95-20482. Approval and Promulgation of Implementation Plans; Indiana  

  • [Federal Register Volume 60, Number 160 (Friday, August 18, 1995)]
    [Rules and Regulations]
    [Pages 43008-43012]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-20482]
    
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    
    40 CFR Part 52
    
    [IN48-1-6761a; FRL-5266-7]
    
    
    Approval and Promulgation of Implementation Plans; Indiana
    
    AGENCY: United States Environmental Protection Agency (USEPA).
    
    ACTION: Direct final rule.
    
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    SUMMARY: On October 25, 1994, the Indiana Department of Environmental 
    Management (IDEM) submitted a Federally Enforceable State Operating 
    Permit Program (FESOP) regulation and an Enhanced New Source Review 
    (NSR) regulation as requested revisions to the State Implementation 
    Plan (SIP). USEPA made a completeness finding in a letter dated 
    November 25, 1994. In this rule USEPA approves Indiana's FESOP 
    regulation, as a SIP revision, because the regulation provides an 
    acceptable mechanism for establishing federally enforceable State 
    operating permits for the purpose of creating federally enforceable 
    limitations on the potential to emit of certain pollutants regulated 
    under the Clean Air Act (Act). This program allows a number of small 
    sources to be exempt from further operating permit review otherwise 
    required by the Act. In this action, USEPA also approves Indiana's 
    Enhanced NSR regulation. Sources subject to the State construction 
    permit rule will have the opportunity to satisfy its State operating 
    permit requirements by opting into this preconstruction rule. In the 
    proposed rules section of this Federal Register, USEPA is proposing 
    approval of and soliciting public comment on these requested SIP 
    revisions. If adverse comments are received on this direct final rule, 
    USEPA will withdraw this final rule and address the comments received 
    in a final rule on the related proposed rule which is being published 
    in the proposed rules section of this Federal Register. Unless this 
    final rule is withdrawn, no further rulemaking will occur on this 
    requested SIP revision.
    
    DATES: This final rule is effective October 17, 1995 unless adverse or 
    critical comments are received by September 18, 1995. If the effective 
    date is delayed, timely notice will be published in the Federal 
    Register.
    
    ADDRESSES: Comments can be mailed to J. Elmer Bortzer, Chief, 
    Regulation Development Section, Regulation Development Branch, United 
    States Environmental Protection Agency, 77 West Jackson Boulevard (AR-
    18J), Chicago, Illinois 60604.
        Copies of the State's submittal and USEPA's technical support 
    document are available for inspection during normal business hours at 
    the following location: United States Environmental Protection Agency, 
    Region 5, Air and Radiation Division, 77 West Jackson Boulevard (AR-
    18J), Chicago, Illinois 60604.
        A copy of this SIP revision is also available at the following 
    location: Office of Air and Radiation, Docket and Information Center 
    (Air Docket 6102), room M1500, USEPA, 401 M Street, S.W., Washington, 
    DC 20460.
    
    FOR FURTHER INFORMATION CONTACT: Sam Portanova, USEPA (AR-18J), 77 West 
    Jackson Boulevard, Chicago, Illinois 60604, (312) 886-3189.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Background
    
        Once approved by USEPA as a SIP revision, the Indiana FESOP program 
    will be a major mechanism in limiting potential to emit for sources to 
    remain below the applicability threshold for the operating permits 
    program of title V of the Act. Similarly, once approved as a SIP 
    revision, the Indiana Enhanced NSR regulation will allow the State to 
    integrate the NSR preconstruction permit process with the title V 
    permit modification process. The Federal title V State operating permit 
    program regulation is codified in 40 CFR part 70 and the State of 
    Indiana's title V program is codified in Title 326 of the Indiana 
    Administrative Code (326 IAC) 2-7. Without some mechanism in State law 
    to issue FESOPs to small sources and thereby exempt them from title V 
    review, the title V program would encompass a large number of small 
    sources and could be a resource burden on both the State and the 
    smaller title V sources. The USEPA approval of these State mechanisms 
    to establish federally enforceable limits on sources' potential to emit 
    below the title V threshold and to establish an integrated NSR and 
    title V permitting process will enable Indiana and Indiana sources to 
    reduce resource burdens.
    
