\
               =7/ o
    Environmental Laws

    Applicable to Construction and Operation

              of


Biodiesel Production
        Facilities
 www.epa.gov/region07/priorities/agriculture

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WHAT IS THE PURPOSE OF THIS MANUAL?
This compliance assistance manual serves as a
road map of information on federal
environmental programs and federal, state, and
local agency roles as they apply to parties
interested in designing, building, and operating
biodiesel manufacturing facilities. This manual
emphasizes federal environmental laws and
regulations implemented by the United States
Environmental Protection Agency and  its state
partners. Air, water, hazardous waste,  accident
prevention and release reporting are examples of
requirements that might apply. This manual, like
a road map, does not contain all details of the
federal and state statutes and regulations.
Biodiesel facility operators need to review the applicable statutes and regulations.
There are many federal environmental requiremen
that apply to biodiesel production facilities.  State and local environmental
agencies may take the lead in implementing federal environmental programs and may
have state requirements in addition to federal environmental requirements.  The United
States Environmental Protection Agency, state, and local environmental agencies work in
partnership and are available to answer questions  about applicability of environmental
requirements to individual biodiesel production facilities. Our goal is to work with
biodiesel facility operators to ensure that human health and the environment are
-protected as biodiesel production continues to increase in EPA's Region 7 (Iowa, Kansas,
Missouri, and Nebraska).
    This manual has been prepared by the U.§. Environmei
                   .  i  >"  Region 7 BiofuelsJvork Group.
Agency
  DISCLAIMERS:
  • This manual provides information to help the regulated community and the public understand biodiesel
    facility obligations under federal environmental laws and regulations.
  • This manual is not a substitute for regulations, nor is it a regulation. It cannot impose legally binding
    requirements on EPA, states, or the regulated community. The reader must refer to federal and state laws
    and regulations for a complete understanding of all legal requirements.
  • While every attempt has been made to provide readers with definitions/explanations of the terms used in this
    manual, readers who are unfamiliar with particular programs are encouraged to visit the EPA website at
    www.epa.gov or the Code of Federal Regulations at www.gpoaccess.gov/cfr/retrieve.html.
  • This manual does not represent final agency action and may be updated in the future.
  • This manual does not limit the otherwise lawful prerogatives of regulating agencies.  Agencies may act at
    variance with this guidance based on facility-specific circumstances.
  • The mention of trade names, commercial products, industry references, and technical resources does not
    constitute an endorsement or recommendation for use.
  • The information in this document is current as of its publication date.
              FRONT COVER AND INSIDE COVER PHOTO COURTESY OF THE IOWA SOYBEAN ASSOCIATION

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                         TABLE OF CONTENTS
INTRODUCTION
                 LI  Requirement for Renewable Fuels	1-1
                 1.2  Biodiesel Overview	1-3

CHAPTER 1     WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M
                 PLANNING TO BUILD OR MODIFY A BIODIESEL PLANT?
                 1.1  National Environmental Policy Act	1-2
                 1.2  Clean Water Act	1-3
                     Dredge and Fill	1-3
                     Stormwater Construction Permits	1-5
                     Permit for Construction of Wastewater Facility	1-5
                 1.3  Safe Drinking Water Act	1-6
                     The Public Water System Supervision Program	1-6
                     The Underground Injection Control Program	1-8
                     Ground Water/Source Water Protection Programs	1-10
                 1.4  Clean Air Act	1-11
                     Air Construction Permits	1-13
                         Major Construction Permits	1-13
                             Prevention of Significant Deterioration Permits	1-14
                             Nonattainment New Source Review Permits	1-17
                         Minor Construction Permits	1-18
                     New Source Performance Standards	1-19
                     National Emission Standards for Hazardous Air Pollutants	1 -23
                     Risk Management Program Considerations	1-25
                 1.5  Resource Conservation and Recovery Act	1-26
                 1.6  Pollution Prevention Act	1-27
                 1.7  Toxic  Substances Control Act	1-30


CHAPTER 2     WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A
                 BIODIESEL PLANT?
                 2.1  Clean Water Act	2-2
                     Wastewater Discharge Permits	2-2
                     Permits for Disposal Directly to a Water Body	2-2
                     Permits to Discharge to a Municipal Wastewater Treatment System. 2-3
                     Permits for Land Application for Wastewater Disposal	2-4
                     Industrial Stormwater Permits	2-5
                     Spill Prevention, Control and Countermeasure Regulations	2-6
                     Reporting Oil Discharges	2-8
                 2.2  Safe Drinking Water Act	2-9
                     The Public Water System Supervision Program	2-9
                     The Underground Injection Control Program	2-10
                 2.3  Resource Conservation And Recovery Act -
                     Solid and Hazardous Waste	2-11
                     Definition of Solid Waste	2-12
                     Definition of Hazardous Waste	2-12
                     Typical Hazardous Wastes at a Biodiesel Production Facility	2-16

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                       TABLE OF CONTENTS

                   Hazardous Waste Management (Permit Exemption)	2-20
                   Land Disposal Restrictions	2-22
                   Hazardous Waste Summary	2-23
                   Underground Storage Tanks	2-24
               2.4  Renewable Fuel Standard Program	2-25
                   Registration	2-26
                   RIN Registration	2-26
                   Transfer RINs: Moving RINs With Fuel and Selling Biodiesel	2-26
                   Product Transfer Documents	2-27
                   Blending	2-27
                   Exporting	2-28
                   Non-Road Use of Fuel	2-28
                   Record Keeping Requirements	2-29
                   Reporting	2-29
                   Attest Engagements	2-30
               2.5  Clean Air Act	2-31
                   Air Operating Permits	2-31
                   Best Practices - Air Program	2-32
                   Prevention Program Requirements	2-33
               2.6  Emergency Planning And Community Right To Know Act	2-34
                   Planning Requirements	2-34
                   Reporting Releases	2-34
                   Other Reporting Requirements	2-36
                   Reporting Hazardous Chemical Storage - Tier II Reporting	2-36
                   Toxic Release Inventory Reporting - Form R	2-36
APPENDICES

APPENDIX A


APPENDIX B

APPENDIX C

APPENDIX D

APPENDIX E


APPENDIX F

APPENDIX G


APPENDIX H
SUMMARY OF LAWS PERTAINING TO BIODIESEL
PRODUCTION AND WHO TO CONTACT

MANAGEMENT OF CRUDE GLYCERIN

NATIONAL ENVIRONMENTAL POLICY ACT PROCESS

EMERGENCY RESPONSE PROGRAM DEVELOPMENT

CLEAN AIR ACT SECTION 112 (r) - PREVENTION PROGRAM
REQUIREMENTS

DO I NEED A FACILITY RESPONSE PLAN?

POLLUTION PREVENTION  INSIGHTS AND BEST
PRACTICES

DEFINITIONS OF ACRONYMS

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INTRODUCTION
1.1    Requirement for Renewable Fuels

      The Energy Policy Act of 2005 amended the
      Clean Air Act to establish a Renewable Fuel
      Standard (RFS) program. The RFS program,
      applicable for 2007 and beyond, is designed to
      encourage blending renewable fuels into our
      nation's motor vehicle fuel.

      A renewable fuel is defined in the Energy Policy
      Act as a motor vehicle fuel that is produced from
      plant or animal products or wastes.  Renewable
      fuels include biodiesel, ethanol and other motor
      vehicle fuels made from renewable  sources.


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                                       Environmental Laws Applicable to Construction and
                                              Operation of Biodiesel Production Facilities
                                          U.S. Environmental Protection Agency Region 7
 About 4.7 billion gallons of renewable fuels were used in the United States in 2007 as
 motor vehicle fuel. The RFS program requires that this volume increase to at least 7.5
 billion gallons by the year 2012 with a goal of using 36 billion gallons per year as motor
 vehicle fuel by 2022.

 According to the National Biodiesel Board, as of September 2008, there were 176
 biodiesel plants in operation nationwide with an annual production capacity of 2.61
 billion gallons per year.
  'BIO©
               BOARD
Commercial Biodiesel Production Plants (September 29.2008)
                                                 *r      ?     *
                                                  ***  \V-n/
                                        O BQ-9000 Producers
 This document was developed in response to the increasing number of biodiesel
 production facilities, their potential environmental implications in Region 7, and our
 desire to help smooth our nation's transition to a renewable fuel source while maintaining
 a healthy environment.
                               INTRODUCTION
                                    1-2

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                                             Environmental Laws Applicable to Construction and
                                                    Operation of Biodiesel Production Facilities
                                                U.S. Environmental Protection Agency Region 7
1.2    Biodiesel Overview
       Biodiesel is a clean-burning alternative fuel
       produced from renewable resources.  It can be
       used pure or "neat" (called B100) or, more
       typically, blended with petroleum diesel fuel
       in 5% (B5), 20% (B20), or other proportions
       before sale to the final user.

       The use of biodiesel creates  less
       environmental impacts than  petroleum oils.
       When used in existing vehicles, it reduces
       emissions of carbon monoxide, particulate
       matter, and sulfates, as well  as hydrocarbon
       and air toxics emissions. Biodiesel also
       provides significant greenhouse gas emission
       reductions.
BIODIESEL FUEL IS MADE FROM A
RENEWABLE SOURCE, SUCH AS SOYBEANS
       According to a life cycle study performed by the United States Department of Agriculture
       and the Department of Energy, the production of biodiesel compared to the production of
       petroleum fuels generates 78% less carbon dioxide, 79% less wastewater, and 96% less
       hazardous waste. :
                                       Biodiesel has the highest energy balance (3.5) of any
                                       other fuel, meaning for every unit of fossil energy
                                       needed to produce biodiesel, 3.5 units of energy are
                                       gained. Since it is produced domestically, it can
                                       reduce the need for  fossil fuel and improve the
                                       nation's energy security.

                                       The technical definition of biodiesel is, "a fuel
                                       composed of mono-alkyl esters of long chain fatty
                                       acids derived from vegetable oils or animal fats,
                                       designated B100, and meeting the requirements of
                                       ASTM International (ASTM) D6751."
         REGARDLESS OF WHAT FEEDSTOCK
         IS USED, BIODIESEL MUST MEET
         ASTM STANDARDS BEFORE SALE TO
         THE FINAL USER
1 National Renewable Energy Laboratory, "An Overview of Biodiesel and petroleum Diesel Life Cycles."
NREL/TP-580-24772, May 1998
                                     INTRODUCTION
                                          1-3

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                                       Environmental Laws Applicable to Construction and
                                              Operation of Biodiesel Production Facilities
                                          U.S. Environmental Protection Agency Region 7

Biodiesel is typically made from vegetable or animal oils consisting of triglycerides,
through a process known as transesterification.  This process is where the triglyceride
molecules are broken into alkyl ester molecules (the biodiesel product) and glycerin (the
byproduct) by reaction with an alcohol in the presence of a catalyst. This document
focuses on commercial biodiesel manufacturing using the transesterification process.

Methanol is the most commonly used alcohol, producing a biodiesel product which
consists of methyl esters. Biodiesel produced using methanol is often called fatty acid
methyl ester or FAME. Other alcohols, such as ethanol, may be used, but their use
requires a modification in the production process. The reaction can be catalyzed by
bases, acids, or enzymes.

The glycerin (also called glycerol) byproduct is typically contaminated with unreacted
methanol and excess catalyst, which must be refined to recover methanol before it can be
used commercially.  Recovering the methanol leaves the glycerin at 80% or more pure
and makes  it more suitable as a marketable commodity. After methanol recovery, most
commercial biodiesel manufacturing companies are able to send the glycerin to a glycerin
                              recovery/refining facility. Pure grades of glycerin
                              (99.7%) can be used as a raw material in other industrial
                              sectors such as food products, cosmetics, toiletries,
                              toothpaste, drugs, animal feed, plasticizers, tobacco, and
                              emulsifiers.

                              While glycerin is useful for other applications, alcohol-
                              and catalyst-contaminated glycerin can pose waste
                              management challenges with significant economic and
                              regulatory ramifications. The difference between
                              marketable glycerin and determining glycerin to be a
                              hazardous waste is the methanol content.  Regardless of
                              whether methanol is recovered, the producer must make a
                              hazardous waste determination of the waste glycerin.  If
                              methanol is not recovered from the glycerin, then the
                              producer should likely make a positive hazardous waste
                              determination prior to disposal since the flash point of the
                              mixture is likely less than 140°F. It is beneficial for an
                              operator to recover methanol and thus avoid paying for
                              hazardous waste disposal and the associated paperwork.
Using a closed-loop system to recover the methanol prevents it from becoming a
hazardous waste.  See hazardous waste discussion in Chapter 2, Page 17 for more
information.

Refining and finding a use for the glycerin byproduct is more desirable environmentally
and economically than disposing it. Growth in biodiesel production has led to an increase
in the amount of glycerin on the market.  Significant research on alternative beneficial
uses for glycerin is ongoing.
RESEARCHERS CONTINUE TO
DISCOVER MORE COST-
EFFECTIVE USES FOR THE
GLYCERIN BYPRODUCT
                              INTRODUCTION
                                    1-4

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                                       Environmental Laws Applicable to Construction and
                                              Operation of Biodiesel Production Facilities
                                          U.S. Environmental Protection Agency Region 7
Most available literature suggests that methanol recovery from glycerin wash waters, and
fugitive vapor emissions is an accepted and routine industry practice among commercial
producers. Recovered methanol is typically returned to a raw material storage tank and
reused for future fuel production. Producers should carefully consider the health and
safety risks and hazards of methanol recovery as compared with the risks, hazards, and
costs of off-site reclamation, hazardous waste disposal, or demonstrating other legal use
or disposition of the by-product.

The initial biodiesel fuel product may contain small amounts of impurities. To remove
the impurities, the biodiesel may be water washed or filtered to remove any residual
catalyst and monoglycerides.  The resulting water wash and filter cake are wastes which
have little or no commercial value and must be managed appropriately to avoid
undesirable outcomes.  For instance, there are documented cases of waste filter cake
spontaneously igniting.

This document discusses the various federal environmental requirements that may apply
to commercial biodiesel production facilities located in Iowa, Kansas, Missouri, or
Nebraska that use the transesterification process. It also provides information on who to
contact for additional information on these requirements.  Note that state or local
requirements may be more stringent than federal requirements and are outside the scope
of this document.

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            Environmental Laws Applicable to Construction and
              Operation of Biodiesel Production Facilities
             U.S. Environmental Protection Agency Region 7
   THIS PAGE IS

INTENTIONALLY

   LEFT BLANK
         INTRODUCTION
           1-6

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                                                      m
                           CHAPTER 1

     WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M
 PLANNING TO BUILD OR MODIFY A BIODIESEL PLANT?

This chapter discusses environmental laws and regulations that might apply to construction at a
 biodiesel plant. A general construction resource that you might find useful is: Managing your
 Environmental Responsibilities: A Planning Guide for Construction and Development (EPA/305-
                         B-04-003). It is available at:
http://www.epa.gov/compliance/resources/publications/assistance/sectors/constructmyer/niyergui
                                  de.pdf
                                                                                  f*

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                                     Environmental Laws Applicable to Construction and
                                            Operation of Biodiesel Production Facilities
                                        U.S. Environmental Protection Agency Region 7
1.1    National  Environmental Policy Act

       If you are using federal money to construct a biodiesel plant or any associated
       facility, such as an access road or water supply, then your plant is subject to the
       National Environmental Policy Act (NEPA). NEPA requires federal agencies to
       incorporate environmental considerations in their planning and decision-making
       and to prepare a detailed statement assessing the environmental impact of
       activities and alternatives that significantly affect the environment.

       The NEPA assessment
       for biodiesel plants
       should include all
       potential environmental
       and human health
       impacts. Resources such
       as wetlands, water
       quality, hazardous waste,
       and air quality are
       commonly analyzed.
       Biodiesel plants should
       also consider potential
       impacts to road and
       railway capacity; water
       supply and local
       municipal water systems;
       and handling and
       deposition of byproducts
       from the plant operation. Significant effects that are identified and determined to
       be unavoidable may require mitigation to reduce or minimize environmental or
       human health impacts.

       Biodiesel production facilities contribute emissions to the air including volatile
       organic compounds, sulfur dioxide, nitrogen oxides, hazardous air pollutants and
       particulate matter, all of which are required to be controlled by applicable
       regulations.  Selection of the plant location should focus on minimizing air quality
       impacts to downwind residents and consider other air emission sources in the
       area.

       As part of the environmental evaluation, EPA recommends completing a thorough
       emissions accounting and air quality modeling analysis, including fugitive
       emissions from haul roads. We also recommend evaluating any projected capacity
       increase or phased construction approach to consider the total potential air
       impacts to the project area.  More information about the NEPA process is in
       Appendix C of this manual.  NEPA contact information is in Appendix A.
A BIODIESEL FACILITY MAY BE REQUIRED TO EVALUATE
ENVIRONMENTAL IMPACTS
   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                                A BIODIESEL PLANT?
                                CHAPTER 1 - PAGE 2

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                                      Environmental Laws Applicable to Construction and
                                             Operation of Biodiesel Production Facilities
                                         U.S. Environmental Protection Agency Region 7
1.2    Clean Water Act

       This section discusses regulations pursuant to the Clean Water Act that may
       apply during the construction or modification of a biodiesel plant.
                                         Plant operators should be aware that many
                                         requirements that apply during plant
                                         operation require permit applications be
                                         submitted well in advance of plant startup,
                                         for instance, during the early planning
                                         phases prior to construction. While this
                                         chapter focuses on regulations that apply
                                         during plant construction and modification
                                         activities, operators should read and
                                         understand this entire document prior to
                                         commencing construction or modification
                                         of a biodiesel plant.
        COMPLYING WITH THE CLEAN WATER
        ACT HELPS KEEP OUR SURFACE
        WATERS CLEAN
       Dredge and Fill
       Regulations developed under Section 404 of the Clean Water Act (404 Program,
       hereafter) address the discharges of dredged or fill material into waters of the
       United States. Generally, the 404 Program requires a permit before these
       materials may be placed in a "water of the U.S.", such as a wetland, stream, river,
       slough, lake, bay, etc., during construction activities. The U.S. Army Corps of
       Engineers administers the 404 Program, including issuance of permits,
       enforcement, and making determinations on what constitutes a "water of the U.S."
       Should the U.S. Army Corps of Engineers decide that a section 404 permit is
       required, a 401 Water Quality Certification may be required from the state
       environmental agency.

       If there is a potential for placing dredge or fill materials into a water of the U.S.
       during the construction or expansion of a biodiesel plant, then a 404 Program
       permit is required. The following types of activities are regulated through the
       permitting process:
          •  Water resource projects (such as dams, impoundments, and levees)
          •  Infrastructure development (such as highways and railways)
          •  Altering or dredging a water of the U. S.
   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                                 A BIODIESEL PLANT?
                                 CHAPTER 1 - PAGE 3

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                                  Environmental Laws Applicable to Construction and
                                        Operation of Biodiesel Production Facilities
                                    U.S. Environmental Protection Agency Region 7
    The basic premise of the 404 Program is that no discharge of dredged or fill
    material may be permitted if: (1) a practicable alternative exists that is less
    damaging to the aquatic environment or (2) the nation's waters would be
    significantly degraded. "Practicable alternatives" include those that do not involve
    a discharge of dredged or fill material into waters of the U.S., or involve other
    significant environmental impacts. An alternative is practicable if it is available
    and capable of being done after taking into consideration cost, existing technology
    and logistics.

    When you apply for a permit, you must
    show that you have, to the extent
    practicable:
       •  Taken steps to avoid impacts to
          waters of the U.S.
       •  Minimized potential impacts on
          waters of the U.S.; and
       •  Provided compensation for any
          remaining unavoidable impacts.
    Therefore, it is important to consider       DREDGE AND FILL ACTIVITES REQUIRE A
    potential impacts to waters of the U.S.
    during the early planning phases of the
    project. This may include evaluating alternatives for plant design and operation
    in order to avoid impacts to waters of the U.S.

    An individual permit is required for activities that can have potentially significant
    impacts.  Individual permits are reviewed by the U.S. Army Corps of Engineers,
    which evaluates applications under a public interest review, as well as the
    environmental  criteria set forth in the Clean Water Act Section 404(b)(l)
    Guidelines. Coverage under a general permit may be suitable for most discharges
    that will have only minimal adverse effects. General permits are issued on a
    nationwide, regional, or state basis for particular categories of activities.  The
    U.S. Army Corps of Engineers should be contacted before placing any dredge or
    fill material into waters of the U.S.
         You may need to get a permit for dredging and
       filling activities.  If you are not sure whether you
           need a  permit, contact your local Corps of
               Engineers Office.  See Appendix A.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                             A BIODIESEL PLANT?
                             CHAPTER 1 - PAGE 4

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
    Stormwater Construction Permits

    Land disturbance caused by construction, such as clearing, grading, and
    excavating, can lead to serious environmental harm in both nearby and
    downstream water bodies. To minimize the impact of site runoff on water
                                        quality, a storm water permit must be
                                        obtained for discharges to waters of the
                                        U.S. from any construction activity that
                                        disturbs one acre or more of land.

                                        In Region 7, the state environmental
                                        departments issue general permits to
                                        cover these discharges. General permits
                                        require submission of a simplified
                                        application (typically identified as a
                                        Notice of Intent or NO I) and
                                        development and implementation of a
                                        plan, often called a storm water
                                        pollution prevention plan, to control
                                        discharges of sediment and other
                                        pollutants from the site during
                                        construction activities. Application due
                                        dates vary by state. The state and EPA
                                        Regional contacts for construction storm
    water permitting are listed in Appendix A. Further discussion of National
    Pollutant Discharge Elimination System storm water permits is  provided at
    Chapter 2, Page 2.
LAND DISTURBANCE CAN LEAD TO
SEDIMENT RUNOFF
    Permit For Construction of a Wastewater Facility
    If you will need to construct any type of wastewater treatment or holding system
    (including collection systems, pumping stations, storage units, etc.) to meet limits
    established in a wastewater disposal permit (See Section 2.1), you may be
    required to obtain a non-Clean Water Act construction permit from your state.
    The state will require you to submit plans and specifications for review and
    approval before any construction can  begin on the treatment system. The
    treatment system and its appurtenances must be designed in accordance with the
    state's design standards which have been established to ensure adequate  treatment
    prior to disposal. Please contact the person listed for your state in Appendix A,
    National Pollutant Discharge Elimination System (NPDES) Permits.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                              A BIODIESEL PLANT?
                              CHAPTER 1 - PAGE 5

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                                      Environmental Laws Applicable to Construction and
                                             Operation of Biodiesel Production Facilities
                                         U.S. Environmental Protection Agency Region 7
1.3    Safe Drinking Water Act

       The Safe Drinking Water Act is the federal law
       that ensures the quality of drinking water for
       Americans. Congress originally passed the act in
       1974 to protect public health by regulating the
       nation's public drinking water supply. The law
       was amended in 1986 and 1996 and requires many
       actions to protect drinking water and its sources,
       such as rivers, lakes, reservoirs, springs, and
       ground water wells.  The mandates of the act
       provide that the Public Water System Supervision
       program regulate the quality of public drinking
         *    A It  TT J       j T  •  4.-   /->   4.  i   J     COMPLYING WITH THE SAFE
       water and the Underground Injection Control and     DRINKING WATER ACT HELPS
       Source Water Protection/Wellhead Protection        KEEP OUR DRINKING WATER
                       ....                             SAFE FOR CONSUMPTION
       programs protect drinking water sources.
       The Public Water System Supervision Program
       The majority of Americans receive drinking water from public water systems. A
       public water system is defined as a system providing water for human
       consumption that has at least 15 service connections or regularly serves an
       average of 25 or more individuals daily at least 60 days of the year. This can
       include facilities such as industries, schools, mobile home parks, recreational
       areas and factories that have their own source of water which they make available
       for drinking purposes.  Public water systems can be publicly or privately owned.

       The Safe Drinking Water Act authorizes EPA to set national health-based
       standards for drinking water to protect against naturally occurring and man-made
       contaminants that might be found in drinking water.

       Nationally, there are more than 170,000 public water systems  with more than
       11,000 of those systems in Region 7.  EPA develops standards and testing
       requirements for the quality of drinking water provided by these systems. States
       and Tribes oversee the permitting, operation and compliance of public water
       systems, as well as establishing operator training and certification requirements
       and design and construction standards. It is the responsibility  of the owners and
       operators of public water systems to comply with  the standards and requirements
       in order to ensure a safe water supply.

       Industrial facilities that have their own source of water, such as a well or stream,
       and provide drinking water to workers, visitors, or the public,  are considered
       public water systems. A facility that uses drinking water from another source,
       such as a municipal water supply, is not regulated as a public water system.

   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                                A BIODIESEL PLANT?
                                 CHAPTER 1 - PAGE 6

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A facility which meets the definition of a public water system must comply with
the Federal and State regulations under the Public Water System Supervision
program. States and Tribes (in some cases) can have additional requirements for
backflow prevention, well siting and construction, water treatment process design
and construction, operator training, and assessments of the capability to operate a
system.
   A public water system must obtain permits and approvals
    from the State before construction and operation and for
          any upgrades or modifications to the system.
Public water systems will be required to perform periodic testing of the water for
a variety of potential contaminants, on schedules set by regulation.  Testing is
required for microbiological, radiological, synthetic organic, and inorganic
contaminants in drinking water.  These contaminants include lead, nitrates,
coliform bacteria and disinfection byproducts. If contaminants are identified
exceeding maximum contaminant levels, or the public water system fails to meet
treatment technique requirements, the system is considered out of compliance and
corrective actions must be taken.  The State also periodically inspects public
water systems to identify deficiencies, which must be corrected.

Every public water system must be operated by a trained and qualified operator
who is responsible for the quality of the water and meeting regulatory
requirements. States have programs for training and certifying operators at a level
appropriate to the level of water treatment at the facility. It is the responsibility of
the water system owner to have a certified operator in charge.

Even if you plan to use your own water source for just supplying cooling or
industrial processing water, there are several state water-supply related permits
that might be required. These include:

   •  Water Use Permit - Withdrawing or using water from  a surface or
      underground source typically requires a water use permit, depending on
      the volume of water that will be used daily.
   •  Well Construction Permit - Drilling a new well or modifying an existing
      well requires a well construction permit.

It is important for facilities that plan to use their own water supply source(s) to
make  sure that all of the necessary permits are in place before proceeding. Check
with the state environmental, health or natural resources office  listed in the Public
Water System Supervision section of Appendix A before building or modifying a
water supply.

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
    The Underground Injection Control Program
    The subsurface environment has been used for centuries to dispose of liquid
    wastes; the philosophy was that waste out of sight was out of mind. Realizing that
    this type of waste disposal could contaminate ground water prompted the
    development of the Underground Injection Control (UIC) program. The UIC
    program was one of the first
    Safe Drinking Water Act
    provisions created
    specifically to protect
    underground sources of
    drinking water. An
    underground source of
    drinking water is defined as
    an aquifer or portion of an
    aquifer that supplies a public
    water system or contains
    sufficient quantity of ground
    water to supply a public
    water system, that contains
    less than 10,000 mg/L total
    dissolved solids and that is
    not an exempted aquifer.

    The UIC program regulates
    wells where various
    municipal, agricultural,
    commercial and industrial
    users inject fluids
    underground for disposal,
    hydrocarbon production and
    storage, or mineral recovery.
    The UIC program defines an injection well as any bored, drilled or driven shaft or
    dug hole, where the depth is greater than the largest surface dimension of the well
    and is used to discharge fluids underground; or a subsurface fluid distribution
    system.  This definition covers a wide variety of injection practices, ranging from
    technically sophisticated and highly monitored wells that pump fluids into isolated
    formations up to two miles below the Earth's surface, to the far more numerous
    on-site  drainage systems, such as septic systems, cesspools, and storm water
    wells, that discharge fluids a few feet underground.  The program requirements
    are designed to ensure that injected fluids stay within the wells and the intended
    injection zones and do  not endanger underground sources of drinking water.

    Injection practices not regulated by the UIC program include (1) individual
    residential waste disposal systems that inject ONLY sanitary waste and (2)
                                EPA Region 7 Photo
UNDERGROUND INJECTION CONTROL WELL HEAD
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                                    Environmental Laws Applicable to Construction and
                                           Operation of Biodiesel Production Facilities
                                       U.S. Environmental Protection Agency Region 7
    commercial waste disposal systems that serve fewer than 20 people that inject
    ONLY sanitary waste.

    No injection is authorized without approval from the appropriate regulatory
    authority.  Today, 36 states and territories have primacy for UIC programs and
    EPA directly implements 17 programs.  These programs regulate more than
    500,000 injection wells.  The UIC program also oversees the disposal of up to 89
    percent of all hazardous waste that is land-disposed in the U.S.
    In Region 7, all states except Iowa have been granted primary enforcement
    authority to run the UIC program. In the case of Iowa, Region 7 directly
    implements that program. These programs regulate the activities of over 33,000
    active injection wells in Region 7.

    A biodiesel plant is subject to the requirements of the UIC Program if:

       •  It is disposing storm water, cooling water, industrial or other fluids into the
          subsurface via an injection well; or
       •  It has an on-site sanitary waste disposal system, for example a septic
          system, that serves or has the capacity to serve 20 or more persons; or
       •  It has an on-site sanitary waste disposal system that is receiving other than
          a solely sanitary waste stream regardless of its capacity;  or
       •  It is undergoing a remediation process where fluids are being introduced
          into the subsurface via an injection well to facilitate or enhance the
          cleanup.

    Facilities that discharge fluids to streams, ponds, lagoons, or  treatment facilities
    are not subject to the provisions of the UIC program but could be regulated by the
    Clean Water Act.

    It is important that facilities planning to use an injection well check with the state
    environmental, health or natural  resources office, listed in the UIC section of
    Appendix A, before constructing a new injection well or modifying their existing
    injection well to make sure that all of the necessary permits or approvals are in
    place before proceeding.
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
    Ground Water/Source Water Protection Programs
    Unlike other EPA environmental programs,
    there is no "National Ground Water Act" with
    congressionally mandated legislation to protect
    ground water on a national basis. Rather, EPA
    has chosen a two-prong approach:
       1.  Almost every EPA program has some
          measure of ground water protection
          written into its legislation. Therefore, by
          carrying out these programmatic
          responsibilities, each program office
          contributes to EPA's overall ground
          water protection effort.

