[Federal Register Volume 61, Number 183 (Thursday, September 19, 1996)]
[Proposed Rules]
[Pages 49289-49294]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-23791]


-----------------------------------------------------------------------


ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 70

[AD-FL-5611-5]


Clean Air Act Interim Approval of Operating Permits Program; 
Delegation of Sections 111 and 112 Standards; State of Maine

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: The EPA proposes source category-limited interim approval of 
the Operating Permits Program submitted by Maine for the purpose of 
complying with Federal requirements for an approvable State program to 
issue operating permits to all major stationary sources, and to certain 
other sources. EPA is also proposing to approve Maine's authority to 
implement hazardous air pollutant requirements.

DATES: Comments on this proposed action must be received in writing by 
October 21, 1996.

ADDRESSES: Comments should be addressed to Donald Dahl, Air Permits, 
CAP, U.S. Environmental Protection Agency, Region I, JFK Federal 
Building, Boston, MA 02203-2211. Copies of the State's submittal and 
other supporting information used in developing the proposed interim 
approval are available for inspection during normal business hours at 
the following location: U.S. Environmental Protection Agency, Region 1, 
One Congress Street, 11th floor, Boston, MA 02203-2211.

FOR FURTHER INFORMATION CONTACT: Donald Dahl, CAP, U.S. Environmental 
Protection Agency, Region 1, JFK Federal Building, Boston, MA 02203-
2211, (617) 565-4298.

I. Background and Purpose

A. Introduction

    As required under title V of the 1990 Clean Air Act Amendments 
(sections 501-507 of the Clean Air Act (``the Act'')), EPA has 
promulgated rules which define the minimum elements of an approvable 
State operating permits program and the corresponding standards and 
procedures by which the EPA will approve, oversee, and withdraw 
approval of State operating permits programs (see 57 FR 32250 (July 21, 
1992)). These rules are codified at 40 Code of Federal Regulations 
(CFR) Part 70. Title V requires States to develop, and submit to EPA, 
programs for issuing these operating permits to all major stationary 
sources and to certain other sources.
    The Act requires that States develop and submit these programs to 
EPA by November 15, 1993, and that EPA act to

[[Page 49290]]

approve or disapprove each program within 1 year after receiving the 
submittal. The 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. Where a program substantially, but not 
fully, meets the requirements of Part 70, EPA may grant the program 
interim approval. Additionally, where a state can demonstrate to the 
satisfaction of EPA that reasons exist to justify granting a source 
category-limited interim approval, EPA may so exercise its authority. A 
program with a source category-limited interim approval is one that 
substantially meets the requirements for Part 70 and that applies to at 
least 60% of all affected sources which account for 80% of the total 
emissions in the state. If EPA has not fully approved a program by 2 
years after the November 15, 1993 date, or by the end of an interim 
program, it must establish and implement a Federal program.

B. Federal Oversight and Sanctions

    If EPA were to finalize this proposed interim approval, it would 
extend for two years following the effective date of final interim 
approval. During the interim approval period, the State of Maine would 
be protected from sanctions, and EPA would not be obligated to 
promulgate, administer and enforce a Federal permits program for the 
State of Maine. 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 interim approval, as does the 3-year time period for 
processing the initial permit applications except for source category-
limited interim approval.1
---------------------------------------------------------------------------

    \1\ Note that states may require applications to be submitted 
earlier than required under section 503(c). See Chapter 140, 
Appendix C.3. of Maine's rules.
---------------------------------------------------------------------------

    Following final interim approval, if the State of Maine failed to 
submit a complete corrective program for full approval by the date 6 
months before expiration of the interim approval, EPA would start an 
18-month clock for mandatory sanctions. If the State of Maine then 
failed to submit a corrective program that EPA found complete before 
the expiration of that 18-month period, EPA would apply sanctions as 
required by section 502(d)(2) of the Act, which would remain in effect 
until EPA determined that the State of Maine had corrected the 
deficiency by submitting a complete corrective program. If, six months 
after application of the first sanction, the State of Maine still has 
not submitted a corrective program that EPA finds complete, a second 
sanction will be required.
    If, following final interim approval, EPA were to disapprove the 
State of Maine's complete corrective program, EPA would be required 
under section 502(d)(2) to apply sanctions on the date 18 months after 
the effective date of the disapproval, unless prior to that date the 
State of Maine had submitted a revised program and EPA had determined 
that it corrected the deficiencies that prompted the disapproval. If, 
six months after EPA applies the first sanction, the State of Maine has 
not submitted a revised program that EPA has determined corrected the 
deficiencies that prompted disapproval, a second sanction will be 
required.
    Moreover, if EPA has not granted full approval to the State of 
Maine's program by the expiration of an interim approval and that 
expiration occurs after November 15, 1995, EPA must promulgate, 
administer and enforce a Federal permits program for the State of Maine 
upon interim approval expiration.

