RECEIVED
BEFORE
THE ILLiNOIS POLLUTION CONTROL BOARD
CLERK’S OFFICE
APR
122005
iN THE MATTER OF:
PETITION OF FORD MOTOR COMPANY
FOR AN ADJUSTED STANDARD FROM
35
ILL. ADM. CODE
§
2 18.586
TO:
Dorothy Gunn, Clerk
Illinois Pollution Control Board
James R. Thompson Center
100 W.
Randolph Street, Suite
11-500
Chicago, Illinois
60601
Jane Montgomery
Schiff Hardin & Waite
6600 Sears Tower
233
South Wacker Drive
Chicago, Illinois 60606-6473
Kathleen Bassi
Schiff Hardin & Waite
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606-6473
)
)
~
STATE OF ILLINOIS
Pollution Control Board
)
.-R~’O5-05
)
(Adjusted Standard —Air)
)
NOTICE
Bradley Halloran, Hearing Officer
Illinois
Pollution Control Board
James R. Thompson Center
100
W. Randolph
Street, Suite 11-500
Chicago, Illinois 60601
Kavita Pate!
Schiff Hardin & Waite
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606-6473
PLEASE TAKE NOTICE that I have filed with the Office ofthe Pollution Control
Board the RECOMMENDATIONOF THE ILLINOIS EPA on behalf
ofthe Illinois Environmental
Protection Agency, a copy ofwhich is herewith served upon you.
Date:
April
8, 2005
1021 North Grand Avenue East
P.O. Box
19276
Spring field; IL 62794-9276
217/782-5544
Charles E. Matoesian
Assistant Counsel
Division ofLegal Counsel
THIS FILING IS
SUBMITTED ON
RECYCLED PAPER
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY
BEFORE THE
CLERK~~ED
ILLINOIS POLLUTION
CONTROL BOARD
APR
12
2O~5
IN THE MATTER OF:
)
STATE OF ILLINOIS
)
Pollution Control
Board
PETITION OF FORD MOTOR COMPANY
)
AS
05-5
FOR AN ADJUSTED STANDARD FROM
)
Adjusted Standard
-
Air
35
ILL. ADM. CODE
§
218.586
)
RECOMMENDATION OF THE ILLINOIS EPA
The
Illinois
Environmental
Protection
Agency
(“Illinois
EPA”)
hereby. submits
its
recommendation in the above captioned matterpursuant to the regulation ofthe Pollution Control
Board (“Board”) at 35
Ill.
Adm.
Code
§104.416.
The Illinois
EPA recommends
that the Board
GRANT
the petition of Ford
Motor
Company (“FORD”) subject to
the terms
and
conditions
contained in this recommendation.
In support of this recommendation, the Illinois EPA
states as
follows:
BACKGROUND
Adjusted Standard Proceedings
1.
Ford filed its Petition for Adjusted Standard (“Petition”) on February 25,2005, pursuant to
Section 28.1 ofthe Environmental Protection Act (“Act”),
415
ILCS
5/28.1,
and the regulations of
the Board under 35
111.
Adm.
Code Part
104.
The Petition .requested.that the Board grant Ford an
adjusted standard from the Stage IIvapor recoveryrequirements (“StageII”), codified at35
111. Adm.
Code
§
218.586, and to require, in place of Stage II, that Ford comply with the standards ofthe
federal onboard refueling vapor recoveryregulations (“ORVR”) atFord’s Chicago Assembly Plant
(“Plant” or“Chicago Assembly”) covered under the applicable provisions of35 Ill. Adm. Code Part
218, Subpart Y, entitled “Gasoline Distribution.”
2.
On March
9,
2005,
Ford
filed a Proof of Publication
ofNotice with
the Board for this
Petition.
The notice appeared in the
DailySouthtown
on March 4, 2005.
Acceptance ofthis Proofof
Publication was granted by the hearing officer on March 17, 2005.
3.
Pursuant to
35
Ill. Adm. Code
§
104.416, the Illinois EPA is requiredto file a response to the
Petition within 45 days offiling.
4.
The Board promulgated 35 Ill. Adm. Code
§
218.586 to implement the Stagellrequirements
of
§
182(b)(3)(A) ofthe Clean AirAct (“CAA”) (42 U.S.C.
§
751 la(b)(3)(A)).
5.
Section
2 18.586 provides for Stage II vapor control of gasoline fueling operations.
The
regulation requires that affected dispensers ofgasoline install, use, and maintain a vapor collection
and control system certified by the California Air Resources
Board (“CARB”) for the fueling of
motor vehicles.
