95-2283. Transportation Conformity; Approval of Petition for Exemption From Nitrogen Oxides Provisions, Victoria County, Texas  

  • [Federal Register Volume 60, Number 20 (Tuesday, January 31, 1995)]
    [Rules and Regulations]
    [Pages 5864-5867]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-2283]
    
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    40 CFR Part 52
    
    [TX-44-1-6797; FRL-5144-8]
    
    
    Transportation Conformity; Approval of Petition for Exemption 
    From Nitrogen Oxides Provisions, Victoria County, Texas
    
    AGENCY: Environmental Protection Agency (EPA).
    
    ACTION: Final rule.
    
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    SUMMARY: The EPA is approving a petition from the State of Texas 
    requesting that Victoria County, an incomplete data ozone nonattainment 
    area, be exempted from the requirement to perform the oxides of 
    nitrogen (NOX) portion of the build/no-build test required by the 
    new Federal transportation conformity rule. This petition for exemption 
    was submitted on May 4, 1994.
    
    EFFECTIVE DATE: This action will become effective on March 2, 1995.
    
    ADDRESSES: Copies of the State's petition and other information 
    relevant to this action are available for inspection during normal 
    hours at the above location and at the following locations:
    
    U.S. Environmental Protection Agency, Region 6, Air Programs Branch 
    (6T-A), 1445 Ross Avenue, suite 700, Dallas, Texas 75202-2733.
    Air and Radiation Docket and Information Center, U.S. Environmental 
    Protection Agency, 401 M. Street, SW., Washington, DC 20460.
    Texas Natural Resource Conservation Commission, Office of Air Quality, 
    12124 Park 35 Circle, P.O. Box 13087, Austin, Texas 78711-3087.
    
        Anyone wishing to review this petition at the US EPA office is 
    asked to contact the person below to schedule an appointment 24 hours 
    in advance.
    
    FOR FURTHER INFORMATION CONTACT:
    Mr. Mick Cote, Planning Section (6T-AP), Air Programs Branch, U.S. 
    Environmental Protection Agency, telephone (214) 665-7219.
    
    SUPPLEMENTARY INFORMATION:
    
    Background
    
        The transportation conformity final rule, entitled ``Criteria and 
    Procedures for Determining Conformity to State or Federal 
    Implementation Plans of Transportation Plans, Programs, and Projects 
    Funded or Approved Under Title 23 U.S.C. or the Federal Transit Act,'' 
    was published in the Federal Register on November 24, 1993 (58 FR 
    62188). This action was required under section 176(c)(4) of the Clean 
    Air Act (CAA) as amended in 1990.
        The transportation conformity rule requires each ozone 
    nonattainment area and maintenance area to perform a regional analysis 
    of motor vehicle volatile organic compound and NOX emissions from 
    any planned transportation project. This analysis must demonstrate that 
    the emissions which would result from the proposed transportation 
    system if the transportation plan were implemented are within the total 
    allowable level of emissions described in the motor vehicle emissions 
    budget. [[Page 5865]] 
        Until an attainment demonstration or maintenance plan is approved 
    by the EPA, this emissions analysis must pass the build/no-build test. 
    This analysis must demonstrate that the emissions from the planned 
    transportation project, if implemented, would be less than the 
    emissions without the planned transportation project. Thus, the build/
    no-build test is intended to ensure that the transportation plan 
    contributes to annual emissions reductions consistent with the CAA 
    until such time as the attainment demonstration or maintenance plan is 
    approved.
        On June 17, 1994 (59 FR 31238), the EPA published a national 
    interpretation of transportation conformity and section 182(f) 
    exemptions entitled ``Transportation Conformity; General Preamble for 
    Exemption From Nitrogen Oxides Provisions'' (General Preamble). This 
    General Preamble clarifies and interprets how ozone nonattainment areas 
    classified as less than marginal, which have air quality monitoring 
    data demonstrating attainment of the National Ambient Air Quality 
    Standards (NAAQS) for ozone, may be exempted from certain NOX 
    requirements.
        As explained in the General Preamble, the EPA believes that a 
    demonstration of attainment made through adequate air quality 
    monitoring data, consistent with 40 CFR part 58 and recorded in EPA's 
    Aerometric Information Retrieval System (AIRS), can qualify an area as 
    a ``clean data area''. Further, the EPA believes these ``clean data 
    areas'' can request an exemption from the NOX provisions of the 
    Federal transportation conformity rule. The section 182(f) exemption 
    will be conditioned upon the area's monitoring data continuing to 
    demonstrate attainment after an exemption is granted. If the EPA 
    determines that an exempted area has violated the ozone standard, the 
    section 182(f) exemption will be rescinded. Any decision to rescind the 
    NOX exemption would be based on an evaluation of the air quality 
    data recorded in AIRS. Past conformity determinations and 
    transportation plans would not be affected, but new conformity 
    determinations would be subject to the NOX provisions of the 
    conformity rule.
        On May 4, 1994, the State of Texas submitted a petition to the EPA 
    requesting that the Victoria County incomplete data ozone nonattainment 
    area be exempted from the requirement to perform the NOX portion 
    of the build/no-build test required by the new transportation 
    conformity rule. This exemption request is pursuant to the recently 
    published General Preamble for transportation conformity NOX 
    exemptions.
        On August 12, 1994, EPA announced its direct final approval of the 
    NOX exemption request from the State of Texas for Victoria County. 
    In that direct final rulemaking action, EPA described in detail its 
    rationale for approving this NOX exemption request, considering 
    the specific factual issues presented. Rather than repeating that 
    entire discussion in this document, that discussion is incorporated by 
    reference herein. Thus, the public should review the notice of direct 
    final rulemaking for relevant background on this final rulemaking 
    action.
    