II. Proposed Action and Implications

A. Analysis of State Submission

    The analysis contained in this document focuses on specific 
elements of Maine's title V operating permits program that must be 
corrected to meet the minimum requirements of 40 CFR Part 70. The full 
program submittal, technical support document (TSD), dated July 5, 1996 
entitled ``Technical Support Document--Maine Operating Permits 
Program,'' which contains a detailed analysis of the submittal, and 
other relevant materials are available for inspection as part of the 
public docket. The docket may be viewed during regular business hours 
at the address listed above.
    1. Title V program support materials. Maine's title V program was 
submitted by the State on October 23, 1995 (PROGRAM). The submittal was 
found to be administratively complete on December 29, 1995. The PROGRAM 
consisted of a Governor's letter, program description, Attorney 
General's legal opinion, license regulations and enabling legislation, 
program documentation, and a detailed license fee demonstration. On 
June 24, 1996, Maine submitted a supplement to their PROGRAM, which 
included a supplemental opinion from the Attorney General's Office and 
a clarification from DEP on several aspects of the PROGRAM.
    2. Title V operating permit regulations and implementation. Maine's 
regulations implementing Part 70 include Department of Environmental 
Protection, Bureau of Air Quality Control Regulation, Chapters 100 and 
140.2 The Maine PROGRAM, including the operating license 
regulations, substantially meets the requirements of 40 CFR Part 70, 
including Secs. 70.2 and 70.3 with respect to applicability, 
Secs. 70.4, 70.5 and 70.6 with respect to permit content and 
operational flexibility, Secs. 70.7 and 70.8 with respect to public 
participation and review by affected states and EPA, and Sec. 70.11 
with respect to requirements for enforcement authority. Although the 
regulations substantially meet Part 70 requirements, there are program 
deficiencies that are outlined in section II.B. below as Interim 
Approval issues. Those Interim Approval issues are more fully discussed 
in the TSD. The ``Issues'' section of the TSD also contains a detailed 
discussion of elements of Part 70 that are not explicitly contained in 
Maine's program regulations, but which are satisfied by other elements 
of Maine's program submittal or other Maine State law. Also discussed 
in the TSD are certain elements of Maine's title V regulation that are 
in need of a legal interpretation and which EPA is interpreting to be 
consistent with Part 70 with the understanding that Maine shares such 
interpretation. Those elements include: (1) What constitutes an 
increase of a regulated pollutant in the definition of ``modification 
or modified source;'' (2) license modification procedures when 
replacing pollution control equipment; (3) the process for adjusting 
test methods; (4) the due date for license renewal applications; (5) 
what types of changes are allowed to occur off permit; (6) State 
limitations on emission trading under operational flexibility; (7) how 
a source looses its application shield for failure to submit additional 
information; (8) the enforcement consequences for a source operating 
using a general permit for which it does not qualify; and (9) the 
liability of the original licensees until DEP approves a license 
transfer and the timing of applications for license transfers. EPA 
understands that Maine will implement its program consistent with EPA's 
interpretations, and will base this interim approval on these

[[Page 49291]]

interpretations unless Maine comments to the contrary.
---------------------------------------------------------------------------

    \2\ The DEP regulations use the term ``license'' where EPA's 
regulations use the term ``permit.'' In an attempt to be consistent 
with the underlying regulations, this document will generally use 
the term ``license'' when describing the state regulation and the 
term ``permit'' when describing the federal regulation.
---------------------------------------------------------------------------

