[Federal Register Volume 61, Number 183 (Thursday, September 19, 1996)]
[Rules and Regulations]
[Pages 49263-49265]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-23911]


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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 63

[AD-FRL-5612-2]
RIN 2060-AF90


National Emission Standards for Hazardous Air Pollutants for 
Source Categories: Perchloroethylene Dry Cleaning Facilities; 
Amendments

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final amendments to rule.

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SUMMARY: This action promulgates amendments to the national emission 
standards for hazardous air pollutants (NESHAP) for perchloroethylene 
(PCE) dry cleaning facilities. These amendments were proposed in the 
Federal Register on May 3, 1996; the NESHAP was promulgated in the 
Federal Register on September 22, 1993. The Administrator is 
promulgating these amendments to implement a settlement agreement that 
the EPA has entered into regarding a small number of transfer machines.

EFFECTIVE DATE: September 19, 1996.

ADDRESSES: Docket. Docket Number A-95-16, containing supporting 
information used in developing the proposed amendments, is available 
for public inspection and copying between the hours of 8 a.m. and 5:30 
p.m., Monday through Friday (except for government holidays) at The Air 
and Radiation Docket and Information Center, U.S. Environmental 
Protection Agency, 401 M Street, SW, Washington, DC 20460. The Air and 
Radiation Docket and Information Center may be reached at (202) 260-
7548. A reasonable fee may be charged for copying.

FOR FURTHER INFORMATION CONTACT: Mr. George Smith at (919) 541-1549, 
Emission Standards Division (MD-13), U.S. Environmental Protection 
Agency, Research Triangle Park, North Carolina 27711.

SUPPLEMENTARY INFORMATION:

    Regulated entities. Entities regulated by this action are dry 
cleaning facilities that use perchloroethylene. Regulated categories 
and entities include:

------------------------------------------------------------------------
                                                Examples of regulated   
                 Category                             entities          
------------------------------------------------------------------------
Perchloroethylene dry cleaning facilities.  Perchloroethylene dry       
                                             cleaning facilities that   
                                             installed transfer machines
                                             between proposal and       
                                             promulgation.              
------------------------------------------------------------------------

    The above table provides a guide for readers regarding entities 
likely to be regulated by this action. However, to determine whether 
your facility is regulated by this action you should carefully examine 
the applicability criteria in 40 CFR. 63.320 as amended by today's 
action. If you have questions regarding the applicability of this 
action to a particular entity, consult the person listed in the 
preceding FOR FURTHER INFORMATION CONTACT section.
    The information presented in this preamble is organized as follows:

I. Background, Summary, and Rationale for Promulgated Chances to 
Rule
II. Comments Received on Proposed Changes to Rule
III. Administrative Requirements
    A. Paperwork Reduction Act
    B. Executive Order 12866 Review
    C. Unfunded Mandates Reform Act
    D. Regulatory Flexibility Analysis
    E. Submission to Congress and the General Accounting Office

[[Page 49264]]

I. Background, Summary, and Rationale for Promulgated Changes To 
Rule

    National emission standards for hazardous air pollutants (NESHAP) 
for perchloroethylene (PCE) dry cleaning facilities were promulgated on 
September 22, 1993 (58 FR 49354), and amended on December 20, 1993 (58 
FR 66287), as 40 CFR part 63, subpart M. On November 19, 1993, the 
International Fabricare Institute (IFI), a trade association 
representing commercial and industrial dry cleaners nationwide, filed 
in the U.S. Court of Appeals for the District of Columbia Circuit a 
petition for judicial review challenging the NESHAP. The Agency 
subsequently entered into a settlement agreement with IFI, notice of 
which was published prior to being filed with the court (60 FR 52000, 
October 4, 1995).
    In the litigation, IFI raised the issue of new transfer machines 
purchased or installed between proposal and promulgation. The IFI's 
concern stemmed from the fact that the Agency did not propose to ban 
new transfer machines, yet at promulgation effectively banned such 
machines. The IFI argued that dry cleaners who installed new transfer 
machines between proposal and promulgation did so with the 
understanding that the Agency had not proposed any prohibitions against 
this. These dry cleaners would have had no recourse but to scrap these 
new transfer machines and replace them with new dry-to-dry machines in 
order to comply with the NESHAP. The IFI asserted that this was unfair, 
given these dry cleaners acted in accordance with the law to the best 
of their knowledge at the time.
    At the time of proposal, the Agency believed that no new transfer 
machines were being sold or installed, and for this reason did not 
propose to ban purchase of new transfer machines. However, due to new 
information that the Agency received after proposal that is explained 
in the preamble to the final rule of the NESHAP, the Agency effectively 
banned the purchase of new transfer machines (58 FR 49,368-49,370). 
This was considered reasonable because the Agency's analysis showed 
that emissions from clothing transfer could be eliminated through the 
use of dry-to-dry machines. Emissions from clothing transfer account 
for about 25 percent of transfer machine emissions. The Agency's 
analysis also showed that in the typical case where a new dry-to-dry 
machine was installed instead of a new transfer machine, a net savings 
of $300 per ton of emission reductions would be realized by the dry 
cleaner. Hence, the Agency decided at promulgation to effectively ban 
new transfer machines by setting an emission limit which new transfer 
machines could not achieve. It was believed this decision would have no 
impact on dry cleaners, since no new transfer machines were being 
purchased or installed. It was only after promulgation that it became 
apparent that a few new transfer machines had been sold and installed 
between proposal and promulgation of the NESHAP.
    The Agency has agreed with IFI on this issue. Consequently, the 
Administrator has subcategorized new transfer machines into two types: 
New transfer machines installed after promulgation (i.e., September 22, 
1993) and new transfer machines installed between proposal (i.e., 
December 9, 1991) and promulgation (i.e., September 22, 1993). The 
requirements the Administrator is finalizing today for new transfer 
machines installed after promulgation do not change. The requirements 
the Administrator is promulgating today for the new subcategory, new 
transfer machines installed between proposal and promulgation, however, 
are similar to those for existing transfer machines.
    Today's action does not sacrifice significant emissions reductions 
because the number of affected machines is approximately one-tenth of 
one percent of all dry cleaning machines (possibly 30 machines). 
Today's action allows for the greatest achievable emissions reductions 
by both those who had installed transfer machines prior to issuance of 
the final rule and all other new sources and maintains the prospective 
prohibition on new transfer machines.

