99-30902. Approval and Promulgation of Implementation Plans; California State Implementation Plan Revision, Ventura County Air Pollution Control District, Project XL Site-specific Rulemaking for Imation Corp. Camarillo Plant  

  • [Federal Register Volume 64, Number 238 (Monday, December 13, 1999)]
    [Rules and Regulations]
    [Pages 69404-69407]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 99-30902]
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    
    40 CFR Part 52
    
    [CA 236-0197; FRL-6481-8]
    
    
    Approval and Promulgation of Implementation Plans; California 
    State Implementation Plan Revision, Ventura County Air Pollution 
    Control District, Project XL Site-specific Rulemaking for Imation Corp. 
    Camarillo Plant
    
    AGENCY: Environmental Protection Agency (EPA).
    
    ACTION: Final rule.
    
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    SUMMARY: EPA is finalizing the approval of revisions to the California 
    State Implementation Plan (SIP) proposed in the Federal Register on 
    September 8, 1999. The revisions concern Rule 37 ``Project XL'' from 
    the Ventura County Air Pollution Control District (VCAPCD). This 
    approval action will incorporate this rule into the Federally approved 
    SIP. The intended effect of approving this rule is to regulate 
    emissions of VOCs in accordance with the requirements of the Clean Air 
    Act, as amended in 1990 (CAA or the Act) and to facilitate 
    implementation of the XL Project at Imation Corp. in Camarillo, CA. 
    Such implementation will result in superior environmental performance 
    and, at the same time, provide Imation with greater operational 
    flexibility. EPA is finalizing the approval of this revision into the 
    California SIP under provisions of the CAA regarding EPA action on SIP 
    submittals, SIPs for national primary and secondary ambient air quality 
    standards and plan requirements for nonattainment areas.
    
    DATES: This action is effective on January 12, 2000.
    
    ADDRESSES: Copies of the rule and EPA's evaluation report for the rule 
    are available for public inspection at EPA's Region IX office during 
    normal business hours. Copies of the submitted rule are available for 
    inspection at the following locations:
    
    (1) EPA Region 9, 75 Hawthorne Street, San Francisco, CA 94105
    (2) California Air Resources Board, 2020 L Street, Sacramento, CA 95814
    (3) Ventura County Air Pollution Control District, 669 County Square 
    Drive, Ventura, CA 93003.
    
    FOR FURTHER INFORMATION CONTACT: David Albright, Permits Office, [AIR-
    3], Air Division, U.S. Environmental Protection Agency, Region IX, 75 
    Hawthorne Street, San Francisco, CA 94105-3901. Telephone: (415) 744-
    1627. E-mail: albright.david@epa.gov.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Applicability
    
        The rule being approved into the California SIP is VCAPCD Rule 37 
    (Project XL). This rule was submitted by the California Air Resources 
    Board to EPA on October 29, 1999.
    
    II. Background
    
        On September 8, 1999 in 64 FR 48739, EPA proposed to approve VCAPCD 
    Rule 37 into the California SIP. A detailed discussion of the 
    background of this rule is provided in the proposed rule cited above.
        EPA has evaluated VCAPCD Rule 37 for consistency with the 
    requirements of the CAA and EPA regulations and EPA interpretation of 
    these requirements. EPA has found that the rule meets the applicable 
    EPA requirements. A detailed discussion of the rule provisions and 
    evaluations has been provided in the proposed rule and in the technical 
    support document (TSD), dated August 23, 1999, which is available at 
    EPA's Region IX office.
    
    III. Response to Public Comments
    
        A 30-day public comment period was provided in 64 FR 48739. One set 
    of comments was submitted to EPA during the comment period, which ended 
    on October 8, 1999. The comments were submitted by the Environmental 
    Coalition (EC) of Ventura County. A summarization of the EC's comments 
    on the proposed rule and EPA's responses is provided below.
        The Environmental Coalition made three recommendations in their 
    submitted comments. Their first recommendation involves a concern 
    raised by the EC that Imation will receive emission reduction credits 
    (ERCs) for banking based on a reduction in their plantwide 
    applicability limit (PAL) for reactive organic compounds (ROC). The EC 
    recommends that any ERCs granted to Imation for an ROC PAL reduction 
    should be forfeited if Ventura County does not meet its 2005 ozone 
    attainment date.
        EPA agrees that any banking of emission reduction credits must be 
    done in accordance with the District's Banking Rule (Ventura County 
    APCD Rule 26.4), which would not allow Imation to bank ERCs by reducing 
    their ROC PAL to a lower level, unless Imation were emitting at the 
    level of their PAL at the time of the banking request. Ventura County 
    APCD Rule 37 (Project XL) specifically states at E.2 that ``Emission 
    banking shall be conducted pursuant to Rule 26.'' Further, Imation's 
    draft title V permit contains the following condition: ``If the 
    permittee proposes to reduce the level of the PAL, any emissions 
    banking shall be conducted pursuant to Rule 26, New Source Review. 
    Emission reduction credits shall be determined from emission reduction 
    calculations using the definition of actual emissions in Rule 26, at 
    the time of the banking request.'' EPA believes that the Rule 37 and 
    title V permit language is clear and that it will prevent any 
    inappropriate banking of ERCs based on a reduction in Imation's ROC 
    PAL.
        The second recommendation of the Environmental Coalition is to add 
    a fair and affordable appeal hearing process into Rule 37. The EC's 
    underlying concern is that for certain types of permitting appeals, the 
    Ventura County APCD rules require an upfront payment of fees by the 
    appellant. According to the Environmental Coalition, this requirement 
    precludes public participation due to the high costs involved, without 
    any assurance of recovering the money even if the appeal is upheld.
    