    Response to Comments
    
        EPA requested public comments on all aspects of the direct final 
    rulemaking action (59 FR 41408) and comments were received. Therefore 
    the direct final rulemaking was withdrawn and comments applicable to 
    the Victoria County area were considered and are discussed below.
        Comment: Certain commenters noted that NOX exemptions are 
    provided for in two separate parts of the CAA, section 182(b)(1) and 
    section 182(f). Because the NOX exemption tests in subsections 
    182(b)(1) and 182(f)(1) include language indicating that action on such 
    requests should take place ``when [EPA] approves a plan or plan 
    revision,'' these commenters concluded that all NOX exemption 
    determinations by the EPA, including exemption actions taken under the 
    petition process established by subsection 182(f)(3), must occur during 
    consideration of an approvable attainment or maintenance plan, unless 
    the area has been redesignated as attainment. These commenters also 
    argued that even if the petition procedures of subsection 182(f)(3) may 
    be used to relieve areas of certain NOX requirements, exemptions 
    from the NOX conformity requirements must follow the process 
    provided in subsection 182(b)(1), since this is the only provision 
    explicitly referenced by section 176(c), the CAA's conformity 
    provisions.
        Response: Section 182(f) contains very few details regarding the 
    administrative procedure for acting on NOX exemption requests. The 
    absence of specific guidelines by Congress leaves EPA with discretion 
    to establish reasonable procedures, consistent with the requirements of 
    the Administrative Procedures Act (APA).
        The EPA disagrees with the commenters regarding the process for 
    considering exemption requests under section 182(f), and instead 
    believes that subsections 182(f)(1) and 182(f)(3) provide independent 
    procedures by which the EPA may act on NOX exemption requests. The 
    language in subsection 182(f)(1), which indicates that the EPA should 
    act on NOX exemptions in conjunction with action on a plan or plan 
    revision, does not appear in subsection 182(f)(3). And, while 
    subsection 182(f)(3) references subsection 182(f)(1), the EPA believes 
    that this reference encompasses only the substantive tests in paragraph 
    (1) [and, by extension, paragraph (2)], not the procedural requirement 
    that the EPA act on exemptions only when acting on SIPs. Additionally, 
    paragraph (3) provides that ``person[s]'' (which section 302(e) of the 
    CAA defines to include States) may petition for NOX exemptions 
    ``at any time,'' and requires the EPA to make its determination within 
    6 months of the petition's submission.
        Further, section 182(f)(1) appears to contemplate that exemption 
    requests submitted under these paragraphs are limited to States, since 
    States are the entities authorized under the Act to submit plans or 
    plan revisions. By contrast, section 182(f)(3) provides that 
    ``person[s]''1 may petition for a NOX determination ``at any 
    time'' after the ozone precursor study required under section 185B of 
    the Act is finalized,2 and gives EPA a limit of 6 months after 
    filing to grant or deny such petitions. Since individuals may submit 
    petitions under paragraph (3) ``at any time'' this must include times 
    when there is no plan revision from the State pending at EPA. The 
    specific timeframe for EPA action established in paragraph (3) is 
    substantially shorter than the timeframe usually required for States to 
    develop and for EPA to take action on revisions to a SIP. These 
    differences strongly suggest that Congress intended the process for 
    acting on personal petitions to be distinct from and more expeditious 
    than the plan-revision process intended under paragraph (1).
    
