94-24372. Clean Air Act Proposed Full Approval of Operating Permits Program; State of Mississippi  

  • [Federal Register Volume 59, Number 190 (Monday, October 3, 1994)]
    [Unknown Section]
    [Page 0]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 94-24372]
    
    
    [[Page Unknown]]
    
    [Federal Register: October 3, 1994]
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    40 CFR Part 70
    
    [MS01; FRL-5082-8]
    
     
    
    Clean Air Act Proposed Full Approval of Operating Permits 
    Program; State of Mississippi
    
    AGENCY: Environmental Protection Agency (EPA).
    
    ACTION: Proposed full approval.
    
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    SUMMARY: The EPA proposes to grant full approval to the Operating 
    Permits Program submitted by the State of Mississippi for the purpose 
    of complying with Federal requirements which mandate that States 
    develop, and submit to EPA, programs for issuing operating permits to 
    all major stationary sources, and to certain other sources.
    DATES: Comments on this proposed action must be received in writing by 
    November 2, 1994.
    
    ADDRESSES: Written comments should be addressed to Carla Pierce at the 
    Region IV address.
        Copies of the State's submittal and other supporting information 
    used in developing the proposed full approval are available for 
    inspection during normal business hours at the following location: U.S. 
    Environmental Protection Agency, Region IV, 345 Courtland Street, NE., 
    Atlanta, GA 30365. Interested persons wanting to examine these 
    documents should make an appointment with the appropriate office at 
    least 24 hours before the visiting day.
    
    FOR FURTHER INFORMATION CONTACT: Carla E. Pierce, Regional Program 
    Manager, Air Programs Branch, Air Pesticides & Toxics Management 
    Division, Region IV Environmental Protection Agency, 345 Courtland 
    Street, NE., Atlanta, GA 30365, telephone (404) 347-2864.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Background and Purpose
    
    A. Introduction
    
        As required under title V of the Clean Air Act Amendments of 1990, 
    (Clean Air Act (``Act'') sections 501-507), EPA has promulgated rules 
    which define the minimum elements of an approvable State operating 
    permits program and the corresponding standards and procedures by which 
    EPA will approve, oversee, and withdraw approval of State operating 
    permits programs (see 57 FR 32250 (July 21, 1992)). These rules are 
    codified at 40 Code of Federal Regulations (CFR) part 70. Title V 
    requires States to develop, and submit to EPA, programs for issuing 
    these operating permits to all major stationary sources and to certain 
    other sources.
        The Act requires that States develop and submit these programs to 
    EPA by November 15, 1993, and that EPA act to approve or disapprove 
    each program within 1 year after receiving the submittal. EPA's program 
    review occurs pursuant to section 502 of the Act and the part 70 
    regulations, which together outline criteria for approval or 
    disapproval. Where a program substantially, but not fully, meets the 
    requirements of part 70, EPA may grant the program interim approval for 
    a period of up to 2 years. If EPA has not fully approved a program by 2 
    years after the November 15, 1993 date, or by the end of an interim 
    program, it must establish and implement a Federal operating permits 
    program.
    