    Variances. Pursuant to 38 M.R.S.A. Sec. 587 the Maine DEP has the 
authority to issue a variance under certain circumstances from air 
pollution control requirements imposed by State law. Additionally 
pursuant to 38 M.R.S.A. Secs. 590(3) and (6) the DEP has authority 
under state law to include in an air license compliance schedules up to 
24 months and to grant allowances for excess emissions during cold 
start-ups and planned shutdowns. Each of these authorities could be 
interpreted to provide for variances under state law from the 
obligation to comply with air pollution control requirements that 
correspond to federal applicable requirements in the Part 70 permit. 
The EPA regards Maine's variance provisions as wholly external to the 
program submitted for approval under Part 70 and consequently is 
proposing to take no action on these provisions of State law. The EPA 
has no authority to approve provisions of State law that are 
inconsistent with the Act. The EPA does not recognize the ability of a 
permitting authority to grant relief from the duty to comply with a 
federally enforceable Part 70 permit, except where such relief is 
granted through procedures allowed by Part 70. A Part 70 permit may be 
issued or revised (consistent with Part 70 procedures), to incorporate 
those terms of a variance that are consistent with applicable 
requirements. A Part 70 permit may also incorporate, via Part 70 permit 
issuance or revision procedures, the schedule of compliance set forth 
in a variance. However, EPA reserves the right to pursue enforcement of 
applicable requirements notwithstanding the existence of a compliance 
schedule in a DEP license. This is consistent with 40 CFR 
70.5(c)(8)(iii)(C), which states that a schedule of compliance ``shall 
be supplemental to, and shall not sanction noncompliance with, the 
applicable requirements on which it is based.'' Additionally, the Maine 
Attorney General's Opinion specifically addresses these variance 
provisions and clarifies that were DEP to grant a variance and seek to 
modify the operating license to incorporate the variance as a Part 70 
permit term, EPA would have the opportunity to object if the variance 
were not in compliance with the applicable requirements of the Act. See 
Legal Opinion of Andrew Ketterer, Maine Attorney General, November 13, 
1995, at pages 3-4.
    3. Permit fee demonstration. Section 502(B)(3) of the Act requires 
that each permitting authority collect fees sufficient to cover all 
reasonable direct and indirect costs required to develop and administer 
its title V operating permit program. Each title V program submittal 
must contain either a detailed demonstration of fee adequacy or a 
demonstration that the fees collected exceed $25 per ton of actual 
emissions per year, adjusted from the August, 1989 consumer price index 
(``CPI'').
    As part of its PROGRAM, Maine submitted a detailed fee 
demonstration. Maine has demonstrated that PROGRAM costs will be $1.7 
million dollars per year and that the State will collect 2.1 million 
dollars from title V sources. EPA has reviewed Maine's fee 
demonstration and believes that DEP has made reasonable assumptions 
concerning permit processing costs, license oversight, and resource 
demands to support the program. DEP has specifically enumerated its 
expected fee revenues from Part 70 sources in the State to support its 
income projections. Therefore, Maine has demonstrated that the State 
will collect sufficient permit fees to meet EPA requirements. For more 
information, see the detailed fee demonstration of Maine's title V 
Program in the docket supporting this action.
    4. Provisions implementing the requirements of other titles of the 
act. a. Authority and/or commitments for section 112 implementation. 
Maine has demonstrated in its title V program submittal adequate legal 
authority to implement and enforce all section 112 requirements through 
the title V permit. This legal authority is contained in Maine's 
enabling legislation, regulatory provisions defining ``applicable 
requirements,'' and the requirement that a title V permit must 
incorporate all applicable requirements. EPA has determined that this 
legal authority is sufficient to allow Maine to issue permits that 
assure compliance with all section 112 requirements and to carry out 
all section 112 activities. In addition, given Maine's commitments 
regarding implementation of the State's title V program, EPA has 
determined that the State will issue permits that assure compliance 
with all section 112 requirements, and will carry out all section 112 
activities. For further discussion of this subject, please refer to the 
April 13, 1993 guidance memorandum titled ``Title V Program Approval 
Criteria for Section 112 Activities,'' signed by John Seitz, Director 
of the Office of Air Quality Planning and Standards.
    b. Implementation of 112(g) upon program approval. On February 14, 
1995, EPA published an interpretive notice (see 60 FR 8333) that 
postpones the effective date of section 112(g) until after EPA has 
promulgated a rule addressing the requirements of that provision. 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 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 the effective date of section 112(g), Maine 
must be able to implement section 112(g) during the period between 
promulgation of the Federal section 112(g) rule and adoption of 
implementing State regulations for section 112(g) requirements. EPA 
believes that Maine can utilize the provisions found in Section 140.6 
governing the licensing of new or reconstructed HAP sources to serve as 
a procedural vehicle for implementing the section 112(g) rule and 
making these requirements Federally enforceable between promulgation of 
the Federal section 112(g) rule and adoption of implementing State 
regulations for section 112(g). Maine has generally patterned these 
provisions on EPA's most recent proposals for implementing section 
112(g) of the Act. For this reason, EPA is proposing to approve Maine's 
preconstruction permitting program found in Section 140.6 under the 
authority of title V and Part 70 solely for the purpose of implementing 
section 112(g) during the transition period between title V approval 
and adoption of a State rule implementing EPA's section 112(g) 
regulations.
    Since the approval would be for the single purpose of providing a 
mechanism to implement section 112(g) during the transition period, the 
approval would 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 and Maine's Section 140.6 
needs to be revised to accord with EPA's final section 112(g) rule. 
Also, since the approval would be for the limited purpose of allowing 
the State sufficient time to adopt regulations, EPA proposes to limit 
the duration of the approval to 18 months following promulgation by EPA 
of its section 112(g) rule. Finally, since Maine has already adopted 
program regulations imposing MACT on the types of changes addressed 
under section 112(g), Maine may be in a position to fully implement 
section 112(g) immediately upon final promulgation of section 112(g) 
rule,

