A proposal to reduce the regulatory burden on Iowa industry by exempting small air emission sources from construction permits will move to rule-making. Jerry Tonneson of Preston Engineering worked with a task force from the Iowa Department of Natural Resources, the United States Environ-mental Protection Agency Region VII, and business representatives to expand the list of exemptions from Iowa air construction permit requirements.

The process began about 2 ½ years ago when industry representatives suggested that the list of construction permit exemptions should resemble the Title V permit program insignificant activities list.

After the list was developed, EPA Region VII staff objected to the pro-posed rule. EPA was concerned that the exemption was not a federally enforceable limit on actual emissions. EPA's concern was resolved with the inclusion of a requirement for an exemption justification document.

Agreement was reached in March about two exemptions for finishing, grinding, cutting, and polishing materials, and manually operated equipment as defined in the Title V insignificant source rules. The first two exemptions were taken to the Environmental Protection Commission in April, and the public hearing and the end of the comment period are scheduled for June 2003. The finishing, grinding, cutting and polishing exemption should be in effect by November of 2003.

The remainder of the small source exemptions rule and notice are scheduled to be taken to the Environmental Protection Commission for information in June of 2003. The rule would exempt very small sources from permitting based upon a self declared limitation on potential emissions that is below the following thresholds:

• 40 pounds per year of lead and lead compounds expressed as lead

• 5 tons per year of sulfur dioxide

• 5 tons per year of nitrogen oxides

• 5 tons per year of volatile organic compounds

• 5 tons per year of carbon monoxide

• 5 tons per year of particulate matter

• 2.5 tons per year of PM-10

If a small source is greater than 75% of these thresholds, a ten day notice is required prior to construction.

If you have questions about these rules or construction permit applicability in general, please contact Jerry Tonneson at 563-388-8288.

The U.S. Environmental Protection Agency (EPA) has extended the deadline for compliance with the revised oil pollution prevention and response regulations by eighteen months. This means that subject oil handling facilities have until August 17, 2004 to amend their spill prevention, control and countermeasures (SPCC) plan. The amended plan must be implemented by February 18, 2005. This action was done to address the large number of companies that had asked for extensions of time. The action does not eliminate the requirements that a SPCC plan be in effect. Many facilities have been required to have SPCC plans since 1973 and should have a current SPCC Plan at their facility.

The revised regulations published in 2002 have some implementation issues. One of the biggest changes was that equipment that contained 55 gallons of oil was clearly covered and some sort of spill containment was required. The rule included mobile off road equipment with large fuel tanks or hydraulic reservoirs. EPA may rethink this rule. The regulation also requires that any oil pickup or delivery trucks have some form of secondary containment around the truck. This requirement is often impractical for smaller delivery trucks. It seems particularly unfair because secondary containment is not required around deliveries to underground tanks. The rule also requires security and lighting at storage facilities.

The extension of time allows a facility to review their options. It is expected that EPA will offer training and new guidance manuals during this period. After that they will begin enforcing the new regulations. Stepped up enforcement of the existing regulations may occur this summer.

The proposed air permit exemption rule requires that a facility maintain an exemption justification document on file if they claim exemptions for small sources. This document establishes federally enforceable limits on potential emissions. The document is a self-declaration of how emissions from a unit will be limited in actual practice. For instance, in a welding shop, a limitation on the amount of wire purchased and used annually is a practical way of limiting potential emissions. Solvent usage based upon annual purchases is another way to limit potential emissions. The document must include:

1. A description of how the emissions were determined and maintained for the emission units seeking the "small unit" exemption.

2. A description of the air pollution control equipment used on the emission unit with a statement that the emission unit will not be operated without the pollution control equipment functioning.

3. Inclusion of stack test data for similar units, if available. (The Department can require a test if it believes that a test is necessary for the exemption claim.)

4. A description of all production limits required for the emission unit or units to comply with the exemption levels.

5. Detailed calculations of emissions reflecting the use of any air pollution control devices and/or production or throughput limitations for the emission unit or units.

6. Records of actual operation that can demonstrate that the annual emissions from the emission units were maintained below the exemption levels.

7. Records demonstrating compliance with the "exemption justification document" must be kept for five years.

8. A certification from the responsible official that the exemption levels are met.

While the exemption justification document is not submitted to IDNR, inspectors may review

it for compliance with the rules. If the document is rejected, a construction permit must be filed for the emission units. An enforcement shield may be available for sources that submit the construction application within 90 days.

A cumulative notice threshold is also established when the total combined limits from all substantial small units exceed specified limits.