[Federal Register Volume 60, Number 210 (Tuesday, October 31, 1995)]
[Rules and Regulations]
[Pages 55312-55314]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-26887]



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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 162-1-7250a; FRL-5321-1]


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 on revisions to the 
California State Implementation Plan. The revisions concern rules from 
the South Coast Air Quality Management District (SCAQMD). This approval 
action will incorporate these rules into the federally approved SIP. 
The intended effect of approving these rules is to regulate emissions 
of volatile organic compounds (VOCs) in accordance with the 
requirements of the Clean Air Act, as amended in 1990 (CAA or the Act). 
In addition, the final action on these rules serves as a final 
determination that the deficiencies in previous versions have been 
corrected and that on the effective date of this action, any sanctions 
or Federal Implementation Plan (FIP) obligations are permanently 
stopped. The revised rules control VOC emissions from graphic arts and 
the coating of wood products. Thus, 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 action is effective on January 2, 1996 unless adverse or 
critical comments are received by November 30, 1995. If the effective 
date is delayed, a timely notice will be published in the Federal 
Register.

ADDRESSES: Copies of the rule revisions and EPA's evaluation report for 
each rule are available for public inspection at EPA's Region IX office 
during normal business hours. Copies of the submitted rule revisions 
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, DC 20460.
California Air Resources Board, Stationary Source Division, Rule 
Evaluation Section, 2020 ``L'' Street, Sacramento, CA 92123-1095.
South Coast Air Quality Management District, 21865 E. Copley Drive, 
Diamond Bar, CA 91765-4182.

FOR FURTHER INFORMATION CONTACT: Daniel A. Meer, Chief Rulemaking 
Section (A-5-3), Air and Toxics Division, U.S. Environmental Protection 
Agency, Region IX, 75 Hawthorne Street, San Francisco, CA 94105, 
Telephone: (415) 744-1185.

SUPPLEMENTARY INFORMATION:

Applicability

    The rules being approved into the California SIP include: SCAQMD 
Rules 1130, Graphic Arts, and 1136, Wood Products Coating. These rules 
were submitted by the California Air Resources Board (CARB) to EPA on 
October 16, 1995.

Background

    On March 3, 1978, EPA promulgated a list of ozone nonattainment 
areas under the provisions of the Clean Air Act, as amended in 1977 
(1977 Act or pre-amended Act), that included the South Coast Air Basin. 
43 FR 8964, 40 CFR 81.305. On May 26, 1988, EPA notified the Governor 
of California, pursuant to section 110(a)(2)(H) of the 1977 Act, that 
the above districts' portions of the California SIP were inadequate to 
attain and maintain the ozone standard and requested that deficiencies 
in the existing SIP be corrected (EPA's SIP-Call). On November 15, 
1990, the Clean Air Act Amendments of 1990 were enacted. Pub. L. 101-
549, 104 Stat. 2399, codified at 42 U.S.C. 7401-7671q. In amended 
section 182(a)(2)(A) of the CAA, Congress statutorily adopted the 
requirement that nonattainment areas fix their deficient reasonably 
available control technology (RACT) rules for ozone and established a 
deadline of May 15, 1991 for states to submit corrections of those 
deficiencies.
    Section 182(a)(2)(A) applies to areas designated as nonattainment 
prior to enactment of the amendments and classified as marginal or 
above as of the date of enactment. It requires such areas to adopt and 
correct RACT rules pursuant to pre-amended section 172(b) 

[[Page 55313]]
as interpreted in pre-amendment guidance.1 EPA's SIP-Call used 
that guidance to indicate the necessary corrections for specific 
nonattainment areas. The South Coast Air Basin is classified as 
extreme; 2 therefore, this area was subject to the RACT fix-up 
requirement and the May 15, 1991 deadline.

    \1\ 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); and the existing control 
technique guidelines (CTGs).
    \2\ The South Coast Air Basin 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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    The State of California submitted many revised RACT rules for 
incorporation into its SIP on October 13, 1995, including the rules 
being acted on in this document. This document addresses EPA's direct-
final action for SCAQMD's Rules 1130, Graphic Arts, and 1136, Wood 
Products Coating. SCAQMD adopted Rules 1130 and 1136 on September 8, 
1995. The submitted rules were found to be complete on October 23, 1995 
pursuant to EPA's completeness criteria that are set forth in 40 CFR 
part 51 Appendix V 3 and is being finalized for approval into the 
SIP.

    \3\ 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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    Rule 1130 limits emissions of volatile organic compounds (VOCs) 
emitted from graphic arts operations and Rule 1136 limits emissions of 
VOCs from wood coating operations. VOCs contribute to the production of 
ground level ozone and smog. This rule was originally adopted as part 
of SCAQMD's effort to achieve the National Ambient Air Quality Standard 
(NAAQS) for ozone and in response to EPA's SIP-Call and the section 
182(a)(2)(A) CAA requirement. The following is EPA's evaluation and 
final action for this rule.