[[Page 49292]]

without further modification of Chapter 140, if Maine's current 
regulation corresponds to EPA's final 112(g) rule.
    c. Program for straight delegation of sections 111 and 112 
standards. The Part 70 requirements for approval of a State operating 
permit program, specified in 40 CFR 70.4(b), encompass section 
112(l)(5) requirements for approval of a program for delegation of the 
hazardous air pollutant program General Provisions, Subpart A, of 40 
CFR Parts 61 and 63, promulgated under section 112 of the Act, and MACT 
standards as promulgated by EPA as they apply to Part 70 sources. 
Section 112(l)(5) requires that a State's program contain adequate 
legal authorities, adequate resources for implementation, and an 
expeditious compliance schedule, which are also requirements under Part 
70. The Maine Department of Environmental Protection provided a 
supplemental request on June 24, 1996, for delegation of non-part 70 
sources and along with the PROGRAM submitted information regarding 
adequate legal authorities, adequate resources for implementation, and 
an expeditious compliance schedule. Therefore, EPA is also proposing to 
grant approval under section 112(l)(5) and 40 CFR Sec. 63.91 of Maine's 
mechanism for receiving delegation for both major and area sources of 
section 112 standards that are unchanged from the Federal standards as 
promulgated (straight delegation) and section 112 infrastructure 
programs such as those programs authorized under sections 112(i)(5), 
112(g), 112(j), and 112(r). In addition, EPA is reconfirming the 
delegation of 40 CFR Parts 60 and 61 standards currently delegated to 
Maine as indicated in Table I.3 The original delegation agreement 
between EPA and Maine was set forth in a letter to Henry E. Warren on 
September 30, 1982. For future delegation of Part 60 standards Maine 
will use the process as outlined in letter from James Brooks to Gerald 
C. Potamis, dated June 24, 1996. Please note EPA has withdrawn 
delegation of the following NESHAPs at Maine's request: Subpart L 
``Benzene-Coke By Product Recovery,'' Subpart Q ``Radon-DOE,'' Subpart 
Y ``Benzene Storage Vessels,'' Subpart T ``Radon Disposal of Uranium,'' 
Subpart BB ``Benzene Transfer Operations,'' and Subpart FF ``Benzene 
Waste Operations.'' Maine requested the withdrawal because there 
currently are no applicable sources in the State.
---------------------------------------------------------------------------

    \3\  Please note that federal rulemaking is not required for 
delegation of section 111 standards.
---------------------------------------------------------------------------

