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Page 1

4,1"1 San Joaquin Valley
AIR POLLUTION CONTROL DISTRICT HEALTHY AIR LIVING

DEC 01 2014

Dan Martin
E & J Gallo Winery
18000W River Rd
Livingston, CA 95334

RE: Final - Authority to Construct! Certificate of Conformity (Significant
Modification)
Facility Number: N-1237
Project Number: N-1133659

Dear Mr. Martin:

The Air Pollution Control Officer has issued the Authority to Construct permit to E & J
Gallo Winery for the installation of eight (8) 35,000 gallon wine storage tanks and twenty
four (24) 56,000 gallon red and white wine fermentation tanks, at 18000 W River Rd,
Livingston, CA. Enclosed are the Authority to Construct permit and a copy of the notice
of final action to be published approximately three days from the date of this letter.

Notice of the District's preliminary decision to issue the Authority to Construct permit
was published on April 3, 2014. The District's analysis of the proposal was also sent to
GARB and US EPA Region IX on March 31, 2014. All comments received following the
District's preliminary decision on this project were considered.

Also enclosed is an invoice for the engineering evaluation fees pursuant to District Rule
3010. Please remit the amount owed, along with a copy of the attached invoice, within 60
days.

Northern Region

4800 Enterprise Way

Modesto, CA 95356-8718

Tel: (2091557.6400 FAX: (209) 557-6475

Seyed Sadredin

Executive Director/Air. Pollution Control Officer

Central Region (Main Office)

1990 E. Gettysburg Avenue

Fresno, CA 93726-0244

Tel: (559) 230-6000 FAX: (559) 230-6061

www.valleyair.org www.healthyairliving.com

Southern Region

34946 Flyover Court

•Bakersfield, CA 93308-9725

Tel: 661•392-5500 FAX: 661-392-5585

Prnts1 an myth., PAW. CI

Page 58

so San Joaquin Valley
AIR POLLUTION CONTROL DISTRICT HEALTHY AIR LIVING -

AUTHORITY TO CONSTRUCT
PERMIT NO: N-1237-719-0

LEGAL OWNER OR OPERATOR:
MAILING ADDRESS:

LOCATION:

E & J GALLO WINERY
ATTN: EHS MANAGER
18000W RIVER RD
LIVINGSTON, CA 95334

18000W RIVER RD
LIVINGSTON, CA 95334

ISSUANCE DATE: 11/26/2014

EQUIPMENT DESCRIPTION:
35,000 GALLON INSULATED STAINLESS STEEL WINE STORAGE TANK (TANK 329) WITH PRESSURENACUUM
VALVE, OR EQUIVALENT

CONDITIONS
I. The facility shall submit an application to modify the Title V permit in accordance with the timeframes and procedures

of District Rule 2520. [District Rule 2520] Federally Enforceable Through Title V Permit

2. Prior to operating equipment under this Authority to Construct, permittee shall surrender VOC emission reduction
credits for the following quantities of emissions: 1st quarter -6 lb, 2nd quarter -6 lb, 3rd quarter -6 lb, and fourth
quarter - 7 lb. Offsets shall be provided at the applicable offset ratio specified in Table 4-2 of Rule 2201 (as amended
4/21/11). [District Rule 2201]

3. ERC Certificate Numbers S-4160-1, C-1229-1, S-3805-1, S-4126-1, S-4116-1 (or a certificate split from these
certificates) shall be used to supply the required offsets, unless a revised offsetting proposal is received and approved
by the District, upon which this Authority to Construct shall be reissued, administratively specifying the new offsetting
proposal. Original public noticing requirements, if any, shall be duplicated prior to reissuance of this Authority to

Construct. [District Rule 2201]

4. The nominal tank dimensions are 19.5 feet in diameter and 16 feet in height with a proposed volume of 35,000 gallons.
The permittee shall submit to the District the gauge volume of the tank within 30 days of the actual tank capacity
measurement. [District Rule 2201]

5. No air contaminant shall be released into the atmosphere which causes a public nuisance. [District Rule 4102]

CONDITIONS CONTINUE ON NEXT PAGE

YOU MUST NOTIFY THE DISTRICT COMPLIANCE DIVISION AT (209) 557-6400 WHEN CONSTRUCTION IS COMPLETED AND PRIOR TO
OPERATING THE EQUIPMENT OR MODIFICATIONS AUTHORIZED BY THIS AUTHORITY TO CONSTRUCT. This is NOT a PERMIT TO OPERATE.
Approval or denial of a PERMIT TO OPERATE will be made after an inspection to verify that the equipment has been constructed in accordance with the
approved plans, specifications and conditions of this Authority to Construct, and to determine if the equipment can be operated in compliance with all
Rules and Regulations of the San Joaquin Valley Unified Air Pollution Control District. Unless construction has commenced pursuant to Rule 2050, this
Authority to Construct shall expire and application shall be cancelled two years from the date of issuance. The applicant is responsible for complying with
all laws, ordinances and regulations of all other governmental agencies which may pertain to the above equipment.