       2.  Since formation of EPA's Office of
          Ground Water Protection in 1984, EPA
          has placed the primary responsibility for
          developing, implementing, and
          coordinating ground water protection
          programs with the states.
PROTECTING GROUND WATER
FROM CONTAMINATION PROVIDES
A CLEAN SOURCE OF DRINKING
WATER
    The following is a summary of the most significant ground water-related
    programs that might affect biodiesel plant operations:

    Ground Water Protection Strategy - In 1984, EPA released its "Ground Water
    Protection Strategy" in which the Agency proposed a national program to protect
    ground water as a resource. Among its provisions was the principle that states are
    responsible for managing the ground water resources within their own borders.  In
    response to the national strategy,  each state developed its own ground water
    protection strategy.

    Wellhead Protection Program - The Safe Drinking Water Act Amendments of
    1986 contained a new ground water initiative, the Wellhead Protection Program.
    Congress directed that an area around every public water supply well be defined,
    managed, and protected from human-caused sources of contamination.  All of the
    states in Region 7 have approved state wellhead protection programs.

    Sole Source Aquifer Program - Some aquifers are so important as drinking
    water supplies that there are no reasonably available alternative sources if they
    should become contaminated. Under the provisions of the Safe Drinking Water
    Act, an individual or group may petition EPA to designate an aquifer as a sole
    source aquifer.  EPA then has special authority to review projects that receive
    federal financial assistance and that could pose environmental hazards to water
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                                      Environmental Laws Applicable to Construction and
                                             Operation of Biodiesel Production Facilities
                                         U.S. Environmental Protection Agency Region 7
       quality. Region 7 currently has no sole source aquifers, however the potential for
       such delegations does exist.

       Source Water Protection Program - The Safe Drinking Water Act Amendments
       of 1996 added another initiative, the Source Water Protection Program. The
       program goes beyond just protecting ground water, which previous legislation has
       created, to encompass protecting the source of every community's water supply,
       regardless of whether it is from ground water or surface water.  All of the states in
       Region 7 have an approved state source water protection program.

       It is important that facilities check with the state environmental, health or natural
       resources office listed in the Source Water Protection Program section of
       Appendix A prior to construction  or modification to ensure that they will comply
       with any source water protection requirements before proceeding.
1.4    Clean Air Act

       The Clean Air Act,
       which was last
       amended in 1990,
       requires EPA to set
       national ambient air
       quality standards for
       widespread
       pollutants from
       numerous and
       diverse sources
       considered harmful
       to public health and
       the environment.
       The Clean Air Act
       establishes two types
       of national air
       quality standards:
          1.  Primary Standards, which set limits to protect public health, including the
             health of sensitive populations such as asthmatics, children and the elderly.
          2.  Secondary Standards, which set limits to protect public welfare, including
             visibility, animals, crops, vegetation, and buildings.
       EPA has set national ambient air quality standards for six principal pollutants
       called "criteria" pollutants.  Standards have been set for particulate matter, carbon
       monoxide, sulfur dioxide, nitrogen oxides, lead and ozone.  Note, volatile organic
       compounds lead to the formation of ozone (smog).  Areas that have air quality as
   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
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good or better than the standards for a criteria pollutant are classified as
attainment areas for that pollutant. Areas that do not meet the standards for a
criteria pollutant are classified as nonattainment areas for that pollutant.
Consequently, an area may be an attainment area for one pollutant and a
nonattainment area for another.  The attainment/nonattainment designation may
change over time.  Attainment/nonattainment status can be determined from 40
CFRPartSl or at:

               www.epa. gov/oar/oaqps/greenbk

During the production of biodiesel, criteria pollutants are released into the air. If
the oilseeds are processed  at the plant, particulate matter (including tiny
particulates less than 10 microns in diameter known as particulate matter or PMio)
are released during receipt and handling of the seeds.  Particulate matter could
also be released during the mechanical extraction process. During the chemical
extraction process and oil pretreatment process, volatile organic compounds
(VOCs) are released.  Some of these organic compounds are known as hazardous
air pollutants (HAPs), which include methanol and hexane.

The biodiesel reaction process units include reactors, decanters, wash tanks,
stripper columns, and distillation columns.  This process will emit VOCs,
including hexane (when chemically extracted soybean oil is used), methanol and/
or ethanol (depending on the alcohol used in the reaction process).  To control air
emissions from this process, condensers, scrubbers, and process flares are
generally used. The combustion process from boilers which provide the steam
and energy to the process equipment, emergency backup equipment, and the
flares generate combustion byproducts such as nitrogen  oxides (NOX), carbon
monoxide (CO), sulfur dioxide (SCh), PMio, PM 2.5 (particulates less than 2.5
microns in diameter), VOCs and HAPs.

Emissions may also result from  other activities and equipment such as  storage
tanks, biodiesel and glycerin load out, (VOCs and HAPs), fugitive emissions from
equipment leaks (VOCs and HAPs), and from cooling towers and haul roads
(particulate matter).
         Stationary sources are required to obtain a
  construction permit before the construction of a new
      facility or before modifying an existing source.
The Clean Air Act requires that certain permits be obtained to minimize air
emissions and protect human health and the environment before construction
begins on a biodiesel plant. These permits are described hereafter.

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Air Construction Permits
The Clean Air Act established a pre-construction permitting program in order to
preserve and protect the national ambient air quality standards and enhance air
quality.  It is known as the new source review program.
       Permits are legal documents which include
         requirements that the source must follow
              throughout the life of the facility.
      It is very important for facilities to be familiar
         with the requirements contained in their
                     construction permits.
New source review permits are issued by state or local air pollution control
agencies.  In very rare circumstances, EPA might issue the permit. We
recommend having pre-application meetings with the permitting agency for
construction permits; this ensures your application is complete which helps speed
up the permitting process.

There are two kinds of new source review pre-construction permits:

   1. Major Construction Permits

   2. Minor Construction Permits

The type of permit required depends on the facility's potential to emit pollutants
and the location of the facility.


   Major Construction Permits

   There are two types of major construction permits under the new source
   review program:

      •  Prevention of Significant Deterioration permits, and

      •  Nonattainment New Source Review permits.

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
           Prevention of Significant Deterioration Permits
           Prevention of significant deterioration permits are required for a new
           major source or an existing major source making a major modification, in
           an attainment or unclassifiable area.
          Under the prevention of significant
          deterioration program, a source is
          considered to be a major source if the
          facility has the potential to emit 100
          tons per year or more of any regulated
          new source review pollutant if the
          source is one of the specific  source
          categories listed in the prevention of
          significant deterioration regulations
          [40 CFR 52.21(b)(l)(i)(a)] or 250
          tons per year of any criteria pollutant
          for sources not specifically listed in
          the prevention of significant
          deterioration regulations. The 100
          tons per year major source threshold
          applies to most biodiesel plants.
PREVENTION OF SIGNIFICANT
DETERIORATION PERMITS HELP
MAINTAIN AIR QUALITY
          A major modification is any physical change or change in the method of
          operation of an existing major stationary source that would result in a
          significant net emissions increase of any regulated new source review
          pollutant. The prevention of significant deterioration significance
          thresholds for the various regulated new source review pollutants are listed
          in 40 CFR 52.21(b)(23)(i). The significant thresholds for the criteria
          pollutants are:

              •  Carbon monoxide: 100 tons per year
              •  Nitrogen oxides: 40 tons per year
              •  Sulfur dioxide: 40 tons per year
              •  Particulate Matter
                 >  25 tons per year of particulate matter emissions
                 >  15 tons per year of PM1Q
                 >  10 tons per year of PM 2 5
                 Note: On May 16, 2008, EPA promulgated the rule for the
                 implementation of "New Source Review for Fine Particles." This
                 rule is available at
                 www.epa.gov/fedrgstr/EPA-AIR/2008/May/Day-16/al0768.pdf
              •  Ozone: 40 tons per year of VOCs or nitrogen oxide
              •  Lead: 0.6 tons per year

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The prevention of significant deterioration program requires the following
elements:
   •   Installation of the best available control technology,
   •   An air quality analysis,
   •   An additional impact analysis,
   •   Protection of Class I areas, and
   •   Public involvement.


Best Available Control Technology
Best available control technology considers energy, environmental, and
economic impacts on a case-by-case basis. Best available control
technology can be add-on pollution control equipment or modification of
the production process or methods. This includes fuel cleaning or
treatment and innovative fuel combustion techniques.  Best available
control technology may be a design, equipment, work practice, or
operational standard if imposition of an emission standard is not feasible.
      Best Available Control Technology (BACT) is an
    emissions limitation based on the maximum degree
               of control that can be achieved.
Air Quality Analysis
The main purpose of an air quality analysis is to demonstrate that new
emissions emitted from a proposed major stationary source or major
modification, in conjunction with other applicable emissions from existing
sources, will not cause or contribute to a violation of any applicable
national ambient air quality standard or prevention of significant
deterioration increment. Generally,  the analysis will involve:

   •   An assessment of existing air quality, which might include ambient
       monitoring data and air quality dispersion modeling results, and
   •   Predictions, using dispersion modeling, of ambient concentrations
       that will result from the applicant's proposed project and future
       growth associated with the project.

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
                                   BIODIESEL PRODUCTION FACILITIES CAN IMPROVE AIR
                                   QUALITY WHEN USING BEST AVAILABLE CONTROL
                                   TECHNOLOGY
Prevention of
significant
deterioration
increments generally
keep the air quality in
clean areas well below
the concentration set
by the national
ambient air quality
standard.  The national
ambient air quality
standard is a maximum
allowable concentration
ceiling.  The prevention
of significant
deterioration increment is the maximum allowable increase in ambient
concentration that is allowed to occur above a baseline concentration for a
pollutant.  The baseline concentration is defined for each pollutant.  In
general, it is the ambient concentration existing at the time that the first
complete prevention of significant deterioration permit application
affecting the area was submitted.  Significant deterioration is said to occur
when the amount of new pollution, in addition to pollution changes since
the baseline date, cause the change in air quality to exceed the applicable
prevention of significant deterioration increment. It is important to note,
however, that the air quality cannot deteriorate beyond the concentration
allowed by the applicable national ambient air quality standard, even if not
all of the prevention of significant deterioration increment is consumed.

Impacts Analysis
The additional impacts analysis assesses the impacts of air, ground, and
water pollution on soils, vegetation, and visibility from any increase in
emissions of any regulated pollutant from the  source or modification under
review and from associated growth. Associated growth is industrial,
commercial, and residential growth that will occur in the area because of
the source.

Public Involvement
The public will be offered an opportunity to comment and request a public
hearing on the permit before it is issued. Comments are considered by the
permitting agency and they may result in changes to the permit.  The
public may also appeal permits.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7
          Nonattainment New Source Review Permits
          Nonattainment new source review applies to new major sources or major
          modifications at existing major sources for pollutants where the source is
          in an area that is not in attainment with the national ambient air quality
          standards, also called a "nonattainment area."  In a nonattainment area,
          any stationary pollutant source with the potential to emit 100 tons per year
          or more is considered a major source. Nonattainment new source review
          requirements are customized for the specific nonattainment area.  The
          nonattainment areas in Region 7 are depicted in the graphic below.
         Major Cities I  1 S02M
      I  | STATES I   LEiCJ.l
               | 8HRQZONE_M
             ^H PM25_KA.3HROZONE_NA
             ^f PM25_KA.3HROZONE_KA.CO_M
             I  I PM25 HA.8HFTOZONE HA. LEAD NA
            Region 7 Nonattainment and Maintenance Areas
                               As of July 22, 2008
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
          All nonattainment new source review programs require:

              •  Installation of the lowest achievable emission rate,
              •  Emission offsets, and
              •  Opportunity for public involvement.

          The lowest achievable emission rate is the most stringent emission
          limitation derived from either of the following:

              •  The most stringent emission limit contained in the implementation
                 plan of any state for such class or category of source, or
              •  The most stringent emission limit achieved in practice by such
                 class or category of source.

          The emissions rate may result from a combination of emissions limiting
          measures such as:

              •  Add-on pollution control equipment,
              •  A process modification,  and/or
              •  A change in the raw material processed.

          Offsets are emission reductions, generally obtained from existing sources
          in the vicinity of a proposed source that must offset the emissions increase
          from the new source or modification and provide a net air quality benefit.
          The purpose for requiring offsetting emissions decreases is to allow for
          some industrial growth in an area without interfering with progress
          toward attainment of the national ambient air quality standards.


       Minor Construction Permits
       Minor new source review is for pollutants from stationary source projects that
       do not require prevention of significant deterioration or nonattainment new
       source review permits.  The purpose of minor new source review permits is to
       prevent accumulation of minor emissions increases that would interfere with
       attainment or maintenance of national ambient air quality standards or violate
       the control strategy in nonattainment areas. Minor new source review permits
       often contain permit conditions that will limit the source's emissions to avoid
       becoming subject to the prevention of significant deterioration or
       nonattainment new source review regulations.  The permit conditions
       generally involve enforceable emission and/or operating limits that will ensure
       air quality protection. As a result, the permits usually contain record keeping,
       reporting, monitoring, and testing requirements to ensure compliance with the
       permit conditions.

CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                              A BIODIESEL PLANT?
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
                                        A facility obtaining a minor new source
                                        review construction permit might,
                                        depending on the state's air permitting
                                        requirements, be required to conduct an
                                        air quality review using computer
                                        modeling to predict the effects that a
                                        facility might have on the ambient air.
                                        Whether or not a facility needs to model
                                        will depend on the  rate of emissions
                                        increase, facility history, plant location,
                                        type of source, and emission point
                                        configurations, such as stack heights.  A
                                        construction permit cannot be issued if
                                        the plant will cause or significantly
                                        contribute to predicted violations of any
                                        ambient air quality standard.
        MINOR CONSTRUCTION PERMITS HELP
        PREVENT AIR POLLUTION
       The public is given notice when a construction permit might be issued. Each
       state has different procedures for notification on minor new source review
       permits. Please check with the applicable state to verify the procedures.
    New Source Performance Standards
    New source performance standards establish technology-based standards that
    regulate criteria air pollutants from new or modified sources. These regulations
    were developed to assure that sources are installing the best-demonstrated
    technology to reduce emissions.

    New source performance standards contain emission limits; control device or
    equipment requirements; and work practice, performance testing, monitoring,
    record keeping, notification, and reporting requirements.  These regulations can
    be found in 40 CFR Part 60. For example, a work practice required under the new
    source performance standards subparts VV and VVa involves the implementation
    of a Leak Detection and Repair (LDAR) program. The purpose of the LDAR
    program is to reduce emissions of pollutants from equipment that is leaking (e.g.,
    from valves, pumps, compressors, etc.).  The LDAR program is designed to
    identify leaking equipment by requiring monitoring  at specified regular intervals.
    Any leaking equipment must then be repaired or replaced within a specified time
    frame.  Record keeping and reporting is also required by the LDAR program.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
    The following new source performance standards from 40 CFR Part 60 typically
    apply to biodiesel plants:

       •  SubpartA-  General Provision. Sources subject to the requirements
                        might be subject to all or only a portion of the general
                        provisions.

       •  Subpart Db - Industrial - Commercial - Institutional Steam
                        Generating Units
          •  Units with a capacity more than 100 million Btu per hour (MMBtu/hr)
          •  Includes boilers and thermal oxidizers/waste-heat recovery boilers
          •  Built, reconstructed, or modified after June 19, 1984
          •  Regulated pollutants
              >  Nitrogen oxides, particulate matter, sulfur dioxide
              >  Opacity

       •  Subpart DC -  Small Industrial - Commercial - Institutional Steam
                        Generating Units
          •   Units with a capacity of 10 MMBtu/hr or more and less than or equal
              to 100 MMBtu/hr
              >  Includes boilers and thermal oxidizers/waste-heat recovery boilers
          •   Built, reconstructed, or modified after June 9, 1989
          •   Regulated pollutants
              >  Particulate matter, sulfur dioxide
              >  Opacity

       •  Subpart Kb - Volatile Organic Liquid Storage Vessels

          •   Vessels with a capacity of 75 m (approximately 19,800 gallons) or
              more
          •   Built, reconstructed, or modified after July 23, 1984
          •   Regulated pollutant
              >  Volatile organic compounds

       •  Subpart VV -  Equipment Leaks of VOC in the Synthetic Organic
                         Chemicals Manufacturing Industry (SOCMI) for
                         which Construction, Reconstruction, or Modification
                         Commenced After January 5,1981, and on or Before
                         November 7, 2006
          •   Affected facilities in the synthetic organic chemicals manufacturing
              industry (note: glycerol is on the list of regulated synthetic organic
              chemicals)

CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
          •   Built, reconstructed, or modified after January 5, 1981, and on or
              before November 7, 2006
          •   Regulated pollutant
              >  Volatile organic compounds

       •  Subpart Wa - Equipment Leaks of VOC in the Synthetic Organic
                          Chemical Manufacturing Industry (SOCMI) for
                          which Construction, Reconstruction, or Modification
                          Commenced After November 7, 2006
          •   Affected facilities in the synthetic organic chemicals manufacturing
              industry (note: glycerol is on the list of regulated synthetic organic
              chemicals)
          •   Built, reconstructed, or modified after November 7, 2006
          •   Regulated pollutant
              >  Volatile organic compounds

       •  Subpart NNN - VOC Emissions From Synthetic Organic Chemical
                          Manufacturing Industry (SOCMI) Distillation
                          Operations
          •   Affected facilities in the synthetic organic chemicals manufacturing
              industry (note: glycerol is on the list of regulated synthetic organic
              chemicals)
          •   Built, reconstructed, or modified after December 30, 1983
          •   Regulated pollutant
              >  Volatile organic compounds

       •  Subpart RRR- VOC Emissions From Synthetic Organic
                          Chemical Manufacturing Industry (SOCMI)
                          Reactor Processes
          •   Affected facilities in the synthetic organic chemicals manufacturing
              industry (note: glycerol is on the list of regulated synthetic organic
              chemicals)
          •   Built, reconstructed, or modified after June 29, 1990
          •   Regulated pollutants
              >  Volatile organic compounds

       •  Subpart IIII - Stationary Compression Ignition Internal
                         Combustion Engines
          •   Owners and operators of stationary  compression ignition internal
              combustion engines that begin construction (for this regulation, the
              date that construction begins is the date the engine is ordered by the
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   owner or operator) after July 11, 2005 where the stationary
   compression ignition internal combustion engines are:
   >  manufactured after April 1, 2006 and are not fire pump engines, or
   >  manufactured as a  certified National Fire Protection Association
       fire pump engine after July 1, 2006
•  Owners and operators  of stationary compression ignition internal
   combustion engines that modify or reconstruct their stationary
   compression ignition internal combustion engines after July 11, 2005.
•  Regulated pollutants
   >  Nitrogen oxides, particulate matter, carbon monoxide
   >  Non-methane hydrocarbons (NMHC)
   >  Sulfur oxides (through the use of lower sulfur fuels)

Subpart JJJJ -  Stationary Spark Ignition Internal Combustion
                Engines
•  Owners and operators  of stationary spark ignition internal combustion
   engines that begin construction (for this regulation, the date that
   construction begins is the date the engine is ordered by the owner or
   operator) after June  12, 2006, where the stationary spark ignition
   internal combustion engines are manufactured:
   >  On or after July  1,  2007, for engines with a maximum engine
       power greater than or equal to 500 UP (except lean burn engines
       with a maximum engine power greater than or equal to 500 HP and
       less than 1,350 HP):
   >  On or after January 1, 2008, for lean burn engines with a maximum
       engine power greater than or equal to 500 UP and less than 1,350
       HP;
   >  On or after July  1,  2008, for engines with a maximum engine
       power less than 500 HP; or
   >  On or after January 1, 2009, for emergency engines with a
       maximum engine power greater than 25 HP.
•  Owners and operators  of stationary spark ignition internal combustion
   engines that begin modification or reconstruction after June 12, 2006.
•  Regulated pollutants
   >  Nitrogen oxides, carbon monoxide and volatile organic compounds
   >  Sulfur oxides (through the use of lower sulfur fuels)
      Facilities should be aware of these rules during the planning
        stages of a new plant or modification. The New Source
     Performance Standards requirements may have influence over
        the equipment and control devices that will be installed.

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National Emission Standards for Hazardous Air Pollutants
National emission standards for hazardous air pollutants regulate hazardous air
pollutant emissions from stationary sources through technology-based standards,
known as Maximum Achievable Control Technology (MACT) standards. MACT
standards are designed to require that a given type of source install the best-
demonstrated control technology available. New and existing facilities that fall
within listed source categories and are major sources of hazardous air pollutants
are subject to the MACT standards (although, there are a few MACT standards
that include area sources). A major source of hazardous air pollutants  has the
potential to emit 10 tons per year of a single pollutant or 25 tons per year of a
combination of pollutants. There are 187 regulated hazardous air pollutants. A
list of them can be found at:

            http://www.epa.gov/ttn/atw/origl89.html

MACT standards contain emission limits; control device or equipment
requirements; and work practice, performance testing,  monitoring, recordkeeping,
notification,  and reporting requirements. MACT standards can be found in 40
CFR Part 63. The following MACT standards might apply to biodiesel plants.

   •   SubpartA-     General Provisions. Sources subject to MACT
                       requirements might be subject to all or portions of the
                       general provisions.

   •   SubpartB-     Case-by-Case MACT. Major hazardous air pollutant
                       sources that construct or reconstruct and are not already
                       covered by a MACT must obtain  a construction permit
                       with a case-by-case MACT.

   •   Subpart FFFF - Miscellaneous Organic Chemical Manufacturing
       •   Major hazardous air pollutant sources that operate miscellaneous
          organic chemical manufacturing process units.
       •   Compliance date
          >  Existing sources - May 10, 2008
          >  New sources
                 Startup before November 10, 2003 - comply by
                November 10, 2003
                 Startup after November 10, 2003 - comply upon startup

Subpart GGGG - Solvent Extraction for Vegetable Oil  Production
       •   Major hazardous air pollutant sources using an organic solvent, such
          as hexane, to extract vegetable oil from oil  seeds such as soybean, corn
          germ, safflower etc.

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7
          •  Compliance date
             >   Existing sources - April 12, 2004
             >   New sources
                 -   Startup before April 12, 2001 - comply by April 12, 2001
                    Startup after April 12, 2001 - comply upon startup

          Subpart ZZZZ - Reciprocating Internal Combustion Engines
          •  An affected source is any existing, new or reconstructed stationary
             reciprocating  internal  combustion engine (RICE) located at a major or
             area (not a major) source of hazardous air pollutant emissions.
          •  Major Sources
             >   Compliance date
                    Existing stationary RICE greater than 500 brake horsepower
                    (HP) located at a major source of HAP emissions - comply by
                    June 15,2007.
                    New or reconstructed stationary RICE greater than 500 brake
                    HP located at a major source of HAP emissions which started
                    up before August 16, 2004 - comply by August 16, 2004.
                 °   New or reconstructed stationary RICE greater than 500 brake
                    HP located at a major source of HAP emissions which started
                    up after August 16, 2004 - comply upon start up.
                 °   New or reconstructed stationary RICE less than or equal to 500
                    brake  HP located at a major source of HAP emissions, which
                    started up before January  18, 2008 - comply no later than
                    January 18,2008.
                 °   New or reconstructed stationary RICE less than or equal to 500
                    brake  HP located at a major source of HAP emissions, which
                    started up after January 18, 2008 - comply upon start up.
          •  Area (not major) Source
             >   Compliance date
                 °   New or reconstructed stationary RICE located at an area source
                    of HAP emissions which started up before January 18, 2008 -
                    comply by January 18, 2008
                 °   New or reconstructed stationary RICE located at an area source
                    of HAP emissions which started up after January 18, 2008 -
                    comply upon start up

          Subpart DDDDD -  Industrial, Commercial, and Institutional Boilers
                              and Process Heaters
          •  This rule was vacated on June 8, 2007, by the U.S. Court of Appeals
             for the District of Columbia.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                             A BIODIESEL PLANT?
                             CHAPTER 1 - PAGE 24

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                                 Environmental Laws Applicable to Construction and
                                       Operation of Biodiesel Production Facilities
                                    U.S. Environmental Protection Agency Region 7
   It is essential for a facility to be aware that MACT standards might apply to their
   plant prior to construction. Facility operators who construct after a rule is
   proposed that will apply to the facility must be in compliance with that rule by the
   time they begin operation of the plant.
    Risk Management Program Considerations
    The Risk Management Program is a requirement of 40 CFR Part 68 under the
    Clean Air Act Section 112(r). The purpose of this program is to prevent
    catastrophic accidents involving extremely hazardous chemicals.  Consideration
    of these regulations during the planning and design of a biodiesel plant could save
    the facility from costly after-construction retrofits.  See Chapter 2, Page 31, for
    more information about the Risk Management Program.
             Under the Clean Air Act Section 112(r)(1), facilities,
           including BIODIESEL PRODUCTION FACILITIES of any
           size, have a GENERAL DUTY "to prevent releases, and
           to minimize the consequences of accidental releases
           which do occur."  Implementing "BEST PRACTICES"
                   helps facilities to comply with this law.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                            A BIODIESEL PLANT?
                            CHAPTER 1 - PAGE 25

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                                     Environmental Laws Applicable to Construction and
                                            Operation of Biodiesel Production Facilities
                                        U.S. Environmental Protection Agency Region 7
1.5    Resource Conservation and Recovery Act
       Section 3005 of the Resource Conservation
       and Recovery Act (RCRA) requires facilities
       that treat, store, or dispose hazardous waste
       to obtain an operating permit from the state
       agency or EPA. Recognizing this could be a
       long and costly effort for facilities that want
       only to properly manage their own hazardous
       waste, the EPA wrote regulations for
       hazardous waste generators that would
       exempt them from the permitting
       requirements yet ensure proper disposition of
       the hazardous wastes. These regulations,
       found at 40 CFR 262.34, place certain
       restrictions on the hazardous waste generator
       yet allow specific on site management of the
       hazardous waste. Compliance with the
       requirements of Section 262.34 allows
       facilities to safely manage their hazardous
       waste without obtaining a permit. Violating
CHECK THE REGULATIONS TO SEE IF
A PERMIT IS REQUIRED FOR THE
MANAGEMENT OF HAZARDOUS
WASTE AT YOUR FACILITY
      these standards is equivalent to managing hazardous waste without a permit.

      These exemptions allow facilities to treat hazardous waste in limited
      circumstances and accumulate hazardous wastes for specific reasonable periods
      prior to shipping off site to a permitted treatment,  storage and disposal facility
      (TSDF). Disposal remains limited to a permitted TSDF.

      In addition to the exemptions, a facility that will generate (or accumulate in
      Missouri) hazardous waste in quantities greater than 100 kg in any calendar
      month (25 kg per month in Kansas) must notify the state and obtain a generator
      identification number. In the Region 7 State of Iowa, generators must contact the
      EPA rather than the state. The ID number will begin with the state abbreviation
      followed by a letter or numeral and then  nine numerals; for example
      NED123456789. Such notification may  be accomplished by submitting EPA
      Form 8700-12, Notification of Regulated Waste Activity. This form is available
      on the Internet at
      www. epa. gov/osw/inforesources/data/form8 700/forms. htm.

      The hazardous waste generator regulations are discussed in greater detail in
      Chapter 2, Section 2.3.
   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                                A BIODIESEL PLANT?
                                CHAPTER 1 - PAGE 26

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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7
1.6    Pollution Prevention Act

       Pollution prevention is the practice of eliminating or reducing waste at its source.
       Literally, the effort is to stop something from becoming waste in the first place.
       Pollution prevention includes these practices:
              Modify production processes
              Promote the use of non-toxic or less-toxic
              substances
              Implement conservation techniques; and
              Re-use materials rather than putting them into the
              waste stream
                                                                   LOGO FOR ERA'S
                                                                   POLLUTION
                                                                   PREVENTION
                                                                   PROGRAM
       The pollution prevention website,  http ://www. epa.gov/p2/ , identifies resources
       that will enable a business to strengthen the bottom line - producing better
       products and increasing profits.
                              Pollution Prevention On-Line
                                   http://www.epa.gov/p2/
          Where you live - Regional and state contacts for information and assistance
          Grants and funding - Funds given to states and tribes that in turn provide support
            to local businesses

          Laws and policies - Explanation of the Pollution Prevention Act of 1990 with links
            to supporting policies

          Partnerships - EPA's voluntary programs that promote sustainable business
            practices, cleaner technologies/processes and safer products

          Technical Assistance - Services, case studies and technical support that helps
            businesses enhance their pollution prevention programs

          Tools - Databases, case studies measuring results and on-line calculators

          Publications - Sources for fact sheets, case studies and activities
   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                                   A BIODIESEL PLANT?
                                   CHAPTER 1 - PAGE 27

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
    Pollution Prevention Opportunities
    A pollution prevention program includes a systematic process that identifies ways
    to reduce or eliminate waste. The four process phases are:

       1.  Plan and Organize
       2.  Assess Focus                          	          	
                                                                 nand
       3.  Analyze Feasibility, and
       4.  Implement

    The first phase is plan and
    organize. This includes the
    careful review of a business'
    operations and  non-product.
    The output of this phase is the
    selection of a particular unit
    operation or waste stream for
    further analysis.

    The second phase is assess focus. During this phase, a number of options with the
    potential to minimize the waste are developed and screened. The output from this
    phase is  specific activities for further analysis.

