[Federal Register Volume 59, Number 106 (Friday, June 3, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-13496]
[[Page Unknown]]
[Federal Register: June 3, 1994]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 52
[MI17-01-5761; FRL-4886-7]
Approval and Promulgation of a Small Business Technical and
Environmental Compliance Assistance Program; Michigan
AGENCY: Environmental Protection Agency (EPA).
ACTION: Final rule.
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SUMMARY: The EPA approves the Michigan State Implementation Plan (SIP)
revision submitted by the State of Michigan for the purpose of
establishing a Small Business Stationary Source Technical and
Environmental Compliance Assistance Program (PROGRAM). The
implementation plan was submitted by the State to satisfy the Federal
mandate of the Clean Air Act (Act), to ensure that small businesses
have access to the technical assistance and regulatory information
necessary to comply with the Act. The rationale for the approval is set
forth in this notice; additional information is available at the
addresses indicated below.
EFFECTIVE DATE: This action will be effective August 2, 1994 unless
notice is received by July 5, 1994 that someone wishes to submit
adverse comments. If the effective date is delayed, timely notice will
be published in the Federal Register.
ADDRESSES: Comments can be mailed to Carlton Nash, Chief, Regulation
Development Section, Air Toxics and Radiation Branch, United States
Environmental Protection Agency, 77 West Jackson Boulevard (AT-18J),
Chicago, Illinois 60604. Copies of the State's submittal and the EPA's
technical support document are available for inspection during normal
business hours at the following locations: United States Environmental
Protection Agency, Region 5, Air and Radiation Division, 77 West
Jackson Boulevard (AT-18J), Chicago, Illinois 60604, and Michigan
Department of Natural Resources, Stevens T. Mason Building, P.O. Box
30028, Lansing, Michigan 48909.
A copy of this SIP revision is also available at the Office of Air
and Radiation, Docket and Information Center (Air Docket 6102), room
M1500, United States Environmental Protection Agency, 401 M Street,
SW., Washington, DC 20460, (202) 260-7548.
FOR FURTHER INFORMATION CONTACT: Chris Campbell, USEPA (AT-18J), 77
West Jackson Boulevard, Chicago, Illinois 60604, (312) 353-6324.
SUPPLEMENTARY INFORMATION:
I. Background
Implementation of the provisions of the Act, as amended in 1990,
will require regulation of many small businesses so that areas may
attain and maintain the national ambient air quality standards (NAAQS)
and reduce the emission of air toxics. Small businesses frequently lack
the technical expertise and financial resources necessary to evaluate
such regulations and to determine the appropriate mechanisms for
compliance. In anticipation of the impact of these requirements on
small businesses, the Act requires that States adopt a Small Business
Stationary Source Technical and Environmental Compliance Assistance
Program (PROGRAM), and submit this PROGRAM as a revision to the
Federally approved SIP. In addition, the Act directs the EPA to oversee
these small business assistance programs and report to Congress on
their implementation. The requirements for establishing a PROGRAM are
set out in section 507 of title V of the Act. In February 1992, the EPA
issued ``Guidelines for the Implementation of Section 507 of the 1990
Clean Air Act Amendments'' to delineate the Federal and State roles in
meeting the new statutory provisions and to provide further guidance to
the States on submitting acceptable SIP revisions.
In order to gain full approval, the State submittal must provide
for each of the following PROGRAM elements: (1) The establishment of a
Small Business Assistance Program (SBAP) to provide technical and
compliance assistance to small businesses; (2) the establishment of a
State Small Business Ombudsman to represent the interests of small
businesses in the regulatory process; and (3) the creation of a
Compliance Advisory Panel (CAP) to determine and report on the overall
effectiveness of the PROGRAM.
In order to satisfy the requirements of section 507, on November
11, 1992, January 8, 1993, and November 12, 1993, the State of Michigan
submitted a Small Business Stationary Source Technical and
Environmental Compliance Assistance Program as a revision to its SIP.
The November 12, 1993 submittal included the Michigan Small Business
Clean Air Assistance Act of 1993.
II. Analysis
1. Small Business Assistance Program
Section 507(a) sets forth six requirements\1\ that the State must
meet to have an approvable SBAP. The first requirement is to establish
adequate mechanisms for developing, collecting, and coordinating
information concerning compliance methods and technologies for small
business stationary sources, and programs to encourage lawful
cooperation among such sources and other persons to further compliance
with the Act.
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\1\A seventh requirement of Section 507(a), establishment of an
Ombudsman office, is discussed in the next section.
