BOARD MEETING DATE: February 13, 1998 AGENDA NO. 41
PROPOSAL:
Amend Rule 1168 - Adhesive Applications
SYNOPSIS:
Proposed amendments to Rule 1168 will address issues identified by the U.S. EPA for inclusion in the State Implementation Plan and extend the sunset date of exemption (j)(17) regarding rubber sheet-applied lining operations from January 1998 to January 2000. The U.S. EPA-identified revisions result in the creation of new subcategories of adhesives, sealants, and sealant primers with corresponding VOC content limits and a change in the small user exemption criteria for non-compliant adhesives. This proposal will delay 0.02 ton per day of VOC emission reductions from 1998 to 2000.
COMMITTEE:
Stationary Source, January 23, 1998, Reviewed
RECOMMENDED ACTION:
- Certify the CEQA Final Supplemental Environmental Assessment (EA) for the proposed amendments in accordance with the attached Resolution.
- Adopt the Statement of Findings, Statement of Overriding Considerations in accordance with the attached Resolution.
- Amend Rule 1168 - Adhesive Applications in accordance with the attached Resolution.
Barry R. Wallerstein, D.Env.
Acting Executive Officer
Background
Rule 1168 - Adhesive Applications, controls VOC emissions from the commercial and industrial applications of cements and adhesives. It was first adopted in April 1989 and has been revised several times since then. At the April 11, 1997 Board meeting, the rule was last amended to raise certain VOC limits due to test method considerations; defer the future VOC limit for thin metal lamination operations to 2003; and yield regulatory jurisdiction to the state for aerosol adhesives pursuant to recent changes in state law. At that time, the Board also directed staff to investigate the status of available technology required to comply with several January 1998 compliance deadlines becoming effective due to the expiration of sunset clauses in the Rule 1168 exemptions. The U.S. EPA informed AQMD staff in April 1997 that several changes are required in Rule 1168 before the U.S. EPA can approve it as an amendment to the SIP.
Analysis
Rule 1168 exemptions (j)(11) through (j)(17), which were scheduled to expire on January 1, 1998, provide exemptions for operations such as thin metal laminating, wet suit manufacturing, rubber gasket splicing, inflatable rubber seal manufacturing, manufacturing of mold rubber components with metal or resin inserts, and rubber sheet-applied lining. Staff analysis shows that it is necessary to extend the compliance deadline for rubber sheet-applied lining operations from January 1, 1998 to January 1, 2000, in exemption (j)(17) of Rule 1168. Staff research shows that compliant products are available in other rule categories subject to the 1998 compliance deadline, or affected facilities are able to utilize the small usage exemption in Rule 1168.
The changes requested by U.S. EPA for State Implementation Plan (SIP) approval will make the rule more stringent by establishing new VOC limits for several categories of adhesives, sealants, and sealant primers that are not specifically called out in Rule 1168. These categories of adhesives are now covered under the general category. Materials that will comply with the new VOC limits are already used in the industry. U.S. EPA-requested revisions also include a replacement of the current exemption (10 gallon/year per adhesive category) with a facility-wide 55 gallon/year limit for all categories of adhesives. No additional emission reductions are expected due to the de minimus activity levels associated with these changes.
Proposal
The staff proposal will:
• amend rule language to address EPA’s issues on sealants and sealant primers applications, recordkeeping requirements for research and development operations, and applicability of AQMD Laboratory Test Method 316A;
• add the following operations and VOC content limits:
Architectural
• exempt small users using less than 55 gallons of non-compliant material per facility per rolling year; and
• extend the exemption deadline for rubber sheet-applied lining operations from January 1, 1998 to January 1, 2000.
AQMP and Legal Mandates
The California Health and Safety Code requires the AQMD to adopt an AQMP to meet state and federal ambient air quality standards in the South Coast Air Basin. In addition, the California Health and Safety Code requires that the AQMD adopt rules and regulations that carry out the objectives of the AQMP.
The future emission reductions delayed from 1998 to 2000 by implementation of this proposal is 0.02 ton per day. The SIP deficiencies identified by U.S. EPA resulted in additional adhesive and sealant applications categories covered in this rule amendment. There are no negative impacts to businesses since all proposed limits are achieved in practice. Overall, the proposed amendments are expected to result in no VOC emission reductions. Staff will continue to monitor technological development to assess the feasibility of further emission reductions in the future.
CEQA
Pursuant to the California Environmental Quality Act (CEQA) and the AQMD’s Certified Regulation Program (Rule 110), the AQMD has prepared a Supplemental Environmental Assessment (EA) for proposed amended Rule 1168. The Draft Supplemental EA was made available for a 45-day review period ending January 15, 1998. Responses to comments made on the draft document are included in the Final Supplemental EA. Though the amendments would not cause an increase in VOC emissions, but merely delay previously anticipated future emission reductions through the extension of an existing exemption, the AQMD conservatively considers such effects to be significant. The proposed amendments to Rule 1168 would not have any affect on environmental areas other than future air quality. The Final Supplemental EA is included as part of this package presented to the Governing Board for the public hearing on the proposed amendments and is also available by calling the AQMD’s Public Information Center at (909) 396-3600.
Socioeconomic Analysis
The proposed amendments to Rule 1168 will change the effective date of compliance from January 1, 1998 to January 1, 2000 for one adhesive application category: rubber sheet-applied operations. The extension is proposed to allow time for adhesive manufacturers to develop feasible alternatives. This extension will result in delayed VOC emission reductions of about 0.02 ton per day.
The proposed amendments also establish additional adhesives categories and VOC content limits for these new categories. Since the businesses which are subject to these new limits are currently using adhesives which comply with these new limits, no cost impact is expected.
Additional amendments respond to issues raised by the U.S. EPA concerning the SIP and are not expected to cause cost impacts. Consideration of cost-effectiveness is, therefore, not applicable. Similarly, no analysis of incremental cost-effectiveness can be prepared because no costs or emission reductions are anticipated. On October 14, 1994, the Governing Board adopted a resolution that requires staff to address whether rules being proposed for adoption or amendment are being considered in order of cost-effectiveness. The 1997 AQMP ranks, in order of cost-effectiveness, all of the proposed control measures for which costs were quantified. The amendments to Rule 1168 are not part of the 1997 AQMP, but rather respond to issues raised by the advent of new adhesive and sealant categories, the regulated community, and the EPA.
Implementation Plan
Staff will continue to work with industry to address any issues that may arise in implementing this rule.
Resource Impacts
Existing AQMD resources are sufficient to continue to implement the proposed changes to this rule with no impact on the budget.
A - Summary of Proposed Amendments
B - Rule Development Process
C - Key Contacts List
D - Key Issues and Responses
Resolution/Statements of Findings\Overriding Considerations
Final Rule Language
Final Staff Report
Final Supplemental Environmental Assessment