    Technical and financial considerations are emphasized during the feasibility
    phase. The most promising options are selected for the final implementation
    phase.
    Pollution Prevention Insights and Best Practices
    EPA Region 7 tasked the expert researchers at the Pollution Prevention Resource
    Information Center (http://www.P2RIC.org ) to provide updates on the science
    and best practices of biofuels production. Findings are summarized in Appendix
    G, and are intended to assist businesses with pollution prevention strategies.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                              A BIODIESEL PLANT?
                              CHAPTER 1 - PAGE 28

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7
    More Pollution Prevention Information
    The EPA's "Facility Pollution Prevention Guide" (publication number
    EPA/600/R-92/088) contains step-by-step directions and pollution prevention
    assessment forms to help businesses with this entire process.
                          Lnlac Krs
                              ra PiKlcn
era f FHSSW srr.
              ElVWICC.fi .IJ.vil
                                        'ins? rglT, CC :J1
                          Facility Pollution
                          Prevention Guide
    This guide is available on-line at http://www.p2pays.org/ref/01/00370.pdf. The
    P2Pays website is maintained by the North Carolina Department of Environment
    and Natural Resources.
CHAPTER 1 -WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                             A BIODIESEL PLANT?
                             CHAPTER 1 - PAGE 29

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                                     Environmental Laws Applicable to Construction and
                                           Operation of Biodiesel Production Facilities
                                       U.S. Environmental Protection Agency Region 7
1.7   Toxic Substances Control Act

      The Toxic Substances Control Act (TSCA), enacted by Congress in 1976, gives
      EPA broad authority to identify and control chemical substances that may pose a
      threat to human health or the environment. EPA's New Chemicals Program,
      located in the Office of Pollution Prevention and Toxics, was established to help
      manage the potential risk from chemical substances [including genetically
      modified (intergeneric) microorganisms] new to the marketplace, and addresses
      this mandate under Section 5 of TSCA.

      Under TSCA, EPA classifies chemical substances as being either "existing" or
      "new."  To determine if a substance is a "new" chemical, consult EPA's
      Nonconfidential TSCA Chemical Substance Inventory — commonly referred to as
      the Inventory, which lists "existing" substances.  Potential submitters are advised
      to submit a bona fide notice of intent to manufacture or import a chemical
      substance to the Agency to determine if the chemical is listed on the confidential
      TSCA Inventory.
      Anyone who plans to manufacture or import a new chemical substance for a non-
      exempt commercial purpose is required by Section 5 of TSCA to provide EPA
      with notice before initiating the activity. This premanufacture notice, or PMN,
      must be submitted at least 90 days prior to the manufacture or import of the
      chemical.
   CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                                A BIODIESEL PLANT?
                                CHAPTER 1 - PAGE 30

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
    Some new chemical substances are not subject to PMN reporting. These
    substances are either (1) excluded from TSCA reporting or (2) exempt from all or
    part of PMN reporting because EPA has determined that they do not warrant
                                              review or require only a short
                                              review. EPA does not review new
                                              substances in the following
                                              product categories, which are
                                              excluded from TSCA authority at
                                              Section 3(2)(B) of the Toxic
                                              Substances Control Act: tobacco
                                              and certain tobacco products,
                                              nuclear materials, munitions,
                                              foods, food additives, drugs,
                                              cosmetics,  and substances used
                                              solely as pesticides. These
                                              substances fall under the
                                              jurisdiction of other federal laws
                                              and are reviewed by other federal
                                              programs.  Substances used solely
                                              as pesticides are reviewed by a
                                              separate EPA Pesticides Program.

    In addition, the following are excluded from PMN reporting under certain
    conditions: naturally-occurring materials, products of incidental reactions,
    products of end-use reactions, mixtures (but not mixture components), impurities,
    byproducts, substances manufactured solely for export, nonisolated intermediates,
    and substances formed during the manufacture of an article. See 40 CFR  Section
    Section 710.4(b) and 720.30(a)-(h)  for more information about exclusions from
    PMN reporting.

    EPA has limited or no reporting requirements for new chemical substances in the
    following cases: low volumes (less  than 10,000 kilograms per year), low releases
    and exposures, test marketing, polymers, research and development. See
    http://www.epa.gov/oppt/newchems/ for more information on these exemptions
    and on the TSCA new chemicals process, including the TSCA Inventory and
    whether a notice is required.

    Naturally occurring chemical substances are implicitly included on the TSCA
    Inventory. Any chemical substance which is naturally occurring and which is
    unprocessed, processed only by 1) manual,  mechanical, or gravitational means, 2)
    dissolution in water, 3) flotation, or 4) heating solely to remove water, or which is
    extracted from air by any means, will automatically be included in the Inventory.
    Examples of such substances are raw agricultural commodities; water, air, natural
    gas, and crude oil; and rocks, ores,  and minerals.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                              A BIODIESEL PLANT?
                              CHAPTER 1 - PAGE 31

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7
    New Genetically Engineered Microbes
    Under a 1986 intergovernmental policy statement, intergeneric microorganisms
    are considered new chemicals under TSCA Section 5. A 1997 biotechnology rule
    sets forth the manner in which the Agency reviews and regulates the use of
    intergeneric microorganisms in commerce, or commercial research.
    Microorganisms subject to this rule are "new" microorganisms used commercially
    for such purposes as production of industrial enzymes and other specialty
    chemicals; agricultural practices such as biofertilizers, and breakdown of chemical
    pollutants in the environment.

    The 1997  rule continues the interpretation of "new" microorganism first put forth
    by EPA in 1986. "New" microorganisms are those microorganisms formed by
    combining genetic
    material from organisms
    in different genera
    (intergeneric). A genus
    (pi. genera) is a level in a
    classification system
    based on the relatedness
    of organisms. EPA
    believes that intergeneric
    microorganisms have a
    sufficiently high
    likelihood of expressing
    new traits or new
    combinations of traits to
    be termed "new" and
    warrant review.
    Microorganisms that are
    not intergeneric would
    not be "new", and thus
    would not be subj ect to    ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^™
    reporting under Section 5
    of TSCA.   These regulations create a reporting vehicle specifically designed for
    microorganisms, the Microbial Commercial Activity Notice (MCAN).  Like the
    PMN, persons intending to use intergeneric microorganisms for commercial
    purposes in the United States would submit an MCAN to EPA at least 90 days
    before such use. EPA has 90 days to review the submission in order to determine
    whether the intergeneric microorganism may present an unreasonable risk to
    human health or the environment.
CHAPTER 1 - WHAT ENVIRONMENTAL LAWS APPLY WHEN I'M PLANNING TO BUILD OR MODIFY
                             A BIODIESEL PLANT?
                             CHAPTER 1 - PAGE 32

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How Biodiesels Fit under TSCA

Biodiesels often vary with the source, and most biodiesels are processed in a way
that they do not fit the "naturally occurring" criterion of the TSCA Inventory.
Some biodiesels will be made using techniques, such as metabolic engineering,
that require the use of intergeneric microbes, thus making the microbes subject to
TSCA.  Biodiesels generally would fit a classification called UVCB, or
"Unknown or Variable compositions, Complex reaction products and Biological
materials."

Substances on the TSCA Inventory are divided into two classes for ease of
identification:

   •  Class 1 substances are those single compounds composed of molecules
       with particular atoms arranged in a definite, known structure. Examples
       of Class 1 substances include: acetone, iron, benzene and
       dimethylmercury. These substances have discrete molecular formulas and
       fully-defined structural diagrams

   •  Many commercial substances that are subject to TSCA are not Class 1
       substances. They may have unknown or variable compositions or be
       composed of a complex combination of different molecules. These are
       designated Class 2 substances.

       Biodiesels fit into a subgroup of Class 2 substances, called UVCB.  The
       UVCBs include substances that have no definite molecular formula
       representations and have either partial/indefinite structural diagrams or no
       structural diagrams.  Each name for a UVCB substance includes more
       than one molecular entity: as such, each UVCB can be considered to be a
       category of molecules, often closely related.

See http://www.epa.gov/opptintr/newchems/pubs/invntory.htm for more
information on the TSCA Inventory.

See http://www.epa.gov/oppt/biotech/index.htm for more information on the
TSCA Biotechnology Program, and also  "Microbial Products of Biotechnology;
Final Regulation Under the Toxic Substances Control Act," Federal Register:
April 11, 1997 (Volume 62, Number 70) pp. 17909-17958.

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                 CHAPTER 2

        WHAT ENVIRONMENTAL LAWS
           APPLY TO OPERATING A
              BIODIESEL PLANT?

         This chapter discusses environmental laws and
        regulations that might apply to the operation of a
               biodiesel production facility.

                                                                    I
   Photo courtesy of Healy Biodiesel
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                                      Environmental Laws Applicable to Construction and
                                             Operation of Biodiesel Production Facilities
                                        U.S. Environmental Protection Agency Region 7
2.1    Clean Water Act
       A biodiesel production facility typically uses water for cooling and for washing
       the biodiesel product to remove impurities.  Some small biodiesel operators may
       use resin instead of water to remove impurities, discussed in Pollution Prevention
       Appendix G of this manual. Those facilities using water will generate
       wastewater, which can include cooling tower blowdown, boiler blowdown, and
       water softener discharge. These wastewater streams are not concentrated wastes.
       The washwater contains glycerin, methanol, unreacted feed oils, and some
       biodiesel. The washwater is a high strength waste.

       In addition, stormwater runoff from the facility may be contaminated from
       precipitation (rain or snow) coming in contact with facility operations and
       requires adequate control and management.
       Wastewater Discharge Permits
       Wastewater from a biodiesel facility can be disposed in various ways. The
       method of disposal determines what kind of permit is needed and what permitting
       authority will issue it. In general, there are three alternatives for the disposal of
       wastewater:

          •  Direct discharge to a receiving stream
          •  Discharge to a municipal wastewater treatment system
          •  Land application
       Permits for Disposal Directly to a Water Body
       Any discharge directly into a water body—for  example, a stream, river, or lake;
       or by conveyance by a pipe or culvert to a water body, must be permitted prior to
       discharge.  In Region 7, these permits are issued by the state in which the
                                         biodiesel facility will be located under the
                                         National Pollutant Discharge Elimination
                                         System (NPDES), the federal water
                                         pollution control program created by the
                                         Clean Water Act.
                                         An NPDES permit regulates the amount of
                                         pollutants that can be discharged.  The
                                         permit writer will establish limits in the
                                         permit that protect the water quality of the
                                         receiving water body. In addition to
                                         numeric effluent limitations, NPDES
DIRECT DISCHARGE OF WASTE INTO A
SURFACE WATER BODY CONTRIBUTES
TO WATER POLLUTION
   CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                               CHAPTER 2 - PAGE 2

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

   permits will include monitoring, reporting, and record keeping requirements.
   Permits are required whether or not on-site treatment occurs.

   To receive an NPDES permit, a written application must be made with the
   respective state agency 180 days prior to commencing discharge. The application
   will consist of multiple forms covering different aspects of the discharge.  In
   general, the application forms will include:

       •  General Information
       •  Existing Industrial Wastewater
      •  New Source and New Discharger Industrial Wastewater
       •  Non-Process Wastewater only
       •  Stormwater Discharges Associated with Industrial Activity

   For further information, refer to the state contact information in  Appendix A
   under CWA National Pollutant Discharge Elimination System (NPDES) Permits.
   Permits to Discharge to a Municipal Wastewater Treatment System

   Most of the larger cities in Region 7  (Iowa, Kansas, Missouri, and Nebraska)
   implement an EPA or state-approved pretreatment program to prevent wastewater
   discharges from having a deleterious affect on their treatment plant, collection
   system, and the water body into which they
   discharge. Cities with pretreatment programs
   issue permits to significant industrial users,
   which are those facilities that discharge a
   minimum of 25,000 gallons per day of
   wastewater, 5% of the receiving wastewater
   treatment plant's capacity, or have been
   determined by the city to have significant
   potential to affect their plant and its
   operations. The city will require a permit
   application be filed with the city pretreatment
   coordinator prior to discharge. The amount of
   time required for the permit application to be
   filed prior to discharge can vary but may be as
   long as 180 days.  The pretreatment permit
   will contain numeric limits based on local
   treatment plant capabilities and environmental
   conditions.  In addition, the permit will also
   contain monitoring, reporting, and record
   keeping requirements.
DETERMINE WHETHER
PRETREATMENT PERMIT
REQUIREMENTS APPLY TO YOUR
FACILITY
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                            CHAPTER 2 - PAGE 3

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7
   To determine if your city has a pretreatment program, either contact the city's
   Public Works Department or contact the state pretreatment coordinator listed in
   Appendix A of this document. For discharges to cities that are too small to
   implement a pretreatment program, the state is the permitting authority.
   Depending on the state in which the facility is located, you may be required to
   obtain a discharge permit or enter into a treatment agreement with the
   municipality receiving the wastewater.  To determine if you will be required to
   apply for a permit, contact the state pretreatment coordinator listed in Appendix A
   under CWA Pretreatment Program.

   Biodiesel washwater and crude glycerin (with or without methanol recovery) have
   a very high Biochemical Oxygen Demand (BOD) and are considered a high
   strength waste if discharged to a municipal treatment plant. As an example,
   normal household wastewater has a BOD of 200 mg/L. Washwater containing
   small amounts of glycerin and methanol can have a BOD of 10-15,000 mg/L.
   Pure glycerin and methanol have a BOD of about 1,000,000  mg/L. Discharge of
   these wastes to a treatment plant with inadequate treatment capacity can crash the
   treatment process so that an entire community's waste goes untreated.  Glycerin
   and methanol are highly biodegradable and, if properly equalized and loaded to a
   large enough plant with enough organic capacity, can be a treatable waste.

   Most methanol left over from the biodiesel process is in the crude glycerin. EPA
   strongly encourages the recovery of methanol and the beneficial use of crude
   glycerin from biodiesel production. Regardless  of whether methanol is recovered,
   the producer must make a hazardous waste determination on the waste glycerin.
   If methanol is not recovered from the glycerin, then the producer should likely
   make a positive hazardous waste determination prior to disposal since the flash
   point of the mixture is likely less than 140°F.  See the hazardous waste discussion
   on Chapter 2, Page 17, for more  information.
   Permits for Land Application for Wastewater Disposal
   There are no federal regulations that
   apply to wastewater that is properly
   disposed by land application.
   However, land application of
   wastewater may be covered by an
   NPDES permit (stormwater or non-
   stormwater) where it is determined
   that pollutants run off the application
   site to a water of the U.S. In Region
   7, states administer programs that       CHECK WITH YOUR STATE BEFORE APPLYING
   establish proper land application         WASTEWATER TO LAND
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL  PLANT?
                            CHAPTER 2 - PAGE 4

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

   procedures to ensure that wastewater is applied at agronomic rates, which are
   rates that plants assimilate the nutrients in the wastewater without pollutant loss
   through runoff.  For more information about land application, contact the state
   officials that are listed in Appendix A under CWA National Pollutant Discharge
   Elimination System (NPDES) Permits. Land application of a hazardous waste is
   prohibited unless that waste water is discharged pursuant to a Clean Water Act
   permit.  In addition, land application of crude glycerin (as opposed to wastewater)
   is environmentally risky.
           See Appendix B of this document for more
            discussion of land application of glycerin.
   Industrial Stormwater Permits
   Industrial activity, by its very nature, can create pollution problems if not
   controlled.  Therefore, industrial facilities must obtain stormwater permits during
   plant operation in addition to construction permits described in Chapter 1,
   Section 1.2.
                                         EPA's NPDES regulations require that
                                         a stormwater permit be obtained for
                                         discharges to waters of the United
                                         States from certain industrial activities
                                         including biodiesel manufacturing.
                                         These stormwater discharges may be
                                         covered under the NPDES permit
                                         issued for controlling process and
                                         other plant discharges, or they may be
                                         covered by a separate stormwater-only
                                         NPDES permit.  Stormwater-only
                                         discharges are typically covered under
                                         a general permit issued by the state
                                         environmental department.
BEFORE BEGINNING CONSTRUCTION, CHECK
WITH YOUR STATE ABOUT STORMWATER
PERMIT REQUIREMENTS
   Similar to the stormwater construction permit, industrial stormwater general
   permits require submission of a simplified application, for example, a Notice of
   Intent. These permits also require development and implementation of a plan,
   often called a stormwater pollution prevention plan, to control discharges of
   pollutants from the facility during operation.  In some instances, these general
   permits may include numeric effluent limitations and monitoring and reporting
   requirements. Stormwater controls are needed for areas of the facility exposed to
   precipitation, such as industrial plant yards, material and waste handling, storage
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                            CHAPTER 2 - PAGE 5

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7

   areas, shipping and receiving areas, and areas of the site where past
   materials/residuals still exist.

   Permit application due dates vary by state in advance of commencement of
   discharge from these industrial activities. Individual stormwater applications are
   due at least 180 days prior to commencement of a stormwater discharge
   associated with industrial activity. The state and EPA Regional contacts for
   industrial storm water permitting are listed in Appendix A of this document.
   Spill Prevention, Control and Countermeasure Regulations
   The purpose of the Spill Prevention, Control and Countermeasure regulation is to
   prevent discharges of oil into navigable waters or adjoining shorelines. The
   regulation can be found at 40 CFR Part 112 and is implemented by the EPA.
                              A biodiesel facility is subject to this regulation if:

                              • It is non-transportation related
                              • It has a total above-ground oil storage capacity
                                greater than 1,320 gallons or a completely buried
                                oil storage capacity greater than 42,000 gallons;
                                and
                              • There is a reasonable expectation of an oil
                                discharge into or upon navigable waters of the
                                U.S. or adjoining shorelines.
      DISCHARGED OIL INTO
      NAVIGABLE WATERS
   When calculating oil storage capacity, the facility is required to include:
       •  Storage capacity for oil of any kind in any form as defined in 40 CFR
          112.2.  This includes oils such as soybean oil, biodiesel, diesel, and animal
          fats.
       •  Oil storage and other oil-filled equipment, such as oil-filled transformers

   When calculating oil storage capacity, the facility should not include:

       •  Containers with a capacity of less than 55 gallons
       •  Completely buried tanks that are subject to all the technical requirements
          of the Underground Storage Tank Regulation (40 CFR Part 280), or
          technical requirements of a state underground storage tank program
          approved under 40 CFR Part 281
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    •  Containers that are permanently closed, as defined in 40 CFR 112.2
    •  Parts of the facility used exclusively for wastewater treatment and not
       used to satisfy any requirements of 40 CFR Part 112; or
    •  Motive power containers, as defined in 40 CFT 112.2

A "reasonable expectation" that the facility could discharge oil into or upon
navigable waters is based upon the location of the biodiesel plant. The plant's
location relative to streams, ponds, ditches, storm or sanitary sewers, wetlands,
mud flats, sand flats,  or rivers should be considered. The distance to navigable
waters, volume of materials stored, worst-case weather conditions, drainage
patterns, land contours, soil conditions, etc., must be taken into account.  Man-
made features such as dikes, equipment or other structures which may serve to
restrain, hinder, contain, or prevent an oil discharge may NOT be considered in
the "reasonable expectation"  determination [40 CFR 112.1(d)(l)(i).]

Facilities that are subject to the
oil spill prevention regulation
must prepare  and implement a
spill prevention plan. The
owner or operator of a facility
existing on or before  August
16, 2002, must maintain and
implement the current plan and
amend and implement a plan
revised to meet the 2002 rule
amendments on or before July
1,2009.  The owner or
operator of a facility that
became operational after
August 16, 2002, must prepare
and implement a plan on or
before July 1, 2009, or before
beginning operations, whichever is later.

A facility that transfers oil over water, to or from vessels, and has a total oil
storage capacity of 42,000 gallons  or more, and a facility that has a total  storage
capacity of 1 million  gallons or more, might be subject to the Facility Response
Plan requirements in  40 CFR 112,  Subpart D. For additional information about
Facility Response Plans, see Appendix F, "Do I need a Facility Response Plan?"
                                  OIL SHEEN ON NAVIGABLE WATERS
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   Reporting Oil Discharges

   Oil discharges must be "immediately" reported to the National Response Center if
   they are in a quantity that "may be harmful" according to the Clean Water Act
   Section 31 l(b)(4) and 40 CFR 110.6.
                                                         I
             OIL SHEEN ON NAVIGABLE WATERS
   An oil discharge must be reported to the National Response Center if
   it:

       •   Violates applicable water quality standards
       •   Causes a film or sheen upon or discoloration of the surface of the water or
          adjoining shoreline, or
       •   Causes a sludge or emulsion to be deposited beneath the surface of the
          water or upon adjoining shoreline
            National Response Center Phone Number
                            800-424-8802
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2.2    Safe Drinking Water Act
       The Public Water System Supervision Program

       If your facility uses its own water supply source to
       provide drinking water to 25 or more people per
       day for at least 60 days of the year, then you are
       required by the Public Water System Supervision
       Program to obtain permits for the
       construction/modification and operation of the
       water supply system.  Even if you only use your
       own water source for  supplying cooling or
       industrial processing water, there are several state-
       issued water-supply related permits that might be
       required.  These include:

          •  Water Use Permit - Withdrawing or using
             water from a surface or underground source     TO YOUR FACILITY
             typically requires a water use permit,
             depending on the volume of water that will be used daily.  Any increase in
             water withdrawal/use could require a modification to an existing water use
             permit.

          •  Well Construction  Permit - Drilling a new well or modifying an existing
             well requires a well  construction permit.

          •  Operator Certification - Every public water system must be operated by
             a trained and qualified operator who is responsible for the quality of the
             water and meeting the regulatory requirements.  States have programs for
             training and certifying operators at a  level appropriate to the level of water
             treatment at the facility.  It is the responsibility of the water system owner
             to have a certified operator in charge.

          •  Routine testing  - Your drinking water must be tested for compliance with
             all the federal  and state drinking water standards. The  cost of sampling
             and analysis is the responsibility of the water system owner. Standards are
             set for microbiological contaminants, man-made chemicals and pesticides,
             naturally-occurring inorganics, and contamination caused by human
             activity,  such as  lead and  nitrates.  There  are also requirements for
             operational testing, record-keeping and reporting, correction of sanitary
             deficiencies, and notification of the public when problems occur.

       It is important that facilities planning to develop  their own water supply or modify
       their existing source(s) first check with the state environmental, health or natural
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   resources office listed in the public water system supervision section of Appendix
   A to ensure that all of the necessary permits are in place before proceeding.

   If your facility is using water from an existing water supply system such as a
   municipal water supply for your drinking water source, then the Public Water
   System Supervision Program does not apply. However, if you also plan to use
   this existing water supply as the source of cooling or industrial processing water,
   you should check with the system operator to make sure the system can provide a
   sufficient quantity of water for your needs. This is important for industries which
   need large quantities of water for manufacturing or processing.
   The Underground Injection Control Program

   The Underground Injection Control program regulates
   wells that are used by cities, agriculture, business and
   industry to inject fluids underground for disposal,
   hydrocarbon production and storage, or mineral
   recovery.  The program defines an injection well as any
   bored, drilled or driven shaft or dug hole, where the
   depth is greater than the largest surface dimension of
   the well and is used to discharge fluids underground or
   a subsurface fluid distribution system.  This definition
   covers a wide variety of injection practices that range
   from technically sophisticated and highly monitored
   wells that pump fluids into isolated formations up to
   two miles below the Earth's surface to  the far more
   numerous on-site drainage systems, such as septic
   systems, cesspools, and storm water wells which
   discharge fluids a few feet underground. The program
   requirements are designed to ensure that injected fluids
   stay within the wells and the intended injection zones
   and do not endanger underground drinking water
   sources. No injection is authorized without approval
   from the appropriate regulatory authority.

   Injection practices not regulated by the underground
   injection program include  individual residential waste
   disposal systems that inject ONLY sanitary waste and
   commercial waste  disposal systems that serve fewer
   than 20 persons that inject ONLY sanitary waste.

   A biodiesel plant is subject to the requirements of the
   underground injection program if:
              HIKG
           FORMAT! Ml
       HJUiRDLUS
     JiNDNDN-t-AitflQaUS
     INDUSTRIAL WASTES
UNDERGROUND INJECTION
IS REGULATED IN ORDER
TO PROTECT
UNDERGROUND DRINKING
WATER SOURCES
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          •  it is disposing of storm water, cooling water, industrial or other fluids
             into the subsurface via an injection well; or

          •  it has an on-site sanitary waste disposal system; for example, a septic
             system that serves or has the capacity to serve 20 or more people; or

          •  it has an on-site sanitary waste disposal system that is receiving other
             than a solely sanitary waste stream, regardless of its capacity; or

          •  it is undergoing a remediation process where fluids are being
             introduced into the subsurface via an injection well to facilitate or
             enhance the cleanup.

       Facilities that discharge fluids to  streams, ponds, lagoons, or treatment
       facilities are not subject to the provisions of the underground injection
       program but could be regulated by the Clean Water Act.

       It is important that facilities planning on using a new injection well or modifying
       an existing one check with the state environmental, health or natural resources
       office listed in the underground injection section of Appendix A to make sure that
       all of the necessary permits or approvals are in place before proceeding.
2.3    Resource Conservation  and Recovery Act - Solid and
       Hazardous Waste
       The three "Rs" of resource conservation are:
       Reduce, Reuse, and Recycle.  These are the most
       effective ways to not generate waste.  When a
       facility is unable to do one of those things, it
       generates solid waste that might be a hazardous
       waste.  Most biodiesel plants will probably generate
       some quantities of waste. Some of the waste will be
       considered a "solid waste" subject to Subtitle D of
       the Resource Conservation and Recovery Act
       (RCRA).  Such waste is regulated by the state and
       local authorities with jurisdiction over the facility.
       Some of the solid waste could be "hazardous waste"
       subject to Subtitle C of RCRA. Hazardous waste
       will be regulated by the same state authorities and
       the EPA as well.  In the states of Alaska and Iowa,
       only the EPA regulates hazardous waste.
EPA RECOMMENDS MINIMIZING
WASTE GENERATION BY
REDUCING, REUSING, AND
RECYCLING WASTE
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       Definition of Solid Waste
       The term "solid waste" is defined at 40 CFR 261.2(a)(l): "A solid waste is any
       discarded material that is not excluded by § 261.4(a) or that is not excluded by
       variance granted under §§ 260.30 and 260.31."  A solid waste can include solid
       materials, liquids, and contained gases. The definition of discarded material
       includes:

          •  Abandoned material  (including burned, disposed, or discarded materials)

          •  Recycled material (including accumulated, stored, or treated materials)1

          •  Inherently waste-like material (materials managed as wastes), and

          •  Military munitions, as defined

       If a material meets the above definition, it is a solid waste; but there are many
       exclusions from this definition in the regulations. To determine if a material is a
       solid waste, the generator of that material must depend upon the regulations and
       not just a summary such as this. We will not delve into all the possible exclusions,
       but will discuss the exclusions that are pertinent to each waste stream that EPA
       has this far observed at biodiesel production facilities.

       Solid wastes that are not "hazardous wastes" are regulated by state and local
       agencies. Each state has its  own regulations for solid waste disposal.
       Definition of Hazardous Waste

       In order for a material to be a "hazardous waste" it first must be a "solid waste."
       Once it meets the definition of a solid waste, the generating facility is obligated
       by 40 CFR 262.11 to determine if the waste is hazardous. If a solid waste is listed
       by EPA or exhibits one of four different defined characteristics (ignitable,
       corrosive, reactive, or toxic), it is a hazardous waste.  Each of the listed or
       characteristic hazardous wastes are identified with a waste code constituted by a
       letter followed by three numerals.
       Listed Hazardous Waste
       Listed wastes are wastes from generic industrial processes (F-listed), wastes from
       certain sectors of industry (K-listed), unused pure chemical products and
       formulations (U-listed), and acutely toxic unused pure chemical products and
       formulations (P-listed). Because these wastes are dangerous enough to warrant
       full Subtitle C regulation based on their origin, any waste fitting the narrative
       listing description is considered a listed hazardous waste.
'State agencies may regulate animal fats and used cooking oils and greases as solid waste. This could
affect the status of glycerin and biodiesel as solid wastes under state regulations. Contact your state solid
waste agency for more information.
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   There are three different criteria that EPA uses to decide whether or not to list a
   waste as hazardous. The three criteria are:
       •  The waste typically contains toxic chemicals at levels that could pose a
          threat to human health and the environment if improperly managed. Such
          wastes are known as toxic listed wastes.

       •  The waste contains such dangerous chemicals that it could pose a threat to
          human health and the  environment even when properly managed. These
          wastes are fatal to humans and animals even in  low doses. Such wastes are
          known as acute hazardous wastes.

       •  The waste typically exhibits one of the four characteristics of hazardous
          waste: ignitability, corrosivity, reactivity and toxicity.

   In addition, EPA may list a waste as hazardous if it has cause to believe that, for
   some other reason, the waste typically fits within the statutory definition of
   hazardous waste developed by Congress.

   Even if a waste is not listed, it can still be considered a hazardous waste if it has
   one of the four characteristics of being ignitable, corrosive, reactive, or toxic.
    Ignitable Hazardous Waste
    The ignitability characteristic identifies wastes that can readily catch fire and
    sustain combustion.  Many paints, cleaners, and other industrial wastes pose such
    a hazard. Liquid and nonliquid wastes are identified differently within the
    ignitability characteristic.

    Most ignitable wastes are liquid in physical form.  EPA selected a flash point test
    as the method for determining whether a liquid waste is sufficiently combustible
    to require regulation as hazardous. The flash point test determines the lowest
    temperature at which the fumes above a waste will ignite when exposed to flame.
    Liquid wastes with a flash point of less than 60°C  (140°F) in the specified closed-
    cup test are ignitable.

    Many wastes in solid or nonliquid physical form, like wood or paper, can also
    readily catch fire and sustain combustion, but EPA did not intend to regulate most
    of these nonliquid materials as ignitable wastes. A nonliquid waste is considered
    ignitable only if it can spontaneously combust or catch fire through friction or
    absorption of moisture under normal handling conditions and can burn  so
    vigorously that it creates a hazard. Unlike the specified flash point test for liquid
    wastes, the regulations do not require any specific  test methods to definitively
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   ascertain if solid materials will spontaneously combust. EPA guidance document
   SW-846 provides various test methods relative to solid waste issues. Test
   methods 1030 and 1050 are recommended to help facilities determine if a solid
   phase, solid waste is ignitable. These test methods can be found at
   http://www.epa.gov/epaoswer/hazwaste/test/l_series.htm.