    EPA is proposing to delegate all applicable future 40 CFR Part 61 
and 63 standards pursuant to the following mechanism unless otherwise 
requested by Maine.4 Maine will accept future delegation of 
standards using incorporation by reference. The details of this 
delegation mechanism will be set forth in a future Memorandum of 
Agreement between EPA and Maine. This program will apply to both 
existing and future standards for both major and area sources. In 
addition, Maine has indicated that for some section 112 standards it 
may choose to submit a more stringent State rule or program for EPA 
approval under section 112(l). EPA will need to take public notice and 
comment for any section 112 delegation other than straight delegation.
---------------------------------------------------------------------------

    \4\ The radionuclide National Emission Standards for Hazardous 
Air Pollutants (NESHAP) is a section 112 regulation and, therefore, 
also an applicable requirement under the State operating permits 
program for part 70 sources. There is not yet a Federal definition 
of ``major source'' for radionuclide sources. Therefore, until a 
major source definition for radionuclide is promulgated, no source 
would be a major section 112 source solely due to its radionuclide 
emissions. However, a radionuclide source may, in the interim, be a 
major source under Part 70 for another reason, thus requiring a Part 
70 permit. The EPA will work with the State in the development of 
its radionuclide program to ensure that permits are issued in a 
timely manner.
---------------------------------------------------------------------------

    d. Implementation of Title IV of the Act. Maine makes a commitment 
in Attachment H of its Program submittal to revise its regulations as 
necessary in order to implement the Acid Rain provisions.
    e. New source review requirements. Maine's program submittal 
included definitions under Chapter 100 and licensing requirements under 
Chapters 115 and 140 designed to implement preconstruction new source 
review (NSR) permitting requirements for new and modified major and 
minor sources of air pollutants. This action under Title V of the Act 
and 40 CFR Part 70 is not an approval of these NSR provisions into the 
Maine State implementation plan (SIP), nor does EPA take any position 
under the Act in this action on the adequacy of Chapters 100, 115, and 
140 to the extent they modify NSR requirements currently approved into 
the SIP. EPA will act on these provisions under section 110 of the Act 
after Maine requests EPA to approve them into the SIP.5
---------------------------------------------------------------------------

    \5\ Note that the Attorney General's opinion at several points 
appears to assume that EPA will be approving all of Maine's 
licensing program into the SIP. See Attorney General's Opinion at 
pages 3, 10, 11, and 19. As discussed further in the TSD, DEP has 
not requested EPA to approve all of these license requirements in 
the SIP, and some licensing provisions that relate primarily to 
operating requirements as opposed to new or modified sources may not 
be appropriate for approval into the SIP.
---------------------------------------------------------------------------

B. Proposed Action

    The scope of Maine's Part 70 program covers all Part 70 sources 
within the state of Maine, 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). EPA is not taking any position in 
this action on whether any Federally recognized tribe in Maine has 
jurisdiction over sources of air pollution.
    Requirements for approval of an operating permit program, 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. Maine has also 
demonstrated it has the authority and capacity to implement and enforce 
section 112 standards for non-Part 70 sources. As discussed above, 
Maine's submittal meets the requirements for EPA approval of delegation 
of section 112 standards. Therefore, EPA is also proposing to grant 
approval under section 112(l)(5) and 40 CFR Sec. 63.91 of the State's 
mechanism for receiving delegation of section 112 standards that are 
unchanged from Federal standards as promulgated. Maine will be 
incorporating by reference section 112 standards for both major and 
area sources.
    The EPA is proposing to grant source category-limited interim 
approval to the operating permits program submitted by Maine on October 
24, 1995. Maine has proposed to permit 74% of its Title V sources which 
emit 89% of the total emissions of all Title V sources within the first 
three years of program approval. If promulgated, the State must make 
the following changes in its rule to receive full approval:
    1. Maine does not allow for ``section 502(b)(10)'' changes at a 
title V source. See 40 CFR Sec. 70.4(b)(12)(i). In an August 29, 1994 
(59 FR 44572) rulemaking proposal, EPA proposed to eliminate section 
502(b)(10) changes as a mechanism for implementing operational 
flexibility. However, the Agency solicited comment on the rationale for 
this proposed elimination. If EPA should conclude, during a final 
rulemaking, that section 502(b)(10)

