Approved AQC Meeting Summary_07Sept2022

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ENVIRONMENTAL MANAGEMENT COMMISSION
AIR QUALITY COMMITTEE MEETING SUMMARY September 7, 2022 Archdale Building-Ground Floor Hearing Room 11:30 A.M. – 12:30 P.M.

AQC MEMBERS IN ATTENDANCE
Ms. Shannon M. Arata, AQC Chair Dr. Suzanne Lazorick
Mr. Charlie S. Carter, AQC Vice-Chair Ms. Marion Deerhake
Ms. Yvonne Bailey
OTHERS IN ATTENDANCE
Ms. Robin Smith, EMC Chair Mr. Mike Abraczinskas, DAQ Director
Ms. Patricia Harris, EMC DEQ Staff
Mr. Phillip Reynolds, EMC Counsel Members of the public PRELIMINARY MATTERS Agenda Item I-1, Call to Order and the State Government Ethics Act, N.C.G.S. §138A-15 AQC Chair Arata called the meeting to order and inquired, per General Statute §138A-15, as to whether any member knows of any known conflict of interest or appearance of conflict with respect to matters before the EMC’s AQC. None stated. Agenda Item I-2, Review and Approval of the July 13, 2022 Meeting Minutes Chair Arata requested approval of the July 13, 2022 Meeting Minutes. Commissioner Carter made the motion and Commissioner Deerhake seconded the motion. The minutes were approved unanimously
without discussion.
MEETING BRIEF
During the meeting on September 7, 2022, the Air Quality Committee (AQC) of the Environmental
Management Commission (EMC) heard:
• Concepts: None
• Action Item: Request for Approval of Proposed Rule Revisions and to Proceed to EMC for Approval
to Proceed to Public Hearing on the Revisions to Allow Electronic Submittals (556)

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RULEMAKING CONCEPTS
No rulemaking concepts items were presented during this AQC meeting. ACTION ITEMS Agenda Item III-1, Request for Approval of Proposed Rule Revisions and to Proceed to EMC for Approval to Proceed to Public Hearing on the Revisions to Allow Electronic Submittals (556) Chair Arata introduced the item and gave the podium to Ms. Katherine Quinlan. Description: Ms. Quinlan presented a background of the rulemaking, stating throughout the last 2 years in response to
the pandemic, many permit applications, correspondence, and other records have been received and reviewed electronically; however, applicants are still required to provide at least one paper copy, as required by the rules. The DAQ is proposing amendments to 18 air quality rules in subchapters 02Q and
02D to allow electronic copies of these documents to be submitted where physical hard copies are currently required. These proposed amendments will facilitate the DAQ’s transition towards streamlining and digitizing its permitting process and records storage. This will include a Laserfishe1 digital document
repository that will serve as the location of official agency records and through which public documents can be viewed remotely, a DAQ system for receiving records required by federal rule and compliant with the Cross-Media Electronic Reporting Rule (CROMERR)2, and a DEQ self-service permit portal for receiving electronically applications. Ms. Quinlan provided an overview of the specific rule changes, focusing on two rules where the most substantial changes are occurring: Rule 02Q .0104, which specifies how permit application forms are obtained and submitted, and 02D .0605, which specifies how other records, such as compliance reports, are submitted. The revisions to 02Q .0104 allow forms to be obtained online or in hard copy format upon request. Paragraph (b) continues to require hard copy applications until the DAQ makes available, through notice on its Permitting website, a system for receiving applications electronically. New Paragraph (c) requires electronic Title V applications to be submitted through a CROMERR-compliant system, and electronic minor source applications to be submitted as specified on the DAQ’s permitting website, which may the same CROMERR-compliant system required for Title V applications. The
revisions to 02D .0605 include a new paragraph (i), which mirrors and references the requirements in Rule 02Q .0104(b) and (c). Ms. Quinlan briefly covered the additional minor revisions throughout the rules, which include the addition of an option for electronic fee payments, removal of requirements for
multiple copies of permit applications, updating URLs for viewing copies of the cited Code of Federal Regulations (CFR), and cross-referencing the new and revised requirements in Rules 02Q .0104 and 02D .0605(i). Regional office addresses were replaced with a DAQ website address for obtaining contact information to allow for easier updates, and references to “mailing” lists were updated to “notification” lists to align with current practices. Additionally, existing references to Central Files was replaced by the public access portal for viewing Laserfiche documents. The DAQ submitted a draft fiscal note for these rule revisions to the Office of State Budget and Management (OSBM) on August 23rd, estimating that the financial benefits would be minimal for the regulated community from decreased paper usage, avoided postage costs, and savings in staff time for printing and mailing submittals. Minimal financial benefit was also estimated for the DAQ from savings