   The October 20, 2003, Federal Register (68 FR 59940) provides questions for
   generators to consider when determining if their waste will spontaneously
   combust:

       1.  Have there been landfill or other fires attributable to disposal of the solid?

       2.  Have the solids been
          observed emitting
          smoke during any phase
          of waste management?

       3.  Have the solids been
          packaged or transported
          with a Department of
          Transportation (DOT)
          designation of
          pyrophoric or self-
          heating material?

       4.  Have the solids given a
          positive result in the
          DOT test for self-heating
          materials, 49 CFR
          173.125(c)?

       5.  Is there any information on an MSDS indicating the possibility of ignition
          due to friction, moisture absorption, or spontaneous ignition?

       6.  Have the solids ever been stored in special containers or under inert gas
          such as nitrogen?

       7.  Have the solids ever been stored in any other way so as to limit their
          exposure to the air, such as coating with oil or wetting with water?

   Item number  one above is sufficient by itself to indicate the material is a
   hazardous waste.
BIODIESEL FILTER MEDIA SPONTANEOUSLY
COMBUSTING
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   Certain compressed gases are also classified as ignitable. Finally, substances
   meeting the DOT's definition of oxidizer are classified as ignitable wastes.
   Ignitable wastes carry the waste code D001 and are among some of the most
   common hazardous wastes. The regulations describing the characteristic of
   ignitability are codified in 40 CFR 261.21.
    Corrosive Hazardous Waste
    The corrosivity characteristic identifies wastes that are acidic or alkaline (basic).
    Such wastes can readily corrode or dissolve flesh, metal, or other materials. They
    are also among some of the most common hazardous wastes. EPA uses two
    criteria to identify liquid and aqueous corrosive hazardous wastes. The first is a
                          pH test. Aqueous wastes with a pH greater than or equal
                          to 12.5, or less than or equal to 2, are corrosive.  A liquid
                          waste may also be  corrosive if it has the ability to
                          corrode steel under specific conditions.  Physically solid,
                          nonaqueous wastes are not evaluated for corrosivity.
                          Corrosive wastes carry the waste code D002. The
                          regulations describing the corrosivity characteristic are
                          found in 40 CFR 261.22.
    Reactive Hazardous Waste
    The reactivity characteristic identifies wastes that readily explode or undergo
    violent reactions or react to release toxic gases or fumes. In many cases, there is
    no reliable test method to evaluate a waste's potential to explode, react violently,
    or release toxic gas under common waste handling conditions. Therefore, EPA
    uses narrative criteria to define most reactive wastes.  The narrative criteria, along
    with knowledge or information about the waste properties, are used to classify
    waste as reactive.

    A waste is reactive if it meets any of the following criteria:
       •  It can explode or violently react when exposed to water or under normal
          handling conditions
       •  It can create toxic fumes or gases at hazardous levels when exposed to
          water, or under normal waste handling conditions
       •  It can explode if heated under confinement or exposed to a strong igniting
          source, or it meets the criteria for classification as an explosive under DOT
          rules
       •  It generates toxic levels of sulfide or cyanide gas when exposed to a pH
          range of 2 through 12.5.
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   Wastes exhibiting the characteristic of reactivity are assigned the waste code
   D003. The reactivity characteristic is described in the regulations in 40 CFR
   261.23.
   Toxic Hazardous Waste
   When hazardous waste is disposed in a land disposal unit, toxic compounds or
   elements can leach into underground drinking water supplies and expose users of
   the water to hazardous chemicals and constituents. EPA developed the toxicity
   characteristic (TC) to identify wastes likely to leach dangerous concentrations of
   toxic chemicals into ground water. The Toxicity Characteristic Leaching
   Procedure (TCLP) is used to determine if a waste will leach any of 40 different
   toxic chemicals in amounts above the specified regulatory levels. If the leachate
   sample contains a concentration above the regulatory limit for one of the specified
   chemicals, the waste exhibits the toxicity characteristic and carries the waste code
   associated with that compound or element.  The regulations describing the
   toxicity characteristic are codified in 40 CFR 261.24 and the TC regulatory levels
   appear in Table 1 of that same section.
   Typical Hazardous Wastes at a Biodiesel Production Facility
   The following materials at a biodiesel plant may be hazardous. Each plant is
   responsible for determining if each waste stream is hazardous and managing it
   appropriately if it is hazardous.
    Spent Filter Media
    Spent filter media such as
    diatomaceous earth, filter
    aid, resins and socks can be
    ignitable (D001). EPA has
    observed that spent filter
    media with high moisture
    content (from oil or
    biodiesel) can spontaneously
    combust.  It is the
    responsibility of the facility
    to operate their plant in a
    manner that will not
    generate ignitable waste
    filter media.  This could
    include recovering more
    liquids from the filter media
    or mixing absorbents with
    the filter media prior to the
SPENT FILTER MEDIA FROM A BIODIESEL PLANT
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   point of generation.  Treating a hazardous waste after it has been generated
   requires a RCRA permit.

   The facility should explore options to prevent generation of ignitable hazardous
   waste.  If the material is hazardous, the facility may manage the ignitable waste as
   a useful product and avoid RCRA regulation; but in order to maintain this
   exemption, the material may not be treated prior to use. Use as a fuel is not a
   legitimate use under the regulations unless the fuel is an actual product that results
   from the process.  The facility may also dispose the ignitable filter media as a
   hazardous waste at a permitted treatment, storage, or disposal facility. Be aware
   that if it is a hazardous waste, the Land Disposal Restrictions (LDR) for
   underlying hazardous constituents, such as methanol, must be addressed.  More
   on LDR on page 22 of this chapter.

   If the generator (facility) determines the waste filter media is not hazardous, then
   the facility may manage it as a solid waste. Most states will not allow facilities to
   dispose liquids in solid waste landfills.  The facility may use the paint filter test to
   determine if there  are free liquids present in the waste. If waste filter media fails
   the paint filter test, that is there are free liquids present, it is likely an ignitable
   hazardous waste. More on paint filter test specifications may be found in EPA
   publication SW-846.  Facilities are encouraged to  explore the beneficial uses of
   filter aid media as an alternative to disposal.

   Waste Methanol
   Waste methanol is ignitable (D001).  If the waste methanol is recycled into the
   process using a closed loop system, it is not a solid waste. If the waste methanol
   is collected in any way that is not in a closed loop, then it will be  a hazardous
   waste and must be managed as such until it is recycled into the process.  Once the
   facility  returns the waste methanol to the  system, it will no longer be designated a
   hazardous waste, but until that happens, it is a hazardous waste.  Any collection,
   storage, or management of used methanol outside  a closed loop system will be
   subject  to the hazardous waste regulations.  Therefore, it is advantageous for
   facilities to design and operate methanol recovery systems to avoid hazardous
   waste generation and disposal, which may include special storage and
   transportation requirements.

   Waste Glycerin
   Waste glycerin can be ignitable (D001) due to the low flashpoint  of the methanol
   component. EPA has observed that sometimes waste glycerin will contain
   sufficient quantities of unrecovered methanol to make the waste glycerin
   ignitable, and therefore considered to be hazardous. Further refining of the crude
   glycerin as a product, or sale of the glycerin as a product will remove the material
   from regulation under RCRA. If the waste glycerin has hazardous characteristics
   and it is used as a fuel, it must be managed as a hazardous waste.  The facility
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   should be aware if methanol levels in a glycerin product are high, because it will
   still be considered a hazardous material until the ignitable characteristic is
   addressed. Regardless of whether methanol is recovered, the producer must make
   a hazardous waste determination if the glycerin is disposed. Facilities benefit
   from producing high quality glycerin with non-hazardous characteristics for sale
   as feedstock for other industries.

                                              Waste glycerin can be corrosive
                                              (D002). If the waste glycerin
                                              contains sufficient quantities of
                                              catalyst, it can have a pH greater
                                              than or equal to 12.5, or less than
                                              or equal to 2. Even if water is not
                                              present, the waste glycerin would
                                              be considered corrosive if it fails
                                              Test Method 1110A for corroding
                                              steel. When making a hazardous
                                              waste determination for waste
     GLYCERIN CAN HAVE ECO-FRIENDLY USES        glycerin, the facility should check
                                              for ignitability and corrosivity.

   It should also be noted that glycerin has a very high biochemical oxygen demand.
   While this property does not make it a "hazardous waste," it does present a
   serious threat to streams and lakes if disposed upon the land or directly to waters.
   Management and beneficial uses of glycerin is discussed in greater detail in
   Appendix B of this manual.

   Spent or Unused Catalyst
   Catalysts (and catalyst neutralizers) used in biodiesel production are acidic or
   caustic and thus the waste is potentially corrosive (D002). Any  spent catalyst (or
   other waste material) with a pH greater than or equal to 12.5, or less than or equal
   to 2, is a hazardous waste.  Like waste methanol, waste catalyst is not subject to
   RCRA if it is returned to the process in a closed loop system, but it would be a
   hazardous waste outside a closed loop system until it was returned to the process.
   Corrosive hazardous wastes may be neutralized in a container or tank that
   complies with the RCRA container or tank standards.

   Waste Water
   Waste water disposed under the authority of a valid Clean Water Act (CWA)
   permit is not regulated under RCRA, but if waste water contains a listed
   hazardous waste or exhibits a hazardous characteristic, it must be managed as a
   hazardous waste until treated and/or disposed in the CWA permitted process.
   Biodiesel waste water could be hazardous if it has high or low pH from catalyst
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   disposed in the waste water, or if it contains high concentrations of methanol that
   would make it ignitable, or if it contains other listed or characteristic wastes.

   Spent or Unwanted Laboratory Chemicals
   A variety of chemicals are used in
   laboratories.  If these chemicals are
   listed as a hazardous waste or meet the
   definition of a characteristic waste,
   they are considered hazardous wastes
   when disposed.  Some unused
   chemicals destined for disposal may
   be P-listed, thus "acute hazardous
   wastes." When calculating monthly
   waste generation rates, one kilogram
   of P-listed  wastes generated during a
   month will qualify the facility as a
   large quantity generator with increased
   regulatory  requirements.
EPA CONTRACTOR ASSESSING LABORATORY
CHEMICALS
    Spent Parts Washing Solvents
    Many solvents are ignitable and/or F-listed. The generator should examine what
    solvents they use and consider using solvents that when spent do not meet the
    definition of hazardous waste.

    Aerosol Cans
    Aerosol cans are considered reactive hazardous wastes (D003) because they can
    explode. To properly handle aerosol cans so that they are not considered
    hazardous waste, the facility should employ a can puncturing device that will
    collect the contents of the cans.  The facility should then determine if the
    accumulated materials from the aerosol cans are hazardous.  The empty,
    punctured cans may then be recycled to recover the metal.
   Used Oil
   The EPA regulation 40 CFR Part 279
   address used oil separately from
   hazardous wastes.  Part 279 applies to
   used, petroleum-based oils and
   greases, but not used vegetable oils
   and animal fats.
                                          USED OIL MAY BE MANAGED SEPARATELY
                                          FROM HAZARDOUS WASTE
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

   Used oil may be managed as a hazardous waste, but the used oil regulations
   assume the material will be handled separately from the hazardous wastes and
   thus recycled. All used oil is assumed to fail the contaminant specifications listed
   in the regulation, unless  someone otherwise demonstrates that the used oil meets
   the specifications.  A facility may burn its own used oil and do-it-yourself used oil
   in an on-site space heater.  It may not burn used oil from other facilities or send its
   used oil to another facility to be burned unless the used oil burner is permitted to
   burn used oil or the used oil meets the specifications in 40 CFR 279.11. The
   regulations are written to encourage recycling used oil.

   Universal Waste Lamps
   Fluorescent lamps, chlorofluorocarbons,  and some other types of lamps contain
   mercury and may fail the TCLP test. The facility may manage its lamps as
   hazardous waste or it may follow the Universal Waste regulations at 40 CFR Part
                                  273.  The universal  waste regulations are
                                  designed to promote recycling by allowing  less
                                  strict regulation of the material. The lamps
                                  should be managed  in labeled, dated,  and closed
                                  containers that are structurally sound. The
                                  lamps are then sent  by approved transporters for
                                  recycling.

   Universal Waste Batteries
   Waste batteries may contain lead and other metals that would fail the TCLP test.
   There are universal waste regulations for batteries similar to the waste lamp
   regulation.

   Hazardous Waste Management (Permit Exemption)

   There would typically be no hazardous waste permitting requirements for a
   biodiesel plant that generates hazardous waste unless the facility violates the
   generator standards at 40 CFR
   262.34 or it treats, stores, or
   disposes hazardous waste.  These
   regulations provide exemption from
   permitting when the generator
   meets certain management
   requirements.  The largest potential
   hazardous waste streams from a
   biodiesel plant are waste methanol,
   waste glycerin, and waste filter
   media, such as socks or
   diatomaceous earth.


                                      USED FILTER SOCK CONTAINER
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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

   A hazardous waste generator must properly notify and obtain an identification
   number from the EPA or the applicable state environmental agency if the entire
   plant, including oil seed handling, extraction, and other processes contiguous to
   the biodiesel plant, generates hazardous wastes in quantities greater than 100 kg
   in any month.  Hazardous wastes must be properly managed according to 40 CFR
   Part 262 until disposed at a permitted treatment, storage, or disposal facility
   (TSDF). If your biodiesel facility plans to have hazardous waste transported to a
   TSDF, your facility must use a hazardous waste manifest with your EPA
   identification number to document the shipment. The transporter must also have
   an EPA identification number.

   Hazardous waste management requirements vary according to the amount of
   hazardous waste a plant generates in a given month. Facilities that generate less
   than 100 kg (220 pounds) of hazardous waste per month are called conditionally
   exempt small quantity generators (CESQG).  The requirements for a CESQG are
   minimal. Primary among the applicable requirements, the facility must make a
   hazardous waste determination for each waste stream at the point of generation.
   This requirement applies to all solid waste generators.  A CESQG must also
   ensure that its waste is disposed according to the regulations.
                                  A small quantity generator (SQG) generates
                                  more than 100 kg of total hazardous wastes in
                                  any month, but less than 1000 kg (2200
                                  pounds) and it accumulates at one time no
                                  more than 6000 kg (13,200 pounds) of all
                                  hazardous wastes. An SQG has more
                                  applicable hazardous waste management
                                  requirements than a CESQG but less than a
                                  large quantity generator (LQG). An LQG
                                  generates greater than 1000 kg of hazardous
                                  waste in one month.  The generation
                                  calculation for generator status is a cumulative
                                  total of all hazardous wastes generated during
                                  that month.  The EPA regulates generator
                                  management of hazardous waste at 40 CFR
                                  262.34. Compliance with this section of the
                                  regulation exempts the facility from the
                                  general permitting requirements for treating,
                                  storing, and disposing hazardous waste.
   Noncommercial hazardous waste generated by a homeowner is exempt from
   RCRA regulation, but the wise biodiesel hobbyist needs to find an
   environmentally sound method to dispose hazardous waste, such as a county or
   city household hazardous waste facility.
LABORATORY HAZARDOUS WASTE
SATELLITE ACCUMULATION AREA
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7

    Land Disposal Restrictions
    The Land Disposal Restrictions (LDR) program requires that hazardous wastes
    undergo fundamental physical or chemical changes so that they pose less of a
    threat to ground water, surface water, and air when disposed on land.  Every
    hazardous waste, except under certain circumstances, must meet a specific
    treatment standard before it may be disposed. Once a generator identifies its
    waste as hazardous (either listed, characteristic, or both), the waste is assigned a
    waste code. EPA establishes a treatment standard for the waste code thus making
    the waste "restricted" and subject to the LDR requirements. Handlers of
    restricted waste must manage it in accordance with all the LDR requirements and
    may not dispose it on the land until it meets all applicable treatment standards.

    The LDR requirements attach to a hazardous waste at its point of generation.  In
    other words, once a waste has been generated, identified, and assigned a waste
    code, it must be treated in accordance with LDR requirements before being
    disposed.  For purposes of the LDR program, a  generator of a listed hazardous
    waste must determine if the waste also exhibits  any hazardous waste
    characteristics. If it does, then the waste must be treated to meet both the listed
    and characteristic treatment standards before land disposal.

    Both listed and characteristic hazardous wastes  must meet LDR treatment
    standards before they are eligible for land disposal.  There are, however, some
    unique situations that arise when dealing with characteristic wastes under the
    LDR program. The treatment standards for most characteristic hazardous wastes
    entail rendering the waste nonhazardous, decharacterizing  the waste or removing
    the characteristic. However, some characteristic waste treatment standards  have
    additional requirements. The regulated community must examine these wastes
    for underlying hazardous constituents. These constituents  do not cause the  waste
    to exhibit a characteristic, but they can pose hazards nonetheless. The underlying
    hazardous constituents must be treated in order  to meet contaminant-specific
    levels referred to as the universal treatment standards (UTS). The UTS  are  listed
    in a table  at 40 CFR §268.48. This is why some characteristic wastes that no
    longer exhibit a characteristic must still be treated to meet  additional LDR
    requirements.

    Once such characteristic hazardous wastes have been decharacterized and treated
    for underlying constituents, they may be disposed in a nonhazardous waste
    landfill. For example, if waste filter media is treated to remove the characteristic
    of ignitability, it must also be treated to meet the UTS for methanol.  It is not
    permissible to dilute hazardous waste to circumvent proper treatment. Adding
    material to a waste to dilute it circumvents the intent of LDR because the total
    quantity of the underlying hazardous constituent would still enter the
    environment.
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7

   In order to properly track the hazardous waste that is generated, transported,
   treated, stored, and disposed, EPA imposes certain LDR notification, certification,
   and record keeping requirements on generators and treatment, storage, and
   disposal facilities (TSDFs). LDR notifications inform the next waste handler how
   the waste must be treated to meet the treatment standard or if it can be disposed
   without treatment. When wastes do not need to meet a treatment standard, or
   already meet the standard, EPA requires the handler to sign a statement certifying
   such a claim. Generators must send a notification with the initial shipment of
   every waste and keep a copy in their on-site files. If the waste, process, or
   receiving facility changes, another notification is required. Additional
   information about the LDR program can be found at
   www.epa.gov/epawaste/hazard/tsd/ldr.
   Hazardous Waste Summary
   It is important that biodiesel production facilities properly characterize, manage,
   and track each of their hazardous waste streams from the point of generation to
   the ultimate treatment, storage or disposal of the hazardous waste. RCRA places
   responsibility for a waste upon the generator "from cradle to grave." Even though
   the waste has been legally disposed at a permitted facility, the generator is still
   forever responsible for that waste.  So, the best way to manage hazardous waste is
   to never generate it. Find ways to reduce, reuse and recycle. For more
   information on generation of hazardous waste, please link to the following user-
   friendly generator tool at www.epa.gov/epawaste/hazard/downloads/tool.pdf
                THE MOST COST- EFFECTIVE OPTION FOR MANAGING
                HAZARDOUS WASTES FROM A BIODIESEL
                PRODUCTION FACILITY IS TO PREVENT GENERATING
                THE WASTE IN THE FIRST PLACE
   An excellent document that provides more detailed information about hazardous
   waste management is "Managing Your Hazardous Waste - A Guide for Small
   Businesses. EPA530-K-01-005." It is located at:
   www.epa.gov/epawaste/hazard/generation/sqg/handbook/kO 1005 .pdf
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7

   Underground Storage Tanks
   Biodiesel facilities may have underground storage tanks. Underground storage
   tanks are regulated to prevent their contents from entering the environment. The
   greatest potential hazard from a leaking underground storage tank is that the
   petroleum or other hazardous substance can seep into the soil and contaminate
   ground water, the source of drinking water for nearly half of all Americans. A
   leaking underground storage tank can also present other health and environmental
   risks, including the potential  for fire and explosion.
                                          An underground storage tank is a
                                          single tank or a combination of tanks,
                                          including underground pipes
                                          connected to them, used to contain an
                                          accumulation of regulated substances.
                                          The volume of the tank(s), including
                                          the volume of underground pipes
                                          connected to them, is 10 percent or
                                          more beneath the surface of the
                                          ground.
Photo Courtesv of Missouri DeDartment of Natural Resources
     INSTALLATION OF AN UNDERGROUND
     STORAGE TANK
   The full definition of underground storage tanks, including exemptions, can be
   found in 40 CFR 280.12.  The term "regulated substance" is defined in
   40 CFR 280.12.  It includes any substance defined in Section 101 of the
   Comprehensive Environmental Response, Compensation and Liability Act of
   1980 (CERCLA) and also petroleum, including crude oil or any fraction thereof
   that is liquid at standard conditions of temperature and pressure.  "Regulated
   substance" includes substances such as gasoline, diesel, fuel oils, petroleum
   solvents, and used oils. It does not include any substance regulated as a
   hazardous waste under subtitle C.

   Each of the four states in Region 7 is approved to implement underground storage
   tank programs except for underground storage tanks on Indian reservations. More
   information about state programs can be found on their Web sites, as listed in
   Appendix A.
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7

2.4   Renewable Fuel Standard  Program

      If your facility produces 10,000 gallons or more of renewable fuel per year, you
      must comply with the Renewable Fuel Standard (RFS) Program.

      You are required to:

          •  Register

          •  Generate Renewable Identification
            Numbers (RINs)

          •  Transfer RINs with fuel

          •  Provide Product Transfer Documents

          •  Follow Blending Requirements

          •  Follow Exporting Requirements
                                               A VARIETY OF FEEDSTOCK IS USED
                                               FOR PRODUCTION OF A RENEWABLE
          •  Follow Non-Road Use of Fuel         FUEL
            Requirements

          •  Attest Engagements

          •  Keep records for 5 years, and

          •  Report quarterly;  see http://epa.gov/otaq/regs/fuels/rfsforms.htm for
            forms.

      Some producers may have additional requirements, if they sell or export
      renewable fuel, or create  derived waste.

      Facilities producing less than 10,000 gallons of renewable fuel per year are not
      subject to RFS requirements but may voluntarily opt-in to those requirements.
                  REMEMBER TO SEND IN YOUR FFARS
                REGISTRATION BEFORE YOUR PLANT IS
                        READY FOR OPERATION.
                (See next section for more information on FFARS.)
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Registration
Before selling fuel, producers must register first with the Fuel and Fuel Additive
Registration System (FFARS) program, then the RFS program. The FFARS
program is completely separate from the RFS program, and each has its own
separate registration process. More information about FFARS may be found at
http://www.epa.gov/otaq/additive.htm. FFARS registration forms may be found
at http ://epa. gov/otaq/regs/fuel s/ffarsfrms. htm.

For the RFS program, biodiesel producers must register their company and each
facility at which they produce biodiesel [40 CFR 80.1150(b)]. The registration
forms can be found at http://www.epa.gov/otaq/regs/fuels/fuelsregistration.htm.

Biodiesel producers are required to fill out one copy of form number 3 520-20A
for the company and one copy of form number 3520-20B for each facility. On
form 3520-20A, biodiesel producers are  required to select "RFS" for question 7
and "RIN Generator" for question 8.  On form 3520-20B, biodiesel producers
need to select "RIN generator." After the forms are received, EPA will provide
the biodiesel producer with its Company and Facility IDs for the RFS program.
(Bear in mind that the registration numbers discussed above for FFARS are not
the appropriate registration numbers to be used in the RFS program and the
generation of RINs, as discussed below.)
RIN Generation

RINs refer to Renewable Identification Numbers. Producers and importers of
renewable fuel must generate RINs to represent all the renewable fuel they
produce or import.  The point in time when RINs must be generated is flexible,
but no later than when the renewable fuel is transferred to another party [40 CFR
80.1126(e)(2)].  Total number of "gallon-RINs" that can be generated is
determined from both the volume of fuel and its equivalence value.  For biodiesel,
the equivalence value is 1.5 [40 CFR 80.1115(b)(2)]. For other renewable fuels,
the equivalence value is set forth in the RFS regulations, and reflects the
difference in BTU value as compared to gasoline. For more information on the
structure of a RIN, see 40 CFR 80.1125.
Transfer RINs: Moving RINs With Fuel and Selling Biodiesel
All renewable producers/importers that sell only the fuel that they create or import
must transfer RINs with fuel to the next party at the equivalence value. For
biodiesel, that is 1.5 RIN per gallon sold to the next party.  RINs can only be
transferred to parties registered for the RFS program. Therefore, renewable
producers/importers that sell only the fuel they create or import can only sell to
registered parties [40 CFR 80.1128(a)(6)].

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7
   Renewable producers and importers that sell a volume of renewable fuel in
   addition to their own may sell up to 2.5 RINs to any party [40 CFR 80.1128(a)
   (4)]. RINs may only be sold to registered companies, but any company may
   purchase biodiesel without RINs.
   Product Transfer Documents
   All parties that transfer renewable fuel must follow the Product Transfer
   Document (PTD) regulations per 40 CFR 80.1153. Every product transfer
   document must have the following information:

       •  Name and address of the
          transferor and transferee
       •  The transferor's and
          transferee's company
          registration number
       •  The volume of fuel
          transferred
       •  The date of transfer
       •  A list of RINs assigned to
          the volume  [40 CFR
          80.1153(a)(5)]; alternatively,
          assigned RINs may be transferred on a separate document to the same
          party on the same day.  If a separate document is used to transfer the
          RINs, the PTD that transfers ownership of the fuel must state the number
          of "gallon-RINs" transferred and reference the document used to transfer
          the RINs.

   If no assigned RINs are being transferred with renewable fuel, the PTD which is
   used to transfer ownership of the fuel shall  state "No RINs Transferred."
DIESEL FUEL TRANSFER TANK
   Blending
   Blenders of renewable fuel that create motor vehicle fuel (for example, by
   blending biodiesel with diesel to produce B5 or BIO, or any blend B80 or below),
   must separate RINs associated with the volume of renewable fuel [40 CFR
   80.1129(b)(2), 80.1129(b)(5)]. It is unlawful to separate RINs on biodiesel blends
   above B80, including B99, except when the blend is going to be used directly in a
   motor vehicle engine as that blend [40 CFR 80.1129(b)(4)]. In addition,
   renewable fuel producers may, upon agreement with their customers, separate
   RINs from fuel in situations where customers are "splash blending."  Blenders of
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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

   renewable fuel with assigned RINs, must separate the RINs and change the first
   digit (K code) of the RINs from 1 to 2 during the compliance quarter when the
   blending took place and before transferring those RINs to another party.
   Exporting
   Any company that exports renewable fuel in its neat form or blended with
   gasoline or diesel outside of the lower 48 states [40 CFR 80.1126(a)] (and after
   January 1, 2007, Hawaii) has a Renewable Volume Obligation (RVO).  The RVO
   for exporters is determined by retiring RINs equal to the volume of fuel exported,
   times the equivalence value, plus any prior year deficit. A producer that exports
   renewable fuel must generate RINs for that volume, and upon export, separate
   those RINs [40 CFR 80.1129(b)(3)].  At the end of the compliance year, the
   exporter must determine its RVO [40 CFR 80.1130(b)]. In the event that an
   exporter does not have enough separated RINs to cover its RVO, it must acquire
   separated RINs to meet the RVO [40 CFR 80.1130(a)].
   Non-Road Use of Fuel

   EPA believes that most fuel that can be used as motor vehicle fuel, and which
   otherwise meets the definition of "renewable fuel" (such as biodiesel and
   ethanol), will ultimately be used as motor vehicle fuel.  Therefore, producers and
   importers of such products can assume that they meet the definition of "renewable
   fuel" and can assign RINs to them without tracking their ultimate use.

                                                  However, if fuel with
                                                  assigned RINs is actually
                                                  blended into gasoline or
                                                  diesel that is known to be
                                                  destined for use in a non-
                                                  road application, such as
                                                  agricultural equipment, the
                                                  presumption that led the fuel
                                                  producer/importer to assign
                                                  RINs to the product is no
                                                  longer valid. Such fuel
                                                  cannot be considered a motor
                                                  vehicle fuel and thus is not in
                                                  fact a "renewable fuel" that
   is valid for RFS compliance purposes. In such cases, the blender should treat the
   RINs associated with the blended fuel in the same way as for fuel with assigned
   RINs that is used in a heater or boiler.
IF RENEWABLE FUEL IS USED FOR NON-ROAD VEHICLES,
GENERATING A RIN IS NOT REQUIRED.
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                                 Environmental Laws Applicable to Construction and
                                        Operation of Biodiesel Production Facilities
                                    U.S. Environmental Protection Agency Region 7

   If a producer/importer is transferring a volume of fuel to a party and knows the
   fuel is going off-road, then the producer/importer should not generate RINs for
   that volume.
   Record Keeping Requirements
   Renewable producers and importers, obligated parties
   and owners of RINs who are neither renewable
   producers/importers nor obligated parties have
   several record keeping requirements.  For instance,
   40 CFR 80.1151(e) requires records to be kept for
   five years.
   Reporting
MANAGE RENEWABLE
FUEL RECORDS IN
ACCORDANCE WITH
REGULATIONS
   Renewable producers and importers are required to report on a quarterly basis to
   the EPA (40 CFR 80.1152). The reporting templates are located at:
   http://epa.gov/otaq/regs/fuels/rfsforms.htm. All renewable producers and
   importers are required to fill out three of these reports quarterly; RFS Activity
   Report (RFS0100), RFS RIN Transaction Report (RFS0200), and RFS RIN
   Generation Report (RFS0400).

   Exporters of renewable fuel and obligated parties must also use:
      •  The annual RFS Obligated Party Annual Compliance Report (RFS0300)
      •  RFS Activity Report (RFS0100)
      •  Two reports required quarterly.  One report for attached RINs and one
          report for separated RINs. Producers must indicate how many RINs they
          generated in the quarter and how many they transferred, in addition to any
          other RIN activities that apply.
      •  RFS RIN Transaction Report (RFS0200); one report submitted per
          transaction; and
      •  RFS RIN Generation Report (RFS0400); one report submitted per batch.
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                                 Environmental Laws Applicable to Construction and
                                        Operation of Biodiesel Production Facilities
                                    U.S. Environmental Protection Agency Region 7
      FILE QUARTERLY REPORTS ON-LINE
All reports must be submitted via EPA's
Central Data Exchange (CDX). CDX is
an online portal that encrypts and sends
reports to the EPA.  In order for
companies to use CDX they must register
users well in advance of the reporting
deadline.

