1. Permitting and National Ambient Air Quality Standards Changes Rick Goertz, P.E. Air Permits Division Texas Commission on Environmental Quality Advanced Air Permitting Seminar 2015

2. Today’s Topics Impacts to air permits from the 2015 Ozone National Ambient Air Quality Standards (NAAQS) Data Requirements Rule for Sulfur Dioxide (SO 2 ) and impacts to air permits

3. 2015 Ozone NAAQS Implementation Schedule Rule becomes final 60 days after publishing in Federal Register Prior to final designations by EPA, requirements based on current area designation

4. Air Permit Requirements Areas currently unclassifiable OR currently classified as attainment and monitors indicate the area is in compliance with the new standard: – Since areas are currently in attainment, emissions are evaluated for PSD. – The project must be a new major source or major modification for VOC and/or NO X based on PSD significance levels. – No change from current procedures when evaluating ozone.

5. Air Permit Requirements Area currently classified as attainment and monitors indicate the area is not in compliance with the new standard: – Since areas are currently in attainment, emissions are evaluated for PSD. – The project must be a new major source or major modification for VOC and/or NO X based on PSD significance levels. – For those projects that require an ozone analysis, sufficient reductions must be obtained to mitigate adverse impacts from project.

6. Air Permit Requirements Area currently classified as attainment and monitors indicate the area is not in compliance with the new standard (cont’d): – Reductions are not the same offsets used in traditional nonattainment review. Reductions described in §116.161.§116.161 – Projects that published second public notice before effective date of rule are considered grandfathered. – De minimis levels for ozone under development by EPA.

7. Air Permit Requirements Areas currently designated as nonattainment: – Until areas are officially reclassified, offsets based on current classification. – Grandfathered projects?

8. 2010 SO 2 NAAQS EPA’s Data Requirements Rule: – Final rule published in Federal Register on August 21, 2015. – The rule includes criteria for sources that states must evaluate for potential exceedance of the NAAQS through either modeling or monitoring. – Threshold is set at 2,000 tpy of actual emissions but may include other sources. – Excludes sources identified in first phase of consent decree.

9. Data Requirements Rule Key Dates List of sources meeting rule criteria due to EPA – January 15, 2016 List due to EPA identifying sources to be monitored or modeled – July 1, 2016 New monitors scheduled to be operational – January 1, 2017 Analysis for modeled sources due to EPA – January 13, 2017 Third year of data used to calculate design values for new monitors due to EPA – May 2020

10. 2010 SO 2 NAAQS Demonstration Methods Model allowable emissions: – Includes applicable sources plus background. – If less than the standard, no additional modeling required. – EPA’s Preferred Method.

11. 2010 SO 2 NAAQS Demonstration Methods Model actual emissions: – Includes applicable sources plus background. – If 50% or less of the standard, no additional modeling required. – If greater than 50% but less than standard, perform analysis again within 3 years (additional modeling or nothing if no significant changes in actual emissions).

12. 2010 SO 2 NAAQS Demonstration Methods Ambient monitoring: – Must inform EPA by July 1, 2016 of sources to be monitored. – Monitors operational January 1, 2017. – If monitors not operational by January 1, EPA will assign designation by end of 2017 based on available data. – Monitoring still required after monitor installed.

13. 2010 SO 2 NAAQS Demonstration Methods Changes made to permit to support modeling or reduction of emissions to below 2,000 tpy must be in effect/enforceable by January 13, 2017 deadline.

14. Division Contact Information (512) 239-1250 airperm@tceq.texas.gov

15. Thank You Questions?