Portland Air Quality and Toxics Questions and Answers

In 2009, USA Today published several articles about air toxics around U.S. schools including Portland area schools. The newspaper enlisted Johns Hopkins University and the University of Massachusetts to help them develop a relative ranking of schools' air quality. To estimate where over 250,000 schools across the country rank, they used the 2007 industrial emissions reported to EPA in the Toxics Release Inventory (TRI) and an EPA risk screening model. This EPA screening tool looks at the amount of toxic chemical releases, the degree of toxicity and the size of the exposed population in a school area and calculates a numeric score. This number is ranked against other scores of the schools in the country. Some Portland schools rank high because they are located near industrial facilities or large roadways. This study did not estimate air toxics concentrations or potential risk.

EPA has followed up on these rankings by implementing a monitoring project that will measure air toxics at schools across the country. This project includes schools identified through the USA Today report as being affected by industrial emissions, as well as schools identified through the National-Scale Air Toxics Assessment as being affected by a mix of industrial and non-industrial emissions.

As part of this national initiative, Oregon DEQ and EPA monitored for air toxics at two Oregon schools: Harriet Tubman Leadership Academy for Young Women in Portland and Toledo Elementary School in Toledo. Visit DEQ's page on Toxic Air Pollution Near Schools for more information.

Odors from ESCO are a significant concern. In general, while some odors can make you feel sick, this doesn’t always mean the odors are toxic. However, in ESCO’s case, the processes that emit most of the odors also emit some organic (non-metal) toxic air pollutants. While levels of these air toxics do not exceed health benchmark concentrations, measures that reduce odors will likely also reduce exposure to the organic air toxics. Prolonged exposure to significant odors can also lead to stress and mental health effects. DEQ is working with both the NW Neighborhood and ESCO to identify emission control measures that can reduce odors in the neighborhood.

ESCO is a source of many odor complaints. DEQ does not investigate each complaint individually. If there seems to be a concentration of complaints, DEQ staff will contact ESCO to see if something out of the ordinary occurred at the facility. Otherwise, ESCO’s permit writer will periodically review complaints with ESCO staff as part of an inspection or to review their semi-annual compliance certifications. DEQ staff also periodically investigates complaints of various odors throughout the NW Portland industrial sanctuary. DEQ enters all complaints into a database for tracking purposes.

An upset condition refers to an event that is not part of normal operations, such as equipment malfunction, that may result in higher than normal emissions. When an upset causes excess emissions, DEQ requires a company report the upset and to take corrective action. Failure to report and correct upsets may lead to enforcement and penalties. If upset conditions happen too frequently or are avoidable, DEQ can require improved maintenance and operation.

ESCO's metal melting and refining processes account for the majority of the toxic air pollutant metal emissions, but are generally odorless. ESCO emits metals as particulate matter during steel melting and argon-oxygen-decarburization processes. Metal finishing operations such as welding, grinding and sandblasting also cause lesser levels of metal emissions.

In general, a pollution control device called a baghouse does a good job of controlling particulate matter emissions and ESCO's metal melting and refining processes have baghouses. However, the baghouses currently do not capture all of the particulate emissions from each process. Some amount, called fugitive emissions, escapes. Control technology review initiated in late 2009 will help identify ways to reduce fugitive emissions.

ESCO's current air permit requires ESCO to report emissions of 36 organic hazardous air pollutants, including benzene and formaldehyde, and 10 metals that are hazardous air pollutants: nickel, chromium, manganese, lead, cadmium, cobalt, arsenic, antimony, mercury and selenium. One of the organic hazardous air pollutants, methyl ethyl ketone, is no longer listed as a hazardous air pollutant and will be taken out of the permit when it is renewed.

Local governments have siting authority, not DEQ. In the case of ESCO, the City of Portland has jurisdiction. When ESCO applied for an air quality permit, a Land Use Compatibility Statement (LUCS) signed by the City of Portland was included. A new LUCS is not needed every time a permit is renewed, unless there is a change to the facility which triggers a change in the land use. Although ESCO is subject to air quality regulations that apply to other foundries and other industrial facilities, the air pollution regulations generally are not designed or able to fully resolve problems caused by incompatible land uses. DEQ is working with both the NW Neighborhood and ESCO to identify emission control measures that can reduce odors in the neighborhood.