CDX registration is based on individual
users rather than corporate accounts.
Responsible corporate officers of a
company may register themselves or
delegate the ability to submit reports to
another person. Responsible corporate
officers are still responsible for their
delegates' submissions.
   Attest Engagements
   All producers must perform an "attest engagement" of the reports submitted to
   EPA. The attest engagements must be performed by a Certified Public
   Accountant or Certified Internal Auditor per regulations, and they must mail a
   copy to the EPA.
          For more information about the Renewable Fuel
                   Standard Program, please visit

        http://epa.qov/otaq/renewablefuels/index.hti
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2.5    Clean Air Act
                                      Environmental Laws Applicable to Construction and
                                             Operation of Biodiesel Production Facilities
                                         U.S. Environmental Protection Agency Region 7
       Air Operating Permits
       A biodiesel plant might need to obtain
       an air permit for day-to-day facility
       operations.  There are two types of
       operating permits:

            1.  Maj or Source Title V Air
               Permits
            2.  Minor Source Air Permits

       The potential emissions from the
       plant will determine whether a facility
       will obtain a maj or or minor operating
       permit.
CHECK TO SEE IF AN AIR PERMIT IS
REQUIRED FOR YOUR FACILITY
       Major Source Title V Air Permits
       The federal operating permit program, known as the Title V program, was created
       by the Clean Air Act Amendments of 1990 and was designed to create a "one
       stop" permit.  The Title V operating permit compiles all of the applicable state
       and federal regulatory requirements, existing construction  permit provisions,
       record keeping, reporting, testing, and monitoring requirements into one permit.
       The intention behind listing everything in one permit is to  help facilities maintain
       compliance. It is common for a facility to have several construction permits for
       several pieces of equipment, and it is difficult to keep track of all of the
       requirements in each permit.  One permit with all of the facility's requirements is
       intended to make it easier to track the requirements.

       Public notification is also an important aspect of the operating permit program.
       The public is notified when an operating permit is proposed and is given the
       opportunity to comment during the 30-day public notice period.  This also gives
       the public an opportunity to learn about the effects the facility might have on the
       environment.

       Unlike a construction permit that must be obtained prior to construction and is
       valid for the entire life of the emission unit, an operating permit must be applied
       for within some  period (often 12 months) after the facility  begins operation. The
       operating permit is generally issued for a specific period of time (usually for five
       years) rather than the life of the operating unit.
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                               CHAPTER 2 - PAGE 31

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7

   A biodiesel plant would need to obtain a Title V operating permit if the plant has
   potential-to-emit quantities greater than 100 tons per year of any criteria pollutant
   or is a major source of hazardous air pollutants. (See Chapter 1, Page 14)

   Minor Source Air Permits
   A biodiesel  plant can limit the facility's potential to emit to less than the Clean
   Air Act major source thresholds by accepting operational limits in a minor source
   operating permit. However,  minor sources have less operational flexibility
   because they must keep their emissions below the major source threshold. Minor
   operating permits are not subject to review by EPA.
   Best Practices - Air Program
   In order to reduce emissions of volatile organic compounds (VOCs) and
   hazardous air pollutants, and to reduce safety risks, biodiesel plants should vent
   process streams to a control device such as a flare whenever possible. Methanol
                                          vapors are very flammable and are
                                          considered to be both a VOC as well
                                          as a hazardous air pollutant under the
                                          Clean Air Act.  It is recommended that
                                          at a minimum, process streams which
                                          contain methanol should be vented to
                                          a flare. Operators of storage tanks
                                          which have the potential to
                                          concentrate methanol vapors should
                                          take extra precautions to ensure that
                                          all manways are closed when not in
                                          use. In addition to reducing emissions
                                          of fugitive air emissions,  this will help
   reduce the risks of creating explosive vapors. When possible, such storage tanks
   should be vented to a process flare.

   Biodiesel plants  which process feedstocks such as soybean oil generated from a
   chemical extraction process may contain traces of n-hexane.  Under the Clean Air
   Act, hexane is considered to be a hazardous air pollutant.  Biodiesel plants need to
   account for their hexane emissions as part of their major source determination
   status under the Air Toxics Program. In a similar fashion, fugitive emissions of
   hazardous air pollutants, like methanol and hexane, including leaking process
   equipment need to be included in the major source determination. In addition,
   fugitive emissions of criteria pollutants,  like VOC from equipment leaks,
   particulate matter from haul roads, etc., need to be included in the major source
   determination under the New Source Review preconstruction permitting program
   was well as the Operating Permitting Program.
PROCESS STREAMS CONTAINING METHANOL
SHOULD BE VENTED TO A FLARE
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                            CHAPTER 2 - PAGE 32

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                                 Environmental Laws Applicable to Construction and
                                       Operation of Biodiesel Production Facilities
                                    U.S. Environmental Protection Agency Region 7

   Prevention Program Requirements
   Accident prevention is required by the Risk Management Program regulations,
   40 CFR Part 68 under the Clean Air Act Section 112(r). An owner or operator of
   a facility (also called a "stationary
   source") that has more than the threshold
   quantity of a regulated substance in a
   process is required to implement a risk
   management program. A risk
   management program includes a hazard
   assessment (i.e., a five-year accident
   history and analysis of worst-case and
   alternative release scenarios),
   development and implementation of an
   accident prevention program, and
   implementation of emergency response
   requirements.  A summary of this information is then compiled into a Risk
   Management Plan, or RMP, and provided to EPA.

   The purpose of the Risk Management Program is to prevent catastrophic
   accidents involving extremely hazardous substances. Explosions or other
   chemical accidents can occur at biodiesel production facilities.
                                   If you are not sure whether this rule
                                          applies to your facility,
                                                  call the
                                         EPA HOTLINE
                                                    at:
                                          (800) 424-9346

                                     (800) 553-7672  (TDD).
   If one or more processes in a biodiesel production facility are subject to this rule,
   they will probably need to develop an accident prevention program and address
   emergency response issues.  In order to develop the correct level of prevention
   program, facility personnel will need to determine whether it is subject to
   Program 1, Program 2, or Program 3.  Appendix E will help you determine your
   program level and corresponding responsibilities.
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                           CHAPTER 2 - PAGE 33

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                                     Environmental Laws Applicable to Construction and
                                            Operation of Biodiesel Production Facilities
                                        U.S. Environmental Protection Agency Region 7

2.6    Emergency Planning and Community Right-to-Know Act

       Planning Requirements
       Section 302 of the Emergency Planning and Community Right-to-Know Act
       requires facilities with regulated chemicals above threshold planning quantities to
       notify the state emergency response commission (SERC) and the local emergency
       planning committee (LEPC) within 60 days after they first receive a shipment or
       produce the substance on-site.

       Section 303 of the Emergency Planning and Community Right-to-Know Act
       requires local emergency planning committees (LEPCs) to prepare comprehensive
       emergency response plans. These plans should identify all facilities subject to
       compliance with this section, including biodiesel facilities. These plans should
       also describe emergency response procedures, training schedules, and practice
       schedules, among other requirements.
       Reporting Releases
       Section 304 of the Emergency Planning and Community Right-to-Know Act
       requires "regulated facilities" (facilities regulated under this Act) to report a
       release of an extremely hazardous substance. Biodiesel production facilities are
       subject to spill reporting provisions if they release more than a reportable quantity
       of an extremely hazardous chemical.  A list of extremely hazardous chemicals and
       their reportable quantities can be found at 40 CFR 302.4 and 355.  Two examples
       of chemicals that might be spilled or released from a biodiesel production facility
       are methanol and hexane. Spills of such chemicals must be reported when
       quantities exceed 5,000 pounds per pollutant in a 24-hour period.

       Initial notifications of a release can be made by
       telephone, radio or in person. Any person in
       charge is to immediately1 report releases to the
       National Response Center at (800) 424-8802 [40
       CFR 302.6(a)]. Reporting should include the
       following:

          •  Chemical name or identity of the  released
             substance
          •  Indication of whether the substance is on the Comprehensive
             Environmental Response, Compensation, and Liability Act Section 302(a)
             list
1  For EPCRA/CERCLA reporting purposes "immediately" is interpreted as "not to exceed 15 minutes
  after the person in charge has knowledge of the release." This interpretation is documented in A_
  Legislative History of the Superfund Amendments and Reauthorization Act of 1986. Vol. 2. Oct. 1990.
   CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                               CHAPTER 2 - PAGE 34

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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

       •  Estimated quantity of release
       •  Time and duration of release
       •  Medium or media into which the release occurred; and
       •  Whether release threatens waterways (reporting requirement of the Clean
          Water Act contained in 40 CFR 1 17.21)

   In addition, the owner/operator of a facility is required by 40 CFR 355.40 to
   immediately* report releases that are likely to produce off-site exposure and
   exceed the threshold limit to all affected local emergency planning committees
   and state emergency response commissions. This release report is to include:

       •  Chemical name(s) or identity of all substances involved in the accident
       •  Estimate of quantity of substances released to the environment; and
       •  Time and duration of release

   The facility owner or operator is also required to provide a written follow-up
   emergency notice as soon as possible (and within seven calendar days) to their
   affected local emergency planning committee and state emergency response
   commission after a release that requires notification.
The written follow-up notice should include the
following:

   •  An update of all previously provided
      information
   •  Actions taken to respond to the release
   •  Known or anticipated acute or chronic
      health risks associated with a release;  and
   .  Advice regarding medical attention
      necessary for exposed individuals
                                                    PROVIDE A WRITTEN FOLLOW-
                                                    RELEASE
   Other Reporting Requirements
   Section 311 of the Emergency Planning and Community Right- to-Know Act
   requires the facility to have material safety data sheets (MSDSs) on site for
   regulated chemicals that exceed certain quantities and to submit copies to their
   state emergency response commission, local emergency planning committee, and
   local fire department within three months of chemical receipt or production. This
   is a one-time submission that is updated only if new chemicals are stored and/or
   produced.
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                            CHAPTER 2 - PAGE 35

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                                  Environmental Laws Applicable to Construction and
                                         Operation of Biodiesel Production Facilities
                                     U.S. Environmental Protection Agency Region 7

   Reporting Hazardous Chemical Storage - Tier II Reporting
   Chemical storage notification requirements under Section 312 of the Emergency
   Planning and Community Right-to-Know Act and 40 CFR 370 Subpart D
   establish reporting for any hazardous chemical or extremely hazardous chemical
   that is stored at a facility in excess of the designated threshold planning quantity.
   These reports are also known as the Tier II hazardous chemical inventory form.
   The Tier II reports are due to the fire department, state emergency response
   commission, and local emergency planning committee by March 1 each year.
   These reports include a minimum of the following information:

       •  The amount and the location of hazardous chemicals as defined in the
          Occupational Safety and Health Administration (OSHA) Hazardous
          Communication Standard
       •  Storage codes and storage location
       •  Physical and health hazards
       •  Average daily amount stored; and
       •  Number of days on-site

   The purpose of the Tier II report is to provide emergency responders and the
   public with important information on the hazardous chemicals in their
   communities for the purpose of enhancing community awareness of chemical
   hazards and facilitating development of state and local emergency response plans.

   Practically all biodiesel production facilities need to file a Tier II report.  A list of
   extremely hazardous chemicals and their threshold  planning quantities can be
   found at 40 CFR Part 355.  There is no formal list of hazardous chemicals, but a
   good rule of thumb is any chemical that has an OSHA Material Safety Data Sheet
   (MSDS) could be reportable if storage exceeds 10,000 pounds. Methanol and
   hexane are examples of chemicals for which a biodiesel production facility may
   be required to file a Tier II form.
   Toxic Release Inventory Reporting - Form R
   The Emergency Planning and Community Right-to-Know Act (EPCRA) Section
   313 requires owners or operators of certain facilities that manufacture, process or
   otherwise use any listed toxic chemicals, or chemical categories in excess of
   threshold quantities, to report annually to the EPA and to the state in which such
   facilities are located.  This collected information is called the Toxic Release
   Inventory. The purpose of the Toxic Release Inventory is  to gather information
   so that the public and government can assess the hazards of toxic releases in a
   community.
CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
                           CHAPTER 2 - PAGE 36

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                                 Environmental Laws Applicable to Construction and
                                        Operation of Biodiesel Production Facilities
                                    U.S. Environmental Protection Agency Region 7

The criteria for facilities that must report are those that are listed in manufacturing
Standard Industrial Classification Code (SIC) 20-39 and which have 10 or more
full-time employees. Most biodiesel production facilities meet these requirements
and are required to report.
The annual information reported by facilities is presented on the "Toxic Release
Inventory report form," also referred to as TRI Form R.  The first function of the
form is to notify EPA that the facility
has exceeded the reporting threshold
within the last calendar year. The
second function of the form  is to list
any releases of the toxic chemical to
the environment within the year.
Another function of the form is to
provide information in compliance
with Section 6607 of the Pollution
Prevention Act on quantities of toxic
chemicals in waste streams and the
efforts made to reduce or eliminate
those quantities.
                                                      FORM R
                                       Important: See instruoons to determine when ~Not Applicable (NA]~ boxes should be checked-
                                                PART I. FACILITY IDENTIFICATION INFORMATION
                                           CEHnnc-^Tton (tnpoiunt:
                                       SECTION* FACILITY
                                         £^r.-r;r.^	..,,  -qar .pa,"  • qa- -D°
                                                   LJ
The production of biodiesel generally
results from the transesterification of
fats or oils using methanol which is
one of the listed toxic chemicals.
Some facilities may be involved in the
extraction of oils from oil seeds using
hexane, another listed toxic chemical. A list of more than 600 regulated
chemicals can be found in 40 CFR Part 372.
Biodiesel producers are encouraged to maintain accurate records for the purchases
of methanol or other listed toxic chemicals in their production. If more than
25,000 pounds of methanol or any other listed toxic chemical is used, the facility
is required to file a toxic release inventory report to the EPA and to the state.

The facility is encouraged to evaluate each step in the manufacturing process to
determine the ultimate fate of the toxic chemical to help identify air emissions and
losses in waste streams. These releases to the environment must be determined in
order to include them in the report.

Toxic release inventory reports are due July  1 each year for the previous calendar
year and are filed electronically. Assistance is available in the form of annual
training provided by the regional EPA offices. For more information on toxic
release inventory, please visit www.epa.gov/tri.

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           Environmental Laws Applicable to Construction and
             Operation of Biodiesel Production Facilities
           U.S. Environmental Protection Agency Region 7
  THIS PAGE IS

 INTENTIONALLY

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CHAPTER 2- WHAT ENVIRONMENTAL LAWS APPLY TO OPERATING A BIODIESEL PLANT?
        CHAPTER 2 - PAGE 38

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APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL
                 PRODUCTION AND WHO TO CONTACT

This appendix includes a list of contact and resource information for EPA Region 7. Contact
information for locations outside of Region 7 may be found at www.envcap.org/statetools/ or
by contacting the EPA Region in which your facility is located.
National Environmental Policy Act

For additional information about the National Environmental Policy Act, contact:

   Joe Cothern
   NEPA Team Leader
   Environmental Services Division
   Environmental Protection Agency Region 7
   (913)551-7148
   cothern.i oe@,epa. gov
Pollution Prevention (P2)

To contact EPA Region 7 P2 staff, call toll free: (800) 223-0425
   •  P2 Internet Sites:

      o  EPA Region 7 Pollution Prevention www.epa.gov/region07/p2

      o  EPA Pollution Prevention www.epa.gov/p2

      o  Pollution Prevention Resource Information Center www.p2ric.org/

   •  Recommended P2 EPA Publication:

      o  Facility Pollution Prevention Guide (EPA/600/R-92/088)
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                   A1 of 14

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                                      Environmental Laws Applicable to Construction and
                                             Operation of Biodiesel Production Facilities
                                         U.S. Environmental Protection Agency Region 7
Clean Water Act (CWA)

CWA Chemical or Oil Release Notification Requirements
Subject
CWA Release
Notification
Notification of Slug
Loading to POTW
Notification of
Hazardous Waste
Discharge to Septic
System
State Statutes
Law and
Regulation
CWA
40 CFR Part 110
&
40 CFR Part 117
CWA
40 CFR Part 403
CWA
40 CFR Part 144
State Laws
Who to Notify
National Response Center
(800) 424-8802
POTW, State Pretreatment Program
EPA Regional Underground Injection
Control Well Program
Kurt Hildebrandt
(913)551-7413
hildebrandt.kurt(@,epa. gov
www.epa.gov/region07/water/contact.
htm
State Environmental Agency
When
Immediately
Immediately
Immediately
Varies
CWA National Pollutant Discharge Elimination System (NPDES) Permits
Agency
Iowa
Department of Natural
Resources
Kansas
Department of Health and
Environment
Missouri
Department of Natural
Resources
Nebraska
Department of
Environmental Quality
EPA
Contact
Angela Chen
(515)281-4736
angela. chen@dnr. state, ia.us
Don Carlson
(785) 296-5547
dcarlsom@kdhe.state.ks.us
Rob Morrison
(573) 526-0991
rob.morrison(@ dnr.mo.gov
Donna Garden
(402) 471-1367
donna. garden(@nebraska. gov
John Dunn
(913) 551-7594
dunn.john(@,epa. gov
Web Address
www.iowadnr.gov/water/npdes/index.html

www.kdheks.gov/indust/
www.dnr.mo.gov/env/wpp/permits/index.html

www deq state ne us

http://cfpub.epa.gov/npdes/home.cfm?
program id=45

APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                    A2of 14

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                                              Environmental Laws Applicable to Construction and
                                                      Operation of Biodiesel Production Facilities
                                                  U.S. Environmental Protection Agency Region 7
CWA 404 Permits/ Wetlands Program
      District\State
        Coverage
          Contact
         Web Address
           Iowa
     Rock Island District

 Covers most of Iowa, except
areas inside the levee along the
   Missouri River which are
covered by the Omaha District
          U.S. Army
   Rock Island Dist. Corps of
          Engineers
        Rock Island, 111.
        (309) 794-5376
 www2.mvr.usace.army.mil/Regulatory/
             default, cfm
        Nebraska
       Omaha District
   Wehrspann Field Office
          U.S. Army
Omaha District Corps of Engineers
        (402) 896-0896
https://www.nwo.usace.army.mil/html/od
          -r/re gwebpg.htm
         Kansas
     Kansas City District
Kansas City Regulatory Office

  Covers Northeastern Kansas
  U.S. Army Corps of Engineers
     Northwestern Division
      Kansas City District
       Kansas City, MO
        (816) 389-3990
  www.nwk.usace.army.mil/regulatory/
           regulatorv.htm
         Kansas
     Kansas City District
Kanopolis Regulatory Satellite
           Office

   Covers Northern Kansas
  U.S. Army Corps of Engineers
     Northwestern Division
      Kansas City District
        Marquette, Kan.
        (785) 546-2130
  www.nwk.usace.army.mil/regulatory/
           regulatorv.htm
         Kansas
     Kansas City District
Kansas State Regulatory Office

   Covers Southern Kansas
  U.S. Army Corps of Engineers
     Northwestern Division
      Kansas City District
        El Dorado, Kan.
        (316) 322-8247
  www.nwk.usace.army.mil/regulatory/
           regulatory, hi
         Missouri

     Kansas City District
Kansas City Regulatory Office

      St. Louis District
      Memphis District
     Little Rock District
     Rock Island District
                                www.nwk.usace.army.mil/regulatory/
                                          regulatory.htm

                               www.mvs.usace.armv.mil/ConOps/permi
                                See map on next page.
                                          ts/permits.html

                                www.mvm.usace.army.mil/regulatory/
                                          memphis.htm

                                 www.swl.usace.army.mil/regulatory

                                www2. mvr.usace. army. mil/re gulatory/
                                           default, cfm
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                           A3 of 14

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                                                              Environmental Laws Applicable to Construction and
                                                                       Operation of Biodiesel Production Facilities
                                                                 U.S. Environmental Protection Agency Region 7
                                      Kansas City District
                                      Missouri State Regulatory Office
                                      221 Bolivar Street, Suite #103
                                      Jefferson City. MO
                                      Telephone; 573-634-2248
                                      FAX: 573-634-7860
U.S.  Army Corps of Engineers Districts
                     in the
             State of Missouri
                                                                                     Rock Island District
                                                                                     Clock Tower Building
                                                                                     Post Office Box 2004
                                                                                     Rock Island. IL 61204-2004
                                                                                     Telephone; 309-794-S351
                                                                                     FAX: 309-794-5191
Kansas City District
Kansas City Regulatory Office
700 Federal Building
601 East 12th Street
Kansas City. MO 64106-2896
Telephone: 816-389-3990
FAX: 816-389.2032
 Kansas City District
 Truman Regulatory Satellite Office
 15837 Truman Road
 Warsaw. MO 65355
 Telephone: 660-138-6697
 FAX: 660438-6909
                          St. Louis District
                          1222 Spruce Street
                          St. Louis, MO 63103-2S33
                          Telephone: 314-331-S575
                          FAX; 314-331-8741
                                               Little Rock District
                                               Post Office Box 867
                                               Little Rock, AR 72203-0867
                                               Telephone: 501-324-5295
                                               FAX: 501-324-6013
                                                                                                              Memphis District
                                                                                                              167 North Main, B202
                                                                                                              Memphis. TN 38103-1894
                                                                                                              Telephone: 901-544-3473
                                                                                                              FAX: 901-544-0211
           For more information on the Clean Water Act Section 404 Wetlands Program, call EPA's
                                         Wetlands Helpline at (800) 832-7828
                                          Or Visit the Following Websites:
                                 EPA's Wetlands Website www.epa.gov/owow/wetlands/regs/

                            Section 404 of the Clean Water Act www.epa. gov/owow/wetlands/laws/

                           Wetland Delineation Manual www.wes.army.mil/el/wetlands/wlpubs.html

             U.S. Army Corps of Engineers Regulatory Program www.usace.army.mil/inet/functions/cw/cecwo/reg/
         APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                                          A4of  14

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        U.S. Army Corps of Engineers' Waterways Experiment Station Environmental Laboratory
                          www.wes.army.mil/el/wetlands/wetlands.html

                            Environmental Law Institute www.eli.org

         Construction Industry Compliance Assistance Center http://cicacenter.org/wetlands.html
Additional information on on the Clean Water Act Section 404 Wetlands Program is
available by contacting the following EPA Region 7 personnel:
State
Iowa
Kansas
Missouri
Nebraska
Name
Jason M. Daniels
Catherine Holston
Vicky Johnson
Eliodora Chamberlain
Phone
(913)551-7443
(913)551-7256
(913)551-7564
(913)551-7945
E-mail
daniels.jason(@epa. gov
holston.catherine(@epa.gov
j ohnson. vicky @epa. gov
chamberlain.eliodora(@,epa.gov
CWA National Pollutant Discharge Elimination System (NPDES) Permits
      Agency
        Iowa
  Department of Natural
       Resources
       Contact
      Angela Chen
      (515) 281-4736
angela. chen@,dnr. state, ia.us
           Web Address
 www.iowadnr.gov/water/npdes/index.html
       Kansas
Department of Health and
      Environment
      Don Carlson
      (785) 296-5547
 dcarlson@kdhe.state.ks.us
         www.kdheks. gov/indust/
      Missouri
  Department of Natural
       Resources
      Rob Morrison
      (573) 526-0991
 rob.morrison(@ dnr.mo.gov
www. dnr. mo. gov/env/wpp/permits/index. html
      Nebraska
     Department of
  Environmental Quality
      Donna Garden
     (402) 471-1367
donna. gardenfSjnebraska. gov
          www.dea.state.ne.us
        EPA
       John Dunn
      (913) 551-7594
    dunn.iohn(@epa.gov
   http://cfpub.epa.gov/npdes/home.cfm?
            program id=45
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                         A5of  14

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CWA  Pretreatment Program
Agency
Iowa
Department of Natural
Resources
Kansas
Department of Health
and Environment
Missouri
Department of Natural
Resources
Nebraska
Department of
Environmental Quality
EPA
Pretreatment Coordinator
Tom Atkinson
(515)281-5054
tom.atkinson(@dnr.state.ia.us
Steve Caspers
(785)296-5551
scaspers(@kdhe.state.ks.us
Richard Laux
(573)751-6982
richard.laux(@dnr.mo. gov
Chuck Duerschner (treatment facility
construction permits)
chuck. duerschner@nebraska. gov
or
Donna Garden
(402) 471-1367
donna.garden@nebraska.gov
Paul Marshall
(913)551-7419
marshall.paul(@,epa. gov
Web Address
www.iowadnr.gov/water/pretreatment/
index.html
www . kdheks . gov/indust
www.dnr.mo. gov/index.html
www.deq.state.ne.us
http://cfpub.epa.gov/npdes/home.cfm?
program id=3

CWA Stormwater

Iowa
Department of Natural
Resources
Kansas
Department of Health and
Environment
Missouri
Department of Natural
Resources
Nebraska
Department of Environmental
Quality
EPA

Joe Griffin
(515)281-7017
or
Terry Kirchenman
(constr. permits)
(515)281-8885
terry .kirschenman(@,dnr. state.ia.us
Joe Mester
(785) 296-6804
jmester(@kdhe.state.ks.us
Kevin Mohammadi
(573)751-1740
kevin. mohammadi@,dnr. mo .us
Mary Schorer
(402) 471-2186
mary . schorer@nebraska. gov
Tanya L. Black
(913)551-7170
black.tanyal(@epa. gov

www.iowadnr.gov/water/stormwater/
who, html
www.kdheks.gov/stormwater
www.dnr.mo.gov/env/wpp/stormwater/
sw-land-disturb-permits.htm
www.deq.state.ne.us
http ://cfpub . epa. gov/npdes/home. cfm?
program_id=6
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                  A6of 14

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Spill Prevention, Control and Countermeasure (SPCC) and Facility
Response Plans (FRP)

For more information about the SPCC/FRP rule:
   •  please visit http://www.epa.gov/oilspill.
   •  call the toll free EPA Hotline at (800) 424-9346, or
   •  obtain a copy of the "SPCC Guidance for Regional Inspectors" at
      httD://www.eDa.gov/emergencies/content/SDCc/spcc guidance.htm.
To speak with someone from EPA Region 7, please contact:
   •  Ward Burns, SPCC Coordinator, burns.ward@,epa.gov. (913) 551-7960,
   •  Alan Hancock, Environmental Engineer. hancock.alan(g),epa.gov. (913) 551-7647. or
   •  Paul Doherty, FRP Coordinator, doherty.pauligiepa.gov. (913) 551-7924
Safe Drinking Water Act (SDWA)

SDWA Public Water Supply Supervision Program
Agency
Iowa
Department of Natural
Resources
Kansas
Department of Health and
Environment
Missouri
Department of Natural
Resources
Nebraska
Department of Health and
Human Services
EPA
Contact
Dennis Alt
(515)725-0275
dennis.alt@,dnr.state.ia.us
Don Carlson
(785) 296-5547
dcarlson(@kdhe.state.ks.us
Steve Sturgess
(573)751-1187
steve. sturgessfg) dnr.mo. gov
Jack Daniel
(402) 471-0510
jack.daniel@hhs.state.ne.us
Mary Mindrup
(913)551-7431
mindrup . maryptg) epa. gov
Web Address
www.iowadnr.gov/water/drinking/
www.kdheks. gov/indust
www.dnr.mo.gov/env/wpp/dw-index.htm

www. hhs. state. ne.us/enh/pwsindex.htm

www.epa.gov/safewater/pws/index.html

APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
                                   A7of 14

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SDWA Source Water Protection Program
Agency
Iowa
Department of Natural
Resources
Kansas
Department of Health
and Environment
Missouri
Department of Natural
Resources
Nebraska
Department of
Environmental Quality
EPA
Contact
Rebecca Ohrtman
(515)281-0932
rebecca.ohrtman(@dnr.state.ia.us
Sheryl Ervin
(785) 296-8038
servimgkdhe.state.ks.us
Ken Tomlin
(573) 526-5449
ken.tomlin(@,dnr.mo. gov
Deana Barger
(402) 471-6988
deana.bargerfg)nebraska. gov
Stephane Lindberg
(913) 551-7423
lindberg.stephanie(@epa.gov
Web Address
www.iowadnr. gov/water/watershed/
sourcewater.html
www.kdheks.gov/nps/swap/
www . dnr. mo . gov/env/wpp/
wellhd/
www.deq.state.ne.us/GroundW.nsf/Pages/
WHPA
cfpub.epa.gov/safewater/sourcewater/

SDWA Underground Injection Control Program
Agency
Iowa,
Implemented by EPA-
Region 7
Kansas
Department of Health
and Environment
Missouri
Department of Natural
Resources
Nebraska
Department of
Environmental Quality
EPA
Contact
Kurt Hildebrandt
(913)551-7413
hildebrandtkurtfgepa. gov
Kirk Hoeffner
(785)296-5551
k.hoeffner(@kdhe. state. ks.us
Scott Kaden
(573) 368-2100
scott.kadenfg) dnr.mo.gov
David Miesbach
(402) 471-4982
david.miesbach(@nebraska. gov
Kurt Hildebrandt
(913)551-7413
hildebrandt.kurt(@epa.gov
Web Address
www.epa.gov/region07/water/dwgw.htm

www.kdheks. gov/geo
www.dnr.mo. gov/index.html
www.deq.state.ne.us/GroundW.nsf/Pages/UIC

www.epa. gov/safewater/uic
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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Clean Air Act
 Law Citing
Regulation
 Description
                Contacts
    CAA
 40 CFR 52.21
   Air Permits
    CAA
40 CFR Part 60
  New Source
  Performance
    Standards
    CAA
40 CFR Part 63
   Maximum
   Achievable
    Control
   Technology
    Iowa Department of Natural Resources:
         Dave Phelps (515) 281-8189
       Construction Permitting Supervisor
           www.iowacleanair.com