    II. Proposed Action and Implications
    
    A. Analysis of State Submission
    
    1. Support Materials
        Pursuant to section 502(d) of the Clean Air Act as amended (1990 
    Amendments), the Governor of each State must develop and submit to the 
    Administrator an operating permits program under State or local law or 
    under an interstate compact meeting the requirements of title V of the 
    Act. The Mississippi Department of Environmental Quality (MDEQ) 
    requested, under the signature of Governor Kirk Fordice, approval of 
    its operating permits program with full authority to administer the 
    program in all areas of the State of Mississippi, with the exceptions 
    of the Indian reservations and tribal lands.
        In the MDEQ operating permits program submittal, Mississippi does 
    not assert jurisdiction over Indian lands or reservations for purposes 
    of 40 CFR part 70 and title V. EPA will, at a future date, conduct a 
    Federal title V operating permits program governing title V sources of 
    air emissions on Indian lands and reservations in Mississippi.
        The Mississippi submittal, provided as Section I-''Program 
    Description and Implementation Summary,'' addresses 40 CFR 70.4(b)(1) 
    by describing how the MDEQ intends to carry out its responsibilities 
    under the part 70 regulations. The program description has been deemed 
    to be sufficient for meeting the requirement of 40 CFR 70.4(b)(1).
        Pursuant to 40 CFR 70.4(b)(3), the Governor is required to submit a 
    legal opinion from the Attorney General (or the attorney for the State 
    air pollution control agency that has independent legal counsel) 
    demonstrating adequate authority to carry out all aspects of a title V 
    operating permits program. The State of Mississippi submitted an 
    Attorney General's Opinion and a Supplemental Attorney General's 
    Opinion demonstrating adequate legal authority as required by Federal 
    law and regulation.
        Section 70.4(b)(4) requires the submission of relevant permitting 
    program documentation not contained in the regulations, such as permit 
    application forms, permit forms and relevant guidance to assist in the 
    State's implementation of its permit program. Appendix 10 of the MDEQ 
    submittal includes the permit application form, and it has been 
    determined that the application form meets the requirements of 40 CFR 
    70.5(c).
        EPA intends to develop an Implementation Agreement with 
    Mississippi, although this proposed action does not depend on the 
    Implementation Agreement.
    2. Regulations and Program Implementation
        The State of Mississippi has submitted Regulations APC-S-6, 
    ``Mississippi Air Emissions Operating Permit Regulations for the 
    purposes of title V of the Federal Clean Air Act,'' for implementing 
    the State part 70 program as required by 40 CFR 70.4(b)(2). Sufficient 
    evidence of their procedurally correct adoption was included in 
    Appendices 7 and 12 of the submittal. Copies of all applicable State 
    statutes and regulations which authorize the part 70 program, including 
    those governing State administrative procedures, were submitted with 
    the State's program.
        The Mississippi operating permits regulations followed part 70 very 
    closely. The following requirements, set out in EPA's part 70 operating 
    permits program review, are addressed in Section II of the State's 
    submittal: (A) Applicability requirements, (40 CFR 70.3(a)): APC-S-6, 
    Section I.B; (B) Permit applications, (40 CFR 70.5): APC-S-6, Section 
    II; (C) Provisions for permit content, (40 CFR 70.6): standard permit 
    requirements: APC-S-6, Section III.A.1; permit duration: APC-S-6, 
    Section III.A.2; monitoring and related record keeping and reporting 
    requirements: APC-S-6, Section III.A.3; compliance requirements: APC-S-
    6, Sections III.B and III.C; (D) Operational flexibility provisions, 
    (40 CFR 70.4(b)(12)): APC-S-6, Section IV.F; (E) Provisions for permit 
    issuance, renewals, reopenings and revisions, including public 
    participation (40 CFR 70.7): APC-S-6, Section IV; and (F) Permit review 
    by EPA and affected States (40 CFR 70.6): APC-S-6, Section V. 
    Mississippi Code Annotated (MSCA) sections 49-17-36 and 49-17-43, 
    satisfy the requirements of 40 CFR 70.11, for enforcement authority.
        The MDEQ has included criteria to determine insignificant 
    activities and emissions levels in APC-S-6, Section VII. Section VII.A 
    includes activities/emissions sources which are not required to be 
    included in the permit application. Section VII.B includes activities/
    emissions sources that must be listed in the permit application, but 
    their emissions do not have to be quantified. Notwithstanding Sections 
    VII.A and B, applicants are required to include all emission sources 
    and quantify emissions if needed to determine major source compliance 
    with an applicable requirement, or to collect any permit fee. 
    Applicants shall also include all emission sources with a potential to 
    emit greater than 1 pound per hour of any regulated air pollutant that 
    is not a hazardous air pollutant, or greater than 0.1 pound per hour of 
    any hazardous air pollutant.
        Part 70 of the operating permits regulations requires prompt 
    reporting of deviations from the permit requirements. Section 
    70.6(a)(3)(iii)(B) requires the permitting authority to define prompt 
    in relation to the degree and type of deviation likely to occur and the 
    applicable requirements. Although the permit program regulations should 
    define prompt for purposes of administrative efficiency and clarity, an 
    acceptable alternative is to define prompt in each individual permit. 