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The State has met this requirement by establishing the Air Quality
Small Business Assistance Program (AQSBAP) and requiring it to develop
this aspect of the SBAP. The AQSBAP outreach program will coordinate
activities with existing groups that represent small businesses'
interests and/or come in contact with large numbers of small
businesses. As new standards and requirements are promulgated, the
AQSBAP will translate the requirements into understandable terms and
disseminate the information through these organizations, which include
the Michigan Department of Natural Resources Air Quality Division (MDNR
AQD), the Small Business Clean Air Ombudsman (SBCAO), the Michigan
Department of Public Health, local emergency planning committees, trade
associations, chambers of commerce, newspapers, business and trade
journals, economic development groups, universities, and electronic
databases. The AQSBAP will also seek participation in these
organizations' conferences and meetings. In addition, the AQSBAP will
develop a client tracking system to help assess program needs, and to
develop small business mailing lists. To address reactive information
needs, the AQSBAP will assist in operating an ``800'' telephone
clearinghouse service which will be able to provide technical
assistance. To address the program's technical resource needs, the
AQSBAP will provide its own technical specialists, as well as develop
mechanisms for obtaining additional technical support from appropriate
Federal, State, and other organizations. The AQSBAP will also develop
an air quality resource center, which will be available to the AQSBAP
technical specialists.
The second requirement is to establish adequate mechanisms for
assisting small business stationary sources with pollution prevention
and accidental release detection and prevention, including providing
information concerning alternative technologies, process changes,
products, and methods of operation that help reduce air pollution.
The State has met this requirement by promoting pollution
prevention and offering technical assistance through the AQSBAP and
several existing programs also within the Environmental Sciences
Division (ESD). The AQSBAP and the Office of Waste Reduction Services
will help businesses locate and take advantage of pollution prevention
opportunities. The AQSBAP and the Education/Outreach program will work
together in the development of fact sheets and case studies which
highlight pollution prevention technologies. In addition, these
programs will jointly participate in seminars and workshops. The AQSBAP
will address accidental release detection and prevention by training
technical specialists in these practices and technologies. General
questions will be addressed by these specialists, and complex questions
will be referred to the EPA's Chemical Emergency Preparedness and
Prevention Office, or the Emergency Planning and Community Right-to-
Know Hotline. State organizations, including the State Emergency
Response Commission, the Michigan Chemical Council, the Emergency
Management Division of the Michigan Department of State Police, and the
Michigan Department of Public Health will also be used as resources.
The outreach program described in the first requirement above will be
used to distribute publications and information about upcoming
workshops on accidental release prevention.
The third requirement is to develop a compliance and technical
assistance program for small business stationary sources which assists
small businesses in determining applicable requirements and in
receiving permits under the Act in a timely and efficient manner.
The State has met this requirement by providing an ``800'' number
and by offering individual meetings to provide one on one compliance
assistance. The AQSBAP technical specialists will be able to identify
applicable air quality regulations, determine whether or not a permit
is needed, identify methods for achieving compliance, and explain the
permitting procedures. The AQSBAP will use the outreach methods
described in the first requirement above to disseminate information
regarding new standards and requirements.
The fourth requirement is to develop adequate mechanisms to assure
that small business stationary sources receive notice of their rights
under the Act in such manner and form as to assure reasonably adequate
time for such sources to evaluate compliance methods and any relevant
or applicable proposed or final regulation or standards issued under
the Act. The State has met this requirement by establishing information
dissemination mechanisms to ensure that small business stationary
sources receive notice of their rights under the Act. The AQSBAP and
the MDNR AQD will develop a fact sheet that notifies small businesses
of their rights under the Act and Michigan's Air Pollution Act, and
explains the legal recourse should they be notified of a violation.
This information will be provided during site visits and presentations
at trade association meetings, and will be uploaded on the NEWBIZ
computer database. The AQSBAP will also develop and disseminate through
the outreach program timely fact sheets notifying small businesses of
proposed and final regulations issued under the Act that affect their
businesses.
The fifth requirement is to develop adequate mechanisms for
informing small business stationary sources of their obligations under
the Act, including mechanisms for referring such sources to qualified
auditors or, at the option of the State, for providing audits of the
operations of such sources to determine compliance with the Act.
The State has met this requirement by establishing information
dissemination mechanisms to ensure that small business stationary
sources receive notice of their obligations under new regulations.
These mechanisms are the same as those listed above for notifying
sources of their rights. In addition, the AQSBAP will develop and
distribute a list of consultants that can provide air quality audits of
small businesses. The AQSBAP will also develop a fact sheet that helps
small businesses select a reputable auditor. In addition, the AQSBAP
will investigate the feasibility of implementing its own voluntary
audit program.
The sixth requirement is to develop procedures for consideration of
requests from a small business stationary source for modification of
(A) any work practice or technological method of compliance, or (B) the
schedule of milestones for implementing such work practice or method of
compliance preceding any applicable compliance date, based on the
technological and financial capability of any such small business
stationary source.