        \1\Section 302(e) of the Act defines the term ``person'' to 
    include States.
        \2\The final section 185B report was issued July 30, 1993.
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        The CAA requires conformity with regard to federally-supported 
    NOX generating activities in relevant nonattainment and 
    maintenance areas. However, EPA's conformity rules explicitly provide 
    that these NOX requirements would not apply if EPA grants an 
    exemption under section 182(f). In response to the comment that section 
    182(b)(1) should be the appropriate vehicle for dealing with exemptions 
    from the NOX requirements of the conformity rule, EPA notes that 
    this issue has previously been raised in a formal petition for 
    reconsideration of [[Page 5866]] EPA's final transportation conformity 
    rule and in litigation pending before the U.S. Court of Appeals for the 
    District of Columbia Circuit on the substance of both the 
    transportation and general conformity rules. The issue, thus, is under 
    consideration within EPA, but at this time remains unresolved. 
    Additionally, subsection 182(f)(3) requires that NOX exemption 
    petition determinations be made by the EPA within 6 months. The EPA has 
    stated in previous guidance that it intends to meet this statutory 
    deadline as long as doing so is consistent with the APA. The EPA, 
    therefore, believes that until a resolution of this issue is achieved, 
    the applicable rules governing this issue are those that appear in 
    EPA's final conformity regulations, and EPA remains bound by their 
    existing terms.
        Comment: Three years of ``clean'' data fail to demonstrate that 
    NOX reductions would not contribute to attainment. EPA's policy 
    erroneously equates the absence of a violation for one three-year 
    period with ``attainment.''
        Response: The EPA has separate criteria for determining if an area 
    should be redesignated to attainment under section 107 of the CAA. The 
    section 107 criteria are more comprehensive than the CAA requires with 
    respect to NOX exemptions under section 182(f).
        Under section 182(f)(1)(A), an exemption from the NOX 
    requirements may be granted for nonattainment areas outside an ozone 
    transport region if EPA determines that ``additional reductions of 
    NOX would not contribute to attainment'' of the ozone NAAQS in 
    those areas. In some cases, an ozone nonattainment area might attain 
    the ozone standard, as demonstrated by 3 years of adequate monitoring 
    data, without having implemented the section 182(f) NOX provisions 
    over that 3-year period. The EPA believes that, in cases where a 
    nonattainment area is demonstrating attainment with 3 consecutive years 
    of air quality monitoring data without having implemented the section 
    182(f) NOX provisions, it is clear that the section 182(f) test is 
    met since ``additional reductions of NOX would not contribute to 
    attainment'' of the NAAQS in that area. The EPA's approval of the 
    exemption, if warranted, would be granted on a contingent basis (i.e., 
    the exemption would last for only as long as the area's monitoring data 
    continue to demonstrate attainment).
        Comment: Comments were received regarding exemption of areas from 
    the NOX requirements of the conformity rules. They argue that such 
    exemptions waive only the requirements of section 182(b)(1) to 
    contribute to specific annual reductions, not the requirement that 
    conformity SIPs contain information showing the maximum amount of motor 
    vehicle NOX emissions allowed under the transportation conformity 
    rules and, similarly, the maximum allowable amounts of any such 
    NOX emissions under the general conformity rules. The commenters 
    admit that, in prior guidance, EPA has acknowledged the need to amend a 
    drafting error in the existing transportation conformity rules to 
    ensure consistency with motor vehicle emissions budgets for NOX. 
    However, the commenters want EPA in actions on NOX exemptions to 
    explicitly affirm this obligation and also to avoid granting waivers 
    until a budget controlling future NOX increases is in place.
        Response: With respect to conformity, EPA's conformity 
    rules3,4 provide a NOX waiver if an area receives a section 
    182(f) exemption. In its ``Conformity; General Preamble for Exemption 
    From Nitrogen Oxides Provisions,'' 59 FR 31238, 31241 (June 17, 1994), 
    EPA reiterated its view that in order to conform to Federal 
    requirements, nonattainment and maintenance areas must demonstrate that 
    the transportation plan and TIP are consistent with the motor vehicle 
    emissions budget for NOX even where a conformity NOX waiver 
    has been granted. Due to a drafting error, that view is not reflected 
    in the current transportation conformity rules. As the commenters 
    correctly note, EPA stated in the June 17th notice that it intends to 
    remedy the problem by amending the conformity rule. Although that 
    notice specifically mentions only requiring consistency with the 
    approved maintenance plan's NOX motor vehicle emissions budget, 
    EPA also intends to require consistency with the attainment 
    demonstration's NOX motor vehicle emissions budget. However, the 
    exemptions were submitted pursuant to section 182(f)(3), and EPA does 
    not believe it is appropriate to delay the statutory deadline for 
    acting on these petitions until the conformity rule is amended. As 
    noted earlier in response to a previous issue raised by these 
    commenters, this issue has also been raised in a formal petition for 
    reconsideration of the Agency's final transportation conformity rule 
    and in litigation pending before the U.S. Court of Appeals for the 
    District of Columbia Circuit on the substance of both the 
    transportation and general conformity rules. This issue, thus, is under 
    consideration within the Agency, but at this time remains unresolved. 
    The EPA, therefore, believes that until a resolution of this issue is 
    achieved, the applicable rules governing this issue are those that 
    appear in the Agency's final conformity regulations, and the Agency 
    remains bound by their existing terms.
    
