1Our Vision – Healthy Kansans living in safe and sustainable environments.1

1 Our Vision – Healthy Kansans living in safe and sustainable environments. 1

www.kdheks.govwww.kdheks.gov

Our Vision – Healthy Kansans living in safe and sustainable environments. 2

Air Permitting Issues, Trends and Updates

Marian Massoth, P.E.Chief, Air Permitting Section

KDHE - Bureau of Air and RadiationMarch 5, 2008

3 Our Vision – Healthy Kansans living in safe and sustainable environments. 3

Discussion Topics

• Permitting Update and Issues

• State Regulation Update

• BART Permitting Issues

• Greenhouse Gas Issues

• NSPS Update

• MACT Update

• Vacated Regulations

4 Our Vision – Healthy Kansans living in safe and sustainable environments. 4

Construction and OperatingPermits/Approvals/Responses

2007 #

Jan-Mar 134

Apr-June 150

July-Sept 223

Oct-Dec 145

Total 650

5 Our Vision – Healthy Kansans living in safe and sustainable environments. 5

Title V Class I Operating Permits

Year Permits Issued

2007 44

2006 29

2005 56

2004 72

2003 130

2002 23

6 Our Vision – Healthy Kansans living in safe and sustainable environments. 6

Title V Class I Operating Permits

• Operating Permit Renewals

• >200 Permit Renewals to be processed in next two years– 71 applications in house– 70 more applications to be received in 2008– 67 applications to be received in 2009

7 Our Vision – Healthy Kansans living in safe and sustainable environments. 7

Emission Inventory Class I/II Initiative

• Facilities With Low Actual Emissions

• Letter Describes Class II Permits and Potential Advantages

• Switching to a Class II Is Strictly Voluntary

• 16 Letters Sent to Facilities Last Year

• Permitting Staff Working with Facilities during Class I Renewals

8 Our Vision – Healthy Kansans living in safe and sustainable environments. 8

Emission Inventory Class I/II Initiative, Continued

• Exceptions – Facilities Required to Obtain Class I Regardless of Emissions– Landfills Subject to NSPS or KAR 28-19-722– Incinerators Subject to NSPS– Affected Units (Acid Rain Sources)– Most MACT Sources

• Contact BAR if interested in Class II Permit

9 Our Vision – Healthy Kansans living in safe and sustainable environments. 9

Class III Air Operating Permits

• 1995 - KDHE registered non-major facilities under Class III permit program– Facilities deferred by EPA for Title V permit

requirements

• 2005 - EPA excluded several non-major facilities from needing Title V permit

• 2005 - KDHE eliminated requirement to obtain Class III permit

• All existing Class III permits are void

10 Our Vision – Healthy Kansans living in safe and sustainable environments. 10

Ethanol Permits (SIC 2869)Issued in Kansas

Year # Permits Issued

1997-2004 (Annual Avg.) 2

2005 11

2006 18

2007 7

11 Our Vision – Healthy Kansans living in safe and sustainable environments. 11

Kansas Ethanol/Biodiesel Projects

12 Our Vision – Healthy Kansans living in safe and sustainable environments. 12

Ethanol Permits EPA Region VII Guidance

• EPA Manual– Environmental regulatory rules

– Requirements for construction and operation of ethanol production facilities

– Agricultural Website:

http://www.epa.gov/region07/priorities/agriculture/

13 Our Vision – Healthy Kansans living in safe and sustainable environments. 13

KDHE Regulation Update Amend 200, 300 & 500 Series

• State and federal definitions consistent with industry use

• Adds definitions for updated permitting and public notice regulations

• Updates definitions of permits and approvals

• Adds new Ethanol PSD with 200-500 series (definitions and permitting)

14 Our Vision – Healthy Kansans living in safe and sustainable environments. 14

KDHE Regulation Update Amend 200, 300 & 500 Series

• 200 Series – Definition Update

• 204 - Public Notice

• 300 Series – Construction Permits, Approvals and Registrations

• 500 Series – Operating Permits and Approvals

• Proposed rules in KS Register this fall

15 Our Vision – Healthy Kansans living in safe and sustainable environments. 15

Amend 28-19-300 Series

• Construction Permits, Approvals, and Registrations

• Re-focus permit program on environmental benefits

• Build more efficient permit system

• Spend less time on insignificant sources

16 Our Vision – Healthy Kansans living in safe and sustainable environments. 16

Amend 28-19-300 Series, Continued

• Most preconstruction documents that are now called “Permits” will be approvals.

