Rules

of

Tennessee Department of Environment and Conservation

Bureau of Environment

Division of Air Pollution Control

Chapter 1200-3-9

Construction and Operating Permits

Table of Contents

1200-3-9-.01	Construction Permits	1200-3-9-.04	Exemptions

1200-3-9-.02	Operating Permits	1200-3-9-.05	Appeal of Permit Application
Denials and Permit

1200-3-9-.03	General Provisions		Conditions



 CONSTRUCTION PERMITS.

(1)	Application for Construction Permit

(a)	Except as specifically exempted in Rule 1200-3-9-.04, no person
shall begin the construction of a new air contaminant source or the
modification of an air contaminant source which may result in the
discharge of air contaminants without first having applied for and
received from the Technical Secretary a construction permit for the
construction or modification of such air contaminant source.

(b)	The application for a construction permit shall be made on forms
available from the Technical Secretary not less than ninety (90) days
prior to the estimated starting date of construction.  Sources
identified in paragraph 1200-3-9-.01(4) shall make application for a
construction permit not less than one hundred twenty (120) days prior to
the estimated date of construction.

(c)	In addition to the information provided in the construction permit
application forms, the Technical Secretary may require submission, by
the owner or operator of a source to be constructed or modified of such
information on the nature and amounts of air contaminants to be emitted
by the source or emitted by associated mobile sources, and any other
information necessary to insure compliance with the regulations of this
Division, 1200-3, and the Board approved control strategy.

(d)	Construction of a new air contaminant source or the modification of
an air contaminant source which may result in the discharge of air
contaminants must be in accordance with the approved construction permit
application, the provisions and stipulations set forth in the
construction permit, all provisions of the regulations of this Division
1200-3, any applicable measures of the control strategy, and all
provisions of the Tennessee Air Quality Act.

(e)	No construction permit shall be issued by the Technical Secretary if
the approval to construct or modify an air contaminant source would
result in a violation of the ambient air quality standards specified in
Chapter 1200-3-3, would cause a violation of any other regulatory
requirement under this Division, 1200-3, would result in a violation of
applicable portions of the control strategy, or would interfere with
attainment or maintenance of a national ambient air quality standard in
a neighboring state.  In the case where a source or modification was
constructed without first obtaining a construction permit, a
construction permit may be issued to the source or modification to
establish as conditions of the permit, the necessary emission limits and
requirements to assure that these regulatory requirements are met.  The
appropriate enforcement action shall be pursued to insure that ambient
air quality standards and other regulatory requirements will be met. 
All emission limits and requirements of the construction permit must be
met prior to issuance of an operating permit for the source or
modification.

(f)	In the issuance of construction permits for new air contaminant
sources, or modifications, source impact analysis shall demonstrate that
allowable emission increases would not cause or contribute to air
pollution in violation of any ambient air quality standard in Chapter
1200-3-3, of any national ambient air quality standard, or any
applicable maximum allowable increase as defined in paragraph
1200-3-9-.01(4).  As required, all estimates of ambient concentrations
shall be based on applicable air quality models, and data bases
acceptable to the Technical Secretary, and meeting the requirements in
the EPA publication No. 450/2-78-027R, “Guidelines on Air Quality
Models (revised)” (1986), Supplement A (1987), and Supplement C (1995)
which are incorporated by reference.  The Technical Secretary may
approve use of a modified or another model on a case-by-case basis after
consultation with and upon written approval from the EPA Administrator.

(g)	In the issuance of construction permits for new air contaminant
sources or modifications, the degree of emission limitation required of
any source for control of any air contaminant must not be affected by so
much of any source’s stack height that exceeds good engineering
practice or by any other dispersion technique except as provided for in
Chapter 1200-3-24 of these regulations.

(h)	The Department shall on a monthly basis notify the public, by
advertisement in a newspaper of general circulation in each air quality
control region in which the proposed source or modification would be
constructed, of the applicants seeking to obtain a permit to construct
or modify an air contaminant source.  This notice shall specify the
general vicinity or location of the proposed source or modification, the
type of source or modification, and opportunity for public comment. 
Comments shall be in writing and delivered to the Technical Secretary
within thirty (30) days after the publication of the public notice.

(i)	Reserved.

(2)	Definitions.  As used in this chapter all terms not defined herein
or in subsequent parts of this chapter shall have the meaning given them
in Chapter 1200-3-2.

(a)	Reserved.

(b)	“Control Strategy” means a combination of measures, approved by
the Board, designated to achieve the aggregate reduction of emissions
necessary for attainment and maintenance of the ambient air quality
standards specified in the regulations under this Division 1200-3, or of
the national ambient air quality standards including, but not limited to
measures such as:

1.	Emission limitations.

2.	State emission charges or other economic incentives or disincentives.

3.	Closing or relocation of residential, commercial, or industrial
facilities.

4.	Changes in schedules or methods of operation of commercial or
industrial facilities or transportation systems, including, but not
limited to, short term changes made in accordance with standby plans.

5.	Periodic inspection and testing of motor vehicle emission control
systems, at such time it is determined that such programs are feasible
and practicable.

6.	Emission control measures applicable to in-use motor vehicles,
including, but not limited to, measures such as mandatory maintenance,
installation of emission control devices, and conversion of gaseous
fuels.

7.	Any transportation control measures considered feasible and
practicable.

8.	Any variation of, or alternative to any measure delineated herein.

9.	Control or prohibition of a fuel or fuel additive used in motor
vehicles, if such control or prohibition is necessary to achieve a
primary or secondary air quality standard, or national primary or
secondary standard, and is approved by the Technical Secretary.

(c)	“National Ambient Air Quality Standard” means any ambient
standard for an air contaminant promulgated by the Administrator of the
Environmental Protection Agency and published in the Code of Federal
Regulations.

(d)	“Best available control technology (BACT)” means an emission
limitation (including a visible emission standard) based on the maximum
degree of reduction for each pollutant subject to regulation under these
rules which would be emitted from any proposed new or modified air
contaminant source which the Technical Secretary, on a case-by-case
basis, taking into account energy, environmental, and economic impacts
and other costs, determines is achievable for such source or
modification through application of production processes or available
methods, systems, and techniques, including fuel cleaning or treatment
or innovative fuel combustion techniques for control of such pollutant. 
In no event shall application of best available control technology
result in emissions of any pollutant which would exceed the emissions
allowed by any applicable standard under Chapters 1200-3-11 and
1200-3-16 of these rules.  If the Technical Secretary determines that
technological or economic limitations on the application of measurement
methodology to a particular class of sources would make the imposition
of an emission standard infeasible, a design, equipment, work practice,
or operational standard, or combination thereof, may be prescribed
instead to require the application of best available control technology.
 Such standard shall, to the degree possible, set forth the emission
reduction achievable by implementation of such design, equipment, work
practice, or operation, and shall provide for compliance by means which
achieve equivalent results.  This definition does not apply to major
sources and major modifications, as defined in subparagraph (4)(b) of
this rule, which are subject to the provisions of paragraph (4) of this
rule.

(e)	“Lowest achievable emission rate” (LAER) means, for any
stationary source the more stringent rate of emissions based on the
following:

1.	The most stringent emissions limitation which is contained in the
applicable standards under this Division 1200-3, or in any State
Implementation Plan for such class or category of stationary source,
unless the owner or operator of the proposed source demonstrates that
such limitations are not achievable; or 

2.	The most stringent emissions limitation which is achieved in practice
by such class or category of stationary source.  This limitation, when
applied to a modification, means the lowest achievable emissions rate
for the new or modified emissions units within the stationary source. 
In no event shall the application of this term permit a proposed new or
modified stationary source to emit any air contaminant in excess of the
amount allowable under applicable new source standards of performance.

3.	This definition does not apply to major sources and major
modifications, as defined in part (5)(b)1. of this rule, which are
subject to the provisions of subparagraph (5)(b) of this rule.  The
definition at subpart (5)(b)1.(xviii) of this rule applies to major
sources and major modifications in non-attainment areasThe definition at
subparagraph (2)(d) of this rule applies to major sources and major
modifications.

		

(3)	Reserved.

(4)	Prevention of Significant Air Quality Deterioration

(a)	General Provisions

1.	No new major stationary source or major modification, as defined in
parts (b) 1. and (b) 2. of this paragraph, shall begin actual
construction unless the requirements of this paragraph, as applicable,
have been met.

2.	The requirements of this paragraph shall only apply to a proposed
major stationary source, or major modification with respect to any
pollutant which is emitted in significant amounts, or would result in a
significant net emissions increase of the pollutant respectively.  Also,
the requirements of this paragraph do not apply to proposed pollutant
emission sources or modifications in a nonattainment area as defined in
Chapter 1200-3-2 for any pollutant to be emitted by the proposed source
or modification for which the area is classified nonattainment.

3.	Any owner or operator who constructs or operates a source or
modification not in accordance with the application submitted pursuant
to this paragraph or with the terms of any approval to construct, or any
owner or operator of a source or modification subject to this paragraph
who commences construction after June 3, l981 without applying for and
receiving approval hereunder, shall be subject to appropriate
enforcement action.

4.	Approval to construct shall become invalid if construction is not
commenced within 18 months after issuance of an approved permit, if
construction is discontinued for a period of 18 months or more, or if
construction is not completed within 18 months of the completion date
specified on the construction permit application.  The Tennessee Air
Pollution Control Board may grant an extension to complete construction
of the source provided adequate justification is presented.  An
extension shall not exceed 18 months in time.  The provision does not
apply to the time period between construction of the approved phases of
a phased construction project; each phase must commence construction
within 18 months of the projected and approved commencement date.

5.	Approval to construct shall not relieve any owner or operator of the
responsibility to comply fully with the applicable provisions under this
Division 1200-3 and any other requirements under local, State, or
Federal law.

6.	If a particular source or modification becomes a major stationary
source or major modification solely by virtue of a relaxation in any
enforceable limitation which was established after August 7, 1980, on
the capacity of the source or modification otherwise to emit a
pollutant, such as a restriction on hours of operation, then the
requirements of this paragraph shall apply to the source or modification
as though construction had not yet commenced on the source or
modification.

7.	Permit Rescission

(i)	Any permit for a prevention of significant air quality deterioration
(PSD) source or modification that was issued prior to June 2, l990, will
remain in effect and binding until such time as the permittee files a
completed application to obtain rescission.  This application for
rescission may be filed at any time by the permittee.

(ii)	The Technical Secretary shall approve any application for
rescission if the application shows that this paragraph 1200-3-9-.01(4),
would not apply to the source or modification.

(iii)	If requested by the permittee, the Technical Secretary may rescind
only certain elements required in a PSD permit issued on or before June
3, l981.

(iv)	Those sources subject to PSD review before August 7, 1977 shall not
be allowed to apply for a PSD permit rescission if construction had
“commenced” by August 7, 1977.

(v)	If a source or modification whose permit is rescinded were later
found to be causing or contributing to an increment violation,
additional control may be required if determined necessary by the
Technical Secretary.

(vi)	If the Technical Secretary rescinds a permit under this paragraph,
the public shall be given adequate notice of the rescission. 
Publication of an announcement of rescission in a newspaper of general
circulation in the affected region within 60 days of the rescission
shall be considered adequate notice.

8.	Reserved.

9.	Reserved.

10.	Reserved.

11.	The following specific provisions apply to projects at existing
emissions units at a major stationary source (other than projects at a
Clean Unit or at a source with a plantwide applicability limitation
[PAL]) in circumstances where there is a reasonable possibility that a
project that is not a part of a major modification may result in a
significant emissions increase and the owner or operator elects to use
the method specified in items (b)38.(i)(I) through (III) of this
paragraph for calculating projected actual emissions.  

(i)	Before beginning actual construction of the project, the owner or
operator shall document and maintain a record of the following
information: 

(I)	A description of the project; 

(II)	Identification of the emissions unit(s) whose emissions of a
regulated NSR pollutant could be affected by the project; and 

(III)	A description of the applicability test used to determine that the
project is not a major modification for any regulated NSR pollutant,
including the baseline actual emissions, the projected actual emissions,
the amount of emissions excluded under item (b)38.(i)(III) of this
paragraph and an explanation for why such amount was excluded, and any
netting calculations, if applicable. 

(ii)	If the emissions unit is an existing electric utility steam
generating unit, before beginning actual construction, the owner or
operator shall provide a copy of the information set out in sub-part
(a)11.(i) of this paragraph to the Technical Secretary.  Nothing in this
sub-part (a)11.(ii) shall be construed to require the owner or operator
of such a unit to obtain any determination from the Technical Secretary
before beginning actual construction. 

(iii)	The owner or operator shall monitor the emissions of any regulated
NSR pollutant that could increase as a result of the project and that is
emitted by any emissions unit identified in item (a)11.(i)(II) of this
paragraph; and calculate and maintain a record of the annual emissions,
in tons per year on a calendar year basis, for a period of 5 years
following resumption of regular operations after the change, or for a
period of 10 years following resumption of regular operations after the
change if the project increases the design capacity or potential to emit
of that regulated NSR pollutant at such emissions unit. 

(iv)	If the unit is an existing electric utility steam generating unit,
the owner or operator shall submit a report to the Technical Secretary
within 60 days after the end of each year during which records must be
generated under sub-part (a)11.(ii) of this paragraph setting out the
unit’s annual emissions during the calendar year that preceded
submission of the report. 

(v)	If the unit is an existing unit other than an electric utility steam
generating unit, the owner or operator shall submit a report to the
Technical Secretary if the annual emissions, in tons per year, from the
project identified in sub-part (a)11.(i) of this paragraph, exceed the
baseline actual emissions (as documented and maintained pursuant to item
(a)11.(i)(III) of this paragraph) by a significant amount (as defined in
part (b)24. of this paragraph) for that regulated NSR pollutant, and if
such emissions differ from the preconstruction projection as documented
and maintained pursuant to item (a)11.(i)(III) of this paragraph.  Such
report shall be submitted to the Technical Secretary within 60 days
after the end of such year. The report shall contain the following: 

(I)	The name, address and telephone number of the major stationary
source; 

(II)	The annual emissions as calculated pursuant to sub-part (a)11.(iii)
of this paragraph; and 

(III)	Any other information that the owner or operator wishes to include
in the report (e.g., an explanation as to why the emissions differ from
the preconstruction projection).

12.	The owner or operator of the source shall make the information
required to be documented and maintained pursuant to part (a)11. of this
paragraph available for review upon request for inspection by the
Technical Secretary or the general public.

(b)	Definitions.  As used in this paragraph, all terms not defined
herein shall have the meaning given them in Chapter 1200-3-2.

1.	“Major stationary source” means:

(i)	Any of the following stationary sources, which emit or have the
potential to emit, 100 tons per year or more of any aira regulated NSR
pollutant regulated under this Division 1200-3.

(I)	Fossil-fuel fired steam electric plants of more than 250 million BTU
per hour heat input.

(II)	Municipal incinerators (or combinations thereof) capable of
charging more than 250 tons of refuse per day.

(III)	Fossil-fuel boilers (or combinations thereof) totaling more than
250 million BTU per hour heat input.

(IV)	Petroleum storage and transfer facilities with a total storage
capacity exceeding 300,000 barrels.

(V)	Coal cleaning plants (with thermal dryers)

(VI)	Kraft pulp mills

(VII)	Portland cement plants

(VIII)	Primary zinc smelters

(IX)	Iron and steel mill plants

(X)	Primary aluminum ore reduction plants

(XI)	Primary copper smelters

(XII)	Hydrofluoric acid plants

(XIII)	Sulfuric acid plants

(XIV)	Nitric acid plants

(XV)	Petroleum refineries

(XVI)	Lime plants

(XVII)	Phosphate rock processing plants

(XVIII)	Coke oven batteries

(XIX)	Sulfur recovery plants

(XX)	Carbon black plants (furnace process)

(XXI)	Primary lead smelters

(XXII)	Fuel conversion plants

(XXIII)	Sintering plants

(XXIV)	Secondary metal production plants

(XXV)	Chemical process plants

(XXVI)	Taconite ore processing plants

(XXVII)	Glass fiber processing plants

(XXVIII)	Charcoal production plants

(ii)	Notwithstanding the stationary source size specified in subpart
(b)1.(i) of this paragraph, any stationary source which emits or has the
potential to emit, 250 tons per year or more of any aira regulated NSR
pollutant subject to regulation under this Division 1200-3.

(iii)	Any physical change that would occur at a stationary source not
otherwise qualifying under part (b)1. as a major stationary source if
the change would constitute a major stationary source by itself.

2.	“Major modification” means any physical change in or change in
the method of operation of a major stationary source that would result
in a significant net emissions increase (as defined in part (b)34. of
this paragraph) of any a regulated NSR pollutant (as defined in part
(b)47. of this paragraph)subject to regulation under this Division
1200-3; and a significant net emissions increase of that pollutant from
the major stationary source.

(i)	A physical change or change in the method of operation shall not
include:

(I)	Routine maintenance, repair, or replacement;

(II)	Use of an alternative fuel or raw material by reason of any order
under section 2(a) and (b) of the Energy Supply and Environmental
Coordination Act of 1974 (or any superseding legislation) or by reason
of a natural gas curtailment plan pursuant to an applicable federal
statute;

(III)	Use of an alternative fuel by reason of an order or rule under
section 125 of the Clean Air Act;

(IV)	Use of an alternative fuel at a steam generating unit to the extent
that the fuel is generated from municipal solid waste as determined by
the Tennessee Division of Solid Waste Management.

(V)	Use of an alternative fuel or raw material by a stationary source
which the source was capable of accommodating before January 6, 1975,
unless such change would be prohibited under a legally enforceable
permit condition which was established after January 6, 1975, or under
regulations of this Division 1200-3, or under regulations approved by
the Environmental Protection Agency pursuant to 40 CFR 51.160-51.166;

(VI)	An increase in the hours of operation or in the production rate,
unless such change would be prohibited under a legally enforceable
permit condition which was established after January 6, 1975, or under
regulations of this Division 1200-3.

(VII)	Any change in ownership at a stationary source.

(VIII)	The addition, replacement, or use of a pollution control project
(PCP), as defined in part (b)35. of this paragraph, at an existing
emissions unit meeting the requirements of subparagraph (r) of this
paragraph.  A replacement control technology must provide more effective
emission control than that of the replaced control technology to qualify
for this exclusion.

(ii)	This definition shall not apply with respect to a particular
regulated NSR pollutant when the major stationary source is complying
with the requirements under subparagraph (s) of this paragraph for a PAL
for that pollutant. Instead, the definition at sub-part (s)2.(viii) of
this paragraph shall apply.

3.	Major sources and modifications for ozone

(i)	A source that is major for volatile organic compounds shall be
considered major for ozone.

(ii)	Any significant emissions increase from any emissions units or net
emissions increase at a major stationary source that is significant for
volatile organic compounds shall be considered significant for ozone.Any
net emissions increase that is significant for  volatile organic
compounds shall be considered significant for ozone.

4.	Net emission increases

(i)	“Net emissions increase” means, with respect to any regulated
NSR pollutant emitted by a major stationary source, the amount by which
the sum of the following exceeds zero:

(I)	AnyThe increase in actual emissions from a particular physical
change or change in the method of operation at a stationary source, as
calculated pursuant to part (c)4. of this paragraph; and

(II)	Any other increases and decreases in actual emissions at the major
stationary source that are contemporaneous with the particular change
and are otherwise creditable.  Baseline actual emissions for calculating
increases and decreases under this item (b)4.(i)(II) shall be determined
as provided in part (b)45., except that items (b)45.(i)(III) and
(b)45.(ii)(IV) of this paragraph shall not apply.

(ii)	An increase or decrease in actual emissions is contemporaneous with
the increase from the particular change only if it occurs between:

(I)	The date five years before a completed application for the
particular change is submitted; and

(II)	The date that the increase from the particular change occurs.

(iii)	An increase or decrease in actual emissions is creditable only if:

(I)	It occurs within the five years prior to the date a completed
application for the particular change is submitted; It occurs within a
reasonable period (to be specified by the Technical Secretary); and

(II)	The Technical Secretary has not relied on it in issuing a permit
for the source under regulations approved pursuant to this rule, which
permit is in effect when the increase in actual emissions from the
particular change occurs; and

(III)	The increase or decrease in emissions did not occur at a Clean
Unit, except as provided in parts (p)8. and (q)10. of this paragraph.

(iv)	An increase or decrease in actual emissions of sulfur dioxide,
particulate matter, or nitrogen oxides that occurs before the applicable
minor source baseline date is creditable only if it is required to be
considered in calculating the amount of maximum allowable increases
remaining available.

(iii)	An increase or decrease in actual emissions is creditable only if
the Technical Secretary has not relied on it in issuing a permit for the
source under regulations approved pursuant to this rule, which permit is
in effect when the increase in actual emissions from the particular
change occurs.

(iv)	An increase or decrease in actual emissions of sulfur dioxide,
particulate matter, or nitrogen oxides which occurs before the
applicable minor source baseline date is creditable only if it is
required to be considered in calculating the amount of maximum allowable
incremental increases remaining available.

(v)	An increase in actual emissions is creditable only to the extent
that the new level of actual emissions exceeds the old level.

(vi)	A decrease in actual emissions is creditable only to the extent
that:

(I)	The old level of actual emissions or the old level of allowable
emissions, whichever is lower, exceeds the new level of actual
emissions;

(II)	It is legally enforceable as a practical matter at and after the
time that actual construction on the particular change begins; and

(III)	It has approximately the same qualitative significance for public
health and welfare as that attributed to the increase from the
particular change.; and

(IV)	The decrease in actual emissions did not result from the
installation of add-on control technology or application of pollution
prevention practices that were relied on in designating an emissions
unit as a Clean Unit under subparagraph (q) of this paragraph or part
(5)(b)8. of this rule.  That is, once an emissions unit has been
designated as a Clean Unit, the owner or operator cannot later use the
emissions reduction from the air pollution control measures that the
Clean Unit designation is based on in calculating the net emissions
increase for another emissions unit (i.e., must not use that reduction
in a “netting analysis” for another emissions unit).  However, any
new emissions reductions that were not relied upon in a PCP excluded
pursuant to subparagraph (r) of this paragraph or for the Clean Unit
designation are creditable to the extent they meet the requirements in
sub-part (r)6.(iv) of this paragraph for the PCP and part (p)8. or
(q)10. of this paragraph for a Clean Unit.

(vii)	An increase that results from a physical change at a source occurs
when the emissions unit on which construction occurred becomes
operational and begins to emit a particular pollutant.  Any replacement
unit that requires shakedown becomes operational only after a reasonable
shakedown period as determined by the Technical Secretary, not to exceed
180 days.

(viii)	Sub-part (b)22.(i) of this paragraph shall not apply for
determining creditable increases and decreases.

5.	“Potential to emit” means the maximum capacity of a stationary
source to emit a pollutant under its physical and operational design. 
Any physical or operational limitation on the capacity of the source to
emit a pollutant, including air pollution control equipment and
restrictions on hours of operation or on the type or amount of material
combusted, stored, or processed, shall be treated as part of its design
if the limitation or the effect it would have on emissions is legally
enforceable.  Secondary emissions do not count in determining the
potential to emit of a stationary source.

6.	“Stationary source” means any building, structure, facility, or
installation which emits or may emit any aira regulated NSR pollutant
subject to regulation under this Division 1200-3 except the activities
of any vessel.

7.	“Building, structure, facility, or installation” means all of the
pollutant-emitting activities which belong to the same industrial
grouping, are located on one or more contiguous or adjacent properties,
and are under the control of the same person (or persons under common
control), except the activities of any vessel.  Pollutant-emitting
activities shall be considered as part of the same industrial grouping
if they belong to the same “Major Group” (i.e., described by the
first two digits in the code which is specified in the Standard
Industrial Classification Manual, 1972, as amended by the 1977
Supplement (U.S. Government Printing Office stock numbers 4101-0066 and
003-005-00176-0, respectively)).

8.	“Emissions unit” means any part of a stationary source that emits
or would have the potential to emit any regulated NSR pollutant and
includes an electric utility steam generating unit as defined in part
(b)52. of this paragraph.  For purposes of this paragraph, there are two
types of emissions units as described in sub-parts (b)8.(i) and (ii) of
this paragraph. 

(i)	A new emissions unit is any emissions unit that is (or will be)
newly constructed and that has existed for less than 2 years from the
date such emissions unit first operated. 

(ii)	An existing emissions unit is any emissions unit that does not meet
the requirements in sub-part (b)8.(i) of this paragraph.  A replacement
unit, as defined in part (b)33. of this paragraph, is an existing
emissions unit.means any part of a stationary source which emits or
would have the potential to emit any pollutant subject to regulation
under this Division 1200-3.

9.	“Construction” means any physical change or change in the method
of operation (including fabrication, erection, installation, demolition,
or modification of an emissions unit) which would result in a change in
actual emissions.

10.	“Commence” as applied to construction of a major stationary
source or major modification means that the owner or operator has all
necessary preconstruction approvals or permits and either has:

(i)	Begun, or caused to begin, a continuous program of actual on-site
construction of the source, to be completed within the time frame as
allowed in part 1200-3-9-.01(4)(a)4, or 

(ii)	Entered into binding agreements or contractual obligations, which
cannot be canceled or modified without substantial loss to the owner or
operator, to undertake a program of actual construction of the source to
be completed within the time frame as allowed in part
1200-3-9-.01(4)(a)4.

11.	“Necessary preconstruction approvals or permits” means all
permits or approvals required under air quality control laws and
regulations.

12.	“Begin actual construction” means, in general, initiation of
physical on-site construction activities on an emissions unit which are
of a permanent nature.  Such activities include, but are not limited to,
installation of building supports and foundations, laying of underground
pipework, and construction of permanent storage structures.  With
respect to a change in method of operation this term refers to those
on-site activities, other than preparatory activities, which mark the
initiation of the change.

13.	“Pollutant” means those air contaminants which fall under the
categories of criteria and non-criteria pollutants.  Criteria pollutants
are those for which an ambient air quality standard has been
established.  The non-criteria pollutants are air contaminants that are
not criteria pollutants.

14.	“Baseline area” means any intrastate area (and every part
thereof) not designated as a nonattainment area in which the major
source or major modification establishing the minor source baseline date
would construct or would have an air quality impact equal to or greater
than 1 ug/m3 (annual average) of the pollutant for which the minor
source baseline date is established.

(i)	Area redesignations under this Division 1200-3 cannot intersect or
be smaller than the area of impact of any major stationary source or
major modification which establishes a minor source baseline date or is
subject to the regulations in this paragraph.

15.	“Baseline date”:

(i)	“Major source baseline date” means in the case of particulate
matter and sulfur dioxide, January 6, 1975, and in the case of nitrogen
dioxide, February 8, 1988.

(ii)	“Minor source baseline date” means the earliest date after the
trigger date on which a major stationary source or a major modification
submits a complete application to the Technical Secretary or to the EPA
administrator.  The trigger date is:

(I)	In the case of particulate matter and sulfur dioxide, August 7,
1977, and

(II)	In the case of nitrogen dioxide, February 8, 1988.

(iii)	The baseline date is established for each pollutant for which
increments or other equivalent measures have been established if:

(I)	The area in which the proposed source or modification would
construct is not designated as a nonattainment area for the pollutant on
the date of its complete application.

(II)	In the case of a major stationary source, the pollutant would be
emitted in significant amounts, or, in the case of a major modification,
there would be a significant net emissions increase of the pollutant.

16.	“Baseline concentration” means that ambient concentration level
which exists in the baseline area at the time of the applicable minor
source baseline date.  A baseline concentration is determined for each
pollutant for which a minor source baseline date is established and
shall include:

(i)	The actual emissions representative of sources in existence on the
applicable minor source baseline date, except as provided in subpart
(b)146.(iii); and

(ii)	The allowable emissions of major stationary sources whichthat
commenced construction before the major source baseline date, but were
not in operation by the applicable minor source baseline date.

(iii)	The following will not be included in the baseline concentration
and will affect the applicable maximum allowable increment increase(s):

(I)	Actual emissions from any major stationary source on which
construction commenced after the major source baseline date; and

(II)	Actual emissions increases and decreases at any stationary source
occurring after the minor source baseline date.

17.	“Allowable emissions” means the emissions rate of a stationary
source calculated using the maximum rated capacity of the source (unless
the source is subject to legally enforceable limits which restrict the
operating rate, or hours of operation, or both) and the most stringent
of the following:

(i)	The applicable standards under this Division 1200-3 or in the State
Implementation Plan, including those with a future compliance date; or

(ii)	The emissions rate specified as a legally enforceable permit
condition established pursuant to this Rule 1200- 3-9-.01, including
those with a future compliance date.

18.	“Legally enforceable” means all limitations and conditions which
are enforceable by the Technical Secretary and the EPA Administrator,
including those under this Division 1200-3 and the State Implementation
Plan, and any permit requirements established pursuant to this Rule
1200-3-9-.01.

19.	“Secondary emissions” means emissions which occur as a result of
the construction or operation of a major stationary source or major
modification, but do not come from the major stationary source or major
modification itself.  For the purpose of this rule, secondary emissions
must be specific, well defined, quantifiable, and impact the same
general area as the stationary source or modification which causes the
secondary emissions.  Secondary emissions include emissions  from any
offsite support facility which would not otherwise be constructed or
increase its emissions except as a result of the construction or
operation of the major stationary source or major modification. 
Secondary emissions do not include any emissions which come directly
from a mobile source, such as emissions from the tailpipe of a motor
vehicle, from a train, or from a vessel.

20.	“Innovative control technology” means any system of air
pollution control that has not been adequately demonstrated in practice,
but would have a substantial likelihood of achieving greater continuous
emissions reduction than any control system in current practice or of
achieving at least comparable reductions at lower cost in terms of
energy, economics, or non-air quality environmental impacts.

21.	“Fugitive emissions” means those emissions which could not
reasonably pass through a stack, chimney, vent, roof monitor, or other
functionally equivalent opening.

22.	“Actual emissions” means the actual rate of emissions of a
regulated NSR pollutant from an emissions unit, as determined in
accordance with subparts (i) through (iii) below, except that this
definition shall not apply for calculating whether a significant
emissions increase has occurred, or for establishing a PAL under
subparagraph (s) of this paragraph.  Instead, parts (b)38. and (b)45. of
this paragraph shall apply for those purposes.

(i)	In general, actual emissions as of a particular date shall equal the
average rate, in tons per year, at which the unit actually emitted the
pollutant during a two-yearconsecutive 24-month period which precedes
the particular date and which is representative of normal source
operation.  The Technical Secretary may allow the use of a different
time period upon a determination that it is more representative of
normal source operation.  Actual emissions shall be calculated using the
unit’s actual operating hours, production rates, and types of
materials processed, stored, or combusted during the selected time
period.

(ii)	The Technical Secretary may presume that source-- specific
allowable emissions for the unit are equivalent to the actual emissions
of the unit.

(iii)	For any emissions unit whichthat has not begun normal operations
on the particular date, actual emissions shall equal the potential to
emit of the unit on that date.

23.	“Complete” means, in reference to an application for a permit,
that the application contains all the information necessary for
processing the application.  Designating an application complete for
purposes of permit processing does not preclude the Technical Secretary
from requesting or accepting any additional information.

24.	“Significant” means, in reference to a net emissions increase or
the potential of a source to emit any of the following pollutants, a
rate of emissions that would equal or exceed any of the following rates:

(i)	Pollutant and Emissions Rate

(I)	Carbon monoxide:  100 tons per year (tpy)

(II)	Nitrogen oxides:  40 tpy

(III)	Sulfur dioxide:  40 tpy

(IV)	Particulate matter:  25 tpy of particulate matter emissions; 15 tpy
of PM10 emissions.

(V)	Ozone:  40 tpy of volatile organic compounds or nitrogen oxides.

(VI)	Lead (elemental):  0.6 tpy

(VII)	Fluorides (excluding HF):  3 tpy

(VIII)	Sulfuric acid mist:  7 tpy

(IX)	Total reduced sulfur (including H2S):  10 tpy

(X)	Reduced sulfur compounds (including H2S):  10 tpy

(XI)	Municipal waste combustor organics (measured as total tetra-
through octa- chlorinated dibenzo-p-dioxins and dibenzofurans): 3.2 x
10-6 megagrams per year (3.5 x 10-6 tpy).

(XII)	Municipal waste combustor metals (measured as particulate matter):
15 tpy

(XIII)	Municipal waste combustor acid gases (measured as sulfur dioxide
and hydrogen chloride):  36 megagrams per year (40 tpy)

(XIV)	Ozone depleting substances (listed under Section 602 of the
federal Clean Air Act):  40 tpy

(XV)	Hydrogen sulfide:  10 tpy

(XVI)	Municipal solid waste landfill emissions (measured as non-methane
organic compounds):  50 tpy

(ii)	“Significant” means, in reference to a net emissions increase
or the potential of a source to emit a regulated NSR pollutant subject
to regulations of EPA under the Clean Air Act and that subpart (b)24.(i)
does not list, any emissions rate.

(iii)	Notwithstanding subpart (b)24.(i), “significant” means any
emissions rate or any net emissions increase associated with a major
stationary source or major modification, which would construct within 10
kilometers of a Class I area and have an impact on such area equal to or
greater than 1 ug/m3 (24-hour average).

25.	“Federal Land Manager” means, with respect to any lands in the
United States, the Secretary of the department with authority over such
lands.

26.	“High terrain” means any area having an elevation 900 feet or
more above the base of the stack of a source.

27.	“Low terrain” means any area other than high terrain.

28.	“Adverse impact on visibility” means visibility impairment which
interferes with the management, protection, preservation or enjoyment of
the visitors visual experience of the Federal Class I area.  This
determination must be made on a case-by-case basis taking into account
the geographic extent, intensity, duration, frequency and time of
visibility impairments, and how these factors correlate with the times
of visitor use of the Federal Class I area, and with the frequency and
timing of natural conditions that reduce visibility.

29.	“Volatile organic compounds (VOC)” means any compound of carbon,
excluding carbon monoxide, carbon dioxide, carbonic acid, metallic
carbides or carbonates, and ammonium carbonate, which participates in
atmospheric photochemical reactions.

(i)	This includes any such organic compound other than the following,
which have been determined to have negligible photochemical reactivity:
methane; ethane; methylene chloride (dichloromethane);
1,1,1-trichloroethane (methyl chloroform);
1,1,2-trichloro-1,2,2-trifluoroethane (CFC-113); trichlorofluoromethane
(CFI-11); dichlorodifluoromethane (CFC-12); chlorodifluoromethane
(HCFC-22); trifluoromethane (HFC-23); 1,2-dichloro
1,1,2,2-tetrafluoroethane (CFC-114); chloropentafluoroethane (CFC-115);
1,1,1-trifluoro 2,2-dichloroethane (HCFC-123); 1,1,1,2-tetrafluoroethane
(HFC-134a); 1,1-dichloro 1-fluoroethane (HCFC-141b); 1-chloro
1,1-difluoroethane (HCFC-142b); 2-chloro-1,1,1,2-tetrafluoroethane
(HCFC-124); pentafluoroethane (HFC-125); 1,1,2,2-tetrafluoroethane
(HFC-134); 1,1,1-trifluoroethane (HFC-143a); 1,1-difluoroethane
(HFC-152a); parachlorobenzotrifluoride (PCBTF); cyclic, branched, or
linear completely methylated siloxanes; acetone; perchloroethylene
(tetrachloroethylene); 3,3-dichloro-1,1,1,2,2-pentafluoropropane
(HCFC-225ca); 1,3-dichloro-1,1,2,2,3-pentafluoropropane (HCFC-225cb);
1,1,1,2,3,4,4,5,5,5-decafluoropentane (HFC-43-10mee); difluoromethane
(HFC-32); ethylfluoride (HFC-161); 1,1,1,3,3,3-hexafluoropropane
(HFC-236fa); 1,1,2,2,3-pentafluoropropane (HFC-245ca);
1,1,2,3,3-pentafluoropropane (HFC-245ea); 1,1,1,2,3-pentafluoropropane
(HFC-245eb); 1,1,1,3,3-pentafluoropropane (HFC-245fa);
1,1,1,2,3,3-hexafluoropropane (HFC-236ea); 1,1,1,3,3-pentafluorobutane
(HFC-365mfc); chlorofluoromethane (HCFC-31); 1-chloro-1-fluoroethane
(HCFC-151a); 1,2-dichloro-1,1,2-trifluoroethane (HCFC-123a);
1,1,1,2,2,3,3,4,4-nonafluoro-4-methoxy-butane (C4F9OCH3);
2-(difluoromethoxymethyl)-1,1,1,2,3,3,3-heptafluoropropane
((CF3)2CFCF2OCH3); 1-ethoxy-1,1,2,2,3,3,4,4,4-nonafluorobutane
(C4F9OC2H5); 2-(ethoxydifluoromethyl)-1,1,1,2,3,3,3-heptafluoropropane
((CF3)2CFCF2OC2H5); methyl acetate;
1,1,1,2,2,3,3-heptafluoro-3-methoxy-propane (n-C3F7OCH3, HFE–7000);
3-ethoxy-1,1,1,2,3,4,4,5,5,6,6,6-dodecafluoro-2-(trifluoromethyl) hexane
(HFE–7500); 1,1,1,2,3,3,3-heptafluoropropane (HFC 227ea); methyl
formate (HCOOCH3); and perfluorocarbon compounds which fall into these
classes:

(I) 	Cyclic, branched, or linear, completely fluorinated alkanes;

(II)	Cyclic, branched, or linear, completely fluorinated ethers with no
unsaturations;

(III)	Cyclic, branched, or linear, completely fluorinated tertiary
amines with no unsaturations; and

(IV) 	Sulfur containing perfluorocarbons with no unsaturations and with
sulfur bonds only to carbon and fluorine.

(ii)	For purposes of determining compliance with emissions limits, VOC
will be measured by the test methods in the approved State
implementation plan (SIP) or 40 CFR part 60, Appendix A, as applicable. 
Where such a method also measures compounds with negligible
photochemical reactivity, these negligibility-reactive compounds may be
excluded as VOC if the amount of such compounds is accurately
quantified, and such exclusion is approved by the Technical Secretary.

(iii)	As a precondition to excluding these compounds as VOC or at any
time thereafter, the Technical Secretary may require an owner or
operator to provide monitoring or testing methods and results
demonstrating, to the satisfaction of the Technical Secretary, the
amount of negligibly-reactive compounds in the source’s emissions.

(iv)	For purposes of enforcement for a specific source, the test methods
specified in these regulations, in the approved SIP, or in a permit
issued pursuant to these regulations shall be used.

(v)	The following compound(s) are VOC for purposes of all recordkeeping,
emissions reporting, photochemical dispersion modeling and inventory
requirements which apply to VOC and shall be uniquely identified in
emission reports, but are not VOC for purposes of VOC emissions
limitations or VOC content requirements: t-butyl acetate.

30.	“Dispersion technique” shall have the meaning as provided in
Chapter 1200-3-24.

31.	“Good engineering practice” (GEP) shall have the meaning as
provided in Chapter 1200-3-24.

32.	“Welfare” all language referring to effects on welfare includes,
but is not limited to, effects on soils, water, crops, vegetation,
manmade materials, animals, wildlife, weather, visibility, and climate,
damage to and deterioration of property, and hazards to transportation,
as well as effects on economic values and on personal comfort and
well-being, whether caused by transformation, conversion, or combination
with other air pollutants.

33.	“Replacement unit” means an emissions unit for which all the
criteria listed in sub-parts (b)33.(i) through (iv) of this paragraph
are met.  No creditable emission reductions shall be generated from
shutting down the existing emissions unit that is replaced. 

(i)	The emissions unit is a reconstructed unit within the meaning of
part 54. of this subparagraphsub-part 16-.01(9)(b)2.(i) of this
division, or the emissions unit completely takes the place of an
existing emissions unit. 

(ii)	The emissions unit is identical to or functionally equivalent to
the replaced emissions unit. 

(iii)	The replacement does not change the basic design parameter(s) of
the process unit. 

(iv)	The replaced emissions unit is permanently removed from the major
stationary source, otherwise permanently disabled, or permanently barred
from operation by a permit that is enforceable as a practical matter. 
If the replaced emissions unit is brought back into operation, it shall
constitute a new emissions unit. 

34.	“Significant emissions increase” means, for a regulated NSR
pollutant, an increase in emissions that is significant (as defined in
part (b)24. of this paragraph) for that pollutant.

35.	“Pollution control project (PCP)” means any activity, set of
work practices or project (including pollution prevention as defined
under part (b)36. of this paragraph) undertaken at an existing emissions
unit that reduces emissions of air pollutants from such unit.  Such
qualifying activities or projects can include the replacement or upgrade
of an existing emissions control technology with a more effective unit. 
Other changes that may occur at the source are not considered part of
the PCP if they are not necessary to reduce emissions through the PCP. 
Projects listed in sub-parts (b)35.(i) through (vi) of this paragraph
are presumed to be environmentally beneficial pursuant to sub-part
(r)2.(i) of this paragraph.  Projects not listed in these sub-parts may
qualify for a case-specific PCP exclusion pursuant to the requirements
of parts (r)2. and (r)5. of this paragraph. 

(i)	Conventional or advanced flue gas desulfurization or sorbent
injection for control of SO2. 

(ii)	Electrostatic precipitators, baghouses, high efficiency
multiclones, or scrubbers for control of particulate matter or other
pollutants. 

(iii)	Flue gas recirculation, low-NOX burners or combustors, selective
non-catalytic reduction, selective catalytic reduction, low emission
combustion (for IC engines), and oxidation/absorption catalyst for
control of NOX. 

(iv)	Regenerative thermal oxidizers, catalytic oxidizers, condensers,
thermal incinerators, hydrocarbon combustion flares, biofiltration,
absorbers and adsorbers, and floating roofs for storage vessels for
control of volatile organic compounds or hazardous air pollutants.  For
the purpose of this paragraph, “hydrocarbon combustion flare” means
either a flare used to comply with an applicable NSPS or MACT standard
(including uses of flares during startup, shutdown, or malfunction
permitted under such a standard), or a flare that serves to control
emissions of waste streams comprised predominately of hydrocarbons and
containing no more than 230 mg/dscm hydrogen sulfide. 

(v)	Activities or projects undertaken to accommodate switching (or
partially switching) to an inherently less polluting fuel, to be limited
to the following fuel switches: 

(I)	Switching from a heavier grade of fuel oil to a lighter fuel oil, or
any grade of oil to 0.05 percent sulfur diesel (i.e., from a higher
sulfur content #2 fuel or from #6 fuel, to CA 0.05 percent sulfur #2
diesel); 

(II)	Switching from coal, oil, or any solid fuel to natural gas,
propane, or gasified coal; 

(III)	Switching from coal to wood, excluding construction or demolition
waste, chemical or pesticide treated wood, and other forms of
“unclean” wood; 

(IV)	Switching from coal to #2 fuel oil (0.5 percent maximum sulfur
content); and 

(V)	Switching from high sulfur coal to low sulfur coal (maximum 1.2
percent sulfur content). 

(vi)	Activities or projects undertaken to accommodate switching from the
use of one ozone depleting substance (ODS) to the use of a substance
with a lower or zero ozone depletion potential (ODP), including changes
to equipment needed to accommodate the activity or project, that meet
the requirements of items (b)35.(vi)(I) and (II) of this paragraph. 

(I)	The productive capacity of the equipment is not increased as a
result of the activity or project. 

(II)	The projected usage of the new substance is lower, on an
ODP-weighted basis, than the baseline usage of the replaced ODS.  To
make this determination, follow the procedure in sub-items
(b)35.(vi)(II)I through IV of this paragraph. 

I	Determine the ODP of the substances by consulting 40 CFR part 82,
subpart A, appendices A and B. 

II	Calculate the replaced ODP-weighted amount by multiplying the
baseline actual usage (using the annualized average of any 24
consecutive months of usage within the past 10 years) by the ODP of the
replaced ODS. 

III	Calculate the projected ODP-weighted amount by multiplying the
projected annual usage of the new substance by its ODP. 

IV	If the value calculated in sub-item (b)35.(vi)(II)II of this
paragraph is more than the value calculated in sub-item
(b)35.(vi)(II)III of this paragraph, then the projected use of the new
substance is lower, on an ODP-weighted basis, than the baseline usage of
the replaced ODS.

36.	“Pollution prevention” means any activity that through process
changes, product reformulation or redesign, or substitution of less
polluting raw materials, eliminates or reduces the release of air
pollutants (including fugitive emissions) and other pollutants to the
environment prior to recycling, treatment, or disposal; it does not mean
recycling (other than certain “in-process recycling” practices),
energy recovery, treatment, or disposal.

37.	Reserved.

38.	“Projected actual emissions” means the maximum annual rate, in
tons per year, at which an existing emissions unit is projected to emit
a regulated NSR pollutant in any one of the 5 years (12-month period)
following the date the unit resumes regular operation after the project,
or in any one of the 10 years following that date, if the project
involves increasing the emissions unit’s design capacity or its
potential to emit that regulated NSR pollutant, and full utilization of
the unit would result in a significant emissions increase, or a
significant net emissions increase at the major stationary source. 

(i)	In determining the projected actual emissions under part (b)38. of
this paragraph (before beginning actual construction), the owner or
operator of the major stationary source: 

(I)	Shall consider all relevant information, including but not limited
to, historical operational data, the company’s own representations,
the company’s expected business activity and the company’s highest
projections of business activity, the company’s filings with the State
or Federal regulatory authorities, and compliance plans under the
approved plan; and 

(II)	Shall include fugitive emissions to the extent quantifiable and
emissions associated with startups, shutdowns, and malfunctions; and 

(III)	Shall exclude, in calculating any increase in emissions that
results from the particular project, that portion of the unit’s
emissions following the project that an existing unit could have
accommodated during the consecutive 24-month period used to establish
the baseline actual emissions under part (b)45. of this paragraph and
that are also unrelated to the particular project, including any
increased utilization due to product demand growth; or, 

(IV)	In lieu of using the method set out in items (b)(38.(i)(I) through
(III) of this paragraph, may elect to use the emissions unit’s
potential to emit, in tons per year, as defined under part (b)5. of this
paragraph. 

39.	“Clean Unit” means any emissions unit that has been issued a
major NSR permit that requires compliance with BACT or LAER, is
complying with such BACT/LAER requirements, and qualifies as a Clean
Unit pursuant to subparagraph (p) of this paragraph; or any emissions
unit that has been designated by the Technical Secretary as a Clean
Unit, based on the criteria in sub-parts (q)3.(i) through (iv) of this
paragraph, using a plan-approved permitting process.

40.	“Prevention of Significant Deterioration Program” (PSD) program
means a major source preconstruction permit program that has been
approved by the Administrator and incorporated into the State
Implementation Plan (SIP) to implement the requirements of 40 CFR
51.166.  Any permit issued under such a program is a major NSR permit.

41.	“Continuous emissions monitoring system (CEMS)” means all of the
equipment that may be required to meet the data acquisition and
availability requirements of this section, to sample, condition (if
applicable), analyze, and provide a record of emissions on a continuous
basis. 

42.	“Predictive emissions monitoring system (PEMS)” means all of the
equipment necessary to monitor process and control device operational
parameters (for example, control device secondary voltages and electric
currents) and other information (for example, gas flow rate, O 2 or CO 2
concentrations), and calculate and record the mass emissions rate (for
example, lb/hr) on a continuous basis. 

43.	“Continuous parameter monitoring system (CPMS)” means all of the
equipment necessary to meet the data acquisition and availability
requirements of this paragraph, to monitor process and control device
operational parameters (for example, control device secondary voltages
and electric currents) and other information (for example, gas flow
rate, O 2 or CO 2 concentrations), and to record average operational
parameter value(s) on a continuous basis. 

44.	“Continuous emissions rate monitoring system (CERMS)” means the
total equipment required for the determination and recording of the
pollutant mass emissions rate (in terms of mass per unit of time). 

45.	“Baseline actual emissions” means the rate of emissions, in tons
per year, of a regulated NSR pollutant, as determined in accordance with
sub-parts (b)45.(i) through (iv) of this paragraph. 

(i)	For any existing electric utility steam generating unit, baseline
actual emissions means the average rate, in tons per year, at which the
unit actually emitted the pollutant during any consecutive 24-month
period selected by the owner or operator within the 5-year period
immediately preceding when the owner or operator begins actual
construction of the project.  The Technical Secretary shall allow the
use of a different time period upon a determination that it is more
representative of normal source operation. 

(I)	The average rate shall include fugitive emissions to the extent
quantifiable, and emissions associated with startups, shutdowns, and
malfunctions. 

(II)	The average rate shall be adjusted downward to exclude any
non-compliant emissions that occurred while the source was operating
above an emission limitation that was legally enforceable during the
consecutive 24-month period. 

For a regulated NSR pollutant, when a project involves multiple
emissions units, one consecutive 24-month period must be used to
determine the baseline actual emissions for the emissions units being
changed.  However, the Technical Secretary is authorized to allow the
use of multiple, pollutant specific 24-month baselines in determining
the magnitude of a significant net emissions increase and the
applicability of major new source review requirements if all of the
following conditions are met:

I.	Construction of a new source or modification would become subject to
major new source review if a single 2-year baseline is used for all
pollutants.

II.	One or more pollutants were emitted during such 2-year period in
amounts that were less than otherwise permitted for reasons other than
operations at a lower production or utilization rate.  Qualifying
examples include, but are not limited to, the voluntary use of:

A.	a cleaner fuel than otherwise permitted in a fuel burning operation
(e.g., natural gas instead of coal in a multi-fuel boiler),

B.	a coating with a lower VOC content than otherwise permitted in a
coating operation, 

C.		a voluntary improvement in the control efficiency of an air
pollution control device or the voluntary addition of a control device
where one did not exist before, and

D.	alternate production methods, raw materials, or products that result
in lower emissions of one or more pollutants.

III.		Use of alternate 2-year baselines for the pollutants described in
2. above would result in the construction of the new source or
modification not being subject to major new source review. 

The use of the multiple baselines is not prohibited by any applicable
provision of the USEPA’s new source review regulations.  

The burden for demonstrating that these conditions are met is upon the
permit applicant.  The demonstration and the Technical Secretary’s
approval will be made a part of the permit record.

(IV)	The average rate shall not be based on any consecutive 24-month
period for which there is inadequate information for determining annual
emissions, in tons per year, and for adjusting this amount if required
by item (b)45.(i)(II) of this paragraph. 

(ii)	For an existing emissions unit (other than an electric utility
steam generating unit), baseline actual emissions means the average
rate, in tons per year, at which the emissions unit actually emitted the
pollutant during any consecutive 24-month period selected by the owner
or operator within the 10-year period immediately preceding either the
date the owner or operator begins actual construction of the project, or
the date a complete permit application is received by the Technical
Secretary for a permit required either under this section or under a
plan approved by the Administrator, whichever is earlier, except that
the 10-year period shall not include any period earlier than November
15, 1990. 

(I)	The average rate shall include fugitive emissions to the extent
quantifiable, and emissions associated with startups, shutdowns, and
malfunctions. 

(II)	The average rate shall be adjusted downward to exclude any
non-compliant emissions that occurred while the source was operating
above an emission limitation that was legally enforceable during the
consecutive 24-month period. 

(III)	The average rate shall be adjusted downward to exclude any
emissions that would have exceeded an emission limitation with which the
major stationary source must currently comply, had such major stationary
source been required to comply with such limitations during the
consecutive 24-month period.  However, if an emission limitation is part
of a maximum achievable control technology standard that the
Administrator proposed or promulgated under 40 CFR 63, the baseline
actual emissions need only be adjusted if the State has taken credit for
such emissions reductions in an attainment demonstration or maintenance
plan. 

For a regulated NSR pollutant, when a project involves multiple
emissions units, one consecutive 24-month period must be used to
determine the baseline actual emissions for the emissions units being
changed.  However, the Technical Secretary is authorized to allow the
use of multiple, pollutant specific 24-month baselines in determining
the magnitude of a significant net emissions increase and the
applicability of major new source review requirements if all of the
following conditions are met:

I.	Construction of a new source or modification would become subject to
major new source review if a single 2-year baseline is used for all
pollutants.

II.	One or more pollutants were emitted during such 2-year period in
amounts that were less than otherwise permitted for reasons other than
operations at a lower production or utilization rate.  Qualifying
examples include, but are not limited to, the voluntary use of:

A.	a cleaner fuel than otherwise permitted in a fuel burning operation
(e.g., natural gas instead of coal in a multi-fuel boiler),

B.	a coating with a lower VOC content than otherwise permitted in a
coating operation, 

C.	a voluntary improvement in the control efficiency of an air pollution
control device or the voluntary addition of a control device where one
did not exist before, and

D.	alternate production methods, raw materials, or products that result
in lower emissions of one or more pollutants.

III.		Use of alternate 2-year baselines for the pollutants described in
2. above would result in the construction of the new source or
modification not being subject to major new source review. 

IV.		The use of the multiple baselines is not prohibited by any
applicable provision of the USEPA’s new source review regulations.