        \3\``Criteria and Procedures for Determining Conformity to State 
    or Federal Implementation Plans of Transportation Plans, Programs, 
    and Projects Funded or Approved under Title 23 U.S.C. of the Federal 
    Transit Act,'' November 24, 1993 (58 FR 62188).
        \4\``Determining Conformity of General Federal Actions to State 
    or Federal Implementation Plans; Final Rule,'' November 30, 1993 (58 
    FR 63214).
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    Final Action
    
        The EPA has evaluated the State's exemption request for consistency 
    with the CAA, EPA regulations, and EPA policy. The EPA believes that 
    the exemption request and monitoring data qualifies Victoria County, 
    Texas, as a ``clean data area''. This final action on the State of 
    Texas' NOX exemption petition for Victoria County is unchanged 
    from the August 12, 1994 direct final approval action. In addition, the 
    EPA has determined that the exemption request meets the requirements 
    and policy set forth in the General Preamble for NOX exemptions 
    from the build/no-build test for transportation conformity, and today 
    is approving Texas' request for exemption from the NOX build/no-
    build test of transportation conformity for Victoria County. The 
    section 182(f) exemption will be conditioned upon the area's monitoring 
    data continuing to demonstrate attainment after the exemption has been 
    granted. If the EPA later determines that Victoria County has violated 
    the ozone standard, the section 182(f) exemption will be rescinded. 
    Past conformity determinations and transportation plans would not be 
    affected, but new conformity determinations would then be subject to 
    the NOX provisions of the conformity rule.
        The EPA has reviewed this request for exemption from the NOX 
    provisions of the Federal transportation conformity rule for 
    conformance with the provisions of the 1990 Clean Air Act Amendments 
    enacted on November 15, 1990. The EPA has determined that this action 
    conforms with those requirements.
    