Seyed Sadredin, Executive Director! APCO

iaud I4arettEt, Direct°
7410-0: 05 - ••4crauraeoweliTTIOT liaarxma

Northern Regional Office • 4800 Enterprise Way • Modesto, CA 95356-8718 • (209) 557-6400 • Fax (209) 557-6475

Page 59

Conditions for N-1237-719-0 (continued) Page 2 of 2

6. This tank shall be equipped with and operated with a pressure-vacuum relief valve, which shall operate within 10% of
the maximum allowable working pressure of the tank, operate in accordance with the manufacturer's instructions, and
be permanently labeled with the operating pressure settings. [District Rules 2201 and 4694]

7. The pressure-vacuum relief valve and storage tank shall remain in a gas-tight condition, except when the operating
pressure of the tank exceeds the valve set pressure. A gas-tight condition shall be determined by measuring the gas
leak in accordance with the procedures in EPA Method 21. [District Rules 2201 and 4694]

8. The temperature of the wine stored in this tank shall be maintained at or below 75 degrees Fahrenheit. The temperature
of the stored wine shall be determined and recorded at least once per week. For each batch of wine, the operator shall
achieve the storage temperature of 75 degrees Fahrenheit or less within 60 days after completing fermentation, and
shall maintain records to show when the required storage temperature of 75 degrees Fahrenheit or less was achieved.
[District Rule 4694]

9. The weighted annual average ethanol content of wine stored in this tank, calculated on a twelve month rolling basis,
shall not exceed 15 percent by volume. [District Rule 2201]

10. The maximum wine storage throughput in this tank shall not exceed 35,000 gallons per day. [District Rule 2201]

11. The maximum wine storage throughput in this tank, calculated on a twelve month rolling basis, shall not exceed
175,000 gallons per year. [District Rule 2201]

12. The annual VOC emissions from wine storage in this tank, calculated on a twelve month rolling basis, shall not exceed
25 pounds. [District Rule 2201]

13. The operator shall determine and record, on a weekly basis, the total gallons of wine contained in the tank and the
maximum temperature of the stored wine. [District Rule 4694]

14. Daily throughput records, including records of filling and emptying operations, the dates of such operations, a unique
identifier for each batch, the volume percent ethanol in the batch, and the volume of wine transferred, shall be
maintained. [District Rules 1070 and 2201]

15. The operator shall maintain records of the calculated 12 month rolling wine ethanol content and storage throughput
rate (ethanol percentage by volume and gallons per 12 month rolling period, calculated monthly). [District Rule 2201]

16. If the throughput or ethanol content calculated for any rolling I2-month period exceeds the annual throughput or
ethanol content limitations of this permit, in a crush season in which the start of the crush season (defined as the day on
which the facility's seasonal crushing/fermentation operations commence) occurs less than 365 days after the start of
the previous crush season, then no violation of the throughput or ethanol content limits for that rolling 12-month period
will be deemed to have occurred so long as the calendar year throughput and ethanol content are below the annual
throughput and ethanol content limitations. [District Rule 2201]

17. Records shall be maintained that demonstrate the date of each year's start of crush season. [District Rule 2201]

18. All records shall be retained on-site for a period of at least five years and made available for District inspection upon
request. [District Rules 1070, 2201 and 4694]

N-1237.718-0 NOV 7t 2014 220PM - TOMS

Page 116

Ilet, Dir
14 272P

r of Permit Services
r01■9 Jevrt InapecDon NOT Repuu4•3

Northern Regional Office • 4800 Enterprise Way • Modesto, CA 95356-8718 • (209) 557-6400 • Fax (209) 557-6475

ai San Joaquin Valley
la= AIR POLLUTION CONTROL DISTRICT HEALTHY AIR LIVING

AUTHORITY TO CONSTRUCT
PERMIT NO: N-1237-748-0

LEGAL OWNER OR OPERATOR:
MAILING ADDRESS:

LOCATION:

E &J GALLO WINERY
ATTN: EHS MANAGER
18000W RIVER RD
LIVINGSTON, CA 95334

18000W RIVER RD
LIVINGSTON, CA 95334

ISSUANCE DATE: 11/26/2014

EQUIPMENT DESCRIPTION:
56,000 GALLON STAINLESS STEEL RED AND WHITE WINE FERMENTATION TANK (TANK 472), OR EQUIVALENT

CONDITIONS
I. The facility shall submit an application to modify the Title V permit in accordance with the timeframes and procedures

of District Rule 2520. [District Rule 2520] Federally Enforceable Through Title V Permit

