95-16359. Approval and Promulgation of Implementation Plans; Indiana VOC RACT Catch-ups  

  • [Federal Register Volume 60, Number 128 (Wednesday, July 5, 1995)]
    [Rules and Regulations]
    [Pages 34856-34859]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-16359]
    
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    
    40 CFR Part 52
    
    [IN41-1-6343a; FRL-5251-3]
    
    
    Approval and Promulgation of Implementation Plans; Indiana VOC 
    RACT Catch-ups
    
    AGENCY: Environmental Protection Agency.
    
    ACTION: Direct final rule.
    
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    SUMMARY: On August 3, 1994, the Indiana Department of Environmental 
    Management (IDEM)) submitted a SIP revision request which addresses 
    certain reasonably available control technology (RACT) requirements 
    under the Clean Air Act (Act) applicable to all major sources of 
    volatile organic compounds (VOC) located in ozone moderate and above 
    nonattainment areas for which the United States Environmental 
    Protection Agency (USEPA) has not issued or will not issue a control 
    techniques guideline (CTG). The submittal was deemed complete on August 
    15, 1994. Indiana supplemented its revision request on February 6, 
    1995. The USEPA is approving this submittal in a final action because 
    all the pertinent Federal requirements have been met. In the proposed 
    rules section of this Federal Register, USEPA is proposing approval of 
    and soliciting public comment on this requested SIP revision. If 
    adverse comments are received on this action, USEPA will withdraw this 
    final rule and address the comments received in response to this action 
    in a final rule on the related proposed rule which is being published 
    in the proposed rules section of this Federal Register. A second public 
    comment period will not be held unless warranted by significant 
    revisions to this rulemaking based on any comments received in response 
    to this action. Parties interested in commenting on this action should 
    do so at this time.
    
    DATES: This action will be effective September 5, 1995, unless an 
    adverse comment is received by August 4, 1995.
    
    ADDRESSES: Copies of the revision request and USEPA's analysis 
    (Technical Support Document) are available for inspection at the 
    following address: U.S. Environmental Protection Agency, Region 5, Air 
    and Radiation Division, 77 West Jackson Boulevard, Chicago, Illinois 
    60604. (It is recommended that you telephone Rosanne M. Lindsay at 
    (312) 353-1151 before visiting the Region 5 Office.)
        A copy of this SIP revision is available for inspection at: Office 
    of Air and Radiation (OAR) Document and Information Center (Air Docket 
    6102), Room 1500, U.S. Environmental Protection Agency, 401 M St. SW., 
    Washington DC 20460.
        Written comments should be sent to: J. Elmer Bortzer, Chief, 
    Regulation Development Section, Regulation Development Branch (AR-18J), 
    U.S. Environmental Protection Agency, 77 West Jackson Boulevard, 
    Chicago, Illinois 60604.
    
    FOR FURTHER INFORMATION CONTACT: Rosanne M. Lindsay at (312) 353-1151. 
    
    [[Page 34857]]
    
    
    SUPPLEMENTARY INFORMATION:
    