 Kansas Department of Health & Environment:
         Terry Tavener (785) 296-1581
      Unit Supervisor - Natural Resources
            www.kdheks.gov/bar/

  Missouri Department of Natural Resources:
         KyraMoore (573)751-4817
            Permits Section Chief
          www.dnr.mo. gov/env/apcp/

Nebraska Department of Environmental Quality:
         Clark Smith (402) 471-4204
         Permitting Section Supervisor
             www.deq.state.ne.us
      Toll Free NDEQ Air Permits Hotline is
               1- (877) 834-0474
    CAA
40 CFR Part 61
  Subpart M
   Asbestos
                 Larry Hacker
                EPA Region 7
                (913)551-7602
             hacker.larrv(g).epa. gov
 CAA 112(r)
40 CFR Part 68
Risk Management
    Program
                                                              EPA Hotline:
                                                             (800) 424-9346 or
                                                             (703) 412-9810 or
                                                           (800) 553-7672 (TDD)
                                                 www. epa. gov/emergencies/content/rmp/
                                                              EPA Region 7:
                                                        George Hess, (913) 551-7540,
                                                            hess.george(@,epa.gov
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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Emergency Planning and  Community Right to Know Act (EPCRA)

EPCRA Chemical Release Notification Requirements
Subject


EPCRA
Release
Notification


CERCLA
Release
Notification
State Statutes
Law and
Regulation


EPCRA
40CFRPart
355


CERCLA
40 CFR Parts
300 & 302
State Laws
Who to Notify
• State Emergency Response Commissions
(SERC)s:
Iowa Department of Natural Resources
(515)281-8694
Kansas Division of Emergency Management
(785) 296-8013 or (800) -275-0297
Missouri Department of Natural Resources
(573) 634-2436
Nebraska Department of Environmental Quality
(402) 471-2186 or (402) 471-4230;
Evenings and Weekends call Nebraska State
Patrol- (402)471-4545
• Local Emergency Planning Committee (LEPC)
National Response Center
(800) 424-8802
State Environmental Agency
When


Immediately*


Immediately*
Varies
* For Emergency Planning/Superfund reporting purposes "immediately" is interpreted as "not to exceed 15
  minutes after the person in charge has knowledge of the release." This interpretation is documented in A_
  Legislative History of the Superfund Amendments and Reauthorization Act of 1986. Volume 2. October
  1990.
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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Reporting Hazardous Chemical Storage - Tier II Reporting (EPCRA $312)
    Tier II
   Admini-
   stration
           Tier II Reporting
           Contact
     Iowa
 Department of
    Natural
   Resources
               Submit to:
             Adam Broughton
         Emergency Response Unit
    Iowa Department of Natural Resources
          401SW 7th Street, Suite I
           Des Moines, IA 50309
         Adam Broughton
          (515)281-8694
        Fax:(515)725-0218
  emergencvresponse(@dnr. state .ia.us
   Kansas
 Department of
   Health and
  Environment
                Web site:
     www.kdhe.state.ks.us/bar/index.html

               Submit to:
Kansas State Emergency Response Commission
        1000 SW Jackson; Suite 310
          Topeka, KS 66612-1366

  Information regarding the reporting process,
instructions, or blank forms may be requested by
               writing to:
Kansas State Emergency Response Commission
        1000 SW Jackson; Suite 310
          Topeka, KS 66612-1366
 or calling (785) 296-1688, (785) 296-1689, or
              (785)296-1691
         Kimberly Steves
      kstevesfgkdhe. state.ks.us
          (785) 296-4359
        Fax: (785) 296-1545
   Missouri
   Emergency
   Response
  Commission
     Web site: http://hazmat.dps.mo.gov/

               Submit to:
  Missouri Emergency Response Commission
            2302 Militia Drive
              PO Box 3133
         Jefferson City, MO 65102

           Special Instructions:
  Submit all Tier II reports on the MISSOURI
  TIER TWO Electronic filing tool located at
        http://hazmat.dps.state.mo.us
For more information, including sample
     forms and instructions, visit
      http: //hazmat. dps. mo. gov/
         1- (800) 780-1014
         Or (573) 526-9239
       Fax: (573) 526-9261
  Nebraska
 Department of
 Environmental
    Quality
               Submit to:
Nebraska Department of Environmental Quality
          1200 N Street, Suite 400
             P.O.Box  98922
            Lincoln, NE 68509
 www.dea.state.ne.us/EAD.nsf/Pages/NEPCRA
          Mark Lohnes
          (402)471-4251
    mark.lohnes(@.nebraska. gov
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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Toxic Release Inventory Reporting (EPCRA $313)
   Agency
           TRI Reporting
            Contact
     Iowa
  Department of
     Natural
   Resources
               Submit to:
            Adam Broughton
         Emergency Response Unit
   Iowa Department of Natural Resources
         401SW 7th Street, Suite I
          Des Moines, IA 50309
  For TRI reporting questions, contact
        Adam Broughton at:
           (515)281-8694
         Fax: (515)725-0218
   emergencvresponse@dnr.state.ia.us
   Kansas
 Department of
   Health and
  Environment
               Submit to:
             Kimberly Steves
Kansas Department of Health and Environment

        Bureau of Air & Radiation
 Asbestos & Hazardous Chemical Information
                 Unit
        1000 SW Jackson, Suite 310
         Topeka, KS 66612-1366

               Web Site:
          www.kdhe.state.ks.us
  For TRI reporting questions, contact
         Kimberly Steves at:
       ksteves@kdhe.state.ks.us
           (785) 296-4359
         Fax:(785)296-1545
   Missouri
 Department of
    Natural
   Resources
     Submit by Certified Mail Only to:
     TOXICS RELEASE INVENTORY
              c/o Earl Pabst
  Missouri Department of Natural Resources
     Division of Environmental Quality
           1101 Riverside Drive
         Jefferson City, MO 65101

               Web Site:
     www.dnr.mo. gov/env/tri/index.htm
For TRI reporting questions, contact Earl
             Pabst at:
       earl.pabst(@dnr.mo. gov
           (800) 361-4827
           (573) 571-6892
        Fax: (573) 571-9227
  Nebraska
 Department of
 Environmental
    Quality
     Submit by Certified Mail Only to:
              Mark Lohnes
  SARA Title III and NEPCRA Coordinator
    Nebraska Department of Environmental
                 Quality
          1200 N. Street, Suite 400
            Lincoln, NE 68509

               Web Site:
           www.dea.state.ne.us
  For TRI reporting questions, contact
          Mark Lohnes at:
     mark.lohnes(@,nebraska.gov
           (402)471-4251
         Fax: (402)471-2909
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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Resource Conservation and Recovery Act (RCRA)

RCRA Hazardous Waste
        Agency
         Contact
       Web Address
         Iowa
      (EPA Region 7)
    Edwin G. Buckner, PE
 RCRA Enforcement and State
      Programs Branch
       (913)551-7621
   buckner.edwin@,epa. gov
            or
    For Solid Waste issues:
       Susan Johnson
   Environmental Specialist
  Iowa Department of Natural
         Resources
      (515)281-7982
 Susan. Johnson(g),dnr.iowa. gov
         www.epa.gov
        Kansas
  Department of Health and
       Environment
        Jim Rudeen
Chief, Compliance Assistance &
    Enforcement Section
 Bureau of Waste Management
       (785)296-1600
 www.kdheks. gov/waste/index.html
       Missouri
   Department of Natural
        Resources
        Tom Judge
   Environmental Specialist
       (573)751-0752
www.dnr.mo. gov/env/hwp/index.html
       Nebraska
Department of Environmental
         Quality
      Morgan Leibrandt
    Compliance Supervisor
       (402)471-4217
      www.dea.state.ne.us/
          EPA
    Edwin G. Buckner, PE
 RCRA Enforcement and State
      Programs Branch
       (913)551-7621
   buckner.edwin@,epa. gov
                                                             www.epa.gov
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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RCRA Underground Storage Tanks
State Agency
Iowa
Department of Natural Resources
Kansas
Department of Health and Environment
Missouri
Department of Natural Resources
Nebraska
State Fire Marshal
Nebraska
Department of Environmental Quality
Internet Address
www . io wadnr . gov/land/ust/index. html

www.kdheks.gov/tanks/index.html
www.dnr.mo. gov/env/hwp/tanks/tanks
htm

www.sfm.ne.gov
www.deq.state.ne.us/
Toxic Substances Control Act (TSCA)

For more information about TSCA
   •  Call the EPA TCSA Hotline: (202) 554-1404
   •  TSCA New Chemicals Prenotice Coordinator: (202) 564-9262
   •  Visit the TSCA New Chemicals Program Website:
      http://www.epa.gov/oppt/newchems/
   •  Visit the TSCA Biotechnology Website: http://www.epa.gov/oppt/biotech/
APPENDIX A - SUMMARY OF LAWS PERTAINING TO BIODIESEL PRODUCTION AND WHO TO CONTACT
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7
APPENDIX B -  MANAGEMENT OF CRUDE GLYCERIN
Introduction
Crude glycerin, also known as glycerol, is an abundant byproduct of biodiesel production.
About one pound of glycerin is created for every 10 pounds of biodiesel produced.
Sustainable uses for it are currently being developed.

                                   Many of the newer and larger facilities are building
                                   on-site refineries to create a purified glycerin product
                                   or ship crude glycerin to off-site refiners.  One
                                   biodiesel facility is using a new process that creates a
                                   very pure glycerin as a direct co-product and does not
                                   have discharges of catalyst or "salty" wash water. It
                                   is likely that newer generations of biodiesel
                                   production facilities will move toward better recovery
                                   of methanol, fatty  acids, and catalyst compounds.

                                   More sophisticated facilities are segregating crude
                                   glycerin for refining into usable feedstock for other
                                   products. Refining can range from minimal
                                   processing up to creation of a food grade product.

                                   Nationally, there is much research on the creation of
                                   new value-added products (ethanol, propylene glycol,
                                   etc.) using glycerin as a feedstock.  Most of these
                                   projects
are in university labs, but a few are up to pilot
scale. These new technologies will be utilized at
larger scales within the next few years, and are an
important part of the profit stream for the
industry.
Producers that choose to use or dispose of
glycerin could be regulated under several EPA
programs, depending on the practice. Poor
handling of crude glycerin has resulted in fires,
upset of sewage treatment plants and fish kills.
This appendix is intended to show management
options and how those options can fit into the
regulatory framework.
GLYCERIN SINKS DURING THE
SEPARATION PROCESS
                                               GLYCERIN CAN BE USED TO MAKE SOAPS,
                                               SHAMPOOS, MAKE-UP, TOOTHPASTE AND
                                               OTHER USEFUL HOUSEHOLD PRODUCTS
                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
                                      B1 of 10

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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7
Crude Glycerin as a Byproduct
Biodiesel is created by mixing 10 parts of oil or fat (vegetable or animal) with one part of
methanol (with a catalyst and heat), to produce 10 parts of biodiesel and one part of crude
glycerin. The quality of the crude glycerin is dependent upon the process that the producer
uses to handle their glycerin. Companies that remove and reuse the excess methanol used
during the production of biodiesel will generate glycerin with these characteristics:

       85-88% glycerin
       -10% water
       -4% salt
       Methanol at up to 1,500 ppm (depending on methanol recovery)
       Fatty acids and soap (depending on purity of feedstock)
       Catalyst
       Trace metals
       Carryover feedstock
       Lost biodiesel product
       High ionic concentration due to catalyst and acid/base neutralization
       High BOD
       High Fuel Value (Pure Glycerin = 19,000 BTU/pound, crude glycerin = 7,000
       BTU/pound net fuel value).

There are many possible technologies available for the use or disposal of crude glycerin1.
Since glycerin is industrial in nature, it should not be disposed in subsurface (septic) systems
or sanitary sewers,  which are designed and permitted only for domestic waste.  The high
BOD would also upset those systems. Some of the disposal options are discussed, below.
Land Based Disposal

Landfilling
Disposal by landfill is covered by the state's solid waste regulations and is required to have
Clean Water Act stormwater permits. Here is a regulatory description of crude glycerin,
based on the solid waste regulations:
    •  Crude glycerin is a highly viscous liquid at room temperature and solidifies at cooler
       temperatures.  Even though it is a liquid, crude glycerin meets the definition of a solid
       waste as cited in 40 CFR Part 257.
    •  The flashpoint of pure glycerin is 160°F, but the methanol component of the crude
       glycerin has a much lower flashpoint.  With methanol recovery, crude glycerin is
       likely not a hazardous waste based on a flashpoint of 140°F. It doesn't take much
       methanol mixed with crude glycerin to cause its flashpoint to  fall below 140°F, thus
       making it an ignitable hazardous waste. Regardless of whether methanol is
       recovered, the producer must make a hazardous waste determination if glycerin is
llf the the crude glycerin is determined to be a hazardous waste, it may not be used as a fuel unless hazardous
waste regulations are followed. See Chapter 2, Page 17 of this document.

                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
                                       B2of 10

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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

       disposed. See Chapter 2, Section 2.3 of this document for more information about
       making a hazardous waste determination. If the crude glycerin is a hazardous waste,
       land disposal, except for a permitted hazardous waste landfill, is expressly forbidden.
       Even in the hazardous waste landfill, the disposed glycerin must meet Land Disposal
       Restriction universal treatment standards of 40 CFR 268.48.
       Disposal of diatomaceous earth filter
       media in landfills has resulted in a number
       of fires caused by spontaneous
       combustion. The high surface area of the
       diatomaceous earth and the oil sets up a
       rapid decomposition that creates  heat.
       This is similar to the hazard of
       spontaneous combustion in oily rags.
       Pyrophoric  solid waste is an ignitable
       hazardous waste.
       Some landfills are refusing the waste due       .  •  .       .    •     EPAReglon7Photo
       to the concern of spontaneous combustion.
                                                 CLOSEUP OF DIATOMACEOUS EARTH WASTE
While crude glycerin might not pass the paint filter
test, it can be bulked with other materials and disposed in a landfill.  EPA is aware of one
small facility that mixes crude glycerin with dewatered municipal sewage sludge and
disposes of the mixture in a landfill.
Composting
Hobbyist biodiesel producers have successfully added crude glycerin to a mixed compost
(both traditional composting and vermiculture with worms). It is generally agreed that this
process could be scaled up to work with industrial or municipal composting operations.

Crude glycerin cannot be composted alone since it is purely a carbon source.  Composting
requires a source of nitrogen and other nutrients.  Also, the compost mixture must be bulked
properly to allow adequate oxygenation. For this reason, crude glycerin is best suited to co-
compost with other materials such as biosolids, brown and green waste, and bulked manures.

The high Biochemical Oxygen Demand (BOD)/energy content of crude glycerin would
require more vigorous management of the compost to assure that the pile remains  aerobic. In
addition, there is more risk of a high BOD leachate from the pile which should be addressed
in the stormwater permit for the co-composting operation.

Here is a list of specialized operational  measures that should be considered.
   •  A concentrated BOD source could really heat up a pile. More active management
       (turning the pile, forced air in static windrow) might be required.
   •  Efficient mixing of glycerin with the pile might be difficult from a physical
       standpoint.  This has already been seen when mixing crude glycerin into animal feed.
                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
                                       B3of 10

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                                    FINISHED COMPOST
                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7
Glycerin is a gel at room
temperature, but a greasy
liquid at compost
temperature.  More pile
bulking might be needed to
keep the compost from
choking out air. Anaerobic
conditions will cause odor
problems.
Winter handling could be
tricky due to high viscosity
of cold crude glycerin.
Need some on site crude
glycerin storage and the
ability to meter addition to
pile.
Scarab or other efficient
compost mixing would be far superior.
Crude glycerin is basic, having very little buffering capacity, so overall alkalinity
should be low enough to keep the compost pile's pH in composting range.
There has been no large-scale demonstration of crude glycerin compost. An operation of this
type would require a site-specific project to work out the operational details.  Some states
regulate the land application of compost products although federal rules do not. A co-
compost with biosolids is regulated by the 40 CFR Part 503.
Land Application
There has not been any significant research on the land application of crude glycerin. Direct
land application of crude glycerin can "burn" the plant cover.  Scientists are not sure if this is
due to the high salt content of the crude glycerin, or if the crude glycerin smothers the plant
by physically hindering transpiration. Unrecovered methanol  could also be a factor in
burning the plant cover.  If, because of its methanol content, the crude glycerin has a flash
point less than 140°F, it is an ignitable hazardous waste and land disposal is forbidden by the
Resource Conservation and Recovery Act.

In some more arid parts of the country, application of glycerin as a dust suppressant on
unpaved roads has  shown positive results. But, this practice should be limited to areas where
precipitation runoff to surface waters will not be a concern.

The high BOD of crude glycerin creates a high probability for adverse environmental
impacts if there is any runoff into nearby streams. Land application over a field drain allows
runoff, potentially causing a fish kill. Over-application of glycerin to land surface increases
the probability of runoff, which may lead to a violation of the  Clean Water Act, subjecting
you to fines and enforcement.
                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
                                       B4of 10

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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7
Crude glycerin does not have any fertilizer value, and will tie up soil nitrogen as it
decomposes.  For this reason there has been little interest in studying land application.
                                                     Guidance for the disposal of
                                                     grease trap wastes suggests
                                                     incorporation and loading rates of
                                                     about four (4) tons per acre as
                                                     appropriate to avoid choking of
                                                     soils. Essentially, for land
                                                     application to be benign, loading
                                                     rates must be low, and runoff
                                                     control is absolutely essential.
                                                     Given the other management
                                                     options, land application is the
                                                     least desirable alternative: it has
                                                     little beneficial aspect and is risky
                                                     environmentally.
 GLYCERIN POLLUTING A CREEK

Subsurface Disposal
As more biodiesel facilities are developed, their options for the disposal of the glycerin or
wastewater that is generated can be limited and injection wells are increasingly being
evaluated as a possible disposal option.  The current viable injection options for these fluids
are either a Class I waste injection well or a Class V injection well. Class I wells inject
industrial fluids or municipal wastewater beneath the lower-most underground source of
drinking water and are designated as hazardous or non-hazardous, depending on the type of
fluids injected.  Class V injection wells are  mostly shallow wells that inject into or above the
underground source of drinking water, but some  Class V wells are deep wells that inject
below the lower-most underground source of drinking water.  The use of deep Class V
injection wells that inject below the lower-most underground source of drinking water is a
potential option for disposal of glycerin or wastewater from biodiesel production facilities.
However, depending on the characteristics of these fluids, meeting the non-endangerment
standard may be difficult for Class V injection wells that inject into or above an underground
source of drinking water.

Based on the current Underground Injection Control program requirements, the cost
estimates for the construction of an injection well for the disposal of glycerin or wastewater
generated at a typical biodiesel production facility would vary from $500,000 to $1.25
million depending on the specific drilling and construction requirements.  This figure does
not take into account the costs to maintain and operate the well after installation which can
range from $10,000 to $20,000 annually depending on the testing requirements and their
frequency.  The majority of the costs associated with an injection well is attributed to the
construction phase, while logging, operating, and reporting are a small portion of the total
cost.  It is important to note that the typical  life expectancy of a properly operated and
                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

maintained well is about 40 to 50 years. Additionally, states may impose more stringent
requirements that could impact total costs or prohibit the use of an injection well for the
disposal of these fluids.

Given the differences in geology and variances in state program requirements, it is important
that facilities considering the use of an injection well to check with the state environmental,
health or natural resources office listed in the underground injection control section of
Appendix A before constructing a new injection well to make sure that the waste streams
would be allowed to be disposed of via an injection well.  It is equally important for
owner/operators of existing injection wells to check before altering the composition of any
fluid entering the injection well to make sure that all of the necessary permits or approvals
are in place before proceeding.
WATER BASED DISPOSAL

Dumping
Direct discharge of crude glycerin to surface water is strictly forbidden.  Crude glycerin is a
highly concentrated waste, having a very high biochemical oxygen demand, meaning as it
breaks down it consumes oxygen rapidly. Poor management of crude glycerin waste has
been documented to cause fish kills in streams.
             IN SOUTHEAST MISSOURI, AN ILLEGAL DUMP OF CRUDE GLYCERIN KILLED
             OVER 25,000 FISH.
Willful dumping/disposal of glycerin to surface water is a criminal violation of the Clean
Water Act and may subject you to fines and criminal enforcement. As discussed in the
previous section titled "Land Application", ignitable glycerin is a hazardous waste and may
not be disposed in a stream.
                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
                                      B6of 10

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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

Treatment at a Publicly Owned Treatment Works (POTW)
Crude glycerin has a very high Biochemical Oxygen Demand (BOD) and can easily disrupt
the treatment process of a POTW.  BOD is the measure of the oxygen used in breaking down
an organic waste.  The normal BOD at the headworks of a POTW is 200 mg/L. Washwater
from the biodiesel process containing small amounts of crude glycerin can have a BOD of
10,000 - 15,000 mg/L, which drastically reduces the rate at which organic waste will
decompose. Pure glycerin has a BOD of nearly  1,000,000 mg/L.

There have been several cases of plant upsets due to these unexpected glycerin loads into the
water treatment system. One such event damaged the biological process in a treatment plant,
creating untreated discharge water, which resulted in a fish kill.

In addition, biodiesel is often produced in a "batch" process. Batch process wastes tend to be
discharged to the collection system all at once, rather than a slow continuous stream, so this
increases the potential for organic shock or disruption of biological processes.  Crude
glycerin and washwater can be easily treated by  a POTW when sent to a plant having
adequate organic capacity.

The strength of process wastewater from biodiesel plants is highly variable.  Plants with
washwater recycle, or processes without washwater, can have moderate BOD levels. As
stated earlier, washwater has very high BOD levels  and crude glycerin is remarkably high in
BOD.  More sophisticated, well-designed plants use water more sparingly, while less
sophisticated producers and hobbyists use more water.  Sophisticated facilities are
segregating glycerin as a side product and have efficient methanol recovery, while less
sophisticated plants are more likely to dispose of crude glycerin, excess methanol, and
washwater as a single waste stream. Essentially the strength of the wastewater is based on
glycerin and methanol content.

Methanol is used in the biodiesel process to drive the reaction to completion. Most of the
methanol leaves the process in the crude glycerin by-product and some is captured in the
washwater. Larger processors heat the crude glycerin and recover the methanol through
distillation. There are examples of home brew operations with methanol recovery, but these
are rare.  Crude glycerin without methanol recovery could have a flash point well below
140°F, so the producer should be aware of this when making a hazardous waste
determination.  Recently there was an explosion at a biodiesel facility when methanol was
inadvertently vented into a building and ignited by a garage door opener.

For large urban facilities, biodiesel wastewater could be beneficial in several ways.  Crude
glycerin is a concentrated source of Carbonaceous BOD (CBOD); and if organic capacity
exists,  could be a concentrated revenue source, based on user rates for pounds of BOD.
While crude glycerin is such a concentrated form of CBOD, it is a nitrogen deficient waste.
In this  sense, crude glycerin could serve some POTWs by tying up nitrogen into wasted
sludge/biosolids. While the land application or other disposal of the sludge imposes an
additional cost to the POTW, the user fee for BOD could offset the additional cost.
                     APPENDIX B - MANAGEMENT OF CRUDE GLYCERIN
                                       B7of 10

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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7

POTWs will consider the following before accepting crude glycerin and washwater from a
biodiesel plant:
    •  Composition of the waste
    •  Organic capacity of the POTW to accept additional BOD load
    •  The ability of the biodiesel plant or the POTW to avoid slugs of crude glycerin by
       using equalization or meters
    •  User fees paid by the biodiesel plant to the POTW. It is important for the POTW to
       be able to recover their costs.  Note that biodiesel plants can avoid these fees if they
       find a beneficial use for the glycerin instead of disposing it as a waste.
    •  Limits on the biodiesel facility to ensure the biodiesel facility does not exceed BOD
       loading limits or slug load to the POTW
    •  Ignitability of the waste

With most high strength wastes, we would consider pretreatment through anaerobic digestion
at the production facility prior to discharge to the POTW. This might not be altogether
practical for the biodiesel industry, because the waste is nitrogen and nutrient deficient.  To
foster anaerobic digestion, you would need to add nitrogen and nutrients (more pollutants) to
gain treatment at the facility site.
                       PUBLICALLY OWNED TREATMENT WORKS FACILITY
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Because crude glycerin wastestreams from biodiesel manufacturing have a high organic load,
a discharge to a POTW would most likely make the facility a Significant Industrial User
(SIU) under the General Pretreatment Regulations, 40 CFR Part 403. Under these
regulations, any industrial user that discharges 25,000 gallons per day of process wastewater,
contributes 5% or more of the POTWs dry weather organic or hydraulic capacity, or is
designated by the POTW to have a reasonable potential to adversely affect the POTWs
operation, is considered an SIU. It would not be unusual for a biodiesel manufacturer to
meet all three of these tests.

Consequently, all biodiesel manufacturers must contact the city to which they intend to
discharge and determine if the city has an approved pretreatment program for regulating
industrial  discharges.  If the city is a pretreatment city, the biodiesel facility must apply for a
discharge permit, and provide information on the volume and strength of the intended
discharge. If the city does not have adequate hydraulic or organic treatment capacity, the
permit issued by the city will contain discharge limits that are not to be exceeded.  In this
instance, the biodiesel manufacturer would be required to install a treatment system to treat
its wastewater before it could be discharged to the city.  Disposal  of concentrated crude
glycerin waste to the sanitary sewer may be prohibited, not only because of its shock load
effect on treatment, but also because glycerin can solidify and clog pipes.

Wastestreams from biodiesel manufacturing that are introduced into the solids-handling
processes of a POTW without going through the plant headworks are also subject to the
General Pretreatment Regulations. No discharge may contribute to or cause a POTW to
violate an NPDES permit requirement, whether it is a discharge standard or a sludge disposal
requirement.  Because crude glycerin wastes when co-digested with domestic sewage
generally result in increased methane production, some cities may be eager to take the wastes
in order to capture the energy content. However, if the digesters were unable to keep up  with
treatment of the organic sludge coming from wastewater treatment, and the city experiences
violations of its NPDES permit, the biodiesel discharge would be  considered as contributing
to the pass through and/or interference.

Many biodiesel facilities may discharge to smaller POTWs that have not been required to
develop and implement a pretreatment program.  For these smaller POTWs, the industry
must not only contact the city but also the state to determine if a state-issued permit will be
required.

Note: the discussion above is about process wastewater. Biodiesel facilities have water
discharges based on stormwater, pre-treatment of process water (reverse osmosis and
softening), cooling water, and boiler blowdown.  These waste streams are regulated and
require NPDES permits. NPDES permits are discussed in Chapter 2, Section 2.1 of this
document.
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Anaerobic Digestion
Direct anaerobic digestion with nitrogen rich wastes is probably the best means for water-
based treatment. Why pump expensive air into an aerobic treatment process, when you can
pump burnable methane bio-gas out of an anaerobic process?  European biodiesel producers
are selling crude glycerin to off site bio-gas facilities for 100 Euros per ton.  Many facilities
have digesters on site and use the methane fuel to heat the biodiesel process.

As with composting, crude glycerin is best broken down with  a mixed waste in the anaerobic
process.  It should be seen as a fairly pure carbon feed for the  anaerobic process.  Due to this
"purity," a complex source of nitrogen and micronutrients is necessary to assure a healthy,
rich bacterial culture. Mixed cultures are much more dependable for process rigor and
design.  Alternate sources of co-digestion wastes could be various nitrogen rich organic
wastes such as meat packing waste, egg cracking waste, manures or biosolids.

In terms of a fuel use of crude glycerin, anaerobic digestion is probably the best
environmental alternative, producing clean burning methane gas and capturing nitrogen
waste into a sludge that can be land applied as an organically based fertilizer. However, be
aware that hydrogen sulfide can be produced if sulfur is available during anaerobic digestion.
The hydrogen sulfide and the sulfur dioxide  produced when hydrogen sulfide is combusted
have air regulatory implications.

The anaerobic digestion process should be protected from organic shock. The biological
process will need acclimation, and inputs should be equalized  and metered.  Two stage
thermophylic/mesophylic digesters have shown better resistance to organic shock and may be
better suited to the demands of crude glycerin digestion.

From a practical standpoint, anaerobic digesters can be designed to treat crude glycerin  like a
form of concentrated septage. The facility could store the crude glycerin in tankage and
meter it into the digesters directly. The POTW could store the crude glycerin in tankage on
the site of the POTW and meter  it into the digesters directly. The POTW can charge the
industrial user for costs associated with treatment based on the pounds of BOD treated.
Direct Discharges
While this appendix discusses the management of crude glycerin, biodiesel plants may also
have discharges of wash water, reverse osmosis reject water, or cooling water. These
discharges will also require NPDES permits or pretreatment permits. NPDES and
pretreatment permits are discussed in Chapter 2, Section 2.1 of this document. The key
concern with those waste streams is salt content and could be a water quality concern when
discharges go to small streams with low dilution capacity.
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APPENDIX C-  NATIONAL ENVIRONMENTAL POLICY ACT
                   PROCESS

The National Environmental Policy Act process consists of an evaluation of the
environmental effects of a federal activity, including its alternatives. There are three levels of
analysis, depending on whether or not an activity could significantly affect the environment.
These three levels include:

   1.   A categorical exclusion determination
   2.   Preparation of an environmental assessment/finding of no significant impact; and
   3.   Preparation of an environmental impact statement

At the first level, an undertaking can be categorically excluded from a detailed environmental
analysis if it meets certain criteria that a federal agency has previously determined as having
no significant environmental impact. A number of agencies have developed lists of actions
that are normally categorically excluded from environmental evaluation under their National
Environmental Policy Act regulations.

A federal agency at the second level of analysis prepares a written environmental assessment
to determine whether or not a federal activity would significantly affect the environment. If
the answer is no, the agency issues a finding of no significant impact. The finding of no
significant impact can address measures an agency will take to reduce potentially significant
impacts.

