AQ-2013-005_REPORTTOBOARDOFSUPERVISORS 2015-12-03.PDF

Report to the Board of Supervisors
Prepared by the Maricopa County Air Quality Department
Board of Health Meeting Date: July 27, 2015
Board Hearing Date: February 3, 2016 (Continued from December 9, 2015)
Case #/Title: AQ-2013-005-New Source Review
Agenda Item: C-85-16-004-M-00
Supervisor Districts: All Districts
Applicant: Staff
Request: Approve amendments to Maricopa County Air Pollution Control
Regulations regarding New Source Review (NSR) and approve
submitting the amended rules as a revision to the (Arizona) State
Implementation Plan (SIP).
The purpose of this rulemaking is to update the Maricopa County Air
Quality Department’s NSR rules in order to secure their approval as part
of the SIP under the federal Clean Air Act. The update will be consistent
with revisions the Arizona Department of Environmental Quality
(ADEQ) and the U.S. Environmental Protection Agency (EPA) made to
the NSR Program required by the federal Clean Air Act.
NSR is a long-standing Clean Air Act permitting program that requires
businesses to get an air pollution control permit before they start
construction or make major modifications to their business. NSR must
ensure that air quality is not significantly degraded from the addition of
new or modified businesses, while also providing flexibility to
businesses to improve or modernize their operations. Air quality permits
must include an air quality analysis to demonstrate that new emissions
emitted from the business will not cause or contribute to a violation of a
National Ambient Air Quality Standard. Permit fees are not changing
due to this rulemaking.
Support/Opposition: To date, the department has received written comments from one
Stakeholder (the Salt River Project Agricultural Improvement and Power
District (SRP)) via the Enhanced Regulatory Outreach Program (EROP).
SRP submitted eight (8) comments on August 31, 2015 and 20 comments
on November 9, 2015. SRP stated that they “…fully support the
department’s proposal…These changes will improve implementation of
the major NSR provisions and update the regulations to match major
NSR programs implemented throughout the United States.” SRP also
“…offer[ed] limited, but important, comments on the proposed
changes…to improve implementation and clarity of the final rules.”
SRP’s comments and the department’s responses are summarized below.
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Copies of SRP’s comments are attached to this report and the
department’s responses to SRP’s most recent comments are provided in
Item 13 in the Draft Notice of Final Rulemaking, which is attached to
this report.
The department met with SRP to discuss responses to their comments
submitted on November 9, 2015, which addressed the following
categories:
 Definitions: The department is proposing to revise seven definitions
mainly to provide clarity and eliminate potential conflict with ADEQ
NSR rules.
 Permitting thresholds: The department is proposing to increase the
minor NSR modification thresholds to match ADEQ; this will allow
sources within Maricopa County that are below the thresholds to avoid
triggering NSR requirements (modeling and permit revisions). The
department is also proposing to clarify which activities are exempt
from obtaining a permit (insignificant activities). This change may
actually reduce not increase the number of permits issued by the
department.
 Permitting process: The department is proposing to retain the licensing
time frames that define action on permit applications, to provide an
application shield to general permit applicants, and to follow EPA
guidance when granting construction extensions. These revisions
provide sources certainty that the department will take timely action on
their permit applications.
 Minor NSR program: The department is proposing to clarify the types
of facility modifications that are regulated by Rule 241 (Minor New
Source Review (NSR)) and to retain the language in Rule 241 that
requires best available control technology (BACT) to address
emissions from the sources being modified. These clarifications will
assist sources in determining if a permit revision is required.
In conclusion, SRP appreciated the interaction with the department and
the additional review and consideration of their comments. In addition,
other sources have made statements supporting the NSR rules revisions,
as they will provide enhanced offset capabilities to expanding industries.
Staff
Recommendation: Approve
Board of Health
Recommendation: Approve per Staff recommended language
Additional
Comments: This regulatory change is following the Enhanced Regulatory Outreach
Program (EROP) Policy and workflow process. The County Manager
briefed the Board of Supervisors regarding this rulemaking in January
2013. In accordance with the Maricopa County Resolution “Moratorium
on Increased Regulatory Burdens”, the County Manager authorized the
department to proceed with this rulemaking in July 2013. On April 27,
2015, the Board of Health approved initiation of this regulatory change
and on July 27, 2015, the Board of Health approved making a
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recommendation to the Board of Supervisors to approve this regulatory
change.
Presented By: Philip A. McNeely, R.G., Director
Prepared By: Kathleen Sommer, Planner
Attachments: Summary of the proposed regulatory change (See Item 6 of the Draft
Notice of Final Rulemaking)
Analysis of input received during the process and how that input was
responded to (See Item 13 of the Draft Notice of Final Rulemaking)
Language of proposed regulatory change or amendment (See Item 17 of
the Draft Notice of Final Rulemaking)
Preamble required by Arizona Revised Statutes (A.R.S.) § 49-471.05
(See Draft Notice of Final Rulemaking)
Minutes from Board of Health meeting
Copies of all written and electronic Stakeholder input
Signed copy of the Maricopa County Resolution “Moratorium on
Increased Regulatory Burdens”
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