    I. Background
    
        The Act, as amended in 1977, required ozone nonattainment areas to 
    adopt RACT rules for sources of VOC emissions. Consequently, the USEPA 
    issued three sets of control technique guideline (CTG) documents, 
    establishing a ``presumptive norm'' for RACT for various categories of 
    VOC sources. The three sets of CTGs are: (1) Group I-issued before 
    January 1978 (15 CTGs); (2) Group II-issued in 1978 (9 CTGs); and (3) 
    Group III-issued in the early 1980's (5 CTGs). Those sources not 
    covered by a CTG are commonly referred to as ``non-CTG sources.''
        The USEPA determined that the area's SIP-approved attainment date 
    established which RACT rules the area needed to adopt and implement. 
    Under section 172(a)(1), ozone nonattainment areas were generally 
    required to attain the ozone standard by December 31, 1982. Those areas 
    that submitted an attainment demonstration projecting attainment by 
    that date were required to adopt RACT for sources covered by the Group 
    I and II CTGs. Those areas that sought an extension of the attainment 
    date under section 172(a)(2) to as late as December 31, 1987 were 
    required to adopt RACT for all CTG sources and for all major (i.e., 100 
    tons per year or more of VOC emissions) non-CTG sources.
        On March 3, 1978, the USEPA designated Lake, Porter, Clark and 
    Floyd Counties as nonattainment for ozone, specifying that these areas 
    did not meet the primary standards (43 FR 8964). On July 23, 1982, 
    USEPA reaffirmed these designations (47 FR 31878). See also 40 CFR 
    81.315. As a result, the RACT requirement of Group I, II and III CTGs 
    remained applicable in these nonattainment areas. On May 26, 1988, 
    USEPA notified the Governor of Indiana that portions of the SIP were 
    inadequate to attain and maintain the ozone standard and requested that 
    existing SIP deficiencies be corrected (USEPA's post 1987 SIP call).
        On November 15, 1990, Congress amended the 1977 Act. In amended 
    section 182(a)(2)(A), Congress statutorily adopted the requirement that 
    pre-enacted ozone nonattainment areas that retained their designation 
    of nonattainment and were classified as marginal or above correct their 
    deficient ozone RACT rules by May 15, 1991 (commonly referred to as the 
    RACT ``fix-up'' requirement). The Indiana counties of Lake, Porter, 
    Clark and Floyd retained their designations of nonattainment; and were 
    classified pursuant to Section 181 as severe (Lake and Porter) and 
    moderate (Clark and Floyd) on November 6, 1991 (56 FR 56694). The State 
    submitted revisions to meet the RACT fix-up requirement, and USEPA 
    approved them on March 6, 1992 (57 FR 8082).
        In addition to making RACT rule corrections, the amended Act in 
    Section 182(b)(2) requires States to adopt RACT rules for all areas 
    designated nonattainment for ozone and classified as moderate or above. 
    There are three parts to the section 182(b)(2) RACT requirement: (1) 
    RACT for sources covered by an existing CTG (i.e., a CTG issued prior 
    to the enactment of the amended Act of 1990; (2) RACT for sources 
    covered by a post-enactment CTG; and (3) RACT for all major sources not 
    covered by a CTG (``major non-CTG sources''). This RACT requirement 
    essentially mandates that nonattainment areas that previously were 
    exempt from certain VOC RACT requirements ``catch up'' to those 
    nonattainment areas that became subject to those requirements during an 
    earlier period. In addition, it requires newly designated ozone 
    nonattainment areas to adopt RACT rules consistent with those for 
    previously designated nonattainment areas. Finally, under Section 
    182(d), ozone sources located in areas classified as ``severe'' are 
    considered ``major'' sources if they have the potential to emit 25 tons 
    per year or more of VOC.
        Therefore, under these RACT catch-up provisions, Indiana was 
    required to submit RACT rules for sources in the affected counties 
    which were covered by both pre- and post-enactment CTGs,1 as well 
    as all non-CTG major sources. Also, pursuant to Section 182(d), sources 
    located in the severe nonattainment counties of Lake and Porter are 
    considered major if their potential to emit is at least 25 tons per 
    year of VOC.
    
        \1\Indiana has addressed these RACT catch-up requirements in 
    other submissions, which USEPA will address in separate actions.
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        On May 4, 1994, the Indiana Air Pollution Control Board adopted 326 
    IAC 8-7, ``Specific VOC Reduction Requirements for Lake, Porter, Clark 
    and Floyd Counties.'' In addition, as part of its rulemaking, Indiana 
    amended its definition of ``federally enforceable'' and ``Reasonably 
    available control technology'' in 326 IAC 1-2. An emergency rule was 
    adopted on August 3, 1994, in accordance with IC 4-22-2-37.1, it was 
    effective for 90 days and was extended an additional 90 days. The State 
    adopted the revised rule on August 5, 1994. The State supplemented its 
    original submittal to USEPA on February 6, 1995.
    