    [[Page 69405]]
    
        EPA agrees with the principle that if a person appeals a decision 
    to the Ventura County APCD Hearing Board and the appeal has merit and 
    is successful, then the successful appellant should receive a refund of 
    the fees paid for the appeal. Although EPA is aware that in the past 
    there may have been instances where a successful appellant did not 
    receive a refund of appeal fees, VCAPCD Rule 41 (Hearing Board Fees) 
    states that the Hearing Board may waive all or part of the fees 
    associated with an appeal if the Hearing Board reverses the decision of 
    the Air Pollution Control Officer in an appeal. Thus, EPA believes that 
    the current District rule is sufficient to provide for fee refunds to 
    successful appellants.
        As for the fairness of the District's appeal process, EPA believes 
    that the District's Hearing Board is a neutral body, operating 
    independently of the District staff, which is charged with adjudicating 
    all appeals of District permitting decisions and that the Board should 
    maintain that responsibility for any permit appeal under the Imation XL 
    project as well. Thus, EPA agrees that the District's existing appeal 
    procedures, in accordance with Rule 41 and all other relevant District 
    rules and regulations, should remain applicable to the Imation XL 
    project. Moreover, EPA believes that for the types of issues that could 
    potentially be raised in an appeal to the Hearing Board (e.g., a 
    significant permit modification), there are existing federal appeal 
    procedures pertaining to title V sources that will also remain in 
    place. These federal procedures, which do not involve the payment of 
    appeal fees, are in place to guarantee citizens' rights to appeal 
    initial title V permits, significant permit modifications, and title V 
    permit renewals.
        The Environmental Coalition's third recommendation is that EPA 
    should conduct an environmental review of Rule 37 because of its 
    precedent setting nature and the potential for significant increases in 
    air pollution resulting from numerous other companies applying for ERCs 
    from years when their emissions were much higher.
        First, as noted above in response to the Environmental Coalition's 
    first recommendation, Rule 37 requires that any banking of ERCs be done 
    in accordance with the District's banking regulations, which bases ERC 
    calculations on actual emissions at the time of the banking request. 
    Thus, Imation will be treated no differently under Rule 37 (which 
    requires banking pursuant to Rule 26) than any other company with 
    respect to the application for, and granting of, ERCs. Second, EPA has 
    evaluated Rule 37 and has determined that it is consistent with the 
    Clean Air Act and EPA regulations. A detailed discussion of the rule 
    provisions and EPA's evaluation of Rule 37 is provided in the proposed 
    rule (64 FR 48739) and in the technical support document (TSD), dated 
    August 23, 1999, which is available at EPA's Region IX office. Finally, 
    as noted in EPA's proposal, approval of this SIP revision should not be 
    construed as permitting or allowing or establishing a precedent for any 
    future implementation plan. Each request for revision to the state 
    implementation plan shall be considered separately in light of specific 
    technical, economic, and environmental factors and in relation to the 
    relevant statutory and regulatory requirements.
    
    IV. EPA Action
    
        EPA is finalizing this action to approve the above rule for 
    inclusion into the California SIP. EPA is approving the submittal under 
    section 110(k)(3) of the CAA as meeting the requirements of section 
    110(a) and part D. This approval action will incorporate this rule into 
    the Federally approved SIP. The intended effect of approving this rule 
    is to implement the Imation XL Project in accordance with the 
    requirements of the CAA. This plan revision is not intended to address 
    any outstanding issues with the Ventura County APCD NSR program that 
    will be the subject of a future EPA rulemaking on District Rule 26.
    
    V. Administrative Requirements
    
    A. Executive Order 12866
    
        The Office of Management and Budget (OMB) has exempted this 
    regulatory action from Executive Order (E.O.) 12866, entitled 
    ``Regulatory Planning and Review.''
    