The burden for demonstrating that these conditions are met is upon the
permit applicant.  The demonstration and the Technical Secretary’s
approval will be made a part of the permit record.

(V)	The average rate shall not be based on any consecutive 24-month
period for which there is inadequate information for determining annual
emissions, in tons per year, and for adjusting this amount if required
by items (b)45.(ii)(II) and (III) of this paragraph. 

(iii)	For a new emissions unit, the baseline actual emissions for
purposes of determining the emissions increase that will result from the
initial construction and operation of such unit shall equal zero; and
thereafter, for all other purposes, shall equal the unit’s potential
to emit. 

(iv)	For a PAL for a stationary source, the baseline actual emissions
shall be calculated for existing electric utility steam generating units
in accordance with the procedures contained in sub-part (b)45.(i) of
this paragraph, for other existing emissions units in accordance with
the procedures contained in sub-part (b)45.(ii) of this paragraph, and
for a new emissions unit in accordance with the procedures contained in
sub-part (b)45.(iii) of this paragraph. 

46.	[Reserved] 

47.	“Regulated NSR pollutant,” for purposes of this paragraph, means
the following: 

(i)	Any pollutant for which a national ambient air quality standard has
been promulgated and any constituents or precursors for such pollutants
identified by the Administrator (e.g., volatile organic compounds are
precursors for ozone); 

(ii)	Any pollutant that is subject to any standard promulgated under
section 111 of the Federal Clean Air Act; 

(iii)	Any Class I or II substance subject to a standard promulgated
under or established by title VI of the Federal Clean Air Act; or 

(iv)	Any pollutant that otherwise is subject to regulation under the
Federal Clean Air Act; except that any or all hazardous air pollutants
either listed in section 112 of the Federal Clean Air Act or added to
the list pursuant to section 112(b)(2) of the Federal Clean Air Act,
which have not been delisted pursuant to section 112(b)(3) of the
Federal Clean Air Act, are not regulated NSR pollutants unless the
listed hazardous air pollutant is also regulated as a constituent or
precursor of a general pollutant listed under section 108 of the Federal
Clean Air Act.

48.	“Reviewing authority” means the State air pollution control
agency, local agency, other State agency, Indian tribe, or other agency
authorized by the Administrator to carry out a permit program under 40
CFR 51.165, or the Administrator in the case of EPA-implemented permit
programs under 40 CFR 52.21. 

49.	“Project” means a physical change in, or change in method of
operation of, an existing major stationary source. 

50.	“Lowest achievable emission rate (LAER)” is as defined in
sub-part (5)(b)1.(xviii) of this rule. 

51.	Reserved.

52.	Electric utility steam generating unit means any steam electric
generating unit that is constructed for the purpose of supplying more
than one-third of its potential electric output capacity and more than
25 MW electrical output to any utility power distribution system for
sale.  Any steam supplied to a steam distribution system for the purpose
of providing steam to a steam-electric generator that would produce
electrical energy for sale is also considered in determining the
electrical energy output capacity of the affected facility.

53.	“Best available control technology” (BACT) means an emissions
limitation (including a visible emissions standard) based on the maximum
degree of reduction for each regulated NSR pollutant which would be
emitted from any proposed major stationary source or major modification
which the Technical Secretary, on a case-by-case basis, taking into
account energy, environmental, and economic impacts and other costs,
determines is achievable for such source or modification through
application of production processes or available methods, systems, and
techniques, including fuel cleaning or treatment or innovative fuel
combustion techniques for control of such pollutant. In no event shall
application of best available control technology result in emissions of
any pollutant which would exceed the emissions allowed by any applicable
standard under 40 CFR part 60 or 61. If the Technical Secretary
determines that technological or economic limitations on the application
of measurement methodology to a particular emissions unit would make the
imposition of an emissions standard infeasible, a design, equipment,
work practice, operational standard, or combination thereof, may be
prescribed instead to satisfy the requirement for the application of
BACT. Such standard shall, to the degree possible, set forth the
emissions reduction achievable by implementation of such design,
equipment, work practice or operation, and shall provide for compliance
by means which achieve equivalent results.

54.	“Reconstruction” means the replacement of components of an
existing facility to such an extent that:

(i)	The fixed capital cost of the new components exceeds 50 percent of
the fixed capital cost that would be required to construct a comparable
entirely new facility, and

(ii)	It is technologically and economically feasible to meet the
applicable standards set forth in this chapter.

(iii)	This part applies only in this chapter 1200-3-9 unless specified
otherwise.

(c)	Major stationary sources and major modifications of sources are
subject to the provisions of this paragraph.Applicability.

1.	The requirements of this paragraph apply to the construction of any
new major stationary source (as defined in part (b)1. of this paragraph)
or any project at an existing major stationary source in an area
designated as attainment or unclassifiable under sections
107(d)(1)(A)(ii) or (iii) of the Federal Clean Air Act. 

2.	The requirements of subparagraphs (j), (k), (l), and (n); parts (e)1.
2., and 7.; and parts (a)5., 6., 8., 9., and 10. of this paragraph apply
to the construction of any new major stationary source or the major
modification of any existing major stationary source, except as this
rule otherwise provides.

3.	No new major stationary source or major modification to which the
requirements of subparagraphs (j), (k), (l), and (n); parts (e)1. 2.,
and 7.; and parts (a)5., 6., 8., 9., and 10. of this rule apply shall
begin actual construction without a permit that states that the major
stationary source or major modification will meet those requirements.

4.	(i)	Except as otherwise provided in sub-parts (c)5. and 6. 4.(v) and
(vi) of this paragraph, and consistent with the definition of major
modification contained in part (b)2. of this paragraph, a project is a
major modification for a regulated NSR pollutant if it causes two types
of emissions increases—a significant emissions increase (as defined in
part (b)34. of this paragraph), and a significant net emissions increase
(as defined in parts (b)4. and 24.of this paragraph).  The project is
not a major modification if it does not cause a significant emissions
increase.  If the project causes a significant emissions increase, then
the project is a major modification only if it also results in a
significant net emissions increase. 

(ii)	The procedure for calculating (before beginning actual
construction) whether a significant emissions increase (i.e., the first
step of the process) will occur depends upon the type of emissions units
being modified, according to sub-parts (c)4.(iii) through (vi) of this
paragraph.  The procedure for calculating (before beginning actual
construction) whether a significant net emissions increase will occur at
the major stationary source (i.e., the second step of the process) is
contained in the definition in part (b)4. of this paragraph.  Regardless
of any such preconstruction projections, a major modification results if
the project causes a significant emissions increase and a significant
net emissions increase. 

(iii)	Actual-to-projected-actual applicability test for projects that
only involve existing emissions units.  A significant emissions increase
of a regulated NSR pollutant is projected to occur if the sum of the
difference between the projected actual emissions (as defined in part
(b)38. of this paragraph) and the baseline actual emissions (as defined
in sub-parts (b)45.(i) and (ii) of this paragraph) for each existing
emissions unit, equals or exceeds the significant amount for that
pollutant (as defined in part (b)24. of this paragraph). 

(iv)	Actual-to-potential test for projects that only involve
construction of a new emissions unit(s).  A significant emissions
increase of a regulated NSR pollutant is projected to occur if the sum
of the difference between the potential to emit (as defined in part
(b)5. of this paragraph) from each new emissions unit following
completion of the project and the baseline actual emissions (as defined
in sub-part (b)45.(iii) of this paragraph) of these units before the
project equals or exceeds the significant amount for that pollutant (as
defined in part (b)24. of this paragraph).

(v)	Emission test for projects that involve Clean Units.  For a project
that will be constructed and operated at a Clean Unit without causing
the emissions unit to lose its Clean Unit designation, no emissions
increase is deemed to occur.

(vi)	Hybrid test for projects that involve multiple types of emissions
units.  A significant emissions increase of a regulated NSR pollutant is
projected to occur if the sum of the emissions increases for each
emissions unit, using the method specified in sub-parts (c)4.(iii)
through (v) of this paragraph as applicable with respect to each
emissions unit, for each type of emissions unit equals or exceeds the
significant amount for that pollutant (as defined in part (b)24. of this
paragraph).  For example, if a project involves both an existing
emissions unit and a Clean Unit, the projected increase is determined by
summing the values determined using the method specified in sub-part
(c)4.(iii) of this paragraph for the existing unit and determined using
the method specified in sub-part (c)4.(v) of this paragraph for the
Clean Unit.

5.	For any major stationary source for a PAL for a regulated NSR
pollutant, the major stationary source shall comply with requirements
under subparagraph (s) of this paragraph.

6.	An owner or operator undertaking a PCP (as defined in part (b)35. of
this paragraph) shall comply with the requirements under subparagraph
(r) of this paragraph.

(d)	Major stationary sources and major modifications are exempt from
certain provisions of this paragraph in accordance with the following:

1.	Major stationary sources or major modifications as defined in this
paragraph shall not be subject to the requirements of this paragraph
(except as provided in part (4)(a)7. of this paragraph) if:

(i)	The source or modification would be a major stationary source or
major modification only if fugitive emissions, to the extent
quantifiable, are considered in calculating the potential to emit of the
stationary source or modification and such source does not belong to any
of the categories listed under subpart (b)1.(i), or any other stationary
source category which, as of the (effective date of this rule) is being
regulated under Chapters 1200-3-11 and 1200-3-16.

(ii)	The source or modification was subject to the new construction
rules and regulations as in effect before June 3, l981, and the owner or
operator:

(I)	Obtained all final Federal, State, and local preconstruction
approvals or permits necessary before June 3, l981.

(II)	Commenced construction within 18 months of receipt of all necessary
Federal, State, and local preconstruction approvals or permits; and

(III)	Did not discontinue construction for a period of 18 months or more
and completed construction within the time frame as allowed in part
1200-3-9-.01(4)(a)4.

(iii)	The source or modification was subject to the prevention of
significant deterioration rules and regulations as in effect before June
3, l981, and the owner or operator:

(I)	Submitted a completed application before June 3, l981.

(II)	Commenced construction within 18 months of receipt of all necessary
Federal, State, and local preconstruction approvals or permits; and

(III)	Did not discontinue construction for a period of 18 months or more
and completed construction within the time frame as allowed in part
1200-3-9-.01(4)(a)4.

(iv)	The source or modification was not subject to this paragraph, with
respect to particulate matter, as in effect before June 2, l990 and the
owner or operator:

(I)	Obtained all final Federal, State, and local preconstruction
approvals or permits necessary before June 2, l990.

(II)	Commenced construction within 18 months of receipt of all necessary
Federal, State, and local preconstruction approvals or permits; and

(III)	Did not discontinue construction for a period of 18 months or more
and completed construction within the time frame as allowed in part
1200-3-9-.01(4)(a)4.

2.	A major stationary source or modification as defined in this
paragraph that was subject to the prevention of significant
deterioration rules and regulations, with respect to particulate matter,
as in effect before June 2, l990 does not have to meet the PM10
requirements effective on June 2, l990 if the owner or operator:

(i)	Submitted a completed application (as determined by the Technical
Secretary) before June 2, l990.

(ii)	Commenced construction within 18 months of receipt of all necessary
Federal, State, and local preconstruction approvals or permits; and

(iii)	Did not discontinue construction for a period of 18 months or more
and completed construction within the time frame as allowed in part
1200-3-9-.01(4)(a)4.

3.	No major stationary source or major modification as defined in this
paragraph shall be subject to the requirements of this paragraph with
respect to a particular pollutant if the owner or operator demonstrates
that, as to that pollutant, the source or modification is located in an
area designated as nonattainment as defined in Rule 1200-3-2-.01.

4.	Source impact and air quality analysis as required in parts (e)1.,
(e)3., and (e)7. of this paragraph shall not apply to a proposed major
stationary source or major modification with respect to a particular
pollutant, if the allowable emissions of that pollutant from a new
source, or the net emissions increase of that pollutant from a
modification, would be temporary and impact no Class I area and no area
where an applicable increment is known to be violated.

5.	Source impact and air quality analysis as required in parts
(e)1.,(e)3., and (e)7. of this paragraph as they relate to any maximum
allowable increase for a Class II area do not apply to a major
modification of a stationary source that was in existence on March 1,
1978, if the net increase in allowable emissions of each regulated NSR
pollutant from the modification after the application of best available
control technology would be less than 50 tons per year.

6.	Air quality analysis as required in this paragraph may be exempted
with respect to preconstruction monitoring for a particular pollutant by
the Technical Secretary if:

(i)	The emissions increase of the pollutant from a new stationary source
or the net emissions increase of the pollutant from a modification would
cause, in any area, air quality impacts less than the following amounts:

(I)	Carbon monoxide - 575 ug/m3, 8-hour average;

(II)	Nitrogen dioxide - 14 ug/m3, annual average;



(III)	Particulate matter:

	10 ug/m3 of TSP, 24-hour average

	10 ug/m3 of PM10, 24-hour average;

(IV)	Sulfur dioxide - 13 ug/m3, 24-hour average;

(V)	Ozone - no deminimis air quality level has been established. 
However, any net increase of 100 tons per year or more of volatile
organic compounds subject to PSD would be required to perform an ambient
impact analysis, including the gathering of ambient air quality data.

(VI)	Lead (elemental) - 0.1 ug/m3, 3-month average;

(VII)	Fluorides (excluding HF) - 0.25 ug/m3, 24-hour average;

(VIII) 	Total reduced sulfur - 10 ug/ m3, 1-hour average;

(IX)	Reduced sulfur compounds - 10 ug/ m3, 1-hour average; or

0.2 μg/m3, 1-hour average; or

(ii)	The pollutants are not listed in sub-part (d)6.(i); or

(iii)	Representative existing ambient air quality data, consistent with
the requirements of the Ambient Monitoring Guideline for Prevention of
Significant Deterioration (PSD), EPA-450/4-87-007, are available for any
pollutant as emitted by a major stationary source, or major
modification; or

(iv)	The existing air pollutant levels are conservatively estimated to
be less than the concentrations listed in subpart (i) of this part, and
a monitoring network may not reliably measure the predicted background
concentrations.

7.	A portable stationary source which has previously received
construction approval under the requirements of this paragraph may
relocate if:

(i)	Emissions from the source would be temporary and would not exceed
its allowable emissions; and

(ii)	The emissions from the source would impact no Class I area and no
area where an applicable increment is known to be violated; and

(iii)	Notice shall be given to the Technical Secretary 30 days prior to
the relocation, giving the new temporary location and the probable
length of operation at the new location.

8.	Exclusions from Increment Consumption

(i)	Maximum allowable increases (ambient air increments) as specified in
subparagraph 1200-3-9-.01(4)(f) shall not apply to concentrations as
described below.

(I)	Concentrations attributable to the increase in emissions from
stationary sources which have converted from the use of petroleum
products, natural gas, or both by reason of an order in effect under
sections 2 (a) and (b) of the Energy Supply and Environmental
Coordination Act of 1974 (or any superseding legislation) over the
emissions from such sources before the effective date of such an order;

(II)	Concentrations attributable to the increase in emissions from
sources which have converted from using natural gas by reason of a
natural gas curtailment plan in effect pursuant to an applicable Federal
law over the emissions from such sources before the effective date of
such plan;

(III)	Concentrations of particulate matter attributable to the increase
in emissions from construction or other temporary emissions-related
activities of new or modified sources;

(IV)	Concentrations attributable to the temporary increase in emissions
of sulfur dioxide, particulate matter, or nitrogen oxides from
stationary sources which are affected by plan revisions approved as
meeting the criteria specified in subpart 7.(iii).

(ii)	No exclusion of such concentrations shall apply more than five
years after the effective date of the order to which item 7.(i)(I)
refers or of the plan to which item 7.(i)(II) refers, whichever is
applicable.  If both such order and plan are applicable, no such
exclusion shall apply more than five years after the later of such
effective dates.

(iii)	For purposes of excluding concentrations pursuant to item
7.(i)(IV), the proposed plan revision shall:

(I)	Specify the time over which the temporary emissions increase of
sulfur dioxide, particulate matter, or nitrogen oxides would occur. 
Such time is not to exceed two years in duration.

(II)	Specify that the time period for excluding certain contributions in
accordance with item 7.(iii)(I) is not renewable.

(III)	Allow no emission increase from a stationary source which would:

I.	Impact a Class I area or an area where an applicable increment is
known to be violated; or

II.	Cause or contribute to the violation of a national ambient air
quality standard;

(IV)	Require limitations to be in effect at the end of the time period
specified in accordance with item 7.(iii)(I) which would ensure that the
emissions levels from stationary sources affected by the plan revision
would not exceed those levels occurring from such sources before the
plan revision was approved.

9.	With the approval of the Technical Secretary, the requirements for
air quality monitoring of PM10 in part (e)7. of this paragraph may not
apply to a particular major stationary source or major modification if
the owner or operator submitted an application for a permit on or before
June 1, l988 and the Technical Secretary determines that the application
as submitted before that date was complete, except with respect to the
particulate matter monitoring requirements in part (e)7. of this
paragraph.

10.	Preapplication air quality analysis for ozone as required in part
(e)7. of this paragraph will not be necessary if the source owner or
operator chooses to meet the lowest achievable emission rate (LAER) in
lieu of meeting the requirements to apply best available control
technology (BACT) for emissions of volatile organic compounds or
nitrogen oxides and is required to conduct post-construction monitoring
for ozone.

(e)	The owner or operator of the proposed major stationary source or
major modification:

1.	Shall demonstrate by performing source impact analysis that allowable
emission increases from the proposed source or modification, in
conjunction with all other applicable emissions increases or reduction
(including secondary emissions) would not cause or contribute to air
pollution in violation of:

(i)	Any Tennessee ambient air quality standard in the source impact
area.

(ii)	Any applicable maximum allowable increase over the baseline
concentration in any area.

2.	Shall submit all data necessary to make the analyses and
determinations required under this paragraph.

(i)	The data shall include:

(I)	A description of the nature, location, design capacity, and typical
operating schedule of the source or modification, including
specifications and drawings needed for the review showing its design and
plant layout.

(II)	A detailed proposed schedule for construction of the source or
modification.

(III)	A detailed description as to what system of continuous emission
reduction is planned for the source or modification, emission estimates,
and any other information necessary to determine that best available
control technology (BACT) would be applied where required by this
paragraph.

(IV)	Additional impact analysis

I.	The impairment to visibility, soils, and vegetation that would occur
as a result of the source or modification and the associated general
commercial, residential, industrial, and other growth.  Vegetation
having no significant commercial or recreational value may be excluded
from the analysis.

II.	The air quality impact projected for the area as a result of general
commercial, residential, industrial, and other growth associated with
the source or modification.

III.	The Technical Secretary may require monitoring of visibility in any
Federal Class I area near the proposed new stationary source or major
modification, for such purposes and by such means as the Technical
Secretary deems necessary  and appropriate.

(ii)	Upon request by the Technical Secretary, the owner or operator
shall also provide information on:

(I)	The air quality impact of the source or modification, including
meteorological and topographical data.

(II)	The air quality impacts, and the nature and extent of any or all
general commercial, residential, industrial, and other growth which has
occurred since the PSD baseline date in the area the source or
modification would affect.  Such data in the possession of the Division
shall be made available to the owner or operator.

3.	Shall, after construction of the stationary source or modification,
conduct such post-construction monitoring as the Technical Secretary
determines is necessary to determine the effect emissions from the
stationary source or modification may have, or are having on air quality
in any area.

4.	Shall meet the quality assurance requirements as specified in the
Code of Federal Regulations, Title 40, Part 58, Appendix B, as published
July 1, 1991, during the operation of monitoring stations for purposes
of satisfying parts (e)3. and (e)7. of this paragraph.

5.	Shall insure that the major stationary source or the major
modification be in compliance with all applicable emission limitations
of this Division 1200-3.

6.	Shall pay the cost of all publications required under this paragraph.

7.	Shall perform the preapplication air quality analysis as outlined
below:

(i)	Any application for a construction permit pursuant to the
regulations of this paragraph shall contain an analysis of ambient air
quality in the area that the major stationary source or major
modification would affect for each of the following pollutants:

(I)	For the source, each pollutant that it would have the potential to
emit in a significant amount;

(II)	For the modification, each pollutant for which it would result in a
significant net emissions increase.

(ii)	For a pollutant for which an ambient air quality standard exists in
these regulations (other than non-methane hydrocarbons), the analysis
shall contain continuous air quality monitoring data gathered for
purposes of determining whether emissions of that pollutant would cause
or contribute to a violation of the standard or any maximum allowable
increase unless specifically exempted in subparagraph
1200-3-9-.01(4)(d).

(iii)	In general, the continuous air monitoring data that is required
shall have been gathered over a period of one year and shall represent
the year preceding receipt of the application, except that, if the
Technical Secretary determines that a complete and adequate analysis can
be accomplished with monitoring data gathered over a period shorter than
one year (but not to be less than four months), the data that is
required shall have been gathered over at least that shorter period.

(iv)	(Reserved)

(v)	With respect to any pollutant for which no Tennessee Ambient Air
Quality Standard exists, the analysis shall contain such air quality
monitoring data as is determined by the Technical Secretary and EPA to
be necessary to assess ambient air quality for that pollutant in any
area that the emissions of the pollutant would affect.

(vi)	The requirements for air quality monitoring of PM10 in subparts
(ii) and (iii) of this part shall apply to a particular source or
modification if the owner or operator of the source or modification
submits an application for a permit after June 1, 1988 and no later than
December 1, 1988.  The data shall have been gathered over at least the
period from February 1, 1988 to the date the application becomes
otherwise complete in accordance with the provisions set forth under (i
through v) of this part, except that if the Technical Secretary
determines that a complete and adequate analysis can be accomplished
with monitoring data over a shorter period (not to be less than 4
months), the data required in (i through v) shall have been gathered
over that shorter period.

(vii)	For any application that becomes complete, except as to the
requirements of subparts (ii) and (iii) of this part pertaining to PM10,
after December 1, 1988 and no later than August 1, 1989 the data that
subpart (ii) requires shall have been gathered over at least the period
from August 1, 1988 to the date the application becomes otherwise
complete, except that if the Technical Secretary determines that a
complete and adequate analysis can be accomplished with monitoring data
over a shorter period (not to be less than 4 months), the data that
subpart (ii) of this part requires shall have been gathered over that
shorter period.

(f)	Ambient Air Increments.  In areas designated as class I, II, or III,
increases in pollutant concentration over the baseline concentration
shall be limited to the following:

MAXIMUM ALLOWABLE INCREASE

(Micrograms per cubic meter)

Class I

Pollutant									ug/m3

PM-10:

	PM-10, Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . .	  4

	PM-10, 24-hour maximum. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . 	  8

Sulfur dioxide:

	Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	  2

	24-hour maximum . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . .	  5

	3-hour maximum. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . 	 25

Nitrogen dioxide:

	Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	2.5

Class II

PM-10-:

	PM-10-, Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . 	 17

	PM-10-, 24-hour maximum. . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	 30

Sulfur dioxide:

	Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	 20

	24-hour maximum . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . .	 91

	3-hour maximum. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . 	512

Nitrogen dioxide:

	Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	 25

Class III

PM-10-:

	PM-10-, Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . 	 34

	PM-10-, 24-hour maximum. . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	 60

Sulfur dioxide:

	Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	 40

	24-hour maximum . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . .	182

	3-hour maximum. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . 	700

Nitrogen dioxide:

	Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . .	 50

	For any period other than an annual period, the applicable maximum
allowable increase may be exceeded during one such period per year at
any one location.

(g)	Area classifications - For the purpose of this paragraph, the
following classifications shall apply:

1.	Class I Areas - Great Smoky Mountains National Park, Joyce Kilmer
Slickrock National Wilderness Area, and the Cohutta Wilderness Area.

2.	Class III Areas - None

3.	Class II Areas - Remainder of the state

	Areas in surrounding states are classified as specified in the EPA
approved implementation plan for each adjoining state.

(h)	Restrictions on area classifications.

1.	All of the following areas which were in existence on August 7, 1977,
shall be Class I areas and may not be redesignated:

(i)	International parks,

(ii)	National wilderness areas which exceed 5,000 acres in size,

(iii)	National memorial parks which exceed 5,000 acres in size, and

(iv)	National parks which exceed 6,000 acres in size.

2.	Areas which were redesignated as Class I before August 7, 1977, shall
remain Class I, but may be redesignated as provided in this section.

3.	Any other area, unless otherwise specified in the legislation
creating such as area, is initially designated Class II, but may be
redesignated as provided in this section.

4.	The following areas may be redesignated only as Class I or II:

(i)	An area which as of August 7, 1977, exceeded 10,000 acres in size
and was a national monument, a national primitive area, a national
preserve, a national recreational area, a national wild and scenic
river, a national wildlife refuge, a national lakeshore or seashore; and

(ii)	A national park or national wilderness area established after
August 7, 1977, which exceeds 10,000 acres in size.

5.	In redesignation, the procedures specified in 40 CFR 51.166(g) as of
July 1, 1992, shall be applied.

(i)	Ambient air ceilings

1.	No concentration of a pollutant shall exceed the concentration
permitted under the Tennessee secondary ambient air quality standard
(Chapter 1200-3-3, Table 1), or the concentration permitted under the
Tennessee primary ambient air quality standard (Chapter 1200-3-3, Table
1), whichever concentration is lowest for the pollutant for a period of
exposure.

2.	Except as permitted by Section 123 of the Clean Air Act Amendments of
1977, dispersion techniques which exceed good engineering practice, and
which were implemented after December 31, 1970, will not be considered
when determining the emission limitations required for control of any
pollutant.

(j)	Control Technology Review

1.	A major stationary source or major modification shall meet each
applicable emissions limitation under this Division 1200-3 and the State
Implementation Plan, and each applicable emission standard and standard
of performance under 40 CFR parts 60 and 61.

2.	A new major stationary source shall apply best available control
technology for any each regulated NSR pollutant that it would have the
potential to emit in significant amounts.

3.	A major modification shall apply best available control technology
for any each regulated NSR pollutant for which it would result in a
significant net emissions increase at the source.  This requirement
applies to each proposed emissions unit at which a net emissions
increase in the pollutant would occur as a result of a physical change
or change in the method of operation in the unit.

4.	For phased construction projects, the determination of best available
control technology shall be reviewed and modified as appropriate at the
latest reasonable time which occurs no later than 18 months prior to
commencement of construction of each independent phase of the project. 
At such time, the owner or operator of the applicable stationary source
may be required to demonstrate the adequacy of any previous
determination of best available control technology for the source.

(k)	Air Quality Models.

	All estimates of ambient concentrations required under this paragraph
shall be based on the applicable air quality models, data bases, and
other requirements specified in 40 CFR Part 51 Appendix W, which is
incorporated by referencethe "Guideline on Air Quality Models (Revised)"
(1986) and Supplement A (1987) which are incorporated by reference. 
Where an air quality impact model specified in 40 CFR Part 51 Appendix W
is the "Guideline on Air Quality Models (Revised)" (1986) and Supplement
A (1987) are inappropriate, the model may be modified or another model
substituted by the Technical Secretary after consultation with the EPA
Administrator.  The use of a modified or substituted model must be
subject to notice and opportunity for public comment under procedures
developed in accordance with subparagraph (l) of this paragraph.

(l)	Public Participation

1.	Within 30 days after receipt of an application to construct, or any
addition to such application, the Technical Secretary shall advise the
applicant of any deficiency in the application or in the information
submitted.  In the event of such a deficiency, the date of receipt of
the application shall be, for the purpose of this section, the date on
which the Technical Secretary received all required information.

2.	The Technical Secretary shall make a final determination on the
application no later than 6 months after receipt of a complete
application.  If there is a need for a longer period of time for review,
it shall be agreed upon by mutual consent.  In no case may this review
period be longer than 1 year.  The review process involves performing
the following actions:

(i)	Make a preliminary determination whether construction should be
approved, approved with conditions, or disapproved.

(ii)	Make available in at least one location in each air quality control
region in which the proposed source or modification would be constructed
a copy of all materials the applicant submitted, a copy of the
preliminary determination, and a copy or summary of other materials, if
any, considered in making the preliminary determination.

(iii)	Notify the public, by advertisement in a newspaper of general
circulation in each air quality control region in which the proposed
source or modification would be constructed, of the application, the
preliminary determination, the degree of increment consumption that is
expected from the source or modification, and the opportunity for
comment at a public hearing as well as written public comment.

(iv)	Send a copy of the notice of public comment to the applicant and to
officials and agencies having cognizance over the location where the
proposed construction would occur as follows:  State or local air
pollution control agencies, the chief executives of the city and county
where the source or modification would be located, any comprehensive
regional land use planning agency, the EPA Administrator, and any State
or Federal Land Manager whose lands may be affected by emissions from
the source or modification.

(v)	Provide opportunity for a public hearing for interested persons to
appear and submit written or oral comments on the air quality impact of
the source or modification, alternatives to it, the control technology
required, and other appropriate considerations.

(vi)	Consider all written comments submitted within a time specified in
the notice of public comment and all comments received at any public
hearing(s) in making a final decision on the approvability of the
application. No later than 10 days after the close of the public comment
period, the applicant may submit a written response to any comments
submitted by the public or request an extension for this purpose.  The
Technical Secretary shall consider the applicant’s response in making
a final decision.  The Technical Secretary shall make all comments
available for public inspection in the same locations where the
Technical Secretary made available preconstruction information relating
to the proposed source or modification.

(vii)	Make a final determination whether construction should be
approved, approved with conditions, or disapproved pursuant to this
paragraph.

(viii)	Notify the applicant in writing of the final determination and
make such notification available for public inspection at the same
location where the Technical Secretary made available preconstruction
information and public comments relating to the source or modification.

(ix)	All public comments and written comments prepared by the Technical
Secretary will be maintained in the public depositories for one year
from the date of issuance of the final determination.

(m)	Violations of Ambient Air Quality Increments or Standards

	The Technical Secretary shall not issue a construction permit to a
source or facility to construct in an area where the increment is known
to be violated or the air quality review predicts a violation of the
increment or the ambient air quality standards except in accordance with
the following:

1.	All new or modified facilities shall utilize good engineering
practice as determined by the Technical Secretary in designing stacks. 
In no event shall that part of a stack which exceeds good engineering
practice stack height be taken into account for the purpose of
determining the degree of emission limitation required for the control
of any pollutant for which there is an ambient air quality standard
established in Chapter 1200-3-3, Table 1.

2.	A major source or modification which would normally be required to
meet BACT shall be required to meet the Lowest Achievable Emission Rate
(LAER) for that type of source as determined at the time of the permit
application.  The term “lowest achievable emission rate” shall be
defined as found in partparagraph 1200-3-9-.01(54)(b)50. of this rule.

3.	If requirements of parts 1200-3-9-.01(4)(m)1. and 2. are not adequate
to protect the increment or the ambient air quality standards, the
source shall obtain emission offsets, legally enforceable at or before
the time of PSD permit issuance, sufficient to predict that the
increment or air quality standard will no longer be violated.  The
offsets shall be accomplished on or before the time of the new source
operation and demonstrated through a source test or through another
method acceptable to the Technical Secretary.

4.	A major stationary source or major modification will be considered to
cause or contribute to a violation of an ambient air quality standard
when such source or modification would, at a minimum, exceed the
following significance levels at any locality that does not or would not
meet the applicable ambient air quality standard:

Pollutant	Annual	24 hour	8 hour	3 hour	1 hour	

PM10

		1	5				

Sulfur

  Dioxide	1	5		25		

Carbon

   Monoxide			500		2000	

Nitrogen

  Dioxide	1					

(Levels are in units of micrograms per cubic meter.)

5.	This rule does not exempt the source from meeting the requirements of
paragraph 1200-3-9-.01(5).

(n)	Sources Impacting Class I Areas - Additional Requirements

1.	Notice to Federal Land Managers and the EPA Administrator

	The Technical Secretary shall promptly provide written notice of
receipt of any permit application for a proposed major stationary source
or major modification, the emissions from which may affect a Class I
area or which may have an adverse impact on visibility in any Class I
area to the EPA Administrator, the Federal Land Manager, and the Federal
official charged with direct responsibility for management of any lands
within any such area.  The Technical Secretary shall transmit to the EPA
Administrator and the Federal Land Manager a copy of each permit
application relating to a major stationary source or major modification
which would affect a Class I area.  This application shall include a
copy of all information relevant to the permit application and shall be
given within 30 days of receipt of the permit application, and at least
60 days prior to any public hearing on the application for a permit to
construct.  Such notification shall include an analysis of the proposed
source’s anticipated impacts on visibility in the Federal Class I
area.  The Technical Secretary shall also provide the EPA Administrator,
the Federal Land Manager and such Federal officials with a copy of the
preliminary determination and shall make available to them any materials
used in making that determination promptly after the Technical Secretary
makes it.  In addition, notification of public hearings, final
determinations, and permits issued shall be provided.  Finally, the
Technical Secretary shall also notify all affected Federal Land Managers
within 30 days of receipt of any advance notification of any such permit
application.

2.	Denial - Impact on Air Quality Related Values

	The Federal Land Manager of any such lands may demonstrate to the
Technical Secretary that the emissions from a proposed source or
modification would have an adverse impact on the air quality-related
values (including visibility) of those lands, notwithstanding that the
change in air quality resulting from emissions from such source or
modification would not cause or contribute to concentrations which would
exceed the maximum allowable increases for a Class I area.  If the
Technical Secretary concurs with such demonstration, then he shall not
issue the permit.

3.	Class I Variances

	The owner or operator of a proposed source or modification may
demonstrate to the Federal Land Manager that the emissions from such
source or modification would have no adverse impact on the air quality
related values of any such lands (including visibility), notwithstanding
that the change in air quality resulting from emissions from such source
or modification would cause or contribute to concentrations which would
exceed the maximum allowable increases for a Class I area.  If the
Federal Land Manager concurs with such demonstration and he so
certifies, the Technical Secretary, provided that the applicable
requirements of this paragraph are otherwise met, may issue the permit
with such emission limitations as may be necessary as approved by the
Tennessee Air Pollution Control Board to assure that emissions of sulfur
dioxide, particulate matter, and nitrogen oxides would not exceed the
following maximum allowable increases over baseline concentration for
such pollutants:



									Maximum

									allowable

									increase

Pollutant								ug/m3

PM-10-:

     PM-10-, Annual arithmeticgeometric mean. . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . 	17

     PM-10-, 24 hr. maximum . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . .		 30

Sulfur dioxide:

     Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . 	 20

     24-hr. maximum. . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . 	 91

     3-hr. maximum  . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . 	325

Nitrogen dioxide:

     Annual arithmetic mean. . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . .	 25

4.	Visibility Analysis

	The Technical Secretary shall consider any analysis performed by the
Federal Land Manager, provided to the Technical Secretary within 30 days
of the notification and analysis required in part 1. of this
subparagraph, that a proposed new major stationary source or major
modification may have an adverse impact on visibility in any Federal
Class I area.  If the Technical Secretary concurs with the analysis then
he shall not issue the permit.  Where the Technical Secretary finds that
such an analysis does not demonstrate to the satisfaction of the
Technical Secretary that an adverse impact on visibility will result in
the Federal Class I area, the Technical Secretary must, in the notice of
public hearing on the permit application, either explain his decision or
give notice as to where the explanation can be obtained.

(o)	Innovative Control Technology

1.	The owner or operator of a proposed major stationary source or major
modification may request that the Technical Secretary approve a system
of innovative control technology.

2.	The Technical Secretary, with the consent of the Governor(s) of the
other affected State(s), may determine that the source or modification
may employ a system of innovative control technology if:

(i)	The proposed control system would not cause or contribute to an
unreasonable risk to public health, welfare, or safety in its operation
or function.

(ii)	The owner or operator agrees to achieve a level of continuous
emissions reduction equivalent to that which would have been required
under part 1200-3-9-.01(4)(j)1. by a date specified by the Technical
Secretary. Such date shall not be later than 4 years from the time of
startup, or 7 years from permit issuance.

(iii)	The source or modification would meet the requirements of parts
(e)1. and (j)1. based on the emission rate that the stationary source
employing the system of innovative control technology would be required
to meet on the date specified by the Technical Secretary.

(iv)	The source or modification shall not:

(I)	Cause or contribute to a violation of an applicable ambient air
quality standard; or

(II)	Have an adverse impact on any Class I area; or

(III)	Impact any area where an applicable increment is known to be
violated; and

(v)	All other applicable requirements including those for public
participation have been met.

3.	The Technical Secretary shall withdraw any approval to employ a
system of innovative control technology made under this subparagraph,
if:

(i)	The proposed system fails by the specified date to achieve the
required continuous emissions reduction rate; or

(ii)	The proposed system fails before the specified date so as to
contribute to ambient air quality violations, or to an unreasonable risk
to public health, welfare, or safety; or

(iii)	The Technical Secretary decides at any time that the proposed
system is unlikely to achieve the required level of control, or to
protect the public health, welfare, or safety.

4.	If a source or modification fails to meet the required level of
continuous emission reduction within the specified time period or the
approval is withdrawn in accordance with part (o)3., the Technical
Secretary may allow the source or modification up to an additional 3
years to meet the requirement for the application of best available
control technology through use of a demonstrated system of control.

(p)	Clean Unit Test for emissions units that are subject to BACT or
LAER.  The owner or operator of a major stationary source may use the
Clean Unit Test to determine whether emissions increases at a Clean Unit
are part of a project that is a major modification according to the
provisions in parts (p)1. through 9. of this paragraph. 

1.	Applicability. The provisions of this sub-paragraph (p) apply to any
emissions unit for which the Technical Secretary has issued a major NSR
permit within the past 10 years. 

2.	General provisions for Clean Units.  The provisions in sub-parts
(p)2.(i) through (iv) of this paragraph apply to a Clean Unit. 

(i)	Any project for which the owner or operator begins actual
construction after the effective date of the Clean Unit designation (as
determined in accordance with part (p)4. of this paragraph) and before
the expiration date (as determined in accordance with part (p)5. of this
paragraph) will be considered to have occurred while the emissions unit
was a Clean Unit. 

(ii)	If a project at a Clean Unit does not cause the need for a change
in the emission limitations or work practice requirements in the permit
for the unit that were adopted in conjunction with BACT and the project
would not alter any physical or operational characteristics that formed
the basis for the BACT determination as specified in sub-part (p)6.(iv)
of this paragraph, the emissions unit remains a Clean Unit. 

(iii)	If a project causes the need for a change in the emission
limitations or work practice requirements in the permit for the unit
that were adopted in conjunction with BACT or the project would alter
any physical or operational characteristics that formed the basis for
the BACT determination as specified in sub-part (p)6.(iv) of this
paragraph, then the emissions unit loses its designation as a Clean Unit
upon issuance of the necessary permit revisions (unless the unit
re-qualifies as a Clean Unit pursuant to sub-part (p)3.(iii) of this
paragraph).  If the owner or operator begins actual construction on the
project without first applying to revise the emissions unit’s permit,
the Clean Unit designation ends immediately prior to the time when
actual construction begins. 

(iv)	A project that causes an emissions unit to lose its designation as
a Clean Unit is subject to the applicability requirements of sub-parts
(c)4.(i) through (iv) and sub-part (c)4.(vi) of this paragraph as if the
emissions unit is not a Clean Unit. 

3.	Qualifying or re-qualifying to use the Clean Unit Applicability Test.
 An emissions unit automatically qualifies as a Clean Unit when the unit
meets the criteria in sub-parts (p)3.(i) and (ii) of this paragraph. 
After the original Clean Unit designation expires in accordance with
part (p)5. of this paragraph or is lost pursuant to sub-part (p)2.(iii)
of this paragraph, such emissions unit may re-qualify as a Clean Unit
under either sub-part (p)3.(iii) of this paragraph, or under the Clean
Unit provisions in subparagraph (q) of this paragraph.  To re-qualify as
a Clean Unit under sub-part (p)3.(iii) of this paragraph, the emissions
unit must obtain a new major NSR permit issued through the applicable
PSD program and meet all the criteria in sub-part (p)3.(iii) of this
paragraph.  The Clean Unit designation applies individually for each
pollutant emitted by the emissions unit. 

(i)	Permitting requirement.  The emissions unit must have received a
major NSR permit within the past 10 years.  The owner or operator must
maintain and be able to provide information that would demonstrate that
this permitting requirement is met. 

(ii)	Qualifying air pollution control technologies.  Air pollutant
emissions from the emissions unit must be reduced through the use of air
pollution control technology (which includes pollution prevention as
defined under part (b)36. of this paragraph or work practices) that
meets both the following requirements in items (p)3.(ii)(I) and (II) of
this paragraph. 

(I)	The control technology achieves the BACT or LAER level of emissions
reductions as determined through issuance of a major NSR permit within
the past 10 years.  However, the emissions unit is not eligible for the
Clean Unit designation if the BACT determination resulted in no
requirement to reduce emissions below the level of a standard,
uncontrolled, new emissions unit of the same type. 

(II)	The owner or operator made an investment to install the control
technology.  For the purpose of this determination, an investment
includes expenses to research the application of a pollution prevention
technique to the emissions unit or expenses to apply a pollution
prevention technique to an emissions unit. 

(iii)	Re-qualifying for the Clean Unit designation.  The emissions unit
must obtain a new major NSR permit that requires compliance with the
current-day BACT (or LAER), and the emissions unit must meet the
requirements in sub-parts (p)3.(i) and (p)3.(ii) of this paragraph. 

4.	Effective date of the Clean Unit designation.  The effective date of
an emissions unit’s Clean Unit designation (that is, the date on which
the owner or operator may begin to use the Clean Unit Test to determine
whether a project at the emissions unit is a major modification) is
determined according to the applicable sub-part (p)4.(i) or (p)4.(ii) of
this paragraph. 

(i)	Original Clean Unit designation, and emissions units that re-qualify
as Clean Units by implementing a new control technology to meet
current-day BACT.  The effective date is the date the emissions unit’s
air pollution control technology is placed into service, or 3 years
after the issuance date of the major NSR permit, whichever is earlier,
but no sooner than the date that provisions for the Clean Unit
applicability test are approved by the Administrator for incorporation
into the State Implementation Plan and become effective. 

(ii)	Emissions Units that re-qualify for the Clean Unit designation
using an existing control technology.  The effective date is the date
the new, major NSR permit is issued. 

5.	Clean Unit expiration.  An emissions unit’s Clean Unit designation
expires (that is, the date on which the owner or operator may no longer
use the Clean Unit Test to determine whether a project affecting the
emissions unit is, or is part of, a major modification) according to the
applicable sub-part (p)5.(i) or (ii) of this paragraph. 

(i)	Original Clean Unit designation, and emissions units that re-qualify
by implementing new control technology to meet current-day BACT.  For
any emissions unit that automatically qualifies as a Clean Unit under
sub-parts (p)3.(i) and (ii) of this paragraph or re-qualifies by
implementing new control technology to meet current-day BACT under
sub-part (p)3.(iii) of this paragraph, the Clean Unit designation
expires 10 years after the effective date, or the date the equipment
went into service, whichever is earlier; or, it expires at any time the
owner or operator fails to comply with the provisions for maintaining
the Clean Unit designation in part (p)7. of this paragraph. 

(ii)	Emissions units that re-qualify for the Clean Unit designation
using an existing control technology.  For any emissions unit that
re-qualifies as a Clean Unit under sub-part (p)3.(iii) of this paragraph
using an existing control technology, the Clean Unit designation expires
10 years after the effective date; or, it expires any time the owner or
operator fails to comply with the provisions for maintaining the Clean
Unit designation in part (p)7. of this paragraph. 

6.	Required title V permit content for a Clean Unit.  After the
effective date of the Clean Unit designation, and in accordance with the
provisions of the applicable title V permit program under paragraph
.02(11) of this rule, but no later than when the title V permit is
renewed, the title V permit for the major stationary source must include
the following terms and conditions related to the Clean Unit in
sub-parts (p)6.(i) through (vi) of this paragraph. 

(i)	A statement indicating that the emissions unit qualifies as a Clean
Unit and identifying the pollutant(s) for which this Clean Unit
designation applies.  

(ii)	The effective date of the Clean Unit designation.  If this date is
not known when the Clean Unit designation is initially recorded in the
title V permit (e.g., because the air pollution control technology is
not yet in service), the permit must describe the event that will
determine the effective date (e.g., the date the control technology is
placed into service).  Once the effective date is determined, the owner
or operator must notify the Technical Secretary of the exact date.  This
specific effective date must be added to the source’s title V permit
at the first opportunity, such as a modification, revision, reopening,
or renewal of the title V permit for any reason, whichever comes first,
but in no case later than the next renewal. 

(iii)	The expiration date of the Clean Unit designation.  If this date
is not known when the Clean Unit designation is initially recorded into
the title V permit (e.g., because the air pollution control technology
is not yet in service), then the permit must describe the event that
will determine the expiration date (e.g., the date the control
technology is placed into service).  Once the expiration date is
determined, the owner or operator must notify the Technical Secretary of
the exact date.  The expiration date must be added to the source’s
title V permit at the first opportunity, such as a modification,
revision, reopening, or renewal of the title V permit for any reason,
whichever comes first, but in no case later than the next renewal. 

(iv)	All emission limitations and work practice requirements adopted in
conjunction with BACT, and any physical or operational characteristics
that formed the basis for the BACT determination (e.g., possibly the
emissions unit’s capacity or throughput). 

(v)	Monitoring, recordkeeping, and reporting requirements as necessary
to demonstrate that the emissions unit continues to meet the criteria
for maintaining the Clean Unit designation. (See part (p)7. of this
paragraph.) 

(vi)	Terms reflecting the owner or operator’s duties to maintain the
Clean Unit designation and the consequences of failing to do so, as
presented in part (p)7. of this paragraph. 

7.	Maintaining the Clean Unit designation.  To maintain the Clean Unit
designation, the owner or operator must conform to all the restrictions
listed in sub-parts (p)7.(i) through (iii) of this paragraph. This part
(p)7. applies independently to each pollutant for which the emissions
unit has the Clean Unit designation.  That is, failing to conform to the
restrictions for one pollutant affects the Clean Unit designation only
for that pollutant. 

(i)	The Clean Unit must comply with the emission limitation(s) and/or
work practice requirements adopted in conjunction with the BACT that is
recorded in the major NSR permit, and subsequently reflected in the
title V permit.  The owner or operator may not make a physical change in
or change in the method of operation of the Clean Unit that causes the
emissions unit to function in a manner that is inconsistent with the
physical or operational characteristics that formed the basis for the
BACT determination (e.g., possibly the emissions unit’s capacity or
throughput). 

(ii)	The Clean Unit must comply with any terms and conditions in the
title V permit related to the unit’s Clean Unit designation. 

(iii)	The Clean Unit must continue to control emissions using the
specific air pollution control technology that was the basis for its
Clean Unit designation.  If the emissions unit or control technology is
replaced, then the Clean Unit designation ends. 

8.	Netting at Clean Units.  Emissions changes that occur at a Clean Unit
must not be included in calculating a significant net emissions increase
(that is, must not be used in a “netting analysis”), unless such use
occurs before the effective date of the Clean Unit designation, or after
the Clean Unit designation expires; or, unless the emissions unit
reduces emissions below the level that qualified the unit as a Clean
Unit.  However, if the Clean Unit reduces emissions below the level that
qualified the unit as a Clean Unit, then the owner or operator may
generate a credit for the difference between the level that qualified
the unit as a Clean Unit and the new emission limitation if such
reductions are surplus, quantifiable, and permanent.  For purposes of
generating offsets, the reductions must also be federally enforceable. 
For purposes of determining creditable net emissions increases and
decreases, the reductions must also be enforceable as a practical
matter. 

9.	Effect of redesignation on the Clean Unit designation.  The Clean
Unit designation of an emissions unit is not affected by redesignation
of the attainment status of the area in which it is located.  That is,
if a Clean Unit is located in an attainment area and the area is
redesignated to nonattainment, its Clean Unit designation is not
affected. Similarly, redesignation from nonattainment to attainment does
not affect the Clean Unit designation.  However, if an existing Clean
Unit designation expires, it must re-qualify under the requirements that
are currently applicable in the area. 

(q)	Clean Unit provisions for emissions units that achieve an emission
limitation comparable to BACT.  The owner or operator of a major
stationary source may use the Clean Unit Test to determine whether
emissions increases at a Clean Unit are part of a project that is a
major modification according to the provisions in parts (q)1. through
11. of this paragraph. 

1.	Applicability.  The provisions of this sub-paragraph (q) apply to
emissions units which do not qualify as Clean Units under sub-paragraph
(p) of this paragraph, but which are achieving a level of emissions
control comparable to BACT, as determined by the Technical Secretary in
accordance with this sub-paragraph (q). 

2.	General provisions for Clean Units.  The provisions in sub-parts
(q)2.)(i) through (iv) of this paragraph apply to a Clean Unit. 

(i)	Any project for which the owner or operator begins actual
construction after the effective date of the Clean Unit designation (as
determined in accordance with part (q)5. of this paragraph) and before
the expiration date (as determined in accordance with part (q)6. of this
paragraph) will be considered to have occurred while the emissions unit
was a Clean Unit. 

(ii)	If a project at a Clean Unit does not cause the need for a change
in the emission limitations or work practice requirements in the permit
for the unit that have been determined (pursuant to part (q)4. of this
paragraph) to be comparable to BACT, and the project would not alter any
physical or operational characteristics that formed the basis for
determining that the emissions unit’s control technology achieves a
level of emissions control comparable to BACT as specified in sub-part
(q)8.(iv) of this paragraph, the emissions unit remains a Clean Unit. 

(iii)	If a project causes the need for a change in the emission
limitations or work practice requirements in the permit for the unit
that have been determined (pursuant to part (q)4. of this paragraph) to
be comparable to BACT, or the project would alter any physical or
operational characteristics that formed the basis for determining that
the emissions unit’s control technology achieves a level of emissions
control comparable to BACT as specified in sub-part (q)8.(iv) of this
paragraph, then the emissions unit loses its designation as a Clean Unit
upon issuance of the necessary permit revisions (unless the unit
re-qualifies as a Clean Unit pursuant to sub-part (q)3.(iv) of this
paragraph). If the owner or operator begins actual construction on the
project without first applying to revise the emissions unit’s permit,
the Clean Unit designation ends immediately prior to the time when
actual construction begins. 

(iv)	A project that causes an emissions unit to lose its designation as
a Clean Unit is subject to the applicability requirements of
sub-parts(c)4.(i) through (iv) and sub-part (c)4.(vi) of this paragraph
as if the emissions unit is not a Clean Unit. 

3.	Qualifying or re-qualifying to use the Clean Unit applicability test.
An emissions unit qualifies as a Clean Unit when the unit meets the
criteria in sub-parts (q)3.(i) through (iii) of this paragraph. After
the original Clean Unit designation expires in accordance with part
(q)6. of this paragraph or is lost pursuant to sub-part (q)2.(iii) of
this paragraph, such emissions unit may re-qualify as a Clean Unit under
either sub-part (q)3.(iv) of this paragraph, or under the Clean Unit
provisions in sub-paragraph (p) of this paragraph. To re-qualify as a
Clean Unit under sub-part (q)3.(iv) of this paragraph, the emissions
unit must obtain a new permit issued pursuant to the requirements in
parts (q)7. and 8. of this paragraph and meet all the criteria in
sub-part (q)3.(iv) of this paragraph. The Technical Secretary will make
a separate Clean Unit designation for each pollutant emitted by the
emissions unit for which the emissions unit qualifies as a Clean Unit. 

(i)	Qualifying air pollution control technologies. Air pollutant
emissions from the emissions unit must be reduced through the use of air
pollution control technology (which includes pollution prevention as
defined under part (b)36. or work practices) that meets both the
following requirements in items (q)3.(i)(I) and (II) of this paragraph. 

(I)	The owner or operator has demonstrated that the emissions unit’s
control technology is comparable to BACT according to the requirements
of part (q)4. of this paragraph. However, the emissions unit is not
eligible for the Clean Unit designation if its emissions are not reduced
below the level of a standard, uncontrolled emissions unit of the same
type (e.g., if the BACT determinations to which it is compared have
resulted in a determination that no control measures are required). 

(II)	The owner or operator made an investment to install the control
technology. For the purpose of this determination, an investment
includes expenses to research the application of a pollution prevention
technique to the emissions unit or to retool the unit to apply a
pollution prevention technique. 

(ii)	Impact of emissions from the unit. The Technical Secretary must
determine that the allowable emissions from the emissions unit will not
cause or contribute to a violation of any national ambient air quality
standard or PSD increment, or adversely impact an air quality related
value (such as visibility) that has been identified for a Federal Class
I area by a Federal Land Manager and for which information is available
to the general public. 

(iii)	Date of installation. An emissions unit may qualify as a Clean
Unit even if the control technology, on which the Clean Unit designation
is based, was installed before the effective date of plan requirements
to implement the requirements of this sub-part (q)3.(iii). However, for
such emissions units, the owner or operator must apply for the Clean
Unit designation within 2 years after the plan requirements become
effective. For technologies installed after the plan requirements become
effective, the owner or operator must apply for the Clean Unit
designation at the time the control technology is installed. 

