[Federal Register Volume 61, Number 15 (Tuesday, January 23, 1996)]
[Rules and Regulations]
[Pages 1716-1718]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-775]



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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 157-1-7223a; FRL-5317-2]


Approval and Promulgation of Implementation Plans; California 
State Implementation Plan Revision; Sacramento Metropolitan 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 Sacramento Metropolitan Air Quality Management District (SMAQMD). 
The rules control VOC emissions from the transfer of gasoline into 
stationary storage tanks and vehicle fuel tanks. 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 these rules have been corrected and that on the 
effective date of this action, any sanction or Federal Implementation 
Plan (FIP) clock is stopped. 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 March 25, 1996 unless adverse or 
critical comments are received by February 22, 1996. If the effective 
date is delayed, a timely notice will be published in the Federal 
Register.


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ADDRESSES: Copies of the rules 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 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, DC 20460.
California Air Resources Board, Stationary Source Division, Rule 
Evaluation Section, 2020 ``L'' Street, Sacramento, CA 95814.
Sacramento Metropolitan Air Quality Management District, 8411 Jackson 
Road, Sacramento, CA 95826.

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, Telephone: (415) 744-
1200.

SUPPLEMENTARY INFORMATION:

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 Sacramento Metro Area. 
43 FR 8964, 40 CFR 81.305. On May 26, 1988, EPA notified the Governor 
of California, pursuant to section 110(a)(2) of the 1977 Act, that the 
above district's portion of the California SIP was 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) as 
interpreted in pre-amendment guidance.1 EPA's SIP-Call used that 
guidance to indicate the necessary corrections for specific 
nonattainment areas. At the time of enactment of the CAA amendments, 
the Sacramento Metro Area was classified as serious 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 Sacramento Metro Area was reclassified from serious to 
severe on June 1, 1995. See 60 FR 20237 (April 25, 1995).
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    This document addresses EPA's direct final action for SMAQMD Rule 
448, Gasoline Transfer into Stationary Storage Containers, and Rule 
449, Transfer of Gasoline into Vehicle Fuel Tanks. The SMAQMD adopted 
these rules on February 2, 1995. These rules were submitted by the 
California Air Resources Board (CARB) to EPA on August 10, 1995. The 
submitted rules were found to be complete on October 4, 1995 pursuant 
to EPA's completeness criteria that are set forth in 40 CFR part 51 
Appendix V 3 and are 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 448 controls VOC emissions during gasoline transfer to 
stationary storage tanks. Rule 449 controls emissions from vehicle fuel 
tank filling operations. VOCs contribute to the production of ground 
level ozone and smog. These rules were originally adopted as part of 
SMAQMD's effort to achieve the National Ambient Air Quality Standard 
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 each rule.

EPA Evaluation

    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 CTGs 
applicable to Rule 448 are entitled Control of Volatile Organic 
Emissions from Bulk Gasoline Plants, EPA-450/2-77-035; and Control of 
Volatile Organic Compound Leaks from Gasoline Tank Trucks and Vapor 
Collection Systems, EPA-450/2-78-051. Rule 449 was evaluated against 
EPA's draft model stage II rule, dated August 17, 1992. Further 
interpretations of EPA policy are found in the Blue Book, referred to 
in footnote 1. In general, these guidance documents have been set forth 
to ensure that VOC rules are fully enforceable and strengthen or 
maintain the SIP.
    SMAQMD's submitted Rule 448 includes the following significant 
changes from the current SIP:
    1. Executive Officer discretion in approving equivalent test 
methods has been removed.
    2. Data on agricultural tanks has been submitted in the form of a 
5% determination in order to justify the agricultural tank exemption.
    3. A pressure vacuum valve requirement has been added.
    SMAQMD's submitted Rule 449 includes the following significant 
changes from the current SIP:
    1. Executive Officer discretion in approving equivalent test 
methods has been removed.
    2. Testing provisions have been added to require dynamic back 
pressure tests and static leak tests at least every 5 years.
    3. Test results must be reported to the district within 30 days of 
test completion.
    EPA has evaluated the submitted rules and has determined that they 
are consistent with the CAA, EPA regulations, and EPA policy. 
Therefore, SMAQMD Rule 448 and Rule 449 are being approved under 
section 110(k)(3) of the CAA as meeting the requirements of section 
110(a) and part D. The final action on these rules serves as a final 
determination that the deficiencies in 

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these rules have been corrected. Therefore, if this direct final action 
is not withdrawn, on March 25, 1996, any sanction or FIP clock is 
stopped.
    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 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, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective March 25, 1996, unless, within 30 days of its publication, 
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 March 25, 1996.

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 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 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. 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 populations 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).
    This action has been classified as a table 3 action for signature 
by the Regional Administrator under 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 has exempted this 
regulatory action from Executive Order 12866 review.

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 11, 1995.
Felicia Marcus,
Regional Administrator.

    Subpart F of 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)(224)(i)(A)(1) 
to read as follows:


Sec. 52.220  Identification of Plan.

* * * * *
    (c) * * *
    (224) New and amended regulations for the following APCDs were 
submitted on August 10, 1995, by the Governor's designee.
    (i) Incorporation by reference.
    (A) Sacramento Metropolitan Air Quality Management District.
    (1) Rule 448 and rule 449, adopted on February 2, 1995.
* * * * *
[FR Doc. 96-775 Filed 1-22-96; 8:45 am]
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