    II. Analysis of State Submittal
    
        The USEPA's analysis of the State submittal is summarized below. A 
    more detailed analysis of the State's submittal is contained in a May 
    15, 1995 rational document which is available at the Regional Office 
    listed above. In determining the approvability of this VOC rule, USEPA 
    evaluated the rule for consistency with Federal requirements, including 
    section 110 and part D of the Act, applicable regulations and USEPA's 
    Model VOC rules.
        The Indiana non-CTG RACT rule applies to stationary sources in the 
    severe ozone nonattainment area of Lake and Porter Counties, as well as 
    the moderate ozone nonattainment area of Clark and Floyd Counties, and 
    reflects the lowering of the major source definition from 100 tons per 
    year to 25 tons for Lake and Porter Counties only. The rule also 
    applies to sources in the above affected counties which have coating 
    facilities with the potential to emit 10-25 tons per year (TPY) of VOC, 
    (Lake and Porter) or 40-100 TPY of VOC (Clark and Floyd).
        In the determination of applicability cut-offs, the owner/operator 
    of a source shall include total potential VOC emissions from the 
    following facilities: (a) 326 IAC 8-2 (surface coating operations); (b) 
    326 IAC 8-3 (organic solvent degreasing); (c) 326 IAC 8-4 (petroleum 
    operations); (d) 326 IAC 8-5 (miscellaneous operations); and facilities 
    of the following types: (e) fuel combustion facilities; (f) wastewater 
    treatment plants; (g) coke ovens, including by-product ovens; (h) barge 
    loading facilities; (i) jet engine test cells; (j) iron and steel 
    production facilities; and (k) vegetable oil processing facilities.
        Sources covered by this rule are allowed to demonstrate compliance 
    by choosing among any one of the following three available options: (1) 
    Achieve an overall VOC reduction in baseline actual emissions of 
    ninety-eight percent (98%) by the addition of add-on controls or 
    documented reduction in VOC-containing materials used; (2) achieve a 
    level of reduction equal to eighty-one percent (81%) of baseline actual 
    emissions by the same means as stated above, where it is demonstrated 
    that a 98% reduction in source emissions is not achievable; or (3) 
    achieve an alternative overall emission reduction by the application of 
    RACT as determined by the State and USEPA.
        Compliance with these options requires sources to submit a 
    compliance plan to the State before December 31, 1994 for approval. 
    Specific compliance plan requirements are dependent on the 
    
    [[Page 34858]]
    chosen compliance option. Compliance with option (1) or (2) by reducing 
    VOC-containing materials requires the owner/operator to submit an 
    approved compliance plan with the source's operating permit application 
    under 40 CFR part 70 (Title 5) permit. The part 70 federally 
    enforceable permit will incorporate the compliance plan, which will 
    include limits reflecting the following: averaging periods no longer 
    than daily; VOC content of process materials; capture and control 
    efficiencies; appropriate test methods; and recordkeeping and reporting 
    requirements. Prior to the compliance deadline of May 31, 1995, major 
    sources in Lake, Porter, Clark and Floyd Counties can be exempt from 
    RACT if they limit their emissions through federally enforceable state 
    operating permits (FESOPs). (The State submitted a FESOP program on 
    October 25, 1994, which is under review.) Prior to a USEPA-approved 
    Indiana FESOP program, operating permits which limit emissions below 
    the cut-off shall be submitted to USEPA as SIP revisions.
        It should be noted that if a source chooses to comply with an 
    alternative RACT overall emission reduction (option (3)), it must 
    submit a petition to the State consistent with the procedures in 326 
    IAC 8-1-5. Under 8-1-5(c), all site-specific RACT plans must be 
    submitted to and approved by USEPA as SIP revisions.
        The rule also contains provisions consistent with the June 1992 
    Model VOC Rule for the operation, maintenance and testing of control 
    devices at those affected facilities choosing to use add-on controls as 
    the method of compliance.
    