(iv)	Re-qualifying as a Clean Unit. The emissions unit must obtain a new
permit (pursuant to requirements in parts (q)7. and 8. of this
paragraph) that demonstrates that the emissions unit’s control
technology is achieving a level of emission control comparable to
current-day BACT, and the emissions unit must meet the requirements in
item (q)3.(i)(I) and (q)3.(ii) of this paragraph. 

4.	Demonstrating control effectiveness comparable to BACT. The owner or
operator may demonstrate that the emissions unit’s control technology
is comparable to BACT for purposes of sub-part (q)3.(i) of this
paragraph according to either sub-part (q)4.(i) or (ii) of this
paragraph. Sub-part (q)4.(iii) of this paragraph specifies the time for
making this comparison. 

(i)	Comparison to previous BACT and LAER determinations. The
Administrator maintains an on-line data base of previous determinations
of RACT, BACT, and LAER in the RACT/BACT/LAER Clearinghouse (RBLC). The
emissions unit’s control technology is presumed to be comparable to
BACT if it achieves an emission limitation that is equal to or better
than the average of the emission limitations achieved by all the sources
for which a BACT or LAER determination has been made within the
preceding 5 years and entered into the RBLC, and for which it is
technically feasible to apply the BACT or LAER control technology to the
emissions unit. The Technical Secretary shall also compare this
presumption to any additional BACT or LAER determinations of which it is
aware, and shall consider any information on achieved-in-practice
pollution control technologies provided during the public comment
period, to determine whether any presumptive determination that the
control technology is comparable to BACT is correct. 

(ii)	The substantially-as-effective test. The owner or operator may
demonstrate that the emissions unit’s control technology is
substantially as effective as BACT. In addition, any other person may
present evidence related to whether the control technology is
substantially as effective as BACT during the public participation
process required under part (q)7. of this paragraph. The Technical
Secretary shall consider such evidence on a case-by-case basis and
determine whether the emissions unit’s air pollution control
technology is substantially as effective as BACT. 

(iii)	Time of comparison

(I)	Emissions units with control technologies that are installed before
the effective date of plan requirements implementing this paragraph. The
owner or operator of an emissions unit whose control technology is
installed before the effective date of plan requirements implementing
this sub-paragraph (q) may, at its option, either demonstrate that the
emission limitation achieved by the emissions unit’s control
technology is comparable to the BACT requirements that applied at the
time the control technology was installed, or demonstrate that the
emission limitation achieved by the emissions unit’s control
technology is comparable to current-day BACT requirements. The
expiration date of the Clean Unit designation will depend on which
option the owner or operator uses, as specified in part (q)6. of this
paragraph. 

(II)	Emissions units with control technologies that are installed after
the effective date of plan requirements implementing this paragraph. The
owner or operator must demonstrate that the emission limitation achieved
by the emissions unit’s control technology is comparable to
current-day BACT requirements. 

5.	Effective date of the Clean Unit designation. The effective date of
an emissions unit’s Clean Unit designation (that is, the date on which
the owner or operator may begin to use the Clean Unit Test to determine
whether a project involving the emissions unit is a major modification)
is the date that the permit required by part (q)7. of this paragraph is
issued or the date that the emissions unit’s air pollution control
technology is placed into service, whichever is later. 

6.	Clean Unit expiration. If the owner or operator demonstrates that the
emission limitation achieved by the emissions unit’s control
technology is comparable to the BACT requirements that applied at the
time the control technology was installed, then the Clean Unit
designation expires 10 years from the date that the control technology
was installed. For all other emissions units, the Clean Unit designation
expires 10 years from the effective date of the Clean Unit designation,
as determined according to part (q)5. of this paragraph. In addition,
for all emissions units, the Clean Unit designation expires any time the
owner or operator fails to comply with the provisions for maintaining
the Clean Unit designation in part (q)9. of this paragraph. 

7.	Procedures for designating emissions units as Clean Units. The
Technical Secretary shall designate an emissions unit a Clean Unit only
by issuing a permit either through the permitting program prescribed in
paragraph (1) of this rule or through the procedures of paragraph
1200-3-9-.02(11), as applicable, including requirements for public
notice of the proposed Clean Unit designation and opportunity for public
comment.  a permitting program that has been approved by the
Administrator, including requirements for public notice of the proposed
Clean Unit designation and opportunity for public comment. Such permit
must also meet the requirements in part (q)8. of this paragraph. 

8.	Required permit content. The permit required by part (q)7. of this
paragraph shall include the terms and conditions set forth in sub-parts
(q)8.(i) through (vi). Such terms and conditions shall be incorporated
into the major stationary source’s title V permit in accordance with
the provisions of the applicable title V permit program under paragraph
.02(11) of this chapter, but no later than when the title V permit is
renewed. 

(i)	A statement indicating that the emissions unit qualifies as a Clean
Unit and identifying the pollutant(s) for which the Clean Unit
designation applies. 

(ii)	The effective date of the Clean Unit designation. If this date is
not known when the Technical Secretary issues the permit (e.g., because
the air pollution control technology is not yet in service), then the
permit must describe the event that will determine the effective date
(e.g., the date the control technology is placed into service). Once the
effective date is known, then the owner or operator must notify the
Technical Secretary of the exact date. This specific effective date must
be added to the source’s title V permit at the first opportunity, such
as a modification, revision, reopening, or renewal of the title V permit
for any reason, whichever comes first, but in no case later than the
next renewal. 

(iii)	The expiration date of the Clean Unit designation. If this date is
not known when the Technical Secretary issues the permit (e.g., because
the air pollution control technology is not yet in service), then the
permit must describe the event that will determine the expiration date
(e.g., the date the control technology is placed into service). Once the
expiration date is known, then the owner or operator must notify the
Technical Secretary of the exact date. The expiration date must be added
to the source’s title V permit at the first opportunity, such as a
modification, revision, reopening, or renewal of the title V permit for
any reason, whichever comes first, but in no case later than the next
renewal. 

(iv)	All emission limitations and work practice requirements adopted in
conjunction with emission limitations necessary to assure that the
control technology continues to achieve an emission limitation
comparable to BACT, and any physical or operational characteristics that
formed the basis for determining that the emissions unit’s control
technology achieves a level of emissions control comparable to BACT
(e.g., possibly the emissions unit’s capacity or throughput).

(v)	Monitoring, recordkeeping, and reporting requirements as necessary
to demonstrate that the emissions unit continues to meet the criteria
for maintaining its Clean Unit designation. (See part (q)9. of this
paragraph.) 

(vi)	Terms reflecting the owner or operator’s duties to maintain the
Clean Unit designation and the consequences of failing to do so, as
presented in part (q)9. of this paragraph. 

9.	Maintaining the Clean Unit designation. To maintain the Clean Unit
designation, the owner or operator must conform to all the restrictions
listed in sub-parts (q)9.(i) through (v) of this paragraph. This part
(q)9. applies independently to each pollutant for which the Technical
Secretary has designated the emissions unit a Clean Unit. That is,
failing to conform to the restrictions for one pollutant affects the
Clean Unit designation only for that pollutant. 

(i)	The Clean Unit must comply with the emission limitation(s) and/or
work practice requirements adopted to ensure that the control technology
continues to achieve emission control comparable to BACT. 

(ii)	The owner or operator may not make a physical change in or change
in the method of operation of the Clean Unit that causes the emissions
unit to function in a manner that is inconsistent with the physical or
operational characteristics that formed the basis for the determination
that the control technology is achieving a level of emission control
that is comparable to BACT (e.g., possibly the emissions unit’s
capacity or throughput). 

(iii)	[Reserved] 

(iv)	The Clean Unit must comply with any terms and conditions in the
title V permit related to the unit’s Clean Unit designation. 

(v)	The Clean Unit must continue to control emissions using the specific
air pollution control technology that was the basis for its Clean Unit
designation. If the emissions unit or control technology is replaced,
then the Clean Unit designation ends. 

10.	Netting at Clean Units. Emissions changes that occur at a Clean Unit
must not be included in calculating a significant net emissions increase
(that is, must not be used in a “netting analysis”) unless such use
occurs before the effective date of plan requirements adopted to
implement this sub-paragraph (q) or after the Clean Unit designation
expires; or, unless the emissions unit reduces emissions below the level
that qualified the unit as a Clean Unit. However, if the Clean Unit
reduces emissions below the level that qualified the unit as a Clean
Unit, then the owner or operator may generate a credit for the
difference between the level that qualified the unit as a Clean Unit and
the emissions unit’s new emission limitation if such reductions are
surplus, quantifiable, and permanent. For purposes of generating
offsets, the reductions must also be federally enforceable. For purposes
of determining creditable net emissions increases and decreases, the
reductions must also be enforceable as a practical matter. 

11.	Effect of redesignation on the Clean Unit designation. The Clean
Unit designation of an emissions unit is not affected by redesignation
of the attainment designation of the area in which it is located. That
is, if a Clean Unit is located in an attainment area and the area is
redesignated to nonattainment, its Clean Unit designation is not
affected. Similarly, redesignation from nonattainment to attainment does
not affect the Clean Unit designation. However, if a Clean Unit’s
designation expires or is lost pursuant to sub-parts (p)2.(iii) and
(q)2.(iii) of this paragraph, it must re-qualify under the requirements
that are currently applicable. 

(r)	PCP exclusion procedural requirements. 

1.	Before an owner or operator begins actual construction of a PCP, the
owner or operator must either submit a notice to the Technical Secretary
if the project is listed in sub-parts (b)35.(i) through (vi) of this
paragraph, or if the project is not listed in sub-parts (b)35.(i)
through (vi) of this paragraph, then the owner or operator must submit a
permit application and obtain approval to use the PCP exclusion from the
Technical Secretary consistent with the requirements in part (r)5. of
this paragraph. Regardless of whether the owner or operator submits a
notice or a permit application, the project must meet the requirements
in part (r)2. of this paragraph, and the notice or permit application
must contain the information required in part (r)3. of this paragraph. 

2.	Any project that relies on the PCP exclusion must meet the
requirements in sub-parts (r)2.(i) and (ii) of this paragraph. 

(i)	Environmentally beneficial analysis. The environmental benefit from
the emission reductions of pollutants regulated under the Federal Act,
including hazardous air pollutants, must outweigh the environmental
detriment of emissions increases in pollutants regulated under the
Federal Act, including hazardous air pollutants. A statement that a
technology from sub-parts (b)35.(i) through (vi) of this paragraph is
being used shall be presumed to satisfy this requirement. 

(ii)	Air quality analysis. The emissions increases from the project will
not cause or contribute to a violation of any national ambient air
quality standard or PSD increment, or adversely impact an air quality
related value (such as visibility) that has been identified for a
Federal Class I area by a Federal Land Manager and for which information
is available to the general public. 

3.	Content of notice or permit application. In the notice or permit
application sent to the Technical Secretary, the owner or operator must
include, at a minimum, the information listed in sub-parts (r)3.(i)
through (v) of this paragraph. 

(i)	A description of the project. 

(ii)	The potential emissions increases and decreases of any pollutant
regulated under the Federal Clean Air Act and the projected emissions
increases and decreases using the methodology in sub-parts (c)4.(i)
through (iii) of this paragraph, that will result from the project, and
a copy of the environmentally beneficial analysis required by sub-part
(r)2.(i) of this paragraph. 

(iii)	A description of monitoring and recordkeeping, and all other
methods, to be used on an ongoing basis to demonstrate that the project
is environmentally beneficial. Methods should be sufficient to meet the
requirements in paragraph .02(11) of this chapter. 

(iv)	A certification that the project will be designed and operated in a
manner that is consistent with proper industry and engineering
practices, in a manner that is consistent with the environmentally
beneficial analysis and air quality analysis required by sub-parts
(r)2.(i) and (ii) of this paragraph, with information submitted in the
notice or permit application, and in such a way as to minimize, within
the physical configuration and operational standards usually associated
with the emissions control device or strategy, emissions of collateral
pollutants. 

(v)	Demonstration that the PCP will not have an adverse air quality
impact (e.g., modeling, screening level modeling results, or a statement
that the collateral emissions increase is included within the parameters
used in the most recent modeling exercise) as required by sub-part
(r)2.(ii) of this paragraph. An air quality impact analysis is not
required for any pollutant that will not experience a significant
emissions increase as a result of the project. 

4.	Notice process for listed projects. For projects listed in sub-parts
(b)35.(i) through (vi) of this paragraph, the owner or operator may
begin actual construction of the project immediately after notice is
sent to the Technical Secretary (unless otherwise prohibited under
requirements of the applicable plan). The owner or operator shall
respond to any requests by the Technical Secretary for additional
information that the Technical Secretary determines is necessary to
evaluate the suitability of the project for the PCP exclusion. 

5.	Permit process for unlisted projects. Before an owner or operator may
begin actual construction of a PCP project that is not listed in
sub-parts (b)35.(i) through (vi) of this paragraph, the project must be
approved by the Technical Secretary and recorded in a plan-approved
permit or title V permit using procedures that are consistent with
1200-3-9-.01(1) or 1200-3-9-.02(11)(f)5.(iv)40 CFR 51.160 and 51.161.
This includes the requirement that the Technical Secretary provide the
public with notice of the proposed approval, with access to the
environmentally beneficial analysis and the air quality analysis, and
provide at least a 30-day period for the public and the Administrator to
submit comments. The Technical Secretary must address all material
comments received by the end of the comment period before taking final
action on the permit. 

6.	Operational requirements. Upon installation of the PCP, the owner or
operator must comply with the requirements of sub-parts (r)6.(i) through
(iv) of this paragraph. 

(i)	General duty. The owner or operator must operate the PCP consistent
with proper industry and engineering practices, in a manner that is
consistent with the environmentally beneficial analysis and air quality
analysis required by sub-parts (r)2.(i) and (ii) of this paragraph, with
information submitted in the notice or permit application required by
part (r)3., and in such a way as to minimize, within the physical
configuration and operational standards usually associated with the
emissions control device or strategy, emissions of collateral
pollutants. 

(ii)	Recordkeeping. The owner or operator must maintain copies on site
of the environmentally beneficial analysis, the air quality impacts
analysis, and monitoring and other emission records to prove that the
PCP operated consistent with the general duty requirements in sub-part
(r)6.(i) of this paragraph. 

(iii)	Permit requirements. The owner or operator must comply with any
provisions in the plan-approved permit or title V permit related to use
and approval of the PCP exclusion. 

(iv)	Generation of Emission Reduction Credits. Emission reductions
created by a PCP shall not be included in calculating a significant net
emissions increase unless the emissions unit further reduces emissions
after qualifying for the PCP exclusion (e.g., taking an operational
restriction on the hours of operation.) The owner or operator may
generate a credit for the difference between the level of reduction
which was used to qualify for the PCP exclusion and the new emission
limitation if such reductions are surplus, quantifiable, and permanent.
For purposes of generating offsets, the reductions must also be
federally enforceable. For purposes of determining creditable net
emissions increases and decreases, the reductions must also be
enforceable as a practical matter. 

7.	The Technical Secretary may disallow a proposed pollution control
project listed in sub-parts (b)35.(i) through (vi) of this paragraph if
evidence is available that the proposed project does not meet
requirements of part (r)2. of this paragraph.  

(s)	Actuals PALs. 

1.	Applicability. 

(i)	The Technical Secretary may approve the use of an actuals PAL for
any existing major stationary source if the PAL meets the requirements
in parts (s)1. through 15. of this paragraph. The term “PAL” shall
mean “actuals PAL” throughout sub-paragraph (s) of this paragraph. 

(ii)	Any physical change in or change in the method of operation of a
major stationary source that maintains its total source-wide emissions
below the PAL level, meets the requirements in parts (s)1. through 15.
of this paragraph, and complies with the PAL permit: 

(I)	Is not a major modification for the PAL pollutant; 

(II)	Does not have to be approved through the major NSR program; and 

(III)	Is not subject to the provisions in part (a)6. of this paragraph
(restrictions on relaxing enforceable emission limitations that the
major stationary source used to avoid applicability of the major NSR
program). 

(iii)	Except as provided under item (s)1.(ii)(III) of this paragraph, a
major stationary source shall continue to comply with all applicable
Federal or State requirements, emission limitations, and work practice
requirements that were established prior to the effective date of the
PAL. 

2.	Definitions.  When a term is not defined in these sub-parts, it shall
have the meaning given in subparagraph (b) of this rule or in the
Federal Clean Air Act. 

(i)	“Actuals PAL” for a major stationary source means a PAL based on
the baseline actual emissions (as defined in part (b)45. of this
paragraph) of all emissions units (as defined in part (b)8. of this
paragraph) at the source, that emit or have the potential to emit the
PAL pollutant. 

(ii)	“Allowable emissions” means “allowable emissions” as
defined in part (b)17. of this paragraph, except as this definition is
modified according to items (s)2.(ii)(I) and (II) of this paragraph. 

(I)	The allowable emissions for any emissions unit shall be calculated
considering any emission limitations that are enforceable as a practical
matter on the emissions unit’s potential to emit. 

(II)	An emissions unit’s potential to emit shall be determined using
the definition in part (b)5. of this paragraph, except that the words
“or enforceable as a practical matter” should be added after
“federally enforceable.” 

(iii)	“Small emissions unit” means an emissions unit that emits or
has the potential to emit the PAL pollutant in an amount less than the
significant level for that PAL pollutant, as defined in part (b)24. of
this paragraph or in the Federal Clean Air Act, whichever is lower. 

(iv)	“Major emissions unit” means: 

(I)	Any emissions unit that emits or has the potential to emit 100 tons
per year or more of the PAL pollutant in an attainment area; or 

(II)	Any emissions unit that emits or has the potential to emit the PAL
pollutant in an amount that is equal to or greater than the major source
threshold for the PAL pollutant as defined by the Federal Clean Air Act
for nonattainment areas. For example, in accordance with the definition
of major stationary source in section 182(c) of the Federal Clean Air
Act, an emissions unit would be a major emissions unit for VOC if the
emissions unit is located in a serious ozone nonattainment area and it
emits or has the potential to emit 50 or more tons of VOC per year. 

(v)	“Plantwide applicability limitation (PAL)” means an emission
limitation expressed in tons per year, for a pollutant at a major
stationary source, that is enforceable as a practical matter and
established source-wide in accordance with parts (s)1. through 15. of
this paragraph. 

(vi)	“PAL effective date” generally means the date of issuance of
the PAL permit. However, the PAL effective date for an increased PAL is
the date any emissions unit that is part of the PAL major modification
becomes operational and begins to emit the PAL pollutant. 

(vii)	“PAL effective period” means the period beginning with the PAL
effective date and ending 10 years later. 

(viii)	“PAL major modification” means, notwithstanding parts (b)2.,
3., and 4. of this paragraph (the definitions for major modification and
net emissions increase), any physical change in or change in the method
of operation of the PAL source that causes it to emit the PAL pollutant
at a level equal to or greater than the PAL. 

(ix)	“PAL permit” means the major NSR permit, the minor NSR permit,
or the State operating permit under a program that is approved into the
plan, or the title V permit issued by the Technical Secretary that
establishes a PAL for a major stationary source. 

(x)	“PAL pollutant” means the pollutant for which a PAL is
established at a major stationary source. 

(xi)	“Significant emissions unit” means an emissions unit that emits
or has the potential to emit a PAL pollutant in an amount that is equal
to or greater than the significant level (as defined in part (b)24. of
this paragraph or in the Federal Clean Air Act, whichever is lower) for
that PAL pollutant, but less than the amount that would qualify the unit
as a major emissions unit as defined in sub-part (s)2.(iv) of this
paragraph. 

3.	Permit application requirements. As part of a permit application
requesting a PAL, the owner or operator of a major stationary source
shall submit the following information in sub-parts (s)3.(i) through
(iii) of this paragraph to the Technical Secretary for approval. 

(i)	A list of all emissions units at the source designated as small,
significant or major based on their potential to emit. In addition, the
owner or operator of the source shall indicate which, if any, Federal or
State applicable requirements, emission limitations, or work practices
apply to each unit. 

(ii)	Calculations of the baseline actual emissions (with supporting
documentation). Baseline actual emissions are to include emissions
associated not only with operation of the unit, but also emissions
associated with startup, shutdown, and malfunction. 

(iii)	The calculation procedures that the major stationary source owner
or operator proposes to use to convert the monitoring system data to
monthly emissions and annual emissions based on a 12-month rolling total
for each month as required by sub-part (s)13.(i) of this paragraph. 

4.	General requirements for establishing PALs. 

(i)	The Technical Secretary may establish a PAL at a major stationary
source, provided that at a minimum, the requirements in items
(s)4.(i)(I) through (VII) of this paragraph are met. 

(I)	The PAL shall impose an annual emission limitation in tons per year,
that is enforceable as a practical matter, for the entire major
stationary source. For each month during the PAL effective period after
the first 12 months of establishing a PAL, the major stationary source
owner or operator shall show that the sum of the monthly emissions from
each emissions unit under the PAL for the previous 12 consecutive months
is less than the PAL (a 12-month average, rolled monthly). For each
month during the first 11 months from the PAL effective date, the major
stationary source owner or operator shall show that the sum of the
preceding monthly emissions from the PAL effective date for each
emissions unit under the PAL is less than the PAL.  

(II)	The PAL shall be established in a PAL permit that meets the public
participation requirements in part (s)5. of this paragraph. 

(III)	The PAL permit shall contain all the requirements of part (s)7. of
this paragraph. 

(IV)	The PAL shall include fugitive emissions, to the extent
quantifiable, from all emissions units that emit or have the potential
to emit the PAL pollutant at the major stationary source. 

(V)	Each PAL shall regulate emissions of only one pollutant. 

(VI)	Each PAL shall have a PAL effective period of 10 years. 

(VII)	The owner or operator of the major stationary source with a PAL
shall comply with the monitoring, recordkeeping, and reporting
requirements provided in parts (s)12. through 14. of this paragraph for
each emissions unit under the PAL through the PAL effective period. 

(ii)	At no time (during or after the PAL effective period) are emissions
reductions of a PAL pollutant that occur during the PAL effective period
creditable as decreases for purposes of offsets under sub-part
(5)(b)2.(v) of this rule unless the level of the PAL is reduced by the
amount of such emissions reductions and such reductions would be
creditable in the absence of the PAL. 

5.	Public participation requirements for PALs. PALs for existing major
stationary sources shall be established, renewed, or increased, through
a procedure that is consistent with 40 CFR 51.160 and 51.161,
subparagraph (l) of this paragraph, part (5)(b)3. of this rule, or
1200-3-9-.02(11)(f)8. subparagraph (l) of this paragraph and part
(5)(b)3. of this rule.  This includes the requirement that the Technical
Secretary provide the public with notice of the proposed approval of a
PAL permit and at least a 30-day period for submittal of public comment.
 The Technical Secretary must address all material comments before
taking final action on the permit. 

6.	Setting the 10-year actuals PAL level. 

(i)	Except as provided in sub-part (s)6.(ii) of this paragraph, the
actuals PAL level for a major stationary source shall be established as
the sum of the baseline actual emissions (as defined in part (b)(45) of
this paragraph) of the PAL pollutant for each emissions unit at the
source; plus an amount equal to the applicable significant level for the
PAL pollutant under part (b)24. of this paragraph or under the Federal
Clean Air Act, whichever is lower. When establishing the actuals PAL
level, for a PAL pollutant, only one consecutive 24-month period must be
used to determine the baseline actual emissions for all existing
emissions units. However, a different consecutive 24-month period may be
used for each different PAL pollutant. Emissions associated with units
that were permanently shut down after this 24-month period must be
subtracted from the PAL level. The Technical Secretary shall specify a
reduced PAL level(s) (in tons/yr) in the PAL permit to become effective
on the future compliance date(s) of any applicable Federal or State
regulatory requirement(s) that the Technical Secretary is aware of prior
to issuance of the PAL permit. For instance, if the source owner or
operator will be required to reduce emissions from industrial boilers in
half from baseline emissions of 60 ppm NOX to a new rule limit of 30
ppm, then the permit shall contain a future effective PAL level that is
equal to the current PAL level reduced by half of the original baseline
emissions of such unit(s). 

(ii)	For newly constructed units (which do not include modifications to
existing units) on which actual construction began after the 24-month
period, in lieu of adding the baseline actual emissions as specified in
sub-part (s)6.(i) of this paragraph, the emissions must be added to the
PAL level in an amount equal to the potential to emit of the units.

7.	Contents of the PAL permit. The PAL permit shall contain, at a
minimum, the information in sub-parts (s)7.(i) through (x) of this
paragraph. 

(i)	The PAL pollutant and the applicable source-wide emission limitation
in tons per year. 

(ii)	The PAL permit effective date and the expiration date of the PAL
(PAL effective period). 

(iii)	Specification in the PAL permit that if a major stationary source
owner or operator applies to renew a PAL in accordance with part (s)10.
of this paragraph before the end of the PAL effective period, then the
PAL shall not expire at the end of the PAL effective period. It shall
remain in effect until a revised PAL permit is issued by the Technical
Secretary. 

(iv)	A requirement that emission calculations for compliance purposes
include emissions from startups, shutdowns and malfunctions. 

(v)	A requirement that, once the PAL expires, the major stationary
source is subject to the requirements of part (s)9. of this paragraph. 

(vi)	The calculation procedures that the major stationary source owner
or operator shall use to convert the monitoring system data to monthly
emissions and annual emissions based on a 12-month rolling total for
each month as required by sub-part (s)13.(i) of this paragraph. 

(vii)	A requirement that the major stationary source owner or operator
monitor all emissions units in accordance with the provisions under part
(s)13. of this paragraph. 

(viii)	A requirement to retain the records required under part (s)12. of
this paragraph on site. Such records may be retained in an electronic
format. 

(ix)	A requirement to submit the reports required under part (s)14. of
this paragraph by the required deadlines. 

(x)	Any other requirements that the Technical Secretary deems necessary
to implement and enforce the PAL. 

8.	PAL effective period and reopening of the PAL permit. 

(i)	PAL effective period. The Technical Secretary shall specify a PAL
effective period of 10 years. 

(ii)	Reopening of the PAL permit. 

(I)	During the PAL effective period, the Technical Secretary shall
reopen the PAL permit to: 

I	Correct typographical/calculation errors made in setting the PAL or
reflect a more accurate determination of emissions used to establish the
PAL; 

II	Reduce the PAL if the owner or operator of the major stationary
source creates creditable emissions reductions for use as offsets under
sub-part (5)(b)2.(v) of this rule; and 

III	Revise the PAL to reflect an increase in the PAL as provided under
part (s)11. of this paragraph. 

(II)	The Technical Secretary may reopen the PAL permit for the
following: 

I	Reduce the PAL to reflect newly applicable Federal requirements (for
example, NSPS) with compliance dates after the PAL effective date; 

II	Reduce the PAL consistent with any other requirement, that is
enforceable as a practical matter, and that the State may impose on the
major stationary source under the plan; and 

III	Reduce the PAL if the Technical Secretary determines that a
reduction is necessary to avoid causing or contributing to a NAAQS or
PSD increment violation, or to an adverse impact on an AQRV that has
been identified for a Federal Class I area by a Federal Land Manager and
for which information is available to the general public. 

(III)	Except for the permit reopening in sub-item (s)8.(ii)(I)I of this
paragraph for the correction of typographical/calculation errors that do
not increase the PAL level, all reopenings shall be carried out in
accordance with the public participation requirements of part (s)5. of
this paragraph. 

9.	Expiration of a PAL. Any PAL that is not renewed in accordance with
the procedures in part (s)10. of this paragraph shall expire at the end
of the PAL effective period, and the requirements in sub-part (s)9.(i)
through (v) of this paragraph shall apply.

(i)	Each emissions unit (or each group of emissions units) that existed
under the PAL shall comply with an allowable emission limitation under a
revised permit established according to the procedures in items
(s)9.(i)(I) and (II) of this paragraph. 

(I)	Within the time frame specified for PAL renewals in sub-part
(s)10.(ii) of this paragraph, the major stationary source shall submit a
proposed allowable emission limitation for each emissions unit (or each
group of emissions units, if such a distribution is more appropriate as
decided by the Technical Secretary) by distributing the PAL allowable
emissions for the major stationary source among each of the emissions
units that existed under the PAL. If the PAL had not yet been adjusted
for an applicable requirement that became effective during the PAL
effective period, as required under sub-part (s)10.(v) of this
paragraph, such distribution shall be made as if the PAL had been
adjusted. 

(II)	The Technical Secretary shall decide whether and how the PAL
allowable emissions will be distributed and issue a revised permit
incorporating allowable limits for each emissions unit, or each group of
emissions units, as the Technical Secretary determines is appropriate. 

(ii)	Each emissions unit(s) shall comply with the allowable emission
limitation on a 12-month rolling basis. The Technical Secretary may
approve the use of monitoring systems (source testing, emission factors,
etc.) other than CEMS, CERMS, PEMS or CPMS to demonstrate compliance
with the allowable emission limitation. 

(iii)	Until the Technical Secretary issues the revised permit
incorporating allowable limits for each emissions unit, or each group of
emissions units, as required under item (s)9.(i)(II) of this paragraph,
the source shall continue to comply with a source-wide, multi-unit
emissions cap equivalent to the level of the PAL emission limitation. 

(iv)	Any physical change or change in the method of operation at the
major stationary source will be subject to major NSR requirements if
such change meets the definition of major modification in parts (b)2.
and 3. of this paragraph. 

(v)	The major stationary source owner or operator shall continue to
comply with any State or Federal applicable requirements (BACT, RACT,
NSPS, etc.) that may have applied either during the PAL effective period
or prior to the PAL effective period except for those emission
limitations that had been established pursuant to part (a)6. of this
paragraph, but were eliminated by the PAL in accordance with the
provisions in item (s)1.(ii)(III) of this paragraph. 

10.	Renewal of a PAL.

(i)	The Technical Secretary shall follow the procedures specified in
part (s)5. of this paragraph in approving any request to renew a PAL for
a major stationary source, and shall provide both the proposed PAL level
and a written rationale for the proposed PAL level to the public for
review and comment. During such public review, any person may propose a
PAL level for the source for consideration by the Technical Secretary. 

(ii)	Application deadline. A major stationary source owner or operator
shall submit a timely application to the Technical Secretary to request
renewal of a PAL. A timely application is one that is submitted at least
6 months prior to, but not earlier than 18 months from, the date of
permit expiration. This deadline for application submittal is to ensure
that the permit will not expire before the permit is renewed. If the
owner or operator of a major stationary source submits a complete
application to renew the PAL within this time period, then the PAL shall
continue to be effective until the revised permit with the renewed PAL
is issued.

(iii)	Application requirements. The application to renew a PAL permit
shall contain the information required in items (s)10.(iii)(I) through
(IV) of this paragraph. 

(I)	The information required in sub-parts (s)3.(i) through (iii) of this
paragraph. 

(II)	A proposed PAL level. 

(III)	The sum of the potential to emit of all emissions units under the
PAL (with supporting documentation). 

(IV)	Any other information the owner or operator wishes the Technical
Secretary to consider in determining the appropriate level for renewing
the PAL. 

(iv)	PAL adjustment. In determining whether and how to adjust the PAL,
the Technical Secretary shall consider the options outlined in items
(s)10.(iv)(I) and (II) of this paragraph. However, in no case may any
such adjustment fail to comply with item (s)10.(iv)(III) of this
paragraph. 

(I)	If the emissions level calculated in accordance with part (s)6. of
this paragraph is equal to or greater than 80 percent of the PAL level,
the Technical Secretary may renew the PAL at the same level without
considering the factors set forth in item (s)10.(iv)(II) of this
paragraph; or 

(II)	The Technical Secretary may set the PAL at a level that it
determines to be more representative of the source’s baseline actual
emissions, or that it determines to be appropriate considering air
quality needs, advances in control technology, anticipated economic
growth in the area, desire to reward or encourage the source’s
voluntary emissions reductions, or other factors as specifically
identified by the Technical Secretary in its written rationale. 

(III)	Notwithstanding items (s)10.(iv)(I) and (II) of this paragraph: 

I	If the potential to emit of the major stationary source is less than
the PAL, the Technical Secretary shall adjust the PAL to a level no
greater than the potential to emit of the source; and 

II	The Technical Secretary shall not approve a renewed PAL level higher
than the current PAL, unless the major stationary source has complied
with the provisions of part (s)11. of this paragraph (increasing a PAL).


(v)	If the compliance date for a State or Federal requirement that
applies to the PAL source occurs during the PAL effective period, and if
the Technical Secretary has not already adjusted for such requirement,
the PAL shall be adjusted at the time of PAL permit renewal or title V
permit renewal, whichever occurs first. 

11.	Increasing a PAL during the PAL effective period. 

(i)	The Technical Secretary may increase a PAL emission limitation only
if the major stationary source complies with the provisions in items
(s)11.(i)(I) through (IV) of this paragraph. 

(I)	The owner or operator of the major stationary source shall submit a
complete application to request an increase in the PAL limit for a PAL
major modification. Such application shall identify the emissions
unit(s) contributing to the increase in emissions so as to cause the
major stationary source’s emissions to equal or exceed its PAL. 

(II)	As part of this application, the major stationary source owner or
operator shall demonstrate that the sum of the baseline actual emissions
of the small emissions units, plus the sum of the baseline actual
emissions of the significant and major emissions units assuming
application of BACT equivalent controls, plus the sum of the allowable
emissions of the new or modified emissions unit(s), exceeds the PAL. The
level of control that would result from BACT equivalent controls on each
significant or major emissions unit shall be determined by conducting a
new BACT analysis at the time the application is submitted, unless the
emissions unit is currently required to comply with a BACT or LAER
requirement that was established within the preceding 10 years. In such
a case, the assumed control level for that emissions unit shall be equal
to the level of BACT or LAER with which that emissions unit must
currently comply.

(III)	The owner or operator obtains a major NSR permit for all emissions
unit(s) identified in item (s)11.(i)(I) of this paragraph, regardless of
the magnitude of the emissions increase resulting from them (that is, no
significant levels apply). These emissions unit(s) shall comply with any
emissions requirements resulting from the major NSR process (for
example, BACT), even though they have also become subject to the PAL or
continue to be subject to the PAL. 

(IV)	The PAL permit shall require that the increased PAL level shall be
effective on the day any emissions unit that is part of the PAL major
modification becomes operational and begins to emit the PAL pollutant. 

(ii)	The Technical Secretary shall calculate the new PAL as the sum of
the allowable emissions for each modified or new emissions unit, plus
the sum of the baseline actual emissions of the significant and major
emissions units (assuming application of BACT equivalent controls as
determined in accordance with item (s)11.(i)(II) of this paragraph),
plus the sum of the baseline actual emissions of the small emissions
units. 

(iii)	The PAL permit shall be revised to reflect the increased PAL level
pursuant to the public notice requirements of part (s)5. of this
paragraph. 

12.	Monitoring requirements for PALs

(i)	General requirements. 

(I)	Each PAL permit must contain enforceable requirements for the
monitoring system that accurately determines plantwide emissions of the
PAL pollutant in terms of mass per unit of time. Any monitoring system
authorized for use in the PAL permit must be based on sound science and
meet generally acceptable scientific procedures for data quality and
manipulation. Additionally, the information generated by such system
must meet minimum legal requirements for admissibility in a judicial
proceeding to enforce the PAL permit.

(II)	The PAL monitoring system must employ one or more of the four
general monitoring approaches meeting the minimum requirements set forth
in items (s)12.(ii)(I) through (IV) of this paragraph and must be
approved by the Technical Secretary.

(III)	Notwithstanding item (s)12.(i)(II) of this paragraph, you may also
employ an alternative monitoring approach that meets item (s)12.(i)(I)
of this paragraph if approved by the Technical Secretary.

(IV)	Failure to use a monitoring system that meets the requirements of
this paragraph renders the PAL invalid. 

(ii)	Minimum performance requirements for approved monitoring
approaches. The following are acceptable general monitoring approaches
when conducted in accordance with the minimum requirements in sub-parts
(s)12.(iii) through (ix) of this paragraph:

(I)	Mass balance calculations for activities using coatings or solvents;

(II)	CEMS;

(III)	CPMS or PEMS; and

(IV)	Emission factors.

(iii)	Mass balance calculations. An owner or operator using mass balance
calculations to monitor PAL pollutant emissions from activities using
coating or solvents shall meet the following requirements:

(I)	Provide a demonstrated means of validating the published content of
the PAL pollutant that is contained in or created by all materials used
in or at the emissions unit;

(II)	Assume that the emissions unit emits all of the PAL pollutant that
is contained in or created by any raw material or fuel used in or at the
emissions unit, if it cannot otherwise be accounted for in the process;
and

(III)	Where the vendor of a material or fuel, which is used in or at the
emissions unit, publishes a range of pollutant content from such
material, the owner or operator must use the highest value of the range
to calculate the PAL pollutant emissions unless the Technical Secretary
determines there is site-specific data or a site-specific monitoring
program to support another content within the range. 

(iv)	CEMS. An owner or operator using CEMS to monitor PAL pollutant
emissions shall meet the following requirements: 

(I)	CEMS must comply with applicable Performance Specifications found in
40 CFR part 60, appendix B; and 

(II)	CEMS must sample, analyze, and record data at least every 15
minutes while the emissions unit is operating. 

(v)	CPMS or PEMS. An owner or operator using CPMS or PEMS to monitor PAL
pollutant emissions shall meet the following requirements: 

(I)	The CPMS or the PEMS must be based on current site-specific data
demonstrating a correlation between the monitored parameter(s) and the
PAL pollutant emissions across the range of operation of the emissions
unit; and

(II)	Each CPMS or PEMS must sample, analyze, and record data at least
every 15 minutes, or at another less frequent interval approved by the
Technical Secretary, while the emissions unit is operating. 

(vi)	Emission factors. An owner or operator using emission factors to
monitor PAL pollutant emissions shall meet the following requirements: 

(I)	All emission factors shall be adjusted, if appropriate, to account
for the degree of uncertainty or limitations in the factors’
development;

(II)	The emissions unit shall operate within the designated range of use
for the emission factor, if applicable; and 

(III)	If technically practicable, the owner or operator of a significant
emissions unit that relies on an emission factor to calculate PAL
pollutant emissions shall conduct validation testing to determine a
site-specific emission factor within 6 months of PAL permit issuance,
unless the Technical Secretary determines that testing is not required. 

(vii)	A source owner or operator must record and report maximum
potential emissions without considering enforceable emission limitations
or operational restrictions for an emissions unit during any period of
time that there is no monitoring data, unless another method for
determining emissions during such periods is specified in the PAL
permit.

(viii)	Notwithstanding the requirements in sub-parts (s)12.(iii) through
(vii) of this paragraph, where an owner or operator of an emissions unit
cannot demonstrate a correlation between the monitored parameter(s) and
the PAL pollutant emissions rate at all operating points of the
emissions unit, the Technical Secretary shall, at the time of permit
issuance: 

(I)	Establish default value(s) for determining compliance with the PAL
based on the highest potential emissions reasonably estimated at such
operating point(s); or

(II)	Determine that operation of the emissions unit during operating
conditions when there is no correlation between monitored parameter(s)
and the PAL pollutant emissions is a violation of the PAL. 

(ix)	Re-validation. All data used to establish the PAL pollutant must be
re-validated through performance testing or other scientifically valid
means approved by the Technical Secretary. Such testing must occur at
least once every 5 years after issuance of the PAL.

13.	Recordkeeping requirements. 

(i)	The PAL permit shall require an owner or operator to retain a copy
of all records necessary to determine compliance with any requirement of
subparagraph (s) of this paragraph and of the PAL, including a
determination of each emissions unit’s 12-month rolling total
emissions, for 5 years from the date of such record. 

(ii)	The PAL permit shall require an owner or operator to retain a copy
of the following records, for the duration of the PAL effective period
plus 5 years:

(I)	A copy of the PAL permit application and any applications for
revisions to the PAL; and 

(II)	Each annual certification of compliance pursuant to title V and the
data relied on in certifying the compliance. 

14.	Reporting and notification requirements. The owner or operator shall
submit semi-annual monitoring reports and prompt deviation reports to
the Technical Secretary in accordance with the applicable title V
operating permit program. The reports shall meet the requirements in
sub-parts (s)14.(i) through (iii) of this paragraph. 

(i)	Semi-annual report. The semi-annual report shall be submitted to the
Technical Secretary within 30 days of the end of each reporting period.
This report shall contain the information required in items (s)14.(i)(I)
through (VII) of this paragraph. 

(I)	The identification of owner and operator and the permit number. 

(II)	Total annual emissions (tons/year) based on a 12-month rolling
total for each month in the reporting period recorded pursuant to
sub-part (s)13.(i) of this paragraph. 

(III)	All data relied upon, including, but not limited to, any Quality
Assurance or Quality Control data, in calculating the monthly and annual
PAL pollutant emissions. 

(IV)	A list of any emissions units modified or added to the major
stationary source during the preceding 6-month period. 

(V)	The number, duration, and cause of any deviations or monitoring
malfunctions (other than the time associated with zero and span
calibration checks), and any corrective action taken. 

(VI)	A notification of a shutdown of any monitoring system, whether the
shutdown was permanent or temporary, the reason for the shutdown, the
anticipated date that the monitoring system will be fully operational or
replaced with another monitoring system, and whether the emissions unit
monitored by the monitoring system continued to operate, and the
calculation of the emissions of the pollutant or the number determined
by method included in the permit, as provided by sub-part (s)12.(vii) of
this paragraph. 

(VII)	A signed statement by the responsible official (as defined by the
applicable title V operating permit program) certifying the truth,
accuracy, and completeness of the information provided in the report. 

(ii)	Deviation report. The major stationary source owner or operator
shall promptly submit reports of any deviations or exceedance of the PAL
requirements, including periods where no monitoring is available. A
report submitted pursuant to item .02(11)(e)1.(iii)(III) of this chapter
shall satisfy this reporting requirement. The deviation reports shall be
submitted within the time limits prescribed by item
.02(11)(e)1.(iii)(III) of this chapter. The reports shall contain the
following information: 

(I)	The identification of owner and operator and the permit number; 

(II)	The PAL requirement that experienced the deviation or that was
exceeded; 

(III)	Emissions resulting from the deviation or the exceedance; and 

(IV)	A signed statement by the responsible official (as defined by the
applicable title V operating permit program) certifying the truth,
accuracy, and completeness of the information provided in the report. 

(iii)	Re-validation results. The owner or operator shall submit to the
Technical Secretary the results of any re-validation test or method
within three months after completion of such test or method. 

15.	Transition requirements. 

(i)	The Technical Secretary may not issue a PAL that does not comply
with the requirements in parts (s)1. through 15. of this paragraph after
the Administrator has approved regulations incorporating these
requirements into the State Implementation Plan (SIP). 

(ii)	The Technical Secretary may supersede any PAL which was established
prior to the date of approval of the plan by the Administrator with a
PAL that complies with the requirements of parts (s)1. through 15. of
this paragraph. 

(t)	If any provision of this section, or the application of such
provision to any person or circumstance, is held invalid, the remainder
of this section, or the application of such provision to persons or
circumstances other than those as to which it is held invalid, shall not
be affected thereby. 

(5)	Growth Policy

(a)	Attainment and Unclassified Areas

	The Technical Secretary shall not grant a permit for the construction
or modification of any air contaminant source in an attainment or
unclassified area if such construction or modification will interfere
with the maintenance of an air quality standard  or PSD increment where
applicable, or will violate any provisions of the Tennessee Air Quality
Act, or section 165 (a)(3) of the Clean Air Act, Amendments of 1990.

(b)	Nonattainment Areas

1.	Definitions as used in this subparagraph are not alphabetized. All
terms not defined herein shall have the meaning given them in Chapter
1200-3-2.

(i)	“Stationary source” means any building, structure, facility, or
installation which emits or may emit any air contaminant subject to
regulation under this Division 1200-3.a regulated NSR pollutant.

(ii)	“Building, structure, facility, or installation” means all of
the air contaminant-emitting activities which belong to the same
industrial grouping, are located on one or more contiguous or adjacent
properties, and are under the control of the same person (or persons
under common control).  Air contaminant-emitting activities shall be
considered as part of the same industrial grouping if they belong to the
same “Major Group” (i.e., which have the same two digit code) which
is specified in the Standard Industrial Classification Manual, 1972, as
amended by the 1977 Supplement (U.S. Government Printing Office stock
numbers 4101-0065 and 003-005-00176-0, respectively)).

(iii)	“Potential to emit” means the maximum capacity of a stationary
source to emit an air contaminant under its physical and operational
design.  Any physical or operational limitation on the capacity of the
source to emit an air contaminant, including air contaminant control
equipment and restrictions on hours of operation or on the type or
amount of material combusted, stored, or processed, shall be treated as
part of its design only if the limitation or the effect it would have on
emissions is “legally enforceable.”  Secondary emissions do not
count in determining the “potential to emit” of a stationary source.

(iv)	“Major stationary source” means:

(I)	Any stationary source of air contaminants which emits, or has the
potential to emit, 100 tons per year or more of any air contaminants
regulated under this Division 1200-3regulated NSR pollutant, or 

(II)	Any physical change that would occur at a stationary source not
qualifying under items (iv)(I) as a major stationary source, if the
change would constitute a major stationary source by itself.

(III)	A major stationary source that is major for volatile organic
compounds or nitrogen oxides shall be considered major for ozone.

(IV)	The fugitive emissions of a stationary source shall not be included
in determining for any of the purposes of this Item, whether it is a
major stationary source, unless the source belongs to one of the
following categories of stationary sources:

I	Coal cleaning plants (with thermal dryers);

II	Kraft pulp mills;

III	Portland cement plants;

IV	Primary zinc smelters;

V	Iron and steel mills;

VI	Primary aluminum ore reduction plants;

VII	Primary copper smelters;

VIII	Municipal incinerators (or combination thereof) capable of charging
more than 250 tons of refuse per day;

IX	Hydrofluoric, sulfuric, or nitric acid plants;

X	Petroleum refineries;

XI	Lime plants;

XII	Phosphate rock processing plants;

XIII	Coke oven batteries;

XIV	Sulfur recovery plants;

XV	Carbon black plants (furnace process);

XVI	Primary lead smelters;

XVII	Fuel conversion plants;

XIII	Sintering plants;

XIX	Secondary metal production plants;

XX	Chemical process plants;

XXI	Fossil-fuel boilers (or combination thereof) totaling more than 250
million British thermal units per hour heat input;

XXII	Petroleum storage and transfer units with a total storage capacity
exceeding 300,000 barrels;

XXIII	Taconite ore processing plants;

XXIV	Glass fiber processing plants;

XXV	Charcoal production plants;

XXVI	Fossil fuel-fired steam electric plants of more than 250 million
British thermal units per hour heat input; and

XXVII	Any other stationary source category which, as of August 7, 1980,
is being regulated under Chapter 1200-3-16, New Source Performance
Standards or Chapter 1200-3-11, Hazardous Air Contaminants or Chapter
1200-3-31, Standards For Hazardous Air Contaminants For Source
Categories.

(v)	Major modification:

(I)	“Major modification” means any physical change in or change in
the method of operation of a major stationary source that would result
in:

I	 Aa significant net emissions increase of a regulated NSR pollutant
(as defined in sub-part 1.(xlix) of this subparagraph).for any pollutant
subject to regulations under Subpart 1200-3-9-.01(5)(b)1.(x).

II.	A significant net emissions increase of that pollutant from the
major stationary source.

(II)	Any significant emissions increase (as defined in sub-part
1.(xxxix) of this subparagraph) from any emissions units or net
emissions increase (as defined in sub-part 1.(vi) of this subparagraph)
at a major stationary source that is significant for volatile organic
compounds shall be considered significant for ozone. 

Any net emissions increase that is considered significant for volatile
organic compounds or nitrogen oxides shall be considered significant for
ozone.

(III)	A physical change or change in the method of operation shall not
include:

I	Routine maintenance, repair, and replacement;

II	Use of an alternative fuel or raw material by reason of any order
under section 2(a) and (b) of the Energy Supply and Environmental
Coordination Act of 1974 (or any superseding legislation) or by reason
of a natural gas curtailment plan pursuant to the federal power act;

III	Use of an alternative fuel by reason of an order or Rule under
Section 125 of the Clean Air Act Amendments, August 7, 1977;

IV	Use of an alternative fuel at a steam generating unit (burning
equipment of 250 million BTU’s per hour or larger) to the extent that
the fuel is generated from municipal solid waste as determined by the
Tennessee Division of Solid Waste Management.

V	Use of an alternative fuel or raw material by a stationary source
which the source was capable of accommodating before December 12, 1976,
unless such change would be prohibited under a legally enforceable
permit condition which was established after December 12, 1976, pursuant
to 40 CFR Part 52.21 (July 1, 1993), or under regulations approved
pursuant to 40 CFR Part 51 Subpart I or 51.166 (July 1, 1993), or the
source is approved to use under any permit issued pursuant to this
paragraph;

VI	An increase in the hours of operation or in the production rate,
unless such change would be prohibited under a legally enforceable
permit condition which was established after December 21, 1976, pursuant
to 40 CFR Part 52.21 (July 1, 1993) or regulations approved pursuant to
40 CFR Part 51 Subpart I or 40 CFR Part 51.166 (July 1, 1993).

VII	Any change in ownership at a stationary source.

VIII	The addition, replacement, or use of a PCP, as defined in sub-part
1.(xxxvii) of this subparagraph, at an existing emissions unit meeting
the requirements of part 9. of this subparagraph. A replacement control
technology must provide more effective emissions control than that of
the replaced control technology to qualify for this exclusion.

(IV)	This definition shall not apply with respect to a particular
regulated NSR pollutant when the major stationary source is complying
with the requirements under part 10. of this subparagraph for a PAL for
that pollutant. Instead, the definition at item 10.(ii)(VIII) of this
subparagraph shall apply.

(vi)	Net emission increases

(I)	“Net emissions increase” means, with respect to any regulated
NSR pollutant emitted by a major stationary source, the amount by which
the sum of the following exceeds zero:

I	The increase in emissions from a particular physical change or change
in the method of operation at a stationary source as calculated pursuant
to sub-parts 2.(xii) through (xvii) of this subparagraph; andAny
increase in actual emissions from a particular physical change or change
in the method of operation at a stationary source; and

II	Any other increases and decreases in actual emissions at the major
stationary source that are contemporaneous with the particular change
and are otherwise creditable. Baseline actual emissions for calculating
increases and decreases under this sub-item II shall be determined as
provided in sub-part 1.(xlvii) of this subparagraph, except that
sub-items 1.(xlvii)(I)III and IV of this subparagraph shall not
apply.Any other increases and decreases in actual emissions at the
stationary source that are contemporaneous with the particular change
and are otherwise creditable.

(II)	An increase or decrease in the actual emissions is contemporaneous
with the increase from the particular change only if it occurs before
the date that the increase from the particular change occurs.

(III)	An increase or decrease in actual emissions is creditable only if;

I	It occurs within a reasonable period to be specified by the Technical
Secretary; andIt occurs within a 5 year period or shorter time as
specified by the Technical Secretary; and

II	The Technical Secretary has not relied on it in issuing a permit for
the source under regulations approved pursuant to 40 CFR Part 51 Subpart
I.(July 1, 1993), which permit is in effect when the increase in actual
emissions from the particular change occurs.; and

III	The increase or decrease in emissions did not occur at a Clean Unit,
except as provided in sub-parts 7.(viii) and 8.(x) of this subparagraph.

(IV)	An increase in actual emissions is creditable only to the extent
that the new level of actual emissions exceeds the old level.

(V)	A decrease in actual emissions is creditable only to the extent
that:

I	The old level of actual emission or the old level of allowable
emissions which ever is the lower, exceeds the new level of actual
emissions; and

II	It is enforceable as a practical matter at and after the time that
actual construction on the particular change begins; andIt is legally
enforceable at and after the time that actual construction on the
particular change begins; and

III	The Technical Secretary has not relied on it in issuing any permit
under regulation approved pursuant to 40 CFR Part 51 Subpart I (July 1,
1993 ) or the Technical Secretary has not relied on it in demonstrating
attainment or reasonable further progress; and

IV	It has approximately the same qualitative significance for public
health and welfare as that attributed to the increase from the
particular change; and.

V	The decrease in actual emissions did not result from the installation
of add-on control technology or application of pollution prevention
practices that were relied on in designating an emissions unit as a
Clean Unit under part 8. of this subparagraph or subparagraph (5)(q) of
this rule. That is, once an emissions unit has been designated as a
Clean Unit, the owner or operator cannot later use the emissions
reduction from the air pollution control measures that the Clean Unit
designation is based on in calculating the net emissions increase for
another emissions unit (i.e., must not use that reduction in a
“netting analysis” for another emissions unit). However, any new
emissions reductions that were not relied upon in a PCP excluded
pursuant to part 9. of this subparagraph or for a Clean Unit designation
are creditable to the extent they meet the requirements in item
9.(vi)(IV) of this subparagraph for the PCP and sub-parts 7.(viii) or
8.(x) of this subparagraph for a Clean Unit.