If the environmental  assessment finds that the environmental consequences of a proposed
federal activity might be significant, an environmental impact  statement is prepared. An
environmental impact statement is a more detailed evaluation of the proposed action and
alternatives. The public, other federal agencies, and outside parties can provide input into the
preparation of an environmental impact statement and then comment on the draft statement
when it is completed.

If a federal agency anticipates that an activity might significantly impact the environment, or
if a project is environmentally controversial, a federal agency could choose to prepare an
environmental impact statement without having to first prepare an environmental assessment.

A federal agency will prepare a public record of its decision after a final environmental
impact statement is prepared. The public record will address how the findings, including
consideration of alternatives,  were incorporated into the agency's decision-making process.
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APPENDIX D - Emergency Response Program Development

An emergency response program should be proactive and ongoing. EPA interprets
"response" to be consistent with the Occupational Safety and Health Administration (OSHA)
Hazardous Waste Operations and Emergency Response (HAZWOPER) Standard (29 CFR
1910.120). OSHA defines emergency response as "a response effort by employees from
outside the immediate release area or by other designated responders...to an occurrence
which results, or is likely to result, in an uncontrolled release of a hazardous substance."
Response Program Development should
involve:

   1.  Systematic Planning

   2.  Role of Emergency Medical Service
     (EMS) in Planning; and

   3.  Counterterrorism Measures
Response actions during the first few minutes of a release are the most critical. They should
not only be planned, but also well rehearsed to minimize the effects of a release. Facilities
that take a comprehensive approach in developing a facility-specific emergency response
program are better prepared to respond in a release event.
               An emergency response plan outlines the action
              and equipment necessary for effective emergency
             response.  However, a facility must conduct training,
                  evaluate its program, maintain emergency
                equipment, and regularly coordinate with local
              agencies in order for an emergency response plan
                        to be useful in an emergency.
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SYSTEMATIC PLANNING
The following outline is an approach to an emergency response program.  These proactive
efforts should enable a facility to efficiently integrate facility-specific information, key
technical and management resources, and relevant existing emergency response programs
that might require coordination.

1.  Identify Federal, State, and Local Regulations Relevant to Emergency Response
    Applicable regulations and guidance documents need to be identified for the
    development of your facility emergency response program. Facilities are encouraged to
    contact the EPA Hotline at (800) 424-9346 for help in identifying appropriate federal
    and state regulations.

2.  The Program Development Team
    A facility should select a team of employees who bring expertise from each of their
    functional areas. Ideally, the team members should also have varying degrees of
    emergency response responsibilities and experience within and outside the facility. A
    three-member team for a small facility might involve a couple of process operators who
    are cross-trained as emergency responders. A large facility with its own response team
    might need representatives from the following  areas:

       •   Maintenance
       •   Operations or Production Personnel
       •   Process or Upper Management
       •   Legal or Public Affairs
       •   Fire and Hazmat Response
       •   Environmental, Health, and Safety
       •   Security
       •   Emergency Coordinator; and
       •   Labor Relations or Personnel

3.  Collect Existing Facility Specific Documents and Information
    Members of the development team should collect, review, and maintain copies of the
    following types of facility-specific materials:
       •   Site plans
       •   Existing emergency plans or procedures
       •   Submissions to the local emergency planning  committee
       •   Hazard evaluation and release modeling information
       •   Hazard communication and emergency response training
       •   Emergency drill and exercise programs
       •   After-action reports and response critiques; and
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           Mutual aid agreements
   The team might also identify related program materials from the following sources:
       •   Corporate and industry sponsored safety, training, and planning efforts; and
       •   Federal, state, and local government safety, training, and planning efforts.

   Under CAA Section 112(r)(l), facilities have a general duty to:
       •   Use appropriate hazard assessment techniques to identify hazards that might
           result from release;
       •   Design and maintain a safe facility, taking such steps as necessary to prevent
           releases; and
       •   Minimize the consequences of accidental releases, which do occur.

   Facilities are responsible under this general duty clause for ensuring that any process
   release can be effectively handled. Facilities that rely on local responders must determine
   if the local  responders have suitable equipment and training. If they do not, the facility
   must take steps to meet any needs (e.g., develop facility response capabilities, develop
   mutual aid  agreements, hire response contractors, partially fund local responders).

4.  Identify Emergency Response Gaps
   The team or a leadership subset should use the information collected to assess
   compliance with each emergency response program element of EPA's Risk Management
   Program (40 CFR Part 68). This assessment will expose existing gaps.

   Facilities complying with OSHA's Hazardous Waste Operations and Emergency
   Response Standard will typically already satisfy most or all of EPA's requirements. An
   assessment of the gaps will help the team focus their efforts.  (Note: Even if a facility is
   complying with OSHA's HAZWOPER Standard, it must submit a risk management plan
   to EPA as required by 40 CFR Part 68.)

5.  Tailor Emergency Response Program to Facility-Specific Hazards
   All processes and chemicals at a facility pose a variety of hazards, making it necessary to
   tailor elements  of an emergency response program to facility-specific hazards.

   Some common considerations of facility-specific hazards include the facility's
   susceptibility to the following:
       •   Fires, spills, and vapor releases
       •   Floods, temperature extremes, tornadoes, earthquakes, and hurricanes
       •   Loss of utilities (including power failures and brownouts)
       •   Train derailments, vehicle accidents,  bomb threats, and other man-made
           disasters; and
       •   Chemical incompatibilities; e.g., ammonia and chlorine
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6.  Integrate Emergency Response Program Throughout Existing Plans

   Many federal statutes and regulations require emergency response planning. Plans for
   specific responses can leave personnel and emergency responders confused. Many
   facilities have developed an integrated contingency plan (ICP) to consolidate emergency
   plans into a single response plan. Here is a suggested ICP format:

   Introduction

       •   Background Information
       •   Facility Overview
       •   Scope and Objective of ICP

   Core Emergency Response Plan
       •   Essential procedures to initiate, conduct, and terminate an emergency response
       •   Procedures for emergency recognition, notification, and initial response (e.g.,
           assessment, mobilization, implementation)

   Supporting Annexes
       •   Key supporting information and information required for regulatory compliance,
           such as:
            -S    Emergency Response Teams
            -S    External Notification
            S    Evacuation Assembly Area
            -S    Emergency Response Equipment
            •S    Incident Command
            S    Spill Prevention, Control and Countermeasures Plans

   The National Response Team, a multi-agency group led by EPA, published integrated
   contingency plan guidance  in the Federal Register (61 FR 28642) June 5, 1996. The
   guidance provides a mechanism for consolidating multiple plans into a single, functional
   emergency response plan.

7.  Prepare Written  Emergency Procedures

   Facilities are required by risk management program regulations 40 CFR 68.52 (b)(4) and
   40 CFR 68.69(a)(iv) to prepare written emergency shutdown procedures and instructions
   for operators, emergency responders, and others. At a minimum, these materials should be
   developed for each of the most likely emergency scenarios (e.g., power failure, fire event).
   These materials should include the following:
     • A manual of standard operating instructions
     • A system drawing showing the integral parts and their locations
     • Emergency shutdown procedures and subsequent start-up procedures
     • A table of the ranges of safe operating parameters measured at crucial locations

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     •  Safety procedures to be exercised at various locations, and
     •  An emergency response flow chart

8. - Develop and Maintain Emergency Tools
   A number of tools can be used to assist in a more
   orderly response during an emergency.

   One such tool in the event of an accidental release
   of volatile chemicals is a wind sock. A wind sock
   can be an extremely helpful emergency tool as it
   can help determine wind direction and approximate
   wind speed at a glance. This information will help
   determine which direction the chemical is heading
   and help estimate approximate distance of the
   release. Facilities should mount wind socks in
   appropriate places and incorporate their use in their
   emergency response plans.
   Some facilities have developed posters and signs with information for employees and
   emergency responders. These materials should be effective for the intended people (e.g.,
   other languages, appropriate reading level, locations of signs relative to hazards and
   emergency exits).  For example, the significance of the position of the windsock and its
   implications relative to evacuation routes should be discussed with all staff members so
   that an orderly emergency response will result.

   Process flow diagrams (also referred to as P&IDs), ladder/logic diagrams, or single line
   diagrams should be kept up to date and incorporated into operator training programs.
   Some facilities laminate the P&IDs and/or ladder/logic diagrams and then post them
   adjacent to the equipment and store a copy with on-site emergency response equipment
   and plans.
ROLE OF EMERGENCY MEDICAL SERVICE (EMS) IN PLANNING
An integrated emergency medical response is critical in an emergency. People seriously
injured by a hazardous material have a greater chance of recovery when:
   •   Appropriate emergency treatment is provided by prepared EMS personnel at the
       scene
   •   The patient is transported to a facility having the most appropriate personnel and
       technical resources; and
   •   Communication with the medical facility is open to relay information regarding the
       material affecting the patient
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EMS agencies are crucial links in the community response system and are often the first to
arrive at an emergency scene. They must be able to assess the nature of the hazard while
attending to the immediate needs of victims.

The absence of EMS personnel in emergency response planning has resulted in the following
types of problems:
   •   Incidents poorly managed by facility personnel and first responders
   •   Ineffective communication channels and/or redundant or no communication between
       private and public sectors
   •   Medical facilities inadequately prepared to treat or manage incoming patients
       involved in hazardous materials injuries; and
   •   Medical staff not informed as to the lethal effects of a chemical release

EMS personnel reinforce the importance of defining safe response scenarios, medical
practices, and transportation guidelines in an emergency. They will also be critical links in
collaborating with other response agencies, such as police and fire departments and hospitals.

EMS personnel should also participate in annual disaster drills and emergency plan reviews,
keeping in mind lessons learned during other emergency events.

Your state emergency response commission and your local emergency planning committee
play extremely important roles in emergency response planning. Their roles are:

State Commission:

   •   Establish local emergency planning districts
   •   Establish procedures for handling public requests for information
   •   Appoint and oversee local emergency planning committees
   •   Review local committees' emergency plans

Local Committee
   •   Prepare and maintain a comprehensive emergency response plan for the district
   •   Provide hazardous chemical data to the public, and
   •   Respond to or coordinate response
COUNTERTERRORISM (CT) MEASURES
Before specifically considering CT, a facility should ensure their emergency plan is up to
date. Simply adding CT materials to an outdated plan will not produce an effective
emergency plan. For example, review of an emergency plan sometimes identifies outdated
emergency contact information or process modification and facility construction that had not
yet been addressed. After updating  an emergency plan, a facility should consider adding
information and procedures related to potential terrorist threats.
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Facility owners/operators should review their emergency response plan based on the
following considerations:

1. -Emergency Contact Information
    The National Response Center is the sole federal point of contact for reporting chemical
    spills/releases.  NRC duty officers take reports of actual or potential terrorism, then link
    emergency calls to the following:

    •   Department of Defense (for technical advice on dealing with weapons of mass
       destruction), and
    •   Federal Bureau of Investigation (to initiate federal response actions and incident
       investigations).

2. Response Functions
   An emergency response plan should clearly define responsibilities in an event. The plan
   should indicate how response functions change if an emergency occurs as the result of a
   known or suspected terrorist event. For example, an Incident Command System might
   transition to a Unified Command structure. The change in response leadership is typically
   necessary to accommodate emergency response efforts that involve mutual-aid partners
   and state and federal responders.

3. Hazards Analysis
   Weapons of mass destruction (e.g., explosive, chemical, biological, and nuclear) should
   be considered when reviewing the hazards analysis portion of an emergency response
   plan. A facility should identify  potential targets and their vulnerability to attack. Such a
   review would result in improvements to help ensure a facility is adequately protected.
   The emergency response plan is generally made publicly available and should not include
   details of the security system(s).

4. - Mitigation Procedures
   Procedures included in an emergency response plan should involve consequence
   management efforts. The mitigation activities should be designed to protect workers and
   the public from further exposure to hazards. In general, public health  officials, emergency
   medical service personnel, and  criminal investigators should work together to identify and
   mitigate hazards following an event. The emergency plan could include a list of basic
   questions to ask victims, affected emergency responders, and other individuals in the
   affected population. Information and effective communication are critical in identifying
   and mitigating effects of a terrorist incident.

   Active and passive mitigation systems should be considered. Passive mitigation means
   equipment, devices, or technology that function without human, mechanical, or other
   energy input. Examples of passive mitigation include dikes and enclosed systems. Active
   mitigation means equipment, devices, or technologies that need human, mechanical, or
   other energy input to function. Examples of active mitigation include interlocks,
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    shutdown systems, pressure-relieving devices, flares, emergency isolation systems and
    fire protection systems.

    The system design, location, operating procedures, and emergency response procedures
    should be taken into consideration when determining the mitigation system to use. The
    design of the mitigation system should consider the different factors that would influence
    the system operation and potential release scenarios.
Practicing Your Plan
Effective responses to chemical releases require
practice in addition to planning. Emergency
responders must practice evaluation, isolation,
containment and mitigation to prevent
catastrophic releases. The following should be
reviewed and practiced, as applicable, on a
regular basis:
   •   Typical Chemical Accidents
   •   Exposure Limits For Chemicals
   •   Requirements under Part 68 of the
       Clean Air Act - Risk Management Program
   •   Inspect Emergency Equipment
       Emergency equipment should be inspected regularly to ensure respirators and other
       equipment are available, accessible, and usable. Air-purifying respirators must have
       appropriate and unexpired cartridges. Self-contained breathing apparatus (SCBA) air
       should be suitable for the temperature in which the SCBA will be worn. Facilities
       should also periodically verify that on-site response personnel are trained and fit-
       tested for the proper use of the emergency equipment.
   •   Establish Emergency Shutdown and Start-up Procedures
       Establish and practice emergency shutdown and start-up procedures on what to do
       during and after a power failure.
   •   Conducting Emergency Response Drills
       Numerous facilities are beginning to stage realistic response exercises with their local
       fire department or their hazmat emergency response teams. The response drills should
       all be announced and involve preplanning to ensure they are realistic but different
       from recent drills. All emergency responders (on-site and off-site) should "suit up" as
       part of each drill.

       Facilities have used regular emergency response drills to maintain and increase public
       awareness. Facilities might involve citizens in the immediate vicinity of their
       property. Emergency response and preparedness brochures might be distributed to
       nearby residences and businesses.
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Emergency Planning and Response Guidance
The following materials are available for additional assistance in developing your emergency
response program:
   •   Criteria for Review of Hazardous Materials Emergency Plans (NRT-1A),
       National Response Team, May 1988.
       Provides evaluation criteria for emergency response plans.

   •   Emergency Response Guidebook,
       U.S. Department of Transportation, 2008.
       Lists more than 1,000 hazardous materials and provides general hazard information
       and recommended isolation distances.

   •   Hazardous Materials Emergency Planning Guide (NRT-1),
       National Response Team, 1987.
       Designed to help communities plan for hazardous materials incidents and includes
       useful information on planning teams, plan review, and ongoing planning efforts.

   •   Hazardous Materials Guide for First Responders, Federal Emergency
       Management Association and U.S. Fire Administration, 1998.

   •   LEPCs and Deliberate Releases: Addressing Terrorist Activities in the Local
       Emergency Plan, EPA 550-F-01-005, August 2001.
       Discusses  how counterterrorism measures can be incorporated into emergency
       planning.

   •   NIOSH Pocket Guide to Chemical Hazards,
       NIOSH Publication No. 2000-130, July 2000.
       Provides 10 relevant databases, including recommendations for chemical protective
       clothing, toxicologic chemical reviews, and the 2000 Emergency Response
       Guidebook.

   •   Integrated Contingency Plan,
       National Response Team, 61 FR 28642, June 5, 1996.
       Guidance on consolidating multiple plans into a single, functional emergency
       response plan that complies with various federal regulations.
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APPENDIX E -  CLEAN AIR ACT SECTION  112(r) - PREVENTION
                  PROGRAM REQUIREMENTS

Determine Your Facility's Program Level
If you have determined that your facility is subject to 40 CFR Part 68, you will first need to
ascertain whether your facility is subject to PROGRAM 1, PROGRAM 2 or
PROGRAM 3. This appendix will guide you in making that determination as well as your
corresponding responsibilities.

Your facility is subject to PROGRAM 1 if:
          •  The process has not had an accidental release of a regulated substance that
            resulted in offsite death or injury, or required restoration of an environmental
            receptor, within five years of the date you submit your facility's risk
            management plan;
          •  Your process has worst-case release scenarios with no possible effect to
            public receptors; and
          •  Your process has emergency response procedures coordinated with local
            responders.

Your facility is subject to PROGRAM 2 if:
          •  It has any process that does not meet criteria for Program 1 or Program 3.

Your facility is subject to PROGRAM 3 if:
          •  It has any covered process that does not meet the eligibility requirements for
            Program 1 and either:
                o  the process is in the North American Industry Classification System
                   (NAICS) codes 32211, 32411, 32511, 325181, 325188, 325192,
                   325199, 325211, 325311, 32532; or
                o  the process is subject to the OSHA process safety management
                   standard (29 CFR 1910119)  Most ethanol plants that handle risk
                   management plan toxic chemicals are Program 3 facilities.
          If you aren't sure whether this rule applies to your facility or
                   which program (1, 2, or 3) applies, call the
                       EPA HOTLINE for assistance at:
                    (800) 424-9346 or (800) 553-7672 (TDD).
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Program Responsibilities

Once you have determined your facility's program level, the following table summarizes
what the corresponding requirements are.
Program Level
Management
System
Program 1
40 CFR 68.12 (b)
None required
Program 2
(40 CFR 68.12 (c))
&
Program 3
(40 CFR 68.12 (d))
Required

HAZARD ASSESSMENT
Worst-Case
Scenario
Alternative
Release
Five-Year
Accident History
One for each covered process.
None required
Provide information for
accidental releases from covered
processes that resulted in:
l.On-site deaths, injuries, or
significant property damage; or
2.Off-site deaths, injuries,
evacuations, sheltering in place,
property damage, or
environmental damage.
One worst-case representative of
all regulated toxics and one
representative of all regulated
flammables.
One for each regulated toxic and
one representative of all
flammables.
Provide information for
accidental releases from covered
processes that resulted in:
l.On-site deaths, injuries, or
significant property damage; or
2. Off-site deaths, injuries,
evacuations, sheltering in place,
property damage, or
environmental damage.

Prevention
Program
None required
Required

Emergency
Response Program
Must ensure that facility is
included in the community
emergency response plan. For
facilities with only flammables,
coordinate response actions with
local fire department.
Required unless employees will
not respond to accidental releases
and facility is included in
Community Emergency Response
plan, response actions for
regulated flammable substances
are coordinated with local fire
department, and public responder
notification mechanisms are in
place.

Submit a Risk
Management Plan
Required
Required
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

Management System
The management system referred to in the table on the previous page is a requirement for
Program 2 and Program 3 facilities to oversee their risk management programs. Facilities are
required by 40 CFR 68.15 to do the following:
   1.  Develop a management system to oversee implementing the risk management
       program elements
   2.  Designate a qualified person or position with the overall responsibility for
       developing, implementing, and ensuring integration of the risk management program
       elements; and
   3.  Document names of people or positions and define lines of authority through  an
       organizational chart or other similar document
Prevention Program
Please consider the following when building a prevention program on OSHA's process safety
management standard or creating a new program:
   •  Assessing all hazards that could affect the public or the environment off site
   •  Integrating elements of the prevention program to ensure each change in any element
      in the program leads to review of other elements
   •  Involving staff early to secure their input in developing a concise and comprehensive
      program
   •  Visiting facilities that have successful accident prevention programs to learn of their
      implementation procedures; and
   •  Applying inspection checklists to determine areas in need of improvement


Hazard Assessment
The hazard assessment referred to in the table on the previous page must include a worst-case
scenario for Program 1 facilities and an off-site consequence analysis for each covered
Programs 2 or 3 process as follows:
   •  Worst-case and alternative release scenarios require that potential exposures to
      human populations be quantified and potential environmental damage identified
   •  Revised analyses and a revised risk management plan are required by 40 CFR 68.36
      within six months of changes in processes or any changes that increase or decrease
      the distance to an endpoint by a factor of two or more; and
   •  Worst-case and alternative release scenarios must be reviewed and updated at least
      once every five years

Many facilities provide an accurate map showing these  scenario distances (although not
required) to the local emergency planning committee for their planning purposes.
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Facilities subject to EPA's risk management program must also provide information on any
accidental releases that resulted in deaths, injuries, significant property damage, evacuations,
sheltering in place or environmental damage.
       Hazard Assessment Resources
        •  Risk Management Program Guidance for Off site Consequence Analysis,
           available at www.epa.gov/emergencies/guidance.htmtfrmp.

        •  Appendix E of EPA's General Risk Management Program Guidance, available
           at www.epa.gov/emergencies/guidance.htmtfrmp.

        •  EPA's Technical Background Document for Offsite Consequence Analysis for
           Anhydrous Ammonia, Aqueous Ammonia, Chlorine, and Sulfur Dioxide (April
           1999), available at www.epa.gov/emergencies/guidance.htmtfrmp.


        •  RMP*Comp™ software program developed by the National Oceanic and
           Atmospheric Administration and EPA, available at
           www.epa.gov/emergencies/tools.htm.

       Facilities may choose to use publicly available or proprietary air dispersion
       models to do off-site consequence analysis. However, modelers should carefully
       review 40 CFR Part 68 requirements  and EPA's General Risk Management
       Program Guidance to ensure compliance with the required conditions.
Your prevention program requirements might already be satisfied if your facility is in
compliance with OSHA's process safety management standard, which is the basis for the
Risk Management Program 3, with the addition of the off-site consequence analysis.
Program 3 regulatory references are listed on the next page.

Program 2 prevention requirements address process safety management elements tailored to
the less complex processes and chemical usage and involve less documentation than Program
3. Program 2 processes demonstrate compliance by following industry standards and codes,
engineering practices, and federal and state regulations. Program 2 regulatory references are
listed below.

Program 1 processes have no prevention program requirements.
                                APPENDIX E - SUMMARY
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7
                  Prevention Program Regulatory Reference
Section
68.48
68.50
68.52
68.54
68.56
68.58
68.60
Program 2
Safety Information
Hazard Review
Operating Procedures
Training
Maintenance
Compliance Audits
Incident Investigation
Section
68.65
68.67
68.69
68.71
68.73
68.75
68.77
68.79
68.81
68.83
68.85
68.87
Program 3
Process Safety
Information
Processes Hazard
Analysis
Operating Procedures
Training
Mechanical Integrity
Management of Change
Pre-Startup Review
Compliance Audits
Incident Investigation
Employee Participation
Hot Work Permit
Contractors
Five-Year Accident History
A five-year accident history must be completed and included within a facility's risk
management plan by 40 CFR 68.42 and 68.168 if the release caused at least one of the
following:

   •   On-site deaths, injuries, or significant property damage; or

   •   Known off-site deaths, injuries, property damage, environmental damage,
       evacuations, or sheltering in place

The facility's risk management plan must be modified to include a reportable accident within
six months after its occurrence. A five-year accident history report must include:

   •   Date and Time. Date and approximate time when accidental release began

   •   Chemical(s)

   •   Quantity Released. Estimate of amount released (using at least two significant digits
       when possible)

   •   Release Event.  Identify cause of release event, for example a gas release, liquid
       spill, evaporation, fire, explosion, etc.

   •   Release Source. Indicate release source(s), for example a storage or process vessel,
       piping, transfer hose, valve, pump, etc.
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

   •   Weather Conditions. On-site weather station, or the nearest weather station,
       information, for example the wind speed and direction, temperature, atmospheric
       stability class, precipitation. Also, many local airports will have and provide current
       weather conditions.

   •   On-Site Impacts. On-site effects including deaths, injuries, property damage.

   •   Known Off-Site Impacts. Deaths, injuries, evacuations, shelter-in-place,
       environmental damage.

   •   Initiating Event. Immediate cause of accident, for example an equipment failure,
       human error, weather conditions, theft.

   •   Contributing Factors. Factors contributing to the release, but not the initiating event.
       For example, equipment failure, human error, improper procedures, over
       pressurization, upset condition, bypass condition, maintenance activity/inactivity,
       process design, unsuitable equipment, unusual weather conditions,  management error.

   •   Off-site Emergency Responder Notifications. If known, indicate  the emergency
       response agencies that were contacted, such as the police, fire, EMS, LEPC, SERC,
       and/or NRC.

   •   Changes Resulting from Accident. Measures taken to prevent recurrence (e.g.,
       improved/upgraded equipment, revised maintenance, revised training, revised
       operating procedures, new process controls, new mitigation systems, revised
       emergency response plan, changed process, reduced inventory).

Emergency Response Program
A facility has the option to coordinate its response with its LEPC, with the intent that the
facility employees will NOT be responding to an accidental release (40 CFR 68.90(b)). If this
is the case, then the emergency response program must have mechanisms in place to notify
emergency responders and the facility is NOT required to comply with the requirements for
40 CFR 68.95, as described below.

If the facility employees will be responding to the emergency, Program 2  and Program 3
facilities and its employees must follow the steps outlined in the emergency response
program (40 CFR 68.95). The facility must have:
   •   Procedures for informing the public and local emergency response  agencies about
       accidental releases
   •   Documentation of proper first-aid and emergency medical treatment for accidental
       human exposure
   •   Procedures and measures for emergency response after an accidental release
   •   Procedures for using and maintaining emergency response equipment
   •   Training for employees in their emergency response responsibilities; and
   •   Procedures to review and update the emergency response plan

                               APPENDIX E - SUMMARY
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

Emergency Response Plans
Emergency response plans developed to comply with other federal contingency planning
requirements can meet the above requirements if they include the 40 CFR Part 68 required
elements. The emergency response plan must be facility-specific. It must be maintained and
kept at the facility.

Registration
Each registration must include, but is not limited to:
1 .Facility Name and Address
2.Contact Person at Facility
3.Names and Quantities of Regulated Chemicals On-Site; and
4.North American Industry Classification System Code (information on NAICS codes can be
found at: http://www.census.gov/epcd/www/naics.html.  Click on NAICS under the
"Business" heading).

Risk Management Plan Updates and Resubmittals
A facility must update and resubmit its risk management plan within six months of:
       1. A change that requires a revised off-site consequence analysis (40 CFR 68.36)
       2. A change that requires a revised hazard review or process safety analysis
       3. A change that results in a change in program level of a covered process.  The
         implementing agency for this regulation can ask the facility to revise the risk
         management plan under the audit provisions of 40 CFR 68.220. Risk management
         plans must be revised and resubmitted at least once every five years; or
       4. The date of an accident that meets the criteria for the five-year accident history
         after April 9,  2004

A facility must update and resubmit its risk management plan within one month of a change
of the emergency contact information.

Facilities no longer covered under the risk management plan rule are required by 40 CFR
68.190(c) to "de-register" with EPA within six months of the time it is no longer covered.
(See Chapter 8 of RMP*Submit User 2004 Manual.  The RMP Submit 2004 software can be
downloaded at:  http://www.epa.gov/emergencies/content/rmp/rmp_submit_2004.htm.
                               APPENDIX E - SUMMARY
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Plan to Work Safely - Best Practices
Accidents are preventable through increased operator training, improved procedures, and
better communication of lessons learned. A major component of working safely is to develop
and implement "best practices" at your facility. Best practices are intended to help facility
engineers and operators:
   •  Learn from experiences of other facility engineers and
      operators

   •  Encourage proactive measures to minimize and prevent
      accidents relating to ethanol operations

   •  Recognize specific actions taken to improve process safety,
      prevent accidents, and enhance emergency planning and
      response efforts; and

   •  Be better prepared to help facility managers understand and
      approve the efforts required to incorporate these and other
      best practices
Best practices in the ethanol industry are still being established. According to the American
Petroleum Institute, "the oil and natural gas industry is becoming an increasingly safer place
to work, despite a job environment that often involves heavy equipment, hazardous materials,
high temperatures and high pressure equipment. This is reflected by a declining rate of
illnesses and injuries..." For more safety tips, please visit: www.api.org
             Under the Clean Air Act Section 112(r)(l), facilities
             having extremely hazardous substances, including
           ethanol facilities of any size, have a GENERAL DUTY
         "to prevent releases, and to minimize the consequences of
             accidental releases which do occur." Implementing
          "BEST PRACTICES" helps facilities to comply with this
                                      law.
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Additional Risk Management Plan Resources
Risk management plan guidance documents and training modules are available through the
following sources:

   •  EPA's Office of Emergency Management at www.epa.gov/emergencies.
   •  EPA's Emergency Planning and Community Right-to-Know Act
       hotline at (800) 535-0202; or
   •  EPA's Technology Transfer Network at www.epa.gov/ttn

Confidential Business Information
Facilities can claim some risk management plan information as confidential business
information. EPA then determines the validity of the facility's claim. The information can be
released if EPA determines that the information is not confidential and has notified the
facility. If EPA determines that the information is confidential, a local emergency planning
committee might be able to obtain the information under 40 CFR 2.301(h)(3). That
regulation provides for sharing confidential business information with state and local
agencies having responsibilities under the Clean Air Act or its implementing regulations.
Local committees can only gain access to confidential data under this rule if they can protect
its confidentiality.

