95-19399. Title V Clean Air Act Final Interim Approval of Operating Permits Program; District of Columbia  

  • [Federal Register Volume 60, Number 151 (Monday, August 7, 1995)]
    [Rules and Regulations]
    [Pages 40101-40104]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-19399]
    
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    40 CFR Part 70
    
    [AD-FRL-5274-2]
    
    
    Title V Clean Air Act Final Interim Approval of Operating Permits 
    Program; District of Columbia
    
    AGENCY: U.S. Environmental Protection Agency (EPA).
    
    ACTION: Final interim approval.
    
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    SUMMARY: EPA is promulgating interim approval of the operating permits 
    program submitted by the District of Columbia for the purpose of 
    complying with federal requirements for an approvable program to issue 
    operating permits to all major stationary sources, and to certain other 
    sources.
    
    EFFECTIVE DATE: September 6, 1995.
    
    ADDRESSES: Copies of the District's submittal and other supporting 
    information used in developing the final interim approval are available 
    for inspection during normal business hours at the following location: 
    Air, Radiation, and Toxics Division, U.S. Environmental Protection 
    Agency, Region III, 841 Chestnut Building, Philadelphia, PA 19107.
    
    FOR FURTHER INFORMATION CONTACT: Jennifer M. Abramson, (3AT23), Air, 
    Radiation and Toxics Division, U.S. Environmental Protection Agency, 
    Region III, 841 Chestnut Building, Philadelphia, PA 19107, (215) 597-
    2923.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Background
    
        Title V of the 1990 Clean Air Act Amendments (sections 501-507 of 
    the Clean Air Act (``the CAA'')), and 
    
    [[Page 40102]]
    implementing regulations at 40 Code of Federal Regulations (CFR) part 
    70 require that states seeking to administer a Title V operating 
    permits program develop and submit a program to EPA by November 15, 
    1993, and that EPA act to approve or disapprove each program within 1 
    year after receiving the submittal. EPA's program review occurs 
    pursuant to section 502 of the Act and the part 70 regulations, which 
    together outline criteria for approval or disapproval of an operating 
    permits program submittal. Where a program substantially, but not 
    fully, meets the requirements of part 70, EPA may grant the program 
    interim approval for a period of up to 2 years. If EPA has not fully 
    approved a program by November 15, 1995, or by the expiration of the 
    interim approval period, it must establish and implement a federal 
    program.
        On March 21, 1995, EPA proposed interim approval of the operating 
    permits program for the District of Columbia. (See 60 FR 14921). EPA 
    compiled a Technical Support Document (TSD) which describes the 
    operating permits program in greater detail. In this notice EPA is 
    taking final action to promulgate interim approval of the operating 
    permits program for the District of Columbia.
    
    II. Analysis of State Submission
    
        On January 13, 1994, the District of Columbia submitted an 
    operating permits program to satisfy the requirements of the CAA and 40 
    CFR part 70. The submittal was supplemented by additional materials on 
    March 11, 1994 and was found to be administratively complete pursuant 
    to 40 CFR 70.4(e)(1). EPA reviewed the program against the criteria for 
    approval in section 502 of the CAA and the part 70 regulations. EPA 
    determined, as fully described in the notice of proposed interim 
    approval of the District's operating permits program (see 60 FR 14921 
    (March 21, 1995)) and the TSD for this action, that the District's 
    operating permits program substantially meets the requirements of the 
    CAA and part 70.
    
    III. Response to Public Comments
    
        EPA received comments from one organization. EPA's response to 
    these comments are summarized in this section. Comments supporting 
    EPA's proposal are not addressed in this notice. All comments are 
    contained in the docket at the address noted in the ADDRESSES section 
    above.
    
