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Mr. Bryan Adams <br />September 16, 2007 <br />Page 2 <br />AERA (MPCA policy) <br />The most likely threshold for the MPCA requiring the preparation of an Air Emissions Risk Analysis <br />(AERA) is 100 tons/year of any single air pollutant, after installation of air pollution control equipment. <br />Based on our recent experience permitting identical engines at WMI landfills located in Elk River, <br />Glencoe and Lake Mills, the pollutants with the highest emissions will be CO (with potential emissions of <br />between 31 and 35 tons/year per engine) and NOx (with an emission rate of between 15 and 22.5 tons/year <br />per engine). For eight additional engines, we would therefore expect the total CO emissions to be between <br />248 and 280 tons/year and the NOx emissions to be between 120 and 180 tons/year. The NOx emissions <br />from the proposed project are below the PSD and EAW thresholds but above the AERA threshold. The <br />lower bound CO emissions from the proposed project are just barely below the PSD and EAW thresholds <br />but above the AERA threshold. We suspect that WMI could be comfortable arguing for and accepting a <br />CO emission rate that will keep the project emissions below the PSD threshold of 250 tons/yr. <br />Because the proposed project is occurring only one year after the construction of the fourth engine, it is <br />possible that the MPCA will consider the two projects to be a "phased action" as defined in Minn. R. <br />4410.0200, subpart 60 and as explained further on page 3 of the EQB's Guide to Minnesota <br />Environmental Review Rules. You may remember that, when permitting the fourth engine, we considered <br />that project and the installation of the first three engines to have been a "phased action". However, since <br />the purpose of the second LFG-to-Energy Plant is to process landfill gas expected to be generated by a <br />landfill expansion that was not foreseen at the time that the fourth engine was permitted, we think there is a <br />strong argument that the proposed project is unrelated to the first LFG-to-Energy Plant and would propose <br />to proceed on that basis. <br />You may recall that considerable effort was made in 2005 to prepare an AERA and its associated Risk <br />Assessment Spreadsheet (RASS) for the ERL facility as part of the air permitting of the fourth engine. The <br />RASS produced risks that narrowly exceeded the risk guidelines but were considered acceptable by the <br />MPCA risk managers. Since then, we have been working with the MPCA to permit aLFG-to-Energy Plant <br />at Glencoe that will house four engines. For that project, the MPCA is proposing to require stack testing of <br />certain air toxics and we anticipate that the MPCA will very likely require similar testing of any future <br />LFG-to-Energy plants. The implications resulting from such testing are unknown at this time and cannot be <br />known until the LFG-to-Energy Plant at Glencoe is constructed and tested. <br />Based on the limited emission factor data available, we do not believe that the project will be a major <br />source of hazardous air pollutants (HAPs). However, it is possible that MPCA-required stack testing or <br />alternative emission calculation approaches imposed by the MPCA could alter this conclusion. For <br />example, the Iowa DNR recently rejected the standard calculations that have been used at all of WMI's <br />Minnesota and Iowa landfills and somewhat arbitrarily assumed that the Lake Mills landfill is a major <br />source of the HAP formaldehyde. <br />Finally, it should be noted that, with the installation of the second LFG-to-Energy Plant, the post-project <br />facility will qualify as a "major source" under NSR. This is important because any future projects will be <br />subject to a PSD threshold of 40 tons/year, rather than 250 tons/year. <br />Scope of Work <br />Barr will perform the following tasks: <br />