[Federal Register Volume 60, Number 121 (Friday, June 23, 1995)]
[Rules and Regulations]
[Pages 32603-32606]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-15037]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Parts 52 and 70
[CA 147-1-6995-a; FRL-5216-3]
Clean Air Act Final Approval of Title V Operating Permits Program
Revisions; Final Approval of Amended Synthetic Minor Operating Permit
Program as a State Implementation Plan Revision; Bay Area Air Quality
Management District, California
AGENCY: Environmental Protection Agency (EPA).
ACTION: Direct final rule.
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SUMMARY: The EPA is promulgating direct final approval of the title V
operating permit program revisions adopted by the Bay Area Air Quality
Management District (Bay Area, BAAQMD, or District) on February 1, 1995
and submitted to EPA on March 23, 1995. These revisions modify Bay
Area's title V program as proposed for interim approval on November 29,
1994 by providing for optional permit shield provisions, clarifying
permit application requirements, and making other minor program changes
in response to local concerns. In this direct final action, EPA is also
promulgating approval of revisions that Bay Area made to its synthetic
minor operating permit program. The synthetic minor program allows for
the issuance of federally enforceable state operating permits (FESOP)
and was also proposed for approval on November 29, 1994. The synthetic
minor amendments being approved in this notice clarify the District's
permit modification procedures for synthetic minors. Upon approval, the
amended synthetic minor regulations will be incorporated into Bay
Area's portion of the State Implementation Plan (SIP). In order to
extend the federal enforceability of synthetic minor operating permit
conditions to hazardous air pollutants (HAP), EPA is also approving Bay
Area's amended synthetic minor regulations pursuant to section 112(l)
of the Clean Air Act (Act or CAA).
EFFECTIVE DATE: This action is effective on August 22, 1995 unless
adverse or critical comments are received by July 24, 1995. If the
effective date is delayed, a timely notice will be published in the
Federal Register.
ADDRESSES: Copies of the rules and EPA's Technical Support Document for
the amended title V and synthetic minor programs are available for
public inspection at the following location: Operating Permits Section
(A-5-2), Air and Toxics Division, U.S. Environmental Protection Agency,
Region IX, 75 Hawthorne Street, San Francisco, CA 94105.
Copies of the regulations being incorporated by reference in
today's rule are available for inspection at the following location:
Air Docket (6102), U.S. Environmental Protection Agency, 401 M Street,
SW., Washington, DC 20460.
FOR FURTHER INFORMATION CONTACT: Celia Bloomfield (telephone 415/744-
1249), Operating Permits Section (A-5-2), Air and Toxics Division, U.S.
Environmental Protection Agency, Region IX, 75 Hawthorne Street, San
Francisco, CA 94105.
SUPPLEMENTARY INFORMATION:
I. Background
On November 29, 1994, EPA proposed in the Federal Register to grant
Bay Area's title V operating permits program interim approval (59 FR
60939) in accordance with title V of the Act (as amended in 1990) and
40 CFR part 70 (the title V implementing regulations). In the same
notice, EPA proposed approval of Bay Area's synthetic minor program
based on the June 28, 1989 (54 FR 27274) approval criteria for
federally enforceable state operating permit programs. On February 1,
1995, Bay Area adopted revisions to Regulation 2, Rule 6 (Regulation 2-
6) and the [[Page 32604]] District's Manual of Procedures, Volume II,
Part 3 (MOP), which implement the District's title V and synthetic
minor programs. These revisions were not made in response to the title
V program deficiencies identified by EPA in the proposed rulemaking,
but rather to address local issues and concerns. EPA is promulgating a
direct final approval of the amendments to coordinate the effective
date of the title V and FESOP programs (which are being promulgated in
today's Final Rules Section) with the effective date of the revisions.