    III. Final Rulemaking Action
    
        Based upon the review of the materials submitted by the State of 
    Indiana, the USEPA has determined that the rules governing the VOC 
    emissions from sources subject to non-CTG RACT requirements are 
    consistent with the Act. Because USEPA considers this action 
    noncontroversial and routine, we are approving it without prior 
    proposal.
        The amendments consist of a new rule, ``Specific VOC Reduction 
    Requirements for Lake, Porter, Clark and Floyd Counties'' (326 IAC 8-
    7), and new definitions (326 IAC 1-2).
        The USEPA is approving this action without prior proposal because 
    USEPA views this as a noncontroversial amendment and anticipates no 
    adverse comments. However, in a separate document in today's issue of 
    the Federal Register, the USEPA is proposing to approve the requested 
    SIP revision should adverse or critical comments be filed. This action 
    will be effective on September 5, 1995 unless adverse or critical 
    comments are received by August 4, 1995.
        If the USEPA receives such comments, this action will be withdrawn 
    before the effective date by publishing a subsequent Federal Register 
    document that withdraws this final action. All public comments received 
    will then be addressed in a subsequent final rule based on this action 
    serving as a proposed rule. The USEPA will not institute a second 
    comment period on this action, unless warranted by significant revision 
    to this rule based on any comments received in response to this action. 
    Any parties interested in commenting on this action should do so at 
    this time. If no such comments are received, the public is advised that 
    this action will be effective September 5, 1995.
        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), as revised by an October 4, 1993, 
    memorandum from Michael H. Shapiro, Acting Assistant Administrator for 
    Air and Radiation. The Office of Management and Budget has exempted 
    this regulatory action from Executive Order 12866 review.
        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 the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., USEPA 
    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, USEPA 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.
        Under Section 202 of the Unfunded Mandates Reform Act of 1995 
    (``Unfunded Mandates Act''), signed into law on March 22, 1995, the 
    USEPA must prepare a budgetary impact statement to accompany any 
    proposed or final rule that includes a Federal mandate that may result 
    in estimated costs to State, local, or tribal governments in the 
    aggregate; or to the private sector, of $100 million or more. Under 
    Section 205, the USEPA 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 the USEPA 
    to establish a plan for informing and advising any small governments 
    that may be significantly or uniquely impacted by the rule.
        The USEPA has determined that the approval action promulgated today 
    does not include a Federal mandate that may result in estimated 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 Federal requirements. Accordingly, no 
    additional costs to State, local, or tribal governments, or the private 
    sector, result from this action.
        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 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 Act, preparation of a regulatory flexibility analysis would 
    constitute Federal inquiry into the economic reasonableness of the 
    State action. The Clean Air Act forbids USEPA to base its actions 
    concerning SIPs on such grounds. Union Electric Co. v. USEPA, 427 U.S. 
    246, 256-66 (S.Ct. 1976); 42 U.S.C. 7410(a)(2).
        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 September 5, 1995. 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, Incorporation by 
    reference.
    
     
    [[Page 34859]]
    
        Dated: June 22, 1995.
    David A. Ullrich,
    Acting Regional Administrator.
        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. 7401-7671q.
    
    Subpart P--Indiana
    
        2. Section 52.770 is amended by adding paragraph (c)(96) to read as 
    follows:
    
    
    Sec. 52.770  Identification of plan.
    
    * * * * *
        (c) * * *
        (96) On August 3, 1994 and February 6, 1995, the Indiana Department 
    of Environmental Management submitted a requested SIP revision to the 
    ozone plan for ozone nonattainment areas.
        (i) Incorporation by reference.
        (A) Indiana Administrative Code, Title 326: Air Pollution Control 
    Board, Article 1: General Provisions, Rule 2: Definitions, Section 22.5 
    ``Department'' definition, Section 28.5 ``Federally enforceable'' 
    definition, and Section 64.1 ``Reasonably available control 
    technology'' or ``RACT'' definition. Added at 18 Indiana Register 1223-
    4, effective January 21, 1995.
        (B) Indiana Administrative Code, Title 326: Air Pollution Control 
    Board, Article 8: Volatile Organic Compound Rules, Rule 7: Specific VOC 
    Reduction Requirements for Lake, Porter, Clark, and Floyd Counties. 
    Added at 18 Indiana Register 1224-9, effective January 21, 1995.
    
    [FR Doc. 95-16359 Filed 7-3-95; 8:45 am]
    BILLING CODE 6560-50-P
    
    

Document Information

Effective Date:
9/5/1995
Published:
07/05/1995
Department:
Environmental Protection Agency
Entry Type:
Rule
Action:
Direct final rule.
Document Number:
95-16359
Dates:
This action will be effective September 5, 1995, unless an adverse comment is received by August 4, 1995.
Pages:
34856-34859 (4 pages)
Docket Numbers:
IN41-1-6343a, FRL-5251-3
PDF File:
95-16359.pdf
CFR: (1)
40 CFR 52.770