II. Comments Received on Proposed Changes to Rule

    Four comments were received on the proposed amendments to the 
NESHAP. Two comments were received from industry trade associations and 
two comments were received from states. All four commenters were 
supportive of the proposed amendments for basically the same reasons 
outlined at proposal (61 FR 19887, May 3, 1996). Therefore, no changes 
have been made to the proposed amendments to the NESHAP.

III. Administrative Requirements

A. Paperwork Reduction Act

    The information collection requirements of the previously 
promulgated NESHAP for PCE Dry Cleaning Facilities were submitted to 
and approved by the Office of Management and Budget. A copy of this 
Information Collection Request (ICR) document (OMB control number 2060-
0234) may be obtained from Sandy Farmer, Information Policy Branch (PM-
223Y), U.S. Environmental Protection Agency, 401 M Street, SW, 
Washington, DC 20460 or by calling (202) 260-2740. Today's changes to 
the NESHAP for PCE Dry Cleaning Facilities do not affect the 
information collection burden estimates made previously.

B. Executive Order 12866 Review

    Under Executive Order 12866 (58 FR 51735, (October 4, 1993)), the 
Agency must determine whether the regulatory action is ``significant'' 
and, therefore, subject to OMB review and the requirements of the 
Executive Order. The Order defines a ``significant regulatory action'' 
as one that is likely to result in a rule that may:
    1. Have an annual effect on the economy of $100 million or more or 
adversely affect in a material way the economy, a sector of the 
economy, productivity, competition, jobs, the environment, public 
health or safety, or State, local, or tribal governments or 
communities;
    2. Create a serious inconsistency or otherwise interfere with an 
action taken or planned by another agency;
    3. Materially alter the budgetary impact of entitlements, grants, 
user fees, or land programs or the rights and obligations of recipients 
thereof; or
    4. Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
the Executive Order.
    This rule was classified ``non-significant'' under Executive Order 
12866 and, therefore, was not reviewed by the Office of Management and 
Budget.

C. Unfunded Mandates Reform Act

    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 statement to accompany any proposed rule where the 
estimated costs to State, local, or tribal governments, or to the 
private sector, will be $100 million or more in any one year. Under 
Section 205, EPA must select the most cost-effective and least 
burdensome alternative that achieves the objective 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 impacted by the rule. The unfunded mandates 
statement under Section 202 must include: (1) A citation of the 
statutory authority under which the rule is proposed, (2) an

[[Page 49265]]

assessment of the costs and benefits of the rule, including the effect 
of the mandate on health, safety, the environment, and the federal 
resources available to defray the costs, (3) where feasible, estimates 
of future compliance costs and disproportionate impacts upon particular 
geographic or social segments of the nation or industry, (4) where 
relevant, an estimate of the effect on the national economy, and (5) a 
description of EPA's prior consultation with State, local, and tribal 
officials.
    The amendments to the NESHAP that the Administrator is proposing 
today will not cause State, local, or tribal governments, or the 
private sector to incur costs that will be $100 million or more in any 
one year. Rather, the costs involved in this rulemaking are relatively 
insignificant in comparison to the $100 million threshold of the 
Unfunded Mandates Act. Therefore, the requirements of the Unfunded 
Mandates Act are not applicable to this rulemaking.

D. Regulatory Flexibility Analysis

    EPA has determined that it is not necessary to prepare a regulatory 
flexibility analysis in connection with this final rule. This rule will 
reduce regulatory burdens on small businesses because it will allow 
small businesses that own or operate those few transfer machines 
installed after December 9, 1991, but before September 22, 1993, to 
keep these machines in use rather than requiring such businesses to 
replace these machines or stop operations. EPA has determined that this 
rule will not have an significant adverse economic impact on a 
substantial number of small businesses.