    B. Executive Order 13132
    
        Federalism (64 FR 43255, August 10, 1999) revokes and replaces 
    Executive Orders 12612, Federalism and 12875, Enhancing the 
    Intergovernmental Partnership. Executive Order 13132 requires EPA to 
    develop an accountable process to ensure ``meaningful and timely input 
    by State and local officials in the development of regulatory policies 
    that have federalism implications.'' ``Policies that have federalism 
    implications'' is defined in the Executive Order to include regulations 
    that have ``substantial direct effects on the States, on the 
    relationship between the national government and the States, or on the 
    distribution of power and responsibilities among the various levels of 
    government.'' Under Executive Order 13132, EPA may not issue a 
    regulation that has federalism implications, that imposes substantial 
    direct compliance costs, and that is not required by statute, unless 
    the Federal government provides the funds necessary to pay the direct 
    compliance costs incurred by State and local governments, or EPA 
    consults with State and local officials early in the process of 
    developing the proposed regulation. EPA also may not issue a regulation 
    that has federalism implications and that preempts State law unless the 
    Agency consults with State and local officials early in the process of 
    developing the proposed regulation.
        This final rule will not have substantial direct effects on the 
    States, on the relationship between the national government and the 
    States, or on the distribution of power and responsibilities among the 
    various levels of government, as specified in Executive Order 13132. 
    Thus, the requirements of section 6 of the Executive Order do not apply 
    to this rule.
    
    C. Executive Order 13045
    
        Protection of Children from Environmental Health Risks and Safety 
    Risks (62 FR 19885, April 23, 1997), applies to any rule that: (1) Is 
    determined to be ``economically significant'' as defined under E.O. 
    12866, and (2) concerns an environmental health or safety risk that EPA 
    has reason to believe may have a disproportionate effect on children. 
    If the regulatory action meets both criteria, the Agency must evaluate 
    the environmental health or safety effects of the planned rule on 
    children, and explain why the planned regulation is preferable to other 
    potentially effective and reasonably feasible alternatives considered 
    by the Agency.
        This rule is not subject to E.O. 13045 because it does not involve 
    decisions intended to mitigate environmental health or safety risks.
    
    D. Executive Order 13084
    
        Under E.O. 13084, Consultation and Coordination with Indian Tribal 
    Governments, EPA may not issue a regulation that is not required by 
    statute, that significantly affects or uniquely affects the communities 
    of Indian tribal governments, and that imposes substantial direct 
    compliance costs on those communities, unless the Federal government 
    provides the funds necessary to pay the direct compliance costs 
    incurred by the tribal governments. If the mandate is unfunded, EPA 
    must provide to the Office of Management and Budget, in a
    
    [[Page 69406]]
    
    separately identified section of the preamble to the rule, a 
    description of the extent of EPA's prior consultation with 
    representatives of affected tribal governments, a summary of the nature 
    of their concerns, and a statement supporting the need to issue the 
    regulation.
        In addition, E.O. 13084 requires EPA to develop an effective 
    process permitting elected and other representatives of Indian tribal 
    governments ``to provide meaningful and timely input in the development 
    of regulatory policies on matters that significantly or uniquely affect 
    their communities.'' Today's rule does not significantly or uniquely 
    affect the communities of Indian tribal governments. Accordingly, the 
    requirements of section 3(b) of E.O. 13084 do not apply to this rule.
    
    E. Regulatory Flexibility Act
    
        The Regulatory Flexibility Act (RFA) generally requires an agency 
    to conduct a regulatory flexibility analysis of any rule subject to 
    notice and comment rulemaking requirements unless the agency certifies 
    that the rule will not have a significant economic impact on a 
    substantial number of small entities. Small entities include small 
    businesses, small not-for-profit enterprises, and small governmental 
    jurisdictions.
        This final rule will not have a significant impact on a substantial 
    number of small entities because SIP approvals under section 110 and 
    subchapter I, part D of the Clean Air Act do not create any new 
    requirements but simply approve requirements that the State is already 
    imposing. Therefore, because the Federal SIP approval does not create 
    any new requirements, I certify that this action will not have a 
    significant economic impact on a substantial number of small entities.
        Moreover, due to the nature of the Federal-State relationship under 
    the Clean Air Act, preparation of flexibility analysis would constitute 
    Federal inquiry into the economic reasonableness of state action. The 
    Clean Air Act forbids EPA to base its actions concerning SIPs on such 
    grounds. Union Electric Co., v. U.S. EPA, 427 U.S. 246, 255-66 (1976); 
    42 U.S.C. 7410(a)(2).
    