II. EPA Evaluation and Action
On March 23, 1995, the California Air Resources Board (CARB)
submitted to EPA, on behalf of the Bay Area, revisions to the
District's title V operating permits program. The revisions, adopted
February 1, 1995 by the Bay Area, address local issues and concerns and
were not adopted in response to EPA's November 29, 1994 proposed
interim approval notice (59 FR 60939). The District's synthetic minor
program revisions, also adopted on February 1, 1995, were submitted to
EPA by CARB, on behalf of the Bay Area, on March 31, 1995. The
synthetic minor revisions clarify the District's processing of
synthetic minor permit modifications.
The EPA has evaluated the submitted rules and has determined that
they are substantially consistent with 40 CFR part 70 and fully
consistent with the June 28, 1989 approval criteria (54 FR 27274) for
SIP-approved state operating permit programs. The following is a brief
analysis of the key regulatory revisions being acted on in today's
notice. (Please refer to the Technical Support Document for a complete
analysis of the submission.)
A. Analysis of Submission
1. Title V Operating Permit Program
a. Federal Enforceability--Title V permits in the Bay Area will
contain District, State, and federal requirements. Bay Area's
regulation, prior to the February 1, 1995 revisions, interchanged the
terms ``applicable requirement'' and ``federally enforceable
requirement,'' causing District and State-only requirements to become
federally enforceable. (See 59 FR 60942.) On February 1, 1995, Bay Area
revised its regulations to ensure that District and State-only
requirements would not automatically become federally enforceable. (See
2-6-305, 2-6-307, 2-6-311.)
b. Duty to Apply--EPA proposed source category-limited interim
approval of Bay Area's title V program on November 29, 1994 because the
program allows certain sources to remain out of the program for two
years by deferring the duty to apply for a title V permit. On February
1, 1995, Bay Area revised the duty to apply section of its regulation
to clarify eligibility and timing issues associated with this deferral
of applications. The changes ensure that only smaller sources of
emissions will receive the deferral (2-6-403.1). These changes are
consistent with the source category-limited interim approval proposed
in the November 29, 1994 Federal Register notice. The revisions further
specify which sources are required to submit applications within three
months from the effective date of Bay Area's title V program so that
the District can meet federal requirements for initial permit issuance
(2-6-404.7 and section 70.4(b)(11)).
c. Permit Applications--Bay Area made several revisions to its
permit application requirements. The primary substantive revision
relieves sources of the requirement to calculate and summarize
emissions from units that emit quantities below given thresholds (2
tons per year of a regulated air pollutant and 1000 pounds per year of
a hazardous air pollutant) (2-6-405.6). EPA stated in its proposed
notice that it would accept emissions cut-offs of 2 tons per year for
criteria pollutants and the lesser of 1000 pounds per year or the
section 112(g) de minimis levels for hazardous air pollutants (HAP) as
criteria used to establish insignificant activities. According to
section 70.5(c), once an activity qualifies as insignificant under
these cut-offs, a source need only list it on the permit application.
Bay Area's approach is substantially consistent with EPA's
interpretation of insignificant activities. (For further analysis,
please refer to the Technical Support Document located in the docket
and Bay Area's final title V interim approval notice published in
today's Final Rules Section of the Federal Register.)
d. Insignificant Activities--As noted above, section 70.5(c) in
part 70 defines insignificant activities as ``activities and emissions
levels which need not be included in permit applications.'' Bay Area
indicated in the program description for its initial title V submittal
that sources listed as exempt or excluded from permitting in Regulation
2, Rule 1, section 113.3 and sections 114-128 constitute the District's
list of insignificant activities (``November 1993 List''). (See
November 16, 1993 submittal: Program Description, p.II-3; rule 2-6-
405.4, adopted November 3, 1993; and Appendix B, Part III.) The
threshold on the November 1993 List is 150 pounds per day, which
exceeds the level that EPA has allowed to be insignificant; therefore,
EPA noted this provision as an interim approval issue. (See 59 FR
60939, November 29, 1994.) In the February 1, 1995 revisions, rule 2-6-
405.6 is unclear as to whether Bay Area intended to require the
activities on the November 1993 List to be quantified on the permit
application. For an interim period, EPA will allow Bay Area not to
require quantification of emissions from units on the November 1993
List, unless the emissions are necessary for determining the
applicability of requirements or establishing permit terms and
conditions that assure compliance with the applicable requirements.