    Title I Modifications
    
        Comment: EPA has no authority to deny approval of the District's 
    operating permits program based on its definition of ``Title I 
    modification or modification under any provision of Title I of the 
    Act''. The District's definition of the term ``Title I Modification'' 
    which does not expressly include changes reviewed under a minor source 
    preconstruction review program is consistent with the relatively narrow 
    definition of ``Title I Modifications'' in the current part 70 rules.
        EPA Response: As stated in the proposed rule, EPA does not believe 
    that the District's definition of ``Title I modification or 
    modification under any provision of Title I of the Act'' is necessary 
    grounds for either interim approval or disapproval. Accordingly, EPA 
    has not identified the District's definition of this term to be a 
    program deficiency.
        EPA is currently in the process of determining the proper 
    definition of the term ``Title I modification or modification under any 
    provision of Title I of the Act''. (See 59 FR 44572). If EPA 
    establishes in its rulemaking that the definition of ``Title I 
    modifications'' can be interpreted to exclude changes reviewed under a 
    minor source preconstruction review (NSR) program, the District's 
    definition of ``Title I modification or modification under any 
    provision of Title I of the Act'' would be fully consistent with part 
    70. Conversely, if EPA establishes through the rulemaking that the 
    definition must include changes reviewed under minor NSR, the 
    District's definition of ``Title I modification or modification under 
    any provision of Title I of the Act'' would not fully meet the 40 CFR 
    70.2 requirements for definitions.
        The primary purpose of EPA's discussion of this issue in the 
    proposed rule was to notify the District and regulated community about 
    how the definition of ``Title I modification or modification under any 
    provision of Title I of the Act'' may impact the approval status of the 
    District's Title V operating permits program. Until the definition of 
    ``Title I modification or modification under any provision of Title I 
    of the Act'' is established through rulemaking to include changes 
    reviewed under minor NSR, EPA does not consider the District's 
    definition of this term to be either an interim or disapproval issue.
    Implementation of Section 112(g) Upon Program Approval
    
        Comment: EPA's proposed approval of the District's Chapter 3 
    operating permits program for the purpose of implementing 112(g) during 
    the transition period between federal promulgation of a section 112(g) 
    rule and District adoption of section 112(g) regulations is 
    objectionable for the following reasons: (1) the District's program may 
    not conform to the section 112(g) requirements once they have been 
    issued by EPA, and (2) EPA is proposing to approve the program without 
    clarifying whether the District's program addresses the critical 
    threshold questions of how a source is to determine if an emissions 
    increase is or is not greater than de minimis, and whether or not it 
    has been offset satisfactorily. EPA has no legal basis for allowing the 
    District to implement section 112(g) until the agency completes its 
    rulemaking under 112(g).
        EPA Response: Title V of the CAA and the part 70 regulations 
    require states seeking to obtain and retain approval of Title V 
    operating permit programs to have authority to issue permits and assure 
    compliance with all applicable requirements. (Section 502(b)(5)(A) and 
    40 CFR 70.4(b)(3)(i)). Section 112(g)(2) of the CAA, an applicable 
    requirement, provides that no person may modify, construct or 
    reconstruct a major source of HAP, unless the Administrator (or the 
    state) determines that maximum achievable control technology (MACT) 
    limitations have been met or that sufficient offsets have been 
    provided. Accordingly, as discussed in the preamble to the proposed 
    section 112(g) rule, EPA interprets the statute to require states to 
    implement section 112(g) including the development of case-by-case MACT 
    determinations, in order to obtain and retain approval of Title V 
    operating permits programs (See 59 FR 15565).
        In the proposed interim approval of the District's operating 
    permits program, EPA proposed to approve the District's Chapter 3 
    operating permits program for the purpose of implementing section 
    112(g) during the transition period between federal promulgation of a 
    section 112(g) rule and District adoption of 112(g) implementing 
    regulations. (See 60 FR 14925-6). This proposal was based in part on 
    EPA's revised interpretation of the CAA discussed in a Federal Register 
    notice published on February 14, 1995 which postponed the effective 
    date of section 112(g) until after EPA has promulgated a rule 
    addressing that provision. (See 60 FR 8333).
        The section 112(g) interpretive notice explains that EPA is still 
    considering whether the effective date of section 112(g) should be 
    delayed beyond the date of promulgation of the federal rule 
    