ESCO emits one specific glycol ether, ethylene glycol monobutyl ether (EGBE), that it must report for the Toxics Release Inventory. EPA does not classify EGBE as a hazardous air pollutant, therefore ESCO is not required to report it. The different reporting requirements for the Toxics Release Inventory and the Title V permit program result in ESCO reporting very different amounts of glycol ethers for each program. This gives the appearance that ESCO is underreporting glycol ethers for the Title V permit program. DEQ has determined that ESCO is reporting glycol ether emissions correctly for the Title V permit program.

Summary of ESCO's Glycol Ether Reporting.

ESCO has a Title V permit that was issued on August 23, 2008. The expiration date of that permit was August 1, 2009, but DEQ rules state that if a company submits a complete renewal application at least one year prior to the expiration date, the facility can continue to comply with the existing permit until a new permit is issued. DEQ received a renewal application on July 23, 2008.

DEQ reviews all permit conditions and applicable rules to ensure that the DEQ permit writer uses the most accurate and recent information to draft a new permit. This includes investigating all of the changes to the facility since the last renewal, examining the emission factors used to calculate emissions, reviewing the compliance monitoring methods, re-assessing the major or area source status with regard to hazardous air pollutants, and updating the format to the most current permit template. All of our draft permits are put on public notice so that the public can comment on them. All comments are considered and some may lead to changes in the draft permit. DEQ sends all Oregon Title V permits to the EPA Region Ten office in Seattle for review and comment. This provides another level of assurance from the federal perspective.

DEQ is reviewing ESCO's operations and regulatory requirements in preparation for the Title V permit renewal process in 2010. At a minimum, DEQ will update the permit to include the most current information about ESCO's emissions. DEQ will add emission limits required by regulations adopted since the permit was last modified, including federal limits on hazardous air pollutants. DEQ will require improved methods for ESCO to track and report on compliance with the permit.

During the permit review process, DEQ, ESCO or the public may identify other necessary changes. DEQ will work closely with the Northwest neighborhood and the facility to ensure a fair and thorough public process for the ESCO air quality permit renewal.

DEQ also is evaluating current and potential emission control options for odors, dust and air toxics emitted by ESCO through a two part process:

1. DEQ is requiring ESCO to conduct and submit its own evaluation of emission control options. ESCO has hired a consultant to prepare this "alternatives analysis" and will present it to DEQ in April 2010.
2. DEQ will contract with an independent third party to evaluate emission control options for ESCO by reviewing ESCO's emission control options report, considering emission controls used at other similar domestic and foreign foundries, and applying its own engineering expertise. DEQ has prepared a public Request for Proposals and will prepare a contract with the independent third party DEQ selects. DEQ expects this contract to begin in April 2010.

The independent third party report will contain recommendations for additional emission controls or process improvements above and beyond those required by DEQ's regulations. Upon completion, the ESCO report and the independent evaluation will be available to the public.

DEQ encourages community members and ESCO to work together to develop a good neighbor agreement as a way to explore voluntary options that ESCO could implement well ahead of regulatory strategies. Recommendations from the independent evaluation could provide options for a good neighbor agreement.

The emission factors in ESCO's permit were developed from a combination of source test results, product information, and emission factors developed by EPA or industry.

Many emission factors for hazardous air pollutants are composites that cover multiple operations at the facility. DEQ believes these composite emission factors were developed correctly. However, ESCO does source tests on individual operations. This makes it difficult, though not impossible, to see if the emission factors should be revised to reflect newer source test results. One of DEQ's primary goals during the ESCO air quality permit renewal is to have emission factors apply only to individual operations.

DEQ asked ESCO to propose new emission factors for individual processes, taking into account the results of the emissions testing that was required by the current permit. The proposed emission factors will be considered as part of the permit renewal process. In addition, the new emission factors will be used to determine if ESCO ever exceeded the hazardous air pollutant limits in the permit. These limits are nine tons per year of any single hazardous air pollutant or 24 tons per year of all combined hazardous air pollutants.

No. ESCO already meets the requirements for the new iron and steel foundry regulations.

The air permit issued in 2004 required ESCO to perform emissions tests on a number of different emission sources to get better information on what and how much is emitted. In general, the following processes and pollutants were tested:

• Electric arc furnace at the Main Plant – particulate matter and metals
• Argon-oxygen-decarburization unit at the Main Plant – particulate matter and metals
• Pouring, cooling and shakeout at the Main Plant – particulate matter and organic hazardous air pollutants
• Electric arc furnace and argon-oxygen-decarburization unit at Plant 3 – particulate matter and metals
• Pouring, cooling and shakeout at Plant 3 – particulate matter and organic hazardous air pollutants.
• DEQ will determine future testing requirements during the permit renewal process.