(VI)	An increase that results from a physical change at a stationary
source occurs when the emissions unit on which construction occurred
becomes operational and begins to emit a particular air contaminant. 
Any replacement unit that requires shakedown becomes operational only
after a reasonable shakedown period as determined by the Technical
Secretary, not to exceed 180 days.

(VII)	Item 1.(xiii)(I) of this subparagraph shall not apply for
determining creditable increases and decreases or after a change.

(vii)	“Emissions unit” means any part of a stationary source that
emits or would have the potential to emit any regulated NSR pollutant. 
This definition includes an electric steam generating unit as defined in
sub-part 1.(lvi) of this subparagraph. For purposes of this section,
there are two types of emissions units as described in items 1.(vii)(I)
and (II) of this subparagraph. 

(I)	A new emissions unit is any emissions unit which is (or will be)
newly constructed and which has existed for less than 2 years from the
date such emissions unit first operated. 

(II)	An existing emissions unit is any emissions unit that does not meet
the requirements in item 1.(vii)(I) of this subparagraph. A replacement
unit, as defined in sub-part 1.(xxxvi) of this subparagraph, is an
existing emissions unit."Emissions unit" means any part of a stationary
source which emits or would have the potential to emit any air
contaminant subject to regulation under this Division 1200-3.

(viii)	“Secondary emissions” means emissions which would occur as a
result of the construction or operation of a major stationary source or
major modification, but do not come from the major stationary source or
major modification itself.  For the purposes of this rule, secondary
emissions must be specific, well defined, quantifiable, and impact the
same general area as the stationary source or modification which causes
the secondary emissions.  Secondary emissions include, emissions from
any off-site support facility which would not otherwise be constructed
or increase its emissions except as a result of the construction or
operation of the major stationary source of major modification. 
Secondary emissions do not include any emissions which come directly
from a mobile source such as emissions from the tailpipe of a motor
vehicle, from a train, or from a vessel.

(ix)	“Fugitive emissions” means those emissions which could not
reasonably pass through a stack, chimney, vent or other functionally
equivalent opening.

(x)	“Significant” means, in reference to a net emissions increase or
the potential of a source to emit any of the following air contaminants,
a rate of emissions that would equal or exceed any of the following
rates:

(I)	Air Contaminant and Emissions Rate

I	Carbon monoxide:  100 tons per year (tpy)

II	Nitrogen Oxides: 40  tpy

III	Sulfur dioxide:  40 tpy

IV	Ozone:  40 tpy of an ozone precursor

V	Lead:  0.6 tpy

VI	PM10: 15 tpy

(xi)	“Allowable emissions” means the emissions rate of a stationary
source calculated using the maximum rated capacity of the source (unless
the source is subject to legally enforceable limits which restrict the
operating rate, or hours of operation, or both) and the most stringent
of the following:

(I)	The applicable standards set forth in:

I	The New Source Performance Standards (NSPS) or;

II	The National Emission Standards for Hazardous Air Pollutants (NESHAP)
contained in Chapter 1200-3-11 and Chapter 1200-3-31 or;

III	Limits established pursuant to the applicable standards under
Division 1200-3 or;

IV	In the State Implementation Plan, emissions rates, specified as a
legally enforceable permit condition established pursuant to this rule
1200-3-9-.01 including those with a future compliance date

(xii)	“Legally enforceable” means all limitations and conditions
which are enforceable by the Technical Secretary and the EPA
Administrator and are included under this Division 1200-3 and the State
Implementation Plan.  All orders issued by the Tennessee Air Pollution
Control Board, operating permits and their respective special conditions
issued in accordance with the Act and Regulations, and any certificate
authorized by the Act or the Regulations shall be taken to public
hearing and made part of the State Implementation Plan by the Board to
be legally enforceable.

(xiii)	“Actual emissions” means the actual rate of emissions of a
regulated NSR pollutant from an emissions unit, as determined in
accordance with items 1.(xiii)(I) through (III) of this subparagraph,
except that this definition shall not apply for calculating whether a
significant emissions increase has occurred, or for establishing a PAL
under part 10. of this subparagraph. Instead, sub-parts 1.(xxxix) and
(xlvii) of this subparagraph shall apply for those purposes."Actual
emissions" means the actual rate of emissions of an air contaminant from
an emissions unit, as determined in accordance with items (I) through
(III) below.

(I)	In general, actual emissions as of a particular date shall equal the
average rate, in tons per year, at which the emissions unit actually
emitted the air contaminant during a two-yearconsecutive 24-month period
which precedes the particular date and which is representative of normal
source operation.  The Technical Secretary may allow the use of a
different time period upon a determination that it is more
representative of normal source operation.  Actual emissions shall be
calculated using the unit’s actual operating hours, production rates,
and types of materials processed, stored, or combusted during the
selected time period.

(II)	In the absence of reliable data, the Technical Secretary may
presume that permitted-specific allowable emissions for the emissions
unit are equivalent to the actual emissions of the emissions unit.

(III)	For any emissions unit whichthat has not begun normal operations
on the particular date, actual emissions shall equal the potential to
emit of the unit on that date.

(xiv)	“Construction” means any physical change or change in the
method of operation (including fabrication, erection, installation,
demolition, or modification of an emissions unit) whichthat would result
in a change in actual emissions.

(xv)	“Commence Construction”

	“Commence construction” as applied to a major stationary source or
major modification means that the owner or operator has all necessary
construction permits and either has begun, or caused to begin, a
continuous program of actual on-site construction of the stationary
source, to be completed within a reasonable time; or entered into
binding agreements or contractual obligations, which cannot be canceled
or modified without substantial loss to the owner or operator, to
undertake a program of actual construction of the stationary source to
be completed within a reasonable time.

(xvi)	“Necessary Preconstruction permits” means those permits
required under the Federal air quality control laws and regulations
which are part of the approved SIP under Division 1200-3.

(xvii)	“Begin actual construction” means, in general, initiation of
physical on-site construction activities on an emissions unit which are
of a permanent nature.  Such activities include, but are not limited to,
installation of building supports and foundations, laying of underground
pipe work, and construction of permanent storage structures.  With
respect to a change in method of operation this term refers to those
on-site activities, other than preparatory activities, which mark the
initiation of the change.

(xviii)	“Lowest achievable emission rate”  (LAER) means, for any
major stationary source or major modifications, the more stringent rate
of emissions based on the following:

(I)	The most stringent emissions limitation which is contained in the
applicable standards under this Division 1200-3, or in any State
Implementation Plan for such class or category of stationary source,
unless the owner or operator of the proposed source demonstrates that
such limitations are not achievable; or

(II)	The most stringent emissions limitation which is achieved in
practice by such class or category of stationary sources.  This
limitation, when applied to a modification, means the lowest achievable
emissions rate for the new or modified emissions units within the
stationary source.  In no event shall the application of this term
permit a proposed new or modified stationary source to emit any air
contaminantpollutant in excess of the amount allowable under applicable
New Source Standards of Performance.

(xix)	“Significantly impact” means the contribution by a new
stationary source or modification to the air quality in a nonattainment
area in concentrations equal to or greater than the amount as follows:

Averaging Time and Applicable Concentration

Pollutant	Annual	24 Hour	3 Hour	8 Hour	1 Hour.

Sulfur

  Dioxide	1 µg/m3	5 µg/m3	25 µg/m3

						

PM10	1 µg/m3	5 µg/m3

						

Carbon

  Monoxide				500 µg/m3	2000 µg/m3

						

Nitrogen

  Oxide 	1 µg/m3

						

(xx)	“Minor stationary source” means any source which is not a major
stationary source 

(xxi)	“Minor modification” means

(I)	Any modification which is not a major modification; or

(II)	Any modification which is a physical change in or a change in the
method of operation of a minor stationary source provided the change
would not constitute a major stationary source by itself.

(xxii)	“Reasonable stack heights” means a stack height which will
minimize air quality impact, not to exceed the Tennessee ambient air
quality standards in any case.  The Technical Secretary shall on a
case-by-case basis, taking into account the existing air quality in the
area and the economic costs to the stationary source, determine the
achievable stack height to be used by the stationary source or
modification.  In no circumstance shall the stack height be less than 20
feet above ground level, or be required to exceed stack height
procedure.  Stacks not emitting the nonattainment pollutants are not
required to meet the minimum stack height requirement.  Stationary
sources which emit volatile organic compounds and nitrogen oxide and are
located in ozone nonattainment areas will not be required to meet the
minimum stack height requirement.

(xxiii)	“Reasonable Further Progress” (RFP)  means such annual
incremental reductions in emissions of the relevant air pollutant as are
required by this part or may reasonably be required by the Technical
Secretary or the EPA Administrator for the purpose of ensuring
attainment of the applicable ambient air quality standard by the
applicable date.

(xxiv)	“Reasonable available control technology” (RACT) means
devices, systems, process modifications, or other apparatus or
techniques that are reasonably available taking into account:

(I)	The necessity of imposing such controls in order to attain and
maintain an ambient air quality standard,

(II)	The social, environmental and economic impact of such controls, and

(III)	Alternative means of providing for attainment and maintenance of
such standard.

(xxv)	“Compliance schedule” means a chronology of actions to be
taken by a noncomplying source to bring it into full compliance with
Division 1200-3 or permits issued thereto.  Generally speaking,
compliance schedule increments will be divided into (1) engineering
evaluation for problem solution, (2) procurement of the equipment and/or
services necessary to solve the problem, (3) on-site delivery of the
equipment, (4) completion of the equipment’s installation including
startup of said equipment and (5) source testing to establish the air
contaminant emission levels of the completed installation if required by
the Technical Secretary.

(xxvi)	“Air contaminant” is particulate matter, dust, fumes, gas,
mist, smoke, or vapor, or any combinations thereof, total suspended
particulates, PM10, sulfur dioxide, carbon monoxide, ozone, nitrogen
oxides, lead, and gaseous fluorides expressed as HF.

(xxvii)	 “Good Engineering Practice” (GEP)

	(GEP)	Stack height means the greater of:

(I)	65 meters, measured from the ground-level elevation at the base of
the stack or,

(II)	I	For a stack in existence on January 12, 1979, and for which the
owner or operator had obtained all applicable permits or approvals
required under 40 CFR part 51 and 52 (July 1, 1993) 

Hg  = 2.5 H,

provided the owner or operator produces evidence that this equation was
actually relied on in establishing an emission limitation;

II	For all other stacks,

Hg  =  H + 1.5L

where

Hg =	good engineering practice stack height, measured from the
ground-level elevation at the base of the stack.  This is the height at
which structural downwash no longer influences computer modeled ambient
impacts.

H  =	height of nearby structure(s) measured from the ground-level
elevation at the base of the stack.

L  =	lesser dimension, height or projected width, of nearby structure(s)

provided that the Technical Secretary may require the use of a field
study or fluid model to verify GEP stack height for the source; or

(III)	The height demonstrated by a fluid model or a field study approved
by the Technical Secretary, which ensures that the emissions from a
stack do not result in excessive concentrations of any air pollutant as
a result of atmospheric downwash, wakes, or eddy effects created by the
source itself, nearby structures or nearby terrain features.  

(xxviii)	“Nonattainment Area” means any area that does not meet (or
that contributes to ambient air quality in a nearby area that does not
meet) any ambient air quality standard for the pollutant.  As used in
this chapter “nonattainment area” includes all the areas as defined
by 1200-3-2-.01(1)(ffff) plus any areas determined as not meeting any
ambient air quality standards as a result of required monitoring as part
of a construction permit application.  The demonstration required under
section 165(a)(3) of the 1990 Clean Air Act, shall not apply to maximum
allowable increases for Class II areas in the case of an expansion or
modification of a major emitting facility which was in existence on the
date of enactment of the Clean Air Act, Amendments of 1977, and whose
allowable emissions of air pollutants is established as required in sub
section 165(a)(4) of the 1990 Clean Air Act.

(xxix)	(Reserved)

(xxx)	“Volatile Organic Compounds” and “exempt compounds” have
the same meaning as defined in Division 1200-3-18-.01 Definitions.

(xxxi)	“Ambient Air Quality Standard” (AAQS) means any Primary
Ambient Air Quality Standard or Secondary Ambient Air Quality Standard
or Tennessee Ambient Air Quality Standard as defined in Chapter
1200-3-3.

(xxxii)	“Class I, Class II, or Class III” areas means areas of the
state as defined by Division 1200-3-9-.01(4)(g).

(xxxiii)	“Ozone precursor” means volatile organic compounds and/or
nitrogen oxides.  A proposed new source or a net emissions increase at
an existing source in an ozone transport region (or an ozone
nonattainment area) can be classified as major based on either VOC or
NOx emissions or both (but not in combination).  That is, the
determination of major must be made individually for each pollutant,
since VOC and NOx emissions cannot be added to meet the minimum level
required for such a demonstration.

(I)	Notwithstanding sub-part (xxxiii) of this part, NOx shall not be
considered an ozone precursor when:

I	Additional NOx emissions reductions would not be expected to decrease
ozone; and

II	The Administrator of EPA determines, for certain classes or
categories of sources (when the Administrator approves the Tennessee
State Implementation Plan or Plan revision), that net air quality
benefits would be greater in the absence of further nitrogen oxides
reductions from sources concerned.

(xxxiv)	“Stack height procedures” means those procedures that must
provide that the degree of emission limitation required of any source
for control of any air pollutant must not be affected by so much of any
source’s stack height that exceed good engineering practice or by any
other dispersion technique, except as provided in 40 CFR Part 51.118(b)
(July 1, 1993 ). Such procedures must provide that before the Technical
Secretary issues a permit to a source based on a good engineering
practice stack height that exceeds the height allowed by 40 CFR Part
51.100(ii) (1) or (2)(July 1, 1993), the Technical Secretary must notify
the public of the availability of the demonstration study and must
provide opportunity for public hearing on it.  This subpart does not
require such procedures to restrict in any manner the actual stack
height of any source.

(xxxv)	“Portable Stationary Source” means any source that is mounted
on any chassis or skids and may be moved by the application of a lifting
or pulling force.  In addition, there shall be no cable, chain,
turnbuckle, bolt or other means (except electrical connections) by which
any piece of equipment is attached or clamped to any anchor, slab, or
structure, including bedrock that must be removed prior to the
application of a lifting or pulling force for the purpose of
transporting the unit, except that such connection as deemed appropriate
by the Technical Secretary may be exempted for safety considerations
from the specified restrictions on a qualifying source.

(xxxvi)	Replacement unit means an emissions unit for which all the
criteria listed in items 1.(xxxvi)(I) through (IV) of this subparagraph
are met. No creditable emission reductions shall be generated from
shutting down the existing emissions unit that is replaced. 

(I)	The emissions unit is a reconstructed unit within the meaning of
part (4)(b)54. of this rulesub-part 16-.01(9)(b)2.(i) of this division,
or the emissions unit completely takes the place of an existing
emissions unit. 

(II)	The emissions unit is identical to or functionally equivalent to
the replaced emissions unit. 

(III)	The replacement does not alter the basic design parameters of the
process unit. 

(IV)	The replaced emissions unit is permanently removed from the major
stationary source, otherwise permanently disabled, or permanently barred
from operation by a permit that is enforceable as a practical matter. If
the replaced emissions unit is brought back into operation, it shall
constitute a new emissions unit.

(xxxvii)	“Pollution control project (PCP)” means any activity, set
of work practices or project (including pollution prevention as defined
under sub-part 1.(xxxviii) of this subparagraph) undertaken at an
existing emissions unit that reduces emissions of air pollutants from
such unit. Such qualifying activities or projects can include the
replacement or upgrade of an existing emissions control technology with
a more effective unit. Other changes that may occur at the source are
not considered part of the PCP if they are not necessary to reduce
emissions through the PCP. Projects listed in items (I) through (VI)
below are presumed to be environmentally beneficial pursuant to item
9.(ii)(I) of this subparagraph. Projects not listed in these paragraphs
may qualify for a case-specific PCP exclusion pursuant to the
requirements of sub-parts 9.(ii) and (v) of this subparagraph. 

(I)	Conventional or advanced flue gas desulfurization or sorbent
injection for control of SO2. 

(II)	Electrostatic precipitators, baghouses, high efficiency
multiclones, or scrubbers for control of particulate matter or other
pollutants. 

(III)	Flue gas recirculation, low-NOX burners or combustors, selective
non-catalytic reduction, selective catalytic reduction, low emission
combustion (for IC engines), and oxidation/absorption catalyst for
control of NOX. 

(IV)	Regenerative thermal oxidizers, catalytic oxidizers, condensers,
thermal incinerators, hydrocarbon combustion flares, biofiltration,
absorbers and adsorbers, and floating roofs for storage vessels for
control of volatile organic compounds or hazardous air pollutants. For
the purpose of this subparagraph, “hydrocarbon combustion flare”
means either a flare used to comply with an applicable NSPS or MACT
standard (including uses of flares during startup, shutdown, or
malfunction permitted under such a standard), or a flare that serves to
control emissions of waste streams comprised predominately of
hydrocarbons and containing no more than 230 mg/dscm hydrogen sulfide. 

(V)	Activities or projects undertaken to accommodate switching (or
partially switching) to an inherently less polluting fuel, to be limited
to the following fuel switches: 

I	Switching from a heavier grade of fuel oil to a lighter fuel oil, or
any grade of oil to 0.05 percent sulfur diesel (i.e., from a higher
sulfur content #2 fuel or from #6 fuel, to CA 0.05 percent sulfur #2
diesel); 

II	Switching from coal, oil, or any solid fuel to natural gas, propane,
or gasified coal; 

III	Switching from coal to wood, excluding construction or demolition
waste, chemical or pesticide treated wood, and other forms of
“unclean” wood; 

IV	Switching from coal to #2 fuel oil (0.5 percent maximum sulfur
content); and 

V	Switching from high sulfur coal to low sulfur coal (maximum 1.2
percent sulfur content). 

(VI)	Activities or projects undertaken to accommodate switching from the
use of one ozone depleting substance (ODS) to the use of a substance
with a lower or zero ozone depletion potential (ODP), including changes
to equipment needed to accommodate the activity or project, that meet
the requirements of sub-items 1.(xxxvii)(VI)I and II of this
subparagraph. 

I	The productive capacity of the equipment is not increased as a result
of the activity or project. 

II	The projected usage of the new substance is lower, on an ODP-weighted
basis, than the baseline usage of the replaced ODS. To make this
determination, follow the procedure in sections 1.(xxxvii)(VI)IIA
through D of this subparagraph. 

A	Determine the ODP of the substances by consulting 40 CFR part 82,
subpart A, appendices A and B. 

B	Calculate the replaced ODP-weighted amount by multiplying the baseline
actual usage (using the annualized average of any 24 consecutive months
of usage within the past 10 years) by the ODP of the replaced ODS. 

C	Calculate the projected ODP-weighted amount by multiplying the
projected future annual usage of the new substance by its ODP. 

D	If the value calculated in section 1.(xxxvii)(VI)IIB of this
subparagraph is more than the value calculated in section
1.(xxxvii)(VI)IIC of this subparagraph, then the projected use of the
new substance is lower, on an ODP-weighted basis, than the baseline
usage of the replaced ODS. 

(xxxviii)	“Pollution prevention” means any activity that through
process changes, product reformulation or redesign, or substitution of
less polluting raw materials, eliminates or reduces the release of air
pollutants (including fugitive emissions) and other pollutants to the
environment prior to recycling, treatment, or disposal; it does not mean
recycling (other than certain “in-process recycling” practices),
energy recovery, treatment, or disposal. 

(xxxix)	“Significant emissions increase” means, for a regulated NSR
pollutant, an increase in emissions that is significant (as defined in
sub-part 1.(x) of this subparagraph) for that pollutant.

(xl)	“Projected actual emissions” means, the maximum annual rate, in
tons per year, at which an existing emissions unit is projected to emit
a regulated NSR pollutant in any one of the 5 years (12-month period)
following the date the unit resumes regular operation after the project,
or in any one of the 10 years following that date, if the project
involves increasing the emissions unit’s design capacity or its
potential to emit of that regulated NSR pollutant and full utilization
of the unit would result in a significant emissions increase or a
significant net emissions increase at the major stationary source.

(I)	In determining the projected actual emissions under sub-part 1.(xl)
of this subparagraph before beginning actual construction, the owner or
operator of the major stationary source: 

I	Shall consider all relevant information, including but not limited to,
historical operational data, the company’s own representations, the
company’s expected business activity and the company’s highest
projections of business activity, the company’s filings with the State
or Federal regulatory authorities, and compliance plans under the
approved plan; and 

II	Shall include fugitive emissions to the extent quantifiable, and
emissions associated with startups, shutdowns, and malfunctions; and 

III	Shall exclude, in calculating any increase in emissions that results
from the particular project, that portion of the unit’s emissions
following the project that an existing unit could have accommodated
during the consecutive 24-month period used to establish the baseline
actual emissions under sub-part 1.(xlvii) of this subparagraph and that
are also unrelated to the particular project, including any increased
utilization due to product demand growth; or, 

(II)	In lieu of using the method set out in sub-items 1.(xl)(I)I through
III of this subparagraph, may elect to use the emissions unit’s
potential to emit, in tons per year, as defined under sub-part 1.(iii)
of this subparagraph. 

(xli)	“Clean Unit” means any emissions unit that has been issued a
major NSR permit that requires compliance with BACT or LAER, that is
complying with such BACT/LAER requirements, and qualifies as a Clean
Unit pursuant to part 7. of this subparagraph; or any emissions unit
that has been designated by the Technical Secretary as a Clean Unit,
based on the criteria in items 8.(iii)(I) through (IV) of this
subparagraph, using a SIP-approved permitting process.

(xlii)	“Nonattainment major new source review (NSR) program” means a
major source preconstruction permit program that has been approved by
the Administrator and incorporated into the SIP to implement the
requirements of this subparagraph, or a program that implements 40 CFR
51, appendix S, Sections I through VI. Any permit issued under such a
program is a major NSR permit.

(xliii)	“Continuous emissions monitoring system” (CEMS) means all of
the equipment that may be required to meet the data acquisition and
availability requirements of this section, to sample, condition (if
applicable), analyze, and provide a record of emissions on a continuous
basis.

(xliv)	“Predictive emissions monitoring system” (PEMS) means all of
the equipment necessary to monitor process and control device
operational parameters (for example, control device secondary voltages
and electric currents) and other information (for example, gas flow
rate, O2 or CO2 concentrations), and calculate and record the mass
emissions rate (for example, lb/hr) on a continuous basis.

(xlv)	“Continuous parameter monitoring system” (CPMS) means all of
the equipment necessary to meet the data acquisition and availability
requirements of this section, to monitor process and control device
operational parameters (for example, control device secondary voltages
and electric currents) and other information (for example, gas flow
rate, O2 or CO2 concentrations), and to record average operational
parameter value(s) on a continuous basis.

(xlvi)	“Continuous emissions rate monitoring system” (CERMS) means
the total equipment required for the determination and recording of the
pollutant mass emissions rate (in terms of mass per unit of time).

(xlvii)	“Baseline actual emissions” means the rate of emissions, in
tons per year, of a regulated NSR pollutant, as determined in accordance
with items 1.(xlvii)(I) through (IV) of this subparagraph. 

(I)	For any existing electric utility steam generating unit, baseline
actual emissions means the average rate, in tons per year, at which the
unit actually emitted the pollutant during any consecutive 24-month
period selected by the owner or operator within the 5-year period
immediately preceding when the owner or operator begins actual
construction of the project. The Technical Secretary shall allow the use
of a different time period upon a determination that it is more
representative of normal source operation. 

I.	The average rate shall include fugitive emissions to the extent
quantifiable, and emissions associated with startups, shutdowns, and
malfunctions. 

II.	The average rate shall be adjusted downward to exclude any
non-compliant emissions that occurred while the source was operating
above any emission limitation that was legally enforceable during the
consecutive 24-month period. 

III.	For a regulated NSR pollutant, when a project involves multiple
emissions units, one consecutive 24-month period must be used to
determine the baseline actual emissions for the emissions units being
changed.  However, the Technical Secretary is authorized to allow the
use of multiple, pollutant specific 24-month baselines in determining
the magnitude of a significant net emissions increase and the
applicability of major new source review requirements if all of the
following conditions are met:

A.	Construction of a new source or modification would become subject to
major new source review if a single 2-year baseline is used for all
pollutants.

B.	One or more pollutants were emitted during such 2-year period in
amounts that were less than otherwise permitted for reasons other than
operations at a lower production or utilization rate.  Qualifying
examples include, but are not limited to, the voluntary use of:

(A)	a cleaner fuel than otherwise permitted in a fuel burning operation
(e.g., natural gas instead of coal in a multi-fuel boiler),

(B)	a coating with a lower VOC content than otherwise permitted in a
coating operation, 

(C)	a voluntary improvement in the control efficiency of an air
pollution control device or the voluntary addition of a control device
where one did not exist before, and

(D)	alternate production methods, raw materials, or products that result
in lower emissions of one or more pollutants.

C.		Use of alternate 2-year baselines for the pollutants described in 2.
above would result in the construction of the new source or modification
not being subject to major new source review. 

D.		The use of the multiple baselines is not prohibited by any
applicable provision of the USEPA’s new source review regulations.

	The burden for demonstrating that these conditions are met is upon the
permit applicant.  The demonstration and the Technical Secretary’s
approval will be made a part of the permit record.

IV.	The average rate shall not be based on any consecutive 24-month
period for which there is inadequate information for determining annual
emissions, in tons per year, and for adjusting this amount if required
by sub-item 1.(xlvii)(I)II of this subparagraph. 

(II)	For an existing emissions unit (other than an electric utility
steam generating unit), baseline actual emissions means the average
rate, in tons per year, at which the emissions unit actually emitted the
pollutant during any consecutive 24-month period selected by the owner
or operator within the 10-year period immediately preceding either the
date the owner or operator begins actual construction of the project, or
the date a complete permit application is received by the Technical
Secretary for a permit required either under this subparagraph or under
a plan approved by the Administrator, whichever is earlier, except that
the 10-year period shall not include any period earlier than November
15, 1990. 

I.	The average rate shall include fugitive emissions to the extent
quantifiable, and emissions associated with startups, shutdowns, and
malfunctions. 

II.	The average rate shall be adjusted downward to exclude any
non-compliant emissions that occurred while the source was operating
above an emission limitation that was legally enforceable during the
consecutive 24-month period. 

III.	The average rate shall be adjusted downward to exclude any
emissions that would have exceeded an emission limitation with which the
major stationary source must currently comply, had such major stationary
source been required to comply with such limitations during the
consecutive 24-month period. However, if an emission limitation is part
of a maximum achievable control technology standard that the
Administrator proposed or promulgated under 40 CFR 63, the baseline
actual emissions need only be adjusted if the State has taken credit for
such emissions reductions in an attainment demonstration or maintenance
plan consistent with the requirements of item 2.(v)(VII) of this
subparagraph. 

IV.	For a regulated NSR pollutant, when a project involves multiple
emissions units, one consecutive 24-month period must be used to
determine the baseline actual emissions for the emissions units being
changed.  However, the Technical Secretary is authorized to allow the
use of multiple, pollutant specific 24-month baselines in determining
the magnitude of a significant net emissions increase and the
applicability of major new source review requirements if all of the
following conditions are met:

A.	Construction of a new source or modification would become subject to
major new source review if a single 2-year baseline is used for all
pollutants.

B.	One or more pollutants were emitted during such 2-year period in
amounts that were less than otherwise permitted for reasons other than
operations at a lower production or utilization rate.  Qualifying
examples include, but are not limited to, the voluntary use of:

(A)	a cleaner fuel than otherwise permitted in a fuel burning operation
(e.g., natural gas instead of coal in a multi-fuel boiler),

(B)	a coating with a lower VOC content than otherwise permitted in a
coating operation, 

(C)	a voluntary improvement in the control efficiency of an air
pollution control device or the voluntary addition of a control device
where one did not exist before, and

(D)	alternate production methods, raw materials, or products that result
in lower emissions of one or more pollutants.

C.		Use of alternate 2-year baselines for the pollutants described in 2.
above would result in the construction of the new source or modification
not being subject to major new source review. 

D.		The use of the multiple baselines is not prohibited by any
applicable provision of the USEPA’s new source review regulations.

The burden for demonstrating that these conditions are met is upon the
permit applicant.  The demonstration and the Technical Secretary’s
approval will be made a part of the permit record.

V.	The average rate shall not be based on any consecutive 24-month
period for which there is inadequate information for determining annual
emissions, in tons per year, and for adjusting this amount if required
by sub-items 1.(xlvii)(II)II and III of this subparagraph. 

(III)	For a new emissions unit, the baseline actual emissions for
purposes of determining the emissions increase that will result from the
initial construction and operation of such unit shall equal zero; and
thereafter, for all other purposes, shall equal the unit’s potential
to emit. 

(IV)	For a PAL for a major stationary source, the baseline actual
emissions shall be calculated for existing electric utility steam
generating units in accordance with the procedures contained in item
1.(xlvii)(I) of this subparagraph, for other existing emissions units in
accordance with the procedures contained in item 1.(xlvii)(II) of this
subparagraph, and for a new emissions unit in accordance with the
procedures contained in item 1.(xlvii)(III) of this subparagraph.

(xlviii)	Reserved

(xlix)	“Regulated NSR pollutant,” for purposes of this subparagraph,
means the following: 

(I)	Nitrogen oxides or any volatile organic compounds; 

(II)	Any pollutant for which a national ambient air quality standard has
been promulgated; or 

(III)	Any pollutant that is a constituent or precursor of a general
pollutant listed under items 1.(xlix)(I) or (II) of this subparagraph,
provided that a constituent or precursor pollutant may only be regulated
under NSR as part of regulation of the general pollutant.

(l)	“Reviewing authority” means the State air pollution control
agency, local agency, other State agency, Indian tribe, or other agency
authorized by the Administrator to carry out a permit program under this
subparagraph and 40 CFR 51.166, or the Administrator in the case of
EPA-implemented permit programs under 40 CFR 52.21.

(li)	“Project” means a physical change in, or change in the method
of operation of, an existing major stationary source.

(lii)	“Best available control technology” (BACT) means an emissions
limitation (including a visible emissions standard) based on the maximum
degree of reduction for each regulated NSR pollutant which would be
emitted from any proposed major stationary source or major modification
which the Technical Secretary, on a case-by-case basis, taking into
account energy, environmental, and economic impacts and other costs,
determines is achievable for such source or modification through
application of production processes or available methods, systems, and
techniques, including fuel cleaning or treatment or innovative fuel
combustion techniques for control of such pollutant. In no event shall
application of best available control technology result in emissions of
any pollutant which would exceed the emissions allowed by any applicable
standard under 40 CFR part 60 or 61. If the Technical Secretary
determines that technological or economic limitations on the application
of measurement methodology to a particular emissions unit would make the
imposition of an emissions standard infeasible, a design, equipment,
work practice, operational standard, or combination thereof, may be
prescribed instead to satisfy the requirement for the application of
BACT. Such standard shall, to the degree possible, set forth the
emissions reduction achievable by implementation of such design,
equipment, work practice or operation, and shall provide for compliance
by means which achieve equivalent results.  This definition does not
apply to minor stationary sources and minor modifications proposing to
construct in a nonattainment area.  For these sources, the definition in
subparagraph (2)(d) of this rule applies.

(liii)	“Prevention of Significant Deterioration (PSD) permit” means
any permit that is issued under a major source preconstruction permit
program that has been approved by the Administrator and incorporated
into the SIP to implement the requirements of 40 CFR 51.166.  Any permit
issued under such a program is a major NSR permit.

(liv)	Federal Land Manager means, with respect to any lands in the
United States, the Secretary of the department with authority over such
lands.

(lv)	Reserved

(lvi)	“Electric utility steam generating unit” (EUSGU) means any
steam electric generating unit that is constructed for the purpose of
supplying more than one-third of its potential electric output capacity
and more than 25 MW electrical output to any utility power distribution
system for sale. Any steam supplied to a steam distribution system for
the purpose of providing steam to a steam-electric generator that would
produce electrical energy for sale is also considered in determining the
electrical energy output capacity of the affected facility.

2.	No major stationary source or major modification to which the
requirements of this subparagraph apply shall begin actual construction
without a permit whichthat states that the stationary source or
modifications will meet the requirements of this Paragraph.

	The requirements of this subparagraph shall apply to any new stationary
source or major modification that is major for a regulated NSR
pollutant, or precursor to a regulated NSR pollutant as applicable, if
the stationary source or modification would be constructed anywhere in
an area designated nonattainment (as of the date of the permit issued in
accordance with this subparagraph) for such pollutant pursuant to the
Clean Air Act Title I Part A Section 107(d) (As amended November
15,1990).

	The requirements of this subparagraph shall apply to each nonattainment
pollutant (and in some cases each precursor to the nonattainment
pollutant) that the source will emit, or will have the potential to
emit, in major amounts.  In the case of a modification, the requirements
shall apply to the significant net emissions increase of each
nonattainment pollutant (and each precursor to the nonattainment
pollutant, as applicable) for which the source is major.

(i)	All new stationary sources or modifications shall utilize “stack
height procedures.”

(ii)	All minor stationary sources, and minor modifications proposing to
construct in a nonattainment area shall utilize best available control
technology (BACT), as defined in subparagraph (2)(d) of this rule, for
the nonattainment pollutant as specified by the Technical Secretary at
the time of the completed permit application, but all major stationary
sources and major modifications are required to install LAER in
nonattainment areas for the nonattainment pollutant.

(iii)	Major stationary sources or major modifications shall meet the
following criteria:

(I)	A major stationary source or major modification shall meet each
applicable emissions limitation under the State Implementation Plan and
each applicable requirement for sources subject to the New Source
Performance Standards, and the National Emission Standards for Hazardous
Air Pollutants.

(II)	A new major stationary source shall apply the lowest achievable
emission rate for each contaminant for which the area is designated
nonattainment that it would have the potential to emit in an amount
sufficient to make the source or modification a major stationary source
or modification.  This provision applies to each new emissions unit at
which emissions would occur.

(III)	A major modification shall apply the lowest achievable emission
rate for each air contaminant for which the area is designated
nonattainment and for which it would result in a significant net
emissions increase at the source.  This requirement applies to each
proposed emissions unit at which a net emissions increase in the air
contaminant would occur as the result of a physical change or change in
the method of operation in the unit.

(IV)	For phased construction projects, the determination of lowest
achievable emission rate shall be reviewed and modified as appropriate
at the latest reasonable time which occurs no later than 18 months prior
to commencement of construction of each independent phase of the
project.  At such time, the owner or operator of the applicable
stationary source may be required to demonstrate the adequacy of any
previous determination of the lowest achievable emission rate.

(V)	The Technical Secretary shall, for each new major source and major
modification, submit to the RACT/BACT/LAER Clearinghouse within 60 days
of issuance of the permit, all information on the emissions prevention
or control technology for the new major source or major modification.

(iv)	Reasonable Further Progress (RFP)

(I)	Timing and exemptions:

I	By the time that the proposed source or modification is to commence
operation, sufficient offsetting emissions reductions shall be in effect
such that the total emissions from existing sources in the area, from
new or modified sources which are not major stationary sources, and from
the proposed source will be sufficiently less than total emissions from
existing sources prior to the application for such permit to construct
or modify so as to represent (when considered together with the plan
provisions required under the Clean Air Act Title I Part D Subpart 1
Section 172 (as amended November 15,1990) reasonable further progress;
or 

II	In the case of a new major stationary source or major modification
which is located in a zone (within  the nonattainment area) identified
by the Administrator of EPA, in consultation with the Secretary of
Housing and Urban Development, as a zone to which economic development
should be targeted, the emissions of such air contaminant resulting from
the proposed new or modified major stationary source will not cause or
contribute to emissions levels which exceed the allowance permitted as
contained in the State’s approved Implementation Plan pursuant to the
Clean Air Act Title I Part D Subpart 1 Section 172(c)(4) (as amended
November 15,1990).

(II)	For the purposes of satisfying the requirements of sub-item
(iv)(I)I. of this sub-part, the determination of total emissions at both
the time prior to the application for a permit subject to the
requirements of this sub-part and the time such permitted source or
modification would commence operation, shall be made by the Technical
Secretary in a manner consistent with the assumptions in the applicable
implementation plan approved by the Administrator of EPA concerning
baseline emissions for the demonstration of reasonable further progress
and attainment of the ambient air quality standards for the particular
air contaminant subject to review under this sub-part.

(v)	Emissions Offsets

(I)	Prior to the issuance of a permit under this sub-part, legally
enforceable emission offsets shall be obtained from the same source or
other sources in the same non-attainment area, except that such
emissions reduction may be obtained from a source in another
non-attainment area if:

I.	The other area has an equal or higher non-attainment classification
than the area in which the source is located; and,

II.	Emissions from such other area contribute to a violation of a air
quality standard in the non-attainment area in which the proposed new or
modified source would construct.

(II)	By the time that the new or modified source commences operation,
such reductions shall be in place such that the total tonnage of
emissions of any applicable non-attainment air contaminant allowed from
the proposed new source, or net emissions increase from the
modification, shall be offset by an equal or greater reduction, as
applicable, in the actual emissions of such air contaminant from the
same or other sources.

(III)	In meeting the requirements of item (v)(II) of the sub-part for
ozone non-attainment areas the ratio of total actual emission reductions
of Volatile Organic Compounds and/or Nitrogen Oxides to the net
emissions increase of Volatile Organic Compounds and/or Nitrogen Oxides
shall be as follows: 

I.	In any Marginal non-attainment area for ozone - at least 1.1 to 1;

II.	In any Moderate non-attainment area for ozone - at least 1.15 to 1;

III.	In any Serious non-attainment area for ozone - at least 1.2 to 1;

IV.	In any Severe non-attainment area for ozone - at least 1.3 to  1;

V.	In any Extreme non-attainment area for ozone - at least 1.5 to 1.

(IV)	Within an ozone transport region, for any area designated for ozone
attainment, unclassified, or Marginal non-attainment, the ratio of total
actual emission reductions of Volatile Organic Compounds and/or Nitrogen
Oxides to net emissions increase of Volatile Organic Compounds and/or
Nitrogen Oxides shall be at least 1.5 to 1.

(V)	I.	Emissions reductions achieved by shutting down an existing source
or curtailing production or operating hours below baseline levels may be
generally credited if such reductions are surplus, permanent,
quantifiable, and legally enforceable, and if the area has an EPA
approved attainment plan.  In addition, the shutdown or curtailment is
creditable only if it occurred on or after the date specified for this
purpose in the plan, and if such a date is on or after the date of the
most recent emissions inventory used in the plan’s demonstration of
attainment.  Where the plan does not specify a cutoff date for shutdown
credits, the date of the most recent emissions inventory or attainment
demonstration, as the case may be, shall apply.  However, in no event
may credit be given for shutdowns which occurred prior to August 7,
1977.  For the purposes of this sub-part, the Technical Secretary may
consider a prior shutdown or curtailment to have occurred after the date
of its most recent emissions inventory, if the inventory explicitly
includes as current existing emissions the emission from such previously
shutdown or curtailed source (Federal Register/Vol. 51, No.
233/Thursday, December 4, 1986, Emissions Trading Policy Statement;
General Principles for Creation, Banking, and Use of Emission Reduction
Credits).

II.	The reductions described in sub-item 2.(v)(V)I. of this part may be
credited in the absence of an approved attainment demonstration only if
the shutdown or curtailment occurred on or after the date the new source
application is filed, or, if the applicant can establish that the
proposed new source is a replacement for the shutdown or curtailed
source, and the cutoff date provisions of sub-item 2.(v)(V)I. of this
part are observed.

(VI)	With respect to a proposed increase in VOC emissions, no emissions
credit shall be allowed for reductions in any organic compound
specifically excluded from the definitions of “VOC” in this Division
1200-3.

(VII)	Credit for an emissions reduction may be claimed to the extent
that the reduction has not been relied on in any permit already issued
under regulations approved pursuant to 40 CFR Parts 51, 52, and 70,(July
1, 1993) or the State has not relied on it in demonstrating attainment
or reasonable further progress.  Incidental emissions reductions which
are not otherwise required under the federal Clean Air Act (As amended
November 15, 1990) may be credible as emissions reductions for such
purposes if such emissions reductions meet the applicable requirements
of this part.

(VIII)	Procedures relating to the permissible locations of offsetting
emissions shall be followed which are at least as stringent as those set
out in 40 CFR Part 51, Appendix S, Section IV.D. (July 1, 1993 ).

(IX)	Decreases in actual emissions resulting from the installation of
add-on control technology or application of pollution prevention
measures that were relied upon in designating an emissions unit as a
Clean Unit or a project as a PCP cannot be used as offsets. 

(X)	Decreases in actual emissions occurring at a Clean Unit cannot be
used as offsets, except as provided in sub-parts 7.(viii) and 8.(x) of
this subparagraph. Similarly, decreases in actual emissions occurring at
a PCP cannot be used as offsets, except as provided in item 9.(vi)(IV)
of this subparagraph.

(XI)	The total tonnage of increased emissions, in tons per year,
resulting from a major modification that must be offset in accordance
with section 173 of the Federal Clean Air Act shall be determined by
summing the difference between the allowable emissions after the
modification (as defined by sub-part 1.(xi) of this subparagraph) and
the actual emissions before the modification (as defined in sub-part
1.(xiii) of this subparagraph) for each emissions unit.

(XII)	Where the emissions limit under this division 1200-3 allows
greater emissions than the potential to emit of the source, emissions
offset credit will be allowed only for control below this potential;

(XIII)	For an existing fuel combustion source, credit shall be based on
the allowable emissions under this division 1200-3 for the type of fuel
being burned at the time the application to construct is filed. If the
existing source commits to switch to a cleaner fuel at some future date,
emissions offset credit based on the allowable (or actual) emissions for
the fuels involved is not acceptable, unless the permit is conditioned
to require the use of a specified alternative control measure which
would achieve the same degree of emissions reduction should the source
switch back to a dirtier fuel at some later date. The Technical
Secretary shall ensure that adequate long-term supplies of the new fuel
are available before granting emissions offset credit for fuel switches

(vi)	In a nonattainment area, prior to the issuance of a permit to a new
major stationary source or major modification an analysis of alternate
sites, sizes, production processes, and environmental control techniques
for the proposed source shall be made.  A permit shall only be issued if
the benefits of the proposed source significantly outweigh the
environmental and social costs imposed on the public as a result of the
sources location, construction, or modification in the nonattainment
area.  The Technical Secretary shall require the submittal of such
information as he deems necessary for this analysis.

(vii)	The Technical Secretary shall not issue a permit to any major
stationary source or major modification locating in or significantly
impacting a nonattainment area unless all other sources owned or
operated by the applicant (or any entity controlling, controlled by, or
under common control with the applicant) anywhere in the State are in
compliance or on an approved compliance schedule.

(viii)	If the nonattainment area is designated as attainment by the EPA
Administrator between the date construction is approved under this
subparagraph and before the new source start up date, the source has the
option of applying for a new construction permit and relief from the
requirements of this subparagraph.

(I)	Any permit issued under this part shall remain in effect, unless it
expires under subpart (xi) of this part or is rescinded.

(II)	The Technical Secretary shall grant an application for rescission
if the application shows that this part would not apply to the source or
modification.

(III)	If the Technical Secretary rescinds a permit under this
sub-paragraph, the public shall be given adequate notice of the
rescission.  Publication by the Technical Secretary of an announcement
of rescission in a newspaper of general circulation in the affected
region within 60 days of the rescission shall be considered adequate
notice.

(ix)	At such time that a particular source or modification becomes a
major stationary source or major modification solely by virtue of a
relaxation in any “legally enforceable limitation” which was
established after August 7, 1980, on the capacity of the source or
modification otherwise to emit a pollutant, such as a restriction on
hours of operation, then the requirements of Subparagraph
1200-3-9-.01(5)(b) shall apply to the source or modification as though
construction had not yet commenced on the source or modification.

(x)	Approval to construct shall not relieve any owner or operator of the
responsibility to comply fully with applicable provisions of the plan
and any other requirements under local, state or federal law.

(xi)	Approval to construct shall become invalid if construction is not
commenced within 18 months after issuance of an approved construction
permit, if construction is discontinued for a period of 18 months or
more, or if construction is not completed within 18 months of the
completion date specified on the construction permit application unless
an extension has been granted from the Tennessee Air Pollution Control
Board.  Also, each phase of a phased construction project must meet the
requirements stated above.  An extension of time for a phased
construction project may be requested for each phase or for the whole
project.  The above requirements do not apply to the time period between
the construction of the approved phases of a phased construction
project.  The Tennessee Air Pollution Control Board may issue a variance
granting an extension to complete construction of a source provided
adequate justification is presented.  Each extension shall not exceed 12
months in time.

(xii)	Except as otherwise provided in sub-parts 2.(xviii) and 2.(xix) of
this subparagraph, and consistent with the definition of major
modification contained in item 1.(v)(I) of this subparagraph, a project
is a major modification for a regulated NSR pollutant if it causes two
types of emissions increases—a significant emissions increase (as
defined in sub-part 1.(xxxix) of this subparagraph), and a significant
net emissions increase (as defined in sub-parts 1.(vi) and 1.(x) of this
subparagraph). The project is not a major modification if it does not
cause a significant emissions increase. If the project causes a
significant emissions increase, then the project is a major modification
only if it also results in a significant net emissions increase.

(xiii)	The procedure for calculating (before beginning actual
construction) whether a significant emissions increase (i.e., the first
step of the process) will occur depends upon the type of emissions units
being modified, according to sub-parts 2.(xiv) and 2.(xvii) of this
subparagraph. The procedure for calculating (before beginning actual
construction) whether a significant net emissions increase will occur at
the major stationary source (i.e., the second step of the process) is
contained in the definition in sub-part 1.(vi) of this subparagraph.
Regardless of any such preconstruction projections, a major modification
results if the project causes a significant emissions increase and a
significant net emissions increase.

(xiv)	Actual-to-projected-actual applicability test for projects that
only involve existing emissions units. A significant emissions increase
of a regulated NSR pollutant is projected to occur if the sum of the
difference between the projected actual emissions (as defined in
sub-part 1.(xl) of this subparagraph) and the baseline actual emissions
(as defined in items 1.(xlvii)(I) and (II) of this subparagraph, as
applicable), for each existing emissions unit, equals or exceeds the
significant amount for that pollutant (as defined in sub-part 1.(x) of
this subparagraph).

(xv)	Actual-to-potential test for projects that only involve
construction of a new emissions unit(s). A significant emissions
increase of a regulated NSR pollutant is projected to occur if the sum
of the difference between the potential to emit (as defined in sub-part
1.(iii) of this subparagraph) from each new emissions unit following
completion of the project and the baseline actual emissions (as defined
in item 1.(xlvii)(III) of this subparagraph) of these units before the
project equals or exceeds the significant amount for that pollutant (as
defined in sub-part 1.(x) of this subparagraph).

(xvi)	Emission test for projects that involve Clean Units. For a project
that will be constructed and operated at a Clean Unit without causing
the emissions unit to lose its Clean Unit designation, no emissions
increase is deemed to occur.

(xvii)	Hybrid test for projects that involve multiple types of emissions
units. A significant emissions increase of a regulated NSR pollutant is
projected to occur if the sum of the emissions increases for each
emissions unit, using the method specified in sub-parts 2.(xiv) through
(xvi) of this subparagraph as applicable with respect to each emissions
unit, for each type of emissions unit equals or exceeds the significant
amount for that pollutant (as defined in sub-part 1.(x) of this
subparagraph). For example, if a project involves both an existing
emissions unit and a Clean Unit, the projected increase is determined by
summing the values determined using the method specified in sub-part
2.(xiv) of this subparagraph for the existing unit and using the method
specified in sub-part 2.(xvi) of this subparagraph for the Clean Unit.

(xviii)	Any major stationary source with a PAL for a regulated NSR
pollutant shall comply with the requirements under part 10. of this
subparagraph.

(xix)	An owner or operator undertaking a PCP (as defined in sub-part
1.(xxxvii) of this subparagraph) shall comply with the requirements
under part 9. of this subparagraph.

3.	Public Participation

(i)	The Technical Secretary shall provide opportunity for public comment
on information submitted by owners and operators.  The public
information must include the agency’s analysis of the effect of
construction or modification on ambient air quality, including the
agency’s proposed approval or disapproval.  The opportunity for public
comment shall include, as a minimum -

(I)	Availability for public inspection in at least one location in the
area affected of the information submitted by the owner or operator and
of the Technical Secretary’s analysis of the effect on air quality;

(II)	A 30-day period for submittal of public comment; and

(III)	A notice by prominent advertisement in the area affected of the
location of the source information and analysis specified in Item (I) of
the Sub-part.  This notice shall be provided by the source owner or
operator.

(ii)	Where the 30-day comment period required in Item II of Sub-part (i)
would conflict with existing requirements for acting on requests for
permission to construct or modify, the Technical Secretary may submit
for approval a comment period which is consistent with such existing
requirements.

(iii)	The Technical Secretary shall provide a copy of the notice
required by Sub-part (i) of this part to the Administrator through the
appropriate Regional Office, and to all other State and local air
pollution control agencies having jurisdiction in the region in which
such new or modified installation will be located.  The notice also must
be sent to any other agency in the region having responsibility for
implementing the procedures required under this part.  For lead, a copy
of the notice is required for all point sources.  The definition of
point source for lead is given in 40 CFR Part 51.100(k)(2). (July 1,
1993).

4.	Emissions banking for an air contaminant for which an area is
designated nonattainment must be conducted in accordance with the EPA
Part III, Emissions Trading Policy Statement..., Federal Register / Vol.
51, No. 233 / Thursday, December 4, 1986. 

5.	The following specific provisions apply to projects at existing
emissions units at a major stationary source (other than projects at a
Clean Unit or at a source with a PAL) in circumstances where there is a
reasonable possibility that a project that is not a part of a major
modification may result in a significant emissions increase and the
owner or operator elects to use the method specified in sub-items
1.(xl)(I)I through III of this subparagraph for calculating projected
actual emissions. 

(i)	Before beginning actual construction of the project, the owner or
operator shall document and maintain a record of the following
information: 

(I)	A description of the project; 

(II)	Identification of the emissions unit(s) whose emissions of a
regulated NSR pollutant could be affected by the project; and 

(III)	A description of the applicability test used to determine that the
project is not a major modification for any regulated NSR pollutant,
including the baseline actual emissions, the projected actual emissions,
the amount of emissions excluded under sub-item 1.(xl)(I)III of this
subparagraph and an explanation for why such amount was excluded, and
any netting calculations, if applicable. 

(ii)	If the emissions unit is an existing electric utility steam
generating unit, before beginning actual construction, the owner or
operator shall provide a copy of the information set out in sub-part
5.(i) of this subparagraph to the Technical Secretary. Nothing in this
sub-part 5.(ii) shall be construed to require the owner or operator of
such a unit to obtain any determination from the Technical Secretary
before beginning actual construction. 

(iii)	The owner or operator shall monitor the emissions of any regulated
NSR pollutant that could increase as a result of the project and that is
emitted by any emissions units identified in item 5.(i)(II) of this
subparagraph; and calculate and maintain a record of the annual
emissions, in tons per year on a calendar year basis, for a period of 5
years following resumption of regular operations after the change, or
for a period of 10 years following resumption of regular operations
after the change if the project increases the design capacity or
potential to emit of that regulated NSR pollutant at such emissions
unit. 

(iv)	If the unit is an existing electric utility steam generating unit,
the owner or operator shall submit a report to the Technical Secretary
within 60 days after the end of each year during which records must be
generated under sub-part 5.(iii) of this subparagraph setting out the
unit’s annual emissions during the year that preceded submission of
the report. 

(v)	If the unit is an existing unit other than an electric utility steam
generating unit, the owner or operator shall submit a report to the
Technical Secretary if the annual emissions, in tons per year, from the
project identified in sub-part 5.(i) of this subparagraph, exceed the
baseline actual emissions (as documented and maintained pursuant to item
5.(i)(III) of this subparagraph, by a significant amount (as defined in
sub-part 1.(x) of this subparagraph) for that regulated NSR pollutant,
and if such emissions differ from the preconstruction projection as
documented and maintained pursuant to item 5.(i)(III) of this
subparagraph. Such report shall be submitted to the Technical Secretary
within 60 days after the end of such year. The report shall contain the
following: 

(I)	The name, address and telephone number of the major stationary
source; 

(II)	The annual emissions as calculated pursuant to sub-part 5.(iii) of
this subparagraph; and 

(III)	Any other information that the owner or operator wishes to include
in the report (e.g., an explanation as to why the emissions differ from
the preconstruction projection). 

6.	The owner or operator of the source shall make the information
required to be documented and maintained pursuant to part 5. of this
subparagraph available for review upon a request for inspection by the
Technical Secretary or the general public pursuant to the requirements
contained in sub-part .02(11)(e)1.(iii)of this chapter.