2. Prior to operating equipment under this Authority to Construct, permittee shall surrender VOC emission reduction
credits for the following quantity of emissions: 1st quarter - 0 lb, 2nd quarter - 0 lb, 3rd quarter - 1,149 lb, and 4th
quarter - 1,149 lb. The quantity of offsets required have been reduced by 35%, as District Rule 4694 Section 5.1
requires this facility to achieve at minimum this level of reduction in their Baseline Fermentation Emissions. Offsets
shall be provided at the applicable offset ratio specified in Table 4-2 of Rule 2201 (as amended 4/21/11). [District Rule

2201]

3. ERC Certificate Numbers S-4160-1, C-1229-1, S-3805-I, S-4126-1, S-4116-1 (or a certificate split from these
certificates) shall be used to supply the required offsets, unless a revised offsetting proposal is received and approved
by the District, upon which this Authority to Construct shall be reissued, administratively specifying the new offsetting
proposal. Original public noticing requirements, if any, shall be duplicated prior to reissuance of this Authority to
Construct. [District Rule 2201]

4. The nominal tank dimensions are 22 feet in diameter and 23 feet in height with a proposed volume of 56,000 gallons.
The permittee shall submit to the District the gauge volume of the tank within 30 days of the actual tank capacity
measurement. [District Rule 2201]

5. No air contaminant shall be released into the atmosphere which causes a public nuisance. [District Rule 4102]

CONDITIONS CONTINUE ON NEXT PAGE

YOU MUST NOTIFY THE DISTRICT COMPLIANCE DIVISION AT (209) 557-6400 WHEN CONSTRUCTION IS COMPLETED AND PRIOR TO
OPERATING THE EQUIPMENT OR MODIFICATIONS AUTHORIZED BY THIS AUTHORITY TO CONSTRUCT. This is NOT a PERMIT TO OPERATE.
Approval or denial of a PERMIT TO OPERATE will be made after an inspection to verify that the equipment has been constructed in accordance with the
approved plans, specifications and conditions of this Authority to Construct, and to determine if the equipment can be operated in compliance with all
Rules and Regulations of the San Joaquin Valley Unified Air Pollution Control District. Unless construction has commenced pursuant to Rule 2050, this
Authority to Construct shall expire and application shall be cancelled two years from the date of issuance. The applicant is responsible for complying with
all laws, ordinances and regulations of all other governmental agencies which may pertain to the above equipment.

Seyed Sadredin, Executive Director / APCO

Page 117

Conditions for N-1237-748-0 (continued) Page 2 of 2

6. The average fermentation temperature of each batch of must fermented in this tank shall not exceed 95 degrees
Fahrenheit, calculated as the average of all temperature measurements for the batch taken at least every 12 hours over
the course of the fermentation. [District Rule 2201]

7. The daily VOC emissions for fermentation operations in this tank shall not exceed 3.46 lb per 1000 gallons of tank
capacity. [District Rule 2201]

8. The annual VOC emissions from wine fermentation in this tank, calculated on a 12 month rolling basis, shall not
exceed 3,536 pounds. [District Rule 2201]

9. The annual VOC emissions from wine fermentation in this tank, calculated on a 12 month rolling basis, shall be
determined by the following formula: Annual Fermentation VOC emissions = 2.5 lb-VOC/I,000 gallons x Annual
White Wine Production (in gallons) + 6.2 lb-VOC/I,000 gallons x Annual Red Wine Production (in gallons). [District
Rule 2201]

10. The operator shall maintain records of the calculated 12 month rolling wine fermentation throughput rate (gallons per
12 month rolling period, calculated monthly). [District Rule 2201]

11. For each batch of must fermented in this tank, the operator shall record the fermentation completion date, the total
gallons of must fermented, the average fermentation temperature and the uncontrolled fermentation emissions and
fermentation emission reductions (calculated per the emission factors given in District Rule 4694). The information
shall be recorded by the tank Permit to Operate number and by wine type, stated as either red wine or white wine.
[District Rules 2201 and 4694]

12. The permittee shall maintain the following records: red wine and white wine produced by fermentation at this facility,
based on values reported to the Alcohol and Tobacco Tax and Trade Bureau (TTB), U.S. Department of the Treasury;
the volume of each wine movement; and the calculated 12 month rolling wine throughput rate for fermentation
operations (gallons per 12 month rolling period, calculated monthly). [District Rules 2201 and 4694]

13. If the throughput calculated for any rolling 12-month period exceeds the annual throughput limitations of this permit,
in a crush season in which the start of the crush season (defined as the day on which the facility's seasonal
crushing/fermentation operations commence) occurs less than 365 days after the start of the previous crush season,
then no violation of the throughput limits for that rolling 12-month period will be deemed to have occurred so long as
the calendar year throughput is below the annual throughput limitations. [District Rule 2201]

14. Record's shall be maintained that demonstrate the date of each year's start of crush season. [District Rule 2201]

15. All records shall be retained on-site for a period of at least five years and made available for District inspection upon
request. [District Rules 1070, 2201, and 4694]

N-1237.7040 : Nag 26 2014 22PIA - TOLLS

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