1 https://www.laserfiche.com
2 https://www.epa.gov/cromerr

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in staff time that they would otherwise spend digitizing documents received in hard copy format. The DAQ also expects significant qualitative benefits from streamlining the records submittal process and
increased access and quality of public records. The DAQ received minor comments from OSBM. However, one of the comments led the DAQ to more thoroughly review the amount of paper received annually. DAQ is in the process of estimating a financial benefit from the savings in staff time for incorporation into the fiscal note. The tentative timeline estimates a public comment period late this year into early next year, with rules effective date for July 1, 2023. The Director’s recommendation was for the Committee to approve the proposed rule amendments for presentation to the EMC for approval to proceed to public comment. Discussion: Chair Arata opened the discussion section for questions. Commissioner Lazorick stated that it seems like we need to be moving in this direction and asked if, given that hard copies will still be required until there is an assigned website, the site is expected to be available in July of 2023 when the rules become effective. Ms. Quinlan responded the development of the
CROMERR system will be the key in the timeline. The DAQ hopes to have something developed and approved by EPA by then but is unsure if that will occur since those conversations are just beginning. DAQ would also still need EPA approval, so the rules were structured such that implementation can begin
once that approval is received and the website is updated. Until then, DAQ will continue to require hard copies. This process is expected to take another year or so. Commissioner Lazorick asked if, once it is up and running, the option for people to submit a hard copy will go away so that submittals are only electronic. Ms. Quinlan responded that these revisions retain the option of submitting a hard copy, although the DAQ would like to receive electronic copies due to the benefits and thinks that the electronic method will be largely used. Commissioner Lazorick asked if the fiscal note should include potential costs of electronic access for people that do not have internet or computer access. She asked if there is need to think about costs involved to switch over, or if there is a sense of possible hardship for anybody to switch to electronic. Ms. Quinlan responded that these reasons are partially why the rules retain the hard copy option, so that someone can still submit in hard copy format if preferred. There is no requirement to submit it electronically, and it would be the applicant’s choice.
Commissioner Bailey stated that the fiscal note is currently a draft and has not been approved and asked if more information will be added to it. Ms. Quinlan confirmed that the draft was submitted to OSBM. DAQ decided to assign a financial value to the benefits to DAQ for staff time saved from scanning hard copies and is revising that portion of the fiscal note. DAQ has been in conversations with OSBM about those changes. Commissioner Bailey stated that in other situations we have not approved going to public
notice unless the fiscal note has been approved and asked about the timeline for getting it approved. Ms. Quinlan responded that approval is anticipated soon. DAQ is working on getting some firm numbers to put in the fiscal note and has let OSBM know about change and the path forward. Ms. Quinlan estimated approval within the next month, but definitely by the November EMC when DAQ would be requesting to proceed to public hearing. Commissioner Bailey asked if, for the public who wants records but does not have internet access, DAQ will mail hard copy records upon request. Ms. Quinlan stated that the rules retain the option for someone to request a hard copy of the records, or if they wanted, they could come into the office and view the records. The DAQ is pointing towards this electronic system where records can be viewed very easily and remotely and thinks that will be the primary method used. If someone requests a record, DAQ could email them a copy of what it is stored in the electronic system, but a person can also request a paper copy, possibly with an associated charge as set forth in the rules. They
can also come into the offices and see the records in hard copy format in an office. Commissioner Bailey added that some people are in rural areas that do not have good internet access and while they may not be the people putting together permit applications, they may just want to view something. She thanked Ms. Quinlan for her responses.