    II. USEPA's Review and Findings
    
    A. Analysis of State Submittal
    
    1. Federally Enforceable State Operating Permit Program
        Prior to the Act Amendments of 1990, States were not required to 
    have a distinct operating permit program under the Act. In a June 28, 
    1989 final rule, however, USEPA promulgated five criteria for approving 
    a State operating permit program for the purpose of issuing FESOPs 
    limiting criteria pollutants as part of the SIP. See 54 FR 27274, 
    27282. Since operating permits are issued pursuant to a program 
    approved by USEPA, these permits will also be enforceable by citizens 
    pursuant to section 304 of the Act. On November 3, 1993, the USEPA 
    announced in a guidance document entitled, ``Approaches to Creating 
    Federally Enforceable Emissions Limits,'' signed by John S. Seitz, 
    Director, Office of Air Quality Planning and Standards, that this 
    mechanism could be extended to create federally enforceable limits for 
    emissions of hazardous air pollutants (HAP) if the program were 
    approved pursuant to section 112(l) of the Act. 
    
    [[Page 43009]]
    
    a. Approval Criteria
        The following discussion compares the Indiana regulations and 
    procedures governing the State's FESOP program with the five criteria 
    of the June 28, 1989, final rule.
    
    i. First Criterion
    
        ``The state operating permit program (i.e., the regulations or 
    other administrative framework describing how such permits are issued) 
    is submitted and approved by EPA into the SIP.''
        On October 25, 1994, Indiana submitted the regulations and 
    administrative framework for the FESOP regulation, 326 IAC 2-8, as a 
    revision to its SIP. The USEPA's approval of this submittal satisfies 
    the first criterion.
    
    ii. Second Criterion
    
        ``The SIP imposes a legal obligation that operating permit holders 
    adhere to the terms and limitations of such permits (or subsequent 
    revisions of the permit made in accordance with the approved operating 
    permit program) and provides that permits which do not conform to the 
    operating permit program requirements and the requirements of EPA's 
    underlying regulations may be deemed not 'federally enforceable' by 
    USEPA.''
        The following provisions satisfy the second criterion for Indiana's 
    FESOP program. 326 IAC 2-8-2 states that until the Commissioner of IDEM 
    has issued a FESOP for a source, a source is subject to all applicable 
    requirements of 326 IAC 2-7 (326 IAC 2-7-3 states ``no Part 70 source 
    may operate after the time that it is required to submit a timely and 
    complete application except in compliance with a Part 70 permit issued 
    under this rule''). For sources that have a FESOP permit, 326 IAC 2-8-
    5(b) states ``the commissioner may issue a compliance order to any 
    source upon discovery that an issued permit is in nonconformance with 
    an applicable requirement. The order may require immediate compliance 
    or contain a schedule for expeditious compliance with the applicable 
    requirement.'' Also, 326 IAC 2-8-6(b) states that ``all terms and 
    conditions in a FESOP, including any provisions designed to limit a 
    source's potential to emit, are enforceable by the U.S. EPA and 
    citizens under the Act.'' 326 IAC 2-8-6(a) states ``the commissioner 
    may not issue a FESOP that waives, or makes less stringent, any 
    limitation or requirement contained in or issued under the state 
    implementation plan (SIP) or requirements that are otherwise federally 
    enforceable under the Act. Permits that do not conform to the 
    requirements of this rule and the requirements of U.S. EPA's underlying 
    regulations may be deemed by the U.S. EPA not federally enforceable.''
        Such a determination will (1) be done according to appropriate 
    procedures, and (2) be based upon the permit, permit approval 
    procedures or permit requirements which do not conform with the 
    operating permit program requirements and the requirements of USEPA's 
    underlying regulations. USEPA will make a determination that a FESOP 
    permit is not federally enforceable in the form of a letter to the 
    State. Although USEPA is authorized to deem permit conditions not 
    federally enforceable at any later date, USEPA will strive to determine 
    Federal enforceability during Indiana's public comment period. The 
    procedures for such a determination will be specified in a letter from 
    IDEM to USEPA to be developed before the effective date of this action.
    
    iii. Third Criterion
    
        ``The State operating permit program requires that all emissions, 
    limitations, controls and other requirements imposed by such permits, 
    will be at least as stringent as any other applicable limitation or 
    requirement contained in the SIP or enforceable under the SIP, and that 
    the program may not issue permits that waive, or make less stringent, 
    any limitation or requirement contained in or issued pursuant to the 
    SIP, or that are otherwise `federally enforceable' (e.g., standards 
    established under Sections 111 and 112 of the Act).''
        326 IAC 2-8-4(1) requires FESOP permits to contain emission 
    limitations and standards that assure compliance with all applicable 
    requirements at the time of FESOP issuance. This language, in addition 
    to the above-mentioned language of 326 IAC 2-8-6(a), satisfies the 
    third criterion for the Indiana FESOP program.
    