7.	Clean Unit Test for emissions units that are subject to LAER. An
owner or operator of a major stationary source may use the Clean Unit
Test to determine whether emissions increases at a Clean Unit are part
of a project that is a major modification according to the provisions in
sub-parts 7.(i) through (ix) of this subparagraph. 

(i)	Applicability. The provisions of this part 7. apply to any emissions
unit for which the Technical Secretary has issued a major NSR permit
within the past 10 years. 

(ii)	General provisions for Clean Units. The provisions in items
7.(ii)(I) through (V) of this subparagraph apply to a Clean Unit. 

(I)	Any project for which the owner or operator begins actual
construction after the effective date of the Clean Unit designation (as
determined in accordance with sub-part 7.(iv) of this subparagraph) and
before the expiration date (as determined in accordance with sub-part
7.(v) of this subparagraph) will be considered to have occurred while
the emissions unit was a Clean Unit. 

(II)	If a project at a Clean Unit does not cause the need for a change
in the emission limitations or work practice requirements in the permit
for the unit that were adopted in conjunction with LAER and the project
would not alter any physical or operational characteristics that formed
the basis for the LAER determination as specified in item 7.(vi)(IV) of
this subparagraph, the emissions unit remains a Clean Unit. 

(III)	If a project causes the need for a change in the emission
limitations or work practice requirements in the permit for the unit
that were adopted in conjunction with LAER or the project would alter
any physical or operational characteristics that formed the basis for
the LAER determination as specified in item 7.(vi)(IV) of this
subparagraph, then the emissions unit loses its designation as a Clean
Unit upon issuance of the necessary permit revisions (unless the unit
requalifies as a Clean Unit pursuant to item 7.(iii)(III) of this
subparagraph). If the owner or operator begins actual construction on
the project without first applying to revise the emissions unit’s
permit, the Clean Unit designation ends immediately prior to the time
when actual construction begins. 

(IV)	A project that causes an emissions unit to lose its designation as
a Clean Unit is subject to the applicability requirements of sub-parts
2.(xii) through (xv) and sub-part 2.(xvii) of this subparagraph as if
the emissions unit is not a Clean Unit. 

(V)	Certain Emissions Units with PSD permits. For emissions units that
meet the requirements of sub-items 7.(ii)(V)I and II of this
subparagraph, the BACT level of emissions reductions and/or work
practice requirements shall satisfy the requirement for LAER in meeting
the requirements for Clean Units under sub-parts 7.(iii) through (viii)
of this subparagraph. For these emissions units, all requirements for
the LAER determination under items 7.(ii)(II) and (III) of this
subparagraph shall also apply to the BACT permit terms and conditions.
In addition, the requirements of sub-item 7.(vii)(I)II of this
subparagraph do not apply to emissions units that qualify for Clean Unit
status under this item 7.(ii)(V). 

I	The emissions unit must have received a PSD permit within the last 10
years and such permit must require the emissions unit to comply with
BACT. 

II	The emissions unit must be located in an area that was redesignated
as nonattainment for the relevant pollutant(s) after issuance of the PSD
permit and before the effective date of the Clean Unit Test provisions
in the area. 

(iii)	Qualifying or re-qualifying to use the Clean Unit applicability
test. An emissions unit automatically qualifies as a Clean Unit when the
unit meets the criteria in items 7.(iii)(I) and (II) of this
subparagraph. After the original Clean Unit designation expires in
accordance with sub-part 7.(v) of this subparagraph or is lost pursuant
to item 7.(ii)(III) of this subparagraph, such emissions unit may
re-qualify as a Clean Unit under either item 7.(iii)(III) of this
subparagraph, or under the Clean Unit provisions in part 8. of this
subparagraph. To re-qualify as a Clean Unit under item 7.(iii)(III) of
this subparagraph, the emissions unit must obtain a new major NSR permit
issued through the applicable nonattainment major NSR program and meet
all the criteria in item 7.(iii)(III) of this subparagraph. Clean Unit
designation applies individually for each pollutant emitted by the
emissions unit. 

(I)	Permitting requirement. The emissions unit must have received a
major NSR permit within the past 10 years. The owner or operator must
maintain and be able to provide information that would demonstrate that
this permitting requirement is met. 

(II)	Qualifying air pollution control technologies. Air pollutant
emissions from the emissions unit must be reduced through the use of an
air pollution control technology (which includes pollution prevention as
defined under sub-part 1.(xxxviii) of this subparagraph or work
practices) that meets both the following requirements in sub-items
7.(iii)(II)I and II of this subparagraph. 

I	The control technology achieves the LAER level of emissions reductions
as determined through issuance of a major NSR permit within the past 10
years. However, the emissions unit is not eligible for Clean Unit
designation if the LAER determination resulted in no requirement to
reduce emissions below the level of a standard, uncontrolled, new
emissions unit of the same type. 

II	The owner or operator made an investment to install the control
technology. For the purpose of this determination, an investment
includes expenses to research the application of a pollution prevention
technique to the emissions unit or expenses to apply a pollution
prevention technique to an emissions unit. 

(III)	Re-qualifying for the Clean Unit designation. The emissions unit
must obtain a new major NSR permit that requires compliance with the
current-day LAER, and the emissions unit must meet the requirements in
items 7.(iii)(I) and (II) of this subparagraph. 

(iv)	Effective date of the Clean Unit designation. The effective date of
an emissions unit’s Clean Unit designation (that is, the date on which
the owner or operator may begin to use the Clean Unit Test to determine
whether a project at the emissions unit is a major modification) is
determined according to the applicable item 7.(iv)(I) or (II) of this
subparagraph. 

(I)	Original Clean Unit designation, and emissions units that re-qualify
as Clean Units by implementing a new control technology to meet
current-day LAER. The effective date is the date the emissions unit’s
air pollution control technology is placed into service, or 3 years
after the issuance date of the major NSR permit, whichever is earlier,
but no sooner than the date that provisions for the Clean Unit
applicability test are approved by the Administrator for incorporation
into the SIP and become effective. 

(II)	Emissions units that re-qualify for the Clean Unit designation
using an existing control technology. The effective date is the date the
new, major NSR permit is issued. 

(v)	Clean Unit expiration. An emissions unit’s Clean Unit designation
expires (that is, the date on which the owner or operator may no longer
use the Clean Unit Test to determine whether a project affecting the
emissions unit is, or is part of, a major modification) according to the
applicable item 7.(v)(I) or (II) of this subparagraph. 

(I)	Original Clean Unit designation, and emissions units that re-qualify
by implementing new control technology to meet current-day LAER. For any
emissions unit that automatically qualifies as a Clean Unit under items
7.(iii)(I) and (II) of this subparagraph, the Clean Unit designation
expires 10 years after the effective date, or the date the equipment
went into service, whichever is earlier; or, it expires at any time the
owner or operator fails to comply with the provisions for maintaining
Clean Unit designation in sub-part 7.(vii) of this subparagraph. 

(II)	Emissions units that re-qualify for the Clean Unit designation
using an existing control technology. For any emissions unit that
re-qualifies as a Clean Unit under item 7.(iii)(III) of this
subparagraph, the Clean Unit designation expires 10 years after the
effective date; or, it expires any time the owner or operator fails to
comply with the provisions for maintaining the Clean Unit Designation in
sub-part 7.(vii) of this subparagraph. 

(vi)	Required title V permit content for a Clean Unit. After the
effective date of the Clean Unit designation, and in accordance with the
provisions of the applicable title V permit program under paragraph
.02(11) of this chapter, but no later than when the title V permit is
renewed, the title V permit for the major stationary source must include
the following terms and conditions in items 7.(vi)(I) through (VI) of
this subparagraph related to the Clean Unit. 

(I)	A statement indicating that the emissions unit qualifies as a Clean
Unit and identifying the pollutant(s) for which this Clean Unit
designation applies. 

(II)	The effective date of the Clean Unit designation. If this date is
not known when the Clean Unit designation is initially recorded in the
title V permit (e.g., because the air pollution control technology is
not yet in service), the permit must describe the event that will
determine the effective date (e.g., the date the control technology is
placed into service). Once the effective date is determined, the owner
or operator must notify the Technical Secretary of the exact date. This
specific effective date must be added to the source’s title V permit
at the first opportunity, such as a modification, revision, reopening,
or renewal of the title V permit for any reason, whichever comes first,
but in no case later than the next renewal. 

(III)	The expiration date of the Clean Unit designation. If this date is
not known when the Clean Unit designation is initially recorded into the
title V permit (e.g., because the air pollution control technology is
not yet in service), then the permit must describe the event that will
determine the expiration date (e.g., the date the control technology is
placed into service). Once the expiration date is determined, the owner
or operator must notify the Technical Secretary of the exact date. The
expiration date must be added to the source’s title V permit at the
first opportunity, such as a modification, revision, reopening, or
renewal of the title V permit for any reason, whichever comes first, but
in no case later than the next renewal. 

(IV)	All emission limitations and work practice requirements adopted in
conjunction with the LAER, and any physical or operational
characteristics that formed the basis for the LAER determination (e.g.,
possibly the emissions unit’s capacity or throughput). 

(V)	Monitoring, recordkeeping, and reporting requirements as necessary
to demonstrate that the emissions unit continues to meet the criteria
for maintaining the Clean Unit designation. (See sub-part 7.(vii) of
this subparagraph.) 

(VI)	Terms reflecting the owner or operator’s duties to maintain the
Clean Unit designation and the consequences of failing to do so, as
presented in sub-part 7.(vii) of this subparagraph.

(vii)	Maintaining the Clean Unit designation. To maintain the Clean Unit
designation, the owner or operator must conform to all the restrictions
listed in items 7.(vii)(I) through (III) of this subparagraph. This
sub-part 7.(vii) of this subparagraph applies independently to each
pollutant for which the emissions unit has the Clean Unit designation.
That is, failing to conform to the restrictions for one pollutant
affects Clean Unit designation only for that pollutant. 

(I)	The Clean Unit must comply with the emission limitation(s) and/or
work practice requirements adopted in conjunction with the LAER that is
recorded in the major NSR permit, and subsequently reflected in the
title V permit. 

I	The owner or operator may not make a physical change in or change in
the method of operation of the Clean Unit that causes the emissions unit
to function in a manner that is inconsistent with the physical or
operational characteristics that formed the basis for the LAER
determination (e.g., possibly the emissions unit’s capacity or
throughput). 

II	The Clean Unit may not emit above a level that has been offset. 

(II)	The Clean Unit must comply with any terms and conditions in the
title V permit related to the unit’s Clean Unit designation. 

(III)	The Clean Unit must continue to control emissions using the
specific air pollution control technology that was the basis for its
Clean Unit designation. If the emissions unit or control technology is
replaced, then the Clean Unit designation ends. 

(viii)	Offsets and netting at Clean Units. Emissions changes that occur
at a Clean Unit must not be included in calculating a significant net
emissions increase (that is, must not be used in a “netting
analysis”), or be used for generating offsets unless such use occurs
before the effective date of the Clean Unit designation, or after the
Clean Unit designation expires; or, unless the emissions unit reduces
emissions below the level that qualified the unit as a Clean Unit.
However, if the Clean Unit reduces emissions below the level that
qualified the unit as a Clean Unit, then, the owner or operator may
generate a credit for the difference between the level that qualified
the unit as a Clean Unit and the new emission limitation if such
reductions are surplus, quantifiable, and permanent. For purposes of
generating offsets, the reductions must also be federally enforceable.
For purposes of determining creditable net emissions increases and
decreases, the reductions must also be enforceable as a practical
matter. 

(ix)	Effect of redesignation on the Clean Unit designation. The Clean
Unit designation of an emissions unit is not affected by redesignation
of the attainment status of the area in which it is located. That is, if
a Clean Unit is located in an attainment area and the area is
redesignated to nonattainment, its Clean Unit designation is not
affected. Similarly, redesignation from nonattainment to attainment does
not affect the Clean Unit designation. However, if an existing Clean
Unit designation expires, it must re-qualify under the requirements that
are currently applicable in the area. 

8.	Clean Unit provisions for emissions units that achieve an emission
limitation comparable to LAER.  An owner or operator of a major
stationary source may use the Clean Unit Test to determine whether
emissions increases at a Clean Unit are part of a project that is a
major modification according to the provisions in sub-parts 8.(i)
through (xi) of this subparagraph. 

(i)	Applicability. The provisions of this part 8. apply to emissions
units which do not qualify as Clean Units under part 7. of this
subparagraph, but which are achieving a level of emissions control
comparable to LAER, as determined by the Technical Secretary in
accordance with this part 8. 

(ii)	General provisions for Clean Units. The provisions in items
8.(ii)(I) through (IV) of this subparagraph apply to a Clean Unit
designated under this part 8. 

(I)	Any project for which the owner or operator begins actual
construction after the effective date of the Clean Unit designation (as
determined in accordance with sub-part 8.(v) of this subparagraph) and
before the expiration date (as determined in accordance with sub-part
8.(vi) of this subparagraph) will be considered to have occurred while
the emissions unit was a Clean Unit. 

(II)	If a project at a Clean Unit does not cause the need for a change
in the emission limitations or work practice requirements in the permit
for the unit that have been determined (pursuant to sub-part 8.(iv) of
this subparagraph) to be comparable to LAER, and the project would not
alter any physical or operational characteristics that formed the basis
for determining that the emissions unit’s control technology achieves
a level of emissions control comparable to LAER as specified in item
8.(viii)(IV) of this subparagraph, the emissions unit remains a Clean
Unit. 

(III)	If a project causes the need for a change in the emission
limitations or work practice requirements in the permit for the unit
that have been determined (pursuant to sub-part 8.(iv) of this
subparagraph) to be comparable to LAER, or the project would alter any
physical or operational characteristics that formed the basis for
determining that the emissions unit’s control technology achieves a
level of emissions control comparable to LAER as specified in item
8.(viii)(IV) of this subparagraph, then the emissions unit loses its
designation as a Clean Unit upon issuance of the necessary permit
revisions (unless the unit re-qualifies as a Clean Unit pursuant to item
8.(iii)(IV) of this subparagraph). If the owner or operator begins
actual construction on the project without first applying to revise the
emissions unit’s permit, the Clean Unit designation ends immediately
prior to the time when actual construction begins. 

(IV)	A project that causes an emissions unit to lose its designation as
a Clean Unit is subject to the applicability requirements of sub-parts
2.(xii) through 2.(xv) and sub-part 2.(xvii) of this subparagraph as if
the emissions unit were never a Clean Unit. 

(iii)	Qualifying or re-qualifying to use the Clean Unit applicability
test. An emissions unit qualifies as a Clean Unit when the unit meets
the criteria in items 8.(iii)(I) through (III) of this subparagraph.
After the original Clean Unit designation expires in accordance with
sub-part 8.(vi) of this subparagraph or is lost pursuant to item
8.(ii)(III) of this subparagraph, such emissions unit may re-qualify as
a Clean Unit under either item 8.(iii)(IV) of this subparagraph, or
under the Clean Unit provisions in part 7. of this subparagraph. To
re-qualify as a Clean Unit under item 8.(iii)(IV) of this subparagraph,
the emissions unit must obtain a new permit issued pursuant to the
requirements in sub-parts 8.(vii) and (viii) of this subparagraph and
meet all the criteria in item 8.(iii)(IV) of this subparagraph. The
Technical Secretary will make a separate Clean Unit designation for each
pollutant emitted by the emissions unit for which the emissions unit
qualifies as a Clean Unit. 

(I)	Qualifying air pollution control technologies. Air pollutant
emissions from the emissions unit must be reduced through the use of air
pollution control technology (which includes pollution prevention as
defined under sub-part 1.(xxxviii) of this subparagraph or work
practices) that meets both the following requirements in sub-items
8.(iii)(I)I and II of this subparagraph. 

I	The owner or operator has demonstrated that the emissions unit’s
control technology is comparable to LAER according to the requirements
of sub-part 8.(iv) of this subparagraph. However, the emissions unit is
not eligible for the Clean Unit designation if its emissions are not
reduced below the level of a standard, uncontrolled emissions unit of
the same type (e.g., if the LAER determinations to which it is compared
have resulted in a determination that no control measures are required).


II	The owner or operator made an investment to install the control
technology. For the purpose of this determination, an investment
includes expenses to research the application of a pollution prevention
technique to the emissions unit or to retool the unit to apply a
pollution prevention technique. 

(II)	Impact of emissions from the unit. The Technical Secretary must
determine that the allowable emissions from the emissions unit will not
cause or contribute to a violation of any national ambient air quality
standard or PSD increment, or adversely impact an air quality related
value (such as visibility) that has been identified for a Federal Class
I area by a Federal Land Manager and for which information is available
to the general public. 

(III)	Date of installation. An emissions unit may qualify as a Clean
Unit even if the control technology, on which the Clean Unit designation
is based, was installed before the effective date of plan requirements
to implement the requirements of this item 8.(iii)(III). However, for
such emissions units, the owner or operator must apply for the Clean
Unit designation within 2 years after the plan requirements become
effective. For technologies installed after the plan requirements become
effective, the owner or operator must apply for the Clean Unit
designation at the time the control technology is installed. 

(IV)	Re-qualifying as a Clean Unit. The emissions unit must obtain a new
permit (pursuant to requirements in sub-parts 8.(vii) and (viii) of this
subparagraph) that demonstrates that the emissions unit’s control
technology is achieving a level of emission control comparable to
current-day LAER, and the emissions unit must meet the requirements in
sub-item 8.(iii)(I)I and item 8.(iii)(II) of this subparagraph. 

(iv)	Demonstrating control effectiveness comparable to LAER. The owner
or operator may demonstrate that the emissions unit’s control
technology is comparable to LAER for purposes of item 8.(iii)(I) of this
subparagraph according to either item 8.(iv)(I) or (II) of this
subparagraph. Item 8.(iv)(III) of this subparagraph specifies the time
for making this comparison. 

(I)	Comparison to previous LAER determinations. The administrator
maintains an on-line data base of previous determinations of RACT, BACT,
and LAER in the RACT/BACT/LAER Clearinghouse (RBLC). The emissions
unit’s control technology is presumed to be comparable to LAER if it
achieves an emission limitation that is at least as stringent as any one
of the five best-performing similar sources for which a LAER
determination has been made within the preceding 5 years, and for which
information has been entered into the RBLC. The Technical Secretary
shall also compare this presumption to any additional LAER
determinations of which it is aware, and shall consider any information
on achieved-in-practice pollution control technologies provided during
the public comment period, to determine whether any presumptive
determination that the control technology is comparable to LAER is
correct. 

(II)	The substantially-as-effective test. The owner or operator may
demonstrate that the emissions unit’s control technology is
substantially as effective as LAER. In addition, any other person may
present evidence related to whether the control technology is
substantially as effective as LAER during the public participation
process required under sub-part 8.(vii) of this subparagraph. The
Technical Secretary shall consider such evidence on a case-by-case basis
and determine whether the emissions unit’s air pollution control
technology is substantially as effective as LAER.

(III)	Time of comparison

I	Emissions units with control technologies that are installed before
the effective date of plan requirements implementing this subparagraph.
The owner or operator of an emissions unit whose control technology is
installed before the effective date of plan requirements implementing
this part 8. may, at its option, either demonstrate that the emission
limitation achieved by the emissions unit’s control technology is
comparable to the LAER requirements that applied at the time the control
technology was installed, or demonstrate that the emission limitation
achieved by the emissions unit’s control technology is comparable to
current-day LAER requirements. The expiration date of the Clean Unit
designation will depend on which option the owner or operator uses, as
specified in sub-part 8.(vi) of this subparagraph. 

II	Emissions units with control technologies that are installed after
the effective date of plan requirements implementing this subparagraph.
The owner or operator must demonstrate that the emission limitation
achieved by the emissions unit’s control technology is comparable to
current-day LAER requirements. 

(v)	Effective date of the Clean Unit designation. The effective date of
an emissions unit’s Clean Unit designation (that is, the date on which
the owner or operator may begin to use the Clean Unit Test to determine
whether a project involving the emissions unit is a major modification)
is the date that the permit required by sub-part 8.(vii) of this
subparagraph is issued or the date that the emissions unit’s air
pollution control technology is placed into service, whichever is later.


(vi)	Clean Unit expiration. If the owner or operator demonstrates that
the emission limitation achieved by the emissions unit’s control
technology is comparable to the LAER requirements that applied at the
time the control technology was installed, then the Clean Unit
designation expires 10 years from the date that the control technology
was installed. For all other emissions units, the Clean Unit designation
expires 10 years from the effective date of the Clean Unit designation,
as determined according to sub-part 8.(v) of this subparagraph. In
addition, for all emissions units, the Clean Unit designation expires
any time the owner or operator fails to comply with the provisions for
maintaining the Clean Unit designation in sub-part 8.(ix) of this
subparagraph. 

(vii)	Procedures for designating emissions units as Clean Units. The
Technical Secretary shall designate an emissions unit a Clean Unit only
by issuing a permit through the permitting program prescribed in
paragraph (1) of this rule or through the procedures of paragraph
1200-3-9-.02(11), as applicablea permitting program that has been
approved by the Administrator, including requirements for public notice
of the proposed Clean Unit designation and opportunity for public
comment. Such permit must also meet the requirements in sub-part
8.(viii) of this sub-paragraph.    

(viii)	Required permit content. The permit required by sub-part 8.(vii)
of this subparagraph shall include the terms and conditions set forth in
items 8.(viii)(I) through (VI) of this subparagraph. Such terms and
conditions shall be incorporated into the major stationary source’s
title V permit in accordance with the provisions of the applicable title
V permit program under paragraph .02(11) of this chapter, but no later
than when the title V permit is renewed. 

(I)	A statement indicating that the emissions unit qualifies as a Clean
Unit and identifying the pollutant(s) for which this designation
applies. 

(II)	The effective date of the Clean Unit designation. If this date is
not known when the Technical Secretary issues the permit (e.g., because
the air pollution control technology is not yet in service), then the
permit must describe the event that will determine the effective date
(e.g., the date the control technology is placed into service). Once the
effective date is known, then the owner or operator must notify the
Technical Secretary of the exact date. This specific effective date must
be added to the source’s title V permit at the first opportunity, such
as a modification, revision, reopening, or renewal of the title V permit
for any reason, whichever comes first, but in no case later than the
next renewal. 

(III)	The expiration date of the Clean Unit designation. If this date is
not known when the Technical Secretary issues the permit (e.g., because
the air pollution control technology is not yet in service), then the
permit must describe the event that will determine the expiration date
(e.g., the date the control technology is placed into service). Once the
expiration date is known, then the owner or operator must notify the
Technical Secretary of the exact date. The expiration date must be added
to the source’s title V permit at the first opportunity, such as a
modification, revision, reopening, or renewal of the title V permit for
any reason, whichever comes first, but in no case later than the next
renewal.

(IV)	All emission limitations and work practice requirements adopted in
conjunction with emission limitations necessary to assure that the
control technology continues to achieve an emission limitation
comparable to LAER, and any physical or operational characteristics that
formed the basis for determining that the emissions unit’s control
technology achieves a level of emissions control comparable to LAER
(e.g., possibly the emissions unit’s capacity or throughput). 

(V)	Monitoring, recordkeeping, and reporting requirements as necessary
to demonstrate that the emissions unit continues to meet the criteria
for maintaining its Clean Unit designation. (See sub-part 8.(ix) of this
subparagraph) 

(VI)	Terms reflecting the owner or operator’s duties to maintain the
Clean Unit designation and the consequences of failing to do so, as
presented in sub-part 8.(ix) of this subparagraph. 

(ix)	Maintaining Clean Unit designation. To maintain Clean Unit
designation, the owner or operator must conform to all the restrictions
listed in items 8.(ix)(I) through (V) of this subparagraph. This
sub-part 8.(ix) applies independently to each pollutant for which the
Technical Secretary has designated the emissions unit a Clean Unit. That
is, failing to conform to the restrictions for one pollutant affects the
Clean Unit designation only for that pollutant. 

(I)	The Clean Unit must comply with the emission limitation(s) and/or
work practice requirements adopted to ensure that the control technology
continues to achieve emission control comparable to LAER. 

(II)	The owner or operator may not make a physical change in or change
in the method of operation of the Clean Unit that causes the emissions
unit to function in a manner that is inconsistent with the physical or
operational characteristics that formed the basis for the determination
that the control technology is achieving a level of emission control
that is comparable to LAER (e.g., possibly the emissions unit’s
capacity or throughput). 

(III)	The Clean Unit may not emit above a level that has been offset. 

(IV) 	The Clean Unit must comply with any terms and conditions in the
title V permit related to the unit’s Clean Unit designation. 

(V)	The Clean Unit must continue to control emissions using the specific
air pollution control technology that was the basis for its Clean Unit
designation. If the emissions unit or control technology is replaced,
then the Clean Unit designation ends. 

(x)	Offsets and Netting at Clean Units. Emissions changes that occur at
a Clean Unit must not be included in calculating a significant net
emissions increase (that is, must not be used in a “netting
analysis”), or be used for generating offsets unless such use occurs
before the effective date of plan requirements adopted to implement this
part 8. or after the Clean Unit designation expires; or, unless the
emissions unit reduces emissions below the level that qualified the unit
as a Clean Unit. However, if the Clean Unit reduces emissions below the
level that qualified the unit as a Clean Unit, then the owner or
operator may generate a credit for the difference between the level that
qualified the unit as a Clean Unit and the emissions unit’s new
emission limitation if such reductions are surplus, quantifiable, and
permanent. For purposes of generating offsets, the reductions must also
be federally enforceable. For purposes of determining creditable net
emissions increases and decreases, the reductions must also be
enforceable as a practical matter. 

(xi)	Effect of redesignation on the Clean Unit designation. The Clean
Unit designation of an emissions unit is not affected by redesignation
of the attainment status of the area in which it is located. That is, if
a Clean Unit is located in an attainment area and the area is
redesignated to nonattainment, its Clean Unit designation is not
affected. Similarly, redesignation from nonattainment to attainment does
not affect the Clean Unit designation. However, if a Clean Unit’s
designation expires or is lost pursuant to items 7.(ii)(III) and
8.(ii)(III) of this subparagraph, it must re-qualify under the
requirements that are currently applicable. 

9.	PCP exclusion procedural requirements. 

(i)	Before an owner or operator begins actual construction of a PCP, the
owner or operator must either submit a notice to the Technical Secretary
if the project is listed in items 1.(xxxvii)(I) through (VI) of this
subparagraph, or if the project is not listed in items 1.(xxxvii)(I)
through (VI) of this subparagraph, then the owner or operator must
submit a permit application and obtain approval to use the PCP exclusion
from the Technical Secretary consistent with the requirements in
sub-part 9.(v) of this subparagraph. Regardless of whether the owner or
operator submits a notice or a permit application, the project must meet
the requirements in sub-part 9.(ii) of this subparagraph, and the notice
or permit application must contain the information required in sub-part
9.(iii) of this subparagraph. 

(ii)	Any project that relies on the PCP exclusion must meet the
requirements in items 9.(ii)(I) and (II) of this subparagraph. 

(I)	Environmentally beneficial analysis. The environmental benefit from
the emission reductions of pollutants regulated under the Federal Clean
Air Act, including hazardous air pollutants, must outweigh the
environmental detriment of emissions increases in pollutants, including
hazardous air pollutants, regulated under the Federal Act. A statement
that a technology from items 1.(xxxvii)(I) through (VI) of this
subparagraph is being used shall be presumed to satisfy this
requirement. 

(II)	Air quality analysis. The emissions increases from the project will
not cause or contribute to a violation of any national ambient air
quality standard or PSD increment, or adversely impact an air quality
related value (such as visibility) that has been identified for a
Federal Class I area by a Federal Land Manager and for which information
is available to the general public. 

(iii)	Content of notice or permit application. In the notice or permit
application sent to the Technical Secretary, the owner or operator must
include, at a minimum, the information listed in items 9.(iii)(I)
through (V) of this subparagraph. 

(I)	A description of the project. 

(II)	The potential emissions increases and decreases of any pollutant
regulated under the Act and the projected emissions increases and
decreases using the methodology in sub-parts 2.(xii) through (xvii) of
this subparagraph, that will result from the project, and a copy of the
environmentally beneficial analysis required by item 9.(ii)(I) of this
subparagraph. 

(III)	A description of monitoring and recordkeeping, and all other
methods, to be used on an ongoing basis to demonstrate that the project
is environmentally beneficial. Methods should be sufficient to meet the
requirements in paragraph .02(11) of this chapter.

(IV)	A certification that the project will be designed and operated in a
manner that is consistent with proper industry and engineering
practices, in a manner that is consistent with the environmentally
beneficial analysis and air quality analysis required by items 9.(ii)(I)
 and (II) of this subparagraph, with information submitted in the notice
or permit application, and in such a way as to minimize, within the
physical configuration and operational standards usually associated with
the emissions control device or strategy, emissions of collateral
pollutants. 

(V)	Demonstration that the PCP will not have an adverse air quality
impact (e.g., modeling, screening level modeling results, or a statement
that the collateral emissions increase is included within the parameters
used in the most recent modeling exercise) as required by item
9.(ii)(II) of this subparagraph. An air quality impact analysis is not
required for any pollutant which will not experience a significant
emissions increase as a result of the project.

(iv)	Notice process for listed projects. For projects listed in items
1.(xxxvii)(I) through (VI) of this subparagraph, the owner or operator
may begin actual construction of the project immediately after notice is
sent to the Technical Secretary (unless otherwise prohibited under
requirements of the applicable plan). The owner or operator shall
respond to any requests by its Technical Secretary for additional
information that the Technical Secretary determines is necessary to
evaluate the suitability of the project for the PCP exclusion. 

(v)	Permit process for unlisted projects. Before an owner or operator
may begin actual construction of a PCP project that is not listed in
items 1.(xxxvii)(I) through (VI) of this subparagraph, the project must
be approved by the Technical Secretary and recorded in a plan-approved
permit or title V permit using procedures that are consistent with
1200-3-9-.01(1) or 1200-3-9-.02(11)(f)5.(iv)40 CFR 51.160 and 51.161.
This includes the requirement that the Technical Secretary provide the
public with notice of the proposed approval, with access to the
environmentally beneficial analysis and the air quality analysis, and
provide at least a 30-day period for the public and the Administrator to
submit comments. The Technical Secretary must address all material
comments received by the end of the comment period before taking final
action on the permit. 

(vi)	Operational requirements. Upon installation of the PCP, the owner
or operator must comply with the requirements of items 9.(vi)(I) through
(III) of this subparagraph. 

(I)	General duty. The owner or operator must operate the PCP in a manner
consistent with proper industry and engineering practices, in a manner
that is consistent with the environmentally beneficial analysis and air
quality analysis required by items 9.(ii)(I) and (II) of this
subparagraph, with information submitted in the notice or permit
application required by sub-part 9.(iii) of this subparagraph, and in
such a way as to minimize, within the physical configuration and
operational standards usually associated with the emissions control
device or strategy, emissions of collateral pollutants. 

(II)	Recordkeeping. The owner or operator must maintain copies on site
of the environmentally beneficial analysis, the air quality impacts
analysis, and monitoring and other emission records to prove that the
PCP operated consistent with the general duty requirements in item
9.(vi)(I) of this subparagraph. 

(III)	Permit requirements. The owner or operator must comply with any
provisions in the plan-approved permit or title V permit related to use
and approval of the PCP exclusion. 

(IV)	Generation of emission reduction credits. Emission reductions
created by a PCP shall not be included in calculating a significant net
emissions increase, or be used for generating offsets, unless the
emissions unit further reduces emissions after qualifying for the PCP
exclusion (e.g., taking an operational restriction on the hours of
operation). The owner or operator may generate a credit for the
difference between the level of reduction which was used to qualify for
the PCP exclusion and the new emission limitation if such reductions are
surplus, quantifiable, and permanent. For purposes of generating
offsets, the reductions must also be federally enforceable. For purposes
of determining creditable net emissions increases and decreases, the
reductions must also be enforceable as a practical matter. 

(vii)	The Technical Secretary may disallow a proposed pollution control
project listed in sub-parts (b)35.(i) through (vi) of this paragraph if
evidence is available that the proposed project does not meet
requirements of sub-part 9.(ii) of this subparagraph.  

(viii)	If the pollution control project will cause a significant net
increase of a pollutant for which the area in which the project will be
located is non-attainment or significantly impacts a non-attainment area
for that pollutant, the owner or operator must obtain offsets for
emissions of that pollutant, as provided in sub-part 2.(v) of this
subparagraph.

10.	Actuals PALs. 

(i)	Applicability.

(I)	The Technical Secretary may approve the use of an actuals PAL for
any existing major stationary source (except as provided in item
10.(i)(II) of this subparagraph) if the PAL meets the requirements in
sub-parts 10.(i) through (xv) of this subparagraph. The term “PAL”
shall mean “actuals PAL” throughout part 10. of this subparagraph. 

(II)	The Technical Secretary shall not allow an actuals PAL for VOC or
NOX for any major stationary source located in an extreme ozone
nonattainment area. 

(III)	Any physical change in or change in the method of operation of a
major stationary source that maintains its total source-wide emissions
below the PAL level, meets the requirements in sub-parts 10.(i) through
(xv) of this subparagraph, and complies with the PAL permit: 

I	Is not a major modification for the PAL pollutant; 

II	Does not have to be approved through the nonattainment major NSR
program; and 

III	Is not subject to the provisions in sub-part 2.(ix) of this
subparagraph (restrictions on relaxing enforceable emission limitations
that the major stationary source used to avoid applicability of the
nonattainment major NSR program). 

(IV)	Except as provided under sub-item 10.(i)(III)III of this
subparagraph, a major stationary source shall continue to comply with
all applicable Federal or State requirements, emission limitations, and
work practice requirements that were established prior to the effective
date of the PAL. 

(ii)	Definitions.  When a term is not defined in these paragraphs, it
shall have the meaning given in part 1. of this subparagraph or in the
Federal Clean Air Act. 

(I)	Actuals PAL for a major stationary source means a PAL based on the
baseline actual emissions (as defined in sub-part 1.(xlvii) of this
subparagraph) of all emissions units (as defined in sub-part 1.(vii) of
this subparagraph) at the source, that emit or have the potential to
emit the PAL pollutant. 

(II)	Allowable emissions means “allowable emissions” as defined in
sub-part 1.(xi) of this subparagraph, except as this definition is
modified according to sub-items 10.(ii)(II)I through II of this
subparagraph. 

I	The allowable emissions for any emissions unit shall be calculated
considering any emission limitations that are enforceable as a practical
matter on the emissions unit’s potential to emit. 

II	An emissions unit’s potential to emit shall be determined using the
definition in sub-part 1.(iii) of this subparagraph, except that the
words “or enforceable as a practical matter” should be added after
“federally enforceable.” 

(III)	Small emissions unit means an emissions unit that emits or has the
potential to emit the PAL pollutant in an amount less than the
significant level for that PAL pollutant, as defined in sub-part 1.(x)
of this subparagraph or in the Federal Clean Air Act, whichever is
lower. 

(IV)	Major emissions unit means: 

I	Any emissions unit that emits or has the potential to emit 100 tons
per year or more of the PAL pollutant in an attainment area; or 

II	Any emissions unit that emits or has the potential to emit the PAL
pollutant in an amount that is equal to or greater than the major source
threshold for the PAL pollutant as defined by the Federal Clean Air Act
for nonattainment areas. 

(V)	Plantwide applicability limitation (PAL) means an emission
limitation expressed in tons per year, for a pollutant at a major
stationary source, that is enforceable as a practical matter and
established source-wide in accordance with sub-parts 10.(i) through (xv)
of this subparagraph.

(VI)	PAL effective date generally means the date of issuance of the PAL
permit. However, the PAL effective date for an increased PAL is the date
any emissions unit which is part of the PAL major modification becomes
operational and begins to emit the PAL pollutant. 

(VII)	PAL effective period means the period beginning with the PAL
effective date and ending 10 years later. 

(VIII)	PAL major modification means, notwithstanding sub-parts 1.(v) and
1.(vi) of this subparagraph (the definitions for major modification and
net emissions increase), any physical change in or change in the method
of operation of the PAL source that causes it to emit the PAL pollutant
at a level equal to or greater than the PAL. 

(IX)	PAL permit means the major NSR permit, the minor NSR permit, or the
State operating permit under a program that is approved into the plan,
or the title V permit issued by the Technical Secretary that establishes
a PAL for a major stationary source. 

(X)	PAL pollutant means the pollutant for which a PAL is established at
a major stationary source. 

(XI)	Significant emissions unit means an emissions unit that emits or
has the potential to emit a PAL pollutant in an amount that is equal to
or greater than the significant level (as defined in sub-part 1.(x) of
this subparagraph or in the Federal Clean Air Act, whichever is lower)
for that PAL pollutant, but less than the amount that would qualify the
unit as a major emissions unit as defined in item 10.(ii)(IV) of this
subparagraph. 

(iii)	Permit application requirements. As part of a permit application
requesting a PAL, the owner or operator of a major stationary source
shall submit the following information to the Technical Secretary for
approval:

(I)	A list of all emissions units at the source designated as small,
significant or major based on their potential to emit. In addition, the
owner or operator of the source shall indicate which, if any, Federal or
State applicable requirements, emission limitations or work practices
apply to each unit.

(II)	Calculations of the baseline actual emissions (with supporting
documentation). Baseline actual emissions are to include emissions
associated not only with operation of the unit, but also emissions
associated with startup, shutdown and malfunction.

(III)	The calculation procedures that the major stationary source owner
or operator proposes to use to convert the monitoring system data to
monthly emissions and annual emissions based on a 12-month rolling total
for each month as required by item 10.(xiii)(I) of this subparagraph.

(iv)	General requirements for establishing PALs. 

(I)	The Technical Secretary may establish a PAL at a major stationary
source, provided that at a minimum, the requirements in sub-items
10.(iv)(I)I through VII of this subparagraph are met. 

I	The PAL shall impose an annual emission limitation in tons per year,
that is enforceable as a practical matter, for the entire major
stationary source. For each month during the PAL effective period after
the first 12 months of establishing a PAL, the major stationary source
owner or operator shall show that the sum of the monthly emissions from
each emissions unit under the PAL for the previous 12 consecutive months
is less than the PAL (a 12-month average, rolled monthly). For each
month during the first 11 months from the PAL effective date, the major
stationary source owner or operator shall show that the sum of the
preceding monthly emissions from the PAL effective date for each
emissions unit under the PAL is less than the PAL. 

II	The PAL shall be established in a PAL permit that meets the public
participation requirements in sub-part 10.(v) of this subparagraph. 

III	The PAL permit shall contain all the requirements of sub-part
10.(vii) of this subparagraph. 

IV	The PAL shall include fugitive emissions, to the extent quantifiable,
from all emissions units that emit or have the potential to emit the PAL
pollutant at the major stationary source. 

V	Each PAL shall regulate emissions of only one pollutant. 

VI	Each PAL shall have a PAL effective period of 10 years. 

VII	The owner or operator of the major stationary source with a PAL
shall comply with the monitoring, recordkeeping, and reporting
requirements provided in sub-parts 10.(xii) through (xiv) of this
subparagraph for each emissions unit under the PAL through the PAL
effective period. 

(II)	At no time (during or after the PAL effective period) are emissions
reductions of a PAL pollutant, which occur during the PAL effective
period, creditable as decreases for purposes of offsets under sub-part
2.(v) of this subparagraph unless the level of the PAL is reduced by the
amount of such emissions reductions and such reductions would be
creditable in the absence of the PAL. 

(v)	Public participation requirement for PALs. PALs for existing major
stationary sources shall be established, renewed, or increased through a
procedure that is consistent with 40 CFR 51.160 and 51.161, part 3. of
this subparagraph, subparagraph (4)(l) of this rule, or
1200-3-9-.02(11)(f)8. This includes the requirement that the Technical
Secretary provide the public with notice of the proposed approval of a
PAL permit and at least a 30-day period for submittal of public comment.
The Technical Secretary must address all material comments before taking
final action on the permit. 

(vi)	Setting the 10-year actuals PAL level. 

(I)	Except as provided in item 10.(vi)(II) of this subparagraph, the
actuals PAL level for a major stationary source shall be established as
the sum of the baseline actual emissions (as defined in sub-part
1.(xlvii) of this subparagraph) of the PAL pollutant for each emissions
unit at the source; plus an amount equal to the applicable significant
level for the PAL pollutant under sub-part 1.(x) of this subparagraph or
under the Federal Clean Air Act, whichever is lower. When establishing
the actuals PAL level, for a PAL pollutant, only one consecutive
24-month period must be used to determine the baseline actual emissions
for all existing emissions units. However, a different consecutive
24-month period may be used for each different PAL pollutant. Emissions
associated with units that were permanently shut down after this
24-month period must be subtracted from the PAL level. The Technical
Secretary shall specify a reduced PAL level(s) (in tons/yr) in the PAL
permit to become effective on the future compliance date(s) of any
applicable Federal or State regulatory requirement(s) that the Technical
Secretary is aware of prior to issuance of the PAL permit. For instance,
if the source owner or operator will be required to reduce emissions
from industrial boilers in half from baseline emissions of 60 ppm NOX to
a new rule limit of 30 ppm, then the permit shall contain a future
effective PAL level that is equal to the current PAL level reduced by
half of the original baseline emissions of such unit(s). 

(II)	For newly constructed units (which do not include modifications to
existing units) on which actual construction began after the 24-month
period, in lieu of adding the baseline actual emissions as specified in
item 10.(vi)(I) of this subparagraph, the emissions must be added to the
PAL level in an amount equal to the potential to emit of the units.

(vii)	Contents of the PAL permit. 

(I)	The PAL pollutant and the applicable source-wide emission limitation
in tons per year. 

(II)	The PAL permit effective date and the expiration date of the PAL
(PAL effective period). 

(III)	Specification in the PAL permit that if a major stationary source
owner or operator applies to renew a PAL in accordance with sub-part
10.(x) of this subparagraph before the end of the PAL effective period,
then the PAL shall not expire at the end of the PAL effective period. It
shall remain in effect until a revised PAL permit is issued by the
Technical Secretary. 

(IV)	A requirement that emission calculations for compliance purposes
include emissions from startups, shutdowns and malfunctions. 

(V)	A requirement that, once the PAL expires, the major stationary
source is subject to the requirements of sub-part 10.(ix) of this
subparagraph. 

(VI)	The calculation procedures that the major stationary source owner
or operator shall use to convert the monitoring system data to monthly
emissions and annual emissions based on a 12-month rolling total for
each month as required by item 10.(xiii)(I) of this subparagraph. 

(VII)	A requirement that the major stationary source owner or operator
monitor all emissions units in accordance with the provisions under
sub-part 10.(xii) of this subparagraph. 

(VIII)	A requirement to retain the records required under sub-part
10.(xiii) of this subparagraph on site. Such records may be retained in
an electronic format. 

(IX)	A requirement to submit the reports required under sub-part
10.(xiv) of this subparagraph by the required deadlines. 

(X)	Any other requirements that the Technical Secretary deems necessary
to implement and enforce the PAL. 

(viii)	PAL effective period and reopening of the PAL permit. 

(I)	PAL effective period. The Technical Secretary shall specify a PAL
effective period of 10 years. 

(II)	Reopening of the PAL permit. 

I	During the PAL effective period, the Technical Secretary shall reopen
the PAL permit to: 

A	Correct typographical/calculation errors made in setting the PAL or
reflect a more accurate determination of emissions used to establish the
PAL. 

B	Reduce the PAL if the owner or operator of the major stationary source
creates creditable emissions reductions for use as offsets under
sub-part 2.(v) of this subparagraph.

C	Revise the PAL to reflect an increase in the PAL as provided under
sub-part 10.(xi) of this subparagraph. 

II	The Technical Secretary may reopen the PAL permit for the following: 

A	Reduce the PAL to reflect newly applicable Federal requirements (for
example, NSPS) with compliance dates after the PAL effective date. 

B	Reduce the PAL consistent with any other requirement, that is
enforceable as a practical matter, and that the State may impose on the
major stationary source under the plan. 

C	Reduce the PAL if the Technical Secretary determines that a reduction
is necessary to avoid causing or contributing to a NAAQS or PSD
increment violation, or to an adverse impact on an air quality related
value that has been identified for a Federal Class I area by a Federal
Land Manager and for which information is available to the general
public. 

III	Except for the permit reopening in sectionb 10.(viii)(II)IA of this
subparagraph for the correction of typographical/calculation errors that
do not increase the PAL level, all other reopenings shall be carried out
in accordance with the public participation requirements of sub-part
10.(v) of this subparagraph. 

(ix)	Expiration of a PAL. Any PAL which is not renewed in accordance
with the procedures in sub-part 10.(x) of this subparagraph shall expire
at the end of the PAL effective period, and the requirements in items
10.(ix)(I) through (V) of this subparagraph shall apply. 

(I)	Each emissions unit (or each group of emissions units) that existed
under the PAL shall comply with an allowable emission limitation under a
revised permit established according to the procedures in sub-items
10.(ix)(I)I through II of this subparagraph. 

I	Within the time frame specified for PAL renewals in item 10.(x)(II) of
this subparagraph, the major stationary source shall submit a proposed
allowable emission limitation for each emissions unit (or each group of
emissions units, if such a distribution is more appropriate as decided
by the Technical Secretary) by distributing the PAL allowable emissions
for the major stationary source among each of the emissions units that
existed under the PAL. If the PAL had not yet been adjusted for an
applicable requirement that became effective during the PAL effective
period, as required under item 10.(x)(V) of this subparagraph, such
distribution shall be made as if the PAL had been adjusted. 

II	The Technical Secretary shall decide whether and how the PAL
allowable emissions will be distributed and issue a revised permit
incorporating allowable limits for each emissions unit, or each group of
emissions units, as the Technical Secretary determines is appropriate.

(II)	Each emissions unit(s) shall comply with the allowable emission
limitation on a 12-month rolling basis. The Technical Secretary may
approve the use of monitoring systems (source testing, emission factors,
etc.) other than CEMS, CERMS, PEMS or CPMS to demonstrate compliance
with the allowable emission limitation. 

(III)	Until the Technical Secretary issues the revised permit
incorporating allowable limits for each emissions unit, or each group of
emissions units, as required under sub-item 10.(ix)(I)I of this
subparagraph, the source shall continue to comply with a source-wide,
multi-unit emissions cap equivalent to the level of the PAL emission
limitation. 

(IV)	Any physical change or change in the method of operation at the
major stationary source will be subject to the nonattainment major NSR
requirements if such change meets the definition of major modification
in sub-part 1.(v) of this subparagraph. 

(V)	The major stationary source owner or operator shall continue to
comply with any State or Federal applicable requirements (BACT, RACT,
NSPS, etc.) that may have applied either during the PAL effective period
or prior to the PAL effective period except for those emission
limitations that had been established pursuant to sub-part 2.(ix) of
this subparagraph, but were eliminated by the PAL in accordance with the
provisions in sub-item 10.(i)(III)III of this subparagraph. 

(x)	Renewal of a PAL. 

(I)	The Technical Secretary shall follow the procedures specified in
sub-part 10.(v) of this subparagraph in approving any request to renew a
PAL for a major stationary source, and shall provide both the proposed
PAL level and a written rationale for the proposed PAL level to the
public for review and comment. During such public review, any person may
propose a PAL level for the source for consideration by the Technical
Secretary.

(II)	Application deadline. A major stationary source owner or operator
shall submit a timely application to the Technical Secretary to request
renewal of a PAL. A timely application is one that is submitted at least
6 months prior to, but not earlier than 18 months from, the date of
permit expiration. This deadline for application submittal is to ensure
that the permit will not expire before the permit is renewed. If the
owner or operator of a major stationary source submits a complete
application to renew the PAL within this time period, then the PAL shall
continue to be effective until the revised permit with the renewed PAL
is issued. 

(III)	Application requirements. The application to renew a PAL permit
shall contain the information required in sub-items 10.(x)(III)I through
IV of this subparagraph. 

I	The information required in items 10.(iii)(I) through (III) of this
subparagraph. 

II	A proposed PAL level. 

III	The sum of the potential to emit of all emissions units under the
PAL (with supporting documentation). 

IV	Any other information the owner or operator wishes the Technical
Secretary to consider in determining the appropriate level for renewing
the PAL. 

(IV)	PAL adjustment. In determining whether and how to adjust the PAL,
the Technical Secretary shall consider the options outlined in sub-items
10.(x)(IV)I and II of this subparagraph. However, in no case may any
such adjustment fail to comply with sub-item 10.(x)(IV)III of this
subparagraph. 

I	If the emissions level calculated in accordance with sub-part 10.(vi)
of this subparagraph is equal to or greater than 80 percent of the PAL
level, the Technical Secretary may renew the PAL at the same level
without considering the factors set forth in sub-item 10.(x)(IV)II of
this subparagraph; or 

II	The Technical Secretary may set the PAL at a level that it determines
to be more representative of the source’s baseline actual emissions,
or that it determines to be appropriate considering air quality needs,
advances in control technology, anticipated economic growth in the area,
desire to reward or encourage the source’s voluntary emissions
reductions, or other factors as specifically identified by the Technical
Secretary in its written rationale. 

III	Notwithstanding sub-items 10.(x)(IV)I and II of this subparagraph,

A	If the potential to emit of the major stationary source is less than
the PAL, the Technical Secretary shall adjust the PAL to a level no
greater than the potential to emit of the source; and 

B	The Technical Secretary shall not approve a renewed PAL level higher
than the current PAL, unless the major stationary source has complied
with the provisions of sub-part 10.(xi) of this subparagraph (increasing
a PAL). 

(V)	If the compliance date for a State or Federal requirement that
applies to the PAL source occurs during the PAL effective period, and if
the Technical Secretary has not already adjusted for such requirement,
the PAL shall be adjusted at the time of PAL permit renewal or title V
permit renewal, whichever occurs first. 

(xi)	Increasing a PAL during the PAL effective period. 

(I)	The Technical Secretary may increase a PAL emission limitation only
if the major stationary source complies with the provisions in sub-items
10.(xi)(I)I through IV of this subparagraph. 

I	The owner or operator of the major stationary source shall submit a
complete application to request an increase in the PAL limit for a PAL
major modification. Such application shall identify the emissions
unit(s) contributing to the increase in emissions so as to cause the
major stationary source’s emissions to equal or exceed its PAL. 

II	As part of this application, the major stationary source owner or
operator shall demonstrate that the sum of the baseline actual emissions
of the small emissions units, plus the sum of the baseline actual
emissions of the significant and major emissions units assuming
application of BACT equivalent controls, plus the sum of the allowable
emissions of the new or modified emissions unit(s) exceeds the PAL. The
level of control that would result from BACT equivalent controls on each
significant or major emissions unit shall be determined by conducting a
new BACT analysis at the time the application is submitted, unless the
emissions unit is currently required to comply with a BACT or LAER
requirement that was established within the preceding 10 years. In such
a case, the assumed control level for that emissions unit shall be equal
to the level of BACT or LAER with which that emissions unit must
currently comply.

III	The owner or operator obtains a major NSR permit for all emissions
unit(s) identified in sub-item 10.(xi)(I)I of this subparagraph,
regardless of the magnitude of the emissions increase resulting from
them (that is, no significant levels apply). These emissions unit(s)
shall comply with any emissions requirements resulting from the
nonattainment major NSR program process (for example, LAER), even though
they have also become subject to the PAL or continue to be subject to
the PAL. 

IV	The PAL permit shall require that the increased PAL level shall be
effective on the day any emissions unit that is part of the PAL major
modification becomes operational and begins to emit the PAL pollutant. 

(II)	The Technical Secretary shall calculate the new PAL as the sum of
the allowable emissions for each modified or new emissions unit, plus
the sum of the baseline actual emissions of the significant and major
emissions units (assuming application of BACT equivalent controls as
determined in accordance with sub-item 10.(xi)(I)I), plus the sum of the
baseline actual emissions of the small emissions units. 

(III)	The PAL permit shall be revised to reflect the increased PAL level
pursuant to the public notice requirements of sub-part 10.(v) of this
subparagraph. 

(xii)	Monitoring requirements for PALs

(I)	General requirements. 

I	Each PAL permit must contain enforceable requirements for the
monitoring system that accurately determines plantwide emissions of the
PAL pollutant in terms of mass per unit of time. Any monitoring system
authorized for use in the PAL permit must be based on sound science and
meet generally acceptable scientific procedures for data quality and
manipulation. Additionally, the information generated by such system
must meet minimum legal requirements for admissibility in a judicial
proceeding to enforce the PAL permit. 

II	The PAL monitoring system must employ one or more of the four general
monitoring approaches meeting the minimum requirements set forth in
sub-items 10.(xii)(II)I through IV of this subparagraph and must be
approved by the Technical Secretary. 

III	Notwithstanding sub-item 10.(xii)(I)II of this subparagraph, you may
also employ an alternative monitoring approach that meets sub-item
10.(xii)(I)I of this subparagraph if approved by the Technical
Secretary. 

IV	Failure to use a monitoring system that meets the requirements of
this section renders the PAL invalid. 