    EPA believes that prompt should generally be defined as requiring 
    reporting within two to ten days of the deviation. Two to ten days is 
    sufficient time in most cases to protect public health and safety as 
    well as to provide a forewarning of potential problems. For sources 
    with a low level of excess emissions, a longer time period may be 
    acceptable. However, prompt reporting must be more frequent than the 
    semiannual reporting requirement, given that this is a distinct 
    reporting obligation under 40 CFR 70.6(a)(3)(iii)(A). Where ``prompt'' 
    is defined in the individual permit but not in the program regulations, 
    EPA may veto permits that do not require sufficiently prompt reporting 
    of deviations. The State of Mississippi has not defined prompt in its 
    program regulations with respect to reporting of deviations. The MDEQ, 
    however, has committed to define ``prompt'' as discussed above in each 
    individual permit.
        The State statute (MSCA 49-2-9) contains a provision that allows 
    the State to adopt, modify, repeal, and promulgate, after due notice 
    and hearing, and where not otherwise prohibited by Federal or State 
    law, to make exceptions to and grant exceptions and variances from, and 
    to enforce rules and regulations implementing or effectuating the 
    powers and duties of the Mississippi Commission on Environmental 
    Quality under any and all statutes within the Commission's 
    jurisdiction, and as the Commission may deem necessary to prevent, 
    control and abate existing or potential pollution. Regulation APC-S-6, 
    Section I.B.8 prohibits exceptions or variances to be granted from any 
    of the regulations regarding title V permits. The program submittal is 
    approvable based on these limitations placed on the state's variance 
    provision.
        The complete MDEQ program submittal and the Technical Support 
    Document are available for review for more detailed information.
    3. Permit Fee Demonstration
        MSCA sections 49-17-14 and 49-17-30 require the establishment of a 
    permit fee sufficient to cover the reasonable direct and indirect costs 
    of the title V operating permit program. The fee amount is set annually 
    by order of the Mississippi Commission on Environmental Quality and is 
    based on either actual or allowable emissions at the request of the 
    source. Under State law, the minimum annual fee assessment is set at 
    $250 and the maximum annual fee assessment is set at $250,000.
        The MDEQ has elected to assess a title V operating permit fee below 
    the Federal presumptive minimum permit fee. Mississippi's fee amount 
    was determined through a detailed fee demonstration study that was 
    conducted by the John C. Stennis Institute of Government at Mississippi 
    State University. The basis of the fee demonstration was a 
    comprehensive workload analysis for the title V program.
        Based on the results of the fee demonstration study, the 
    Mississippi Commission on Environmental Quality issued an Order setting 
    the title V fee at $23.39 per ton of regulated air pollutants for the 
    first year of the title V program. The fee may be adjusted annually by 
    Order of the Commission to account for inflation factors or changing 
    program costs. EPA has determined that Mississippi's fee demonstration 
    is adequate and meets the requirements of 40 CFR 70.9.
    4. Provisions Implementing the Requirements of Other Titles of the Act
        a. Authority and/or Commitments for Section 112 Implementation. 
    Mississippi has demonstrated in its title V program submittal broad 
    legal authority to incorporate into permits and enforce all applicable 
    requirements. Additionally, the State has adopted APC-S-1, Section 8, 
    ``Provisions for Hazardous Air Pollutants,'' which provides adequate 
    legal authority to implement and enforce applicable section 112 rules, 
    emission standards, and requirements. Mississippi has further 
    supplemented its broad legal authority with a commitment to ``take 
    action, following promulgation by EPA of regulations implementing 
    section 112 of title III of the Federal Clean Air Act, and to submit, 
    for EPA approval, MDEQ regulations implementing these provisions.'' EPA 
    has determined that this commitment, in conjunction with Mississippi's 
    broad statutory and regulatory authority, adequately assures compliance 
    with all section 112 requirements. EPA regards this commitment as an 
    acknowledgement by Mississippi of its obligation to obtain further 
    regulatory authority as needed to issue permits that assure compliance 
    with section 112 applicable requirements. This commitment does not 
    substitute for compliance with part 70 requirements that must be met at 
    the time of program approval.
        EPA is interpreting the above legal authority and commitment to 
    mean that Mississippi is able to carry out all section 112 activities. 
    For further rationale on this interpretation, please refer to the 
    Technical Support Document accompanying this proposed full approval and 
    the April 13, 1993 guidance memorandum entitled ``Title V Program 
    Approval Criteria for Section 112 Activities,'' signed by John Seitz.
        b. Implementation of 112(g) Upon Program Approval. As a condition 
    of approval of the part 70 program, Mississippi is required to 
    implement section 112(g) of the Act from the effective date of the part 
    70 program. Imposition of case-by-case determinations of MACT or 
    offsets under section 112(g) will require the use of a mechanism for 
    establishing federally enforceable restrictions on a source-specific 
    basis. EPA is proposing to approve Mississippi's preconstruction 
    permitting program found in APC-S-2 under the authority of title V and 