(See MOP, section 2.1.2, subsection d (p.3-8), adopted February 1,
1995.) At the end of the two-year interim approval period, Bay Area
must demonstrate that each of the activities on the November 1993 List
meet EPA's criteria for insignificant activities in section 70.5(c) and
revise the list to exclude activities and emissions that do not qualify
as insignificant to ensure that such activities and emissions will be
quantified on the permit application. EPA also recommends that the
District clarify that any ``exemption'' or ``exclusion'' provided by
Regulation 2, Rule 1 as referred to in rule 2-6-405.4.2 (February 1,
1995 version of Regulation 2-6) does not exempt sources from title V
permitting requirements.
In addition, the February 1, 1995 version of Regulation 2-6
relieves sources emitting less than 2 tons per year of a regulated air
pollutant or 1000 pounds per year of a hazardous air pollutant from
having to quantify emissions. While the emissions cut-off approach is
acceptable for defining insignificant activities, Bay Area must add a
provision to Regulation 2-6 stating that information from insignificant
activities may not be omitted from the permit application if it is
necessary to determine the applicability of a requirement, to impose
any applicable requirement, or to assess fees (section 70.5(c)). This
addition will ensure that Bay Area's insignificant activities
provisions will not interfere with determining whether and how a CAA
requirement applies at a source.
e. Fees--Section 3 of the revised MOP specifies fees associated
with permit shields, acid rain facility monitors, public notice, etc.
These fees are in addition to those that EPA found adequate for full
approval in its November 29, 1994 proposal. Part 70 gives the District
discretion to establish fees as long as all direct and indirect
[[Page 32605]] costs of the program are covered (section 70.9(b)).
2. Synthetic Minor Operating Permit Program
Bay Area added a definition for ``synthetic minor operating permit
modification'' to section 232 of Regulation 2-6 and procedural
requirements for such modifications in sections 421, 422, and 423. The
definition and procedural requirements provide additional assurance
that revisions made to federally enforceable permit conditions
contained in a synthetic minor permit will be revised in accordance
with the procedures established for initial issuance of the synthetic
minor permit. These revisions are fully approvable since they are
consistent with the five approval criteria for FESOP programs set out
in the June 28, 1989 Federal Register notice. (See 59 FR 60939).
B. Final Action and Implications
The EPA is publishing this notice without prior proposal because
the Agency views this as a noncontroversial amendment and anticipates
no adverse comments. However, in a separate document in this Federal
Register publication, EPA is proposing approval of Bay Area's title V
and synthetic minor program revisions should adverse or critical
comments be filed. This action will be effective August 22, 1995,
unless, within 30 days of its publication, adverse or critical comments
are received.
If EPA receives such comments, this action will be withdrawn before
the effective date by publishing a subsequent notice that will withdraw
the 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 EPA will not institute a second comment period on 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 August 22, 1995.
1. Title V Operating Permits Program
EPA is promulgating approval of the title V operating permit
program revisions submitted to EPA by CARB on March 23, 1995. These
revisions do not correct the deficiencies identified in the November
29, 1994 proposed interim approval, and hence, do not impact Bay Area's
interim approval status. In order for the February 1, 1995 revisions to
be fully approvable with respect to insignificant activities, Bay Area
must revise Regulation 2-6 to: (1) State that the permit application
may not omit any information necessary to determine the applicability
of, or to impose, any applicable requirement, or to assess fees; and
(2) clarify that the November 1993 List no longer defines insignificant
activities, or correct the deficiencies associated with the November
1993 List (59 FR 60939).
2. Synthetic Minor Operating Permit Program
EPA is promulgating approval of the synthetic minor operating
permit program revisions submitted to EPA by CARB on March 31, 1995.
