of the solvent
is disposed of
in wastes.
(P.17).
2 The Board
notes that the Agency gives an emission value of
13
tpy for the panel slab oven
in its post—hearing comments.
96—434
5
Alisteel contends that control of these emissions with an
afterburner system is technically infeasible and economically
unreasonable, even
if it were assumed to be technically
feasible.
The alternative options of installing an afterburner
interior and exterior
to the plant were investigated.
In both
scenarios,
the emissions
from the Number
2 desk top oven would
be
combined with
the emissions from
a smaller adjacent oven (which
would
not have been subject to Subpart PP)
to provide for control
on
a total of 15.7 tpy of VOM
(Ag. Response, p.1).
Allsteel cited
a number of difficulties with the possibility
of an
exterior afterburner.
The Number
2 desk top
is located
approximately 480 feet from
the closest exterior wall.
(P.20).
According
to Allsteel, the desk top line could
not be moved
without disrupting the assembly line production floor.
Allsteel
would house
the afterburner
in
a building to prevent access by
way of adjacent parking
lots as well
as
for aesthetic purposes.
Costs
for
an exterior afterburner, including extra
fans,
duct
work and
a building
to house
the unit were estimated by Allsteel
at $5,585 per ton of VOM removed.
This assumes
a
93
control of
15.7 tpy.
As for
an interior afterburner, Alisteel’s manager
of
facilities and plant engineering,
Dennis Ruetten,
stated that
“(sluch an installation
is simply infeasible as a matter of
safety as well
as maintenance
and operational considerations”.
Ruetten maintained that
there was
no room to install an
incinerator above
the curing oven since
the smallest available
incinerator
is
5 feet
2 inches
in diameter and there
is only an
available clearance of
4
feet
1
inch.
Reutten stated:
Even
if
space
were
available,
indoor
installation
would
obstruct
operator
sight
lines
necessary
to
supervise
and
avoid
problems
in
the
process,
interfere
with
lighting,
result
in
insufficient maintenance
access,
and
require
enclosure
for
safety
reasons.
(P.14).
Allsteel
estimates
the cost effectiveness of
an interior
incinerator
at $5,095 per ton of VOM removed.
At hearing,
the Agency supported Alisteel’s position that
its current levels
of emission are PACT.
The Agency pointed out
that the use of contr.ol devices on the type of ovens
at
issue
is
“not common practice and could pose additional unforeseen
risks
and costs”.
(P.36).
Allsteel contends that none of its
principal competitors have
to comply with such control
requirements
since they are located
in attainment
areas
for
ozone.
(P.18).
96—435
6
The Agency accepts Alisteel’s cost effectiveness values
as
being conservative, or
at the low end of a range.
The Agency
takes
the position that given such costs,
the relatively small
amount of emissions
involved and the absence of other justifying
factors, the costs to comply with reductions equivalent to that
which would have been imposed by Subpart PP are excessive.
Allsteel states that the average VOM content of the
adhesives it uses is 5.5 lb/gal.
(P.12).
The Agency accepts
Allsteel’s proposition that
it cannot
find non—VOM or lower VOM
solvent—based adhesives which would meet Alisteel’s
specifications.
The Agency states that Allsteel has lowered
the
VOM content of the panel slab adhesive
from 81
to 75.
(See Ag.
Response, Attach.
*5).
Alisteel takes the position that
it will
be unable
to further reduce VOM concentrations
in any significant
way, because adhesive characteristics are dependent on
the
viscosity which
is
in turn determined by solvent content.
The
desk top adhesives must meet
a strict product specification which
makes it even more unlikely
to find
a lower VOM adhesive
for that
line,
according
to Allsteel.
Additionally, Alisteel asserts that
it now applies adhesives by rollcoating,
rather
than spraying,
whenever possible.
According
to Allsteel,
this operational
change has
reduced the VOM emissions from the desk top line by
50
since
1986.
(P.17).
In short, Allsteel
and the Agency both conclude that
Allsteel’s current emissions are
PACT.
The emissions from the panel slab line curing oven and
the
Number
2 desk curing oven are relatively small.
Afterburner
controls for these emission sources would
be difficult
to
implement,
at best,
and relatively costly on
a cost—effectiveness
basis.
Given all
the circumstances of this particular situation,
the Board finds
that an 81
reduction of uncontrolled emissions
or
a
3.5 lb/gal VOM limit upon adhesives would not constitute
PACT for Allsteel’s Montgomery facility.
Instead, Allsteel’s
current emission levels constitute
PACT.
While Allsteel
is located
in Kane County which
is considered
a non—attainment area
for the air quality standard for ozone,
the
Board finds
that since Alisteel
is implementing PACT,
its
emissions will not interfere with
the State’s progress toward
achieving ambient air quality standards.
Both the Agency and Allsteel have substantively agreed
to
the proposed language
for the standard which will apply to
Allsteel.
The standard will provide
for
two different
limitations of VOM content
for adhesives.
A limit
of
5.20 lb/gal
will
regulate adhesives which are applied
as
a spray and 5.55
lb/gal of VOM will be
the limit
for adhesives which are applied
by roilcoating.
96—436
7
ORDER
Pursuant to the authority of Section
10 of
the Environmental
Protection Act
(Ill.
Rev.
Stat.
1987,
ch.
1111/2, par.
1010), as
amended by Public Act 85—1321, the Board hereby adopts the
following volatile organic material
(VOM)
emission standards
applicable to the Allsteel,
Inc.’s (Allsteel) office furniture
manufacturing facility located
in Montgomery,
Kane County.
Alisteel shall
not use adhesives which exceed 5.20 pounds per
gallon (lb/gal)
of VOM
for adhesives which are applied
as
a spray
~nd 5.55 lb/gal of VOM for adhesives which are applied
by
rollcoating.
Section 41 of the Environmental Protection Act,
Ill.
Rev.
Stat.
1985 ch.
111 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 abo~eOpinion and Order was
adopted on the
~.75/’—?dayof
______________,
1989, by
a vote
i2~
Dorothy M. ,~unn, Clerk
Illinois P&llution Control Board
96—437