[Federal Register Volume 61, Number 113 (Tuesday, June 11, 1996)]
[Rules and Regulations]
[Pages 29485-29486]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-14764]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 82
[FRL-5518-1]
Protection of Stratospheric Ozone
AGENCY: Environmental Protection Agency (EPA).
ACTION: Notice of extension of stay.
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SUMMARY: This action temporarily extends a stay of the effectiveness of
a certain reporting requirement in the petition process for the import
of used class I controlled substances, but only extends the stay to the
extent necessary to complete reconsideration (including any appropriate
regulatory action) of the requirement. In the Federal Register
published January 31, 1996, EPA announced, pursuant to Clean Air Act
section 307(d)(7)(B), a three-month administrative stay and
reconsideration of this reporting requirement (61 FR 3316). The
provision at issue is 40 CFR 82.13(g)(2)(viii), promulgated under
sections 604 and 606 of the Clean Air Act, which requires the importer
of a used class I controlled substance to certify that the purchaser of
the controlled substance is liable for the tax.
In the same Federal Register published January 31, 1996, pursuant
to Clean Air Act section 301(a)(1), EPA proposed an extension of the
stay beyond the three-month administrative stay, but only to the extent
necessary to complete reconsideration (including any appropriate
regulatory action) of the rule in question (61 FR 3361). This action
finalizes the proposed extension. Sufficient concerns have been raised
regarding this provision that EPA believes it is appropriate not only
to reconsider the provision, but also to stay the requirement during
the period of reconsideration, which will extend beyond the three-month
period provided under the administrative stay.
EFFECTIVE DATE: July 11, 1996.
FOR FURTHER INFORMATION CONTACT: Tom Land, Stratospheric Protection
Division, Office of Air and Radiation, U.S. Environmental Protection
Agency (6205-J), 401 M Street, SW., Washington, DC 20460, (202) 233-
9185. The Stratospheric Ozone Information Hotline at 1-800-296-1996 can
also be contacted for further information.
SUPPLEMENTARY INFORMATION:
Regulated Entities
Entities potentially regulated by this action are those that wish
to import used class I controlled ozone-depleting substances. Class I
controlled ozone-depleting substances are listed in Appendix A of the
Federal Register published May 10, 1995 (60 FR 4970). Regulated
categories and entities include:
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Category Examples of regulated entities
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Industry............................ Importers of used class I ozone-
depleting substances.
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This table is not intended to be exhaustive, but rather provides a
guide for readers regarding entities likely to be regulated by this
action. This table lists the types of entities that EPA is now aware
could potentially be regulated by this action. Other types of entities
not listed in the table could also be regulated. To determine whether
your company is regulated by this action, you should carefully examine
the applicability criteria in Sec. 82.13(g)(2) of the rule and/or
applicability criteria in Sec. 82.13(g)(2) of title 40 of the Code of
[[Page 29486]]
Federal Regulations. If you have questions regarding the applicability
of this action to a particular entity, consult the person listed in the
preceding FOR FURTHER INFORMATION CONTACT section.
I. Background
In the Federal Register published January 31, 1996, EPA announced
that, pursuant to Clean Air Act section 307(d)(7)(B), 42 U.S.C.
7607(d)(7)(B), the Agency was convening a proceeding for
reconsideration of 40 CFR 82.13(g)(2)(viii), which requires an importer
petitioning to import used class I controlled substances to certify
that the purchaser of the controlled substance is liable for the tax
(61 FR 3316). EPA had promulgated this provision as a final federal
rule on May 10, 1995, under sections 604 and 606 of the Clean Air Act
(60 FR 24970). Readers should refer to the notice of reconsideration
for a complete discussion of the background and provision affected. In
the notice of reconsideration EPA also announced a three-month
administrative stay of the effectiveness of 40 CFR 82.13(g)(2)(viii)
during reconsideration, pursuant to Clean Air Act section 307(d)(7)(B),
42 U.S.C. 7607(d)(7)(B). In an accompanying notice, EPA proposed to
extend the stay beyond the three-month administrative stay, pursuant to
Clean Air Act section 301(a)(1), 42 U.S.C. 7601(a)(1), but only to the
extent necessary to complete reconsideration (including any appropriate
regulatory action) of the rule in question (61 FR 3361). EPA received
one comment on this proposal, which is addressed below.
