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Petition No. 2004-22

LCB File No. R125-04

Date Received by Commission: June 15, 2004

Summary: (1) Petition 2004-22 - LCB File No. R 125-04: New Source Review (NSR), Prevention of Significant Deterioration (PSD) rule, Ozone Nonattainment rule, and Minor Revision of Permit: This regulatory petition amends NAC 445B.001-.3497. The regulation incorporates revisions to the federal New Source Review (NSR) and Prevention of Significant Deterioration (PSD) rule. The regulation also incorporates revision to certain permitting provisions for a major stationary source and/or a major modification in a basic nonattainment area for ozone. As well, the regulation integrates new federal NSR Reforms into State regulations for PSD sources. This is necessary to ensure consistency with the federal program and to ensure the State of Nevada's ability to implement these new provisions. The ozone nonattainment amendments are necessary as a result of new 8-hour National Ambient Air Quality Standards (NAAQS) for ozone. On April 30, 2004 the US EPA published nationwide attainment/nonattainment designations for the 8-hour ozone NAAQS. This designation were effective June 15, 2004. The proposed regulations provide specific criteria for new major stationary sources that are locating in, or for sources making major modifications in, an area designated as nonattainment for the 8-hour ozone standard.

The regulatory petition applies only to major stationary sources of air pollution. The NSR Reforms would affect approximately 12 facilities. By adopting the proposed changes, NDEP will be able to regain full delegation of the PSD program in Nevada from the US EPA. Once NDEP has received full delegation, affected sources wishing to apply for permits for new facilities or modifications to their existing facility will be able to work directly with the state rather than having to go through the US EPA to receive permit approvals. Specific fees are proposed to cover costs associated with implementing the NSR flexibility provisions. These costs will be born by the sources requesting any of the new NSR reforms at the time they modify their existing permit.

This regulatory petition also contains language that (a) updates certain definition in the regulations, and (b) will shorten the timeline for processing minor revisions to Class I operating permits. Specifically, the regulation streamlines the public notification provisions of NAC 445B.3425 and removes definitions that are no longer used in NAC 445B. The regulation removes duplicate requirements for public notification and participation in cases where (a) the Director drafts proposed conditions for an operating permit because the applicant's proposed conditions were not adequate, and (b) the Administrator of the U.S. EPA objects to the proposed revision, and the Director subsequently revises the proposed revision.

The provision contained in this regulation will have no adverse economic impacts on the regulated industry. Accordingly, the proposed regulation would have no direct economic effect on the public, it does not overlap or duplicate any regulations of other state or government agencies, and it is no more stringent than what is established by federal law.

Current Status: Filed 081904

Nevada Administrative Code: NAC 445B.001-.3497

Codified by LCB: 09/04

Petitioner: NDEP/BAPC

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