ESCO's PSEL meets the test for enforceability established by EPA guidance. The ESCO air quality permit includes a detailed description of how ESCO must report its emissions based on the emission factors in the permit. ESCO calculates emissions by multiplying emission factors by production levels. ESCO monitors its production and calculates emissions every month to ensure that it has not exceeded an emission limit. ESCO must keep records of its production. ESCO must certify compliance with its PSEL every six months. Falsifying the compliance certification can result in criminal penalties.

When the same company owns two facilities in the same type of business and are part of the same business operation, federal law requires DEQ to permit them as one industrial source. The two ESCO plants meet this definition so DEQ must permit them as a single source. As a single source, the plant site emission limits in the permit apply to both plants. This is more protective of air quality than if they had separate permits for each facility. As a single source, the emissions from both facilities are counted in determining whether the emissions are high enough to trigger more stringent emission control requirements.

ESCO's source testing and DEQ's monitoring of its compliance is an approach all U.S. environmental regulatory agencies use. It isn't practical to station inspectors at industrial facilities. Instead, regulatory agencies require facilities to comply with permits that specify what they must do to show they are in compliance. An air quality permit requires a facility to submit compliance reports and keep records of the information that is used to show compliance. DEQ does periodic inspections of the facility to check these records and to observe operations to verify that the facility is doing what its permit requires. Falsifying Title V air quality permit reports is a state and federal crime.

When a company exceeds its Plant Site Emission Limit (PSEL), DEQ writes a pre-enforcement notice and refers the case to the DEQ Office of Compliance and Enforcement for formal enforcement which may lead to a civil penalty. Exceeding a PSEL is a serious violation and would result in a civil penalty unless there were extenuating circumstances.

There could be other results associated with exceeding a PSEL. For example, if a foundry exceeded its hazardous air pollutant limits, DEQ would consider it a major source of hazardous air pollutants. Then the business would have to comply with the major source requirements that apply to steel foundries, rather than less stringent area source requirements for non-major sources. In addition, DEQ would increase the amount of the civil penalty by factoring in economic benefit. Economic benefit refers to the amount of money a facility saved by not complying with a rule. DEQ adds economic benefit to a civil penalty so that a company does not benefit from noncompliance.

Regulation of both industrial and non-industrial sources of air pollution is necessary to protect public health and the environment. The specific sources that contribute most vary by pollutant and location. While regulation of industrial emissions has been – and will continue to be – a major focus for DEQ, it is not possible to meet air quality standards and health benchmarks without regulating mobile sources, as well as non-industrial stationary sources known as "area sources." This group includes small businesses like dry cleaners and auto body shops and air pollution created by individuals who burn wood, use paint and small engines like lawn mowers.

DEQ has significant authority to regulate industrial emissions. The Environmental Quality Commission (EQC) establishes industrial emission limits based on federal requirements and additional authority state law provides. The EQC's rules may be more stringent than federal requirements, but they also must be consistent with state statutory policies and limitations.

The EQC's rule making authority is not unlimited. These policies require EQC's rules to be reasonable and consider overall public welfare of the state. The statutes require businesses to implement air pollution controls in a progressive manner with a focus on cooperation and conciliation as controls are ramped up. The programs established by the rules must fit within budgetary limits established by the legislature. The EQC must adopt the rules according to statutory procedures that require effective public notice, consideration of the views of affected parties and consideration of the rules' fiscal impacts on regulated businesses.

The Environmental Quality Commission (EQC) has authority to reduce emissions from cars and trucks. DEQ partners with the EPA, other state agencies, and local governments to regulate emissions from transportation sources. In addition, DEQ uses non-regulatory approaches to reduce emissions from these sources.

For cars and trucks, the EQC adopted the Oregon Low Emission Vehicle Program, which requires new passenger vehicles and light duty trucks to have reduced emissions. EPA adopted limits on emissions for new heavy-duty diesel trucks and engines. DEQ is implementing a voluntary program to reduce emissions from existing heavy-duty diesel trucks and engines, and the EQC has authority to regulate many of these sources if necessary in the future. DEQ also operates a vehicle inspection program in the Portland region and Medford, which ensures that the emission control systems in existing motor vehicles are properly maintained.

The EQC adopted regulations that reduce the ozone-causing emissions from gasoline, and worked with EPA to reduce emissions of benzene and other air toxics from gasoline. In the past, DEQ required additives to reduce carbon monoxide emissions from gasoline. DEQ works with other state agencies that require the use of renewable fuels in gasoline and diesel. DEQ currently is developing regulations to reduce greenhouse gas emissions from gasoline.