    [[Page 40103]]
    so as to allow states time to adopt rules implementing the federal 
    rule, and that EPA will provide for any such additional delay in the 
    final section 112(g) rulemaking. Unless and until EPA provides for such 
    an additional postponement of section 112(g), the District must be able 
    to implement section 112(g) during the transition period between 
    promulgation of the federal section 112(g) rule and adoption by the 
    District of implementing regulations.
        As described in the proposed rule, EPA believes that, although the 
    District currently lacks a program designed specifically to implement 
    section 112(g), the District's Chapter 3 operating permits program will 
    serve as an adequate implementation vehicle during a transition period 
    because it will allow the District to select control measures that 
    would meet MACT, as defined in section 112, and incorporate these 
    measures into federally enforceable source-specific permits for major 
    sources of hazardous air pollutants (HAP).
        A consequence of the fact that the District lacks a program 
    designed specifically to implement section 112(g) is that the timing 
    requirements for submitting permit applications to establish case-by-
    case MACT determinations will differ from those in the section 112(g) 
    rule. However, EPA expects the District to be able to require sources 
    to submit applications to obtain operating permits or permit revisions 
    to establish case-by-case MACT determinations prior to construction 
    where necessary for purposes of section 112(g) even if its own 
    operating permits program does not require such permit applications to 
    be submitted until twelve (12) months after commencing operations.
        Although the Chapter 3 operating permits program does not at this 
    time address critical 112(g) threshold questions with respect to de 
    minimis levels and offsets, EPA believes that the District can 
    adequately implement 112(g) prior to adoption of EPA's final 
    promulgated 112(g) rule by relying on the authority established in the 
    Chapter 3 operating permits program and using EPA's final 112(g) rule 
    as guidance. Pursuant to the District's commitment ``to adopt and 
    implement expeditiously any additional regulations that might be needed 
    to incorporate such [future section 112] requirements into operating 
    permits'', the District will be expected to establish additional 
    authorities with respect to 112(g) de minimis levels and/or offsets, if 
    necessary, consistent with the 112(g) rule once EPA promulgates a rule 
    addressing those provisions.
    
    Final Action
    
        EPA is promulgating interim approval of the operating permits 
    program submitted by the District of Columbia on January 13, 1994, and 
    supplemented on March 11, 1994. The District must make the changes 
    identified in the proposed rule in order to fully meet the requirements 
    of the July 21, 1992 version of part 70. (See 60 FR 14926). The 
    District must also have acid rain regulations and adequate forms in 
    place by November 15, 1995 consistent with the commitment made in a 
    February 3, 1995 letter to EPA.
        The scope of the District's part 70 program approved in this notice 
    applies to all part 70 sources (as defined in the approved program) 
    within the District of Columbia, except any sources of air pollution 
    over which an Indian Tribe has jurisdiction. See, e.g., 59 FR 55813, 
    55815-18 (Nov. 9, 1994). The term ``Indian Tribe'' is defined under the 
    Act as ``any Indian tribe, band, nation, or other organized group or 
    community, including any Alaska Native village, which is federally 
    recognized as eligible for the special programs and services provided 
    by the United States to Indians because of their status as Indians.'' 
    See section 302(r) of the CAA; see also 59 FR 43956, 43962 (Aug. 25, 
    1994); 58 FR 54364 (Oct. 21, 1993).
        This interim approval, which may not be renewed, extends until 
    September 8, 1997. During this interim approval period, the District is 
    protected from sanctions, and EPA is not obligated to promulgate, 
    administer and enforce a federal operating permits program in the 
    District. Permits issued under a program with interim approval have 
    full standing with respect to part 70, and the 1-year time period for 
    submittal of permit applications by subject sources begins upon the 
    effective date of this interim approval, as does the 3-year time period 
    for processing the initial permit applications.
        If the District fails to submit a complete corrective program for 
    full approval by March 7, 1997, EPA will start an 18-month clock for 
    mandatory sanctions. If the District then fails to submit a corrective 
    program that EPA finds complete before the expiration of that 18-month 
    period, EPA will be required to apply one of the sanctions in section 
    179(b) of the Act, which will remain in effect until EPA determines 
    that the District has corrected the deficiency by submitting a complete 
    corrective program. Moreover, if the Administrator finds a lack of good 
    faith on the part of the District, both sanctions under section 179(b) 
    will apply after the expiration of the 18-month period until the 
    Administrator determined that the District had come into compliance. In 
    any case, if, six months after application of the first sanction, the 
    District still has not submitted a corrective program that EPA has 
    found complete, a second sanction will be required.
        If EPA disapproves the District's complete corrective program, EPA 
    will be required to apply one of the section 179(b) sanctions on the 
    date 18 months after the effective date of the disapproval, unless 
    prior to that date the District has submitted a revised program and EPA 
    has determined that it corrected the deficiencies that prompted the 
    disapproval. Moreover, if the Administrator finds a lack of good faith 
    on the part of the District, both sanctions under section 179(b) shall 
    apply after the expiration of the 18-month period until the 
    Administrator determines that the District has come into compliance. In 
    all cases, if, six months after EPA applies the first sanction, the 
    District has not submitted a revised program that EPA has determined 
    corrects the deficiencies, a second sanction is required.
        In addition, discretionary sanctions may be applied where warranted 
    any time after the expiration of an interim approval period if the 
    District has not timely submitted a complete corrective program or EPA 
    has disapproved its submitted corrective program. Moreover, if EPA has 
    not granted full approval to the District's program by the expiration 
    of this interim approval and that expiration occurs after November 15, 
    1995, EPA must promulgate, administer and enforce a federal permits 
    program for the District of Columbia upon interim approval expiration.
        Requirements for approval, specified in 40 CFR 70.4(b), encompass 
    section 112(l)(5) requirements for approval of a program for delegation 
    of section 112 standards as promulgated by EPA as they apply to part 70 
    sources. Section 112(l)(5) requires that the State's program contain 
    adequate authorities, adequate resources for implementation, and an 
    expeditious compliance schedule, which are also requirements under part 
    70. Therefore, EPA is also promulgating approval under section 
    112(l)(5) and 40 CFR 63.91 of the District's program for receiving 
    delegation of section 112 standards that are unchanged from federal 
    standards as promulgated. This program for delegations only applies to 
    sources covered by the Part 70 program.
        Additionally, EPA is promulgating approval of Chapter 3 of Subtitle 
    I of Title 20 of the District of Columbia Municipal Regulations (20 
    DCMR), 
    