    iv. Fourth Criterion
    
        ``The limitations, controls, and requirements in the operating 
    permits are permanent, quantifiable and otherwise enforceable as a 
    practical matter.''
        The USEPA has reviewed the Indiana FESOP program and is satisfied 
    that it requires the State to issue permits which meet the requirements 
    of this provision. While the permits do expire, the conditions they 
    impose must be complied with during the entire term of the permit. In 
    addition, 326 IAC 2-8-9 states that a FESOP expiration terminates the 
    source's right to operate unless a timely and complete renewal 
    application has been submitted consistent with requirements of the 
    FESOP regulation.
    v. Fifth Criterion
    
        ``The permits are issued subject to public participation.'' This 
    means that the State agrees, as a part of its program, to provide USEPA 
    and the public with timely notice of the proposed issuance of such 
    permits, and to provide USEPA, on a timely basis, with a copy of each 
    proposed (or draft) and final permit intended to be federally 
    enforceable.
        The Indiana FESOP program requires public notice in 326 IAC 2-8-13. 
    Prior to the issuance of any FESOP, 326 IAC 2-8-13(c) requires the 
    State to notify the public of the draft permit by publishing, in at 
    least 1 newspaper of general circulation, a notification of the receipt 
    of the permit application, the State's draft approval of the permit 
    application, a notification of a public comment period at least 30 days 
    in duration, a notification to the public of the opportunity for a 
    public hearing, and a notification that a copy of the application and 
    the State's analysis are available for inspection in a public building 
    in the area where the source is located. 326 IAC 2-8-7(a) requires that 
    USEPA receives a copy of the draft FESOP and any notice required. These 
    notice requirements satisfy the fifth criterion for the Indiana FESOP 
    program.
    b. Hazardous Air Pollutants
        The June 28, 1989, final rule addresses only SIP programs to 
    control criteria pollutants. Federally enforceable limits on criteria 
    pollutants (i.e., volatile organic compounds or particulate matter) may 
    have the incidental effect of limiting certain HAPs listed pursuant to 
    section 112(b) of the Act. This situation would occur when a pollutant 
    classified as a HAP is also classified as a criteria pollutant. As a 
    legal matter, no additional program approval by USEPA is required in 
    order for these criteria pollutant limits to be recognized for this 
    purpose.
        Since USEPA's June 28, 1989, final rule does not establish approval 
    criteria for FESOP programs to limit HAP emissions, another mechanism 
    must be used to approve FESOP programs for the purpose of creating 
    federally enforceable limits on HAP emissions. The November 3, 1993, 
    guidance document entitled ``Approaches to Creating Federally 
    Enforceable Emissions Limits'' indicates that a FESOP program could be 
    extended to create federally enforceable limits for emissions of HAPs 
    if the program were 
    