DEQ also works with the Oregon Department of Transportation, the Department of Land Conservation and Development and local governments on transportation and urban planning issues to reduce miles driven by motor vehicles. This includes the expansion of mass transit, measures to prevent urban sprawl and the development of transit-oriented design. In the Portland area, DEQ requires businesses to have commute trip reduction plans, and issues air quality advisories asking people to reduce driving during times when the air is stagnant.

The Environmental Quality Commission (EQC) has authority to reduce emissions from area sources. DEQ has regulatory and voluntary programs that cover a wide range of activities. The EQC adopted the nation's first limits on emissions from new woodstoves, and DEQ is developing regulations to ensure that high-emitting woodstoves are removed when homes are sold. DEQ restricts open burning in urban areas, and works with other agencies to limit agricultural and forestry burning. DEQ requires spray paints and certain consumer products to be reformulated to have lower emissions. DEQ requires gasoline fueling stations, automobile refinishing shops, dry cleaners and many other commercial operations to install controls to reduce emissions. DEQ's small business assistance program encourages small businesses reduce emissions beyond regulatory requirements.

There are no industrial emissions sacrificial zones in Portland. DEQ requires all industries to meet air quality regulations, regardless of where they are located. These include limits on emissions of particulate, volatile organic compounds, air toxics and other pollutants from categories of industrial businesses. In the Portland area, more stringent regulations apply to industries that contributed to violations of the ozone (smog) standard. DEQ is evaluating the need for more stringent industrial regulations to address local "hot spots" of air toxics through the Portland Air Toxics Solutions project.

While all industries must meet DEQ's air quality requirements, DEQ does not control where industries are located. Local governments make siting decisions through local land-use plans and zoning ordinances. DEQ requires industrial facilities to demonstrate that they are meeting local land use requirements before an air quality permit is processed, but DEQ cannot deny a permit on the basis of location if a facility meets air quality requirements. It is important for the public to engage early in local land use planning efforts. For more information on this, contact the City of Portland Bureau of Planning and Sustainability.

No. DEQ has adopted stringent regulations to reduce industrial air pollution in the Portland area, and is now evaluating the need for additional industrial regulations to address "hot spots" for air toxics.

Historically, the primary air quality challenge for the Portland area has been violation of federal health-based air quality standards for ozone (smog). Ozone is an area-wide pollutant, which is caused by emissions from motor vehicles, businesses, small engines and other sources. DEQ's ozone reduction plan included requirements to reduce emissions from industrial sources, including gasoline plants and terminals, tank and barge loading, asphalt manufacturing, wood and metal coating, degreasing, and printing. In some cases, DEQ requires new and expanding large industrial businesses to install stringent emission controls. DEQ also requires businesses to reduce air toxics emissions through regulations for chromium plating, painting, ship building and repair, printing, iron and steel foundries and other industrial operations, and gas stations. These regulations apply to industrial facilities throughout the Portland area.

With these regulations in place, DEQ is developing a plan to reduce the remaining risk from toxic air pollution in the Portland area through the Portland Air Toxics Solutions project that will develop a set of emission reduction measures to reduce the risk from air toxics in all neighborhoods in the Portland area. The plan will address pollutants such as benzene, which exceed health benchmarks throughout the Portland area, as well as pollutants such as manganese, which have elevated levels primarily around specific industrial facilities.

DEQ issues summertime air pollution advisories on hot, windless days when forecast shows that smog levels are rising. To prevent smog levels from reaching unhealthy levels, DEQ asks people, businesses and municipalities to voluntarily reduce smog-producing activities that can easily be deferred for a day or two, such using gas-powered equipment and painting.

Many businesses voluntarily participate by encouraging employees to take action to reduce pollution. If air pollution rises to extreme levels, DEQ can declare an air pollution emergency and require industries to implement emergency source emission reduction plans. However, when air pollution is not at extreme levels DEQ can't require industries to shut down. No place in Oregon has ever reached emergency air pollution levels.

There is one instance where DEQ has adopted a rule to limit industrial activity during air pollution advisories. DEQ developed requirements to restrict the transfer of fuel from one marine vessel to another during an advisory while developing the Portland's ozone reduction plan. As DEQ continues to evaluate the region's air quality with respect to potential new, lower ozone standards, DEQ may evaluate more regulations restricting industrial activities on air pollution advisory days.