Bay Area has already begun to issue permits containing voluntarily
accepted limits pursuant to the District's synthetic minor regulations
as adopted on February 1, 1995 (synthetic minor provisions are
contained within Regulation 2, Rule 6). If the District followed its
own procedures, each of those permits was subject to public notice and
prior EPA review. Therefore, EPA will consider all voluntarily accepted
limits in any District permit issued pursuant to the February 1, 1995
version of Bay Area's synthetic minor program which is being proposed
for direct final approval in today's Federal Register, to be federally
enforceable upon promulgation of this rule provided that any such
permit is submitted to EPA and accompanied by documentation that the
approved procedures were followed. The EPA will expeditiously review
individual permits to ensure their conformity to the program
requirements.
Nothing in this action should be construed as permitting or
allowing or establishing a precedent for any future implementation
plan. Each request for revision to the state implementation plan shall
be considered separately in light of specific technical, economic, and
environmental factors and in relation to relevant statutory and
regulatory requirements.
III. Administrative Requirements
A. Docket
Copies of Bay Area's submittal and other information relied upon
for the direct final actions are contained in docket number CA-BA-95-1-
OPS maintained at the EPA Regional Office. The docket is an organized
and complete file of all the information submitted to, or otherwise
considered by, EPA in the development of this direct final rulemaking.
The docket is available for public inspection at the location listed
under the ADDRESSES section of this document.
B. Regulatory Flexibility Act
Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA
must prepare a regulatory flexibility analysis assessing the impact of
any proposed or final rule on small entities. 5 U.S.C. Secs. 603 and
604. Alternatively, 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 population of less than
50,000.
The EPA's actions under section 502 of the Act do not create any
new requirements, but simply address revisions to Bay Area's existing
operating permits program that was submitted to satisfy the
requirements of 40 CFR part 70. Application for limits under Bay Area's
synthetic minor provisions is voluntary and therefore does not create
any new requirements. Because these approval actions do not impose any
new requirements, I certify that they do not have a significant impact
on any small entities affected.
C. Unfunded Mandates
Under Section 202 of the Unfunded Mandates Reform Act of 1995
(``Unfunded Mandates Act''), signed into law on March 22, 1995, EPA
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, EPA
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 EPA to establish a plan
for informing and advising any small governments that may be
significantly or uniquely impacted by the rule.
EPA 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 to the private sector, result from this
action.
D. Executive Order 12866
The Office of Management and Budget has exempted this action from
review under Executive Order 12866. [[Page 32606]]
List of Subjects
40 CFR Part 52
Air pollution control, Carbon monoxide, Hydrocarbons, Incorporation
by reference, Intergovernmental relations, Lead, Nitrogen dioxide,
Ozone, Particulate matter, Sulfur oxides, Volatile organic compounds.
40 CFR Part 70
Administrative practice and procedure, Air pollution control,
Environmental protection, Hazardous substances, Intergovernmental
relations, Operating permits, and Reporting and recordkeeping
requirements.
Note: Incorporation by reference of the State Implementation
Plan for the State of California was approved by the Director of the
Federal Register on July 1, 1982.
Dated: May 25, 1995.
David P. Howekamp,
Acting Regional Administrator.
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 F--California
2. Section 52.220 is amended by adding paragraph (c)(216)(i)(B) to
read as follows:
Sec. 52.220 Identification of plan.
* * * * *
(c) * * *
(216) * * *
(i) * * *
(B) Bay Area Air Quality Management District.
(1) Amended Regulation 2, Rule 1, Section 129 adopted on February
1, 1995; Amended Regulation 2, Rule 6, Sections 232, 234, 310, 311,
403, 404, 420, 421, 422, 423 adopted on February 1, 1995.
* * * * *
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 revising paragraph (b) to
the entry for California to read as follows:
Appendix A to Part 70--Approval Status of State and Local Operating
Permits Programs
* * * * *
(b) Bay Area Air Quality Management District: submitted on November
16, 1993, amended on October 27, 1994, and effective as an interim
program on July 24, 1995. Revisions to interim program submitted on
March 23, 1995 and effective on August 22, 1995 unless adverse or
critical comments are received by July 24, 1995. Approval of interim
program, including March 23, 1995 revisions, expires July 23, 1997.
* * * * *
[FR Doc. 95-15037 Filed 6-22-95; 8:45 am]
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