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Commissioner Deerhake asked about the wording in the contents of two rules. The first was on page 6 of 39 of the draft amendments, paragraph 2, lines 3 and 4, where the rule says that “reports shall be
received by the division or postmarked no later than 30 days after the end of each calendar year quarter.” She stated that somebody could argue that the postmark must be 30 days before the end of the calendar year quarter, but there is no time limit on the general statement about “received by the division” and wondered if that sentence could be structured more clearly so that the 30-day requirement applies to both electronic and mailed submittals. Ms. Quinlan asked to confirm if the question is whether the “no later than 30-days” timeline applies to just postmarked applications, or also those the received by the division without a postmark. Commissioner Deerhake confirmed and stated that the rules are probably applying the 30-day requirement to the electronic too, asking for confirmation. Ms. Quinlan confirmed. Commissioner Deerhake asked if anyone else had an opinion. Chair Arata responded that if it was a question to Commissioner Deerhake then it is might be a question to other people and could be resolved by rearranging the sentence to “no later than 30 days after the end of each calendar year quarter, reports
shall be received by the division in accordance with….” Commissioner Deerhake responded that she was thinking similarly. Ms. Quinlan confirmed that DAQ can make that clarification. Commissioner Deerhake asked about the wording on page, 8 of 39, line 5, which states, “after such time the division makes available a system for receiving electronic submittals, as identified in rule 15A NCAC 02Q .0104(c)(1), documents may be submitted in electronic format through such system in lieu of
procedures in Subparagraph (1).” She asked if that retains the opportunity for a paper submittal, and if the word “may” is intentional, rather than “shall”. Ms. Quinlan confirmed that “may” is correct, and added it is an option. Commissioner Deerhake commented regarding the access to internet, stating she has been a big defender of maintaining newspaper public notices for pending permits and in this case, still argues the importance of having access other than electronic for the general public because of affordability and access to internet, especially in rural North Carolina. She stated support for the comments of the other members and thinks it's very important to keep that option available to the public. Chair Arata asked for any other questions or comments, or if there was a motion. Commissioner Deerhake made a motion to approve proceeding to the full EMC to request to go to
public notice. Commissioner Carter asked if it is subject to completion of the fiscal note. Commissioner Deerhake confirmed and added that the motion is also subject to the wording revision. Commissioner Bailey seconded the motion. The motion was approved unanimously. Chair Arata stated that the AQC will have two items at tomorrow's full Commission meeting. Agenda Item V-1, Director’s Remarks (Mike Abraczinskas, DAQ)
Director Abraczinskas began with updates on the DAQ’s ongoing rulemaking efforts. The Title V rule revisions, which were approved by EMC in May 2022, passed through the Rules Review Commission and became effective on September 1, 2022. The Committee will recall that most of the edits to these rules were in response to our Title V program review by the EPA in 2021.
Staff are working on the concept the Committee heard during the previous meeting related to changes to the synthetic minor permit noticing requirements and anticipating to come back to the Committee in November with draft rules, dependent on receiving final guidance from the EPA about the direction they plan to take. DAQ has not received any further guidance from EPA since the last AQC meeting but wants to ensure consistency. Also in November, DAQ anticipates coming back with the Regional Greenhouse Gas Initiative (RGGI) fiscal note as an agenda item but will be discussing that with the Committee and Commission Chair and