Local emergency planning committees, under Emergency Planning and Community Right-
to-Know Act Section 303(d)(3), can compel Section 302 facilities to provide any information
necessary to develop and implement a community emergency plan. A Section 302 facility
must comply with requests from a local committee for information even if the facility has
made a valid confidential business information claim.
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          Environmental Laws Applicable to Construction and
                  Operation of Biodiesel Production Facilities
             U.S. Environmental Protection Agency Region 7
APPENDIX E - SUMMARY
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                                                 Environmental Laws Applicable to Construction and
                                                          Operation of Biodiesel Production Facilities
                                                     U.S. Environmental Protection Agency Region 7
APPENDIX F  -  DO I NEED A FACILITY  RESPONSE  PLAN?
If your facility is regulated under the Spill Prevention,
Control and Countermeasure regulation and an oil discharge
from your facility could reasonably be expected to cause
"substantial harm" to the environment from a discharge to
navigable waters of the United States or the adjoining
shorelines, you must prepare and implement a facility
response plan and submit the plan to the appropriate EPA
regional office.
The flowchart of criteria for substantial harm, below, shows the questions you must answer
to determine if your facility can be classified as a substantial harm facility. The classification
can be met in one of two ways:
    •   Your facility meets the substantial harm criteria outlined in 40 CFR 112.20(f)(l); or
    •   An EPA regional administrator determines that your facility poses a threat of
        substantial harm to the environment.
The following table is from 40 CFR Part 112, Appendix C
         Flowchart of Criteria for Substantial Harm
          Does the facility transfer oil over
          water to or from vessels and
          does the facility have a total oil
          storage capacity greater than or
          equal to 42,000 gallons?
Yes
                  No
          Does the facility have a total oil
          storage capacity greater than or
          equal to 1 million gallons?
                  No
      Submit Response Plan
    Within any aboveground storage
    tank area, does the facility lack
    secondary containment that is
    sufficiently large to contain the
    capacity of the largest
    aboveground oil storage tank
    plus sufficient freeboard to allow
    for precipitation?
    is the facility located at a
    distance1 such that a discharge
    from the facility could cause
    injury to fish and wildlife and
    sensitive environments2?
                                          Ho
                                 Is the facility located at a
                                 distance1 such that a discharge
                                 from the facility would shut
                                 down a public drinking water
                                 intake'?
                                          Ho
                                 Has the facility experienced s
                                 reportable oil spill in an amount
                                 greater than or equal to 10,000
                                 gallons within the last 5 years?
           No Submittal of Response Plan
              Except at RA Discretion
1 Calculated using appropriate formulas in
 Appendix C of 40 CFR 112, Attachment C-III
 or a comparable formula.

2 For further description of fish and wildlife and
 sensitive environments, see appendices I, II, and
 III to DOC/NOAA's "Guidance for Facility and
 Vessel Response Plans: Fish and Wildlife and
 Sensitive Environments" (59 FR 14713, March
 29, 1994) and the applicable Area Contingency
 Plan.

3 Public drinking water intakes are analogous to
 public water systems as described at 40 CFR
 143.2 (c).
                       APPENDIX F - DO I NEED A FACILITY RESPONSE PLAN?
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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7
Over Water Transfers
You can determine whether your facility meets the over water transfer criterion by answering
the following question:

Does your facility transfer oil over water to or from vessels, and does your facility have
an oil storage capacity of 42,000 gallons or more?

In order to answer the above question you must first know the following:

      •  Your facility's oil storage capacity can be determined by adding the capacities of
         all oil storage containers, such as drums, tanks, electrical equipment, including
         above ground containers with a capacity of 55 gallons or more.
      •  A vessel means any type of watercraft capable of being used as a means of
         transportation on water.

If you answered "yes" to the above question, your facility might pose a risk of substantial
harm and you must prepare and submit a facility response plan to the regional administrator.

If you answered "no," you must consider whether your facility meets any of the criteria for
facilities with 1 million gallons or more of oil storage capacity.  (Please see the next section.)
Oil Storage Capacity
You can determine whether your facility meets the oil storage capacity criterion by
answering the following question:

Does your facility have a total oil storage capacity of 1 million gallons or more?

If you answered "yes" to the above question, you need to further evaluate the following
criteria:
      •  Secondary containment
      •  Proximity to fish and wildlife and sensitive environments
      •  Proximity to public drinking water intakes
      •  Reportable discharge of 10,000 gallons or more within the last five years

If you answered "no," you do not have to prepare and submit a facility response plan except
at the discretion of the EPA regional administrator. Instead, you are required to prepare a
certification that your facility is not a substantial harm facility (40 CFR 112, Appendix C,
Attachment C-II) and maintain this at your facility along with your spill prevention, control
and countermeasures plan.
                   APPENDIX F - DO I NEED A FACILITY RESPONSE PLAN?
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                                         Environmental Laws Applicable to Construction and
                                                Operation of Biodiesel Production Facilities
                                            U.S. Environmental Protection Agency Region 7

Secondary Containment
You can determine whether your facility meets the secondary containment criterion by
answering the following question:

Does your facility lack secondary containment large enough to hold the capacity of the
largest aboveground storage tank within each storage area plus sufficient freeboard to
allow for precipitation?

If you answered "yes" to the above question, your facility is a substantial harm facility,  and
you have to prepare, submit, and implement a facility response plan.

If you answered "no," you do not have to prepare and submit a facility response plan because
of the secondary containment criterion. You must consider whether your facility meets other
specified factors. (Please see the next section.)
Fish and Wildlife and Sensitive Environments
You can determine whether your facility meets the fish and wildlife and sensitive
environments criterion by answering the following question:

Could a discharge from your facility cause injury to fish and wildlife and sensitive
environments?

You must determine the following to answer the above question:
    •   Calculate the distance that discharged oil could travel from your facility before it is
       contained. You should use the planning distance calculations for fish and wildlife and
       sensitive environments to identify all fish and wildlife and sensitive environments
       within the planning distance. (See 40 CFR 112, Appendix C, Attachment C-III.)
    •   According to 40 CFR 112.2, injury means a measurable adverse change, either long-
       or short-term, in the chemical or physical quality or the viability of a natural resource.
       The change can result either directly or indirectly from exposure to a discharge of oil;
       from exposure to a product; or from reactions resulting from a discharge of oil.
    •   You must check other sources to determine what constitutes an area that is sensitive
       for fish and wildlife or the environment. These areas are identified by their legal
       designation, by evaluations conducted by area committee members or members of the
       federal on-scene coordinators' discharge response structure, or in an area contingency
       plan. These areas  can be identified either because of sensitivity to the effects of a
       discharge event or danger to human health. Examples of these environments include:
       o  Wetlands
       o  National and state parks
       o  Critical habitats for endangered species
       o  Wilderness and natural resource areas
       o  Marine sanctuaries and estuarine reserves
       o  Conservation areas

                   APPENDIX F - DO I NEED A FACILITY RESPONSE PLAN?
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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7

       o  Preserves
       o  Wildlife areas
       o  Wildlife refuges
       o  Wild and scenic rivers
       o  Recreation areas
       o  National forests
       o  Federal and state lands that are research natural areas
       o  Heritage program areas
       o  Land trust areas; and
       o  Historical and archeological parks
    •  Additional information about fish and wildlife and sensitive environments is in
       Appendices I, II,  and III to Department of Commerce/National Oceanic and
       Atmospheric Administration's Guidance for Facility and Vessel Response Plans: Fish
       and Wildlife and  Sensitive Environments [59 FR 14713 (March 29, 1994)].

If you answered "yes" to the above question, your facility is a substantial harm facility, and
you have to prepare, submit, and implement a facility response plan.

If you answered "no," you  do not have to prepare and submit a facility response plan because
of the fish and wildlife and sensitive environments criterion. You must consider whether your
facility meets other specified factors. (Please see the next section.)
Public Drinking Water Intakes
You can determine whether your facility meets the public drinking water intake criterion by
answering the following question:

Could a discharge from your facility affect public drinking water intakes?

To answer the above question, you must first determine the following:

    •  You must calculate the distance that discharged oil could travel from your facility
       before it is contained. To do so, you may use the formulas provided in the regulation.
       (See 40 CFR 112, Appendix C, Attachment C-III.)

    •  A system is a public water system if it provides piped water for human consumption
       and has at least 15 service connections or regularly serves at least 25 individuals.

    •  Public drinking water systems include collection, treatment, storage and distribution
       facilities.

    •  To locate a downstream public drinking water intake, consult the appropriate area
       contingency plan, and contact the municipal or county water authority for each area
       that might be affected by an oil discharge from your facility.
                   APPENDIX F - DO I NEED A FACILITY RESPONSE PLAN?
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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7
If you answered "yes" to the above question, your facility is a substantial harm facility, and
you have to prepare, submit, and implement a facility response plan.

If you answered "no," you do not have to prepare and submit a facility response plan because
of the public drinking water intake criterion. You must consider whether your facility meets
other specified factors. (Please see the next section.)
Oil Spill History
You can determine whether your facility meets the reportable discharges criterion by
answering the following question:

Has your facility had a reportable discharge of 10,000 gallons or more within the last
five years?

If you answered "yes" to the above question, your facility is a substantial harm facility, and
you have to prepare, submit, and implement a facility response plan.

If you answered "no," and have followed the sequence of questions to reach this final
question, you do not have to prepare and submit a facility response plan except at the
discretion of the EPA regional administrator. Instead, you are required to complete and
maintain a certification (with your spill prevention, control and countermeasure plan) that
your facility is not a substantial harm facility.
Certification of Non-Substantial Harm
If none of the substantial harm criteria applies to your facility, as described in 40 CFR
112.20(e) and in Appendix C, paragraph 3.0 of Part 112, you must complete and maintain at
your facility, within your spill prevention, control and countermeasure plan, a certification
form indicating that you have determined that your facility is not a "substantial harm"
facility. If you decide to use an alternative formula (i.e., one that is not described above or in
40 CFR 112.20(f)(l)(ii)(B) or (C)) to determine that your facility does not meet the
substantial harm criteria, you must attach documentation to the certification form that
demonstrates the reliability and analytical soundness of the comparable formula and you
must notify the EPA regional administrator in writing that you used an alternative formula.
                   APPENDIX F - DO I NEED A FACILITY RESPONSE PLAN?
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                       Environmental Laws Applicable to Construction and
                              Operation of Biodiesel Production Facilities
                          U.S. Environmental Protection Agency Region 7
APPENDIX F - DO I NEED A FACILITY RESPONSE PLAN?
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APPENDIX G - POLLUTION PREVENTION INSIGHTS AND BEST
                  PRACTICES

EPA Region 7 tasked the expert researchers at the Pollution Prevention Resource Information Center
(www.P2RIC.org ) to provide updates on the science and best practices of biofuels production.  These
summaries are intended to assist businesses with pollution prevention strategies.
Pollution Prevention Insights
   •  A Dry Wash Approach to BiodieselPurification, BioDieselMagazine. November 2007.
      www.biodieselmagazine.com/arti cle.j sp?article_id= 1918&q=Dry%20Washing&category_id=21
          >  Water management, both as an input and as wastewater, and the major expense for water
             removal equipment, has become the single largest production cost.
          >  The wet washing process raises the fuel's water content in excess of 1,000 parts per
             million. Water removal is expensive, difficult and time-consuming.
          >  Dry washing replaces water with a magnesium silicate powder to neutralize fluid
             contaminants.
          >  The dry wash process creates high-quality fuel. Since water is not added in the dry wash
             process, production is more likely to achieve water content less than 500 parts per
             million in accordance with ASTM D 6751.
          >  The magnesium silicate from the dry wash process can be reused. Magnesol used in the
             dry wash process has commercial use as compost and an animal feed additive.
          >  Magnesol holds fuel source potential.

   •  Thar to produce BioDiesel without hexane, BioDiesel Magazine, March 2008.
      www.biodieselmagazine.com/article.jsp?article_id=2099&q=New
      %20Technology&category_id=21
          >  In March 2008, Thar Technologies Inc. announced a new initiative to develop cost-
             effective technology for the mass production of biodiesel. The new process will use
             high-pressure carbon dioxide rather than hexane, a hazardous air pollutant, to extract oil
             from edible and inedible oilseed feedstocks.
          >  Initial funding for the initiative was obtained through a $2 million grant from the
             Advanced Technology Program of the National Institute of Science and Technology.

   •  Monitoring Biodiesel Production using in situ viscometer, Chemical Engineering Journal.
      2008, Naoko Ellis
          >  The use of a viscometer can reveal when the reaction has reached its end point. A
             plateau in the viscometer curve readout reveals that the end of the reaction has been
             reached.
          >  The viscometer data can also show when a reaction has been unsuccessful. The data will

                APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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          not display a unique plateau pattern when a reaction is unsuccessful.
       >  A viscometer can be implemented in Biodiesel plants to help monitor the reaction
          process continually to help reduce product loss.

•  Towards Producing a Truly Green BioDiesel, Energy Sources. Part A. 2008. A.B. Chhetri
       >  Use methanotrophs to produce methanol from a wide variety of wastes. Methanotrophs
          are aerobic bacteria which utilize methane as their sole carbon and energy source.
          Methane gas can be used to produce methanol, using methanotrophs, instead of using
          methane.
       >  Use ethyl alcohol fermented from grain-based biomass,  such as corn or sweet sorghum
          and molasses from sugar, for alcoholysis of vegetable oils or fats.
       >  Potassium hydroxide derived from wood ash or sodium  hydroxide derived from sea salt
          can be used as a catalyst along with bio-based methanol in the production of Biodiesel.

•  Influence of Feedstock and Process Chemistry on Biodiesel Quality, Institution of Chemical
   Engineers: Process Safety and Environmental Protection. 2007, S. Saraf
       >  The transesterification reaction yield/conversion is affection by the following variables:
          molar ratio, temperature, impurities, and catalysts.
       >  Recommend a starting material should have a free fatty  acid content of less than 0.5
          weight percent. The waste in cooking oil is generally high in free fatty acids (-2.0
          weight percent).
       >  Hydroxide catalysts resulted in increased saponification (formation of soap) side-
          reaction and higher solubility of fatty acid methyl esters in glycerol leading to reduced
          Biodiesel yields.
       >  Temperature control is important not to produce  any other side reactions.

 •  Solazyme Produces World's First Algal-Based Jet Fuel, South  San Francisco, California,
    September 9, 2008. www.solazyme.com
       >  Fuel passes all tested specifications including the most critical ASTM D1655
          Specifications.
       >  A unique algal conversion process allows algae to produce oil in  large tanks quickly,
          efficiently and without sunlight. The process can employ a variety of non-food
          feedstocks, including cellulosic materials such as agricultural residues and high-
          productivity grasses including bagasse and switchgrass as well as industrial byproducts
          such as crude glycerol.
             APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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•  Biodiesel from Used Frying Oil. Variables Affecting the Yields and Chacteristics of the
   Biodiesel, American Chemical Society. 2005, Jose M. Encinar
       >  The methanol/oil molar ratio was one of the variables that had more influence on the
          process. The best results were obtained at a molar ratio of 6:1.
       >  The transesterification progress was satisfactory at room temperature, which could be
          very interesting for industrial-scale production due to the energy savings that it would
          imply.

•  Room-Temperature Conversion of Soybean Oil and Poultry Fat to Biodiesel Catalyze by
   Nanocrystalline Calcium Oxides, Energy and Fuels. 2006, Chinta Reddy
       >  Nanocrystalline calcium oxide is an efficient catalyst for the  production for
          environmentally compatible biodiesel fuel in high yields at room temperature using
          soybean oil and poultry fat as raw materials.
       >  The reason nanocrystalline calcium oxides would be considered more favorable is the
          reduction in energy consumption.

•  Biodiesel Production Technology,  National Renewable Energy Laboratories, 2004, J.  Van
   Gerpen, www.methanol.org/pdf/BiodieselProductionTechnology.pdf
       >  The shear created by a centrifugal pump can create emulsion problems for the product
          stream from the biodiesel reactor.
       >  Positive displacement pumps are more desirable. Example: internal or external gears or
          lobe pumps.
       >  Mechanical crushing is preferred for smaller plants because it requires a smaller
          investment. Typically plants that process less than 100,000 kilograms/day use
          mechanical crushing and plants that process more than 300,000 kilograms/day use
          solvent extraction.
             n   Before the oil can be extracted, the seeds must be prepared. This involves
                 removing stems, leaves, stones, sand, dirt, iron, and weed seeds. After cleaning,
                 the seeds are often  dehulled. The hulls are abrasive and contain very little oil
                 (less than 1%). Removing the hulls reduces the wear  on the screw press. It can
                 also increase the extraction of oil because the hulls absorb oil.
       >  A key quality factor for the primary alcohol is the water content. Water interferes with
          transesterification reactions and can result in poor yields and high levels of soap, free
          fatty acids, and triglycerides in the final fuel.
             APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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                                                Environmental Laws Applicable to Construction and
                                                       Operation of Biodiesel Production Facilities
                                                   U.S. Environmental Protection Agency Region 7

•  North Carolina community college hires biofuels instructor, offers biofuels degree, Biodiesel
   Magazine. May 2008
       >  The program will train students to work in three areas: using vegetable oils to produce
          biodiesel; primarily corn-based ethanol production; and the production of biofuels from
          biomass including grasses, landfill and hog waste.
       >  The courses will include biofuels analytics, biofuels waste management and renewable
          energy technology. As part of the interdisciplinary approach, students will also take
          courses in chemistry, electrical control systems, welding, bioprocessing practices and
          small business development.
       >  Graduates of the program are expected to qualify for numerous positions within the
          industry including plant technician, plant manager, lab technician, sales manager,
          process coordinator or business owner.

•  Professional Engineering; December 12, 2007,  Vol. 20 Issue 22, p47-47
       >  Scientists at the University of Leeds are turning low grade sludge into hydrogen-rich
          gas. Researchers are converting glycerol into hydrogen gas.
       >  "The process developed by Dr  Valerie Dupont and her co-investigators in the faculty of
          engineering at the university mixes glycerol with steam at a controlled temperature and
          pressure, separating the waste product into hydrogen, water and carbon dioxide, with no
          residues. An absorbent material filters out the carbon dioxide, which leaves a much
          purer product."
       >  The CO2 that is generated is not produced from fossil fuels.

•  Optimization of bio-hydrogen production from biodiesel wastes Klebsiellapneumoniae,
   Biotechnology Journal. Vol. 2, no. 3, pp. 374-380. March 2007. Fei Liu
       >  Details components that need to be in place to maximize bio-hydrogen production

•  When Pollution is a By-Product of "Clean Fuel. " BioCvcle. April 2008, Vol 49 Issue 4, P14-14
       >  The discharges from biodiesel plants can be hazardous to birds and fish.
       >  The oil and glycerin deplete the oxygen content of the water very quickly and that will
          suffocate fish and other organisms.
       >  In January 2008, a Missouri businessman was  indicted in a glycerin discharge that killed
          at least 25,000 fish.

•  Catalysts in Production of Biodiesel, Journal of Biobased Materials and Bioenergy. Vol. 1, no
   l,pp 19-30. Apr 2007
       >  This paper is a 10,000 foot view of biodiesel. It reviews the literature regarding both
          catalytic and non-catalytic production of biodiesel.
       >  Provides information on the advantages and disadvantages of different methods and
          catalysts.

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Best Practices
   •  When using a batch reactor to produce biodiesel, the reactor should be closed-looped to capture
       the methanol.
       >  The methanol can be burned as a "biogas" to provide power to the plant or can sell the
          excess power to  the grid,  which is similar  to  what Waste  Management, Inc.,  does at
          landfills.

   •  The bi-products of burning methanol are CO2 and water.
       >  A carbon dioxide scrubber or "carbon capture"  system can be  useful in not allowing as
          much carbon dioxide to be released.

   •  A consideration for excess methanol is to convert the methanol to hydrogen, www.biodiesel.org/
       resources/reportsdatabase/reports/gen/2002100 l_gen-3 54.pdf

   •  If applicable, recycle methanol to continue to use in the process of making Biodiesel. Methanol
       is an essential ingredient in producing a compound called "sodium methoxide," which is a key
       component in producing Biodiesel

   •  Insulate all pipes, reactors, and anything  else that can be insulated.
       >  With temperature extremes occurring in the Midwest it is important to maintain consistency
          of temperature

   •  Use straighter larger pipes where possible
       >  Using larger pipes helps reduce friction.
       >  Less power and energy will be required from the pumps when using larger straighter pipes.
       >  Avoid elbows and curves; use only if need.

   •  Use energy optimization tools provided by the Department of Energy.
       >  Energy Savings Profiler wwwl.eere.energy.gov/industry/bestpractices/quickpep_tool.html
       >  Improving heating System Performance
          wwwl.eere.energy.gov/industry/bestpracti ces/pdfs/proc_heat_sourcebook.pdf

   •  Use non-virgin oil whenever possible to produce Biodiesel.
       >  Using cooking oil from restaurants or other large scale operations is a plus.
       >  The plant should try to obtain the same type of oil to improve consistency and quality of
          finished product.
          n  Example:  Obtain oil from all fried chicken restaurants (Similar to the system used in
             NYC.)
                APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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•  Consistency of water, on-site purification should be strongly considered.
   >   Maintain consistency of water by using second stage cleaning.
   >   Solar powered purification units can be used to purify water.
   >   The purification may only be viable in large scale production of biodiesel, should be
       considered on a plant by plant basis.

•  A excellent source of background information, an excellent technical reference guide from "The
   federal network for sustainability" is:
   >   www.federalsustainability.org/initiatives/biodiesel/biodieseltrg.htm
   >   This document contains valuable information for producers on the laws and incentives
       mandated and offered by the federal government.
   >   The one drawback to this article is that it is a little out of date. It was published in
       November 2005.

•  Bio-methanators should be considered as a way to produce "biogas" for plant use.

•  Geothermal and solar power should be considered as a way to reduce fossil fuel energy
   consumption.

•  Important to make sure that everything that will touch the biodiesel or methanol is lined or
   coated to prevent corrosion.
   >   Methanol eats uncoated plastic.
   >   Try  to avoid uncoated metal as it will rust and then contaminate the fuel making the fuel
       "rusty."
   >   Avoid having natural rubber seals or hoses that are in direct contact with the Biodiesel

•  Advantages of Proprietary Solid Catalyst Synthesis Process
   Texas Biodiesel holds the worldwide exclusive right to commercialize technology developed by
   the U.S. Department of Energy (DOE) Idaho National Laboratory. Visit
   www.texasbiodiesel.com/research.htm for more information.

•  Optimization of the Continuous Process for Biodiesel Production
   A study grant started by the DOE in 2005, awarded to the state of Alabama. The funding was
   canceled at the last minute,  so Alabama Biodiesel stepped up, raised the money and completed
   the study, www. eere. energy. gov/state_energy_program/proj ect_detail. cfm/sp_id=78 8

•  EPA Region 9 Innovative Research Project on Biodiesel Production
   Olof Hansen, EPARegion 9, (415) 972-3328
   Currently has a project going at the University of Nevada-Reno, on continuous computer
   controlled biodiesel production. The goal of this project is to reduce NOx emissions in the
   preproduction stage.

             APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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                                                   Environmental Laws Applicable to Construction and
                                                         Operation of Biodiesel Production Facilities
                                                     U.S. Environmental Protection Agency Region 7
                                                     Available Energy (BTU/gaiion)
Fuel Efficiency Statistics
Biodiesel contains 8% less energy per gallon than typical No. 2 diesel in the United States; 12.5% less
energy per pound. The difference between these two measurements is caused by the fact that biodiesel
is slightly more dense than diesel
fuel, so there are slightly more
pounds in a gallon of fuel.  All
biodiesel, regardless of its feedstock,
provides about the same amount of
energy.
                                        140,000
The difference in energy content can
be noticeable if one is using B100.
When using B20, the difference in
power, torque, and fuel economy
should be between 1% and 2%.
Most users report little difference
between B20 and No. 2 diesel fuel.
As the biodiesel blend level is
lowered, any differences in energy
content become diminished and        	
blends of B5 or less do not cause
noticeable differences in performance compared to diesel No.2 . Visit
www.nrel.gov/vehiclesandfuels/npbf/pdfs/40555.pdf for more information.
                                                Typical Diesel No. 2
Biodiesel (B100)
Continuous Process Biodiesel
The continuous process eliminates several neutralization and washing steps (and the associated waste
streams) needed for conventional processes using homogeneous catalysts, such as sodium hydroxide or
sodium methylate. In addition, the glycerin byproduct from Esterfip-H has a purity of better than 98%,
compared to about 80% from homogeneous-catalyzed routes. (Chemical Engineering Corp, 01-
DEC-07, Marshall, Rebekkah)

On average, using current refining equipment setup in a continuous flow process can have a conversion
efficiency of 0.98.  www.sage.wise.edu/energy/Biodiesel_Manuscript.pdf

Continuous process production can produce more consistent batches of biodiesel than batch reaction.
(reference biodieselmagazine.com/article-print.jsp?article_id=460
                 APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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                                   Environmental Laws Applicable to Construction and
                                          Operation of Biodiesel Production Facilities
                                      U.S. Environmental Protection Agency Region 7
APPENDIX G- POLLUTION PREVENTION INSIGHTS AND BEST PRACTICES
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APPENDIX H - DEFINITIONS OF ACRONYMS
Below is a list of common acronyms and their meanings. A more comprehensive list of
environmental terms and acronyms can be found at: www.epa.gov/OCEPAterms/

ANSI        American National Standards Institute
API          American Petroleum Institute
ASME       American Society of Mechanical Engineers
ASTM       American Society of Testing Materials
ATSDR      Agency for Toxic Substances and Disease Registry
BACT       Best Available Control Technology
BOD         Biochemical Oxygen Demand
BTU         British Thermal Unit
CAA         Clean Air Act
CAS         Chemical Abstracts Service
CBI          Confidential Business Information
CBOD       Carbonaceous Biochemical Oxygen Demand
CDE         Central Data Exchange
CEPPO       Chemical Emergency Preparedness and Prevention Office
CERCLA     Comprehensive Environmental Response, Compensation, and Liability Act (or
             "Superfund")
CESQG      Conditionally Exempt Small Quantity Generator
CFCs        Chlorofluorocarbons
CFR         Code of Federal Regulations
CO          Carbon Monoxide
CO2          Carbon Dioxide
CT          Counter-Terrorism
CWA        Clean Water Act
DDGS       Dried Distillers Grain with Solubles
DOT         U.S. Department of Transportation
EMS         Emergency Medical Service
EPA         U.S. Environmental Protection Agency
EPA HQ      U.S. Environmental Protection Agency Headquarters
EPCRA       Emergency Planning and Community Right-To-Know Act
ERPGs       Emergency Response Planning Guidelines
FAME       Fatty Acid Methyl Ester
FFARS       Fuel and Fuel Additive Registration  System
FR          Federal Register
FRP          Facility Response Plan
GPO         Government Printing Office
HAPs        Hazardous Air Pollutants
HAZMAT    Hazardous Materials
HAZWOPER  Hazardous Waste Operations and Emergency Response
HCFC       Hydrochloroflurocarbon
HP          Horsepower
ICP          Integrated Contingency Plan
ID           Identification
IDLH        Immediately Dangerous to Life and Health
ISO          International Standards Organization
kg           Kilogram
                        APPENDIX H- DEFINITIONS OF ACRONYMS
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                                          Environmental Laws Applicable to Construction and
                                                 Operation of Biodiesel Production Facilities
                                             U.S. Environmental Protection Agency Region 7
LAER        Lowest Achievable Emission Rate
LDR          Land Disposal Restriction
LEPC         Local Emergency Planning Committee
LQG          Large Quantity Generator
MACT        Maximum Achievable Control Technology
mg/L          Milligrams per liter
MMBru/hr     Million British Thermal Units per hour
MSDS        Material Safety Data Sheet
NAAQS       National Ambient Air Quality Standards
NAICS        North American Industry Classification System
NEPA        National Environmental Policy Act
NESHAP      National Emission Standards for Hazardous Air Pollutants
NFPA        National Fire Protection Association
NIOSH        National Institute for Occupational Safety and Health
NOAA        National Oceanic and Atmospheric Administration
NO2          Nitrogen Dioxide
NOX          Nitrogen Oxides
NOI          Notice of Intent
NPDES        National Pollutant Discharge Elimination System
NRC          National Response Center
NRT          National Response Team
NSC          National Safety Council
NSCEP        National Service Center for Environmental Publications
NSPS         New Source Performance Standards
NSR          New Source Review
NTIS          National Technical Information Service
OCA          Offsite Consequences Analysis
ODS          Ozone-Depleting Substance
OPA          Oil Pollution Act
OSHA        Occupational Safety and Health Administration
OSHRC       Occupational Safety and Health Review Commission
OSWER       Office of Solid Waste and Emergency Response
P2            Pollution Prevention
P&IDs        Piping and Instrumentation Diagrams
Pb            Lead
PEL          Permissible Exposure Limit
PHA          Process Hazard Analysis
PM           Particulate Matter
POTW        Publicly Owned Treatment Works
PPM          Parts per Million
PSD          Prevention of Significant Deterioration
PSM          Process Safety Management
PTD          Product Transfer Document
PTE          Potential to Emit
PWSS        Public Water Supply Supervision
RA           Regional Administrator
RCRA        Resource Conservation and Recovery Act
RFS          Renewable Fuel Standard
RICE         Reciprocating Internal Combustion Engine
RIN          Renewable Identification Number
                         APPENDIX H- DEFINITIONS OF ACRONYMS
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                                           Environmental Laws Applicable to Construction and
                                                  Operation of Biodiesel Production Facilities
                                              U.S. Environmental Protection Agency Region 7
RMP          Risk Management Plan
RQ           Reportable Quantity
RVO          Renewable Volume Obligation
SCBA        Self-Contained Breathing Apparatus
SDWA        Safe Drinking Water Act
SERC         State Emergency Response Commission
SIC           Standard Industrial Classification
SIU           Significant Industrial User
SO2           Sulfur Dioxide
SOCMI       Synthetic Organic Chemical Manufacturing Industry
SOPs          Standard Operating Procedures
SPCC         Spill Prevention , Control and Countermeasure
SQG          Small Quantity Generator
STEL         Short Term Exposure Limit
SWP          Source Water Protection
TC           Toxicity Characteristic
TCLP         Toxicity Characteristic Leaching Procedure
TDD          Telephone  Device for the Deaf
TPQ          Total Planning Quantity
TRI           Toxic Release Inventory
TSCA         Toxic Substances Control Act
TSDF         Treatment, Storage and Disposal Facility
UIC           Underground Injection Control
USDW        Underground Source(s) of Drinking Water
UST          Underground Storage Tank
UTS          Universal Treatment Standard
VOC          Volatile Organic Compounds
WHP          Wellhead Protection Program
                         APPENDIX H- DEFINITIONS OF ACRONYMS
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