• Establishes small–source registrations

• Permits – Title V operating, PSD, Nonattainment and Acid Rain (federal)

17 Our Vision – Healthy Kansans living in safe and sustainable environments. 17

New and Amend 28-19-500 Series

• Clarifies Operating Requirements– 500: Applicability– 501: Emissions limitations– 502: Identical procedural requirements (parallels

construction process)

• Class I Permits

• Class II Approvals

18 Our Vision – Healthy Kansans living in safe and sustainable environments. 18

Amend 28-19-510 thru 513

• Class I Operating Permits– 510 - Application timetable

– 511 - Application contents

– 513 – Administrative permit amendments procedure

19 Our Vision – Healthy Kansans living in safe and sustainable environments. 19

KDHE Regulation UpdateVacatur of CAMR

• KDHE adopted Clean Air Mercury Rules 2007

• CAMR vacated Feb., 2008 by D.C. U.S. Court of Appeals

• EPA and States awaiting final ruling (mandate) to determine next steps

• Most States agree Hg monitoring installation should proceed

20 Our Vision – Healthy Kansans living in safe and sustainable environments. 20

KDHE Regulation UpdateVacatur of CAMR, Continued

• EPA may be required to write MACT– How and When??

• Kansas Legislature– SB327 would require 80% reduction

• US Senate– Sen. Carper introduced Clean Air Planning

Act - 90% Hg reduction by 2015carper.senate.gov/press/record.cfm?id=292972

21 Our Vision – Healthy Kansans living in safe and sustainable environments. 21

Greenhouse Gas (GHG) IssuesIn Kansas

• May, 2007, Kansas joins The Climate Registry with 30 other states

• Beginning October, 2007– KDHE estimates potential GHG emissions for

new construction – GHG paragraph in all permit cover letters to

voluntarily reduce GHG

22 Our Vision – Healthy Kansans living in safe and sustainable environments. 22

Greenhouse Gas (GHG) Paragraph with Permits

• In October 2007 KDHE began addressing green house gas (GHG) emissions in Kansas to protect the health and environment of Kansans. To accomplish this task, KDHE will engage industries and stakeholders to establish goals for reducing GHG emissions and strategies to achieve them. Therefore, in accordance with K.S.A. 65-3005(j), KDHE is seeking your cooperation to voluntarily implement strategies, including the development and use of innovative technologies, market-based principles and other private initiatives to reduce or prevent GHG emissions.

23 Our Vision – Healthy Kansans living in safe and sustainable environments. 23

Greenhouse Gas (GHG) IssuesIn Nearby States

• 2000 - Nebraska - Enacted legislation– Linked agricultural policy with GHG reduction

• 2006 –Missouri and Iowa join Midwest Greenhouse Gas Registry

• 2007 - Iowa requires construction permit applications to contain potential GHG emissions

• 2007 Oklahoma joins The Climate Registry

24 Our Vision – Healthy Kansans living in safe and sustainable environments. 24

TCR Members as of February, 2008

25 Our Vision – Healthy Kansans living in safe and sustainable environments. 25

EPA GHG Information

• EPA website lists regional efforts to address Climate Change– Develop GHG inventories and registries– Track renewable energy generation and

sales; – Implement coordinated GHG reduction

strategies– http://www.epa.gov/climatechange/index.html

26 Our Vision – Healthy Kansans living in safe and sustainable environments. 26

BART Permitting Issues

• Regional Haze Agreements Will Require Controls

• Control Projects May Require Construction Permits, Including PSD Permits

• Regional Haze Agreement Control Requirements Will Be Incorporated in

Title V Permits

27 Our Vision – Healthy Kansans living in safe and sustainable environments. 27

New Source Performance Standards (NSPS)

• Section 111 of the Clean Air Act,

• New Stationary Sources Performance Standards

• Requires EPA to establish emission standards

• 88 standards and associated test methods since 1971

28 Our Vision – Healthy Kansans living in safe and sustainable environments. 28

Maximum Achievable Control Technology (MACT)

• Information Websites:EPA Policy and Guidance

http://www.epa.gov/ttn/oarpg/t3fs.html

Revisions/Amendments

www.ecfr.gpoaccess.gov

Regulations:

www.gpoaccess.gov/fr/index.html

29 Our Vision – Healthy Kansans living in safe and sustainable environments. 29

MACT Recent and Upcoming Compliance

Dates for Kansas Major Sources

• Misc. Metal Part and Products Surface Coating (1/2/07)

• Organic Liquids Distribution (2/3/07)• Plastic Parts and Products Surface Coating

(4/19/07)

30 Our Vision – Healthy Kansans living in safe and sustainable environments. 30

MACT Recent and Upcoming Compliance

Dates for Kansas Major Sources Con’t.

