[Federal Register Volume 60, Number 172 (Wednesday, September 6, 1995)]
[Rules and Regulations]
[Pages 46220-46222]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-21877]



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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 95-7-6789a; FRL-5280-1]


Approval and Promulgation of Implementation Plans; California 
State Implementation Plan Revision; South Coast Air Quality Management 
District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: EPA is taking direct final action to approve revisions to the 
California State Implementation Plan (SIP). The revisions concern rules 
from the South Coast Air Quality Management District (SCAQMD) which 
control oxides of nitrogen (NOX) from industrial, commercial, and 
institutional boilers, steam generators, and process heaters. This 
approval action will incorporate these rules into the Federally 
approved SIP. The intended effect of approving these rules is to 
regulate emissions of NOX in accordance with the requirements of 
the Clean Air Act, as amended in 1990 (CAA or the Act). The EPA is 
finalizing the approval of these revisions into the California SIP 
under provisions of the CAA regarding EPA action on SIP submittals, 
SIPs for national primary and secondary ambient air quality standards 
and plan requirements for nonattainment areas.

DATES: This final rule is effective on November 6, 1995 unless adverse 
or critical comments are received by October 6, 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 evaluation report of each rule 
are available for public inspection at EPA's Region IX office during 
normal business hours. Copies of the submitted rules are available for 
inspection at the following locations:

Rulemaking Section (A-5-3), Air and Toxics Division, U.S. Environmental 
Protection Agency, Region IX, 75 Hawthorne Street, San Francisco, CA 
94105.
Environmental Protection Agency, Air Docket (6102), 401 ``M'' Street, 
SW., Washington, D.C. 20460.
California Air Resources Board, Stationary Source Division, Rule 
Evaluation Section, 2020 ``L'' Street, Sacramento, CA 95814.
South Coast Air Quality Management District, 21865 E. Copley Drive, 
Diamond Bar, CA 91765-4182.

FOR FURTHER INFORMATION CONTACT: Mae Wang, Rulemaking Section (A-5-3), 
Air and Toxics Division, U.S. Environmental Protection Agency, Region 
IX, 75 Hawthorne Street, San Francisco, CA 94105-3901, Telephone: (415) 
744-1200.

SUPPLEMENTARY INFORMATION:

Applicability

    The rules being approved into the California SIP include: SCAQMD 
Rule 1146, Emissions of Oxides of Nitrogen from Industrial, 
Institutional, and Commercial Boilers, Steam Generators, and Process 
Heaters; and Rule 1146.1, Emissions of Oxides of Nitrogen from Small 
Industrial, Institutional, and Commercial Boilers, Steam Generators, 
and Process Heaters. These rules were submitted by the California Air 
Resources Board (CARB) to EPA on July 13, 1994.

Background

    On November 15, 1990, the Clean Air Act Amendments of 1990 (CAA or 
the Act) were enacted. Pub. L. 101-549, 104 Stat. 2399, codified at 42 
U.S.C. 7401-7671q. The air quality planning requirements for the 
reduction of NOX emissions through reasonably available control 
technology (RACT) are set out in section 182(f) of the CAA. On November 
25, 1992, EPA published a Notice of Proposed Rulemaking (NPRM) entitled 
``State Implementation Plans; Nitrogen Oxides Supplement to the General 


[[Page 46221]]
Preamble; Clean Air Act Amendments of 1990 Implementation of Title I; 
Proposed Rule,'' (the NOX Supplement) which describes and provides 
preliminary guidance on the requirements of section 182(f). 57 FR 
55620. The NOX Supplement should be referred to for further 
information on the NOX requirements and is incorporated into this 
notice of direct final rulemaking by reference.
    Section 182(f) of the Clean Air Act requires States to apply the 
same requirements to major stationary sources of NOX (``major'' as 
defined in section 302 and section 182 (c), (d), and (e)) as are 
applied to major stationary sources of volatile organic compound (VOC) 
emissions, in moderate or above ozone nonattainment areas. The Los 
Angeles-South Coast Air Basin Area is classified as extreme; 1 
therefore this area was subject to section 182(f), the RACT 
requirements of section 182(b)(2), and the November 15, 1992 deadline, 
cited below.