(II)	Minimum Performance Requirements for Approved Monitoring
Approaches. The following are acceptable general monitoring approaches
when conducted in accordance with the minimum requirements in items
10.(xii)(III) through (IX) of this subparagraph: 

I	Mass balance calculations for activities using coatings or solvents; 

II	CEMS; 

III	CPMS or PEMS; and 

IV	Emission Factors. 

(III)	Mass Balance Calculations. An owner or operator using mass balance
calculations to monitor PAL pollutant emissions from activities using
coating or solvents shall meet the following requirements: 

I	 Provide a demonstrated means of validating the published content of
the PAL pollutant that is contained in or created by all materials used
in or at the emissions unit; 

II	Assume that the emissions unit emits all of the PAL pollutant that is
contained in or created by any raw material or fuel used in or at the
emissions unit, if it cannot otherwise be accounted for in the process;
and 

III	Where the vendor of a material or fuel, which is used in or at the
emissions unit, publishes a range of pollutant content from such
material, the owner or operator must use the highest value of the range
to calculate the PAL pollutant emissions unless the Technical Secretary
determines there is site-specific data or a site-specific monitoring
program to support another content within the range. 

(IV)	CEMS. An owner or operator using CEMS to monitor PAL pollutant
emissions shall meet the following requirements: 

I	CEMS must comply with applicable Performance Specifications found in
40 CFR part 60, appendix B; and 

II	CEMS must sample, analyze and record data at least every 15 minutes
while the emissions unit is operating. 

(V)	CPMS or PEMS. An owner or operator using CPMS or PEMS to monitor PAL
pollutant emissions shall meet the following requirements: 

I	The CPMS or the PEMS must be based on current site-specific data
demonstrating a correlation between the monitored parameter(s) and the
PAL pollutant emissions across the range of operation of the emissions
unit; and 

II	Each CPMS or PEMS must sample, analyze, and record data at least
every 15 minutes, or at another less frequent interval approved by the
Technical Secretary, while the emissions unit is operating. 

(VI)	Emission factors. An owner or operator using emission factors to
monitor PAL pollutant emissions shall meet the following requirements: 

I	All emission factors shall be adjusted, if appropriate, to account for
the degree of uncertainty or limitations in the factors’ development; 

II	The emissions unit shall operate within the designated range of use
for the emission factor, if applicable; and 

III	If technically practicable, the owner or operator of a significant
emissions unit that relies on an emission factor to calculate PAL
pollutant emissions shall conduct validation testing to determine a
site-specific emission factor within 6 months of PAL permit issuance,
unless the Technical Secretary determines that testing is not required. 

(VII)	A source owner or operator must record and report maximum
potential emissions without considering enforceable emission limitations
or operational restrictions for an emissions unit during any period of
time that there is no monitoring data, unless another method for
determining emissions during such periods is specified in the PAL
permit. 

(VIII)	Notwithstanding the requirements in items 10.(xii)(III) through
(VII) of this subparagraph, where an owner or operator of an emissions
unit cannot demonstrate a correlation between the monitored parameter(s)
and the PAL pollutant emissions rate at all operating points of the
emissions unit, the Technical Secretary shall, at the time of permit
issuance: 

I	Establish default value(s) for determining compliance with the PAL
based on the highest potential emissions reasonably estimated at such
operating point(s); or 

II	Determine that operation of the emissions unit during operating
conditions when there is no correlation between monitored parameter(s)
and the PAL pollutant emissions is a violation of the PAL. 

(IX)	Re-validation. All data used to establish the PAL pollutant must be
re-validated through performance testing or other scientifically valid
means approved by the Technical Secretary. Such testing must occur at
least once every 5 years after issuance of the PAL. 

(xiii)	Recordkeeping requirements. 

(I)	The PAL permit shall require an owner or operator to retain a copy
of all records necessary to determine compliance with any requirement of
part 10. of this subparagraph and of the PAL, including a determination
of each emissions unit’s 12-month rolling total emissions, for 5 years
from the date of such record. 

(II)	The PAL permit shall require an owner or operator to retain a copy
of the following records for the duration of the PAL effective period
plus 5 years: 

I	A copy of the PAL permit application and any applications for
revisions to the PAL; and 

II	Each annual certification of compliance pursuant to title V and the
data relied on in certifying the compliance. 

(xiv)	Reporting and notification requirements. The owner or operator
shall submit semi-annual monitoring reports and prompt deviation reports
to the Technical Secretary in accordance with the applicable title V
operating permit program. The reports shall meet the requirements in
items 10.(xiv)(I) through (III). 

(I)	Semi-Annual Report. The semi-annual report shall be submitted to the
Technical Secretary within 30 days of the end of each reporting period.
This report shall contain the information required in sub-items
10.(xiv)(I)I through VII of this subparagraph. 

I	The identification of owner and operator and the permit number. 

II	Total annual emissions (tons/year) based on a 12-month rolling total
for each month in the reporting period recorded pursuant to item
10.(xiii)(I) of this subparagraph. 

III	All data relied upon, including, but not limited to, any Quality
Assurance or Quality Control data, in calculating the monthly and annual
PAL pollutant emissions. 

IV	A list of any emissions units modified or added to the major
stationary source during the preceding 6-month period. 

V	The number, duration, and cause of any deviations or monitoring
malfunctions (other than the time associated with zero and span
calibration checks), and any corrective action taken. 

VI	A notification of a shutdown of any monitoring system, whether the
shutdown was permanent or temporary, the reason for the shutdown, the
anticipated date that the monitoring system will be fully operational or
replaced with another monitoring system, and whether the emissions unit
monitored by the monitoring system continued to operate, and the
calculation of the emissions of the pollutant or the number determined
by method included in the permit, as provided by item 10.(xii)(VII) of
this subparagraph. 

VII	A signed statement by the responsible official (as defined by the
applicable title V operating permit program) certifying the truth,
accuracy, and completeness of the information provided in the report. 

(II)	Deviation report. The major stationary source owner or operator
shall promptly submit reports of any deviations or exceedance of the PAL
requirements, including periods where no monitoring is available. A
report submitted pursuant to item .02(11)(e)1.(iii)(III) of this chapter
shall satisfy this reporting requirement. The deviation reports shall be
submitted within the time limits prescribed by item
.02(11)(e)1.(iii)(III) of this chapter. The reports shall contain the
following information: 

I	The identification of owner and operator and the permit number; 

II	The PAL requirement that experienced the deviation or that was
exceeded; 

III	Emissions resulting from the deviation or the exceedance; and 

IV	A signed statement by the responsible official (as defined by the
applicable title V operating permit program) certifying the truth,
accuracy, and completeness of the information provided in the report. 

(III)	Re-validation results. The owner or operator shall submit to the
Technical Secretary the results of any re-validation test or method
within 3 months after completion of such test or method. 

(xv)	Transition requirements. 

(I)	The Technical Secretary may not issue a PAL that does not comply
with the requirements in sub-parts 10.(i) through (xv) of this
subparagraph after the Administrator has approved regulations
incorporating these requirements into the SIP.

(II)	The Technical Secretary may supersede any PAL which was established
prior to the date of approval of the plan by the Administrator with a
PAL that complies with the requirements of sub-parts 10.(i) through (xv)
of this subparagraph. 

11.	If any provision of this section, or the application of such
provision to any person or circumstance, is held invalid, the remainder
of this section, or the application of such provision to persons or
circumstances other than those as to which it is held invalid, shall not
be affected thereby.

(6)	Construction permits issued under this rule are based on the control
of air contaminants only and do not in any way affect the applicant’s
obligation to obtain necessary permits from other governmental agencies.

(7)	The applicant for a construction permit (or its equivalent by Board
order) shall pay the cost of publication of any notices required by
state or federal law or regulations to effectuate the rights applied
for.

(8)	Visibility Protection

(a)	Definitions - Unless specifically defined in this part, all terms
shall have the meaning given them in Chapter 1200-3-2, paragraph
1200-3-9-.01(4) and Chapter 1200-3-23.

1.	“Visibility protection area” means any of the mandatory Federal
Class I areas listed below.  These areas are those mandatory Federal
Class I areas where visibility values may be impacted by sources in
Tennessee:

(i)	Great Smoky Mountains National Park(NP),  TN-NC.

(ii)	Joyce Kilmer-Slickrock National Wilderness Area(NWA), TN-NC.

(iii)	Cohutta National Wilderness Area, TN-GA.

(iv)	Linville Gorge National Wilderness Area, NC.

(v)	Shining Rock National Wilderness Area, NC.

(vi)	Sipsey National Wilderness Area, AL.

(vii)	Mammoth Cave National Park, KY.

(viii)	Mingo National Wilderness Area, MO.

2.	(Reserved)

3.	Class II areas in Tennessee are those areas not already designated as
mandatory Federal Class I areas.  This corresponds to all areas of the
State which are not part of Cohutta NWA or Great Smoky Mountains N.P.,
or Joyce Kilmer-Slickrock National Wilderness Area(NWA).

(b)	Review of major stationary sources and major modifications - source
applicability and exemptions.

1.	No stationary source or modification to which the requirements of
this part apply shall begin actual construction without a permit which
states that the stationary source or modification would meet the
applicable requirements.

2.	The requirements of this part shall apply to construction of any new
major stationary source or major modification that would be constructed
in an area classified as nonattainment and potentially have an impact on
visibility in any visibility protection area.

3.	The requirements of this part shall apply to any major stationary
source and any major modification with respect to each air contaminant
that it would emit, except as this part otherwise provides.

4.	The requirements of this part shall not apply to a particular major
stationary source or major modification, if:

(i)	The source or modification would be a nonprofit health or nonprofit
educational institution, or a major modification would occur at such an
institution, and the governor of the State in which the source or
modification would be located requests that it be exempt from those
requirements; or

(ii)	The source or modification that would be a major stationary source
or major modification only if fugitive emissions, to the extent
quantifiable, are considered in calculating the potential to emit of the
stationary source or modification and the source does not belong to any
of the following categories:

(I)	Coal cleaning plants (with thermal dryers);

(II)	Kraft pulp mills;

(III)	Portland cement plants;

(IV)	Primary zinc smelters;

(V)	Iron and steel mills;

(VI)	Primary aluminum ore reduction plants;

(VII)	Primary copper smelters;

(VIII)	Municipal incinerators capable of charging more than 250 tons of
refuse per day;

(IX)	Hydrofluoric, sulfuric, or nitric acid plants;

(X)	Petroleum refineries;

(XI)	Lime plants;

(XII)	Phosphate rock processing plants;

(XIII)	Coke oven batteries;

(XIV)	Sulfur recovery plants;

(XV)	Carbon black plants (furnace process);

(XVI)	Primary lead smelters;

(XVII)	Fuel conversion plants;

(XVIII)	Sintering plants;

(XIX)	Secondary metal production plants;

(XX)	Chemical process plants;

(XXI)	Fossil-fuel boilers (or combination thereof) totaling more than
250 million British thermal units per hour heat input;

(XXII)	Petroleum storage and transfer units with a total storage
capacity exceeding 300,000 barrels;

(XXIII)	Taconite ore processing plants;

(XXIV)	Glass fiber processing plants;

(XXV)	Charcoal production plants;

(XXVI)	Fossil fuel-fired steam electric plants of more than 250 million
British thermal units per hour hear input;

(XXVII)	Any other stationary source category which, as of August 7,
1980, is being regulated under Chapter 1200-3-16, New Source Performance
Standards, or Chapter 1200-3-11, Hazardous Air Contaminants. or Chapter
1200-3-31, Standards For Hazardous Air Contaminants For Source
Categories, or 40 CFR Part 60 and 61 (July 1, 1993).

(iii)	The source is a portable stationary source which has previously
received a permit under this part; and

(I)	The owner or operator proposes to relocate the source and emissions
of the source at the new location would be temporary (a two year
period); and

(II)	The emissions from the source would not exceed its allowable
emissions; and

(III)	The emissions from the source would impact no visibility
protection area and no area where an applicable increment is known to be
violated; and

(IV)	Reasonable notice is given to the Technical Secretary prior to the
relocation identifying the proposed new location and the probable
duration of operation at the new location.  Such notice shall be given
to the Technical Secretary not less than 10 days in advance of the
proposed relocation unless a different time duration is previously
approved by the Technical Secretary.

5.	The requirements of this part shall not apply to a major stationary
source or major modification with respect to a particular pollutant if
the owner or operator demonstrates that, as to that pollutant, the
source or modification is located in an area designated as attainment.

6.	The requirements of this part shall not apply to a major stationary
source or major modification with respect to a particular pollutant, if
the allowable emissions of that pollutant from the source, or the net
emissions increase of that pollutant from the modification:

(i)	Would impact no visibility protection area and no area where an
applicable increment is known to be violated, and

(ii)	Would be temporary.

(c)	Visibility impact analyses.

	The owner or operator of a source shall provide an analysis of the
impairment to visibility that would occur as a result of the source or
modification and general commercial, residential, industrial and other
growth associated with the source or modification.

(d)	Federal land manager notification.

1.	The Federal Land Manager (FLM) and the Federal official charged with
direct responsibility for management of Federal Class I areas have an
affirmative responsibility to protect the air quality related values
(including visibility) of such lands and to consider, in consultation
with the Technical Secretary whether a proposed source or modification
will have an adverse impact on such values.

2.	The Technical Secretary shall provide written notification to all
affected Federal Land Managers of any permit application for any
proposed new major stationary source or major modification that may
affect visibility in any visibility protection area.  The Technical
Secretary shall also provide such notification to the Federal official
charged with direct responsibility for management of any lands within
any such area.  Such notification shall include a copy of all
information relevant to the permit application and shall be given within
30 days of receipt and at least 60 days prior to any public hearing on
the application for a permit to construct.  Such notification shall
include an analysis of the proposed source’s anticipated impacts on
visibility in any visibility protection area.  The Technical Secretary
shall also notify all affected FLM’s within 30 days of receipt of any
advance notification of any such permit application.

3.	The Technical Secretary shall consider any analysis performed by the
Federal Land Manager provided within 30 days of the notification and
analysis required by part  2. of this subparagraph, that such proposed
new major stationary source or major modification may have an adverse
impact on visibility in any visibility protection area.  Where the
Technical Secretary finds that such an analysis does not demonstrate to
the satisfaction of the Technical Secretary that an adverse impact on
visibility will result in the visibility protection area, the Technical
Secretary must, in the notice of public hearing, either explain his
decision or give notice as to where the explanation can be obtained.

(e)	National visibility goal.

	The Technical Secretary shall only issue permits to those sources whose
emissions will be consistent with making reasonable further progress
toward the national goal of preventing any future, and remedying any
existing, impairment of visibility in visibility protection areas in
which impairment results from man-made air pollution.  In making the
decision to issue a permit the Technical Secretary may take into account
the costs of compliance, the time necessary for compliance, the energy
and non-air quality environmental impacts of compliance, and the useful
life of the source.

(f)	Monitoring.

	The Technical Secretary may require monitoring of visibility in any
visibility protection area near the proposed new stationary source or
major modification for such purposes and by such means as the Technical
Secretary deems necessary and appropriate.

Authority:  T.C.A. §§4-5-202 et seq. and 68-201-105.  Administrative
History:  Original rule certified June 4, 1974.  Amendment filed and
effective February 9, 1977.  Amendment filed and effective April 12,
1978.  Amendment filed and effective June 16, 1978.  Amendment filed and
effective March 21, 1979.  Amendment filed and effective June 21, 1979. 
Amendment filed and effective November 16, 1979.  Emergency rule
effective June 3, 1981 through October 1, 1981.  Revised effective July
31, 1981.  Amendment filed and effective October 2, 1981.  Amendment
filed and effective January 22, 1982.  Amendment filed and effective
March 2, 1983.  Amendment filed and effective August 22, 1983. 
Amendment filed and effective November 6, 1988.  Amendment filed April
19, 1990; effective June 2, 1990.  Amendment filed May 17, 1990;
effective July 1, 1990.  Amendment filed May 12, 1993; effective June
26, 1993.  Amendment filed September 7, 1993; effective November 21,
1993.  Amendment filed April 18, 1994; effective July 2, 1994. 
Amendment filed June 2, 1994; effective August 15, 1994.  Amendment
filed March 29, 1995; effective June 14, 1995.  Amendment filed June 3,
1996; effective August 14, 1996.  Amendment filed June 7, 1996,
effective August 18, 1996.  Amendment filed October 14, 1996; effective
December 28, 1996.  Amendment filed November 12, 1998; effective January
26, 1999.  Amendment filed June 8, 1999; effective August 22, 1999. 
Amendment filed December 30, 1999; effective March 14, 2000.  Repeal and
new rule filed December 1, 2005; effective February 14, 2006.



 OPERATING PERMITS.

(1)	Any person planning to operate an air contaminant source constructed
or modified in accordance with a construction permit issued by the
Technical Secretary in rule 1200-3-9-.01 of this chapter shall apply for
an receive an operating permit from the Technical Secretary after
initial start-up of this said air contaminant source.  Ninety (90) days
shall be allowed for this, provided paragraph (3) of this rule is
complied with.  This time period is extended from ninety (90) to one
hundred  twenty (120) days if stack sampling has been required as a
condition on the construction permit, which is further extended to sixty
(60) days after the stack sampling report is required on the
construction if a certain time is specified, provided the stack sampling
report is filed with the Division within sixty (60) days of initial
start-up or the time specified on the construction permit and that
paragraph (3) of this rule is complied with.

(2)	No person shall operate an air contaminant source in Tennessee
without first obtaining an operating permit from the Technical Secretary
except as specifically exempted in rule 1200-3-9-.04 of this chapter. 
New sources operating with a valid construction permit may operate with
the construction permit for the time period specified in paragraph (1)
above.

(3)	Application for an operating permit shall be made on forms available
from the Technical Secretary and signed by the applicant.  Such
application for an operating permit shall be filed with the Technical
Secretary.

(a)	Not less than sixty (60) days prior to the expiration of an existing
operating permit.

(b)	1.	Not more than thirty (30) days after initial start-up of an air
contaminant source constructed or modified in accordance with a
construction permit issued by the Technical Secretary.

2.	If stack sampling or other test data has been required as a condition
on the construction permit, this time period is extended to the time
specified on the construction permit for submittal of the test
report(s).  In no case shall this period exceed the period allowed in
the applicable regulation.

(4)	Sources that do not comply with the requirements of Division 1200-3
or any permit issued thereunder shall have their operating permit
applications processed in the following manner:

(a)	Sources subject to the requirements of paragraph 1200-3-9-.02(11)
shall be subject to a compliance schedule in their permit in accordance
with the provisions of that paragraph.

(b)	Sources that are not subject to the requirements of  paragraph
1200-3-9-.02(11) shall be issued temporary operating permits containing
a schedule of corrective action for returning to compliance that is
acceptable to the Technical Secretary.  The schedule shall require the
permittee to file a written report or their progress toward compliance
with the Technical Secretary no later than 10 days after the passage of
each increment in the schedule.

(5)	Any person in possession of an operating permit shall maintain said
operating permit readily available for inspection by the Technical
Secretary or his designated representative on the operating premises.  A
person required by these regulations to have one or more operating
permits shall keep at least one operating permit prominently and
conspicuously displayed on the operating premises.

(6)	Operation of each air contaminant source shall be in accordance with
the provisions and stipulations set forth in the operating permit, all
provisions of these regulations, and all provisions of the Tennessee Air
Quality Act.  However, some excursions, as defined under part
1200-3-9-.02(11)(b)31., or as defined in the operating permit, which
occur during periodic monitoring for compliance assurance at an air
contaminant source subject to paragraph 1200-3-9-.02(11), may be excused
by the Technical Secretary, and this authority is not extended to
excursions that demonstrate noncompliance with an applicable emission
limitation.

(7)	The owner or operator of any air contaminant source to which any of
the following changes are made, but would not be a modification
requiring a construction permit, must notify the Technical Secretary
thirty (30) days before the change is commenced.  These changes are:

(a)	Change in air pollution control equipment,

(b)	Change in stack height or diameter,

(c)	Change in exit velocity (of more than twenty five percent (25%) or
exit temperature of more than  fifteen percent (15%) (absolute
temperature basis).

(8)	Any stack sampling report required on a construction permit is part
of the operating permit application.  Any stack sampling report required
on an operating permit is a part of the application for renewal of that
operating permit.

(9)	The owner or operator of any air contaminant source subject to an
order or variance issued so as to allow the source by its terms to
operate while exceeding an emission standard, shall pay the cost of
publication of any notices (including, but not limited to, a copy of the
order) required by state or federal law or regulations to effectuate the
right of continued operation.

(10)	Those sources possessing a valid permit on the data chapter
1200-3-19 becomes effective and subject to a specified compliance
schedule in chapter 1200-3-19 must comply with all the requirements
contained in the permit and the requirements of rule 1200-3-9-.02 of
this chapter.  All permits shall expire on the date the emission
standard specified in chapter 1200-3-19 becomes effective.  If a source
possessing a valid operating permit and subject to a specified
compliance schedule contained in chapter 1200-3-19 fails to comply with
the specified schedule, such permit will be revoked upon notification
that the source has not complied with the schedule and opportunity for
hearing by the Technical Secretary.

(11)	Major Stationary Source Operating Permits

(a)	Statement of Purpose and General Intent

	The requirements of paragraph 1200-3-9-.02(11) are promulgated in order
to fulfill the requirements of Title V of the federal Clean Air Act (42
U.S.C. 7661a - 7661e) and the federal regulations promulgated thereunder
at 40 C.F.R. Part 70. (FR Vol. 57, No. 140, Tuesday, July 21, 1992
p.32295-32312).  The federal law and regulations require unique
approaches pertaining to federal involvement in the permitting
activities specified in this paragraph.  The federal government, acting
by and through the United States Environmental Protection Agency (EPA),
is a key party in the review, issuance, and revisions of permits issued
under the provisions of this paragraph.  It is the intent of the Board
to comply with these federal requirements to the full extent allowed
under the laws of the State of Tennessee.  In the event that the federal
law or regulations should require something that the Board has not yet
promulgated as a rule, the permit applicant and the Technical Secretary
may mutually agree to be governed by whatever emission limitations
and/or procedural requirements that the federal rules require and that
shall become a binding condition of the applicant’s permit to operate.
 In addition, sources that are subject to this paragraph
1200-3-9-.02(11) may opt out of being subject to the provisions of
paragraph 1200-3-9-.02(11) by limiting their potential to emit such that
they are below the applicability threshold.  In order to exercise this
option, the source must agree to be bound by a permit which specifies
the more restrictive limit and to be subject to detailed monitoring,
reporting and recordkeeping requirements that prove the source is
abiding by its more restrictive emission and/or production limits.  The
permit shall have a term not to exceed 10 years and shall be subjected
to the opportunity for comment and hearing by EPA, affected states and
the public consistent with the provisions of this paragraph.  The permit
shall contain a statement of basis comparing the source’s potential to
emit with the synthetic limit to emit and the procedures to be followed
that will insure that the more restrictive limit is not exceeded.  If
the source later decides to increase its potential to emit, the new
source review permit procedures of rule 1200-3-9-.01 shall apply.

1.	Initial Start-Up of the Major Stationary Source Operating Permit
Program

	Consistent with the provisions of subparagraph 1200-3-9-.02(11)(d), all
operating permits in the possession of sources subject to the
requirements of paragraph 1200-3-9-.02(11) are subject to permit
revocation proceedings if the source does not file a timely, complete
major source operating permit application within 120 days after the
Technical Secretary files his written notification to the source that
their major stationary source operating permit applications are due,
regardless of the expiration date on the permit.  Anything in this
paragraph 1200-3-9-.02(11) to the contrary not withstanding,  the
current permit(s) in the possession of the source shall be effective
until superseded by the issuance of major source operating permits under
the provisions of this paragraph 1200-3-9-.02(11), except that if a
complete application or additional information requested by the
Technical Secretary is not timely filed, then (i) the effectiveness of
the current operating permits shall be suspended until such application
or information is filed, and (ii), the current operating permits shall
be subject to revocation proceedings at the discretion of the Technical
Secretary.  The preceding sentence shall also apply to renewals of major
source operating permits.  In addition, any operating permit application
that does not seek to amend an existing operating permit without first
undergoing construction permit review being processed by the Technical
Secretary for such a source will be canceled upon such notification and
the source shall abide by the terms of their most recent permit until it
is superseded by the major source operating permit.

2.	Once an operating permit has been issued to a source pursuant to the
provisions of paragraph 1200-3-9-.02(11), the permit, its shield, (if
one was granted) and its respective conditions will be extended and
effective after its expiration date provided that the source has
submitted a timely, complete renewal application to the Technical
Secretary consistent with the provisions of item
1200-3-9-.02(11)(d)1.(i)(III) and section
1200-3-9-.02(11)(d)1.(ii)(I)III.  The extension shall cease upon final
permit action by the Technical Secretary.  If the Technical
Secretary’s final permit action is contested, the provisions of TCA
4-5-320(b) shall rule as to the continued validity of the previous
permit.

3.	Judicial review of a permit issued pursuant to paragraph
1200-3-9-.02(11) 

	A person aggrieved by an action of the Technical Secretary on a permit
processed pursuant to paragraph 1200-3-9-.02(11) may initially seek
administrative review of the permit before the Board and later, judicial
review in Chancery Court by following the procedures detailed below:

(i)	The person seeking administrative/judicial review shall be:

(I)	The applicant for the permit request under dispute; or

(II)	A person who participated in the public participation process
provided pursuant to part 1200-3-9-.02(11)(f)8; or

(III)	Any other person who can obtain judicial review of the permit
under State law.

(ii)	The Technical Secretary’s failure to take timely final action on
an application filed under the provisions of paragraph 1200-3-9-.02(11)
is grounds for seeking administrative/judicial review.  Timely, final
action shall be determined according to the schedules for action
established in paragraph 1200-3-9-.02(11).

(iii)	The procedures specified in part 1200-3-9-.02(11)(a)3 are the
exclusive means for obtaining administrative/judicial review of the
terms and conditions of permits issued pursuant to paragraph
1200-3-9-.02(11).  Petitions for administrative review of a permit term
or action of the Technical Secretary on a permit shall be filed by a
person identified in subpart 1200-3-9-.02(11)(a)3(i) in accordance with
the procedures specified in Rule 1200-3-9-.05.  A person aggrieved by
the final action of the Board on their petition may seek judicial review
within 60 days of the entry of the Board’s final action consistent
with the provisions of T.C.A. 4-5-322.  A person conforming to the
criteria of subpart 1200-3-9-.02(11)(a)3(i) may petition for
administrative/judicial review later than the deadlines of Rule
1200-3-9-.05 or T.C.A. 4-5-322 only  if the petition is based solely on
grounds arising after the deadlines for administrative/judicial review. 
Petitions in this category must be filed within sixty days after the
occurrence of the new grounds for administrative review.  Petitions for
review of the Technical Secretary’s failure to take a final permit
action may be filed at any time prior to his issuance or denial of the
permit, but only after the permit processing deadlines of paragraph
1200-3-9-.02(11) have not been met by the Technical Secretary.

4.	Operational Flexibility

	The owner or operator of a source subject to paragraph 1200-3-9-.02(11)
may make certain changes at their facility that are contrary to or not
addressed by the permit as provided in part 1200-3-9-.02(11)(a)4.

(i)	The following changes can be made by the permittee without requiring
a permit revision, if the changes are not modifications under Title I of
the federal Act or Division 1200-3 and the changes do not exceed the
emissions allowable under the permit (whether expressed therein as a
rate of emissions or in the terms of total emissions):  Provided, that
the facility provides the Administrator and Technical Secretary with
written notification as required below in advance of the proposed
changes, which shall be a minimum of 7 days.  The Technical Secretary
may waive the 7 day advance notice in instances where the source
demonstrates in writing that an emergency necessitates the change. 
Emergency shall be demonstrated by the criteria of part
1200-3-9-.02(11)(e)7 and in no way shall it include changes solely to
take advantages of an unforeseen business opportunity.  The source,
Technical Secretary and EPA shall attach each such notice to their copy
of the relevant permit:

(I)	The source may make a Section 502(b)(10) change if their written
notification:

I.	Contains a brief description of the change within the permitted
facility;

II.	Specifies the date on which the change will occur;

III.	Declares any change in emissions; and

IV.	Declares any permit term or condition that is no longer applicable
as a result of the change.

A.	The permit shield provisions of part 1200-3-9-.02(11)(e)6 shall not
apply to Section 502(b)(10) changes.

(II)	[Reserved]

(III)	The source may trade emissions increases and decreases at their
facility solely for the purpose of complying with a federally
enforceable emissions cap.  In order to exercise such an option, the
permit applicant must ask the Technical Secretary to issue such a
permit.  The permit must contain all terms required under part
1200-3-9-.02(11)(e)1 and part 1200-3-9-.02(11)(e)3 to determine
compliance, allowing for the trading of such emissions increases and
decreases with the emissions cap specified in the permit, independent of
otherwise applicable requirements.

I.	The applicant for a permit under item 1200-3-9-.02(11)(a)4(i)(III)
shall include in its application, proposed replicable procedures and
permit terms that ensure the emission trades are quantifiable and
enforceable.  The Technical Secretary shall not be required to include
in the emissions trading provisions any emissions units for which
emissions are not quantifiable or for which there are no replicable
procedures to enforce the emissions trades.

II.	The permit shall require compliance with all applicable
requirements.

III.	The written notification required under subpart
1200-3-9-.02(11)(a)4(i) shall state:

A.	When the change will occur;

B.	Describe the changes in emissions that will result; and

C.	How these increases and decreases will comply with the terms and
conditions of the permit.

IV.	The permit shield described in part 1200-3-9-.02(11)(e)6 may be
extended to the terms and conditions which allow such increases and
decreases in emissions.

(ii)	The source may make operational flexibility changes that are not
addressed or prohibited by the permit without a permit revision subject
to the following requirements:

(I)	The change cannot be subject to a requirement of Title IV of the
Federal Act or Chapter 1200-3-30.

(II)	The change cannot be a modification under any provision of Title I
of the federal Act or Division 1200-3.

(III)	Each change shall meet all applicable requirements and shall not
violate any existing permit term or condition.

(IV)	The source must provide contemporaneous written notice to the
Technical Secretary and EPA of each such change, except for changes that
are below the threshold of insignificant activities and emission levels
that are specified in Rule 1200-3-9-.04.

(V)	Each change shall be described in the notice including the date, any
change in emissions, pollutants emitted, and any applicable requirements
that would apply as a result of the change.

(VI)	The change shall not qualify for a permit shield under the
provisions of part 1200-3-9-.02(11)(e)6.

(VII)	The permittee shall keep a record describing the changes made at
the source that result in emissions of a regulated air pollutant subject
to an applicable requirement, but not otherwise regulated under the
permit, and the emissions resulting from those changes. The records
shall be retained until the changes are incorporated into subsequently
issued permits.

5.	Opt -In Opportunity

Any source that is not subject to the provisions of paragraph
1200-3-9-.02(11) may opt into being subject to paragraph
1200-3-9-.02(11) by filing a written request to be so bound with the
Technical Secretary.  Upon execution of a mutual, signed letter of
agreement binding the person to the provisions of paragraph
1200-3-9-.02(11), the Technical Secretary shall issue a major stationary
source operating permit to the source that subjects them to all of the
requirements of paragraph 1200-3-9-.02(11).

(b)	Definitions - The following terms are defined as they uniquely apply
to this paragraph.  All other terms shall have the meaning given to them
in Chapter 1200-3-2, Chapter 1200-3-11, Chapter 1200-3-30 Chapter
1200-3-31, Chapter 1200-3-32 and Chapter 1200-3-20. 

	-NOTICE-

	THE READER IS CAUTIONED THAT ADDITIONAL DEFINITIONS HAVE BEEN ADDED TO
SUBPARAGRAPH 1200-3-9-.02(11)(B) DURING RULEMAKING.  AS A RESULT, NOT
ALL DEFINITIONS ARE ALPHABETIZED.

1.	“Federal Act” means the Clean Air Act, as amended, 42 U.S.C.
7401, et. seq. as amended by Public Law No. 101-549 (November 15, 1990)

2.	“Affected source” shall have the meaning given to it in the
federal regulations promulgated under title IV of the Federal Act and
Chapter 1200-3-30.

3.	“Affected States” may be Illinois, Kentucky, Virginia,  North
Carolina, South Carolina, Georgia, Alabama, Mississippi, West Virginia,
Arkansas or Missouri if either of the following criteria are met:

(i)	the State’s air quality may be affected by the issuance of a
permit pursuant to the provisions of paragraph 1200-3-9-.02(11); or

(ii)	the State noted above is within 50 miles of the source’s site or
proposed site.

4.	“Affected unit” shall have the meaning given it in the
regulations promulgated under title IV of the Federal Act and Chapter
1200-3-30.

5.	“Applicable requirement” means all of the following as they apply
to emissions units in a source subject to paragraph 1200-3-9-.02(11)
(including requirements that have been promulgated or approved by EPA
through rulemaking at the time of issuance but have future-effective
compliance dates):

(i)	Any standard or other requirement provided for in the Tennessee
implementation plan approved or promulgated by EPA through rulemaking
under title I of the Federal Act that implements the relevant
requirements of the Federal Act, including any revisions to that plan
promulgated in, 40 C.F.R. part 52, but not including any standard or
other requirement provided for in the Tennessee implementation plan that
does not implement relevant requirements of the Federal Act;

(ii)	Any terms or conditions of any preconstruction permits issued
pursuant to regulations approved or promulgated through rulemaking under
title I, including parts C or D, of the Federal Act, but not any terms
or conditions that do not implement relevant requirements of the Federal
Act;

(iii)	Any standard or other requirement under Section 111 of the Federal
Act, including section 111(d);

(iv)	Any standard or other requirement under section 112 of the Federal
Act, including any requirement concerning accident prevention under
section 112(r)(7) of the Federal Act;

(v)	Any standard or other requirements of the acid rain program under
title IV of the Federal Act or the Federal regulations promulgated
thereunder;

(vi)	Any requirements established pursuant to section 504(b) or section
114(a)(3) of the Federal Act;

(vii)	Any standard or other requirement governing solid waste
incineration, under section 129 of the Federal Act;

(viii)	Any standard or other requirement for consumer and commercial
products, under section 183(e) of the Federal Act;

(ix)	Any standard or other requirement for tank vessels, under section
183(f) of the Federal Act;

(x)	Any standard or other requirement of the program to control air
pollution from outer continental shelf sources, under section 328 of the
Federal Act;

(xi)	Any standard or other requirement of the regulations promulgated to
protect stratospheric ozone under title VI of the Federal Act, unless
the Administrator has determined that such requirements need not be
contained in a title V permit; and

(xii)	Any national ambient air quality standard or increment or
visibility requirement under part C of title I of the Federal Act, but
only as it would apply to temporary sources permitted pursuant to
section 504(e) of the Federal Act.

6.	“Designated representative” shall have the meaning given to it in
section 402(26) of the Federal Act, the Federal regulations promulgated
thereunder and Chapter 1200-3-30.

7.	“Draft permit” means the version of a permit for which the
Technical Secretary offers public participation under part
1200-3-9-.02(11)(f)8 or affected State review under subparagraph
1200-3-9-.02(11)(g).

8.	“Emissions allowable under the permit” means a federally
enforceable permit term or condition determined at issuance to be
required by an applicable requirement that establishes an emission limit
(including a work practice standard) or a federally enforceable
emissions cap that the source has assumed to avoid an applicable
requirement to which the source would otherwise be subject.

9.	“Emissions unit” means any part or activity of a stationary
source that emits or has the potential to emit any regulated air
pollutant or any pollutant listed under section 112(b) of the Federal
Act.  This term is not meant to alter or affect the definition of the
term “unit” for purposes of title IV of the Federal Act or Chapter
1200-3-30.

10.	“EPA” or the “Administrator” means the Administrator of the
EPA or his designee.

11.	“Final permit” means the version of a permit issued by the
Technical Secretary that has completed all review procedures required by
subparagraph 1200-3-9-.02(11)(f) and subparagraph 1200-3-9-.02(11)(g).

12.	“Fugitive emissions” are those emissions which could not
reasonably pass through a stack, chimney, vent, or other
functionally-equivalent opening.

13.	“General permit” means a permit issued pursuant to paragraph
1200-3-9-.02(11) that meets the requirements of part
1200-3-9-.02(11)(e)4.

14.	“Major source” means any stationary source (or any group of
stationary sources that are located on one or more contiguous or
adjacent properties, and are under common control of the same person [or
persons under common control]) belonging to a single major industrial
grouping and that are described in subparts (i), (ii), (iii) or (iv) of
this definition.  For the purposes of defining “major source,” a
stationary source or group of stationary sources shall be considered
part of a single industrial grouping if all of the pollutant emitting
activities at such source or group of sources on contiguous or adjacent
properties belong to the same Major Group (i.e., all have the same
two-digit code) as described in the Standard Industrial Classification
Manual, 1987.

(i)	A major source under section 112 of the Federal Act, which is
defined as:

(I)	For pollutants other than radionuclides, any stationary source or
group of stationary sources located within a contiguous area and under
common control that emits or has the potential to emit, in the
aggregate, 10 tons per year (tpy) or more of any hazardous air pollutant
which has been listed pursuant to section 112(b) of the Federal Act, 25
tpy or more of any combination of such hazardous air pollutants, or such
lesser quantity as the Administrator may establish by rule. 
Notwithstanding the preceding sentence, emissions from any oil or gas
exploration or production well (with its associated equipment) and
emissions from any pipeline compressor or pump station shall not be
aggregated with emissions from other similar units, whether or not such
units are in a contiguous area or under common control, to determine
whether such units or stations are major sources; or

(II)	For radionuclides, “major source” shall have the meaning
specified by the Administrator by rule.

(ii)	A major stationary source of air pollutants, as defined in section
302 of the Federal Act, that directly emits or has the potential to
emit, 100 tpy or more of any air pollutant (including any major source
of fugitive emissions of any such pollutant, as determined by rule by
the Administrator).  The fugitive emissions of a stationary source shall
not be considered in determining whether it is a major stationary source
for the purposes of section 302(j) of the Federal Act, unless the source
belongs to one of the following categories of stationary sources:

(I)	Coal cleaning plants (with thermal dryers);

(II)	Kraft pulp mills;

(III)	Portland cement plants;

(IV)	Primary zinc smelters;

(V)	Iron and steel mills;

(VI)	Primary aluminum ore reduction plants;

(VII)	Primary copper smelters;

(VIII)	Municipal incinerators capable of charging more than 250 tons of
refuse per day;

(IX)	Hydrofluoric, sulfuric, or nitric acid plants;

(X)	Petroleum refineries;

(XI)	Lime plants;

(XII)	Phosphate rock processing plants

(XIII)	Coke oven batteries;

(XIV)	Sulfur recovery plants;

(XV)	Carbon black plants (furnace process);

(XVI)	Primary lead smelters;

(XVII)	Fuel conversion plants;

(XVIII)	Sintering plants;

(XIX)	Secondary metal production plants;

(XX)	Chemical process plants;

(XXI)	Fossil-fuel boilers (or combination thereof) totaling more than
250 million British thermal units per hour heat input;

(XXII)	Petroleum storage and transfer units with a total storage
capacity exceeding 300,000 barrels;

(XXIII)	Taconite ore processing plants;

(XXIV)	Glass fiber processing plants;

(XXV)	Charcoal production plants;

(XXVI)	Fossil-fuel-fired steam electric plants or more than 250 million
British thermal units per hour heat input; or

(XXVII)	All other stationary source categories regulated by a standard
promulgated under section 111 or 112 of the Act, but only with respect
to those air pollutants that have been regulated for that category;

(iii)	A major stationary source as defined in part D of title I of the
Federal Act, including:

(I)	For ozone nonattainment areas, sources with the potential to emit
100 tpy or more of volatile organic compounds or oxides of nitrogen in
areas classified as “marginal” or “moderate,” 50 tpy or more in
areas classified as “serious,” 25 tpy or more in areas classified as
“severe,” and 10 tpy or more in areas classified as “extreme”;
except that the references in this paragraph to 100, 50, 25, and 10 tpy
of nitrogen oxides shall not apply with respect to any source for which
the Administrator has made a finding, under section 182(f)(1) or (2) of
the Federal Act, that requirements under section 182(f) of the Federal
Act do not apply;

(II)	For ozone transport regions established pursuant to section 184 of
the Federal Act, sources with the potential to emit 50 tpy or more of
volatile organic compounds;

(III)	For carbon monoxide nonattainment areas (1) that are classified as
“serious,” and (2) in which stationary sources contribute
significantly to carbon monoxide levels as determined under rules issued
by the Administrator, sources with the potential to emit 50 tpy or more
of carbon monoxide; and

(IV)	For particulate matter (PM-10) nonattainment areas classified as
“serious,” sources with the potential to emit 70 tpy or more of
PM-10.

(iv)	For purposes of these regulations, a research and development
facility may be treated as a separate source from other stationary
sources that are located on a contiguous or adjacent property and are
under common control.  However, all activities claimed by an applicant
to be research and development at the contiguous or adjacent property
shall have their emissions aggregated as a single source for the
purposes of determining whether or not the research and development
activities constitute a major source.

15.	“Permit modification” means a revision to a permit issued
pursuant to paragraph 1200-3-9-.02(11) that meets the requirements of
part 1200-3-9-.02(11)(f)5.

16.	“Permit revision” means any permit modification or
administrative permit amendment.

17.	“Potential to emit” means the maximum capacity of a stationary
source to emit any air pollutant under its physical and operational
design.  Any physical or operational limitation on the capacity of a
source to emit an air pollutant, including air pollution control
equipment and restrictions on hours of operation or on the type or
amount of material combusted, stored, or processed, shall be treated as
part of its design if the limitation is enforceable by the
Administrator.  This term does not alter or affect the use of this term
for any other purposes under the Federal Act, or the term “capacity
factor” as used in title IV of the Federal Act or the Federal
regulations promulgated thereunder or chapter 1200-3-30.

18.	“Proposed permit” means the version of a permit that the
Technical Secretary proposes to issue and forwards to the Administrator
for review in compliance with subparagraph 1200-3-9-.02(11)(g).

19.	“Regulated air pollutant” means the following:

(i)	Nitrogen oxides or any volatile organic compounds;

(ii)	Any pollutant for which a national ambient air quality standard has
been promulgated;

(iii)	Any pollutant that is subjected to any standard promulgated under
section 111 of the Federal Act;

(iv)	Any Class I or II substance subject to a standard promulgated under
or established by title VI of the Federal Act; or

(v)	Any pollutant subject to a standard promulgated under section 112 or
other requirements established under section 112 of the Federal Act,
including sections 112(g), (j), and (r) of the Act, including the
following:

(I)	Any pollutant subject to requirements under section 112(j) of the
Federal Act.  If the Administrator fails to promulgate a standard by the
date established pursuant to section 112(e) of the Federal Act, any
pollutant for which a subject source would be major shall be considered
to be regulated on the date 18 months after the applicable date
established pursuant to section 112(e) of the Federal Act; and

(II)	Any pollutant for which the requirements of section 112(g)(2) of
the Federal Act have been met, but only with respect to the individual
source subject to section 112(g)(2) requirement.

20.	“Renewal” means the process by which a permit is reissued at the
end of its term.

21.	“Responsible official” means one of the following:

(i)	For a corporation:  a president, secretary, treasurer, or
vice-president of the corporation in charge of a principal business
function, or any other person who performs similar policy or
decision-making functions for the corporation, or a duly authorized
representative of such person if the representative is responsible for
the overall operation of one or more manufacturing, production, or
operating facilities applying for or subject to a permit and either:

(I)	The facilities employ more than 250 persons or have gross annual
sales or expenditures exceeding $25 million (in second quarter 1980
dollars); or

(II)	The delegation of authority to such representative is approved in
advance by the Technical Secretary;

(ii)	For a partnership or sole proprietorship:  a general partner or the
proprietor, respectively;

(iii)	For a municipality, State, Federal, or other public agency: 
either a principal executive officer or ranking elected official.   For
the purposes of this part, a principal executive officer of a Federal
agency includes the chief executive officer having responsibility for
the overall operations of a principal geographic unit of the agency
(e.g., a Regional Administrator of EPA); or

(iv)	For affected sources:

(I)	The designated representative in so far as actions, standards,
requirements, or prohibitions under title IV of the Federal Act or the
regulations promulgated thereunder are concerned; and

(II)	The designated representative for any other purposes under
paragraph 1200-3-9-.02(11).  However, a person other than the designated
representative may serve as the responsible official for non title IV
activities.

22.	“Section 502(b)(10) changes” are changes that contravene an
express permit term.  Such changes do not include changes that would
violate applicable requirements or contravene federally enforceable
permit terms and conditions that are monitoring (including test
methods), recordkeeping, reporting, or compliance certification
requirements.

23.	“Stationary source” means any building, structure, facility, or
installation that emits or may emit any regulated air pollutant or any
pollutant listed under section 112(b) of the Federal Act.

24.	“Research and Development Facility” means any stationary source
whose primary purpose is to conduct research and development into new
processes and products, where such source is operated under the close
supervision of technically trained personnel and is not engaged in the
manufacture of products for commercial sale in commerce, except in a de
minimis manner.

25.	“Final Permit Action” means the action by the Technical
Secretary to grant or deny an application, petition or objection
submitted under the provisions of paragraph 1200-3-9-.02(11) pursuant to
the following classifications:

(i)	An initial operating permit application

(ii)	A renewal operating permit application

(iii)	A modification - administrative amendment, minor modification,
group processed minor modification or significant modification.

(iv)	A reopening for cause as determined by the Technical Secretary

(v)	A reopening of a permit in response to EPA’s request - on their
own or in response to a citizen’s petition.

If the Technical Secretary’s actions are contested and brought to the
Board for a hearing on the matter, “final permit action”, means any
of the above actions taken by the Board.

26.	“Final Permit” means the permit arising from any final permit
action.

27.	“Federally enforceable”  means any emission standard and/or
procedural requirement that can be enforced against an air contaminant
source by EPA or citizens under authority granted them by the Federal
Act.

28.	“Title I Modification” or “modification under any provision of
Title I of the federal Act” means any modification under Section 111
and Section 112 of the Federal Act and any physical change or change in
method of operations that is subject to the preconstruction regulations
promulgated under Parts C and D of the Federal Act.

29.	“Timely” when used with respect to a submittal, means that the
application was delivered to the Technical Secretary or deposited in the
United States mail (evidenced by postmark) or recognized delivery
service (evidenced by receipt) addressed to the Technical Secretary on
or before the date it is due.  However, the definition of “timely”
with respect to timelines for action placed upon the Technical Secretary
and/or Division shall not commence until receipt of the submittal in the
office of the Technical Secretary.

30.	“Exceedance” shall mean a condition that is detected by
monitoring that provides data in terms of an emission limitation or
standard and that indicates that emissions (or opacity) are greater than
the applicable emission limitation or standard (or less than the
applicable standard in the case of a percent reduction requirement)
consistent with any averaging period specified for averaging the results
of the monitoring.

31.	“Excursion” shall mean a departure from an indicator range
established for monitoring under this paragraph, consistent with any
averaging period specified for averaging the results of the monitoring.

(c)	Applicability - 

1.	The following air contaminant sources are subject to the requirements
of paragraph 1200-3-9-.02(11):

(i)	Any major source;

(ii)	Any source, including an area source, subject to a standard,
limitation, or other requirement under section 111 of the Federal Act,
Part 1200-3-7-.07(4), part 1200-3-7-.07(5) or Chapter 1200-3-16;

(iii)	Any source, including an area source, subject to a standard or
other requirement under section 112 of the Federal Act, chapter
1200-3-11, or chapter 1200-3-31 except that a source is not required to
obtain a permit solely because it is subject to regulations or
requirements under section 112(r) of the Federal Act or Chapter
1200-3-32;

(iv)	Any affected source; and

(v)	Any source in a source category designated by the Administrator or
Technical Secretary pursuant to the federal 40 C.F.R. Part 70 rules (FR
Vol 57, No. 140, Tuesday, July 21, 1992 p 32295-32312) or this paragraph
respectively.

2.	The following air contaminant sources are exempt from the
requirements of paragraph 1200-3-9-.02(11):

(i)	All non-major sources including those subject to Section 112 of the
Federal Act or chapter 1200-3-11 or Chapter 1200-3-31 and section 111 of
the Federal Act or chapter 1200-3-16.  If the Administrator promulgates
future regulations which prohibit the exemption of a non-major source
from the requirements of paragraph 1200-3-9-.02(11), such source will be
so permitted by the Technical Secretary. Upon the Administrator’s
written notification to the Technical Secretary that such sources must
be permitted according to the provisions of this paragraph
1200-3-9-.02(11), the Technical Secretary shall notify the sources that
the applications are due within 180 days of his written notice.  The
Technical Secretary shall have up to 90 days to accomplish the
notification commencing upon his notification from the Administrator.

(ii)	An affected source does not qualify for exemption from the
provisions of paragraph 1200-3-9-.02(11) even if it is a non-major
source.

(iii)	A solid waste incinerator unit that is required to obtain a permit
pursuant to section 129(e) of the Federal Act does not qualify for
exemption from the provisions of paragraph 1200-3-9-.02(11) even if it
is a non-major source.

(iv)	All sources and source categories that would be required to obtain
a permit solely because they are subject to 40 C.F.R. part 60, Subpart
AAA - Standards of Performance for New Residential Wood Heaters are
exempt from the provision of paragraph 1200-3-9-.02(11).

(v)	All sources and source categories that would be required to obtain a
permit solely because they are subject to 40 C.F.R. part 61, Subpart M -
National Emissions Standard for Hazardous Air Pollutants for Asbestos,
section 61.145, Standard for Demolition and Renovation are exempt from
the provision of paragraph 1200-3-9-.02(11).

3.	Sources subject to paragraph 1200-3-9-.02(11) shall have all
applicable requirements specified in their permit for all relevant
emission units in the major source except those emission units which are
exempted from permitting in rule 1200-3-9-.04.

4.	Sources subject to paragraph 1200-3-9-.02(11) must declare their
fugitive emissions in their permit application and the Technical
Secretary must regulate the fugitive emissions as terms of their permit.

5.	Unless specifically exempted elsewhere in this paragraph
1200-3-9-.02(11), research and development facilities shall be
considered as a separate and discrete stationary source in determining
whether such facilities constitute a major source subject to the
operating permit requirements.  Except where research and development
facilities by themselves constitute a major source, such facilities
shall be exempt from the permit requirements of paragraph
1200-3-9-.02(11), but not from any other permitting requirements of
Chapter 1200-3-9.

(d)	Permit Applications - 

1.	The owner or operator of a source subject to paragraph
1200-3-9-.02(11) has a duty to submit a timely and complete permit
application in accordance with this part.  The timelines for application
under the provision of paragraph 1200-3-9-.02(11) supersede the
application deadlines specified in paragraphs 1200-3-9-.02(1), (3) and
(10).

(i)	Timely application.

(I)	A timely initial application for a source subject to the provisions
of paragraph 1200-3-9-.02(11) is one that is submitted within 120 days
of the Technical Secretary’s written notification to the source that
such application must be filed or as stipulated on their construction
permit.  The Technical Secretary will not require an application to be
filed, either by written notification or imposition of a construction
permit condition until the Administrator approves the Governor’s Part
70 program submittal, filed in accordance with 40 C.F.R. Part 70.4. 
Application notices shall be served over a period of time in accordance
with the Board’s approved schedule.  The Technical Secretary shall
submit a proposed schedule for Board approval and incorporation into the
State Major Source Fee Workload Analysis as a Board Order no later than
March 1, 1994.

(II)	Sources subject to the provisions of paragraph 1200-3-9-.01(4),
paragraph 1200-3-9-.01(5) and/or rule 1200-3-31-.05 apply for an
operating permit according to the schedule prescribed on their
construction permit.  The Technical Secretary shall allow sufficient
time to prepare the application, but in no case shall the time allotted
to file an application exceed 360 days commencing upon startup of the
constructed source.

(III)	A timely renewal application for a source subject to the
provisions of paragraph 1200-3-9-.02(11) is one that is submitted at
least 180 days, but no more than 270 days prior to the expiration of an
existing major source operating permit.

(IV)	Applications for initial phase II acid rain permits shall be
submitted to the Technical Secretary by January 1, 1996 for sulfur
dioxide, and by January 1, 1998 for nitrogen oxides.

(V)	Construction occurring under the provisions of rule 1200-3-9-.01 at
a source already in possession of a major source operating permit issued
pursuant to the provisions of paragraph 1200-3-9-.02(11) shall be
governed by the following:

I.	Sources shall designate in their construction permit application the
route that they desire to follow for the purposes of incorporating the
newly constructed sources into their existing operating permit.  The
Technical Secretary shall use that information to prepare the operating
permit application submittal deadlines in their construction permit.

II.	Sources desiring the permit shield shall choose the administrative
amendment route of subpart 1200-3-9-.02(11)(f)(4)(iv) or the significant
modification route of subpart 1200-3-9-.02(11)(f)5(iv).