The State has met this requirement by addressing such requests
under Modification to Act 348, Part 6 Rules, which contains the
procedures that businesses must follow in obtaining approval for such a
request. Responses to requests relating to Federal standards will be
coordinated with the EPA. The AQSBAP will assist small businesses in
identifying these procedures.
2. Ombudsman
Section 507(a)(3) requires the designation of a State office to
serve as the Ombudsman for small business stationary sources. The State
has met this requirement by establishing the Small Business Clean Air
Ombudsman (SBCAO) and the Office of the SBCAO within the Michigan
Department of Commerce. The SBCAO is required to represent the
interests of small businesses, and to assure that the goals of the
AQSBAP are met. The SBCAO is required to perform many duties,
including: Conducting evaluations of all aspects of the program;
reviewing and commenting on requirements that impact small businesses;
facilitating and promoting small business participation in rule
development; disseminating information; participating and sponsoring
meetings with regulatory officials, industry groups, and small business
representatives; investigating and resolving complaints and disputes
from small businesses against State or local air pollution control
agencies; referring small businesses to the appropriate technical
specialists; assisting in the preparation of small business guidance
documents; assisting small businesses in locating financial assistance
for compliance requirements; and studying the financial impacts of
requirements on small businesses. It is expected that the Governor will
be making the Ombudsman appointment by June 1994, but no later than
November 1, 1994.
3. Compliance Advisory Panel
Section 507(e) requires the State to establish a Compliance
Advisory Panel (CAP) that must include two members selected by the
Governor who are not owners or representatives of owners of small
businesses; four members selected by the State legislature who are
owners, or represent owners, of small businesses; and one member
selected by the head of the agency in charge of the Air Pollution
Permit Program.
The State has met this requirement by establishing a CAP which
includes these appointments. The enabling legislation also outlines
general policies and procedures for administering the CAP. As of April
1, 1994, five of the seven CAP appointments had been made. All CAP
appointments will be completed by June 1994, but no later than November
1, 1994.
In addition to establishing the minimum membership of the CAP, the
Act delineates four responsibilities of the Panel: (1) To render
advisory opinions concerning the effectiveness of the SBAP,
difficulties encountered and the degree and severity of enforcement
actions; (2) to periodically report to the EPA concerning the SBAP's
adherence to the principles of the Paperwork Reduction Act, the Equal
Access to Justice Act, and the Regulatory Flexibility Act;\2\ (3) to
review and assure that information for small business stationary
sources is easily understandable; and (4) to develop and disseminate
the reports and advisory opinions made through the SBAP. The State has
met these requirements by requiring the CAP to meet these
responsibilities. In addition, the AQSBAP and the SBCAO staff will
provide support to the CAP in its efforts to carry out these
responsibilities.
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\2\Section 507(e)(1)(B) requires the CAP to report on the
compliance of the SBAP with these three Federal statutes. However,
since State agencies are not required to comply with them, EPA
believes that the State PROGRAM must merely require the CAP to
report on whether the SBAP is adhering to the general principles of
these Federal statutes.
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4. Eligibility
Section 507(c)(1) of the Act defines the term ``small business
stationary source'' as a stationary source that:
(A) Is owned or operated by a person who employs 100 or fewer
individuals;
(B) Is a small business concern as defined in the Small Business
Act;
(C) Is not a major stationary source;
(D) Does not emit 50 tons per year (tpy) or more of any regulated
pollutant; and
(E) Emits less than 75 tpy of all regulated pollutants.
Michigan's Small Business Clean Air Assistance Act similarly
defines the term ``small business,'' and expands criterion (C) to
include major stationary sources which are major because of their
location in a nonattainment area. To avoid discouraging businesses from
seeking assistance, Michigan intends to use a flexible definition of
small business when implementing the program. The type of service and
the amount of resources necessary to carry out the service will dictate
whether a broad or narrow eligibility definition is used. This is
consistent with section 507(c)(2) of the Act.
The State of Michigan has provided for public notice and comment on
grants of eligibility to sources that both do not emit more than 100
tpy of all regulated pollutants and do not meet the eligibility
provisions of sections 507(c)(1) (C), (D), and (E) of the Act. In
response to such a petition by a stationary source, the Director of the
MDNR may define a source as a ``small business.'' This is consistent
with section 507(c)(2) of the Act.
The State of Michigan has provided for exclusion from the ``small
business'' definition for any category or subcategory of sources that
the State determines to have sufficient technical and financial
capabilities to meet the requirements of the Act. The Director of the
MDNR may exclude such sources after consultation with the EPA and the
Small Business Administration and after providing notice and
opportunity for public hearing. This provision is consistent with
section 507(c)(3).