    F. Unfunded Mandates
    
        Under section 202 of the Unfunded Mandates Reform Act of 1995 
    (``Unfunded Mandates Act''), signed into law on March 22, 1995, EPA 
    must prepare a budgetary impact statement to accompany any proposed or 
    final rule that includes a Federal mandate that may result in estimated 
    annual costs to State, local, or tribal governments in the aggregate; 
    or to private sector, of $100 million or more. Under section 205, EPA 
    must select the most cost-effective and least burdensome alternative 
    that achieves the objectives of the rule and is consistent with 
    statutory requirements. Section 203 requires EPA to establish a plan 
    for informing and advising any small governments that may be 
    significantly or uniquely impacted by the rule.
        EPA has determined that the approval action promulgated does not 
    include a Federal mandate that may result in estimated annual costs of 
    $100 million or more to either State, local, or tribal governments in 
    the aggregate, or to the private sector. This Federal action approves 
    pre-existing requirements under State or local law, and imposes no new 
    requirements. Accordingly, no additional costs to State, local, or 
    tribal governments, or to the private sector, result from this action.
    
    G. Submission to Congress and the Comptroller General
    
        The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
    Small Business Regulatory Enforcement Fairness Act of 1996, generally 
    provides that before a rule may take effect, the agency promulgating 
    the rule must submit a rule report, which includes a copy of the rule, 
    to each House of the Congress and to the Comptroller General of the 
    United States. Section 804, however, exempts from section 801 the 
    following types of rules: rules of particular applicability; rules 
    relating to agency management or personnel; and rules of agency 
    organization, procedure, or practice that do not substantially affect 
    the rights or obligations of non-agency parties. 5 U.S.C. section 
    804(3). EPA is not required to submit a rule report regarding today's 
    action under section 801 because this is a rule of particular 
    applicability (i.e., it applies only to a specifically named entity). A 
    major rule cannot take effect until 60 days after it is published in 
    the Federal Register. This rule is not a ``major'' rule as defined by 5 
    U.S.C. 804(2).
    
    H. National Technology Transfer and Advancement Act
    
        Section 12 of the National Technology Transfer and Advancement Act 
    (NTTAA) of 1995 requires Federal agencies to evaluate existing 
    technical standards when developing a new regulation. To comply with 
    NTTAA, EPA must consider and use ``voluntary consensus standards'' 
    (VCS) if available and applicable when developing programs and policies 
    unless doing so would be inconsistent with applicable law or otherwise 
    impractical.
        The EPA believes that VCS are inapplicable to this action. Today's 
    action does not require the public to perform activities conducive to 
    the use of VCS.
    
    I. Petitions for Judicial Review
    
        Under section 307(b)(1) of the Clean Air Act, petitions for 
    judicial review of this action must be filed in the United States Court 
    of Appeals for the appropriate circuit by February 11, 2000. Filing a 
    petition for reconsideration by the Administrator of this final rule 
    does not affect the finality of this rule for the purposes of judicial 
    review nor does it extend the time within which a petition for judicial 
    review may be filed, and shall not postpone the effectiveness of such 
    rule or action. This action may not be challenged later in proceedings 
    to enforce its requirements. (See section 307(b)(2).)
    
    List of Subjects in 40 CFR Part 52
    
        Environmental protection, Air pollution control, Hydrocarbons, 
    Incorporation by reference, Intergovernmental relations, Ozone, 
    Reporting and recordkeeping requirements, Volatile organic compounds.
    
        Note: Incorporation by reference of the State Implementation 
    Plan for the State of California was approved by the Director of the 
    Federal Register on July 1, 1982.
    
        Dated: November 16, 1999.
    Felicia Marcus,
    Regional Administrator, Region IX.
    
        Part 52, chapter I, title 40 of the Code of Federal Regulations 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 et seq.
    
    Subpart F--California
    
        2. Section 52.220 is amended by adding paragraphs (c)(268), (269), 
    and (270) to read as follows:
    
    
    Sec. 52.220  Identification of plan.
    
    * * * * *
        (c) * * *
        (268) [Reserved]
        (269) [Reserved]
        (270) New and amended regulations for the following APCDs were 
    submitted on October 29, 1999, by the Governor's designee.
        (i) Incorporation by reference.
        (A) Ventura County Air Pollution Control District.
    
    [[Page 69407]]
    
        (1) Rule 37 adopted September 14, 1999.
    * * * * *
    [FR Doc. 99-30902 Filed 12-10-99; 8:45 am]
    BILLING CODE 6560-50-P
    
    
    

Document Information

Effective Date:
1/12/2000
Published:
12/13/1999
Department:
Environmental Protection Agency
Entry Type:
Rule
Action:
Final rule.
Document Number:
99-30902
Dates:
This action is effective on January 12, 2000.
Pages:
69404-69407 (4 pages)
Docket Numbers:
CA 236-0197, FRL-6481-8
PDF File:
99-30902.pdf
CFR: (1)
40 CFR 52.220