EPA Evaluation and Action

    In determining the approvability of a VOC 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 today's action, appears in the various EPA 
policy guidance documents listed in footnote 1. Among those provisions 
is the requirement that a VOC rule must, at a minimum, provide for the 
implementation of RACT for stationary sources of VOC emissions. This 
requirement was carried forth from the pre-amended Act.
    For the purpose of assisting state and local agencies in developing 
RACT rules, EPA prepared a series of Control Technique Guideline (CTG) 
documents. The CTGs are based on the underlying requirements of the Act 
and specify the presumptive norms for what is RACT for specific source 
categories. Under the CAA, Congress ratified EPA's use of these 
documents, as well as other Agency policy, for requiring States to 
``fix-up'' their RACT rules. See section 182(a)(2)(A). The CTG 
applicable to Rule 1130 is entitled Control of Volatile Organic 
Emissions from Existing Stationary Sources--Volume VIII: Graphic Arts-
Rotogravure and Flexography. EPA-450/2-78-033. Rule 1136 controls 
emissions from a source category for which EPA has not finalized a CTG. 
Accordingly, this rule was evaluated against the interpretation of EPA 
policy found in the Blue Book, referred to in footnote 1 and against 
other EPA policy including the EPA Region 9/CARB document entitled: 
Guidance Document for Correcting VOC Rule Deficiencies (April 1991), 
and EPA's draft CTG for wood furniture finishing and cleaning 
operations, released for comments on September 7, 1995 in the Federal 
Register, 60 FR 46595. In general, these guidance documents have been 
set forth to ensure that VOC rules are fully enforceable and strengthen 
or maintain the SIP.
    SCAQMD's submitted Rule 1130, Graphic Arts, includes the following 
significant changes from the current SIP:
     Reduction of the VOC content of graphic arts material to 
300 grams per liter in conformance with the applicable CTG,
     Revision of the combined capture and control efficiency 
requirement of emission control systems to conform to the RACT level of 
control,
     Deletion of the exempt compound list and reference to Rule 
102 which contains definitions and the exempt compound list,
     Lowering of the minimum metal content requirement in 
flexographic metallic ink from 35% to 28% by weight,
     Lowering of the VOC limit for flexographic metallic ink 
from 485 grams/liter (g/l) to 460 g/l,
     Addition of a prohibition of sale provision,
     Addition of the definition of ``Potential to Emit'',
     Addition of an exemption for the application of metallic 
and matte finish ink, provided that a written certification to limit 
the total facility-wide potential VOC emissions to 10 tons per year is 
on file.
    SCAQMD's Rule 1136, Wood Coating Operations, includes the following 
significant changes from the current SIP:
     Addition of language and equation for control device 
equivalency,
     Addition of USEPA approved test method and language 
regarding multiple test methods,
     Addition of a VOC averaging provision,
     Addition of fiberboard and particleboard coating VOC 
limits,
     Extension of final compliance dates to July 1, 1996,
     Addition of economic incentives for facilities converting 
to compliant, waterborne coatings earlier than the final compliance 
date. The available incentives are alternative recordkeeping 
requirements and use of alternate spray equipment, with written 
approval from the executive officer.
    EPA has evaluated the submitted rules and has determined that they 
are consistent with the CAA, EPA regulations, and EPA policy. 
Therefore, SCAQMD's Rules 1130, Graphic Arts, and 1136, Wood Products 
Coating, are being approved under section 110(k)(3) of the CAA as 
meeting the requirements of section 110(a) and part D.
    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.
    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 in this Federal 
Register publication, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective January 2, 1996, unless, by November 30, 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 document 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 

[[Page 55314]]
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 January 2, 1996.

Regulatory Process

    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. 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.
    SIP approvals under sections 110 and 301(a) 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 any small entities 
affected. 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. 7410 (a)(2).

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 or 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 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.
    This action has been classified as a Table 3 action for signature 
by the Regional Administrator under the procedures published in the 
Federal Register on January 19, 1989 (54 FR 2214-2225), as revised by a 
July 10, 1995 memorandum from Mary Nichols, Assistant Administrator for 
Air and Radiation. The Office of Management and Budget (OMB) has 
exempted this 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, Ozone, 
Reporting and recordkeeping requirements, Volatile organic compounds.

    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: October 19, 1995.
John Wise,
Acting Regional Administrator.

    Part 52, chapter I, title 40 of the Code of Federal Regulations is 
amended as follows:

PART 52--[AMENDED]

    1. The authority citation for part 52 continues to read as follows:

    Authority: 42 U.S.C. 7401-7671q.

Subpart F--California

    2. Section 52.220 is amended by adding paragraph (c)(225) to read 
as follows:


Sec. 52.220  Identification of plan.

* * * * *
    (c) * * *
    (225) New and amended regulations for the following APCDs were 
submitted on October 13, 1995 by the Governor's designee.
    (i) Incorporation by reference.
    (A) South Coast Air Quality Management District.
    (1) Rules 1130 and 1136 adopted September 8, 1995.
* * * * *
[FR Doc. 95-26887 Filed 10-30-95; 8:45 am]
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