III.	Sources desiring expediency instead of the permit shield shall
choose the minor permit modification procedure route of Subpart
1200-3-9-.02(f)5(ii) or group processing of minor modifications under
the provisions of subpart 1200-3-9-.02(11)(f)5(iii) as applicable to the
magnitude of their construction.

(VI)	Existing sources making the transition from an existing operating
permit to an initial major source operating permit consistent with the
provisions of part 1200-3-9-.02(11)(a)1 shall continue to construct
under the provision of rule 1200-3-9-.01 and supplement their major
source operating permit application in accordance with the provisions of
part 1200-3-9-.02(11)(d)2.

(VII)	Existing sources that were not initially subject to the provisions
of paragraph 1200-3-9-.02(11), but later became subject through a change
in operations such that their potential to emit crosses the
applicability threshold of paragraph 1200-3-9-.02(11), shall file their
major source operating permit application within 360 days of their start
up of such operations that caused them to cross the major source
operating permit applicability provisions of paragraph 1200-3-9-.02(11).

(ii)	Complete Application

(I)	The owner or operator of a source that is subject to the provisions
of paragraph 1200-3-9-.02(11) shall file a complete application for a
major source operating permit.  Applications shall be made on forms
approved by the Board and available from the Technical Secretary.  The
applications shall be evaluated for completeness by using the Board’s
approved checklist.  The checklist list shall be made available to
applicants to assist them in preparing a complete application.
“Insignificant Activities” designated as those activities or
emission / production thresholds listed at rule 1200-3-9-.04 and their
listing, if required under rule 1200-3-9-.04, in the permit application
shall be governed by the Board’s approved forms, instruction sheets
and check lists. In addition to the information requested on the
application forms, the applicant shall provide sufficient information to
determine which applicable requirements will apply to the source and
whether or not the source is in compliance with the applicable
requirements.  The application must be signed and dated by a responsible
official attesting to its accuracy in accordance with part
1200-3-9-.02(11)(d)4.

I.	The application shall be dated and stamped as to its date of receipt
in the Office of the Technical Secretary.

II.	Sixty (60) days will be allotted to the Technical Secretary from his
receipt of the application for the purpose of determining whether or not
the application is complete according to the Board-approved completeness
checklist.  This timeline is not applicable to minor modifications
conducted under the provisions of subparts 1200-9-.02(11)(f) 5.(ii) &
(iii).

III.	The applicant must file an application for the entire source upon
initial application and for renewal applications.  Applications for a
permit revision need only address the portions of the source impacted by
the revision.

IV.	The Technical Secretary shall have up to 60 days from his receipt of
the application to review an application for completeness.  At the
conclusion of that period, the Technical Secretary shall notify the
applicant of his findings in writing.  In the absence of his timely
notification that an application is incomplete, an application will be
considered to be complete.  Such status is limited to only provide
enforcement immunity for the applicant for failing to have filed a
complete application and to place them in an application shield status. 
Should the Technical Secretary find that additional information is
necessary to properly evaluate the application, the applicant must
provide the additional information in accordance with the Technical
Secretary’s written request which will set a reasonable deadline to
provide the information.  The source may operate under the authority of
their most recent permit consistent with the application shield
provisions of part 1200-3-9-.02(11)(f)2, provided that the application
is determined or deemed to be complete and further provided that the
applicant submits any requested additional information by the deadline
specified by the Technical Secretary.  However, the source shall abide
by the terms of its most recently issued permit until final action is
taken upon their application.

(iii)	Confidential Information:

	A source which claims that its information is confidential is subject
to a review of confidentiality.  If the Technical Secretary determines
that the information should not be protected as confidential, he shall
notify the source in writing and hold the information in protected
status until such time that the Board can resolve the dispute via a
contested case hearing.  During this time of dispute, the applicant will
be required to make a direct submittal of the information to the
Administrator if the EPA desires to 	review the disputed information
being used to prepare the permit.  The following information shall not
be considered confidential:

(I)	The composition and quantity of air contaminants emitted from the
facility.

(II)	The applicable requirements that a source must fulfill and the
source’s compliance status with each applicable requirement.

(III)	The business name, address, and location of the source and the
name of the source’s responsible official.

(IV)	Any other information which the Board may determine through a
hearing of the matter.

2.	The owner or operator of a source subject to paragraph
1200-3-9-.02(11) has a duty to supplement or correct their application
upon discovery that their application was incorrect or failed otherwise
to address any facts relevant to permitting at the source.  The
applicant must also provide additional information as necessary to
address any requirements that become applicable to the source after the
date that it has filed a complete application but prior to the release
of a draft permit.

3.	The Board has approved and mandated the use of permit applications,
instruction sheets and a completeness checklist which should facilitate
the applicant’s duty to provide all of the information required by 40
C.F.R. Part 70.5(c) and (d).  Those requirements are printed on the
completeness checklist and that information is the primary basis by
which an application shall be judged for completeness.   Application
must be made using the forms available from the Technical Secretary. 
The Technical Secretary may request a refilling of applications that are
illegible, vague or ambiguous.  In such cases, the timelines for action
on the application will restart when the clarified application is
received.

4.	Any application form, report, or compliance certification submitted
pursuant to the requirements of paragraph 1200-3-9-.02(11) shall contain
certification by a responsible official of truth, accuracy and
completeness.  This certification and any other certification required
under paragraph 1200-3-9-.02(11) shall state that, based on information
and belief formed after reasonable inquiry, the statements and
information in the document are true, accurate and complete.

(e)	Permit Content - 

1.	The applicant shall propose the number of permits that they want and
the Technical Secretary shall determine the number of permits that a
facility is to receive.  In determining the number of permits,
consideration shall be given to the ease of evaluating compliance at a
complex facility.  To the extent possible, a complex facility should be
divided into major operating divisions with one permit per division. 
Each permit issued by the Technical Secretary pursuant to the provisions
of paragraph 1200-3-9-.02(11) shall include the following elements:

(i)	Emission limitations and standards, including those operational
requirements and limitations that assure compliance with all applicable
requirements at the time of permit issuance.

(I)	The permit shall specify and reference the origin of and authority
for each term or condition, and identify any difference in form as
compared to the applicable requirement upon which the term or condition
is based.

(II)	The permit shall state that, where an applicable requirement of the
Federal Act is more stringent than the Federal regulations promulgated
under title IV of the Federal Act, both provisions shall be incorporated
into the permit and shall be enforceable by the Administrator.

(III)	Sources that qualify and choose an alternate emission standard
pursuant to the provisions of chapter 1200-3-21 shall be issued a permit
that contains the alternate standard with sufficient provisions to
ensure that any resulting emission limit has been demonstrated to be
quantifiable, accountable, enforceable and based upon replicable
procedures.

(ii)	Permit Duration - The Technical Secretary shall issue permits for a
fixed term of 5 years in the case of affected sources, and for a term
not to exceed 5 years in the case of all other sources.  Notwithstanding
this requirement, the Technical Secretary shall issue permits for solid
waste incineration units combusting municipal waste subject to standards
under section 129(e) of the Federal Act for a period not to exceed 12
years and shall review such permits at least every 5 years.

(iii)	Monitoring and related recordkeeping and reporting requirements:

(I)	Monitoring Requirements

I.	The Technical Secretary shall prescribe monitoring and related
recordkeeping and reporting requirements in accordance with the powers
granted to him at chapter 1200-3-10.

II.	Where the applicable requirement does not require periodic testing
or instrumental or noninstrumental monitoring (which may consist of
recordkeeping designed to serve as monitoring), periodic monitoring
shall be required sufficient to yield reliable data from the relevant
time period that are representative of the source’s compliance with
the permit, as required pursuant to item 1200-3-9-.02(11)(e)1(iii)(III).
 Such monitoring requirements shall assure use of such terms, test
methods, units, averaging periods, and other statistical conventions
consistent with the applicable requirements.  Recordkeeping provisions
shall be sufficient to meet the requirements of this sub-item
1200-3-9-.02(11)(e)(1)(iii)(I)II if it is the judgment of the Technical
Secretary that recordkeeping alone is sufficient to prove compliance;
and

III.	As necessary, the Technical Secretary may impose requirements
concerning the use, maintenance, and where appropriate, installation of
monitoring equipment or methods.

(II)	With respect to recordkeeping, the permit shall incorporate all
applicable recordkeeping requirements and require, where applicable, the
following:

I.	Records of required monitoring information that include the
following:

A.	The date, place as defined in the permit, and time of sampling or
measurements;

B.	The date(s) analyses were performed;

C.	The company or entity that performed the analysis;

D.	The analytical techniques or methods used;

E.	The results of such analyses; and

F.	The operating conditions as existing at the time of sampling or
measurement.

II.	Retention of records of all required monitoring data and support
information for a period of at least 5 years from the date of the
monitoring sample, measurement, report, or application.  Support
information includes all calibration and maintenance records and all
original strip chart recordings for continuous monitoring
instrumentation, and copies of all reports required by the permit.

(III)	With respect to reporting, the permit shall incorporate all
applicable reporting requirements and require the following:

I.	Submittal of reports of any required monitoring at least every 180
days.  All instances of deviations from permit requirements must be
clearly identified in such reports.  All required reports must be
certified by a responsible official consistent with part
1200-3-9-.02(11)(d)4.

II.	Prompt reporting of deviations from permit requirements, including
those attributable to upset, malfunction or emergency conditions as
defined in the permit and/or chapter 1200-3-20.  The provisions of Rule
1200-3-20-.03 shall define “prompt reporting” for periods in between
the 180 day reports in sub item 1200-3-9-.02(11)(e)1(iii)(III)I.

III.	Digital data accumulation which utilizes valid data compression
techniques shall be acceptable for compliance determination as long as
such compression does not violate an applicable requirement and its use
has been approved in advance by the Technical Secretary.

(iv)	Permits issued to affected sources shall contain a permit condition
that prohibits emissions exceeding any allowances that the source
lawfully holds under title IV of the Federal Act of the Federal
regulations promulgated thereunder and chapter 1200-3-30.

(I)	The permittee shall not be subject to the permit revision
requirements of subparagraph 1200-3-9-.02(11)(f) for increases in
emissions that are authorized by allowances acquired pursuant to the
acid rain program, provided that such increases do not require a permit
revision under any other applicable requirement.

(II)	No limit shall be placed on the number of allowances held by the
source.  The source may not, however, use allowances as a defense to
noncompliance with any other applicable requirement.

(III)	Any such allowance shall be accounted for according to the
procedures established in the Federal regulations promulgated under
title IV of the Federal Act and in State rules promulgated in chapter
1200-3-30.

(v)	The permit requirements of a permit issued pursuant to paragraph
1200-3-9-.02(11) are severable.   A dispute regarding one or more permit
requirements in such a permit does not invalidate or otherwise excuse a
permittee from their duty to comply with the remaining portion of the
permit.

(vi)	The following general provisions shall appear on each permit issued
pursuant to paragraph 1200-3-9-.02(11):

(I)	The permittee shall comply with all conditions of its permit. 
Except for requirements specifically designated herein as not being
federally enforceable, non-compliance with the permit requirements is a
violation of the Federal Act and the Tennessee Air Quality Act and is
grounds for enforcement action; for a permit termination, revocation and
reissuance, or modification; or for denial of a permit renewal
application.  Non-compliance with permit conditions specifically
designated herein as not being federally enforceable is a violation of
the Tennessee Air Quality Act and may be grounds for these actions.

(II)	The need to halt or reduce activity is not a defense for
noncompliance.  It shall not be a defense for a permittee in an
enforcement action that it would have been necessary to halt or reduce
the permitted activity in order to maintain compliance with the
conditions of the permit.  However, nothing in this item shall be
construed as precluding consideration of a need to halt or reduce
activity as a mitigating factor in assessing penalties for noncompliance
if the health, safety or environmental impacts of halting or reducing
operations would be more serious than the impacts of continuing
operations.

(III)	The permit may be modified, revoked, reopened, and reissued, or
terminated for cause.  The filing of a request by the permittee for a
permit modification, revocation and reissuance, or termination, or of a
notification of planned changes or anticipated noncompliance does not
stay any permit condition.

(IV)	The permit does not convey any property rights of any sort, or any
exclusive privilege.

(V)	The permittee shall furnish to the Technical Secretary, within a
reasonable time, any information that the Technical Secretary may
request in writing to determine whether cause exists for modifying,
revoking and reissuing, or termination of the permit or to determine
compliance with the permit.  Upon request, the permittee shall also
furnish to the Technical Secretary copies of records required to be kept
by the permit.  If the permittee claims that such information is
confidential, the Technical Secretary may review that claim and hold the
information in protected status until such time that the Board can hear
any contested proceedings regarding confidentiality disputes.  If the
information is desired by EPA, the permittee may mail the information
directly to EPA.

(vii)	A permittee must pay fees in accordance with rule 1200-3-26.02 as
a condition of its permit.

(viii)	A permit revision will not be required under any approved
economic incentives, marketable permits, emissions trading and other
similar programs or process for changes that are provided for in the
permit.

(ix)	Reasonable anticipated operating scenarios may be established in
the permit to address variable operating modes at a source provided that
each scenario is fully addressed in the source’s application.  Such
scenarios are permissible only if:

(I)	The source, contemporaneously with making a change from one
operating scenario to another, shall record in a log at the permitted
facility the scenario under which it is operating;

(II)	The terms and conditions of each such alternate scenario shall meet
all applicable requirements and the rules of Division 1200-3.  The
Technical Secretary is authorized to extend the permit shield described
under part 1200-3-9-.02(11)(e)6 to all terms and conditions under each
operating scenario.

(x)	An applicant in possession of a certificate of alternate emission
control issued pursuant to the provisions of chapter 1200-3-21 may trade
emissions increases and decreases in the permitted facility to the
extent that said certificate allows for such trading.  The certificate
and its terms shall be made part of the permit and must conform to the
following requirements:

(I)	The certificate’s terms shall include all terms required under
part 1200-3-9-.02(11)(e)1 and part 1200-3-9-.02(11)(e)3 to determine
compliance; and

(II)	The certificate terms must meet all other applicable requirements
and the rules of Division 1200-3 that were not altered by the
certificate.  The Technical Secretary is authorized to extend the permit
shield described in part 1200-3-9-.02(11)(e)6 to all terms and
conditions that allow such increase and decreases in emissions.

2.	A permit issued under the provisions of paragraph 1200-3-9-.02(11) is
a permit issued pursuant to the requirements of title V of the Federal
Act and its implementing Federal regulations promulgated at 40 C.F.R.
part 70.  As such, the permittee is advised that:

(i)	All terms and conditions in a permit issued pursuant to paragraph
1200-3-9-.02(11) including any provisions designed to limit a source’s
potential to emit, are enforceable by the Administrator and citizens
under the Federal Act.

(ii)	Notwithstanding subpart 1200-3-9-.02(11)(e)2(i), the Technical
Secretary shall specifically designate as not being federally
enforceable under the Federal Act any terms and conditions included in
the permit that are not required under the Federal Act or under any of
its applicable requirements.  Terms and conditions so designated are not
subject to the requirements of subparagraphs 1200-3-9-.02(11)(f) and
1200-3-9-.02(11)(g), other than those contained in this part
1200-3-9-.02(11)(e)2.

3.	All permits issued pursuant to paragraph 1200-3-9-.02(11) shall
contain the following elements with respect to compliance:

(i)	Consistent with subpart 1200-3-9-.02(11)(e)1(iii), compliance
certification, testing, monitoring, reporting, and recordkeeping
requirements sufficient to assure compliance with the terms and
conditions of the permit.  Any document (including reports) required by
a permit issued pursuant to paragraph 1200-3-9-.02(11) shall contain a
certification by a responsible official that meets the requirements of
part 1200-3-9-.02(11)(d)4.

(ii)	Inspection and entry requirements that require that, upon
presentation of credentials and other documents as may be required by
law, the permittee shall allow the Technical Secretary or his authorized
representative to perform the following for the purposes of determining
compliance with the permit applicable requirements:

(I)	Enter upon the permittee’s at reasonable times premises where a
source subject to paragraph 1200-3-9-.02(11) is located or
emissions-related activity is conducted, or where records must be kept
under the conditions of the permit;

(II)	Have access to and copy, at reasonable times, any records that must
be kept under the conditions of the permit;

(III)	Inspect at reasonable times any facilities, equipment (including
monitoring and air pollution control equipment), practices, or
operations regulated or required under the permit; and

(IV)	As authorized by chapter 1200-3-10, sample or monitor at reasonable
times substances or parameters for the purpose of assuring compliance
with the permit or applicable requirements.

(V)	“Reasonable times” shall be considered to be customary business
hours unless reasonable cause exists to suspect noncompliance with the
Act, Division 1200-3 or any permit issued pursuant thereto and the
Technical Secretary specifically authorizes an inspector to inspect a
facility at any other time.

(iii)	A schedule of compliance consistent with that declared by the
applicant or as otherwise modified by the Technical Secretary utilizing
the Board approved application forms in part 1200-3-9-.02(11)(d)3.

(iv)	The requirement that the permittee submit progress reports
consistent with an applicable schedule of compliance and part
1200-3-9-.02(11)(d)3.  The reports shall be submitted at least
semiannually, or at a more frequent period if specified in the
applicable requirement or by the Technical Secretary.  Such progress
reports shall contain the following:

(I)	Dates for achieving the activities, milestones, or compliance
required in the schedule of compliance, and dates when such activities,
milestones or compliance were achieved; and

(II)	An explanation of why any dates in the schedule of compliance were
not or will not be met, and any preventative or corrective measures
adopted.

(v)	The permit shall include requirements for compliance certification
with terms and conditions contained in the permit, including emission
limitations, standards, or work practices.  Specifically, the permits
shall include each of the following:

(I)	The frequency (not less than annually or such more frequent periods
as specified in the applicable requirement or by the Technical
Secretary) of submissions of compliance certifications;

(II)	A means of monitoring the compliance of the source with its
emission limitations, standards and work practices.  The means of
monitoring shall conform to subpart 1200-3-9-.02(11)(e)1(iii).

(III)	A requirement that compliance certification include all of the
following (provided that the identification of applicable information
may cross-reference the permit or previous reports, as applicable):

I.	The identification of each term or condition of the permit that is
the basis of the certification;

II.	The identification of the method(s) or other means used by the owner
or operator for determining the compliance status with each term and
condition during the certification period, and whether such methods or
other means provide continuous or intermittent data.  Such methods and
other means shall include, at a minimum, the methods and means required
under subpart 1200-3-9-.02(11)(e)1.(iii).  If necessary, the owner or
operator also shall identify any other material information that must be
included in the certification to comply with section 113(c)(2) of the
Federal Act (see sub-item V), which prohibits knowingly making a false
certification or omitting material information;

III.	The status of compliance with the terms and conditions of the
permit for the period covered by the certification, based on the method
or means designated in sub-item 1200-3-9-.02(11)(e)3.(v)(III)II.  The
certification shall identify each deviation and take it into account in
the compliance certification. The certification shall also identify as
possible exceptions to compliance any periods during which compliance is
required and in which an excursion or exceedance as defined under
subparagraph 1200-3-9-.02(11)(b) occurred; and

IV.	Such other facts as the permitting authority may require to
determine the compliance status of the source. 

V.	SECTION 113(c)(2) of the Federal Act SEC. 113. FEDERAL ENFORCEMENT.

A.	Criminal Penalties.- 

B.	Any person who knowingly - 

(A)	makes any false material statement, representation, or certification
in, or omits material information from, or knowingly alters, conceals,
or fails to file or maintain any notice, application, record, report,
plan, or other document required pursuant to this Act to be either filed
or maintained (whether with respect  to the requirements imposed by the
Administrator or by a State);

(B)	fails to notify or report as required under this Act; or

(C)	falsifies, tampers with, renders  inaccurate, or fails to install
any monitoring device or method required to be maintained or followed
under this Act shall, upon conviction, be punished by a fine pursuant to
title 18 of the United States Code, or by imprisonment for not more than
2 years, or both.  If a conviction of any person under this paragraph is
for a violation committed after a first conviction of such person under
this paragraph, the maximum punishment shall be doubled with respect to
both the fine and imprisonment.

(IV)	A requirement that all compliance certifications be submitted to
the Administrator as well as to the Technical Secretary; and

(V)	Such additional requirements as may be specified pursuant to
sections 114(a)(3) and 504(b) of the Federal Act.  

(vi)	Any other compliance requirement deemed necessary by the Technical
Secretary may be imposed in the permit.

4.	General Permits

(i)	The Air Pollution Control Board may issue general permits for the
purpose of covering numerous similar sources that are owned or operated
by different persons at different facilities.  A general permit
satisfies the definition of a rule pursuant to the Uniform
Administrative Procedures Act, T.C.A. §4-5-101 et seq.  As such,
general permits must be promulgated as rules.  The general permit must
be subjected to the notice and an opportunity for public participation,
as specified in part 1200-3-9-.02(11)(f)8.  Further, the general permit
must comply with the other requirements applicable to permits issued
pursuant to paragraph 1200-3-9-.02(11).  The permit must specify the
eligibility criteria by which sources may qualify for the general
permit.  The general permits shall state the process by which a source
notifies the Technical Secretary that it intends to be authorized under
the general permit.  The general permit shall state the means by which
the Technical Secretary confirms that the source is covered by the
general permit or that the source requires an individual permit. 
Notwithstanding the shield provisions of part 1200-3-9-.02(11)(e)6, the
source operating under the provisions of a general permit shall be
subject to enforcement action for operation without the permit required
by paragraph 1200-3-9-.02(11) if the source requested coverage under a
general permit by representing themselves to be eligible for a general
permit in their notice of intent and it is later determined that the
source does not qualify for the eligibility terms and conditions of the
general permit. General permits shall not be authorized for affected
sources under the acid rain program unless otherwise provided in
regulations promulgated under title IV of the federal Act or chapter
1200-3-30.

(ii)	Sources subject to the provisions of paragraph 1200-3-9-.02(11)
that would qualify for a general permit must submit a notice of intent
to the Technical Secretary for coverage under the terms of the general
permit or must apply for the standard major stationary source operating
permit consistent with subparagraph 1200-3-9-.02(11)(d) according to
their choice of permitting routes as detailed in this part
1200-3-9-.02(11)(e)4.  The Board may, in the general permit, provide for
the requirements for the notice of intent which may deviate from the
requirements of subparagraph 1200-3-9-.02(11)(d), provided that they
meet the requirements of title V of the federal Act, and include all
information necessary to determine qualifications for and to assure
compliance with, the general permit.  When the Technical Secretary
confirms that a source may operate under the terms of a general permit,
that action is not subject to public participation under part
1200-3-9-.02(11)(f)8 and shall not be a final permit action for purposes
of judicial review.

5.	Temporary Sources

The Technical Secretary may issue a single permit authorizing emissions
from similar operations by the same source owner or operator at multiple
temporary locations.  The operation must be temporary and involve at
least one change of location during the term of the permit.  No affected
source shall be permitted as a temporary source.  Permits for temporary
sources shall include the following:

(i)	Conditions that will assure compliance with all applicable
requirements at all authorized locations:

(ii)	Requirements that the owner or operator notify the Technical
Secretary at least 10 days in advance of each change in location; and

(iii)	Conditions that assure compliance with all other provisions of
this paragraph 1200-3-9-.02(11).

6.	Permit Shield

(i)	Except as provided in paragraph 1200-3-9-.02(11), the Technical
Secretary shall if requested by the applicant, expressly include in a
permit issued pursuant to paragraph 1200-3-9-.02(11) a provision stating
that compliance with the conditions of the permit shall be deemed
compliance with any applicable requirements as of the date of permit
issue, provided that:

(I)	Such applicable requirements are included and are specifically
identified in the permit; or

(II)	The Technical Secretary, in acting on the permit application or
revision, determines in writing that other requirements specifically
identified are not applicable to the source, and the permit includes the
determination or a concise summary thereof.

(ii)	A permit issued pursuant to paragraph 1200-3-9-.02(11) that does
not expressly state that a permit shield exists shall be presumed not to
provide such a shield.

(iii)	Nothing in this part or in any permit issued pursuant to paragraph
1200-3-9-.02(11) shall alter or affect the following:

(I)	The provisions of section 303 of the federal Act (emergency orders),
including the authority of the Administrator under that section. 
Similarly, the provisions of T.C.A. 68-201-109 (emergency orders)
including the authority of the Governor under the section;

(II)	The liability of an owner or operator of a source for any violation
of applicable requirements prior to or at the time of permit issuance;

(III)	The applicable requirements of the acid rain program, consistent
with section 408(a) of the federal Act; or

(IV)	The ability of EPA to obtain information from a source pursuant to
section 114 of the federal Act.

7.	Emergency Provisions

(i)	Definition  An “emergency” means any situation arising from
sudden and reasonably unforeseeable events beyond the control of the
source, including acts of God, which situation requires immediate
corrective action to restore normal operation, and that causes the
source to exceed a technology based emission limitation under the permit
issued pursuant to paragraph 1200-3-9-.02(11), due to unavoidable
increases in emissions attributable to the emergency.  An emergency
shall not include noncompliance to the extent caused by improperly
designed equipment, lack of preventative maintenance, careless or
improper operation, or operator error.  For the purposes of this
definition, “permit issued pursuant to paragraph 1200-3-9-.02(11)”
shall also include any construction permit issued under the provisions
of rule 1200-3-9-.01 to a source subject to the permitting requirements
of paragraph 1200-3-9-.02(11).

(ii)	An emergency constitutes an affirmative defense to an enforcement
action brought against a source for noncompliance with such technology
based emission limitations if the conditions of subpart
1200-3-9-.02(II)(e)7(iii) are met.

(iii)	The affirmative defense of the emergency shall be demonstrated
through properly signed, contemporaneous operating logs, or other
relevant evidence that:

(I)	An emergency occurred and that the permittee can identify the
probable cause(s) of the emergency.  “Probable” must be supported by
a credible investigation into the incident that seeks to identify the
causes and results in an explanation supported by generally accepted
engineering or scientific principles.

(II)	The permitted facility was at the time being properly operated. In
determining whether or not a facility was being properly operated, the
Technical Secretary shall examine the source’s written standard
operating procedures which were in effect at the time of the
noncompliance and any other code as detailed below that would be
relevant to preventing the noncompliance.  Adherence to the source’s
standard operating procedures will be the test of adequate preventative
maintenance, careless operation, improper operation or operator error to
the extent that such adherence would prevent noncompliance.  The
source’s failure to follow recognized standards of practice to the
extent that adherence to such a standard would have prevented
noncompliance will disqualify the source from any claim of an emergency
and an affirmative defense.  The Board will specifically recognize the
National Fire Protection Association codes, the codes of the American
National Standards Institute, the codes of the American Society of
Testing Materials, the codes of the United States Department of
Transportation, the codes of the United States Occupational Safety and
Health Administration and any State of Tennessee statute or regulation
if applicable.  Recognition of these codes, statutes, regulations and
standards of practice is limited to the test of determining whether or
not a facility was operated properly for the purposes of preventing
actual (not potential) noncompliance and in no way should it be viewed
as the Board’s imposition of the standards administered by other
agencies, Boards, or organizations.

(III)	During the period of the emergency, the permittee took all
reasonable steps to minimize levels of emissions that exceeded the
emission standards, or other requirements in the permit.

(IV)	The permittee submitted notice of the emergency to the Technical
Secretary according to the notification criteria for malfunctions in
rule 1200-3-20-.03.  For the purposes of this item
1200-3-9-.02(11)(e)7(iii)(IV), “emergency” shall be substituted for
“malfunctions(s)” in rule 1200-3-20-.03 to determine the relevant
notification threshold.  The notice shall include a description of the
emergency, any steps taken to mitigate emissions, and corrective actions
taken.

(iv)	In any enforcement proceeding the permittee seeking to establish
the occurrence of an emergency has the burden of proof.

(v)	The provisions of this part 1200-3-9-.02(11)(e)7 are in addition to
any emergency, malfunction or upset requirement contained in Division
1200-3 or other applicable requirement.

(f)	Permit Issuance, Renewal, Reopening and Revision

1.	Action on an Application

(i)	A permit, permit modification, or renewal may be issued only if all
of the following conditions have been met:

(I)	The Technical Secretary has received a complete application for a
permit, permit modification, or permit renewal, except that a complete
application need not be received before issuance of a general permit
under part 1200-3-9-.02(11)(e)4;

(II)	Except for modifications qualifying for the minor permit
modification procedures under subpart 1200-3-9-.02(11)(f)5(ii) or
subpart 1200-3-9-.02(11)(f)5(iii), the Technical Secretary has complied
with the requirements for public participation under part
1200-3-9-.02(11)(f)8;

(III)	The Technical Secretary has complied with the requirements for
notifying and responding to affected States under part
1200-3-9-.02(11)(g)2;

(IV)	The conditions of the permit provide for compliance with all
applicable requirements and the requirements of paragraph
1200-3-9-.02(11);

(V)	The Administrator has received a copy of the proposed permit and any
notices required under part 1200-3-9-.02(11)(g)1 and part
1200-3-9-.02(11)(g)2, and has not objected to the issuance of the permit
under part 1200-3-9-.02(11)(g)3 within the time period specified
therein.

(ii)	Except as otherwise required by subparagraph 1200-3-30-.06(4)(d)
affected sources shall have final action taken on permit applications
filed with the 

	Technical Secretary within 18 months of the date that they file their
complete permit application.  The Technical Secretary is authorized to
set the due date of their initial applications to mesh with their Phase
II acid rain permit applications such that their initial permit will
contain both acid rain requirements and standard emission/procedural
requirements.   The Technical Secretary is instructed to consider any
guidance promulgated by the Administrator relative to meshing Title V
and Title IV at affected facilities when setting such application
submittal dates.

(iii)	To the extent practicable, the Technical Secretary shall give
priority to the processing of operating permit applications to sources
which are subject to either paragraph 1200-3-9-.01(4) or paragraph
1200-3-9-.01(5).  Sources subject to paragraph 1200-3-9-.02(11) shall
have final action taken on permit applications filed with the Technical
Secretary within 18 months of the date that their application is deemed
complete.

(iv)	The Technical Secretary shall provide notice to the applicant of
whether the application is complete within 60 days of receipt of an
application in his office.  Unless the Technical Secretary requests
additional information or otherwise notifies the applicant of
incompleteness within 60 days of receipt of an application, the
application shall be deemed complete.  For modifications processed
through minor permit modification procedures, such as those in subpart
1200-3-9-.02(11)(f)5(ii) or subpart 1200-3-9-.02(11)(f)5(iii) a
completeness determination shall not be required of the Technical
Secretary.  An application that defaults to complete status through the
Technical Secretary’s failure to notify the applicant of its
incompleteness within 60 days of his receipt, does not relieve the
applicant of the duty to provide such supplemental information that the
Technical Secretary must have in order to process the permit
application.

(v)	The Technical Secretary shall provide a statement that sets forth
the legal and factual basis for the draft permit conditions (including
references to the applicable statutory or regulatory provisions).  The
Technical Secretary shall send this statement to EPA and to any other
person provided that such person requests the statement in writing and
pays a fee sufficient to pay for postage, copying costs and staff time
to respond to the request.  

(vi)	The submittal of a complete operating permit application shall not
affect the requirement that any source have a construction permit as
required under rule 1200-3-9-.01.

2.	Requirement for a Permit

	Except as provided in the following sentence, item
1200-3-9-.02(11)(a)4(i)(I) Section 502(b)(10) changes, and item
1200-3-9-.02(11)(f)5(ii)(V) and item 1200-3-9-.02(11)(f)5(iii)(V), no
source subject to paragraph 1200-3-9-.02(11) may operate after the time
that it is required to submit a timely and complete application as
provided for in subpart 1200-3-9-.02(11)(d)1(i), except in compliance
with a permit issued pursuant to paragraph 1200-3-9-.02(11).  
Consistent with the provisions of parts 1200-3-9-.02(11)(a)1 and 2, a
source subject to paragraph 1200-3-9-.02(11) that submits a timely and
complete application for permit issuance (including for renewal) will
not be considered in violation of paragraph 1200-3-9-.02(11) until the
Technical Secretary takes final action on the permit application, except
as otherwise noted in paragraph 1200-3-9-.02(11).  If the final action
on a permit by the Technical Secretary has been appealed to the Board as
a contested case, the application shield will remain in effect until
final action of the Board.  This protection shall cease to apply if,
subsequent to the completeness determination made pursuant to subpart
1200-3-9-.02(11)(f)1(iv), and as required by subpart
1200-3-9-.02(11)(d)1(ii), the applicant fails to submit by the deadline
specified in writing by the Technical Secretary any additional
information identified as being needed to process the application.

3.	Permit Renewal and Expiration

(i)	Permits that are being renewed are subject to the same procedural
requirements, including those for public participation, affected State
and EPA review, that apply to initial permit issuance; and

(ii)	Consistent with the provisions of part 1200-3-9-.02(11)(a)2 permit
expiration terminates the source’s right to operate unless a timely
and complete renewal application has been submitted consistent with part
1200-3-9-.02(11)(f)2 and item 1200-3-9-.02(11)(d)1(i)(III).

4.	Administrative Permit Amendments

(i)	An “administrative permit amendment” is a permit revision that:

(I)	Corrects typographical errors;

(II)	Identifies a change in the name, address, or phone number of any
person identified in the permit, or provides a similar minor
administrative change at the source;

(III)	Requires more frequent monitoring or reporting by the permittee;

(IV)	Allows for a change of ownership or operational control of a source
where the Technical Secretary determines that no other change in the
permit is necessary, provided that a transfer of ownership permit
application is filed consistent with the provisions of paragraph
1200-3-9-.03(6) and further provided that a written agreement containing
a specific date for transfer of permit responsibility, coverage, and
liability between the current and new permittee has been submitted to
the Technical Secretary;

(V)	Incorporates into the operating permit issued pursuant to paragraph
1200-3-9-.02(11) the requirements of a construction permit issued
pursuant to rule 1200-3-9-.01 provided that the construction permit
meets the requirements of subparagraph 1200-3-9-.02(11)(f), subparagraph
1200-3-9-.02(11)(g) and the compliance requirements of subparagraph
1200-3-9-.02(11)(e).

(ii)	Administrative permit amendments for purposes of the acid rain
portion of the permit shall be governed by regulations promulgated under
title IV of the federal Act and corresponding regulations in chapter
1200-3-30.

(iii)	Administrative permit amendment procedures shall be made according
to the following criteria:

(I)	The Technical Secretary shall take no more than 60 days from receipt
of a request for an administrative permit amendment to take final action
on such request, and may incorporate such changes without providing
notice to the public or affected States provided that he designates any
such permit revisions as having been made pursuant to part
1200-3-9-.02(11)(f)4.

(II)	After making an administrative permit amendment, the Technical
Secretary shall submit a copy of the revised permit to the
Administrator.

(III)	The source may implement the changes addressed in the request for
an administrative amendment immediately upon submittal of the request.

(iv)	The Technical Secretary may extend the permit shield as part of an
administrative permit amendment revision consistent with the provisions
of part 1200-3-9-.02(11)(e)6 for such revisions made pursuant to item
1200-3-9-.02(11)(f)4(i)(V) which meet the relevant requirements of
subparagraph 1200-3-9-.02(11)(e),  subparagraph 1200-3-9-.02(11)(f) and
subparagraph 1200-3-9-.02(11)(g) for significant permit modifications.

(v)	Proceedings to review and grant administrative permit amendments
shall be limited to only those parts of the permit for which cause to
amend exists, and not the entire permit.

5.	Permit Modifications

(i)	A permit modification is any revision to a permit issued pursuant to
paragraph 1200-3-9-.02(11) that cannot be accomplished as an
administrative permit amendment.  A permit modification for purposes of
the acid rain portion of the permit shall be governed by regulations
promulgated under Title IV of the federal Act and corresponding
regulations at chapter 1200-3-30.  Proceedings to review and modify
permits shall be limited to only those parts of the permit for which
cause to modify the permit exists, and not the entire permit.

(ii)	Minor permit modification procedures:

(I)	Minor permit modification procedures may be used only for those
permit modifications that:

I.	Do not violate any applicable requirement;

II.	Do not involve significant changes to existing monitoring, reporting
or recordkeeping requirements in the permit;

III.	Do not require or change a case-by-case determination of an
emission limitation or other standard required by the federal Act, or a
source-specific determination for temporary sources of ambient impacts
as required by the federal Act, or a visibility or increment analysis as
required by the federal Act;

IV.	Do not seek to establish or change a permit term or condition for
which there is no corresponding underlying applicable requirement and
that the source has assumed to avoid an applicable requirement to which
the source would otherwise be subject.  Such terms and conditions
include:

A.	A federally enforceable emissions cap assumed to avoid classification
as a modification under any provision of Title I of the federal Act. 
Further, federally enforceable emission caps assumed to avoid
classification as a modification under chapter 1200-3-11, chapter
1200-3-16, Chapter 1200-3-31, paragraph 1200-3-9-.01(4) or paragraph
1200-3-9-.01(5) are included in the criteria of this section
1200-3-9-.02(11)(f)5(ii)(I)IV A.

B.	An alternate emission limit approved pursuant to section 112(i)(5) of
the federal Act or rule 1200-3-31-.06;

V.	Are not modifications under Title I  of the federal Act or the
federal regulations promulgated pursuant thereto.   Further, the minor
permit modification process may be used only for changes that are not
modifications under chapter 1200-3-11, Chapter 1200-3-31, chapter
1200-3-16, paragraph 1200-3-9-.01(4) or paragraph 1200-3-9-.01(5); and

VI.	Are not otherwise required in paragraph 1200-3-9-.02(11) to be
processed as a significant modification.

(II)	Application

	An application requesting the use of minor permit modification
procedures shall meet the requirements of part 1200-3-9-.02(11)(d)3 and
shall include the following:

I.	A description of the change, the emissions resulting from the change,
and any new applicable requirements that will apply if the change
occurs;

II.	The source’s suggested draft permit;

III.	Certification by a responsible official, consistent with part
1200-3-9-.02(11)(d)4, that the proposed modification meets the criteria
for use of minor permit modification procedures and a request that such
procedures be used; and

IV.	Completed forms for the Technical Secretary to use to notify the
Administrator and affected States as required under subparagraph
1200-3-9-.02(11)(g).

(III)	EPA and affected State notification.

	Within 5 working days of receipt of a complete permit modification
application the Technical Secretary shall notify the Administrator and
affected States of the requested permit modification consistent with the
provisions of subpart 1200-3-9-.02(11)(g)1(i) and subpart
1200-3-9-.02(11)(g)2(i).  The Technical Secretary shall promptly send
any notice required under subpart 1200-3-9-.02(11)(g)2(ii) to the
Administrator.

(IV)	The Technical Secretary shall not issue a final permit modification
until after EPA’s 45-day review period or until EPA has notified the
Technical Secretary that EPA will not object to the issuance of the
permit modification, whichever is first, although the Technical
Secretary can approve the permit modification prior to that time. 
Within 90 days of the Technical Secretary’s receipt of an application
under minor permit modification procedures or 15 days after the end of
the Administrator’s 45-day review period under the provisions of
subpart 1200-3-9-.02(11)(g)3, whichever is later, the Technical
Secretary shall:

I.	Issue the permit modifications as proposed; or

II.	Deny the permit modification application; or

III.	Determine that the requested modification does not meet the minor
permit modification criteria and should be reviewed under the
significant modification procedures; or

IV.	Revise the draft permit modification and transmit to the
Administrator the new proposed permit modification as required by part
1200-3-9-.02(11)(g)1.

(V)	The source may make the change proposed in its minor permit
modification immediately after it files such application.  After the
source makes the change allowed by the preceding sentence, and until the
Technical Secretary takes any of the actions specified in sub items
1200-3-9-.02(11)(f)5(ii)(IV)I-III the source must comply with both the
applicable requirements governing the change and the proposed permit
terms and conditions.  During this time period, the source need not
comply with the existing permit terms and conditions it seeks to modify.
 However, if the source fails to comply with its proposed permit terms
and conditions during this time period, the existing permit terms and
conditions it seeks to modify may be enforced against it.

(VI)	Permit Shield - The permit shield under part 1200-3-9-.02(11)(e)6
may not extend to minor permit modifications.

(VII)	[Reserved]

(iii)	Group processing of minor permit modifications:

	A source may group its applications for certain modifications eligible
for minor permit modification processing according to the following
requirements:

(I)	Criteria - Group processing of modifications may be used only for
those permit modifications:

I.	That meet the criteria for minor permit modification procedures under
item 1200-3-9-.02(11)(f)5(ii)(I); and

II.	That are collectively below the least of the following threshold
criteria levels:

A.	10 percent of the emissions allowed by the permit for the emissions
unit for which the change is requested;

B.	20 percent of the applicable definition of “major source” in part
1200-3-9-.02(11)(b)14; or

C.	5 tons per year.

(II)	Application

	An application requesting the use of the group processing of minor
permit modifications procedure shall meet the requirements of part
1200-3-9-.02(11)(d)3 and shall include the following:

I.	A description of the change, the emissions resulting from the change,
and any new applicable requirements that will apply if the change
occurs;

II.	The source’s suggested draft permit;

III.	Certification by a responsible official consistent with part
1200-3-9-.02(11)(d)4, that the proposed modification meets the criteria
for use of group processing procedures and a request that such
procedures be used.

IV.	A list of the source’s other pending applications awaiting group
processing, and a determination of whether the requested modification,
aggregated with these other applications, equals or exceeds the
threshold set under sub item 1200-3-9-.02(11)(f)5(iii)(I)II.

V.	Certification, consistent with the provisions of part
1200-3-9-.02(11)(d)4, that the source has notified EPA of the proposed
modification.  Such notification need only contain a brief description
of the requested modification.

VI.	Completed forms for the Technical Secretary to use to notify the
Administrator and affected States as required under subparagraph
1200-3-9-.02(11)(g).

(III)	EPA and affected State Notification;

	On a quarterly basis or within 5 business days of receipt of an
application demonstrating that the aggregate of a source’s pending
applications equals or exceeds the threshold level set under sub item
1200-3-9-.02(11)(f)5(iii)(I)II, whichever is earlier, the Technical
Secretary promptly shall meet his obligation under subpart
1200-3-9-.02(11)(g)1(i) and subpart 1200-3-9-.02(11)(g)2(i) to notify
the Administrator and affected States of the requested permit
modifications.  The Technical Secretary shall send any notice required
under subpart 1200-3-9-.02(11)(g)2(ii) to the Administrator.

(IV)	Timetable for issuance;

	The provisions of item 1200-3-9-.02(11)(f)5(ii)(IV) shall apply to
modifications eligible for group processing except that the Technical
Secretary shall take one of the actions specified in subitems
1200-3-9-.02(11)(f)5(ii)(IV) I through IV within 180 days of receipt of
the application or 15 days after the end of the Administrator’s 45 day
review period under part 1200-3-9-.02(11)(g)3, whichever is later.

(V)	Source’s ability to make change;

	The provisions of item 1200-3-9-.02(11)(f)5(ii)(V) shall apply to
modifications eligible for group processing.

(VI)	Permit Shield

	The provisions of item 1200-3-9-.02(11)(f)5(ii)(VI) shall apply to
modifications eligible for group processing.

(iv)	Significant modification procedures

(I)	Criteria

	Significant modification procedures shall be used for applications
requesting permit modifications that do not qualify as minor permit
modifications or as administrative amendments.  In addition to the
criteria of the preceding sentence, a relaxation of monitoring,
reporting or recordkeeping requirements shall be considered significant.
 In the event that the Technical Secretary issues a statement of
clarification to clarify a permit requirement that is ambiguous or
otherwise unclear, such clarification will not be considered  a
significant modification if it results in the less restrictive
interpretation, provided however, that the less restrictive
interpretation was the intent of the Technical Secretary in issuing the
original permit requirement.  Nothing herein shall be construed to
preclude the permittee from making changes consistent with paragraph
1200-3-9-.02(11) that would render existing permit compliance terms and
conditions irrelevant.

(II)	Significant modifications shall meet all requirements of paragraph
1200-3-9-.02(11) including those for applications, public participation,
review by affected States, and review by EPA, as they apply to permit
issuance and permit renewal.  The Technical Secretary shall endeavor to
process all significant permit modification requests within 9 months
after receipt of a complete application.  The Technical Secretary is
directed to program the resources of the Department’s Division of Air
Pollution Control such that at least 51 percent of the significant
modification requests are processed within the 9 month period on a
calendar year basis.

6.	Reopening for Case

(i)	Each issued permit shall include provisions specifying the
conditions under which the permit will be reopened prior to the
expiration of the permit.  A permit shall be reopened and revised under
any of the following circumstances:

(I)	Additional applicable requirements under the federal Act become
applicable to a major source subject to paragraph 1200-3-9-.02(11) with
a remaining permit term of 3 or more years.  Such a reopening shall be
completed not later than 18 months after promulgation of the applicable
requirement.  No such reopening is required if the effective date of the
requirement is later than the date on which the permit is due to expire,
unless the original has been extended pursuant to part
1200-3-9-.02(11)(a)2.

(II)	Additional requirements (including excess emission requirements)
become applicable to an affected source under the acid rain program. 
Upon approval by the Administrator, excess emissions offset plans shall
be deemed to be incorporated into the permit.

(III)	The Technical Secretary or EPA determines that the permit contains
a material mistake or that inaccurate statements were made in
establishing the emissions standards or other terms or conditions of the
permit.

(IV)	The Technical Secretary or EPA determines that the permit must be
revised or revoked to assure compliance with the applicable
requirements.

(ii)	Proceedings to reopen and issue a permit shall follow the same
proceedings as apply to initial permit issuance and shall affect only
those parts of the permit for which cause to reopen exists, and not the
entire permit.  Such reopening shall be made as expeditiously as
practicable.

(iii)	Reopening under subpart 1200-3-9-.02(11)(f)6(i) shall not be
initiated before a notice of such intent is provided to the permittee by
the Technical Secretary at least 30 days in advance of the date that the
permit is to be reopened except that the Technical Secretary may provide
a shorter time period in the case of an emergency.  An emergency shall
be established by the criteria of T.C.A. 68-201-109 or other compelling
reasons that public welfare is being adversely effected by the operation
of a source that is in compliance with its permit requirements.

7.	Reopenings for Cause by EPA

(i)	If the Administrator finds that cause exists to terminate, modify,
or revoke and reissue a permit pursuant to part 1200-3-9-.02(11)(f)6, he
is required under federal rules to notify the Technical Secretary and
the permittee of such findings in writing.  Upon receipt of such
notification, the Technical Secretary shall investigate the matter in
order to determine if he agrees or disagrees with the Administrator’s
findings.  If he agrees with the Administrator’s findings, the
Technical Secretary shall conduct the reopening in the following manner:

(ii)	The Technical Secretary shall within 90 days after receipt of such
notification, forward to EPA a proposed determination of termination,
modification, or revocation and reissuance, as appropriate.  If the
Administrator grants additional time to secure permit applications or
additional information from the permittee, the Technical Secretary shall
have the additional time period added to the standard 90 day time
period.

(iii)	EPA will evaluate the Technical Secretary’s proposed revisions
and respond as to their evaluation.

(iv)	If EPA agrees with the proposed revisions, the Technical Secretary
shall proceed with the reopening in the same manner prescribed under
subparts 1200-3-9-.02(11)(f)6(ii) and (iii).

(v)	If the Technical Secretary disagrees with either the findings of the
Administrator that a permit should be reopened or an objection of the
Administrator to a proposed revision to a permit submitted pursuant to
subpart 1200-3-9-.02(11)(f)7(ii), he shall bring the matter to the Board
at its next regularly scheduled meeting for instructions as to how he
should proceed.  The permittee shall be required to file a written brief
expressing their position relative to the Administrator’s objection
and have a responsible official present at the meeting to answer
questions of the Board.  If the Board agrees that EPA is wrong in their
demand for a permit revision, they shall instruct the Technical
Secretary to conform to EPA’s demand, but to issue the permit under
protest preserving all rights available for litigation against EPA.

8.	Public Participation

(i)	Except for modifications qualifying for minor permit modifications
procedures, all permit proceedings, including initial permit issuance,
significant modifications and renewals, shall provide adequate
procedures for public notice including offering an opportunity for
public comment and a hearing on the draft permit.  These procedures
shall include the following:

(I)	Notice shall be given by the applicant by publication in a newspaper
of general circulation in the area where the source is located or by
other means designated by the Technical Secretary if necessary to assure
adequate notice to the affected public.  The applicant shall bear the
expense of the newspaper notice.  Notice shall also be given by the
Technical Secretary to persons on a mailing list who meet the following
criteria:

I.	Such persons shall request to be on the list in writing on an annual
basis.

II.	Such persons shall pay a fee of $10.00 per year to the Department to
defray the cost of postage and handling and list management.

(II)	The notice shall identify the facility to be permitted; the name
and address of the permittee; the Technical Secretary and his address;
the activity or activities involved in the permit action; the emission
change involved in any permit modification; the name, address and
telephone number of a person from whom interested parties may obtain
additional information, including copies of the permit draft, the
application, all relevant supporting materials including the source’s
compliance plan and monitoring reports, and all other materials
available to the Technical Secretary that are relevant to the permit
decision.  These materials will be placed in a public depository for
public inspection.  Those persons unwilling to view these materials at
the public depositories may request copies to be mailed to them at a
cost of $0.50 (50 cents) per page.  The notice shall also include a
brief description of the comment procedure specified in part
1200-3-9-.02(11)(f)8; and the time and place of any hearing that may be
held, including a statement of procedures to request a hearing (unless a
hearing has already been scheduled);

(III)	The Technical Secretary shall provide such notice and opportunity
for participation by affected States as is provided for by subparagraph
1200-3-9-.02(11)(g);

(IV)	The Technical Secretary shall provide at least 30 days for public
comment and shall give notice of any public hearing at least 30 days in
advance of the hearing.

(V)	The Technical Secretary shall keep a record of the commentors and
also of the issues raised during the public participation process so
that the Administrator may fulfill his obligation under Section
505(b)(2) of the federal Act to determine whether a citizen petition may
be granted, and such records shall be available to both the public and
the applicant.

(g)	Permit Review by EPA and Affected States

1.	Transmission of Information to the Administrator

(i)	The Technical Secretary shall provide a copy of each permit
application submitted pursuant to the provisions of paragraph
1200-3-9-.02(11) to the Administrator.  Upon agreement with the
Administrator the Technical Secretary is permitted to send less than a
complete copy to the Administrator as long as the Administrator is
satisfied with the level of detail in the partial submittal. 
Additionally, the Technical Secretary shall provide the Administrator a
copy of each proposed permit and each final permit that will be issued
to a source subject to the provisions of paragraph 1200-3-9-.02(11).

(ii)	The Technical Secretary shall keep for 5 years such records and
submit to the Administrator such information as the Administrator may
reasonably require to ascertain whether or not the provisions of
paragraph 1200-3-9-.02(11) are being followed.

2.	Review by affected States

(i)	The Technical Secretary shall give notice of each draft permit
prepared pursuant to the provisions of paragraph 1200-3-9-.02(11) to any
affected State on or before the time that he provides this notice to the
public under part 1200-3-9-.02(11)(f)8, except to the extent that
subpart 1200-3-9-.02(11)(f)5(ii) or subpart 1200-3-9-.02(11)(f)5(iii)
requires the timing of the notice to be different. The affected State
review and comment period shall close simultaneously with the closure of
the public review and comment period.  The affected States will have
thirty days to review and comment upon minor modifications.

(ii)	The Technical Secretary shall notify the Administrator and any
affected State in writing of his refusal to accept all recommendations
for the proposed permit that the affected State submitted during the
public or affected State review period.  Said notice shall be filed when
the proposed permit is sent to the Administrator or as soon as possible
after the submittal for minor permit modification procedures allowed
under subpart 1200-3-9-.02(11)(f)5(ii) or subpart
1200-3-9-.02(11)(f)5(iii).  The notice shall include the Technical
Secretary’s reasons for not accepting any such recommendation.  The
Technical Secretary is not required to accept recommendations that are
not based upon applicable requirements or the requirements of 40 C.F.R.
Part 70.

3.	EPA Objection

(i)	No permit for which an application must be transmitted to the
Administrator under part 1200-3-9-.02(11)(g)1 shall be issued if the
Administrator objects to its issuance in writing within 45 days of
receipt of the proposed permit and its level of supporting information
as prescribed in subpart 1200-3-9-.02(11)(g)1(i).

(ii)	The Technical Secretary shall respond to the objections of the
Administrator and restructure the permit consistent with the provisions
of the federal Act, federal regulations promulgated thereunder or any
lawfully promulgated federal policy and the provisions of the State Act,
the regulations comprising division 1200-3 and any policies of the
Board.