    part 70 solely for the purpose of implementing section 112(g) during 
    the transition period between title V approval and adoption of a State 
    rule implementing EPA's section 112(g) regulations. EPA believes this 
    approval is necessary so that Mississippi has a mechanism in place to 
    establish federally enforceable restrictions for section 112(g) 
    purposes from the date of part 70 approval. Section 112(l) provides the 
    authority for approval for the use of State air programs to implement 
    112(g), and title V and section 112(g) provide authority for this 
    limited approval because of the direct linkage between implementation 
    of section 112(g) and title V. The scope of this approval is narrowly 
    limited to section 112(g), and does not confer or imply approval for 
    purposes of any other provision under the Act. If Mississippi does not 
    wish to implement section 112(g) through its preconstruction permit 
    program and can demonstrate that an alternative means of implementing 
    section 112(g) exists, EPA may, in the final action approving 
    Mississippi's part 70 program, approve the alternative instead.
        This approval only extends until such time as the State is able to 
    adopt regulations consistent with any regulations promulgated by EPA to 
    implement section 112(g). Accordingly, EPA is proposing to limit the 
    duration of this approval to a reasonable time following promulgation 
    of section 112(g) regulations so that Mississippi, acting 
    expeditiously, will be able to adopt regulations consistent with the 
    section 112(g) regulations. EPA is proposing here to limit the duration 
    of this approval to 18 months following promulgation by EPA of section 
    112(g) regulations.
        c. Program for Delegation of Section 112 Standards as Promulgated. 
    Requirements for approval, specified in 40 CFR 70.4(b), encompass 
    section 112(l)(5) requirements for approval of a program for delegation 
    of section 112 General Provisions Subpart A and standards as 
    promulgated by EPA as they apply to part 70 sources. Section 112(l)(5) 
    requires that the State's program contain adequate authorities, 
    adequate resources for implementation, and an expeditious compliance 
    schedule, which are also requirements under part 70. Therefore, EPA is 
    also proposing to grant approval under section 112(l)(5) and 40 CFR 
    63.91 of the State's program for receiving delegation of section 112 
    standards that are unchanged from the Federal standards as promulgated, 
    and to delegate existing standards under 40 CFR parts 61 and 63 for 
    part 70 sources.1 Mississippi has informed EPA that it intends to 
    accept delegation of section 112 standards through adoption by 
    reference. This program applies to both existing and future standards.
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        \1\The radionuclide National Emission Standards for Hazardous 
    Air Pollutant (NESHAP) is a section 112 regulation and therefore, 
    also an applicable requirement under the State operating permits 
    program for part 70 sources. There is not yet a Federal definition 
    of ``major'' for radionuclide sources. Therefore, until a major 
    source definition for radionuclide is promulgated, no source would 
    be a major section 112 source solely due to its radionuclide 
    emissions. However, a radionuclide source may, in the interim, be a 
    major source under part 70 for another reason, thus requiring a part 
    70 permit. The EPA will work with the State in the development of 
    its radionuclide program to ensure that permits are issued in a 
    timely manner.
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        Additionally, Mississippi has requested delegation of current and 
    future section 112 standards under section 112(l)(5) and 40 CFR 63.91 
    for sources not subject to part 70 requirements. The State has 
    demonstrated that it has broad legal authority which covers all section 
    112 sources. MSCA sections 49-2-9 and 49-17-29(a), and APC-S-1 section 
    8, give the State the authority to implement each applicable section 
    112 rule, emission standard, or requirement for sources not subject to 
    part 70 requirements. Mississippi has demonstrated that it will 
    expeditiously implement section 112 requirements for these sources 
    pursuant to a schedule after EPA promulgation, and that it has 
    sufficient enforcement authority to adequately enforce section 112 
    requirements. The State has also demonstrated that it has adequate 
    resources to implement current section 112 standards. With respect to 
    future section 112 requirements, Mississippi has committed to provide 
    EPA with future demonstrations of resource adequacy as necessary when 
    new requirements are promulgated and the resource burdens associated 
    with those requirements become known. Therefore, for sources not 
    subject to part 70 requirements, EPA is proposing to grant approval 
    under section 112(l)(5) and 40 CFR 63.91 of the State's program for 
    receiving delegation of future section 112 standards that are unchanged 
    from Federal standards as promulgated, and to delegate existing 
    standards under 40 CFR parts 61 and 63 for non-part 70 sources.
        d. Commitment to implement Title IV of the Act. The MDEQ has 
    committed to ``take action, following promulgation by EPA of 
    regulations implementing sections 407 and 410 of the Act, or revising 
    either part 72 or the regulations implementing sections 407 or 410, to 
    either incorporate such new revised provisions by reference or submit, 
    for EPA approval, MDEQ regulations implementing these provisions.'' The 
    MDEQ committed to adopt and submit to EPA the above referenced 
    regulations no later than January 1, 1995.
    