6.
As Ford states in
its Petition
“the
Board adopted Stage II vapor recovery at R91-30,
16
Ill.Reg.
13864,
effective August 24,
1992.
The United States Environmental Protection Agency
(“USEPA”) approvedIllinois’ Stage IIvapor recoveryrules aspart ofthe stateimplementation plan
(“SIP”) at
58 Fed. Reg. 3841
(January 12,
1993).”
(Pet. at 2).
7.
Section 202(a)(6) ofthe Clean Air Act (“CAA”)(42 U.S.C. Sec 752 1(a)(6)) furtherrequires
automobile manufacturers
to
install
ORVR in passenger vehicles.
Ford asserts that
the ORVR
system which it installs in its passenger vehicles complies with therequirementsofCAA
§
202(a)(6)
and related regulations published at 59 Fed.
Reg.
16262 (April 6, 994).
Id.
In CAA
§
202(a)(6),
Congress allowed for the eventual elimination of Stage II vapor recovery systems
once OR\TR
systems becamewidespread.
Ford asserts that its Assembly Plantassembles 100
ORYR-equipped
vehicles.
(Pet. at 4).
-
8.
Ford asserts that its StageII system is reaching the end ofits useful life and that to continue
2
complying with
§
2 18.586 would require it to install a new Stage II system.
~.
at 4.
9.
Based on the information and assertions in Ford’s Petition and Appendices and independent
investigation by the Illinois EPA technical staff, the Illinois EPA believes that compliance by Ford
with the present applicable requirements of 35
Ill.
Adm. Code §218.586 for Chicago Assembly’s
operations
is
not
economically reasonable.
The Illinois EPA
also
believes that
the ORVR may
present technical obstacles to full compliance with Stage II.
10.
The Stage II vacuum-assisted vapor recovery system is the most commonly used control
device in
regulated areas to capture gasoline vapors during vehicle refueling.
Typically,
vacuum-assisted vapor recovery systems have vapor holes on the tip ofthe nozzle spout.
The
vapor recovery process takes place once the activated nozzle is inserted in the vehicle’s flilpipe
apparatus, turning on the vacuum pump.
In most cases, the vacuum pump is located inside the
dispenser.
Its suctioning capability is
sufficientlystrong to allow the gasoline vapors from the
vehicle’s tank to be captured through the vapor holes situated at the tip ofthe nozzle.
The vapors
are eventuallypushed through the tubing inside the nozzle, then the coaxial hose, then the vapor
return line connecting to .the underground! aboveground storage tank, and finally into the storage
r
tank.
The “captured” vapors either move around to equilibrate the vapor space in the tank or
convert themselves into a liquid gasoline state.
11.
ORVR, which is are found inside the passenger vehicle, usually model year 1998 or
newer, serves a function similar to
Stage II, capturing gasoline vapors coming from the vehicle’s
tank.
ORVR is activated once the gasoline refueling mechanism is turned on.
It has a powerful
suctioning capability and, once activated, captures the gasoline vapors and re-routs them to the
vehicle’s tank.
3
12.
Investigations by the Illinois EPA technical staff suggest that Stage II vapor recovery
systems and ORVR are very effective in capturing gasoline vapors but can be incompatible if
operated simultaneously.
For example, when an ORVR-equipped vehicle is fueled at a gas
dispensing facility having an assisted type Stage II system, saturated gasoline vapors are not
available at the fill spout (nearly all vapors have already been captured by 0R\TR).
Consequently, fresh air is ingested at the nozzle/filipipe interface and returned to the
underground!aboveground storage tank resulting in increased evaporation and vapor pressure
growth.
Increased pressure in the tank causes excess vapors to be released into the atmosphere.
13.
Significantly, the CaliforniaAir Resources Board (“CARB”) recognizes the incompatibility
between ORVR and StageII and haspredicted that up to
35
efficiencyloss couldoccurin
assisted
type control
efficiency
based
on theoretical calculations.
CA.RB
is
currently working with the
manufacturers to make Stage II compatible with ORVR-equipped vehicles during refueling.
DESCRIPTION OF THE FACILITY
14.
The illinois EPAaccepts Ford’s descriptionofits assemblyplant and StageII operationsand
incorporates Section D ofthe current Petition by reference.
COMPLIANCE ALTERNATIVES
15.
The alternative to the proposed adjusted standard is to continue use ofthe existing Stage.il
vapor recovery system that Ford asserts will need to be replaced.