E. Submission to Congress and the General Accounting Office

    Under 5 U.S.C. 801(a)(1)(A) as added by the Small Business 
Regulatory Enforcement Fairness Act of 1996, EPA submitted a report 
containing this rule and other required information to the U.S. Senate, 
the U.S. House of Representatives and the Comptroller General of the 
General Accounting Office prior to publication of the rule in today's 
Federal Register. This rule is not a ``major rule'' as defined by 5 
U.S.C. 804(2).

List of Subjects in 40 CFR Part 63

    Environmental protection, Air pollution control, Intergovernmental 
relations, Reporting and recordkeeping requirements.

    Dated: September 11, 1996.
Carol M. Browner,
Administrator.

    Title 40, chapter I, part 63, of the Code of Federal Regulations is 
amended to read as follows:

PART 63--NATIONAL EMISSION STANDARDS FOR HAZARDOUS AIR POLLUTANTS 
FOR SOURCE CATEGORIES

    1. The authority citation for part 63 continues to read as follows:

    Authority: 42 U.S.C. 7401, et seq.

Subpart M--National Perchloroethylene Air Emission Standards for Dry 
Cleaning Facilities
    2. Section 63.320 is amended by revising paragraphs (c), (d), (e), 
and (f) to read as follows:


Sec. 63.320  Applicability.

* * * * *
    (c) Each dry cleaning system that commenced construction or 
reconstruction before December 9, 1991, and each new transfer machine 
system and its ancillary equipment that commenced construction or 
reconstruction on or after December 9, 1991 and before September 22, 
1993, shall comply with Secs. 63.322 (c), (d), (i), (j), (k), (l), and 
(m), 63.323(d), and 63.324 (a), (b), (d)(1), (d)(2), (d)(3), (d)(4), 
and (e) beginning on December 20, 1993, and shall comply with other 
provisions of this subpart by September 23, 1996.
    (d) Each existing dry-to-dry machine and its ancillary equipment 
located in a dry cleaning facility that includes only dry-to-dry 
machines, and each existing transfer machine system and its ancillary 
equipment and each new transfer machine system and its ancillary 
equipment installed between December 9, 1991 and September 22, 1993, as 
well as each existing dry-to-dry machine and its ancillary equipment, 
located in a dry cleaning facility that includes both transfer machine 
system(s) and dry-to-dry machine(s) is exempt from Sec. 63.322, 
Sec. 63.323, and Sec. 63.324, except paragraphs 63.322 (c), (d), (i), 
(j), (k), (l), and (m), 63.323(d), and 63.324 (a), (b), (d)(1), (d)(2), 
(d)(3), (d)(4), and (e) if the total perchloroethylene consumption of 
the dry cleaning facility is less than 530 liters (140 gallons) per 
year. Consumption is determined according to Sec. 63.323(d).
    (e) Each existing transfer machine system and its ancillary 
equipment, and each new transfer machine system and its ancillary 
equipment installed between December 9, 1991 and September 22, 1993, 
located in a dry cleaning facility that includes only transfer machine 
system(s) is exempt from Sec. 63.322, Sec. 63.323, and Sec. 63.324, 
except paragraphs 63.322 (c), (d), (i), (j), (k), (l), and (m), 
63.323(d), and 63.324 (a), (b), (d)(1), (d)(2), (d)(3), (d)(4), and (e) 
if the perchloroethylene consumption of the dry cleaning facility is 
less than 760 liters (200 gallons) per year. Consumption is determined 
according to Sec. 63.323(d).
    (f) If the total yearly perchloroethylene consumption of a dry 
cleaning facility determined according to Sec. 63.323(d) is initially 
less than the amounts specified in paragraph (d) or (e) of this 
section, but later exceeds those amounts, the existing dry cleaning 
system(s) and new transfer machine system(s) and its (their) ancillary 
equipment installed between December 9, 1991 and September 22, 1993 in 
the dry cleaning facility must comply with Sec. 63.322, Sec. 63.323, 
and Sec. 63.324 by 180 calendar days from the date that the facility 
determines it has exceeded the amounts specified, or by September 23, 
1996, whichever is later.
* * * * *
    3. Section 63.322 is amended by revising paragraphs (a) 
introductory text and (b) introductory text to read as follows:


Sec. 63.322  Standards.

    (a) The owner or operator of each existing dry cleaning system and 
of each new transfer machine system and its ancillary equipment 
installed between December 9, 1991 and September 22, 1993 shall comply 
with either paragraph (a)(1) or (a)(2) of this section and shall comply 
with paragraph (a)(3) of this section if applicable.
* * * * *
    (b) The owner or operator of each new dry-to-dry machine and its 
ancillary equipment and of each new transfer machine system and its 
ancillary equipment installed after September 22, 1993:
* * * * *
[FR Doc. 96-23911 Filed 9-18-96; 8:45 am]
BILLING CODE 6560-50-P