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2

ORIGINAL

SOUTHERN ILLINOIS POWER COOPERATIVE

Low Sulfur Dioxide Emission Coal Fueled Device

PROPERTY IDENTIFICATION NUMBER

10-26-200-002

NOTICE

TO:

Dorothy Gunn, Clerk

Illinois Pollution Control Board

State ofIllinois

Center

100W. Randolph Street, Suite

11-500

Chicago, illinois 60601

Steve Santarelli

Illinois

Department ofRevenue

101

West Jefferson

P.O. Box

19033

Springfield, Illinois

62794

RECE~VED

CLERK’S OFFJCE

DEC

3 02004

Richard C. Myott

Southern illinois Power Coop

11543

Lake ofEgypt Road

Marion, Illinois 62959-8500

PLEASE TAKE NOTICE that I have today filed with the Office of the Pollution

Control Board the APPEARANCE and RECOMMENDATION ofthe Illinois

Environmental Protection Agency, a copy ofwhich

is herewith sehied upon the applicant

and a representative ofthe Illinois Department ofRevenue.

Date:

December 29, 2004

Respectfully submitted by,

Robb H. Layman

Special Assistant

Attorney General

ILLINOIS ENVWONMENTAL PROTECTION AGENCY

1021 North Grand Avenue East

P.O. Box 19276

Springfield,

IL 62794-9276

Telephone: 217/782-5544

Facsimile:

217/782-9807

1

2—30—24:

I 0:35441

OF THE STATE OF ILLINOIS

Pollution Control Board

PCBU~4~

)

(Tax Certification)

)

)

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I 2—30—04;

10:35AM

ORIGINAL

RECE~VED

3

CLERK’S OFFICE

BEFORE THE ILLINOIS

POLLUTION CONTROL

BOARD

DEC 302004

OF

THE

STATE OF ILLINOIS

STATE OF ILLINOIS

Pollution Control Board

SOUTHERN ILLINOIS

POWER COOPERATIVE

)

Low Sulfur Dioxide Emission Coal Fueled Device

)

)

PCBO4~

•

)

(Tax Certification)

PROPERTY IDENTIFICATION NUMBER

)

I0~26-200-002

)

APPEARANCE

I

hereby

file

my

Appearance

in

this

proceeding

on

behalf

of

the

Illinois

Environmental Protection Agency.

•

Respectfully submitted by,

Th6ff

Robb H. Layman

Special Assistant Attorney General

Date:

December 29, 2004

ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

1021 North Grand Avenue East

P.O. Box 19276

-

-

Springfield, Illinois 62794-9276

Telephone: 217/782-5544

Facsimile:

217/782-9807

---

12—30—1:4;

10:

35441

Ed4

4

•

RECEWED:

•

fl

L

•

CLERK’S OFFICE

BEFORE THE ILLINOIS

POLLUTION CONTROL

BOARD

DEC 30

2004

OF THE STATE OF ILLINOIS

STATE OF

ILLINOIS

•

Pollution Control

Board

SOUTHERN ILLiNOIS POWER

COOPERATIVE

)

Low Sulfur Dioxide Emission Coal Fueled Device

)

~

(9

•

)

PCB9~/

)

(Tax Certification)

•

PROPERTY IDENTIFICATION NUMBER

)

10-26-200-002

)

RECOMMENDATION

NOW COMES the ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

(“Illinois EPA”), through its

attorneys, and pursuant to 35 Ill. Adm.

Code 125.204of the

ILLINOIS POLUTION CONTROL BOARD’S (“Board”) procedural regulations,

files

the Illinois EPA’s Recommendation in the above-referenced request for tax certification

ofpollution control facilities.

In support thereof, the illinois

EPA states as follows:

1.

On September 30, 2004, the illinois EPA received a request and

supporting information from SOUTHERN ILLINOIS POWER COOPERATIVE

(“SLPC”) concerning the proposed tax certification ofcertain air emission sources and/or

equipment located at its powerplant in Williamson

County, Illinois.

A copy ofthe

relevant portions ofthe application is attached hereto. Exhibit

A.

The Illinois EPA also

received

a letter on October

25,

2004, from SIPC containing supplemental information

for

the application.

Exhibit

B.

2.

The applicant’s

address is

as follows:

•

Southern Illinois Power Cooperative

11543

Lake ofEgypt Road

Marion,

Illinois 62959-8500

-

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1

2—30—04

1

1

C1: 35AM

•

EC;#

5

3.

The subject matter ofthis request consists ofthe recognition of a new

circulating fluidized bed (“CFB”) boiler as a “low sulfur dioxide emission coal fueled

device” as defined by statute.

