BEFORE THE ILLINOIS POLLUTION CONTROL BOARD

NOTICE
APPEARANCE
RECOMMENDATION

BEFORE THE ILLINOIS POLLUTION CONTROL BOARD

OF THE STATE OF ILLINOIS

MARATHON ASHLAND PETROLEUM, LLC

Steam Supply to Nos. 1 and 5 Flares

(Tax Certification)

PROPERTY IDENTIFICATION NUMBER

51-34-1-21 or portion thereof

Electronic filing

Service by mail

Dorothy Gunn, Clerk

John S. Swearingen

Illinois Pollution Control Board

Marathon Ashland Petroleum

State of Illinois Center

Refinery Office Building

100 W. Randolph Street, Suite 11-500

Robinson, Illinois 62454

Chicago, Illinois 60601

Service by mail

Steve Santarelli

Illinois Department of Revenue

101 West Jefferson

Springfield, Illinois 62794

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

the Pollution Control Board the

RECOMMENDATION

Illinois Environmental Protection Agency, a paper copy of which is herewith served upon

the applicant and a representative of the Illinois Department of Revenue.

Respectfully submitted by,

/s/ Robb H. Layman

Assistant Counsel

Date: January 4, 2007

ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

1021 North Grand Avenue East

Springfield, IL 62794-9276

Telephone: (217) 524-9137

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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BEFORE THE ILLINOIS POLLUTION CONTROL BOARD

OF THE STATE OF ILLINOIS

MARATHON ASHLAND PETROLEUM, LLC

Steam Supply to Nos. 1 and 5 Flares

(Tax Certification)

PROPERTY IDENTIFICATION NUMBER

51-34-1-21 or portion thereof

I hereby file my Appearance in this proceeding on behalf of the Illinois

Environmental Protection Agency.

Respectfully submitted by,

/s/ Robb H. Layman

Assistant Counsel

Date: January 4, 2007

ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

1021 North Grand Avenue East

Springfield, Illinois 62794-9276

Telephone: (217) 524-9137

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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BEFORE THE ILLINOIS POLLUTION CONTROL BOARD

OF THE STATE OF ILLINOIS

MARATHON ASHLAND PETROLEUM, LLC

Steam Supply to Nos. 1 and 5 Flares

(Tax Certification)

PROPERTY IDENTIFICATION NUMBER

51-34-1-21 or portion thereof

RECOMMENDATION

NOW COMES the ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

(“Illinois EPA”), through its attorneys, and pursuant to 35 Ill. Adm. Code 125.204 of the

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

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

of pollution control facilities. The Illinois EPA recommends a

of the request. In

support thereof, the Illinois EPA states as follows:

On or about December 29, 2005, the Illinois EPA received a request and

supporting information from MARATHON ASHLAND PETROLEUM, LLC,

(“Marathon”) concerning the proposed tax certification of certain air emission sources

and/or equipment located at its Robinson refinery in Crawford County, Illinois. A copy

of the relevant portions of the amended application is attached hereto.

[Exhibit A]

The property identification number or parcel number that is the subject of a tax certification request is

typically identified in the Illinois EPA’s Recommendations and Board orders as part of the case caption,

presumably because of the ease with which applicants and local tax assessors alike can identify the affected

property. The property identification or parcel numbers for these cases are usually derived from the

application forms (i.e., APC 151) that are filled out by the applicant and submitted to the Illinois EPA. In

this instance, it should be noted that the parcel number identified in the application form submitted by

Marathon Ashland contains a typographical error. The numbers depicted on the application form, shown in

Exhibit A attached hereto, identify the first two digits of the property’s parcel number as 54. Prior tax

certification requests for the refinery, as received by the Illinois EPA and eventually acted upon by the

Board, have employed a parcel number whose first two digits are 51. Prior to this filing, the undersigned

attorney contacted Marathon Ashland’s designated representative, Mr. Dennis Baker, regarding the

apparent discrepancy. Mr. Baker confirmed that the correct parcel number for this tax certification request

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The applicant’s address is as follows:

Marathon Ashland Petroleum, LLC

Refinery Office Building

Robinson, Illinois 62454

The subject matter of this request consists of a modification to two flares

that are operated at the refinery to provide safe combustion of excess gases produced

during startup, shutdown or malfunction events. To comply with federal requirements

governing visible emissions from flares, a new steam header is being installed to provide

the steam source for Nos. 1 and 5 flares. This modification will ensure that particulate

matter emissions from Nos. 1 and 5 flares will not cause excessive flaring under the

applicable federal requirements.

Section 11-10 of the Property Tax Code, 35 ILCS 200/11-10 (2002),

defines “pollution control facilities” as:

“any system, method, construction, device or appliance appurtenant

thereto, or any portion of any building or equipment, that is designed,

constructed, installed or operated for the primary purpose of: (a)

eliminating, preventing, or reducing air or water pollution… or (b)

treating, pretreating, modifying or disposing of any potential solid, liquid,

gaseous pollutant which if released without treatment, pretreatment,

modification or disposal might be harmful, detrimental or offensive to

human, plant or animal life, or to property.”

Pollution control facilities are entitled to preferential tax treatment, as

provided by 35 ILCS 200/11-5 (2002).

Based on information in the application and the underlying purpose of the

flare system’s modification to prevent, eliminate or reduce air pollution, it is the Illinois

EPA’s engineering judgment that the described project and/or equipment may be

considered as “pollution control facilities” in accordance with the statutory definition and

consistent with the Board’s regulations at 35 Ill. Adm. Code 125.200.