    [[Page 43010]]
    approved pursuant to section 112(l) of the Act. Therefore, USEPA is 
    approving Indiana's FESOP program under section 112(l) of the Act for 
    the purposes of creating federally enforceable limitations on the 
    potential to emit HAPs.
        The USEPA's June 28, 1989, final rule does not address HAPs because 
    it was written prior to the 1990 amendments to section 112 and not 
    because it establishes requirements unique to criteria pollutants. As a 
    result, USEPA has determined that the five approval criteria for 
    approving FESOP programs into the SIP, as specified in the June 28, 
    1989, final rule are also appropriate for evaluating and approving the 
    programs under section 112(l). Hence, the five criteria are applicable 
    to State operating permit program approvals under section 112(l). The 
    USEPA is approving this program under section 112(l) as meeting the 
    criteria (articulated in the previous paragraphs) of the June 28, 1989, 
    final rule for State operating permit programs to establish federally 
    enforceable limits on potential to emit.
        In addition to meeting the criteria in the June 28, 1989, final 
    rule a State operating permit program must meet the statutory criteria 
    for approval under section 112(l)(5). Section 112(l) allows USEPA to 
    approve a program only if it (1) contains adequate authority to assure 
    compliance with any section 112 standards or requirements, (2) provides 
    for adequate resources, (3) provides for an expeditious schedule for 
    assuring compliance with section 112 requirements, and, (4) is 
    otherwise likely to satisfy the objectives of the Act.
        The USEPA plans to codify the approval criteria for programs 
    limiting potential to emit of HAPs (under section 112(l)) in 40 CFR 
    part 63, Subpart E. The USEPA currently anticipates that these 
    criteria, as they apply to FESOPs, will mirror those set forth in the 
    June 28, 1989, final rule with the addition that the State's authority 
    must extend to HAPs instead of or in addition to criteria pollutants. 
    The USEPA currently anticipates that FESOPs that are approved pursuant 
    to section 112(l) prior to the Subpart E revisions will have had to 
    meet these criteria, and hence, will not be subject to any further 
    approval action.
        The USEPA believes it has authority under section 112(l) to approve 
    programs to limit potential to emit of HAPs directly under section 
    112(l) prior to this revision to Subpart E. Accordingly, USEPA is 
    approving Indiana's FESOP program now so as to enable Indiana to begin 
    issuing federally enforceable permits as soon as possible. The 
    following discussion compares the Indiana regulations and procedures 
    governing the State's FESOP program with criteria listed in section 
    112(l)(5).
        i. Indiana's FESOP program contains adequate authority to assure 
    compliance with any section 112 standards or requirements. 326 IAC 2-8-
    4(1) requires FESOP permits to contain emission limitations and 
    standards that assure compliance with all applicable requirements at 
    the time of FESOP issuance. Also, 326 IAC 2-8-6(b) states that ``all 
    terms and conditions in a FESOP, including any provisions designed to 
    limit a source's potential to emit, are enforceable by the U.S. EPA and 
    citizens under the Act.'' 326 IAC 2-8-6(a) states ``the commissioner 
    may not issue a FESOP that waives, or makes less stringent, any 
    limitation or requirement contained in or issued under the state 
    implementation plan (SIP) or requirements that are otherwise federally 
    enforceable under the Act. Permits that do not conform to the 
    requirements of this rule and the requirements of U.S. EPA's underlying 
    regulations may be deemed by the U.S. EPA not federally enforceable.''
        ii. 326 IAC 2-8-16 requires fees to be collected from FESOP 
    sources. The State believes that sufficient resources will be available 
    to administer FESOP permits for those who request and qualify. The 
    USEPA believes this fee mechanism will be sufficient to provide for 
    adequate resources to implement this program, and will monitor the 
    State's implementation of the program to assure that adequate resources 
    continue to be available. Please refer to the technical support 
    document, included with the docket of this notice, for more information 
    regarding Indiana's FESOP resources.
        iii. Indiana's FESOP program also meets the requirement for an 
    expeditious schedule for assuring compliance. Nothing in this program 
    would allow a source to avoid or delay compliance with the Federal 
    requirement if it fails to obtain the appropriate federally enforceable 
    limit by the relevant deadline.
        iv. Finally, Indiana's FESOP program is consistent with the 
    objectives of the section 112 program since its purpose is to enable 
    sources to obtain federally enforceable limits on potential to emit. 
    The USEPA believes this purpose is consistent with the overall intent 
    of section 112.
        In this rule, USEPA has stated that the Indiana FESOP program meets 
    the five criteria required for Federal approvability under the June 28, 
    1989, final rule. By approving the Indiana FESOP program, USEPA 
    recognizes the program as a federally enforceable method of limiting 
    potential to emit criteria pollutants. The USEPA is approving Indiana's 
    FESOP program for the purpose of limiting potential to emit of HAPs, in 
    addition to criteria pollutants.
    c. Conclusion
        After consideration of the material submitted by the State of 
    Indiana, USEPA has determined that the Indiana FESOP Program satisfies 
    the criteria needed to establish Federal enforceability of State 
    operating permits, published in the final rule on June 28, 1989 (54 FR 
    27274) and Section 112(l) of the Act. The USEPA approves the 
    incorporation of this program into the SIP for the purpose of issuing 
    federally enforceable operating permits. Therefore, emissions 
    limitations and other provisions contained in operating permits issued 
    by the State in accordance with the applicable Indiana SIP provisions, 
    approved herewith, shall be federally enforceable by USEPA, and by any 
    person in the same manner as other requirements of the SIP.
    2. Enhanced New Source Review
        40 CFR part 70 gives State permitting authorities the option of 
    integrating requirements determined during preconstruction permit 
    review (NSR) with those required under title V. See 40 CFR 
    70.7(d)(1)(v) and 57 FR 32259 (July 21, 1992). If an NSR process is 
    integrated with the procedural and compliance-related requirements of 
    40 CFR 70.6, 70.7, and 70.8, an existing title V permit can be revised 
    through the administrative amendment process described in 40 CFR 
    70.7(d). Indiana has included the ``Enhanced NSR'' regulation (326 IAC 
    2-1-3.2) in its SIP submittal for the purpose of providing title V and 
    NSR sources an integrated permit review process. This regulation is 
    also available to integrate NSR and FESOP requirements.
        The following is a comparison of the Indiana Enhanced NSR 
    regulation to the procedural and compliance-related requirements of 40 
    CFR 70.6, 70.7, and 70.8.
    