    Regulatory Process
    
        Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., the EPA 
    must prepare a regulatory flexibility analysis assessing the impact of 
    any proposed or final rule on small entities (5 U.S.C. 603 and 604). 
    Alternatively, under 5 U.S.C. 605(b), the EPA may certify that the rule 
    will not have a significant impact on a substantial number of small 
    entities (see [[Page 5867]] 46 FR 8709). Small entities include small 
    businesses, small not-for-profit enterprises, and governmental entities 
    with jurisdiction over populations of less than 50,000.
        Because an exemption from the Federal transportation conformity 
    rule does not impose any new requirements, I certify that it does not 
    have a significant impact on any small entities affected. Moreover, due 
    to the nature of the Federal-State relationship under the CAA, 
    preparation of a regulatory flexibility analysis would constitute 
    Federal inquiry into the economic reasonableness of State action.
        Under section 307(b)(1) of the CAA, petitions for judicial review 
    of this action must be filed in the United States Court of Appeals for 
    the appropriate circuit by April 3, 1995. Filing a petition for 
    reconsideration of this final rule by the Administrator does not affect 
    the finality of this rule for purposes of judicial review; nor does it 
    extend the time within which a petition for judicial review may be 
    filed, or postpone the effectiveness of this rule. This action may not 
    be challenged later in proceedings to enforce its requirements. (See 
    section 307(b)(2).)
    
    Executive Order
    
        The Office of Management and Budget has exempted this action from 
    review under Executive Order 12866.
    
    List of Subjects in 40 CFR Part 52
    
        Environmental protection, Air pollution control, Hydrocarbons, 
    Incorporation by reference, Intergovernmental regulations, Reporting 
    and recordkeeping, Ozone, Volatile organic compounds.
    
        Dated: January 13, 1995.
    Barbara J. Goetz,
    Acting Regional Administrator.
    
        40 CFR part 52 is amended as follows:
    
    PART 52--[AMENDED]
    
        1. The authority citation for part 52 continues to read as follows:
    
        Authority: 42 U.S.C. 7401-7671q.
    
    Subpart SS--Texas
    
        2. Section 52.2308 is amended by adding paragraph (c) to read as 
    follows:
    
    
    Sec. 52.2308  Area-wide nitrogen oxides (NOX) exemptions.
    
    * * * * *
        (c) The Texas Natural Resource Conservation Commission submitted to 
    the EPA on May 4, 1994, a petition requesting that the Victoria County 
    incomplete data ozone nonattainment area be exempted from the 
    requirement to meet the NOX provisions of the Federal 
    transportation conformity rule. The exemption request was based on 
    monitoring data which demonstrated that the National Ambient Air 
    Quality Standard for ozone had been attained in this area for the 35 
    months prior to the petition, with the understanding that approval of 
    the State's request would be contingent upon the collection of one 
    additional month of data. The required additional month of verified 
    data was submitted later and, together with the data submitted with the 
    State's petition, demonstrated attainment of the NAAQS for 36 
    consecutive months. The EPA approved this exemption request on March 2, 
    1995.
    
    [FR Doc. 95-2283 Filed 1-30-95; 8:45 am]
    BILLING CODE 6560-50-P
    
    

Document Information

Effective Date:
3/2/1995
Published:
01/31/1995
Department:
Environmental Protection Agency
Entry Type:
Rule
Action:
Final rule.
Document Number:
95-2283
Dates:
This action will become effective on March 2, 1995.
Pages:
5864-5867 (4 pages)
Docket Numbers:
TX-44-1-6797, FRL-5144-8
PDF File:
95-2283.pdf
CFR: (1)
40 CFR 52.2308