The Illinois EPA accepts Ford’s
calculations in Section F ofthe Petition that the cost ofremovingthe gasoline vapors not captured
by the ORVR
systems
integral to
the vehicles
being produced would be inordinately expensive.
Considering the cost of replacing
the
Stage II system
and
the
minimal
environmental impact
expected by
the
granting of the Petition
(see
below),
the
Illinois
EPA believes
Ford makes
a
4
reasonable request foran adjusted standard.
PROPOSED ADJUSTED
STANDARD
16.
Ford hasrequested an adjusted standard from theBoard’s air pollution control requirements
found
at
35
Ill.
Adm.
Code
§218.586
insofar
as that
regulation applies to
the
initial
fuel
fill
operations at Ford’s Plant.
The Illinois EPA recommends that the Board GRANT Ford’s Petition,
and requests that the Board adoptthe following language aspart ofan adjusted standard for Ford’s
initial fuel fill operations at the Plant.
1.
The Ford Motor Company Chicago Assembly Plant shall not be subject to the
requirements of 35 Ill.
Adm. Code
§
218.586,
so long as the vehicles fueled at the
Chicago Assembly Plant are equipped with onboard vapor recovery systems certified by
the USEPA to capture a minimum of
95
ofthe gasoline vapor displaced during fueling.
2.
Ford shall file an application to revise its CAAPP permit to reflect the presence of
ORVR in all assembled vehicles in lieu ofthe existing Stage II vapor recovery system.
3.
Ford shall operate in full compliance with all other applicable provisions
of35
Ill.
Adm.
Code Part 218, including but not limited to, Subpart Y.
4.
The relief granted in this proceeding shall be limited to the Stage II vapor recovery
system at the Plant as ofApril 8, 2004.
5.
Ford shall operate in full compliance with the Clean AirAct, Illinois Environmental
Protection Act and other applicable regulations not otherwise discussed herein;
6.
Ford shall continue to report all annual emissions to theillinois EPA commensurate
with the requirements of35
Ill. Adm. Code Part 254.
5
17.
Ford asserts that it already fuels only vehicles equipped with ORYR systems at the Plant
and so only minimal compliance will be required to
comply with the adjusted standard.
Pet.
at 6.
•
ENVIRONMENTAL
IMPACT
18.
The intent ofthe regulations promulgatedunder 35 Ill. Adm. Code Part 218
is to implement
ReasonablyAvailable Control Technology for Volatile Organic Material sources in the Chicago 1-
•
hour ozone non-attainment area (“Chicago NAA”).
19.
Ford is
in a unique position concerning the Stage II
-
ORVR issue.
The USEPA
has not
determined that
the
Chicago
NAA
has achieved widespread
use of ORYR.
Ford,
however,
assembles solely ORVR equipped vehicles.
Accordingly, it
is
“ahead ofthe curve” concerning
ORVR penetration ofthe market.
Ford cites several instances in its Petition where the USEPA has
allowed individual sites to
remove Stage II vapor recovery systems where solely ORYR-equipped
vehicles are operated at the site. j~.at 9.
20.
Ford maintains, and the Illinois EPA accepts, that consistent, 100
use ofORVR initial fuel
fill operations will not
have a negative impact on air quality, despite the removal ofthe
Stage II
system.
~.
at 7.
Ford asserts that few gasoline vapors would actuallybe “captured” by the Stage II
system afteruseofthe ORVR system.
~.
Mostofwhat is captured, Ford asserts, would be from the
natural gas flare used to power the Stage II system itself.
Id. at 7
-
8.
STANDARD
OF
REVIEW
21.
Section 28.1 ofthe Act (415 ILCS
5/28.1)
states thatthe Board maygrant individual adjusted
standards
from rules ofgeneral applicability whenever the Board determines, that:
(1)
Factors relating to that petitionerare substantially and sufficiently different
from the factorsrelied upon by the Board in adopting the general regulations
6
applicable to that petitioner;
(2)
The existence ofthose factorsjustifies an adjusted standard;
•
(3)
The requested standard will not result
in
environmental or health
effects
substantiallyand sufficientlymore adversethan the effects consideredby the
Board in adopting the rule ofgeneral
applicability; and
(4)
The adjusted standard is consistent with any applicable
federal law.
If a rule ofgeneral applicability doesnot contain the level ofjustification a petitionermust
meet to obtain an adjusted standard, the requirements ofSection 28.1(c) ofthe Act apply.
22.
The regulation ofgeneral applicability from which Ford seeks an adjusted standard, 35 Ill.
Adm.