    a. Permit Applications
    
        326 IAC 2-1-3.2(a) allows anyone required to obtain a construction 
    permit to elect to be subject to the Enhanced NSR regulations for the 
    purpose of integrating their NSR requirements with their title V or 
    FESOP requirements. 326 IAC 2-1-3.2(b) states that sources must meet 
    the permit application requirements of 326 IAC 2-7-4 (title V) or 326 
    2-8-3 (FESOP), as appropriate. Sources may use the standard 
    
    [[Page 43011]]
    application forms available to title V or FESOP sources.
    
    b. Permit Content
    
        326 IAC 2-1-3.2(c) requires permits issued to title V sources under 
    the Enhanced NSR regulation to include the permit requirements of 326 
    IAC 2-7-5 and 2-7-6. These subsections meet the requirements of 40 CFR 
    70.6 for permit content and compliance requirements. 326 IAC 2-1-3.2(c) 
    requires permits issued under the Enhanced NSR regulation to FESOP 
    sources to include the permit requirements of 326 IAC 2-8-4. This 
    subsection addresses FESOP permit content.
    
    c. Permit Issuance
    
        326 IAC 2-1-3.2(e) states that an Enhanced NSR permit may be issued 
    only if IDEM has received a complete application for a permit, IDEM has 
    complied with the public and affected States notices of 326 IAC 2-1-
    3.2(f) and (g), the permit conditions provide for compliance with all 
    applicable requirements, USEPA has received a copy of the proposed 
    permit and any notices required, and USEPA has not objected to the 
    issuance of a permit subject to title V. These requirements are 
    consistent with 40 CFR 70.7(a).
    
    d. Public Comment
    
        326 IAC 2-1-3.2(f) requires all permit proceedings under the 
    Enhanced NSR regulation to follow the public comment procedures of 326 
    IAC 2-7-17 for title V sources and 326 IAC 2-8-14 for FESOP sources. 
    326 IAC 2-1-3.2(g) requires review by USEPA and affected States for 
    each permit application, draft permit, proposed permit, and final 
    permit in accordance with 326 IAC 2-7-18 for title V sources and 326 
    IAC 2-8-14 for FESOP sources. 326 IAC 2-7-17 and 2-7-18 are the 
    subsections of the Indiana title V regulation which address the 
    requirements of 40 CFR 70.7(h) and 70.8.
    
    e. Permit Integration
    
        326 IAC 2-1-3.2(h) states that for any source subject to 326 IAC 2-
    7-2 or 2-8-2, a permit issued under the Enhanced NSR regulation shall 
    become the source's title V permit or FESOP permit, respectively. For 
    any modification to an existing title V source subject to 326 IAC 2-7-
    12, a permit issued under the Enhanced NSR regulation shall be 
    incorporated into the source's title V permit through an administrative 
    amendment in accordance with 326 IAC 2-7-11. This is consistent with 40 
    CFR 70.7(d)(1)(v). For any modification to an existing FESOP source 
    subject to 326 IAC 2-8-11, a permit issued under the Enhanced NSR 
    regulation shall be incorporated into the source's FESOP permit through 
    an administrative amendment in accordance with 326 IAC 2-8-10.
    
    f. Conclusion
    
        The USEPA is approving the 326 IAC 2-1-3.2 Enhanced NSR regulation 
    for the purpose of providing an integrated NSR and title V process. The 
    326 IAC 2-1-3.2 regulation meets the requirements of the 40 CFR part 70 
    preamble (see 57 FR 32259 (July 21, 1992)), and 40 CFR 70.7(d)(1)(v).
    