[[Page 49293]]

changes are no longer required as a mechanism for operational 
flexibility, then Maine will not be required to address 502(b)(10) 
changes in its rule.
    2. Maine's rules do not require the DEP to process a ``Part 70 
Minor Change'' within 90 days of receiving an application. See 40 CFR 
Sec. 70.7(e)(2)(iv). A ``Part 70 Minor Change'' is similar to a minor 
permit modification under Part 70, except for the exclusion of 
construction projects which are excluded in the State's rule. A ``Part 
70 Minor Change,'' as defined by the State, includes a provision 
allowing facilities to implement a proposed permit modification upon 
application and prior to DEP's review. Maine must revise its program 
regulations to require that DEP process all Part 70 minor changes 
within 90 days of receiving the application to avoid the possibility of 
a source operating indefinitely based on an unreviewed proposed permit 
modification.
    3. Section 140.7 contains provisions for a ``Part 70 Minor 
Revisions.'' This permitting track allows Maine to process emission 
increases under 4 tons per year of one regulated pollutant or under 8 
tons per year total for all regulated pollutants without EPA, affected 
state, or public review. This provision is inconsistent with the most 
nearly analogous permit modification requirements in EPA's current 
rule, which require minor permit modifications to receive at least 
affected state and EPA review. On August 31, 1995, EPA proposed changes 
in the Part 70 permit modification procedures that might accommodate 
such changes. (See 60 FR 45530, 45538). If EPA amends Part 70 to allow 
for such changes, then Maine may not need to revise this provision 
depending on whether netting transactions can qualify under the 4 and 8 
ton per year thresholds. Under EPA's current rule, however, Maine must 
revise its program regulations to make Part 70 Minor Revisions 
consistent with EPA's minor permit modification process at 40 CFR 
Sec. 70.7(e)(2).
    4. In Section 140.5(B)(6)(j), Maine allows a source under certain 
circumstances to continue to emit up to the previously licensed level 
for up to 24 months after the license is amended, potentially not in 
compliance with applicable requirements. Maine must revise its program 
regulations to limit this section to requirements enforceable only by 
the State, as provided in Section 140.5(A)(6)(m). As discussed above in 
connection with Maine's statutory variance authorities, EPA is required 
to object to any permit terms not in compliance with applicable 
requirements, including any such terms incorporated into a license, 
pursuant to Section 140.4(B)(6)(j), being issued as a title V permit.
    5. Appendix B of Chapter 140 contains a list of activities which 
the State plans on treating as insignificant. Section B(1) of this 
Appendix allows for any activity with emissions less than 1 ton per 
year of any pollutant or 4 tons per year of all pollutants to be 
treated as insignificant. In addition, Section B(2) incorporates 
emission level thresholds for HAPs which are equal to or in many cases 
far less than one ton per year. It is possible to interpret these two 
sections to allow an activity emitting one ton per year of even a very 
potent HAP to be treated as insignificant under Section B(1), even if 
it emits in excess of any lower threshold set under Section B(2). EPA 
understands this is a result DEP did not intend. Moreover, Sections 
B(1) and B(2) could be read to allow a permittee to treat a combination 
of up to four tons per year of HAPs to be treated as insignificant, as 
long as no one HAP exceeded the thresholds in Section B(2). EPA has 
required insignificant activities to emit no more than one ton per year 
of HAPs. DEP must revise Appendix B to limit insignificant HAP 
emissions to one ton per year for single HAPs and one ton per year for 
a combination of HAPs.

III. Administrative Requirements

A. Request for Public Comments

    The EPA is requesting comments on all aspects of this proposed 
interim approval. Copies of the State's submittal and other information 
relied upon for the proposed interim approval are contained in a docket 
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 proposed interim 
approval. The principal purposes of the docket are:
    (1) to allow interested parties a means to identify and locate 
documents so that they can effectively participate in the approval 
process, and
    (2) to serve as the administrative record in the event of judicial 
review. The EPA will consider any comments received by October 21, 
1996.

B. Executive Order 12866

    The Office of Management and Budget has exempted this action from 
Executive Order 12866 review.

C. Regulatory Flexibility Act

    The 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.

D. 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 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 
preexisting 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

    Administrative practice and procedure, Air pollution control, 
Intergovernmental relations, Operating permits, and Reporting and 
recordkeeping requirements.