• Auto and Light Duty Trucks (4/26/07)• Reciprocating Internal Combustion Engines

(3/18/08)• Misc. Organic Chemical Production and

Processes (5/10/08)

31 Our Vision – Healthy Kansans living in safe and sustainable environments. 31

MACT Recent and Upcoming Compliance

Dates for Kansas Area Sources• Oil and Natural Gas Production (1/3/07)• Lead Acid Battery Manufacturing (7/16/08)• Hospital Sterilizers (12/29/08)• Iron and Steel Foundries Area Sources (1/2/09)

32 Our Vision – Healthy Kansans living in safe and sustainable environments. 32

MACT Recent and Upcoming Compliance

Dates for Kansas Area Sources Con’t.

• Gasoline Distribution (1/10/11)

• Gasoline Dispensing Facilities (1/10/11)

• Paint Stripping and Miscellaneous Surface Coating Operations (1/10/11)

33 Our Vision – Healthy Kansans living in safe and sustainable environments. 33

MACT Recent and Upcoming Compliance

Dates for Kansas Area SourcesCon’t.

• Iron and Steel Foundries Area Sources (1/2/09)

• Gasoline Distribution (1/10/11)

• Gasoline Dispensing Facilities (1/10/11)

• Paint Stripping and Miscellaneous Surface Coating Operations (1/10/11)

34 Our Vision – Healthy Kansans living in safe and sustainable environments. 34

Area Source Categories with Promulgation Deadlines

Proposed - between now and 6/15/09

• Fabricated Metal Products (10 categories)• Ag. Chemicals & Pesticides Manufacturing• Asphalt Processing & Asphalt Roofing

Manufacturing• Cyclic Crude and Intermediate Production

35 Our Vision – Healthy Kansans living in safe and sustainable environments. 35

Area Source Categories with Promulgation Deadlines

Proposed - between now and 6/15/09

• Ferroalloys Production

• Chemical Manufacturing (4 categories)

• Prepared Feeds Materials

• Boilers

36 Our Vision – Healthy Kansans living in safe and sustainable environments. 36

Area Source Categories with Promulgation Deadlines

Proposed - between now and 6/15/09

• Plastic Materials and Resins Manufacturing

• Synthetic Rubber

• Brick and Structural Clay Products

• Chemical Preparation

37 Our Vision – Healthy Kansans living in safe and sustainable environments. 37

Area Source Categories with Promulgation Deadlines

Proposed - between now and 6/15/09

• Copper Foundries

• Nonferrous Foundries

• Paint and allied products

• Sewage Sludge Incineration

• Pharmaceutical Production

38 Our Vision – Healthy Kansans living in safe and sustainable environments. 38

Other MACT Developments

• Residual Risk Amendments for each Standard– Subpart T, Halogenated Solvent issued 5/3/07

• Exempts aerospace• Affects area and major sources• 3 year compliance period

• http://www.epa.gov/ttn/atw/rrisk/rtrpg.html

MACT Contact: Mary Mahaffey, 785-296-1548

39 Our Vision – Healthy Kansans living in safe and sustainable environments. 39

Recent Vacaturs

• Boiler MACT Vacated by DC Court of Appeals on July 30, 2007

• Brick and Clay Vacated by DC Court of Appeals on July 30, 2007

Our Vision – Healthy Kansans living in safe and sustainable environments. 40

Marian MassothMarian MassothBureau of Air and RadiationBureau of Air and Radiation

Kansas Department of Health & Kansas Department of Health & EnvironmentEnvironment

Curtis State Office BuildingCurtis State Office Building1000 SW Jackson, Suite 3101000 SW Jackson, Suite 310

Topeka, Kansas 66612Topeka, Kansas 66612

www.kdheks.govwww.kdheks.gov

voice 785.296.0616voice 785.296.0616fax 785.291.3953fax 785.291.3953

mmassoth@kdhe.state.ks.usmmassoth@kdhe.state.ks.us

41 Our Vision – Healthy Kansans living in safe and sustainable environments. 41

www.kdheks.govwww.kdheks.gov

.