    B. Conclusion
    
        The USEPA is approving the 326 IAC 2-8 regulation for the Indiana 
    FESOP program to enable sources to establish federally enforceable 
    limits on potential to emit of criteria pollutants and HAPs. This 
    regulation meets the 5 following criteria established in the June 28, 
    1989, final rule (54 FR 27274): (1) the State operating permit program 
    is submitted to and approved by USEPA into the SIP; (2) the SIP imposes 
    a legal obligation that operating permit holders adhere to the terms 
    and limitations of such permits and provides that permits which do not 
    conform to the State program requirements and the requirements of 
    USEPA's underlying regulations may be deemed not federally enforceable 
    by USEPA; (3) the State program requires that all emissions 
    limitations, controls, and other requirements imposed by such permits 
    will be at least as stringent as any other applicable limitations and 
    requirements contained in the SIP or enforceable under the SIP, and 
    that the program may not issue permits that waive, or make less 
    stringent, any limitations or requirements contained in or issued 
    pursuant to the SIP, or that are otherwise federally enforceable; (4) 
    the limitations, controls, and requirements in the operating permits 
    are permanent, quantifiable, and otherwise enforceable as a practical 
    matter; and (5) the permits are issued subject to public participation. 
    The State agrees, as part of its program, to provide USEPA and the 
    public with timely notice of the proposal and issuance of such permits, 
    and to provide USEPA, on a timely basis, with a copy of each proposed 
    and final permit intended to be federally enforceable. The program must 
    also provide for an opportunity for public comment on the permit 
    applications prior to issuance of the final permit.
        The USEPA is also approving 326 IAC 2-8 for the Indiana FESOP 
    program, pursuant to section 112(l) of the Act, to enable sources to 
    establish federally enforceable limits on potential to emit for HAPs. 
    The Indiana FESOP program meets the following section 112(l) criteria: 
    (1) the program contains adequate authority to assure compliance with 
    any section 112 standards or requirements; (2) the program provides for 
    adequate resources; (3) the program provides for an expeditious 
    schedule for assuring compliance with section 112 requirements; and (4) 
    the program is otherwise likely to satisfy the objectives of the Act.
        USEPA is also approving the 326 IAC 2-1-3.2 Enhanced NSR regulation 
    for integrating requirements determined under preconstruction permits 
    with those required under title V. The Enhanced NSR regulation requires 
    sources to meet the requirements in 40 CFR 70.5, 70.6, 70.7, and 70.8. 
    This regulation is consistent with the preamble to the 40 CFR part 70 
    regulations (see 57 FR 32259 (July 21, 1992)) and 40 CFR 70.7(d)(1)(v).
    
    III. Rulemaking Action
    
        The USEPA approves the plan revisions submitted on October 25, 
    1994, to implement the FESOP program and the Enhanced NSR program. Each 
    of the program elements mentioned above were properly addressed. The 
    USEPA is publishing this action without prior proposal because USEPA 
    views this action as a noncontroversial revision and anticipates no 
    adverse comments. However, USEPA is publishing a separate document in 
    this Federal Register publication, which constitutes a ``proposed 
    approval'' of the requested SIP revision and clarifies that the 
    rulemaking will not be deemed final if timely adverse or critical 
    comments are filed. The ``direct final'' approval shall be effective on 
    October 17, 1995, unless USEPA receives adverse or critical comments by 
    September 18, 1995.
        If USEPA receives comments adverse to or critical of the approval 
    discussed above, USEPA will withdraw this approval before its effective 
    date, and publish a subsequent final rule which withdraws this final 
    action. All public comments received will then be addressed in a 
    subsequent rulemaking notice.
        Any parties interested in commenting on this action should do so at 
    this time. If no such comments are received, USEPA hereby advises the 
    public that this action will be effective on October 17, 1995. The 
    Office of Management and Budget has exempted this action from review 
    under Executive Order 12866.
        Nothing in this action should be construed as permitting, allowing 
    or establishing a precedent for any future request for revision to any 
    SIP. The USEPA shall consider each request for 
    
    [[Page 43012]]
    revision to the SIP in light of specific technical, economic, and 
    environmental factors and in relation to relevant statutory and 
    regulatory requirements.
    