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Counsel to determine whether it should come back to the Committee or be presented to the full Commission since it is in response to a petition for rulemaking. At this point, DAQ is on track to present
the fiscal note on RGGI in November. There are some changes to the State's vehicle emission inspection program that will become effective on November 1, 2022, in response to a Session Law in 2020 that removed Lee, Onslow, and Rockingham counties from the program. DAQ went through an extensive process revising the State Implementation Plan (SIP), submitting it to EPA, EPA reviewing and approved the SIP, and then once the SIP was approved, certifying to the Revisor of Statutes that the process had been completed. Now the DMV will be implementing those changes to remove the three counties. Just yesterday, DOT/DMV put out a press release on this and notified all their garage owners in those counties. DAQ remains in attainment of all federal air quality standards in North Carolina, currently for 2,571
consecutive days and counting, which is great news for North Carolina’s public health and economy. So far this ozone season has been fairly slow, and if the season ended today, North Carolina’s highest design values would be at 64 parts per billion, relative to the 70 parts per billion standard. We are building a
much greater margin of safety with each year that goes by and lower ozone values. Commissioner Carter asked when the ozone season ended, and Director Abraczinskas stated that the ozone season runs through October, which was the reason for the caveat that this update is as of today. In past years when
the meteorological conditions were such that we had stagnation events in early October, such as a couple of years ago, there were several exceedances of the standard but no violations. So far, everything has been looking good through the 2022 ozone season. Director Abraczinskas summarized the DAQ’s staffing updates and rotations. While Deputy Director Michael Pjetraj is doing a rotation with the Division of Water Resources through the end of the calendar year, Mark Cuilla, Permitting Section Chief, is serving as the Acting Deputy Director from now through September 16th. Starting on September 19th and through the end of the calendar year, Taylor Hartsfield will be serving as Acting Deputy Director on a career development rotation. She currently serves as our Raleigh Regional Office Supervisor. From there will be a series of trickle-down rotations through the end of the year and into next year, as we continue to give staff opportunities to gain some experience through these career development rotations that last anywhere from three to six months as part of succession planning and continuity planning efforts.
DAQ demographics are heavily skewed toward the retirement end of the spectrum and there are about thirty-five (35) vacancies currently across the division, out of a total of two-hundred three (203) DAQ positions. Since the last AQC meeting, DAQ has been able to fill three positions. DAQ is also working to
fill the position of the Rules Development Branch Supervisor after the recent retirement of Patrick Knowlson. Discussion: Chair Arata opened the discussion section, asking if there were any questions. Commissioner Deerhake stated in terms of staffing, the Department has benefited in the past from people retiring from the public health service or detailing from the EPA since they are so closely located here and asked if DAQ is seeing any interest or explored looking at federal retirees, because they can retire sometimes rather young in their career. Director Abraczinskas responded that the Department is exploring every possible option, and the EMC will probably hear from every Division Director about this topic because they are all in the same boat. Right now, there are a lot of vacancies and DAQ is certainly open to all alternatives and options. There is a case of a former employee that retired and came back part time after the six-month break. DAQ is glad to have anyone with that level of experience in any form or
capacity, whether temporary or full time. Commissioner Deerhake asked if the detailed program or the

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exchange program is still active between federal and state. Director Abraczinskas responded that he believes so but would probably want someone from the Department to speak a more to that.
Chair Arata asked where someone interested in a position would go to find those positions, if there is anyone out there who knows someone to refer. Director Abraczinskas responded that a Google search of “North Carolina Jobs” will find the HR website. If they are specifically interested in air quality, they can reach out to him or any of current DAQ staff members, who will get them pointed in the right direction to find postings. DAQ has a few positions currently posted externally, but there will likely continue to be opportunities posted externally for DAQ and likely all Divisions within the Department. Commissioner Lazorick asked if there has been any movement or ideas for how to get salaries more competitive, adding that has been a hindrance across DEQ in general, and asking if it would take legislative action to really improve. Director Abraczinskas indicated it is a priority for the Department as
a whole, but a fuller set of remarks would come from someone at the Department and the Secretary's office, to fully answer the question. The salary administration plans are constantly being reviewed and revised, and DAQ is understanding what it would take to bring people up to the minimum, much less to
where they should be relative to their experience and performance. It is going to take a significant effort to get people to where they need to be, but DAQ is committed to making progress on that issue. CLOSING REMARKS AND MEETING ADJOURNMENT Chair Arata asked if there any other comments or questions. No comments or questions were made. Chair Arata thanked all in attendance for their participation, noted the next meeting of the AQC is scheduled for November 9, 2022, and adjourned the meeting.