[Exhibit B].

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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Because the modification to the flare system satisfies the aforementioned

criteria, the Illinois EPA recommends that the Board

the applicant’s requested tax

Respectfully submitted by,

/s/ Robb H. Layman

Assistant Counsel

DATED: January 4, 2007

ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

1021 North Grand Avenue East

Springfield, Illinois 62794-9276

Telephone: (217) 524-9137

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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CERTIFICATE OF SERVICE

I hereby certify that on the 4

day of January, 2007, I electronically filed the

following instruments entitled

NOTICE, APPEARANCE

RECOMMENDATION

Dorothy Gunn, Clerk

Illinois Pollution Control Board

100 West Randolph Street

Chicago, Illinois 60601

and, further, that I did send a true and correct paper copy of the same foregoing

instruments, by First Class Mail with postage thereon fully paid and deposited into the

possession of the United States Postal Service, to:

Steve Santarelli

John S. Swearingen

Illinois Department of Revenue

Marathon Ashland Petroleum

101 West Jefferson

Refinery Office Building

Robinson, Illinois 62454

Springfield, Illinois 62794

/s/ Robb H. Layman

Assistant Counsel

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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ILLINOIS ENVIRONMENTAL PROTECTION AGENCY

Springfleld. lL

APPLICATION FOR CERTIFICATION (PROPERTY TAX TREATMENT)

POLLUTION CONTROL FACILITY

information is voluntary. However, failure to

prrvent your application from

being processed or muld result in denial ofyour

a~olicarian for certification.

This Agency is authorized to request this

information under Illinois Revised Sfatuer. 1979.

Chapter. 120, Section

502aS. 

Disclosurcoflhis

Refinery Office Building

539 South Main Street

Cehfication No.

Municipality, State

Municipality, State

Robinson, IL 62454

Findlay, OH 45840

Telephone Number

Telephone Number

Location of Facility

Quarter Section

Property Identification Number

Part of 54-34-1-21

Marathon Petroleum Company LLC

Person Authorized to Receive Certification

Person to Contact for Additional Details

John Swearingen

Nature of Operations Conducted at the Above Location

Petroleum Refining

Steam Supply to

#5

Water Pollution Control Construction Permit No.

NPDES PERMIT No.

Air Pollution Control Construction Permit No.

Air Pollution Control Operating Permit No.

1 96010007 (Title

V

The flare system provides for the safe combustion of excess gases that may be produced

November 24, 2003

during startups and shutdowns of process units and equipment and handle emergency or

Expiration Dale

Sec. C I Describe Unit Process

upset conditions to prevent serious incidents from occurring.

Materials Used in Process

Describe Pollution Abatement Control Facility

The objective of this project is to ensure the

flares meet the federal

environmental air regulations that state visible emissions from any flare must be less

than five minutes

in any two-hour period. To comply, a new 600 pound steam header

is being installed to supply 110,000 pounds per hour of steam to the

#1

APC 151 (Rev. 8/00)

Tar

Cerl~cnlion/w Poll~dion ConlrqlF--";,"-

0/2

4'

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Illinois Refining Division

disposal of any contaminants removed

from the manufacturing processes.

ltem (1) -Refers to pollutants and wntaminants removed from Ule process by the pollution control facility.

(2) -Refers to water pollution but can apply to watercarried wasles from air pollution control facilities. Submit drawings.

which clearly show (a)

Poinl(s) of discharge to receiving stream, and (b) Sewers and process piping to and from the mntrol

ltem (3) -If he collected mntaminants are disposed of other than as wastes, state the disposition of the materials, and the value

in dollars reclaimed by sale or reuse of the wlleckd substances. State the cost of redamation and related expense.

Item (4) -State (he date which the pollution mnlrol facility was first placed in service and operated. If not, explain.

Tar

CCe$cnrion/or Pollurion Conlrol Fneililies

of2

8/00

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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ENVIRONMENTAL PROTECTION AGENCY

1021 NORTH GRAND AVENUE

EAST, P.O. BOX 19506,

SPRINGFIELD,

ROD R. BLACOIEVICH, GOVERNOR

P. SCOTT, DIRECTOR

Technical Recommendation for Tax Certification Approval

September 15, 2006

Subject: Marathon Ashland Petroleum LLC TC-05-12-29G

This Agency received a request on December 29, 2005 from Marathon Petroleum Company LLC for an

Illinois EPA recommendation regarding tax certification of air pollution control facilities pursuant to 35

Adm. Code 125.204. 1 offer the following recommendation.

The air pollution control facilities in this request include the following:

Flare System whose primary purpose is to remove particulate matter pollutants

prior to combustion in the refinery flare system. Because the primary purpose of this unit

is to reduce or eliminate air pollution, it is certified as a pollution control facility.

This facility is located at Route 33, Robinson,

Crawford County

The property identification number is Part of 51-34-1-21

Based on the information included in this submittal, it is my engineering Judgement that

the proposed facility may be considered "Pollution Control Facilities" under 35 IAC

125.200(a), with the primary purpose of eliminating, preventing, or reducing air pollution,

or as otherwise provided in this section, and therefore eligible for tax certification from

the Illinois Pollution Control Board. Therefore, it is my recommendation that the Board

issue the requested tax Certification for this facility.

ELECTRONIC FILING, RECEVIED, CLERK'S OFFICE, JANUARY 4, 2007

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