Code
§218.586,
does not specif~,’a level ofjustification that Ford must satisf~’
to
obtain an
adjusted standard.
Therefore, Ford must satisf~’
the level ofjustification set forth in 35
Ill. Adm.
Code
§
104.426
which implements the 35 ILCS
5/28.1(c).
23.
As recognizedin the Board’s Order datedMarch 17,2005, Ford, in its filingswith theBoard,
has not directly addressed its
burden of proof concerning justification for its proposed adjusted
standardin this proceeding.
However, the Illinois EPA believes that the requisitejustification exists
and that Ford can establish its burden.
Ford has reached the point anticipated by the USEPA in
§
202(a)(6) ofthe CAA.
All vehicles assembled at the Chicago Plant are ORVR equipped.
Section
218.586 was writtenwhen fewvehicles on the road were .ORYR. equipped.
More importantly, as a
vehicle assembly plant, FORD
“controls” the vehicles at the facility and can guarantee that all are.
ORVR equipped.
Because ORYR serves the same function as Stage II, no environmental orhealth
effects
would
occur
which
are
“substantially
and
sufficiently more
adverse
than
the
effects
considered by
the
Board
in
adopting
the
rule of general
applicability.”
35
III.
Adm.
Code
§
1 04.426(a)(3).
In fact, the environmental effect will be negligible.
7
CONSISTENCY WITH FEDERAL LAW
24.
The Board may grant the proposed adjusted
standard consistent with
federal
law
under
Section
110
of the CAA,
42
U.S.C.
§7410,
which
grants
the individual states the
authority to
promulgate a plan forthe implementation, maintenance, and enforcement ofair quality standards,
subject to approval by USEPA.
Pursuant to federal law,. states also have the authority to revise such
a plan, subject to USEPA approval. By followingits adjusted standardprocedure with respectto the
Board’s federally authorized and approved air emission regulations, the Board
is exercising the
authority granted to the statesthrough Section
110 ofthe CAA. Ifthe requestedadjusted standardis
adopted by the Board, Illinois EPAhasthe authority andwill submit theadjusted standardto USEPA
as a SIP revision, thus complying with federal law.
HEARING
25.
In order to submit any adjusted standard that the Board maygrant to Ford as a SIP revision,
proper notice ofhearing and a hearing must be held to satisf~’
federal requirements for SIPs under
Section
110 ofthe
CAA.
(42 U.S.C.~7410).
8
WHEREFORE, theIllinois EPA recommends that Ford’s Petition forAdjusted Standardbe
GRANTED,
and theBoard enteran order adopting the adjusted standardwith the specific language
presented in this Recommendation.
Respectfully submitted,
ILLINOIS ENVIRONMENTAL
•
PROTECTION AGENCY
By:—~~~
Dated: April 8, 2005
Charles E. Matoesi
Assistant Counsel
Division ofLegal Counsel
1020 North Grand Avenue East
P.O. Box
19276
Springfield, Illinois 627949276
(217)782-5544
(217)782-9807 Facsimile
9
STATE
OF ILLINOIS
)
COUNTY OF SANGAMON
)SS.
)
PROOF OF SERVICE
I, the undersigned, on oath state that I have served the attached Recommendation of-the
Illinois EPA upon the person to whom it is directed, by placing it in an
envelope addressed to:
TO:
Dorothy Gunn, Clerk
Illinois Pollution Control Board
James R.
Thompson Center
100 W. Randolph Street, Suite 11-500
Chicago, Illinois 60601
Jane Montgomery
SchiffHardin & Waite
6600 Sears Tower
233
South Wacker Drive
Chicago, Illinois 60606-6473
Kathleen Bassi
SchiffHardin & Waite
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinoi s60606-6473
Bradley Halloran, Hearing Officer
Illinois Pollution Control Board
James R. Thompson Center
100 W. Randolph Street, Suite 11-500
Chicago, Illinois 60601
KavitaPatel
SchiffHardin & Waite
6600 Sears Tower
233
South Wacker Drive
Chicago, Illinois 60606-6473
and mailing it by First Class Mail from Springfield, Illinois on April
8, 2005, with sufficient
postage affixed.
SUBSCRIBED AND SWORN TO BEFORE ME
this
8th
day ofApril,
2005
Notary Public
OFFICIAL
SEAL
X
BRENDA BOEHNER
1:
NOTARY
PUBLIC,
STATE
OF
ILLINOIS ~
MY
COMMISSION
EXPIRES
1
.14.2ocI5~
~
THIS FILING IS
SUBMITTED ON RECYCLED PAPER