    \1\ The Los Angeles-South Coast Air Basin Area retained its 
designation of nonattainment and was classified by operation of law 
pursuant to sections 107(d) and 181(a) upon the date of enactment of 
the CAA. See 55 FR 56694 (November 6, 1991).
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    Section 182(b)(2) requires submittal of RACT rules for major 
stationary sources of VOC (and NOX) emissions (not covered by 
either a pre-enactment or post-enactment control technologies guideline 
(CTG) document) by November 15, 1992. There were no NOX CTGs 
issued before enactment and EPA has not issued a CTG document for any 
NOX sources since enactment of the CAA. The RACT rules covering 
NOx sources and submitted as SIP revisions, are expected to require 
final installation of the actual NOx controls as expeditiously as 
practicable, but no later than May 31, 1995.
    SCAQMD Rule 1146 and Rule 1146.1 were adopted by SCAQMD on May 13, 
1994, and were submitted by CARB to EPA on July 13, 1994. These 
submitted rules were found to be complete on July 22, 1994 pursuant to 
EPA's completeness criteria that are set forth in 40 CFR part 51, 
appendix V.2 By today's notice, EPA is taking direct final action 
to approve these rules into the Federally approved SIP.

    \2\ EPA adopted the completeness criteria on February 16, 1990 
(55 FR 5830) and, pursuant to section 110(k)(1)(A) of the CAA, 
revised the criteria on August 26, 1991 (56 FR 42216).
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    SCAQMD Rule 1146 and 1146.1 control emissions of NOX from 
industrial, commercial, and institutional boilers, steam generators and 
process heaters. NOX emissions contribute to the production of 
ground level ozone and smog. The rules were adopted as part of SCAQMD's 
efforts to achieve the National Ambient Air Quality Standards for ozone 
and in response to the CAA requirements cited above. The following 
section contains EPA's evaluation and final action for these rules.

EPA Evaluation

    In determining the approvability of a NOX rule, EPA must 
evaluate the rule for consistency with the requirements of the CAA and 
EPA regulations, as found in section 110 and part D of the CAA and 40 
CFR part 51 (Requirements for Preparation, Adoption and Submittal of 
Implementation Plans). The EPA interpretation of these requirements, 
which forms the basis for this action, appears in various EPA policy 
guidance documents.3 Among these provisions is the requirement 
that a NOX rule must, at a minimum, provide for the implementation 
of RACT for stationary sources of NOX emissions.

    \3\  Among other things, the pre-amendment guidance consists of 
those portions of the proposed post-1987 ozone and carbon monoxide 
policy that concern RACT, 52 FR 45044 (November 24, 1987); ``Issues 
Relating to VOC Regulation Cutpoints, Deficiencies, and Deviations, 
Clarification to Appendix D of November 24, 1987 Federal Register 
Notice'' (Blue Book) (notice of availability was published in the 
Federal Register on May 25, 1988).
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    For the purposes of assisting state and local agencies in 
developing NOX RACT rules, EPA prepared the NOX Supplement to 
the General Preamble. In the NOX Supplement, EPA provides guidance 
on how RACT will be determined for stationary sources of NOX 
emissions. While most of the guidance issued by EPA on what constitutes 
RACT for stationary sources has been directed towards application for 
VOC sources, much of the guidance is also applicable to RACT for 
stationary sources of NOX (see section 4.5 of the NOX 
Supplement). In addition, pursuant to section 183(c), EPA is issuing 
alternative control technique documents (ACTs), which identify 
alternative controls for all categories of stationary sources of 
NOX. The ACT documents will provide information on control 
technology for stationary sources that emit or have the potential to 
emit 25 tons per year or more of NOX. However, the ACTs will not 
establish a presumptive norm for what is considered RACT for stationary 
sources of NOX. In general, the guidance documents cited above, as 
well as other relevant and applicable guidance documents, have been set 
forth to ensure that submitted NOX RACT rules meet Federal RACT 
requirements and are fully enforceable and strengthen or maintain the 
SIP.
    SCAQMD Rule 1146, Emissions of Oxides of Nitrogen from Industrial, 
Institutional, and Commercial Boilers, Steam Generators, and Process 
Heaters, contains the following significant changes from the current 
SIP rule:
    1. Expands applicability beyond steam generators with rated heat 
input capacity (RHIC) of 50 MBtu/hr or more.
    2. Lowers emission limits.
    3. Adds definitions, control plan requirements, recordkeeping, 
compliance determination provisions, a compliance schedule, and an 
equipment tuning procedure.
    SCAQMD Rule 1146.1, Emissions of Oxides of Nitrogen from Small 
Industrial, Institutional, and Commercial Boilers, Steam Generators, 
and Process Heaters, is a new rule which controls emissions from units 
between 2 and 5 million Btu per hour. The major provisions of this rule 
include: emission limits, recordkeeping, compliance determination 
provisions, a compliance schedule, and an equipment tuning procedure.
    For the source category of industrial, commercial, and 
institutional boilers, steam generators, and process heaters, CARB has 
made a determination on the emission levels that constitute RACT, and 
CARB has published a guidance document concerning their determination 
for this source category. EPA believes that the emission limits in Rule 
1146 and Rule 1146.1 are consistent with guidance and policy for making 
RACT determinations, and that these limits satisfy the RACT 
requirement. A more detailed discussion of the sources 
controlled,4 the controls required, and the justification for why 
these controls represent RACT can be found in the Technical Support 
Document (TSD) for each rule, available from the U.S. EPA Region IX 
office.