    IV. Regulatory Flexibility
    
        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. 
    Alternately, 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.
        SIP approvals under Section 110 and Subchapter I, Part D, of the 
    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 State action. The 
    Act forbids USEPA to base its actions concerning SIPs on such grounds. 
    Union Electric Co. v. USEPA, 427 U.S. 246, 256-66 (1976).
    
    V. Unfunded Mandates
    
        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 programs that are not Federal 
    mandates. Accordingly, no additional costs to State, local, or tribal 
    governments, or the private sector, result from this action.
    
    List of Subjects in 40 CFR Part 52
    
        Environmental protection, Air pollution control, Hydrocarbons, 
    Incorporation by reference, Lead, Particulate matter, Sulfur dioxide, 
    Volatile organic compounds.
    
        Dated: August 20, 1995.
    Valdas V. Adamkus,
    Regional Administrator.
        For the reasons stated in the preamble, part 52, chapter I, title 
    40 of the Code of Federal Regulations is amended to read 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 paragraphs (c)(97) and 
    (c)(98) to read as follows:
    
    
    Sec. 52.770  Identification of plan.
    
        (c) * * *
        (97) On October 25, 1994, the Indiana Department of Environmental 
    Management requested a revision to the Indiana State Implementation 
    Plan in the form of revisions to State Operating Permit Rules intended 
    to satisfy Federal requirements for issuing federally enforceable State 
    operating permits (FESOP) and thereby exempt certain small emission 
    sources from review under the State's title V operating permit program. 
    This FESOP rule is also approved for the purpose of providing federally 
    enforceable emissions limits on hazardous air pollutants listed under 
    section 112(b) of the Clean Air Act. This revision took the form of an 
    amendment to Title 326: Air Pollution Control Board of the Indiana 
    Administrative Code (326 IAC) 2-8 Federally Enforceable State Operating 
    Permit Program.
        (i) Incorporation by reference. 326 IAC 2-8 Federally Enforceable 
    State Operating Permit Program. Sections 1 through 17. Filed with the 
    Secretary of State May 25, 1994. Effective June 24, 1994. Published at 
    Indiana Register, Volume 17, Number 10, July 1, 1994.
        (98) On October 25, 1994, the Indiana Department of Environmental 
    Management requested a revision to the Indiana State Implementation 
    Plan in the form of revisions to State Operating Permit Rules intended 
    to allow State permitting authorities the option of integrating 
    requirements determined during preconstruction permit review with those 
    required under title V. The State's Enhanced New Source Review 
    provisions are codified at Title 326: Air Pollution Control Board (326 
    IAC) 2-1-3.2 Enhanced New Source Review.
        (i) Incorporation by reference. 326 IAC 2-1-3.2 Enhanced new source 
    review. Filed with the Secretary of State May 25, 1994. Effective June 
    24, 1994. Published at Indiana Register, Volume 17, Number 10, July 1, 
    1994.
    * * * * *
        3. Section 52.788 is added to read as follows:
    
    
    Sec. 52.788  Operating permits.
    
        Emission limitations and other provisions contained in operating 
    permits issued by the State in accordance with the provisions of the 
    federally approved permit program shall be the applicable requirements 
    of the federally approved State Implementation Plan (SIP) for Indiana 
    for the purpose of sections 112(b) and 113 of the Clean Air Act and 
    shall be enforceable by the United States Environmental Protection 
    Agency (USEPA) and any person in the same manner as other requirements 
    of the SIP. USEPA reserves the right to deem an operating permit not 
    federally enforceable. Such a determination will be made according to 
    appropriate procedures, and be based upon the permit, permit approval 
    procedures or permit requirements which do not conform with the 
    operating permit program requirements or the requirements of USEPA's 
    underlying regulations.
    
    [FR Doc. 95-20482 Filed 8-17-95; 8:45 am]
    BILLING CODE 6560-50-P
    
    

Document Information

Effective Date:
10/17/1995
Published:
08/18/1995
Department:
Environmental Protection Agency
Entry Type:
Rule
Action:
Direct final rule.
Document Number:
95-20482
Dates:
This final rule is effective October 17, 1995 unless adverse or critical comments are received by September 18, 1995. If the effective date is delayed, timely notice will be published in the Federal Register.
Pages:
43008-43012 (5 pages)
Docket Numbers:
IN48-1-6761a, FRL-5266-7
PDF File:
95-20482.pdf
CFR: (2)
40 CFR 52.770
40 CFR 52.788