4.	Public Petitions to the Administrator

	Any person can petition the Administrator to object to a permit
according to the criteria of 40 C.F.R. 70.8(d).  An objection to a
permit by the Administrator that is filed in response to a public
petition under the provisions of paragraph 40 C.F.R. 70.8(d) shall be
answered by the Technical Secretary in the same manner prescribed by
subpart 1200-3-9-.02(11)(g)3(ii).  If the Technical Secretary has issued
the permit prior to the Administrator’s objection in response to a
public petition, the Administrator’s modification, revocation or
termination of the issued permit shall not cause the source to be in
violation of the requirement to have submitted a timely and complete
application as specified in part 1200-3-9-.02(11)(d)1 and in keeping
with the application shield provisions of part 1200-3-9-.02(11)(f)2.  If
the Technical Secretary disagrees with the Administrator’s objections
and demand for revision of the permit, the provisions of subpart
1200-3-9-.02(11)(f)7(v) shall apply.



Authority:  T.C.A. §§68-201-105 and 4-5-202 et. seq.  Administrative
History:  Original rule certified June 7, 1974.  Amendment filed and
effective February 9, 1977.  Amendment filed and effective March 21,
1979.  Amendment filed May 17, 1990; effective July 1, 1990.  Amendment
filed July 8, 1994; effective September 20, 1994.  Amendment filed May
11, 1998; effective July 25, 1998.  Amendment filed October 15, 1998;
effective December 28, 1998.  Amendment filed November 12, 1998;
effective January 26, 1999.  Amendment filed December 14, 1999;
effective February 27, 2000.  Amendment filed December 30, 1999;
effective March 14, 2000.

1200-3-9-.03 GENERAL PROVISIONS.



(1)	Irrespective of the provisions of the preceding paragraphs of this
chapter, the owner or operator of any air contaminant source shall be
responsible for complying with emission regulations as contained in
other chapters of these regulations at the earliest practicable time and
for this purpose the Board shall have the authority and responsibility
to require compliance with these regulations at an earlier data than
indicated where such earlier compliance may reasonably be accomplished.

(2)	No person shall use any plan, activity, device, or contrivance which
the Technical Secretary determines will, without resulting in an actual
reduction of air contaminants, conceal or appear to minimize the effects
of an emission which would otherwise constitute a violation of these
regulations.  Methods considered circumvention of the regulations
include but are not limited to the following:

(a)	Air (or other gases) introduced for dilution purposes only.

(b)	The staggered installation and operation of a facility to avoid
coverage by a standard that applies only to operations larger than a
specified size.

(3)	No person shall discharge from any source whatsoever such quantities
of air contaminant, uncombined water, or other materials which cause a
traffic hazard.

(4)	Any person affected by any of these regulations shall file emissions
data with the Technical Secretary on forms available from the Secretary.
 If any changes are made that invalidate this data, the owner or
operator shall file within thirty (30) days new forms with the
appropriate revisions to the data.

(5)	Any source operating under a variance or Board Order (whether
effective under T.C.A. ((68-25-116 or 68-25-118) shall prominently and
conspicuously display a copy of said variance or Board Order on the
operating premises.

(6)	An operation and/or construction permit is not transferable from one
person to another person, nor from one air contaminant source to another
air contaminant source, nor from one location to another location. 
Applications for construction permits by the new owner or operator of
the new air contaminant source, or by the owner or operator of the air
contaminant source at the new location shall be required as if there had
been no previous construction permit issued.  The new construction
permit will address only rules in effect at the time of its issuance.

(7)	The Technical Secretary may suspend or revoke any construction or
operating permit if the permit holder fails to comply with the
provisions, stipulations, or compliance schedules specified in the
permit; all provisions of these regulations; and all provisions of the
Tennessee Air Quality Act.  Upon permit suspension or revocation, if the
permit holder fails to take remedial action, he shall become immediately
subject to enforcement actions prescribed by law.

(8)	The Technical Secretary may include on all permits issued under the
Tennessee Air Quality Act conditions to directly impose all provisions
applicable to sources that are necessary under the federal Clean Air Act
and effective federal regulations pursuant to this act, e.g., National
Emission Standards for Hazardous Air Pollutants, as well as provisions
necessary under Tenn. Code Ann. 68-201-101 et. seq. and rules of this
Division 1200-3. Issuance of a permit containing conditions imposing
such applicable provisions necessary under the federal Clean Air Act and
effective federal regulations pursuant to this act shall not be treated
as a repeal by implication of any otherwise applicable provisions of
Division 1200-3. That is, simply the inclusion of such conditions
containing federal standards or requirements that are less restrictive
than standards or requirements in Division 1200-3 concerning the same
matter shall not thereby effect a relaxation of the more restrictive
provisions of Division 1200-3.

Authority:  T.C.A. §§68-25-105 and 4-5-202 et. seq.  Administrative
History:  Original rule certified June 7, 1974.  Amendment filed and
effective February 9, 1977.  Amendment filed and effective November 6,
1988.  Amendment filed May 17, 1990; effective July 1, 1990.  Amendment
filed July 20, 1999; effective October 2, 1999.  Amendment filed July
22, 2003; effective October 5, 2003.

1200-3-9-.04 EXEMPTIONS.



(1)	The exemptions listed in paragraph (4) of this rule, do not apply if
an air contaminant source is subject to a standard or requirement
contained in the following except where specifically stated:

Chapter 1200-3-11   (Hazardous air contaminants)

Chapter 1200-3-18   (Volatile organic compounds)

Chapter 1200-3-19   (Emission standards and monitoring requirements for
additional control areas)

Chapter 1200-3-22   (Lead emission standards)

Chapter 1200-3-27   (Nitrogen oxides)

Paragraph 1200-3-31-.05(2) (Case by case determinations of  hazardous
air pollutant requirements)

In addition, the exemption provided for the air contaminant sources in
paragraph (4) of this rule does not exempt them from inclusion in
determining if a major stationary source or major modification
construction permit is required under paragraph 1200-3-9-.01(4) and
paragraph 1200-3-9-.01(5).

(2)	(a)	Definitions.

As used in paragraphs (1), (2), (3), and (4) of  this Rule, all terms
not defined herein shall have the meaning given them in Paragraph
1200-3-9-.02(11) and Chapter 1200-3-2 with the terms in Paragraph
1200-3-9-.02(11)  taking precedence over Chapter 1200-3-2.

1.	“Emissions unit” means any part or activity of a stationary
source that emits or has the potential to emit any regulated air
pollutant or any pollutant listed in paragraph 1200-3-31-.02(6). 
Emissions unit includes within its meaning the smallest discrete or
identifiable structure, device, item, equipment, or enclosure or group
of discrete or identifiable structures, devices, items, equipment, or
enclosures that emit or have the potential to emit any regulated air
pollutant or any pollutant listed in paragraph 1200-3-31-.02(6).  A
point of origin of fugitive emissions resulting from equipment leaks of
individual pieces of equipment, e.g., valves, flanges, pumps, and
compressors, shall not be considered an individual emissions unit.  Such
equipment leaks shall be collectively considered an emissions unit based
on their relationship to the associated process unit and shall be
considered separately from other emissions from the process unit when
defining insignificant emissions.

2.	“Fugitive emissions” are those emissions which could not
reasonably pass through a stack, chimney, vent, or other
functionally-equivalent opening.

3.	“Insignificant activity” or “insignificant emissions unit”
means any activity or emissions unit at a stationary source for which
the emissions unit or activity has a potential to emit less than 5 tons
per year of each air contaminant and each regulated air pollutant that
is not a hazardous air pollutant,  and less than 1,000 pounds per year
of each hazardous air pollutant.

4.	“Potential to emit” means the maximum capacity of a stationary
source to emit any air pollutant under its physical and operational
design.  Any physical or operational limitation on the capacity of a
source to emit an air pollutant, including air pollution control
equipment and restrictions on hours of operation or on the type or
amount of material combusted, stored, or processed, shall be treated as
part of its design if the limitation is federally enforceable.

5.	“Process unit” means equipment assembled and connected by pipes
or ducts to manufacture an intended product.  A process unit can operate
independently if supplied with sufficient feed or raw materials and
sufficient storage facilities for the product.

6.	“Regulated air pollutant” has the same definition as found in
subparagraph 1200-3-9-.02(11)(b)19.

7.	“Stationary source” means any building, structure, facility, or
installation that emits or may emit any regulated air pollutant or any
pollutant listed under paragraph 1200-3-31-.02(6).

8.	“Applicable requirement” has the same definition as in part
1200-3-9-.02 (11)(b)5.

9.	“Federally enforceable” means any emission standard and/or
procedural requirement that can be enforced against an air contaminant
source by EPA or citizens under authority granted them by the Federal
Act.

10.	“Hazardous air pollutant” means any air contaminant regulated in
Chapter 1200-3-11, or listed in Chapter 1200-3-31-.02(6).

(b)	Notwithstanding the exemptions granted in paragraph 1200-3-9-.04(4),
no person shall discharge, from any source whatsoever, such quantities
of air contaminants or other materials which cause or have a tendency to
cause injury, detriment, annoyance, or adverse effect to the public.

(c)	Notwithstanding any other provision of Division 1200-3, no emissions
unit or activity subject to a federally enforceable applicable
requirement (other than generally applicable requirements of the state
implementation plan) shall qualify as an insignificant emissions unit or
activity.  For purposes of this paragraph, generally applicable
requirements of the state implementation plan are those federally
enforceable requirements that apply universally to all emission units or
activities without reference to specific types of emission units or
activities except for the sulfur dioxide standards for those categories
and classes included in Chapter 1200-3-14.

(d)	Designation of an emissions unit or activity as insignificant for
purposes of this rule does not exempt the unit or activity from any
applicable requirement.

(e)	The emissions from any exempt air contaminant source shall comply
with all applicable rules and regulations of the Tennessee Air Pollution
Control Board.

(3)	Any person may request that a federally enforceable permit be issued
for any of the air contaminant sources that are exempted in paragraph
1200-3-9-.04(4).  “Federally enforceable” shall have the meaning as
provided in paragraph 1200-3-9-.02(11).

(4)	The list of exempted air contaminant sources contained in this
paragraph shall not be used as “insignificant activities” or
“insignificant emission units” when applying for a major source
operating permit under paragraph 1200-3-9-.02(11). These exemptions
shall not be used to lower the source’s potential to emit below
“major source” applicability thresholds or to avoid any
“applicable requirement”.   Otherwise, no person shall be required
to obtain or file a request for a permit due to ownership, operation,
construction, or modification of the following  types of  air
contaminant sources  unless specifically required to do so by the Board
or as provided for in paragraph (3) of this rule:

(a)	Any  “insignificant activity” or “insignificant emissions
unit”:

In order to receive designation as an  “insignificant activity” or
“insignificant emissions unit”, a written notification  must be
submitted to the Technical Secretary.  The notification for designation
shall include calculations and sufficient documentation to substantiate
the applicant’s claim.  Upon receipt of the notification, the
Technical Secretary will respond with a determination of agreement or
disagreement with the applicant’s claim.   In issuance of
determination as “insignificant”, the Technical Secretary may base
the determination upon any criteria that are relevant to the
determination.  For new sources, the request for designation must be
made at least 30 days prior to the estimated starting date of
construction.  For new sources, if it is determined that the emissions
unit does not qualify as an “insignificant emissions unit”, the
source must apply for a construction permit.  The request for
designation as an “insignificant emissions unit” may be made at any
time for an existing source.  In the absence of being designated as an
“insignificant emissions unit” by the Technical Secretary under
subparagraph 1200-3-9-.04 (4)(a) or in the absence of being  exempt
under subparagraphs 1200-3-9-.04 (4)(b) or 1200-3-9-.04 (4)(c), any
emission unit or activity must have a valid construction and / or
operating permit.

(b)	The categorical emission units or activities listed in subparagraph
1200-3-9-.04(5)(f), excluding parts 1. and 2.

To be categorically insignificant, with the exception of parts 19. and
84., the emissions unit  or activity must have a potential to emit less
than 5 tons per year of each air contaminant and each regulated air
pollutant that is not a hazardous air pollutant, and less than 1,000
pounds per year of each hazardous air pollutant.  Such emission units or
activities, with the exception of parts 19. and 84., are not required to
be listed in the construction or operating permit applications for the
facility.

(c)	The emission units or activities listed in subparagraph
1200-3-9-.04(5)(g).  Such emission units or activities are not required
to be listed in the construction or operating permit applications for
the facility.

(d)	Any one of  the following  emission units or activities:

Such emission units or activities are not required to be listed in the
construction or operating permit applications for the facility.

1.	Fuel burning equipment of less than 500,000 Btu per hour capacity. 
This exemption shall not apply where the total capacity of such
equipment operated by one person exceeds 2.00 million Btu per hour.

2.	 Single stack of an air contaminant source that emits no hazardous
air contaminants or pollutants, and which does not have the potential
for emitting more than 0.50 pounds per hour of nonhazardous particulates
and 0.5 pounds per hour of any regulated nonhazardous gas (particulates 
and gases not defined as hazardous air contaminants or pollutants),
provided that the total potential particulate emissions from the air
contaminant source amounts to less than two (2) pounds per hour, and the
total regulated gaseous emissions from the air contaminant source
amounts to less than two (2) pounds per hour. For the purpose of this
part, an air contaminant source includes all sources located within a
contiguous area, and under common control.

3.	Any air contaminant source constructed and operated at a domestic
residence solely for domestic use.

4.	Equipment used exclusively to store, hold, or distribute natural gas
or propane excluding all associated fuel burning equipment not
specifically exempted.

5.	Brazing, soldering, or welding equipment which does not  emit lead in
amounts equal to or greater than 0.6 tons per year.

6.	Sources within the counties of Shelby, Davidson, Hamilton, and Knox
until such time as the Board shall determine that air pollution is not
being controlled in such county to a degree at least as stringent as the
substantive provisions of the Tennessee Air Quality Act and regulations
adopted pursuant thereto.  This exemption does not apply to any air
contaminant source in those counties if the local regulation is less
stringent than the applicable state regulation.

7.	Automobile body shops - including paint spraying, grinding and
polishing operations.  This exemption does not apply to sources in ozone
nonattainment areas which emit more than 15 pounds per day of volatile
organic compounds.

8.	Any process emission source emitting less than 0.1 pounds per hour of
a pollutant.

9.	Any emission unit with the potential to emit radionuclides which will
result in a dose to the most exposed member of the public of less than
0.1 millirem per year.  Even though radionuclide air contaminant sources
are regulated under Chapter 1200-3-11, this exemption is still valid
except that recordkeeping and reporting requirements must be met.

10.	Any modification (as defined in Rule 1200-3-2-.01) to an existing
process emission source, incinerator, or fuel-burning installation to
add sources of equipment leaks (e.g. valves, flanges, pumps,
compressors, etc.) as long as the estimated increase in annual emissions
attributable to the modification does not exceed 5 tons per year. 
However, such emissions increases shall be considered when making major
modification determinations pursuant to paragraphs 1200-3-9-.01(4) and
(5).

11.	All livestock (including  poultry) operations and associated fuel
burning and incineration equipment.  This exemption from permitting
requirements does not extend to:

(i)	An incineration unit which has a manufacturer’s rated capacity
greater than 500  pounds per hour or has a total burner rated capacity
greater than 400,000 Btu per hour.

(ii)	An incineration unit into which is charged materials or wastes
other than livestock and poultry carcasses; or

(iii)	A commercial incineration unit.

12.	All storage tanks with a capacity less than 10,000 gallons and all
process tanks with a capacity less than 3,000 gallons.

13.	Mobile sources such as: automobiles, trucks, buses, locomotives,
planes, boats, and ships.  This exemption only applies to the emissions
from the internal combustion engines used exclusively to propel such
vehicles.

14.	Diesel fuel or fuel oil storage tanks with a capacity of forty
thousand (40,000) gallons or less.

15.	Surface coating and degreasing operations which do not exceed a
combined total usage of more than 60 gallons/month of coatings,
thinners, clean-up solvents, and degreasing solvents at any one plant
location, and does not exceed 1,000 pounds per year of each hazardous
air pollutant.

16.	Repair and maintenance, cleaning and degreasing operations which do
not exceed more than 145 gallons in any twelve (12) month period, and
does not exceed 1,000 pounds per year of each hazardous air pollutant.

17.	Fuel burning sources that are either gas fired or #2 oil fired with
a heat input rate under 10 million Btu/hour, where the combined total
heat input rate at each location does not exceed 10 million Btu/hour.

18.	Machining of metals where total solvent usage does not exceed more
than 60 gallons/month at any one plant location, and does not exceed
1,000 pounds per year of each hazardous air pollutant.

19.	Equipment used exclusively for steam or dry cleaning of fabrics,
plastics, rubber, wood, or vehicle engines or drive trains, provided the
total solvent usage on all equipment of this type at the same plant
location is less than 60.0 gallons per month, and does not exceed 1,000
pounds per year of each hazardous air pollutant.

20.	Heat treating, soaking, case-hardening, or surface conditioning of
metal objects, such as carbonizing, nitriding, carbonnitriding,
siliconizing, or diffusion treating using sweet natural gas or liquid
petroleum gas as in process fuel and where the heat input rate is under
10 million Btu per hour.

21.	Natural gas fired and #2 oil fired ovens which have no emissions
other than products of combustion which have a heat input rate under 10
million Btu per hour.

22.	Degreasing operations with solvent usage less than 30 gallons/month,
and where hazardous air pollutant emissions are less than 1,000 pounds
per year.

23.	Silk screen operations with solvent usage less than 30 gallons per
month, and where hazardous air pollutant emissions are less than 1,000
pounds per year.

24.	The procedures for the on-site remediation of soil or water
contaminated with organic compounds as follows:

(i)	Landspreading, aeration or bioremediation of contaminated soil.

(ii)	Negative pressure venting of contaminated soil, provided the
remediation is completed within 18 months and volatile organic compound
emissions do not exceed one (1) pound per hour.

(iii)	Installation and use of air strippers for treatment of
contaminated water, provided the remediation is completed within 18
months, and the emissions are no more than 5 tons per year of any
regulated pollutant that is not a hazardous air pollutant, and less than
1,000 pounds per year of each hazardous air pollutant.

(5)	Major Source Operating Permits Insignificant Emission Units

(a)	Definitions.

As used in this Rule, all terms not defined herein shall have the
meaning given them in Paragraph 1200-3-9-.02(11) and Chapter 1200-3-2
with the terms in Paragraph 1200-3-9-.02(11) taking precedence over
Chapter 1200-3-2.

1.	“Emissions unit” means any part or activity of a stationary
source that emits or has the potential to emit any regulated air
pollutant or any pollutant listed in paragraph 1200-3-31-.02(6). 
Emissions unit includes within its meaning the smallest discrete or
identifiable structure, device, item, equipment, or enclosure or group
of discrete or identifiable structures, devices, items, equipment, or
enclosures that emit or have the potential to emit any regulated air
pollutant or any pollutant listed in paragraph 1200-3-31-.02(6).  A
point of origin of fugitive emissions resulting from equipment leaks of
individual pieces of equipment, e.g., valves, flanges, pumps, and
compressors, shall not be considered an individual emissions unit.  Such
equipment leaks shall be collectively considered an emissions unit based
on their relationship to the associated process unit and shall be
considered separately from other emissions from the process unit when
defining insignificant emissions.

2.	“Federal Act” has the same definition as found in subparagraph
1200-3-9-.02(11)(b).

3.	“Fugitive emissions” are those emissions which could not
reasonably pass through a stack, chimney, vent, or other
functionally-equivalent opening.

4.	“Insignificant activity” or “insignificant emissions unit”
means any activity or emissions unit which qualifies as insignificant
based on any one of  the following:

(i)	Any air emissions from an air emissions unit or activity at a
stationary source for which the emissions unit or activity has a
potential to emit less than 5 tons per year of  each regulated air
pollutant that is not a hazardous air pollutant, and less than 1,000
pounds per year of each hazardous air pollutant.  Such emission units
and activities or  types of emission units and activities must be listed
in the permit application.

(ii)	The emission unit or activity, with the exception of parts 19. and
84.,  is listed in subparagraph (5)(f) as not having to be included in a
Title V application.  For an activity listed in subparagraph (5) (f),
with the exception of parts 1., 2., 19., and 84.,   the emissions unit 
or activity must have a potential to emit less than 5 tons per year of
each regulated air pollutant that is not a hazardous air pollutant, and
less than 1,000 pounds per year of each hazardous air pollutant.

(iii)	The emission unit or activity is listed in subparagraph (5)(g) as
not having to be included in a Title V application.

(iv)	Any emission unit with the potential to emit radionuclides which
will result in a dose to the most exposed member of the public of less
than 0.1 millirem per year.  Such emission unit must be listed in the
permit application.

(v)	Any emission units or activities considered by the Division to be
insignificant and approved by EPA.  The Division shall maintain a list
of emission units or activities which are considered to be insignificant
by the Division and EPA. Such emission units or activities must be
listed in the permit application.

5.	“Potential to emit” means the maximum capacity of a stationary
source to emit any air pollutant under its physical and operational
design.  Any physical or operational limitation on the capacity of a
source to emit an air pollutant, including air pollution control
equipment and restrictions on hours of operation or on the type or
amount of material combusted, stored, or processed, shall be treated as
part of its design if the limitation is enforceable by the
Administrator.  This term does not alter or affect the use of this term
for any other purposes under the Federal Act, or the term “capacity
factor” as used in title IV of the Federal Act or the Federal
regulations promulgated thereunder or chapter 1200-3-30.

6.	“Process unit” means equipment assembled and connected by pipes
or ducts to manufacture an intended product.  A process unit can operate
independently if supplied with sufficient feed or raw materials and
sufficient storage facilities for the product.

7.	“Regulated air pollutant” has the same definition as found in
subparagraph 1200-3-9-.02(11)(b).

8.	“Stationary source” means any building, structure, facility, or
installation that emits or may emit any regulated air pollutant or any
pollutant listed under paragraph 1200-3-31-.02(6).

9.	“Major source” has the same definition as in part
1200-3-9-.02(11)(b)14.

10.	“Applicable requirement” has the same definition as in part
1200-3-9-.02 (11)(b)5.

11.	“EPA” or the “Administrator” means the Administrator of the
EPA or his designee.

12.	“Permit revision” means any permit modification or
administrative permit amendment.

13.	“Renewal” means the process by which a permit is reissued at the
end of its term.

14.	“Federally enforceable” means any emission standard and/or
procedural requirement that can be enforced against an air contaminant
source by EPA or citizens under authority granted them by the Federal
Act.

15.	“Hazardous air pollutant” means any air contaminant regulated in
Chapter 1200-3-11, or listed in Chapter 1200-3-31-.02(6).

(b)	General

1.	This paragraph contains criteria for identifying insignificant
emission units or activities for purposes of issuance of major
stationary source operating permits, Paragraph 1200-3-9-.02(11).

2.	Notwithstanding the classifications as insignificant emissions units
or activities granted in this paragraph, no person shall discharge, from
any source whatsoever, such quantities of air contaminants or other
materials which cause or have a tendency to cause injury, detriment,
annoyance, or adverse effect to the public.

3.	Designation of an emission unit or activity as insignificant for
purposes of this paragraph and paragraph 1200-3-9-.02(11) does not
exempt the unit or activity from any applicable requirement.

4.	No insignificant activities or emission units shall be exempt from
inclusion in the permit application if the information omitted is needed
to:

(i)	Determine or impose any applicable requirement, or the requirement
to obtain a permit under paragraph 1200-3-9-.02(11).

(ii)	Determine if a source is major.

(c)	Applicable Requirements

1.	Notwithstanding any other provision of paragraph 1200-3-9-.02(11), no
emissions unit or activity subject to a federally enforceable applicable
requirement (other than generally applicable requirements of the state
implementation plan) shall qualify as an insignificant emissions unit or
activity.  For purposes of this paragraph, generally applicable
requirements of the state implementation plan are those federally
enforceable requirements that apply universally to all emission units or
activities without reference to specific types of emission units or
activities except for the sulfur dioxide standards for those categories
and classes included in Chapter 1200-3-14.

2.	The permit application shall list and the permit shall contain all
generally applicable requirements that apply to insignificant emission
units or activities at the major source.   For compliance purposes, the
Technical Secretary may require monitoring, recordkeeping, and reporting
for insignificant emission units or activities.

3.	Any emission unit  or activity which is a subset of a process
emission source, fuel burning installation, or incinerator, and which
has a potential to emit less than 5 tons per year of a regulated air
pollutant , by annual certification of compliance as required in item
1200-3-9-.02(11)(d)1.(ii)(I), may, at the discretion of the Technical
Secretary, be considered to meet the monitoring and related
recordkeeping and reporting requirements of subpart
1200-3-9-.02(11)(e)1.(iii) and 1200-3-10-.04(2)(b)(1), and the
compliance requirements of subpart 1200-3-9-.02(11)(e)3.(i)   for that
regulated air pollutant except where generally applicable requirements
of the state implementation plan specifically impose monitoring and
related record keeping and reporting requirements, or except where any
applicable procedures and methods are required pursuant to rule
1200-3-10-.04.   This provision shall not relieve any emissions unit or
activity from any applicable standard or requirement under  Chapters
1200-3-11 and 1200-3-31, and subparagraph 1200-3-2-.01(1)(dd).

(d)	(Reserved)

(e)	Documentation

1.	Upon request from the Technical Secretary the applicant must provide
sufficient documentation to enable the Technical Secretary to determine
that the emission unit or activity has been appropriately listed on the
permit application as insignificant.

2.	Upon request from the Technical Secretary, at any time during the
term of the permit, an applicant who lists an activity or emissions unit
as insignificant under subpart 1200-3-9-.04(5)(a)4.(i) of this paragraph
shall demonstrate to the Technical Secretary that the actual emissions
of the unit or activity are below the emission thresholds listed in that
subpart.

(f)	Unless specifically required under part 1200-3-9-.04(5)(b)4., the
following emission units or activities, or stationary sources that
qualify as ‘insignificant activities’, with the exception of parts
19. and 84. of this subparagraph, are not required to be included in a
permit application under paragraph 1200-3-9-.02(11).  For the following
listed activities to be considered insignificant, with the exception of
parts 1., 2., 19., and 84 of this subparagraph, the emissions unit or
activity  must have a potential to emit less than 5 tons per year of
each regulated air pollutant that is not a hazardous air pollutant and
less than 1000 pounds per year of each hazardous air pollutant. No
emissions unit or activity subject to a federally enforceable applicable
requirement (other than generally applicable requirements of the state
implementation plan) shall qualify as an insignificant emissions unit or
activity.

1.	Unpaved roadways and parking areas unless permits have specific
conditions limiting fugitive emissions.  This activity is not
insignificant if it is subject to new source performance standards for
nonmetallic mineral processing plants under Chapter 1200-3-16 or under
40 CFR part 60.

2.	Paved roadways and parking areas unless permits have specific
conditions limiting fugitive emissions.  This activity is not
insignificant if it is subject to new source performance standards for
nonmetallic mineral processing plants under Chapter 1200-3-16 or under
40 CFR part 60.

3.	Equipment used on farms for soil preparation, tending or harvesting
of crops, or for preparation of feed to be used on the farm where
prepared.  This activity is not insignificant if it is subject to new
source performance standards under Chapter 1200-3-16 or under 40 CFR
part 60.

4.	Barbecue pits and cookers; if the products are edible (intended for
human consumption), and are sold on site, or at one location.

5.	Vacuum pump exhausts when evacuating air conditioning units.  This
activity is not insignificant if emissions exhausted are subject to any
standard or other requirement of the regulations promulgated to protect
stratospheric ozone under title VI of the Federal Act.

6.	Wood smoking operations to cure tobacco in barns.

7.	Operations regulated under Chapter 1200-3-4 (Open Burning) of these
Regulations.

8.	Sewer vents.  This activity is not insignificant if it is subject to
the new source performance standards for petroleum refinery wastewater
systems under Chapter 1200-3-16 or under 40 CFR part 60.

9.	Natural gas mixing and treatment operations including sampling and
testing.  This activity is not insignificant if it is subject to the new
source performance standards for onshore natural gas processing plants
under Chapter 1200-3-16 or under 40 CFR part 60.

10.	Wire drawing including drawing coolants and lubricants provided that
they are water based.

11.	Air drying of wood.

12.	Washing of trucks and vehicles where no solvent cleaners are used.

13.	Sealing or cutting plastic film or foam with heat or hot wires
provided no chlorofluorocarbons (CFCs)s are emitted.

14.	Combustion units designed and used exclusively for comfort heating
purposes employing liquid petroleum gas, or propane or natural gas as
fuel.

15.	Water cooling towers (except for those at nuclear power plants),
water treating systems for process cooling water or boiler feedwater,
and water tanks, reservoirs, or other water containers designed to cool,
store, or otherwise handle water (including rainwater) that has not been
used in direct contact with gaseous or liquid process streams containing
carbon compounds, sulfur compounds, halogens or halogen compounds,
cyanide compounds, inorganic acids, or acid gases.  This activity is not
insignificant if chromium-based water treatment chemicals are used.

16.	Equipment used exclusively to store, hold, or distribute natural
gas.  This activity is not insignificant if it is subject to the new
source performance standards for onshore natural gas processing plants
under Chapter 1200-3-16 or under 40 CFR part 60.

17.	Gasoline, diesel fuel, and fuel oil handling facilities, equipment,
and storage tanks, except those subject to new source performance
standards and those subject to standards in Chapter 1200-3-18.  However,
facilities, equipment, and storage tanks which are subject only to
Chapter 1200-3-18 requirements for submerged fill and for maintenance of
records documenting quantities of gasoline, diesel fuel, and fuel oil
dispensed are entitled to the exemption provided by this paragraph,
despite the qualification of exemption specified in the first sentence
of this subparagraph.  This activity is not insignificant if it is
subject to the new source performance standards for bulk gasoline
terminals under Chapter 1200-3-16 or under 40 CFR part 60 and the Stage
I gasoline distribution MACT standard under Chapter 1200-3-31.

18.	Blast cleaning equipment using a suspension of abrasives in water.

19.	Laboratory equipment, used for research and development or for
chemical and physical analyses, including ventilating and exhaust
systems for laboratory hoods used for air contaminants.

20.	Equipment used for inspection of metal products.

21.	Portable, hand operated brazing, soldering, or welding equipment. 
Portable means as being able to be moved by hand from one location to
another by an individual without the assistance of any motorized or
non-motorized vehicle, conveyance, or device.

22.	Equipment used for washing or drying products fabricated from metal
or glass, provided no volatile organic compounds (solvents) are used in
the process and that no oil or solid fuel is burned.

23.	Foundry sand mold forming equipment to which no heat is applied, and
from which no organics are emitted.

24.	Equipment used for compression molding and injection molding of
plastics which emit no hazardous air pollutants.

25.	Mixers, blenders, roll mills, or calendars for rubber or plastics
where no materials in powder form are added and in which no organic
solvents, dilluents, or thinners are used.

26.	Equipment used exclusively to package pharmaceuticals and cosmetics
or to coat pharmaceutical tablets where no hazardous air pollutants are
emitted.  Any associated fuel burning is not included.

27.	Electrically heated equipment used exclusively for heat treating,
soaking, case hardening, or surface conditioning of metal objects, such
as carbonizing, nitriding, carbonitriding, siliconizing, or diffusion
treating.

28.	Vacuum cleaning systems used exclusively for industrial, commercial,
or residential housekeeping purposes, except those systems used to
collect hazardous air contaminants regulated by Chapter 1200-3-11.

29.	Sewage treatment facilities (excluding combustion or incineration
equipment, land farms, storage silos for dry material, or grease trap
waste handling or treatment facilities).  This activity is not
insignificant if it is subject to new source performance standards for
volatile organic compounds emissions under Chapter 1200-3-16 or under 40
CFR part 60, MACT standard under Chapter 1200-3-31, and hazardous
organic NESHAP under 40 CFR part 63.

30.	Emergency smoke relief vents that activate only in the event of
fire.

31.	Alkaline/phosphate washers and associated burners.

32.	Outdoor kerosene heaters.

33.	Livestock and poultry feedlots.

34.	Wire insulation marking provided the marking materials are water
based.

35.	Portable equipment used for the on-site painting of buildings,
towers, bridges, and roads.

36.	Powder coating operations.

The following equipment, when used exclusively for emergency replacement
or standby service:

Internal combustion engines burning natural gas, gasoline, or diesel
fuel including stationary reciprocating engines, internal combustion
(IC) engine driven compressors, IC engine driven electric generator sets
and IC driven water pumps, and equipment components for gas dehydration
units, gas-oil separators, free water knockouts, iron sponge units,
production tank batteries, and natural gas liquids separation plants.

38.	Equipment used exclusively to mill or grind coatings and holding
compounds where all materials charged are in paste form.

39.	Stenciling of cartons or boxes for purposes of shipment and content
identification provided the inks are water based.

40.	Firefighting equipment and the equipment used for training of
firefighting.

41.	Clean steam condensate and steam relief vents where steam has not
contacted any process organics or other production materials.

42.	End paper labeling of books or other reading material provided no
organic or solvent based materials are used.

43.	Pressurized vessels designed to operate in excess of 30 psig storing
a petroleum fuel. This activity is not insignificant if it is subject to
new source performance standards for petroleum liquid storage vessels
under Chapter 1200-3-16 or under 40 CFR part 60.

44.	Herbicide and pesticide mixing, application, and storage activities
for on site use.

45.	Maintenance activities, such as:  machining of metals and plastic
curing for non-production related operations, vehicle repair shops,
carpenter shops, spraying, grinding and polishing operations,
maintenance shop vents, and miscellaneous non-production surface
cleaning, preparation, and painting operations.  Repairs not involving
structural changes where no new or permanent stationary source is
installed.  Internal combustion (IC) engine driven welders not part of a
production process.  Any maintenance activity is not insignificant if it
is part of a manufacturing process.

46.	Miscellaneous activities and equipment, such as:  aerosol spray
cans, cafeteria vents, locker room vents, photo copying, photographic
processes, blue print machines, decommissioned equipment, solid waste
dumpsters, fire training, and space heaters.  Miscellaneous means as
being unrelated to the primary business activity of the source.

47.	Cold storage refrigerator equipment powered by electric motors and
that do not use Class I or Class II ozone depleting substances.

48.	Sampling systems used to withdraw materials for testing and
analysis, and vents from process instrumentation systems, including area
monitors.

49.	Laboratories in primary and secondary schools and in schools of
higher education used for instructional purposes.

50.	Hydrovactor air separator tanks.

51.	Equipment used exclusively for rolling, forging, pressing, stamping,
spinning, or extruding either hot or cold plastics provided hazardous
air pollutants are not emitted.

52.	Grain, metal or mineral extrusion process.  This activity is not
insignificant if it is subject to new source performance standards for
metallic mineral processing plants under Chapter 1200-3-16 or under 40
CFR part 60.

53.	Bioremediation operations.

54.	Equipment used exclusively for rolling, forging, pressing, stamping,
spinning, drawing, or extruding either hot or cold metals.

55.	Equipment used exclusively for sintering of ceramics, glass or
metals, but not exempting equipment used for sintering metal-bearing
ores, metal scale, clay, fly ash, or metal compounds.  This activity is
not insignificant if it is subject to new source performance standards
for primary zinc smelters and glass manufacturing operations under
Chapter 1200-3-16 or under 40 CFR part 60.

56.	Equipment for the mining and screening of uncrushed native sand and
gravel.  This activity is not insignificant if it is subject to new
source performance standards for nonmetallic mineral processing plants
under Chapter 1200-3-16 or under 40 CFR part 60.

57.	Equipment used exclusively for mixing and blending water-based
adhesives and coatings at ambient temperatures.  Materials containing
less than 5 percent volatile organic compounds qualify as water-based
for purposes of this exemption.

58.	Pulp and paper industry, and cellulosic fiber industry insignificant
activities:  Any of the following activities is not insignificant if it
is subject to new source performance standards for kraft pulp mills
under Chapter 1200-3-16 or under 40 CFR part 60, and MACT standard under
Chapter 1200-3-31.

(i)	Ash sluice tanks

(ii)	Black liquor mix boxes (e.g., for sulfur addition)

(iii)	Caustic tanks

(iv)	Chemical spills less than reportable quantity

(v)	Deinking cell

(vi)	Demineralized water tanks

(vii)	Dredging

(viii)	Dregs washer

(ix)	Dryer can steam/condensate blowdown

(x)	Electrical charging station

(xi)	Green liquor clarifiers

(xii)	Green liquor tanks

(xiii)	Grinding/blasting for nondestructive testing of metals

(xiv)	High density pulp storage tanks

(xv)	Hydrapulper

(xvi)	Hydroblasting (e.g., evaporators)

(xvii)	Instrument air dryers and distribution

(xviii)	Lime mud filter filtrate tanks

(xix)	Lime mud piles

(xx)	Liquid sodium hydrosulfide storage tanks

(xxi)	Log flumes

(xxii)	Neutralized spent cooking acid tanks

(xxiii)	Oilers on chain, etc.

(xxiv)	Open containers

(xxv)	Paper machine “blowdown” with air for cleanup

(xxvi)	Pressure filters

(xxvii)	Pressurized pulp washers

(xxviii)	Process raw water treatment (e.g., phosphate)

(xxix)	Pulp tanks and stock chests

(xxx)	Railroad flares

(xxxi)	Saltcake storage tanks vented to the recovery system

(xxxii)	Slaker vents

(xxxiii)	Smelt spout cooling water tanks

(xxxiv)	Smelt spout covers (dog houses)

(xxxv)	Starch or dye make-down tanks

(xxxvi)	Strong black liquor tanks

(xxxvii)	Tank interior coatings (epoxy resins)

(xxxviii)	Turpentine loading

(xxxix)	Weak wash tanks

(xL)	Wheel barrows

(xLi)	White liquor clarifiers

(xLii)	White liquor oxidizer

(xLiii)	White liquor tanks

(xLiv)	Winder



59.	Steam heated wood drying kilns excluding chemically treated wood.

60.	Warehouse storage of packaged raw materials and finished goods
emitting no hazardous air pollutants.

61.	Electric stations, including transformers, and substations.  Any
activity is not insignificant if it is subject to MACT standard under
Chapter 1200-3-31.

62.	Groundwater monitoring wells.

63.	Lubricants and waxes used for machinery lubrication.

64.	Use of materials for marking and grading of lumber, and the storage
of lumber.

65.	Equipment used exclusively to package photographic chemicals, and
food preservatives excluding any associated fuel burning.

66.	Air purification systems.  This activity is not insignificant if
emissions exhausted are from any manufacturing or other industrial
processes and subject to any standard or other requirement of the
regulations promulgated to protect stratospheric ozone under title VI of
the Federal Act.

67.	Equipment used in the production of enteric food coatings.

68.	Equipment used in the production of aqueous inks in which no organic
solvents, dilutents, or thinners are used.

69.	Equipment used to transport or store process wastewater streams to a
wastewater treatment facility (i.e. floor drains, sumps, drain headers,
manhole covers).  This activity is not insignificant if it is subject to
the new source performance standards for petroleum refinery wastewater
systems under Chapter 1200-3-16 or under 40 CFR part 60.

70.	Drum melter operations for low-volatility solid and semi-solid
materials using steam or electrical heating.  This activity is not
insignificant if it is subject to the new source performance standards
for electric arc furnaces under Chapter 1200-3-16 or under 40 CFR part
60.

71.	Vacuum producing equipment including vacuum seal pots and vacuum
pumps.  Any associated internal combustion engines are excluded.

72.	Presses used exclusively for extruding metals, minerals, plastics,
rubber, or wood except where halogenated carbon compounds or hydrocarbon
organic solvents are used as foaming agents.  Presses used for extruding
scrap materials or reclaiming scrap materials are not exempt.

73.	Tank trucks, railcars, barges, and trailers excluding transfer
operations at loading and unloading stations, and internal cleaning
operations.

74.	Portable dumpsters and other containers for liquids (excluding
transfer operations), and solid waste dumpsters, including handling
equipment and associated  activities.

75.	Environmental field sampling activities.

76.	Parts washer where the vapor pressure of cleaners is less than 1.52
psia.  Any activity is not insignificant if it is subject to the
halogenated solvent cleaning MACT standard under Chapter 1200-3-31.

77.	Instrument air dryers and distribution.

78.	Automatic oiling operations (e.g., oiler on chains).

79.	Machine blowdown with air for cleanup.

80.	Storage tanks of any size containing exclusively soaps, detergents,
surfactants, waxes, glycerine, vegetable oils, greases, animal fats,
sweeteners, corn syrup, aqueous salt solutions or aqueous caustic
solutions provided an organic solvent has not been mixed with such
materials.  This activity is not insignificant if appropriate lids and /
or covers are not utilized.

81.	Loading and unloading systems for railcars, tank trucks, or
watercraft that handle only the following liquid materials provided an
organic solvent has not been mixed with such materials:  soaps,
detergents, surfactants, waxes, glycerine, vegetable oils, greases,
animal fats, sweeteners, corn syrup, aqueous salt solutions, or aqueous
caustic solutions. This activity is not insignificant if appropriate
lids and / or covers are not utilized.

82.	Sanitary sewer systems.

83.	Treatment systems for potable water.

84.	Any pilot plant provided that the following conditions are
satisfied:

(i)	Pilot plant facilities which demonstrate to the satisfaction of the
Technical Secretary, that such facilities do not significantly impact
ambient air quality.  Air quality modeling may be required by the
Technical Secretary.

(ii)	The facility is constructed and operated only for the purpose of:

(I)	Testing the manufacturing or marketing potential of a proposed
product, or

(II)	Defining the design of a larger plant or future processes, or

(III)	Studying the behavior of an existing plant through modeling in the
pilot plant.

85.	Sodium hypochlorite storage tanks.

86.	Industrial-Commercial-Institutional Steam Generating Facility
exemptions are as follows:  Any of the following activities is not
insignificant if it is subject to new source performance standards for
steam-generating facilities under Chapter 1200-3-16 or under 40 CFR part
60.

(i)	Bunker room exhaust



(ii)	Coal sampling and weighing operations



(iii)	Alternative solid fuel handling



(iv)	Vents from ash transport systems not operating at positive pressure
(e.g. ash hoppers)



(v)	Coal combustion by-product disposal (except for dry stacking and
intermittent ash hauling and disposal)



(vi)	Building ventilation other than boiler room, coal handling, and ash
loading (e.g. turbine room, battery room)



(vii)	Lubrication of equipment



(viii)	Hydrogen vents



(ix)	Steam vents



(x)	Air compressor and distribution systems



(xi)	Emergency equipment



(xii)	Fugitive dust from operation of a passenger automobile, station
wagon, pickup truck, or van.



(xiii)	Pressure relief valves



(xiv)	Test gases and bottled gases



(xv)	Emissions from a laboratory.  If a facility manufactures or
produces products for profit in any quantity, it may not be considered
to be a laboratory under this item.  Support part of the laboratory. 
Support activities do not include the provision of power to the
laboratory from sources that provide power to multiple projects or from
sources which would otherwise require permitting, such as boilers that
provide power to an entire facility.



(xvi)	Safety devices such as fire extinguishers



(xvii)	Equipment used for hydraulic or hydrostatic testing



(xviii)	Food preparation for onsite consumption



(xix)	Oil vapor extractor (e.g. turbine seal oil, turbine lube oil)





87.	Sulfuric acid tanks.  This activity is not insignificant if it is
subject to new source performance standards for sulfuric acid plants
under Chapter 1200-3-16 or under 40 CFR part 60.

88.	Soil “borrow” pits.  This activity is not insignificant if it is
subject to new source performance standards for nonmetallic mineral
processing plants under Chapter 1200-3-16 or under 40 CFR part 60.

89.	Phosphoric acid tanks.  This activity is not insignificant if it is
subject to new source performance standards for phosphate fertilizer
industry under Chapter 1200-3-16 or under 40 CFR part 60.

90.	Sodium carbonate tanks.

91.	Firearms, firing ranges, and protective services facilities.

92.	Physical testing of air filtration.  This activity is not
insignificant if emissions exhausted are from any manufacturing or other
industrial processes and subject to any standard or other requirement of
the regulations promulgated to protect stratospheric ozone under title
VI of the Federal Act.

93.	Safe venting of compressed gas cylinders which have lost structural
integrity.

94.	Testing, inspection, cleaning or drying of personal protective
equipment such as respirators, clothing, gloves, shoe scuffs, etc.

95.	Equipment used to process or handle solid materials or solid wastes
such as bottle smashers, bulb crushers, balers, compactors, and can
puncturers.

(g)	Unless specifically required under part 1200-3-9-.04(5)(b)4., the
following emission units or activities, or stationary sources that
qualify as ‘insignificant activities’ are not required to be
included in a permit application under paragraph 1200-3-9-.02(11).

1.	Combustion emissions from propulsion of mobile sources, except for
vessel emissions from Outer Continental Shelf sources.

2.	Air-conditioning units used for human comfort that do not have
applicable requirements under title VI of the Act.

3.	Ventilating units used for human comfort that do not exhaust air
pollutants into the ambient air from any manufacturing/industrial or
commercial process.

4.	Non-commercial food preparation.

5.	Consumer use of office equipment and products, not including printers
or businesses primarily involved in photographic reproduction.

6.	Janitorial services and consumer use of janitorial products.

7.	Internal combustion engines used for landscaping purposes.

8.	Laundry activities, except for dry-cleaning and steam boilers.

9.	Bathroom/toilet vent emissions.

10.	Emergency (backup) electrical generators at residential locations.

11.	Tobacco smoking rooms and areas. 

12.	Blacksmith forges.

13.	Plant maintenance and upkeep activities (e.g., grounds-keeping,
general repairs, cleaning, painting, welding, plumbing, re-tarring
roofs, installing insulation, and paving parking lots) provided these
activities are not conducted as part of a manufacturing process, are not
related to the source’s primary business activity, and not otherwise
triggering a permit modification.

14.	Repair or maintenance shop activities not related to the source’s
primary business activity, not including emissions from surface coating
or de-greasing (solvent metal cleaning) activities, and not otherwise
triggering a permit modification.

15.	Portable electrical generators that can be moved by hand from one
location to another.

16.	Hand-held equipment for buffing, polishing, cutting, drilling,
sawing, grinding, turning or machining wood, metal or plastic.

17.	Brazing, soldering and welding equipment, and cutting torches
related to manufacturing and construction activities that do not result
in emission of HAP metals.

18.	Air compressors and pneumatically operated equipment, including hand
tools.

19.	Batteries and battery charging stations, except at battery
manufacturing plants.

20.	Storage tanks, vessels, and containers holding or storing liquid
substances that will not emit any VOC or HAP.

21.	Storage tanks, reservoirs, and pumping and handling equipment of any
size containing soaps, vegetable oil, grease, animal fat, and
nonvolatile aqueous salt solutions, provided appropriate lids and covers
are utilized.

22.	Equipment used to mix and package, soaps, vegetable oil, grease,
animal fat, and nonvolatile aqueous salt solutions, provided appropriate
lids and covers are utilized.

23.	Drop hammers or hydraulic presses for forging or metalworking.

24.	Equipment used exclusively to slaughter animals, but not including
other equipment at slaughterhouses, such as rendering cookers, boilers,
heating plants, incinerators, and electrical power generating equipment.

25.	Vents from continuous emissions monitors and other analyzers.

26.	Natural gas pressure regulator vents, excluding venting at oil and
gas production facilities.

27.	Hand-held applicator equipment for hot melt adhesives with no VOC in
the adhesive formulation.

28.	Equipment used for surface coating, painting, dipping or spraying
operations, except those that will emit VOC or HAP.

29.	CO2 lasers, used only on metals and other materials which do not
emit HAP in the process.

30.	Consumer use of paper trimmers/binders.

31.	Electric or steam-heated drying ovens and autoclaves, but not the
emissions from the articles or substances being processed in the ovens
or autoclaves or the boilers delivering the steam.

32.	Salt baths using nonvolatile salts that do not result in emissions
of any regulated air pollutants.

33.	Laser trimmers using dust collection to prevent fugitive emissions.

34.	Bench-scale laboratory equipment used for physical or chemical
analysis, but not lab fume hoods or vents.

35.	Routine calibration and maintenance of laboratory equipment or other
analytical instruments.

36.	Equipment used for quality control/assurance or inspection purposes,
including sampling equipment used to withdraw materials for analysis.

37.	Hydraulic and hydrostatic testing equipment.

38.	Environmental chambers not using hazardous air pollutant (HAP)
gasses.

39.	Shock chambers.

40.	Humidity chambers.

41.	Solar simulators.

42.	Fugitive emission related to movement of passenger vehicles,
provided the emissions are not counted for applicability purposes and
any required fugitive dust control plan or its equivalent is submitted.

43.	Process water filtration systems and demineralizes.

44.	Demineralized water tanks and demineralizer vents.

45.	Boiler water treatment operations, not including cooling towers.

46.	Oxygen scavenging (de-aeration) of water.

47.	Ozone generators.

48.	Fire suppression systems.

49.	Emergency road flares.

50.	Steam vents and safety relief valves.

51.	Steam leaks.

Steam cleaning operations.

Steam sterilizers.

Authority:  T.C.A. §§4-5-202 et. seq. and 68-201-105.  Administrative
History:  Original Rule certified June 7, 1974.  Amendment filed January
10, 1977; effective February 9, 1977.   Amendment filed March 31, 1987;
effective May 10, 1987.  Amendment field September 27, 1989; effective
November 11, 1989.  Amendment filed May 17, 1990; effective July 1,
1990.  Amendment filed April 22, 1993; effective June 5, 1993. 
Amendment filed September 7, 1993; effective November 21, 1993. 
Amendment filed June 12, 1995; effective August 26, 1995.  Amendment
filed July 25, 1996; effective October 6, 1996.  Amendment filed
November 30, 1999; effective February 6, 2000.  Amendment filed November
29, 2001; effective February 12, 2002.  Amendments filed September 9,
2005; effective November 23, 2005.

1200-3-9-.05 APPEAL OF PERMIT APPLICATION DENIALS AND PERMIT
CONDITIONS.

(1)	In any case where the Technical Secretary or the Department denies a
permit application, this denial is appealable to the Board if a petition
of appeal is received by the Technical Secretary within thirty (30) days
of receipt of the denial letter by the owner or operator.

(2)	The letter of denial of the application shall include the basis for
denial and notify the party of their right to appeal and of the right to
legal counsel.

(3)	The reasons the petitioner feels the permit should have been granted
must be filed as part of the petition.  Additionally a party may request
prehearing discovery, as provided in T.C.A. §4-5-306, by filing and
detailing the request with the petition.

Within thirty (30) days of receipt of the petition for appeal of a
permit denial, the Technical Secretary shall notify the petitioner of
the time and place for the hearing.

(5)	In any case where a condition is placed on a permit, the imposition
of that permit condition may be appealed by filing a petition for
reconsideration of the permit conditions.  The petition for
reconsideration of permit conditions shall specify which conditions and
portions of conditions are objected to and specifying in detail the
objections.  The petition of appeal must be delivered to the Technical
Secretary within thirty (30) days after the mailing date of the permit.

	If the Technical Secretary is considering denying the petition he shall
schedule a conference with the petitioner to discuss the matters under
appeal within forty-five (45) days of receipt of the petition.  If the
Technical Secretary’s resultant decision on the matter under appeal
aggrieves the petitioner, the petitioner may request a hearing pursuant
to T.C.A. (68-25-108.

(6)	All applicable  provisions of T.C.A. (4-5-301 et seq., on contested
cases shall apply to the hearing before the Board on such appeals.

The denial of a permit application by the Technical Secretary stands,
unless the majority of a quorum of the Board votes to overturn the
denial after the hearing.

(8)	A permit condition specified by the Technical Secretary after the
hearing provided for in paragraph (5) stands unless on appeal the Board
votes to modify or delete the condition by a majority of a quorum of the
Board.

Authority:  T.C.A. §§68-25-105 and 4-5-202 et. seq.  Administrative
History:  Original rule filed October 1, 1979; effective November 16,
1979.  Amendment filed May 17, 1990; effective July 1, 1990. 
Administrative History has been edited to delete a November 6, 1988
Amendment. No evidence of this filing exists, and this is an editorial
mistake by the Secretary of State. June 30, 2001

4/18/06 

1200-3-09c1.doc.

CONSTRUCTION AND OPERATING PERMITS		CHAPTER 1200-3-9

(Rule 1200-3-9-.01, continued)

 PAGE   

 PAGE   176 

February, 2006 (Revised)

February, 2006 (Revised)	1

CONSTRUCTION AND OPERATING PERMITS		CHAPTER 1200-3-9

(Rule 1200-3-9-.02, continued)

CONSTRUCTION AND OPERATING PERMITS		CHAPTER 1200-3-9

CONSTRUCTION AND OPERATING PERMITS		CHAPTER 1200-3-9

(Rule 1200-3-9-.03, continued)

CONSTRUCTION AND OPERATING PERMITS		CHAPTER 1200-3-9

(Rule 1200-3-9-.04, continued)

CONSTRUCTION AND OPERATING PERMITS		CHAPTER 1200-3-9

(Rule 1200-3-9-.05, continued)