    \4\  Rule 1146 and Rule 1146.1 will apply to sources which are 
not covered in the SCAQMD NOX RECLAIM program.
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    EPA has evaluated the submitted rule and has determined that it is 
consistent with the CAA, EPA regulations and EPA policy. Therefore, 
SCAQMD Rule 1146 and Rule 1146.1 are being approved under section 
110(k)(3) of the CAA as meeting the requirements of section 110(a), 
section 182(b)(2), section 182(f) and the NOX Supplement to the 
General Preamble.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any state 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 

[[Page 46222]]
relevant statutory and regulatory requirements.
    EPA is publishing this document without prior proposal because the 
Agency views this as a noncontroversial amendment and anticipates no 
adverse comments. However, in a separate document elsewhere in this 
Federal Register, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective November 6, 1995, unless, by October 6, 1995, adverse or 
critical comments are received.
    If the 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 November 6, 1995.

Regulatory Process

Unfunded Mandates

    Under Sections 202, 203, and 205 of the Unfunded Mandates Reform 
Act of 1995 (``Unfunded Mandates Act''), signed into law on March 22, 
1995, EPA must undertake various actions in association with proposed 
or final rules that include a Federal mandate that may result in 
estimated costs of $100 million or more to the private sector or to 
state, local, or tribal governments in the aggregate.
    Through submission of this state implementation plan revision, the 
State and any affected local or tribal governments have elected to 
adopt the program provided for under part D of the Clean Air Act. These 
rules may bind state, local, and tribal governments to perform certain 
actions and also require the private sector to perform certain duties. 
The rules being approved by this action will impose no new requirements 
because affected sources are already subject to these regulations under 
state law. Therefore, no additional costs to state, local, or tribal 
governments or to the private sector result from this action. EPA has 
also determined that this direct final action does not include a 
mandate that may result in estimated costs of $100 million or more to 
state, local, or tribal governments in the aggregate or to the private 
sector.

Small Businesses

    Under the Regulatory Flexibility Act, 5 U.S.C. Section 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. sections 603 
and 604. Alternatively, EPA may certify that the rule will not have a 
significant economic 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 CAA 
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 affected small entities. Moreover, due 
to the nature of the Federal-state relationship under the CAA, 
preparation of a regulatory flexibility analysis would constitute 
Federal inquiry into the economic reasonableness of state action. The 
CAA forbids EPA to base its actions concerning SIPs on such grounds. 
Union Electric Co. v. U.S. E.P.A. , 427 U.S. 246, 256-66 (S. Ct. 1976); 
42 U.S.C. section 7410(a)(2).
    The Office of Management and Budget has exempted this regulatory 
action from review under Executive Order 12866.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Hydrocarbons, 
Incorporation by reference, Intergovernmental relations, Nitrogen 
dioxide, Nitrogen oxides, Ozone, Reporting and recordkeeping 
requirements, Volatile organic compound.

    Dated: August 8, 1995.
Felicia Marcus,
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 F--California

    2. Section 52.220 is amended by adding paragraph (c) (198)(i)(H)(1) 
to read as follows:


Sec. 52.220  Identification of plan.

* * * * *
    (c) * * *
    (198) * * *
    (i) * * *
    (H) South Coast Air Quality Management District.
    (1) Rule 1146 and Rule 1146.1, adopted May 13, 1994.
* * * * *
[FR Doc. 95-21877 Filed 9-5-95; 8:45 am]
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