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

    Dated: September 8, 1996.
John P. DeVillars,
Regional Administrator, Region I.

  Table I to the preamble--Reconfirmation of Part 60 and 61 Delegations 
                                                                        
                       Part 60 Subpart Categories                       
D                                  Fossil-Fuel Fired Steam Generators   
Da                                 Electric Utility Steam Generators    
Db                                 Industrial-Commercial-Institutional  
                                    Steam Generating Units              
Dc                                 Small Industrial-Commercial-         
                                    Institutional Steam Generating Units
E                                  Incinerators                         
Ea                                 Municipal Waste Combustors           
F                                  Portland Cement Plants               
G                                  Nitric Acid Plants                   

[[Page 49294]]

                                                                        
H                                  Sulfuric Acid Plants                 
I                                  Asphalt Concrete Plants              
J                                  Petroleum Refineries                 
K                                  Petroleum Liquid Storage Vessels     
Ka                                 Petroleum Liquid Storage Vessels 5/18/
                                    78                                  
Kb                                 Volatile Organic Liquid Storage      
                                    Vessels 7/23/84                     
L                                  Secondary Lead Smelters              
M                                  Secondary Brass and Bronze Production
                                    Plants                              
N                                  Basic Oxygen Process Furnaces Primary
                                    Emissions                           
O                                  Sewage Treatment Plants              
P                                  Primary Copper Smelters              
Q                                  Primary Zinc Smelters                
R                                  Primary Lead Smelters                
S                                  Primary Aluminum Reduction           
T                                  Phosphate Fertilizer Wet Process     
U                                  Phosphate Fertilizer-Superphosphoric 
                                    Acid                                
V                                  Phosphate Fertilizer-Diammonium      
                                    Phosphate                           
W                                  Phosphate Fertilizer-Granular Triple 
                                    Superphosphate                      
X                                  Phosphate Fertilizer-Granular Triple 
                                    Superphosphate Storage              
Y                                  Coal Preparation Plants              
Z                                  Ferroalloy Production Facilities     
AA                                 Steel Plants--Electric Arc Furnaces  
BB                                 Kraft Pulp Mills                     
CC                                 Glass Manufacturing                  
DD                                 Grain Elevators                      
EE                                 Surface Coating of Metal Furniture   
GG                                 Stationary Gas Turbines              
HH                                 Lime Manufacturing Plants            
KK                                 Lead-Acid Battery Manufacturing      
LL                                 Metallic Mineral Processing Plants   
NN                                 Phosphate Rock Plants                
PP                                 Ammonium Sulfate Manufacturing       
QQ                                 Graphic Arts-Rotogravure Printing    
RR                                 Tape and Label Surface Coatings      
SS                                 Surface Coating: Large Appliances    
TT                                 Metal Coil Surface Coating           
UU                                 Asphalt Processing--Roofing          
VV                                 Equipment Leaks of VOC in SOCMI      
WW                                 Beverage Can Surface Coating         
XX                                 Bulk Gasoline Terminals              
BBB                                Rubber Tire Manufacturing            
DDD                                VOC Emissions From Polymer           
                                    Manufacturing Industry              
FFF                                Flexible Vinyl and Urethan Coating   
                                    and Printing                        
GGG                                Equipment Leaks of VOC in Petroleum  
                                    Refineries                          
HHH                                Synthetic Fiber Production           
III                                VOC From SOCMI Air Oxidation Unit    
JJJ                                Petroleum Dry Cleaners               
NNN                                VOC From SOCMI Distillation          
OOO                                Nonmetallic Mineral Plants           
QQQ                                VOC From Petroleum Refinery          
                                    Wastewater Systems                  
SSS                                Magnetic Tape Coating                
VVV                                Polymeric Coating of Supporting      
                                    Substrates                          
                                                                        
                       Part 61 Subpart Categories                       
C                                  Beryllium                            
E                                  Mercury                              
F                                  Vinyl Chloride                       
J                                  Equipment Leaks of Benzene           
M                                  Asbestos                             
V                                  Equipment Leaks (Fugitive Emission   
                                    Sources)                            
                                                                        

[FR Doc. 96-23791 Filed 9-18-96; 8:45 am]
BILLING CODE 6560-50-P