    B. Proposed Actions
    
    1. Full Approval of the Program
        EPA proposes to fully approve the operating permits program 
    submitted to EPA from the State of Mississippi on November 15, 1993. As 
    a condition of full approval, Mississippi has issued a commitment to 
    EPA which confirms that the State's interpretation of a ``title I 
    modification'' is consistent with EPA's current interpretation of that 
    term. In addition, the State's regulatory definition is on its face 
    consistent with EPA's interpretation. See APC-S-6, Section I.A.31. EPA 
    believes the better interpretation of the phrase ``modifications under 
    any provision of title I of the Act'' in 40 CFR 70.7(e)(2)(i)(A)(5) to 
    mean literally any change at a source that would trigger permitting 
    authority review under regulations approved or promulgated under title 
    I of the Act. This would include State preconstruction review programs 
    approved into the State Implementation Plan (SIP) under section 
    110(a)(2)(C) and regulations addressing source changes that trigger 
    National Emission Standards for Hazardous Air Pollutants (NESHAPs) 
    established pursuant to section 112 prior to the 1990 amendments. EPA 
    is soliciting comment in the current proposal to revise part 70 on the 
    proper definition of ``title I modification.'' Unless Mississippi 
    changes its own interpretation from that indicated in its commitment, 
    the program will be fully approvable under either option discussed in 
    that proposal. See 56 FR 44460, 44515 (August 29, 1994). EPA has 
    determined that the program is otherwise adequate to meet the minimum 
    elements of a State operating permits program as specified in 40 CFR 
    part 70.
    2. Program for Straight Delegation of Section 112 Standards
        As discussed above in section II.A.4.c, EPA is proposing to grant 
    approval under section 112(l)(5) and 40 CFR 63.91 of the State's 
    program for receiving delegation of section 112 standards that are 
    unchanged from Federal standards as promulgated. This program for 
    delegations applies to all section 112 sources. Additionally, EPA is 
    proposing to delegate existing standards under 40 CFR parts 61 and 63 
    for all section 112 sources.
    
    III. Administrative Requirements
    
    A. Request for Public Comments
    
        EPA is requesting comments on all aspects of this proposed full 
    approval. Copies of the State's submittal and other information relied 
    upon for the proposed full approval are contained in a docket 
    maintained at the EPA Regional Office. The docket is an organized and 
    complete file of all the information submitted to, or otherwise 
    considered by, EPA in the development of this proposed full approval. 
    The principal purposes of the docket are:
    
        (1) To allow interested parties a means to identify and locate 
    documents so that they can effectively participate in the approval 
    process; and
        (2) To serve as the record in case of judicial review. EPA will 
    consider any comments received by November 2, 1994.
    
    B. Executive Order 12866
    
        The Office of Management and Budget has exempted this regulatory 
    action from executive order 12866 review.
    
    C. Regulatory Flexibility Act
    
        The EPA's actions under section 502 of the Act do not create any 
    new requirements, but simply address operating permits programs 
    submitted to satisfy the requirements of 40 CFR part 70. Because this 
    action does not impose any new requirements, it does not have a 
    significant impact on a substantial number of small entities.
    
    List of Subjects in 40 CFR Part 70
    
        Environmental protection, Administrative practice and procedure, 
    Air pollution control, Intergovernmental relations, Operating permits, 
    Reporting and recordkeeping requirements.
    
        Authority: 42 U.S.C. 7401-7671q.
    
        Dated: September 21, 1994.
    Patrick M. Tobin,
    Acting Regional Administrator.
    [FR Doc. 94-24372 Filed 9-30-94; 8:45 am]
    BILLING CODE 6560-50-F
    
    
    

Document Information

Published:
10/03/1994
Department:
Environmental Protection Agency
Entry Type:
Uncategorized Document
Action:
Proposed full approval.
Document Number:
94-24372
Dates:
Comments on this proposed action must be received in writing by November 2, 1994.
Pages:
0-0 (1 pages)
Docket Numbers:
Federal Register: October 3, 1994, MS01, FRL-5082-8
CFR: (1)
40 CFR 70