The CFB boiler does not require downstream flue gas

desulftirization because the sulfur dioxide is captured by limestone that is utilized as part

ofthe fluidized bed.

The equipment may therefore be considered a low sulfur dioxide

emission device as the CFB boiler will be used to convert locally available

coal in

a

manner that eliminates the need for any additional sulfur abatement measures otherwise

required under state or federal laws and regulations.

4.

Section 11-40 ofthe Property Tax Code,

35

ILCS 200/11-40 (2002),

defines “low sulfur dioxide emission coal fueled devices” as:

“any device used or intended for the purpose ofburning, combusting or

converting locally available coal in a manner which eliminates or

significantly reduces the need for additional sulfur abatement that would

otherwise be required under State or Federal air emission standards.”

The word “device” is also defined in the same provision to

include:

“all machinery, equipment, structures and all related apparatus, including

c~al

feeding equipment, ofa coal gasification facility designed to convert

•

locally available coal into a low sulfur gaseous fuel and to manage all

waste and by-product streams.”

5.

As with pollution control facilities, low sulfur dioxide emission coal

fueled devices are entitled to preferential tax treatment,

as provided by

35

ILCS 200/il-

35 (2002).

6.

Based on information in the application, it is the Illinois EPA’s

engineeringjudgment that the described project and/or equipment may be considered a

“low sulfur dioxide emission coal fueled device” in accordance with the statutory

definition and consistent with the Board’s regulations at 35

IlL

Adm. Code

125 .200.

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1

2—OO—04:0:3531A

EC:#

7.

Because the

CFB boiler identified in SIPC’s application satisfies the

aforementioned criteria, the Illinois EPA recommends

that the Board issue the applicant’s

requested tax certification.

Respectfully submitted by,

ILLINOIS ENVIRONMENTAL PROTECTION

AGENCY

Robb H. Layman

Special Assistant Attorney

General

DATED:

December 29, 2004

ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

1021

North Grand Avenue East

P.O. Box

19276

Springfield,

Illinois 62794-9276

Telephone: 217/782-5544

Facsimile:

217/782-9807

THIS FILING

IS

SUBMIITED

ON RECYCLED

PAPER

---

-

0 R

I G

1 N A L

~I~ED

DEC30

2004

CERTIFICATE

OF SERVICE

STATE OF

ILLINOIS

I hereby certify that on the

991h

day ofDecember, 2004,

1 did send, by

~

~0~~tr01

Board

Mail,

with postage thereon fullypaid and

deposited into the possession ofthe United

States Postal Service, one (1) original

and nine (9) copies ofthe following instruments

entitled

NOTICE, APPEARANCE

and

RECOMMENDATION

to:

Dorothy Gunn, Clerk

Illinois Pollution Control Board

100 West Randolph Street

Suite

11-500

Chicago, illinois

60601

and a true and correct copy ofthe same foregoing instruments, by First Class Mail with

postage thereon fully paid

and

deposited into the possession ofthe United States Postal

Service, to:

Steve Santarelli

Illinois Department of Revenue

101 West Jefferson

P.O. Box

19033

Springfield, Illinois

62794

This filing is submitted on recycled paper.

12—30—04;

-10:

SEAM

Richard

C. Myott

Southern Illinois Power Coop

11543

Lake ofEgypt Road

Marion, Illinois

62959-8500

By:

Robb H. Layman

Special Assistant Attorney General

TOTc~L

FD.07

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12—30—04;

-10:

SEAM

EC

PARTY’S NAME:

RECE~VED

ORIGINAL

FIRM/COMPANY’S NAME:

FACSIMILE NO.:

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(INCLUDING THiS

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WILL

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NOT________

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FOLLOW.

IF

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OF THE PAGES, PLEASE

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COMMENTS:

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ONLY FOR THE USE OF TIrE INDIVIDUAL

OR ENTITYTO WHICH IT

IS

ADDRESSED;

AND

MAY

CONTAIN

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IF THE

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POSTAL SERVICE. THANK

YOU.

-

IL

532

2624

-

ADM

214 Feb-99

DEC

302004

-

•

qTATEOFILLtNOIS

ILLINOIS

ENVIRONMENTAL

PROT ECTION AGEl~’~

iutjon

Control Board

DIVISION OF LEGAL COUNSEL

1021 NORTH

GRAND AVEI”ftTE

EAST, POST

OFFICE

BOX

19276

SPRINGFIELD, ILLINOIS 62794-9276

TELEPHONE (2 17)782.5544FACSIMILE (217)782-9807

DATE:

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