    [[Page 40104]]
    under the authority of Title V and Part 70 for the purpose of 
    implementing section 112(g) to the extent necessary during the 
    transition period between promulgation of the federal section 112(g) 
    rule and adoption of any necessary District rules to implement EPA's 
    section 112(g) regulations. However, since this approval is for the 
    purpose of providing a mechanism to implement section 112(g) during the 
    transition period, the approval of the Chapter 3 operating permits 
    program for this purpose will be without effect if EPA decides in the 
    final section 112(g) rule that sources are not subject to the 
    requirements of the rule until state regulations are adopted. Although 
    section 112(l) generally provides the authority for approval of state 
    air toxics programs, Title V and section 112(g) provide authority for 
    this limited approval because of the direct linkage between 
    implementation of section 112(g) and Title V. The duration of this 
    approval is limited to 18 months following promulgation by EPA of 
    section 112(g) regulations, to provide the District with adequate time 
    to adopt regulations consistent with federal requirements.
        The Office of Management and Budget has exempted this action from 
    Executive Order 12866 review.
        EPA's actions under section 502 of the Act do not create any new 
    requirements, but simply address operating permits programs submitted 
    to satisfy the requirements of 40 CFR part 70. Because this action does 
    not impose any new requirements, it does not have a significant impact 
    on a substantial number of small entities.
        EPA has determined that this proposed interim approval action 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 to the private sector result from this 
    action.
        EPA has determined that this final interim approval action, 
    promulgating interim approval of the District of Columbia's operating 
    permits program, 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 to the 
    private sector result from this action.
    
    List of Subjects in 40 CFR Part 70
    
        Environmental protection, Administrative practice and procedure, 
    Air pollution control, Intergovernmental relations, Operating permits, 
    and Reporting and recordkeeping requirements.
    
        Dated: July 20, 1995.
    W.T. Wisniewski,
    Acting Regional Administrator.
    
        Part 70, title 40 of the Code of Federal Regulations is amended as 
    follows:
    
    PART 70--[AMENDED]
    
        1. The authority citation for part 70 continues to read as follows:
    
        Authority: 42 U.S.C. 7401, et seq.
    
        2. Appendix A to part 70 is amended by adding the entry for the 
    District of Columbia in alphabetical order to read as follows:
    
    Appendix A to Part 70--Approval Status of State and Local Operating 
    Permits Programs
    
    * * * * *
    
    District of Columbia
    
        (a) Environmental Regulation Administration: submitted on 
    January 13, 1994 and March 11, 1994; interim approval effective on 
    September 6, 1995; interim approval expires September 8, 1997.
        (b) [Reserved]
    * * * * *
    [FR Doc. 95-19399 Filed 8-4-95; 8:45 am]
    BILLING CODE 6560-50-P
    
    

Document Information

Effective Date:
9/6/1995
Published:
08/07/1995
Department:
Environmental Protection Agency
Entry Type:
Rule
Action:
Final interim approval.
Document Number:
95-19399
Dates:
September 6, 1995.
Pages:
40101-40104 (4 pages)
Docket Numbers:
AD-FRL-5274-2
PDF File:
95-19399.pdf
CFR: (1)
40 CFR 70