EPA did not complete reconsideration (including appropriate
regulatory action) within the three-month period of the administrative
stay, and is now extending the stay of this provision until the Agency
completes reconsideration. The stay will extend until the effective
date of EPA's final action following reconsideration of this rule.
EPA is staying the reporting requirement contained in 40 CFR
82.13(g)(2)(viii) and associated compliance dates in order to complete
reconsideration of this provision, and take appropriate action,
following the notice and comment procedures of section 307(d) of the
Clean Air Act. If, after reconsideration of this provision, EPA
determines that it is appropriate to impose new requirements that are
stricter than the existing rules, EPA will propose an adequate
compliance period from the date of final action on reconsideration. EPA
will seek to ensure that the affected parties are not unduly prejudiced
by the Agency's reconsideration. EPA expects that any EPA proposal
regarding changes to the tax liability certification requirement for a
petition for the import of used class I controlled substances would be
subject to the notice and comment procedures of Clean Air Act section
307(d).
II. Comments
EPA received only one comment on the proposed extension of the
stay. The commenter stated that further reconsideration of the
reporting requirement is unnecessary because ``the Internal Revenue
Service (IRS) has subsequently clarified that the tax is, indeed, due
upon first sale or use after import.'' The commenter also stated that
it supports EPA's petition process requiring all importers of used
Class I substances to supply information to the Agency, including the
certification of liability for the tax. The commenter was concerned
that delay in imposing the full petition requirements could result in
additional illegal CFCs entering the U.S.
EPA believes that a stay of the provision is appropriate to ensure
that the Agency meets the procedural requirements for rulemaking and
because a temporary stay should not unduly hinder EPA's enforcement of
the requirements for imports of used Class I substances. On May 31,
1995, PAACO International, Inc., an importer of used class I controlled
ozone-depleting substances, petitioned EPA for reconsideration of the
certification provision at issue. The petitioner asserted that EPA did
not give the public notice of the requirement and therefore it was
``impracticable to raise objections'' to the provision during the
public comment period. The petitioner also claimed that the objections
are of central relevance to the rule because it believes that
``purchasers'' are not liable for the tax, it could not certify
liability, and it could not conduct its business under the rule. EPA
granted the request for reconsideration and stay of the provision,
recognizing that the proposed rule did not discuss the possibility of a
certification of liability for taxes. EPA believes it would not be
appropriate to reimpose the provision prior to conducting a notice and
comment rulemaking on such provision.
Moreover, EPA believes the stay does not unduly hinder the Agency's
ability to control illegal imports of used class I controlled
substances. The stay only applies to the one certification requirement
in Sec. 82.13(g)(2)(viii), and the remainder of the petition
requirement remains intact. In addition, the stay is temporary, and
through the process of reconsidering the requirement, EPA will
determine whether to conduct a rulemaking to reimpose the certification
requirement or a variant thereof. To the extent that the comment urges
EPA to retain the certification requirement as is, EPA will take the
comment into account in reconsidering the certification requirement.
Thus, with today's action, EPA temporarily extends the stay of 40
CFR 82.13(g)(2)(viii) until EPA has completed final reconsideration
(including any appropriate regulatory action) of the rule in question.
List of Subjects in 40 CFR Part 82
Environmental protection, Administrative practice and procedure,
Air pollution control, Chemicals, Chlorofluorocarbons, Exports,
Hydrochlorofluorocarbons, Imports, Interstate commerce, Nonessential
products, Reporting and recordkeeping requirements, Stratospheric ozone
layer.
Dated: June 3, 1996.
Carol M. Browner,
Administrator.
Part 82, chapter I, title 40, of the Code of Federal Regulations,
is amended to read as follows:
PART 82--PROTECTION OF STRATOSPHERIC OZONE
1. The authority citation for part 82 continues to read as follows:
Authority: 42 U.S.C. 7414, 7601, 7671-7671q.
2. Section 82.13 is amended by adding paragraph (g)(2)(xi) to read
as follows:
Sec. 82.13 Recordkeeping and reporting.
* * * * *
(g) * * *
(2) (xi) Rules stayed for reconsideration. Notwithstanding any
other provisions of this subpart, the effectiveness of 40 CFR
82.13(g)(2)(viii) is stayed from July 11, 1996 until the completion of
the reconsideration of 40 CFR 82.13(g)(2)(viii).
* * * * *
[FR Doc. 96-14764 Filed 6-10-96; 8:45 am]
BILLING CODE 6560-50-P