III. Final Rulemaking
Michigan has submitted a SIP revision implementing each of the
required PROGRAM elements required by section 507 of the Act. The
PROGRAM will be fully implemented by November 15, 1994.
Because the EPA considers this final rule noncontroversial and
routine, we are approving it today without prior proposal. This rule
will become effective on August 2, 1994. However, if we receive notice
by July 5, 1994 that someone wishes to submit adverse comments, then
the EPA will publish: (1) A notice that withdraws the action, and (2) a
notice that begins a new rulemaking by proposing the action and
establishing a comment period.
This action has been classified as a Table 2 Action by the Regional
Administrator under the procedures published in the Federal Register on
January 19, 1989 (54 FR 2214-2225). A revision to the SIP processing
review tables was approved by the Acting Assistant Administrator for
Office of Air and Radiation on October 4, 1993 (Michael Shapiro's
memorandum to Regional Administrators). A future notice will inform the
general public of these tables. Under the revised tables this action
remains classified as a Table 2. On January 6, 1989 the Office of
Management and Budget (OMB) waived Table 2 and 3 SIP revisions (54 FR
2222) from the requirement of section 3 of Executive Order 12291 for a
period of two years. The EPA has submitted a request for a permanent
waiver for Table 2 and Table 3 SIP revisions. The OMB has agreed to
continue the temporary waiver until such time as it rules on the EPA's
request. This request continued in effect under Executive Order 12866
which superseded Executive Order 12291 on September 30, 1993.
Nothing in this action should be construed as permitting, allowing,
or establishing a precedent for any future request for revision to any
SIP. USEPA shall consider each request for revision to the SIP in light
of specific technical, economic, and environmental factors and in
relation to relevant statutory and regulatory requirements.
Under Executive Order 12866 (58 FR 51735 (October 4, 1993)), the
EPA must determine whether the regulatory action is ``significant'' and
therefore subject to OMB review and the requirements of the Executive
Order. The Order defines ``significant regulatory action'' as one that
is likely to result in a rule that may:
(1) Have an annual effect on the economy of $100 million or more or
adversely affect in a material way the economy, a sector of the
economy, productivity, competition, jobs, the environment, public
health or safety, or State, local, or tribal governments or
communities;
(2) Create a serious inconsistency or otherwise interfere with an
action taken or planned by another agency;
(3) Materially alter the budgetary impact of entitlements, grants,
user fees, or loan programs or the rights and obligations of recipients
thereof; or
(4) Raise novel legal or policy issues arising out of legal
mandates, the President's priorities, or the principles set forth in
the Executive Order.
OMB has exempted this regulatory action from E.O. 12866 review.
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, the EPA may certify that the rule will not have a
significant impact on a substantial number of small entities. Small
entities include small businesses, small not-for-profit enterprises,
and government entities with jurisdiction over populations of less than
50,000.
By today's action, the EPA is approving a State program created for
the purpose of assisting small businesses in complying with existing
statutory and regulatory requirements. The program being approved today
does not impose any new regulatory burden on small businesses; it is a
program under which small businesses may elect to take advantage of
assistance provided by the State. Therefore, because the EPA's approval
of this program does not impose any new regulatory requirements on
small businesses, I certify that it does not have a significant
economic impact on any small entities affected.
List of Subjects in 40 CFR Part 52
Environmental protection, Air pollution control, Small business
assistance program, Incorporation by reference.
Authority: 42 U.S.C. 7401-7671q.
Dated: May 3, 1994.
Valdas V. Adamkus,
Regional Administrator.
For the reasons set out in the preamble, part 52, chapter 1, 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. 7401-7671q.
Subpart X--Michigan
2. Section 52.1170 is amended by adding paragraph (c)(94) to read
as follows:
Sec. 52.1170 Identification of plan.
* * * * *
(c) * * *
(94) On November 13, 1992, January 8, 1993, and November 12, 1993,
the State of Michigan submitted a Small Business Stationary Source
Technical and Environmental Assistance Program for incorporation in the
Michigan State Implementation Plan as required by section 507 of the
Clean Air Act.
(i) Incorporation by reference.
(a) Small Business Clean Air Assistance Act, Act No. 12, Public
Acts of 1993, approved by the Governor on April 1, 1993, and effective
upon approval.
3. Section 52.1184 is added to read as follows:
Sec. 52.1184 Small business stationary source technical and
environmental compliance assistance program.
The Michigan program submitted on November 13, 1992, January 8,
1993, and November 12, 1993, as a requested revision to the Michigan
State Implementation Plan satisfies the requirements of section 507 of
the Clean Air Act Amendments of 1990.
[FR Doc. 94-13496 Filed 6-2-94; 8:45 am]
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